The role of the budgeting process on organizational performance. Case study: Centenary Rural Development Bank Kasese branch

Abstract

The main purpose of this research was to examine the role of the budgeting process on organizational performance. The study was based on the research conducted in Centenary Bank, Kasese branch as the case study. It was based on three specific objectives which included: to explore the effect of budget preparation on organizational performance, to examine the effect of budget approval on organizational performance and to find out the contribution of budget implementation and control on organizational performance. The researcher used methodology for data collect which included the case study design, used both the qualitative and quantitative approaches for collecting data, the interview guide and the questionnaires were the research tools that were used and data was analyzed using SPSS (16). In the findings, the research revealed that there was a positive effect of budget preparation on organizational performance, the findings also showed a positive effect of the budget approval on organizational performance and a positive effect of the budget implementation and control process on organizational performance. The researcher also suggested that the budgeting process should be taken seriously at all levels of operations so as to achieve the stated goals.