BUDGETARY CONTROL SYSTEM AT TECUMESH PRODUCTS INDIA LIMITED

Abstract

This project titled “A Study on Budget and Budgetary Control at Tecumseh Products
India Pvt. Ltd.” is a study conducted at Tecumseh products India Pvt. Limited,
Hyderabad. The purpose of the project is to study the budgetary system in a
Manufacturing Company. The project work consists of introduction to budgets and
budgetary control with various advantages and disadvantages of the same. The study
methodology adopted was both, interaction with both the concerned staff at Tecumseh
Company and also through various manuals and journals published in-house.The
objectives of the study being primarily to understand the budgeting system in a
manufacturing company (concern) and the advantages of the same. To assimilate the
budgetary control system adopted at Tecumseh, and to see the performance of the
company over a period of three years and make suggestions wherever necessary. The
study takes into consideration the budgeted estimates, the revised estimates and actual
figures for some of the important sources of budgetary variance like, sales,
consumption of raw material, salaries and wages etc., The relevant figures are from
the years 2011 onwards which have been taken for the analysis. The analysis of the
budget variations primarily gives an insight into whether there has been an over
estimation or under-estimation of resources allocated, and the reasons for the
variations are evaluated through consultations with the concerned managers at
Tecumseh Suggestions have been made as to, how the existing system can be
improved to have a better control over the budgetary system in the organization