Expense Matrix Management

The Matrix Budget, (Matrix Expense Management – GMD) is a methodology that contributes to greater budget control and financial resources, effectively helping to implement the company's strategies.

More than a budget control, it is a management model where there is greater responsibility on the part of the company's executives, who effectively have to take greater managerial action to achieve the established objectives.

Like all budget planning, ideally it starts from a strategic plan, or a medium-term strategic objective. It considers that, in order to effectively execute a strategy, we must have the following integrated guidelines:

Where:

Strategy - is related to the long-term goal for the organization:

Eyesight

Mission

Values

Strategic objectives

goals

Indicators

Leadership - A well-defined organizational structure that takes into account the following aspects:

governance

executive leadership

Adequate organizational climate

Organizational culture

people's potential

Knowledge - Capable team with knowledge in performing the following activities:

finance

Human Resources

Logistics

manufacturing

Marketing

Sales etc.

In the elaboration process, we will have the following steps:

In the Matrix budget we will have:

Detailed examination of expenses;
Specific reduction targets for each area;
Challenges compatible with the earning potential;
Burden of proof on managers.

Budget management is carried out through the PDCA

Matrix Budget Principles

Cross control

Focus on Spending Breakdown

Systematic Monitoring

Expenses controlled by two people (owners of entities and packages)

Expenditures are broken down to the level where they are made

Effort directed from systematic comparisons and detailed control of expenses

Entities - Cost Centers

Treasury

Quality

PCP

Commercial

Salaries and

Charges

P

The

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O

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and

s

Travels

Maintenance

Facilities

Liability of Cost Center Owners

Systematic Monitoring

cash management

Audit and Procedures

Expense Control Meetings

Package Liability

If your company is interested in implementing a budget model that really has conditions to align the budget process to execution in your company, please contact us. This methodology, in addition to improving internal controls, will be able to generate a great reduction in costs!