1.1 BACKGROUND OF THE STUDY
Nestle was founded in 1866 by Henri Nestle having its headquarter in vevey, Switzerland, and today the world biggest food and beverage company employing around 265,000 people and having factories or operations in almost every country in the world which Nigeria is one of them. Nestle being a manufacturing company take consonance of budgeting and budgetary control in order to achieve the budgeted plan of the organisation. Also in a large company like this (i.e Nestle), the budget is usually the responsibility of a budget committee. Normally the Chief Executive is the chairman of the committee, but the responsibility for operating the system is undertaken by a budget offices, and other representative from different apartment. The company, strategy is guided by several fundamental principles, its existing products grow through innovation and renovation while maintaining a balance in geographical activities and products lines.
1.2 STATEMENT OF THE PROBLEM
Two much attention is paid to the techniques of budgeting but greater importance are the behavioural aspects i.e the process accepted to those who have to operate it.
– does it motivate them?
– does it have any effect on their performance or productivity?
– do they feel threatened by it?