3 Essential Budget Management Skills For Managers Trying to Get More Budget
You can't hit goals without enough budget. But they don't teach you how to go get it. Learn the 3 core skills you need to make a case for more budget.
You know how to spend money.
But do you know how to get it? Most managers get hung-up just tracking their expenses. You don't spend enough time making a case for more budget.
Here are 3 budget management skills that will help you get enough budget to hit your goals:
1. Connecting the dots from the company strategy to your own
Your CEO and CFO control the budget.
And everyone is competing for the same dollars. You need to make a case - why will your team will turn that money into results better than anyone else?
The key is to speak your CFO's language.
It's difficult to compare sales, marketing, and IT. How would you decide if you should invest in more deals, leads, or features? By translating these into company goals like total customers, cost per customer, or average contract values.
Make it easy for your leadership team and your plan will stand out.
2. Writing a business plan
A business plan is a story with data. There are 4 elements:
Strategy and tactics are the story. Budgets and goals are the equation. Money in -> results out.
You need both to make a compelling case.
3. Adjusting your plan to reality
Your plan will be wrong on Day 2.
Most managers get hung-up just keeping track of goals and budgets. But that's less important than deciding what to do next. Will you adjust your plan, or stick with it?
This isn't entirely your fault.
The tools you have make tracking spend time-consuming. And they don't teach you how to write budget proposals in school. But remember - staying on budget doesn't matter if you don't hit your goals.
Spend less time tracking budgets, and more time making a case for more.