This report delves into the crucial role of budgetary control in the hospitality industry. It examines the process and purpose of budgetary control, highlighting its importance in resource allocation, departmental planning, and identifying deviations from set standards. The report further analyzes variances from budgeted and actual figures, focusing on sales, material, and labor variances. It identifies the reasons behind these variances and provides practical suggestions for future management action to mitigate them and ensure business success.