Managing Public Sector Budgets and Cost Centres

Overview

This course focuses on accrual output budgeting in the Queensland Public Sector (QPS), the reasons why and how it was implemented, and the benefits accruing (excuse the pun) from it. It looks at the knowledge and skills to be mastered in order to manage a budget in the context of both operational and financial performance. Basic financial management and financial analysis (including balance sheet management) are also incorporated into this highly interactive course.

Course Content

This course provides a refresher of accrual accounting concepts, and of accrual output and cash budgeting. It covers funding sources and types, capital budgeting, asset management and operating budgets, forecasting, cost centre management, program and project budgets and budget analysis and reporting (including variance and trend analyses). It then examines the relationship between operational and financial performance and outlines the QPS budget planning cycle and process. It also assists participants to appreciate not only what financial statements are, but what they tell us, and how to use them in managing a budget.

Course Outcomes

By the end of this course attendees should be able to:

• understand accrual accounting concepts and the difference between accrual output budgeting and cash budgeting
• understand the relationship between operational and financial performance
• describe the QPS budget planning cycle and the role of the Cabinet Budget Review Committee
• demonstrate a basic understanding of accrual output budgeting, budget analysis and reporting
• describe three common, simple but effective methods of forecasting
• define a cost centre and the benefits arising from the use of cost centre hierarchies
• prepare an accrual budget and develop innovative solutions to budget problems

Benefits to your organisation

• increased budgeting and financial management capability
• improved financial management decision-making and productivity

Benefits to you

• an understanding of accrual output budgeting
• basic budgeting and financial analysis skills you can readily apply in the workplace