ASSESSING THE ROLE OF BUDGETING, PLANNING, AND CONTROL IN ENHANCING COMPANY PERFORMANCE

The main thrust of the study was to investigate the impact of budgeting, planning and control on performance of manufacturing companies. The focus was on the analysis of the effectiveness of budgeting in the manufacturing industry. The research was prompted by the fact many authors contradict on the fact that budgeting presents organizations with perfect opportunity to control cost and maximize profits It is believed that budgetary controls are corroborated lines of action which enhance effective optimization of scarce financial resources through mobilization of resources towards an efficient attainment of the set financial and operational objectives. This study employed a desktop research methodology. We have located the research of this paper within a qualitative approach (Gay 1992; Babbie 1998; Leedy & Ormrod 2013). This decision was informed by the fact that this paper is not interested in the quantification of data. But its main interest lies in the painting of qualitatively rich picture of the phenomena being studied within the context of limited respondents (Hall 2007; Maserumule 2011; Baugh & Guion 2016). To this end, the problem of this study is explained descriptively and theoretically for the purpose of generating a crispy understanding of the extent to which Budgeting, Planning and Control influence the Performance of Manufacturing Companies. In terms of data collection, the authors sourced and reviewed literature on the topic. Among others, this source included journal articles, books, magazines and newspapers. The study found that budgetary control influences financial performance of MMFs as findings showed that most of the companies practice budgeting in most transactions they make, it was therefore concluded that budgeting provides basis for planning, controlling of expenditures, reduces of wastage of resources hence it increases profits. The significance of this study is that it will provide valuable and significant information on the effects of budgeting, planning and control on financial performance of companies that is required by the company to make effective decision making to improve financial performance.