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Reviewing individual business units and benchmarking them against one another is an important process to verify that investment levels are still appropriate. Working as a business controller I frequently facilitated management reviews. The goal then was to assess if teams had the appropriate amounts of resources. A business that was underperforming and that saw few growth opportunities might find their resources reallocated whilst a high growth area might have a business case for incremental investments. To normalize for variations growth potential and risk various techniques were used. An internal finance function might develop this point of reference in the form of a forecast or “budget”.


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