Orçamentação nos hotéis do Algarve: Alinhamento com a prática internacional

Budgets are an essential tool for planning and control, performance evaluation, communication, coordination and staff motivation. Despite their importance and wide use in the hotel sector, research into the budgeting practices of hotels located in Portugal is scarce. This study analyses the budgeting practices of hotels in the Algarve. Data collected through a structured questionnaire submitted to financial managers shows that budgets are widely adopted; however, they are mainly produced for the short term. The primary reasons for preparing budgets are performance evaluation, target setting, control and short-term planning. Few hotels use zero-base budgeting and there is also little use of flexible budgeting. Budgets are viewed as one of the main performance indicators. The findings are in line with the conclusions of previous studies.