Reply to at least one of your classmates response providing additional support as to how they can become stronger in their financial knowledge. Your reply should be a minimum of 75 words and it should use a hypothetical (make believe) story specifically related to the classmates post you’ve decided to comment on.
From the case study this week I can best relate to Jean in the story. Jean is more relatable to me because I am naturally attracted to finances/budgets because it makes sense to met. I have always liked working with numbers because it is something fixable it is something that can be explained through a process of how you come to the end result. The approach that Jean tells Hector makes complete sense to me. I’m a naturally organized person and her plan of analyzing last year’s budget seeing the differences and getting input from other workers seems great. The fact that at the end she told him to send her a copy in case he wanted an outsider’s opinion is her going the extra mile.
The first concept from this chapter that would further help development and growth in the financial area is that of a business plan. A business plan is an outline that is used to launch maintain or expand the activities of an organization(Fallon Begun & Riley 2013 p.274). The concept of a business plan is crucial because this is the first step in being able to do anything. From the case study a business plan would be the first thing that needs to be done before everything else that Jean had said. The second concept from this chapter that would further help development and growth in the financial area is that of budgets. Budgets include objectively defined measurable projections of resource allocations and use obtainable data in their creation(Fallon Begun & Riley 2013 p.284). Budgets are important because they are the monetary plan of an organization on how to achieve their goal.
Fallon L.F. Begun J. W. & Riley W.J. (2013).Managing health organizations for quality and performance. Burlington MA: Jones & Bartlett Learning.
When it comes to budgeting and finance I can best relate to Jean. Just like Jean I like to be organized so I have an idea of what is going on in the business that way you can spend money in accordance with your values. Assessing your financial status is vital because it will help you determine the success and failure of the organization. We can start at reviewing into prior years budgeting information to gather any information that will tell us about our budget. By looking into the historical cost we can view the changes that have occurred over time to get a better understanding of our operation. In order to see growth in our operation creating a business plan would be very useful for the organization. Business plans provide guidance to organizations just starting out as well as those that have been in the operation (Fallon Begun & Riley 2013). A business plan will help us achieve our goal. It consists of financial statements balance sheet statement of cashflow statement of retained earnings and anything related to the operation. Budget comes with two common approaches: incremental and zero-based budgets. Incremental budget modifies an existing budget usually the current or immediately previous one (Fallon Begun and Riley 2013). As stated earlier we can use existing budgets to get a better understanding how our organization is doing financially.
Fallon L. F. Begun J. W. & Riley W. J. (2013).Managing health organizations for quality and performance. Burlington MA: Jones & Bartlett Learning.