Leadership Management

Running head: leadership Management
Topic: Leadership Management
Name of the Student:
Name of the University
Author note:

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Table of Contents
Introduction......................................................................................................................................2
Plan Financial Management Approaches........................................................................................2
Develop and manage Performance-management process...............................................................8
Reflection on your emotional intelligence.......................................................................................9
Conclusion.....................................................................................................................................11

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Assessment Task-1
Introduction
According to the case study provided of Big Red Bicycle is associated with
manufacturing of bicycle. According to the business the management has set its strategic plan
which aims at to earn $1,000,000 before tax expenses. Moreover, the company is trying to
achieve its competitive advantage by expanding their business by manufacturing into foreign
market. The key focus area of the paper is to assess a master budget which is prepared by the
management of the company. The paper further would demonstrate the clarifications and
discrepancies and further formulating a contingency plan that will be helpful to carry out the risk
that may act as an obstacle for the companies. The paper also focuses on development of
performance management and emotional intelligence.
Plan Financial Management Approaches
Analysis of budget
According to the details provided in the master budget prepared by the management the
amount of sales is $750,000, this is the estimated value in each year. For the year 2011-2012, the
master budget of the company will be compared with the actual expenses and revenues. It is
found out that the sales amount as per the mentioned budget is $600,000, which is during the 1st
quarter of the year; the same is identified for the 2nd quarter which is amounted $900,000. It is
again observed that the sales under the budget are evenly spread but in actual it is not feasible as
the sales of any company generally fluctuates based on the economic condition, demand and
manufacturing quantity. However, the salethat is observed largely varies from the expectation of
the management which owes to economic slowdown in the market. The repair expenses overall

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maintenance which is estimated in the budget is $11,250 is vague and allocated in 4 quarters, by
showing the overall expenses equally in the 4 quarters is also unrealistic as it may so happen that
the in any quarter the company may expense higher amount towards maintenance and repair.
However, the same time it is also observed that there may not be expenses. Moreover, it is
observed that the sales commission is 2% of sales which seems unreal.
Therefore, is required for the sales manager to have a clarification report from the
company management that why did they spread the repair expenses and maintenance over the
quarters 4. The other expense must focus on the other expenses and shall aim on the realistic
basis as all the expenses will show them to estimate the real value of profit. Moreover, the sales
manager must be required to put the correct values which will be based on the real sales and
must change the sales values.
Changes in the budget
Changes that can be made in the budget are as follows:
The company management should make the important changes in the recording criteria of repair
expenses and maintenance as it is vague and unreal that the particular amount of these expenses
will be incurred in every quarter.
It is found that the commission of firm on the sales is for each of the centers which is budgeted
as same, it must be changes to actual one. The firm must implement innovative or new plan for
each centre particularly based on its overall production and their sales level. Moreover the sales
employee centre A should be provided with maximum wages which will keep them motivated.