Are Budgets Bad for Business?

Here's an oldie but a goodie... an opposite view of "Budgeting is good for business";

1. They control the wrong things and miss the right ones.

2. They erect walls.

3. They assume that everything is translatable to dollars, but just because a budget was not over spent, doesn't mean that it was well spent.

4. They create distorted behavior, managers do incredibly stupid things to make budget.

5. They do not measure value creation.

(source: “Why Budgets Are Bad for Business,” Fortune, June 4, 1990)