Finacial Plan for BRB

Monitor and Control Finances

For BRB it is very important to monitor the expenditure which is not just comparing the expenditures with the budgets but also it is important to see changing patterns that need corrective measures. For BRB there should be measures in place in order to monitor work’s team reports against budgets and regular objectives have to be there at different intervals.

Operational Processes for monitoring actual expenditure

After the implementation of a budget/financial plan it is essential that actual expenditure should be monitored and control costs across the financial activities of the work team.

The organizational processes which BRB can use to monitor the work team’s reports on actual expenses incurred in a performance of their financial functions are:

• Checking bank statements
• Using financial reports
• Collection of invoices and receipts
• Use the petty cash records
• Use of excel based record

Steps which can provide feedback on team’s expenses

Steps or processes which can be used by BRB management to provide feedback on the team’s expenses are (Financial and Budget Management Good Practice Guidance, n.d):

• Budget should be prepared on a monthly or weekly basis
• Actual expenditure results should be compiled to date
• BRB must know its commitment to future expenditure
• BRB must know the balance of how much annual budget is remaining
• Variance analysis

Cost Control processes

• Monitoring all the costs incurred: BRB should need to be tracked the actual costs against the annual goals set in the budget. Such goals may be monthly or weekly, or even years if the project lasts for a long time.
• Managing the time of the project in an effective manner: Time management is important because if the actual costs starting to rise so it means that the BRB production manager is unable to meet the production deadlines.
• Use the information reports which may able to control the costs such as assets, income or wastages in production, etc.

Contingency plan

If the actual plan doesn’t go as planned or if there are any failures in the production department so the business brings out the devised plan which is known as a contingency plan. The purpose of contingency plans is to minimize the effect of failure or damages of production (Walsh, 2012).

There are processes through which contingency plans can be modified:

• Program management: If BRB is implementing the contingency plans so it needs to gather the team or include at least one representative from each department of the company like the directors or managers so that they would decide the objectives.
• Planning: The team will make devised a plan through risk management process or business analytics.