Persectives of Application of Project Budgeting in Commercial Organizations

Abstract

The main purpose of the activities of commercial organizations is to make a profit, but the production volumes are determined by the market laws of supply and demand, due to which the price of products, works, services is formed. Each organization strives to be financially and organizationally stable, but certain risks are inherent in the market mechanism, and these risks need to be planned in the course of business, and be able to manage them. In connection with the foregoing, of great importance for an organization that operates in a market economy, acquires financial planning and budgeting, which are among the most important management functions. The article presents the results of a wide literature review of budgeting, highlighted the features of the definition of various researchers. Also in the article on the example of the organization, the advantages of the project budgeting system and its automation in the SAP system are considered, and recommendations are given on assessing its economic efficiency.