1. What is the difference between strategic planning and operating budgeting? ?
Both the processes forms part of organization's planning. Strategic planning defines its strategies and pursues them while the operating budget is concerned about the availability of funds and it's taking control of them.
|Strategic planning||Operating budget|
|1. It keeps focus on day-to-day operations.||1. It keeps focus on company's financial plan and it controls its available funds.|
|2. It's a long term process say for more than a year||2. It's a short term process say for less than a year|
|3. It generalizes the company's plans||3. It specifies the company's infllow and outflow of funds.|
|4. Planning occurring at the corporate level is strategic planning||4. Planning occurring at the functional level is operating budgeting|
|5. It's an extroverted approach||5. It's an introverted approach|
|6. This is taken care by the top level management||6. It's taken care by the middle level management|
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