What is the process of budgetary control primarily aimed at?

The process of budgetary control is primarily aimed at comparing actual financial performance with the budget. This involves measuring the actual results against the planned financial activities specified in the budget, allowing organizations to identify variances. Such comparisons provide critical insights into how well the organization is adhering to its financial plans and objectives.

By systematically analyzing differences between budgeted and actual figures, management can diagnose issues, adjust forecasts, and take corrective actions as necessary. This process is essential for maintaining fiscal discipline, ensuring resource allocation aligns with strategic goals, and making informed financial decisions moving forward.

In contrast, increasing tax revenue, enhancing external communication, or minimizing expenditures without evaluating performance do not capture the fundamental purpose of budgetary control, which is rooted in performance measurement and management through comparison.