Assignment: Case Based Budgeting

Assignment: Case Based Budgeting
Assignment: Case Based Budgeting
Assignment: Case Based Budgeting
Week 10 Assignment 2 Assignment 2: Zero-Based Operational FTE Budget In Week 7, you began preparing a zero-based operational FTE budget draft for your nursing unit. This week, you will finalize your budget and submit your assignment in the format of a Microsoft Excel worksheet. Week 10 Tasks Begin this assignment by incorporating the instructor’s feedback on the worksheet you submitted in Week 7. Then, finalize your zero-based operational FTE budget, and ensure that it covers the following: Identify and describe the selected nursing unit on which the zero-based operational FTE budget is performed. What is the type of service provided by the nursing unit (for example, fifteen-bed intensive care unit or twenty-bed oncology unit)? Finalize the budget worksheet or spreadsheet with subcodes. Make sure to include the following: Operating expenses with subcodes Description of subcodes Prior-year expenses of subcodes Original budget allocations for subcodes Annualized expense for subcodes Budget adjustments for subcodes Approved budget for subcodes Personnel costs for one nursing unit Use APA style and formatting for your assignment. Make sure to include a title and a reference section for the assignment. Submit your budget in a Microsoft Excel worksheet to the W10: Assignment 2 Dropbox by Tuesday, November 7, 2017. Name your document SU_NSG6620_W10_A2_LastName_FirstInitial.xls.Zero-based budgeting (ZBB) is a method of budgeting in which all must be justified for each new period. The process of zero-based budgeting starts from a “zero base,” and every function within an organization is analyzed for its needs and costs. are then built around what is needed for the upcoming period, regardless of whether each budget is higher or lower than the previous one.
The Basics of Zero-Based Budgeting (ZBB)
ZBB allows top-level strategic goals to be implemented into the budgeting process by them to specific functional areas of the organization, where costs can be first grouped and then measured against previous results and current expectations.
Because of its detail-oriented nature, zero-based budgeting may be a rolling process done over several years, with a few functional areas reviewed at a time by managers or group leaders. Zero-based budgeting can help lower costs by avoiding blanket increases or decreases to a prior period’s budget. It is, however, a time-consuming process that takes much longer than traditional, cost-based budgeting. The practice also favors areas that achieve direct or production, as their contributions are more easily justifiable than in departments such as client service and .

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