SITXFIN010 - Prepare and monitor budgets
Nominal hours
Location
Industry
Prerequisites
Co-requisites
(Corequisite units must be studied concurrently with this unit)
Overview
This unit describes the performance outcomes, skills and knowledge required to analyse financial and other business information to prepare and monitor budgets. It requires the ability to draft and negotiate budgets, identify deviations, and manage the delivery of successful budgetary performance.
The unit applies to all tourism, travel, hospitality and event sectors. The budget may be for an entire organisation, for a department or for a particular project or activity.It applies to senior personnel who operate independently or with limited guidance from others and who are responsible for making a range of financial management decisions.
Assessment
For Melbourne campuses
Assessment tasks will be designed to reinforce & extend knowledge and skill competence within set & controlled parameters in accordance with each units learning outcomes & performance criteria requirements, including the setting of work based practical application tasks designed to provide evidence of competence outcomes, within periodic and scheduled timelines.
Students will be expected to demonstrate the following required skills:
- prepare a budget for a business that meets the specific business’ needs
- include the following when preparing the above budget:
- consultation on components
- analysis of factors that impact on the budget
- completion of draft and final versions of budget within designated timelines
- monitor and review the above budget against performance over its life cycle.
Students will also be expected to demonstrate the following knowledge:
- types of budgets:
- cash
- cash flow
- departmental
- project
- purchasing
- sales
- wage
- whole of organisation
- budget terminology
- role and nature of budgets
- budget formats, budget performance and financial reports
- financial reporting procedures and cycles
- features and functions of accounting software programs used to prepare and monitor budgets
- internal and external factors that impact on budget development:
- growth or decline in economic conditions
- human resource requirements
- new legislation or regulation
- organisational and management restructures
- organisational objectives
- scope of the project
- shift in market trends
- significant price movement for certain commodities or items
- supplier availability and cost
- budget preparation and monitoring practices and techniques:
- sources and contents of data required for budget preparation:
- competitor research
- customer or supplier research
- declared commitments in areas of operation
- financial information from suppliers
- financial proposals from key stakeholders
- income and expenditure for previous time periods
- departmental, event or project budgets
- grant funding guidelines or limitations
- management policies and procedures
- organisational budget preparation guidelines
- performance information from previous periods
- techniques for making budget estimates
- common reasons for deviations and budget deviation management.
Required reading
The qualified trainer and assessor will provide teaching and learning materials as required in the form of workbooks produced by Victoria University and/or via the Victoria University e-learning system.
As part of a course
This unit is studied as part of the following course(s):