Answer to Question #10852 in Economics of Enterprise for Harry G Williams

Question

describing the individual, corporate, and government financial management impacts of the upcoming 2012 presidential elections

Answer 1

Under the Local Government Act 2009, local governments are required to adopt and
implement a corporate plan. The programs under their control will have either a
functional or a service orientation, and councils must have a corporate
structure appropriate to the conduct of their affairs.

Councils also are
required to adopt an operational plan and a budget which reflects, and is
consistent with, the objectives of the corporate plan. The corporate plan also
reflects the direction of the community plan (see module 6).

Corporate
planning helps a council to understand its present situation, to examine how
current and future trends may affect it and to decide how best to manage
anticipated challenges. Corporate planning identifies where a council wants to
be in the future and provides information about how it will get there based on
available resources.

Corporate plans enable councils to further inform
and negotiate with stakeholders and the community to ensure the community
consultation process is open and transparent.

Planning is a vital
component of sustainability. The corporate plan is embedded within the financial
management, planning and accountability documents of council.