How to make your budgeting or forecasting a success

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Yep, you can make a budget or forecast process fun.  Some of my clients name and shame people who didn't get their budget in on time. They create a list of people who didn't contribute, who submitted their budget or forecast late or who just didn't participate.  I am not a fan of this behaviour, it just doesn't work! It pushes people away, alienating them from your processes even more. And it makes you look like real a...

If the name and shame has failed you, try a different approach.  Give out awards during and after the budget and forecast process.  Before you start the next budget process in your organisation, think of some awards you might like to give out.  Here are some you might like to use:

  1. The last minute dash. Give this award to the person who enters the most data just before the budget deadine.
  2. The Turtle. This award goes to the person who enters data most often and consistently through the budget.
  3. Hyper Organised. The person who completes the budget first.  This is normally the person who is always hyper-organised.
  4. The all-nighter. You guessed it, the person who works mostly at night, the night before the budget is due (this is me).
  5. Same Same. Actuals and Forecast look very much like Budget.
  6. Ten Percenter. 10% revenue increase (CEO always wins this one).

The great thing is that CALUMO captures all this data for you - so judging the awards is a snap!

You can't tell anyone about the awards before you start because you want to award them after the first round of the budget. Since most organisations have at least 2 rounds of budgets, this is OK. Send an email to everyone involved in the budget with the awards listed and the winners. A few minutes later, send the email letting people know it's time to go into round 2 of the budget.

The second round of the budget process will be exceptional. You will see 100% participation, it will be fun and you will get accolade emails from many of the participants saying it was the best budget they have ever been part of (they really want an award).

Now you have created a situation that is fun and satisfying for the contributors. People are engaging better, communicating with you so you can educate them about the budget and forecast process and how it helps them and the organisation they work for. It will also help you reduce budgeting process from 3 months to 1 month when combined with CALUMO. I know because I have helped a number of my clients using this technique.

If you would like help with your budget or forecasting process, drop me a line wleitch@calumo.com.

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