An example If a company sets its budget for the year based on revenue of $1 million, but actual revenue comes in at just $500,000, then that company's budget can't simply stay static.

By performing a variance analysis, you can turn a bad month into good insight, improve business performance, and perhaps catch up before the year’s end. How to Analyze Budget Variances ...

Flexible budget variance analysis can be a powerful tool for helping hospital managers to understand the causes of variances and to minimize these variances in the future. Journal Information Health ...