Developing Budgets Key Performance Indicators (KPIs)

A budget is a systematic method of allocating financial, physical and human resources to achieve strategic goals. Companies develop budgets to monitor progress toward their goals, help control spending, and predict cash flow and profit. The central challenge budget developers face is mapping out the future, something that can never be done with perfect precision. The fast pace of technological change and the complexities of global competition make developing effective budgets both more difficult and more important.

This benchmarking tool contains two examples that focus on cost-based, quality-based and timed-based performance measures for developing budgets.