Before asking questions about the resources that are in place within a business for funding design project activity it is useful to examine the general principles of budget allocation within the business. If an organisation does not have procedures in place for assigning budgets to projects or for tracking return on investment it will be difficult to ring fence the funding required to undertake activities such as design.

Evidence that might be accessed

Does the business understand the general principles of budget allocation?

Level 1
There is no evidence of financial planning and budget allocation for any activity within the business

Level 2
The business allocates budgets to project activities but with no review of potential returns

Level 3
Budgets are allocated on the basis of potential return with a limited number of financial procedures in place to help assist in investment decision making

Level 4
Budgets are allocated on the basis of potential return with financial procedures in place to help assist in appraising investments, assessing risk and tracking returns