ABSTRACT
The success of every organisation depends on the managers’ effectiveness. In recent times, budgeting and budgetary control have become effective management tools in achieving organisations’ objectives. Budgeting has stimulated future-oriented perspectives in planning decisions of managers. By looking to the future, managers are able to anticipate and use planning to correct potential problems before they arise. This will enable them to focus on exploiting opportunities instead of managing problems. It is the focus of this study to determine how budgeting and budgetary control help to achieve managerial effectiveness. Survey design was used in the study and data were generated by means of questionnaire to seventy-five management staff of selected manufacturing companies. Two hypotheses were formulated and tested using the Pearson chi- square statistics. The study found that there is relationship between budgetary control and managerial effectiveness. It also established that budgeting and budgetary control mechanisms do assist in achieving managerial objectives for an organisation. It is recommended that
effective cost measures should be employed to achieve effectiveness and efficiency of operations.
KEYWORDS: Budgeting, Budgetary control, Managerial effectiveness, Nigeria
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