Very perceptive points Svyatoslav! There's a negotiating dance to the annual budgeting process, and (as you state) the size of Departmental budgets is often more to do with the ego of that Director than investing in the strategy. A process-led view of resources can be a powerful (and strategic) perspective, much underused!
I've gone through this procedure dozens of times – as an executive, a CEO, and then as a board member. It is time-consuming and exhausting, and it brings in little value.
If I want to know what an executive really thinks or wants, I tell them that our new strategy entails cutting their budget. Their reaction can tell us more than thousands of words.
Very perceptive points Svyatoslav! There's a negotiating dance to the annual budgeting process, and (as you state) the size of Departmental budgets is often more to do with the ego of that Director than investing in the strategy. A process-led view of resources can be a powerful (and strategic) perspective, much underused!
Many thanks for the feedback, David.
I've gone through this procedure dozens of times – as an executive, a CEO, and then as a board member. It is time-consuming and exhausting, and it brings in little value.
Thanks. Two things.
There’s more to strategy than financials. Budget allows you to execute strategy, but it’s often the only thing discussed in a strategy meeting.
Watch out for people that want bigger budgets, but try to shift their costs to another department.
If I want to know what an executive really thinks or wants, I tell them that our new strategy entails cutting their budget. Their reaction can tell us more than thousands of words.