The Impact of Traditional Budgetary Control On the Profitability of XYZ Ltd

The Impact of Traditional Budgetary
Control On the Profitability of XYZ Ltd

TABLE OF CONTENTS
CHAPTER 3- RESEARCH METHODOLOGY.............................................................................3
Introduction.................................................................................................................................3
Research Strategy........................................................................................................................3
Research approach & philosophy................................................................................................3
Sampling Procedure....................................................................................................................4
Conceptual Framework...............................................................................................................4
Qualitative Research – Factor Definition....................................................................................5
Data and Data collection.............................................................................................................5
CHAPTER 4: DATA ANALYSIS..................................................................................................6
CHAPTER 5: CONCLUSION AND RECOMMENDATIONS...................................................23
REFERENCES..............................................................................................................................28
APPENDIX....................................................................................................................................29

CHAPTER 3- RESEARCH METHODOLOGY
Introduction
Research methodology is related with having the specific procedure that is taken into consideration for identifying, selecting.
Processing and evaluating information about a particular subject matter. The current study will involve research strategy, sampling
procedure, conceptual framework, data collection, evaluation technique, etc. so that significant understanding can be derived.
Research Strategy
There are basically two types of the research which can be taken into considerations by the organization in respect to gain the
proper understanding for accomplishing the objectives which involves qualitative and quantitative. The qualitative type of study is
widely taken into process for collecting the theoretical study. Quantitative type of research is used to get the numerical & fact based
data. For the current study regarding impact of traditional control on profitability is theoretical concept so that significant ability gain
relevant & reliable information can be derived. This has permitted the scholar to get the understanding about theories and framework
in turn depth knowledge to meet highlighted objectives can become possible. Qualitative research type is highly taken into procedure
by the businesses for gaining the proper understanding for ensuring that reliable report can be formulated. Ascertaining impact of
budgetary control over the revenue system and mitigation strategy to overcome the challenge of significant negative of variation
between actual performance & budgetary planning can be exerted in effective manner. Collection of non-numerical data for this
purpose can allow to get the accurate and fair understanding about the research in assessing accurate impact on profitability due to
traditional budgetary control can be derived.
Research approach & philosophy
Inductive and deductive are the two research approaches which can be taken into process for understanding the process taken
into consideration for carrying out the research. For recent study the focus has been provided on having utilization of inductive
approach so that appropriate conducting of research can be exerted. There are two form of philosophies such as Interpretivism and

positivism which aids in meeting objectives in accurate manner. Interpretivism is suitable in order to asses the impact of traditional
budgetary control on profitability of specified organization.
Sampling Procedure
Sampling is basically selection of group from the total population in order to collect the accurate and reliable data from
suitable people. There are different kinds of the technique which can be taken into procedure for collecting data from the sampling
size that involve probability and non probabilistic. In order to collect the data from the selected groups such as CFO, production, sales,
procedure manager and CEO. These have been selected by simple random sampling technique which is part of probability precise
views and opinion regarding the impact of traditional budgeting on profitability can be ascertained. This is helpful in gaining the non
bias information in respect to get the significant ability to evaluate impact of traditional budgetary control on profitability of
mentioned enterprise. In order to conduct the research in highly effective manner utilization of simple random sampling aids scholar to
ensure that bias based behavior can be avoided. The main reason behind such benefit is that there is involvement of selecting
participants on random basis via eliminating aspect of giving preference to anyone. This contributes in achieving relevant information
about the prevailing circumstance so that meeting objectives and assessing answer to research questions can be done.
Conceptual FrameworkHas impact on
organizational
efficiency &
effectiveness
Has impact on
organizational
efficiency &
effectivenessTraditional budgetary control
Traditional budgetary controlHave
influence on
profitability
Have
influence on
profitabilityChange Change
Factors
 Lack of Planning
 Lack of co–
ordination and
management
 Monitoring the
Financial
condition

Budgetary control (dependent variable)
On the basis of the above prepared conceptual framework it can be identified that these are the main causes which is leading
to impact the budgetary control. This is affecting the profitability of XYZ in adverse manner. It is important in gaining significant
knowledge about the aspects regarding which are the root causes that is impacting traditional budgetary control and affecting the
profitability of enterprise . In order to get accurate ability to influence profitability in positive pattern it is important to give focus on
these aspects so that higher ability to get positive outcomes can become possible. The reason behind considering these as lacking
aspect as ineffective planning coordination & management and irrelevant level of monitoring hampers functioning of enterprise.
Qualitative Research – Factor Definition
Factors Phenomenon
 Lack of Planning This can be measured by ability of firm to
conduct operational practices
 Lack of co–ordination and management level of outcome derived on profitabilityImpacts
Impacts

 Monitoring the budget Improvement actions conducted.
Data and Data collection
Data collection is gathering the information for attaining the research questions in effective manner in turn reliable
formulation of study can become possible. There are two ways in which data is collected such as primary and secondary that permit
receiving significant level of data in turn attaining objectives can become possible. The primary method is related with gathering
information particular for the specific topic which has not been utilized before. This can be done via using methods such as
questionnaire, interview, observation n and focus group. For the present research report, researcher has paid attention on spreading
questionnaire to the selected sampling size in respect to gain insights about their views, opinion and experience regarding impact of
traditional budgetary control on profitability of firm. Secondary research is associated with using articles, journals and books in turn
ability to support the collected data can become possible. These both specified method has been helpful in meeting the objectives of
achieving relevant and reliable information to conduct study.
Data analysing methods and techniques
For the purpose of analyzing the data, there are two ways of the techniques which is widely taken into procedure by the
scholar that comprises thematic sampling technique and SPSS. For the qualitative study the thematic perception test technique is
suitable which is related with referring to the response gathered through survey, graphical presentation so that findings can be
supported to LR. On the other side, SPSS is used for having descriptive statistics, regression, correlation, etc. in addition to this, it
can be interpreted that current study has taken thematic analysis into consideration for achieving appropriate information in tun better
reliable formulation of report has become possible.
Ethical consideration

There are various ethical requirements which are required to be taken into consideration by the researcher in respect to give
emphasis on developing fair research. For this purpose the consent form has been signed by the targeted audience. Data has not been
copied and maintained privacy details of targeted audience. This has lead to conduct fair & reliable study to meet objectives.
Reliability and validity
For maintaining the reliability & validity of the research scholar has given emphasis on using the latest sources, no alteration in
data gathered, and copy right sources utilization. This is helpful in making the significant report in turn achieving appropriate
knowledge to meet aim of study has become possible
Research limitation
The research limitations comprise time, access to resources and availability of limited monetary source. This has been highly
considered by scholar for meeting accurate knowledge via ensuring optimum utilization of resources o that better outcomes can be
offered.

CHAPTER 4: DATA ANALYSIS
Reliability test
Case Processing Summary
N %
Cases
Valid 100 100.0
Excludeda 0 .0
Total 100 100.0
a. Listwise deletion based on all variables in
the procedure.
Reliability Statistics
Cronbach's
Alpha
N of Items
.725 12
Statistics