Budgeting & Cost Control

The final section of the course concentrates on budgeting and cost control and aims to improve your ability to prepare departmental and company wide E&P budgets and to control and analyse the costs incurred within an E&P company. Particular emphasis is placed on understanding the nature of costs that are unique to an E&P company and how these costs behave under different conditions. Realistic examples are provided to encourage you to develop a model of good budgeting and cost control practice that can be applied back in the work place. The E&P Budgeting section incorporates a team exercise which simulates the preparation of the annual budget of an E&P company.

It is not a pre-requisite that you have previously attended our Level 1 course but this normal progression is strongly recommended. The Level 2 course should be attended by:

• those who have attended our Level 1 course and who now feel ready to progress to a more advanced level of knowledge and understanding
• those with a good foundation knowledge in the subject area of each module.

Companion courses available are Exploration and Production Accounting Level 1, Exploration and Production Accounting Level 3 and Auditing in the Exploration & Production Industry.

Financial Planning and Control
• Understanding the context, objectives, principles and processes of financial planning and control

E&P Company Budgeting
• Different approaches to budgeting, including incremental and zero-based
• How to develop a budgeting methodology
• Different kinds of E&P budgets
• How to evaluate the output from budget preparation

Departmental Budgets
• How to prepare a departmental budget

Cost Control
• The nature and behaviour of costs
• How to report, monitor and control costs
• E&P company variance analysis

Performance Measurement
• The Balanced Score Card
• Key Performance Indicators

Click the button to find out the duration, dates, cost and locations for the course.