Comprehensive Report: Budgeting Systems and Practices in Public Sector

This report provides an in-depth analysis of budgeting systems and practices within the public sector, focusing on their impact and applicability. The introduction establishes the importance of budgeting for forecasting, strategy development, and policy-making. The research question explores the influence and requirements of budgeting practices in the public sector. A literature review synthesizes findings from various studies, highlighting the evolution of budgeting systems, the influence of socioeconomic factors, and the importance of performance management. The methodology section outlines the research approach, including data collection methods (primarily secondary data) and sampling techniques. The report also includes a time scale represented by a Gantt chart, illustrating the duration of different research activities. The conclusion emphasizes the significance of budgeting for informed decision-making and future planning in the public sector.

Running Head: Financial Management
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Budgeting Systems or Practices in Public Sector

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Contents
Introduction:.........................................................................................................3
Research question:..............................................................................................3
Literature review:..................................................................................................3
Data collection and methodology:........................................................................7
Time scale:...........................................................................................................8
References:........................................................................................................10

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Introduction:
Budgeting is a process in which plans are created to spend the money on
future expenditure of the public sector. The spending plan is basically called the
budget. The creation of such plans makes it easier for the related parties to forecast
the future, measure the changes in the future and makes the better strategies and
polices accordingly. Basically, it is a plan in which the expenses are planned on the
basis of the availed income of the public sector. the views about the public budget
and need of the budget has been changed over the tie, Earlier, the budget used to
be prepare in order to manage the various political, economical, administrative and
accounting department of the public sector. After that, various other points about the
public budget have been discussed. It has been found that the public budgeting is
one of the most functional items in the public system.
In the research paper, the study has been done on the budgeting system and
the practices of the budgeting system in public sector. The report analyzed the
budgeting and budgeting system with special reference to the various companies in
the UAE market and their applicability in public sector.
Research question:
Research question defines about the main topic of the research. In this
research paper, the research questions are as follows:
How the budgeting practices and system make impact on the public sector.
What is the applicability of the budgeting practices on the public sector?
What is the requirement of the budgeting practices in the public sector?
Literature review:
Literature review is the main key of the research paper which defines what is
the point of view of other researcher about the particular topic and the question? In
order to conduct the literature review study, the below papers have been studied and
the below findings and summary has been found:

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Author
(year)
Dependen
t variable
Independen
t Variable
Sample Findings Further
Research
(Yrd. Doç.
Dr. Muhlis
BAĞDİGEN
, 2001)
Public
sector and
the
applicabilit
y on the
public
sector
Budgeting
system and
the practices
TBS, PBS
and PPBS
It has been
found that
the
development
of the public
budgeting
and
applicability
in the public
sector is a
phenomenon
.
The further
research
must be
done on the
information
technology
and the
advancemen
t in the
budgeting
methods.)
(Wouter
Van
Dooren,
Geert
Bouckaert
and John
Halligan,
2015)
Public
sector
Budgeting
system and
the practices
Chicago
public
sector
companies
The
performance
of the public
sector is the
talk of the
town and the
budgetary
methods are
the main
while affects
the
strategies
and policies
of the public
sector.
The
research
was limited
to little
organization.
(Jane Public Budgeting Journal It explains Selected 8

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Broadbent
and James
Guthrie,
2008)
sector system and
the practices
articles
from 1992
to 2006
that the huge
changes
have
occurred into
the
budgetary
system and
the
application of
the
budgetary
system
which gave
affected the
public sector
at micro and
macro
economical
level.
journals
have been
studied in
the research
which
doesn’t offer
qualitative
judgement.
(Frank H.M.
Verbeeten,
2008)
Public
sector
Budgeting
system and
the practices
Public
sector
companies
at
Netherland
s market
The research
explains that
the
measurable
and clear
goal of the
government
is mainly
associated
with the
quality and
quantity
performance.
The survey
is based on
the
Netherland
companies
and thus the
outcome
could differ
at different
countries.

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It explains
that the
public sector
organization
s are
affected by
the
budgetary
report and
the
economical
factors a lot.
(Mark
Bevir,
2011)
Public
sector
Budgeting
system and
the practices
Governmen
t
techniques
and
changes in
the public
sector in
last 20
years.
The changes
in the
government
structure
majorly
depend on
the methods
and changes
in the
government
and public
sector
policies.
Theories of
governance
and other
public
economical
factors must
be studied
further.
BAĞDİGEN, 2001, has explained into their study that socio economic factors
affect the perception of the budgeting system in the public sector. Secondly, it
explains that in context with the time horizon, identifying the budgeting system is not
easy. In last few years, various changes have come up in the budgeting system and
their methods, Lastly, the public sectors are still following the traditional method to

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make the budgeting reports which could affect the overall result of the budgeting
reports, the main limitation of the research paper was that it has not taken the
concern on the recent technology and other macro economical factors while making
the conclusion.
Further the research paper of Van Dooren, Bouckaert & Halligan, 2015, have
been studied and it has been found that the performance is pivotal in the public
sector which could be reformed along with the changes in the public sector polices
and applicability of the methods. It explains that the applicability of better budgetary
system make it easier in the business to reach over better conclusion.
Along with that, the study of Broadbent & Guthrie, 2008, have also been
studied. They have considered the past 20 years changes in the public sector
companies because of the budgeting methods and it has been found that the huge
changes have occurred into the budgetary system and the application of the
budgetary system which have affected the public sector at micro and macro
economical level. It is important for the research to evaluate all the factors while
reach over a conclusion about the applicability and implication of the budgetary
system on public sector companies.
Data collection and methodology:
Research methodology:
The main concern of the research paper is to design and examine the
budgeting system and their impact and applicability on the public sector along with
consideration of programming, planning and budget system. The paper mainly has
two sections. One of them is related to develop the general characteristics or
budgetary system, especially in the case of PPBS and the other section is related to
the PPBS in the public sector.
Data collection:
The data methodology and research methodology is the crucial strategy in
order to gather the information related to the research topic and measure them to
reach over a conclusion about the research topic. The research methodology
strategy must be chosen by the researcher after investigating on the various factors

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so that an efficiency outcome could be achieved. There are various methods and
process available for the better research methodology which includes the research
philosophy, research techniques, data collection methodology, sampling etc. The few
of the strategies ad method of research methodlog6y have been followed in the
paper to reach over a conclusion.
Sampling:
The data collection method has been taken into the context to measure that
how the information and the facts and figures would be gathered and measured in
the report. The data collection method mainly includes 2 methods which are primary
data collection method and secondary data collection method. In the data collection
method primarily, the information are gathered by the researcher on the basis of the
new data which has been acquired by the researcher through their own investigation
whereas, in case of secondary data, it has been observed that the already collected
and investigated information are altered by the researcher on the basis of their own
topic. In this research, the secondary data has been taken into the concern because
of the availability of the data and less time available. Both the methods are basic in
order to meet the goals and the objectives of the research.
Further, the sampling study has been done. Sample defines about the total number
of population or the other factors which have been ain focuses while conducting the
study and on the basis of which a decision has been made in the business. In the
research paper, the legislative and government tool has been studied to identify the
applicability and impact level of the budgeting on the public sector.
Time scale:
Time scale is crucial measurement in the research design. It takes the concern
on the total available time for the study and divide the time on different activities in
such a manner that an efficient outcome could be achieved. It evaluates all the
activities and the time consumption level in each of the activity to get the better
outcome and meet the objectives of the research paper. The below given Gantt chart
represent about the total time of each of the activity in the research:

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Figure 1: Time Scale chart
The above given time scale chart defines that how much time would it take to
the research to be undertaken. It explains that the highest time would be taken by
the literature review and the data collection methodology which are the main factors
of a research paper. The time availability was lower in the research and thus the
quality of the literature can’t be assured.
Conclusion:
To conclude, the budgeting is a crucial practice in public sector and the
companies in order to forecast the future and make better decision about the future
performance of the public sector. It makes it easier for the public sector and the
stockholders to reach over the better conclusion.

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References:
BAĞDİGEN M. (2001). BUDGETING SYSTEMS AND THEIR APPLICABILITY IN
PUBLIC SECTOR. Retrieved from:
https://www.researchgate.net/publication/228300855_Budgeting_Systems_and
_Their_Applicability_in_Public_Sector
Bevir, M. (2011). Governance as theory, practice, and dilemma. The SAGE
handbook of governance, 1-16.
Broadbent, J., & Guthrie, J. (2008). Public sector to public services: 20 years of
“contextual” accounting research. Accounting, Auditing & Accountability
Journal, 21(2), 129-169.
Van Dooren, W., Bouckaert, G., & Halligan, J. (2015). Performance management in
the public sector. Routledge.
Verbeeten, F. H. (2008). Performance management practices in public sector
organizations: Impact on performance. Accounting, Auditing & Accountability
Journal, 21(3), 427-454.