Budgeting is time-consuming, can lead to quickly-outdated assumptions, and can stimulate unethical behaviours like resource hoarding. Beyond Budgeting is a management philosophy that challenges traditional management practices, specifically the budgeting process.
In this episode, Henry speaks with Bjarte Bogsnes about the problems with budgeting, and how some companies have broken free of the budgeting mindset. Bjarte is a senior advisor at the Norwegian company Statoil, now Equinor, and has been a key figure in developing and promoting the Beyond Budgeting philosophy.
Follow the 12 Beyond Budgeting principles around governance and transparency, accountable teams, goals and rewards, and planning and controls.