Caught in this whirlwind, departmental managers rush to burn through their budgets to avoid potential cuts in the upcoming year. This frenzy results in impulsive purchases, rushed projects, excess inventory, temporary hires, lavish team-building events, and premature contract renewals—all while the essential task of creating value for the company gets sidelined.
This rush-job approach stems from an outdated planning system that values appearances over genuine fiscal responsibility.
Idea for Impact: Consider a move towards more flexible, performance-based budgeting approaches by loosening rigid budget structures.