Cost and Budget
Budgeting plays an important role in achieving organizational change by utilizing resources efficiently. With the help of a budget, leaders can conduct a financial analysis to ensure they have sufficient funds to implement a project’s deliverables. A well-detailed budget can improve performance and provide useful insights for decision-making by calculating revenue versus expenditures, taking into account seasonal fluctuations, and monitoring cash flow. Watt (2014) highlighted the role of successful project managers in balancing the financial needs of the project “not running out of money and not underspending” it (p.14). Spending money strategically and according to a project budget is a vital aspect of change management helping prevent projects from overspending or misspending in areas that do not line up with its vision and mission.