The budget information problem is the following: the budgeting problem ( the bonus budget is set at the start of the financial year by the finance team and given to the incentive team to to manage. The budget of the sales department is 24% of the full time employees salary. This is reviewed every quarter due to any over spend or under spend depending on sales. The issue that if there is any overspend the next quarter the agents are then impacted by the incentive scheme been reviewed and lowered. As a department we do not see the budget or have any idea on how the budget is performing. The agents are paid a certain % based on their conversion and revenue. Part of the issue is that the marketing team can send out marketing that drives calls into the call center and this can have a positive effect on the agents conversion meaning that the incentive team are paying out more than they budgeted for within that quarter. When the bonus is reviewed if this negativity effects the agents and team moral can drop, Using the following concepts I want you to analyse the problem. Page 134-135 Week 11 the control loop (i need you to annotate and include a annotated image of fig 11.1 Page 135-136 week 11 The function and possible benefits of budgets. Page 137-138 week 11 the Pyramid of purpose. (i need you to annotate and include a annotated image of fig 11.2) also discuss the limiting factors. Page 141 week 11 The time factor. Also if you look at week 12 if any on the concepts are fit in please use these. Where you analyse using a concept please reference with the following OU, PGXX
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