Reading Time: 4 minutes

When one thinks about budget, many relate it to household finances. Or planning for a monthly expenditure type of budget. However, the word takes a much larger role when seen from the perspective of a national economy. For example. The types of budget utilized by the governments also become potent engines. Of livelihood for managing the nation’s finances. Ensuring development and locating funds for areas in need of help.

In the content that follows, we shall enter into a detailed discussion. Of the different types of budgets pertaining to India. Explaining them in simple, comprehensible terms. Thus, if you are a student, an interested reader, or in the early stages of becoming an economist. This blog is right for you!

What Is A Budget?

The Budget is a financial statement of the excess estimated income and expenditure. Charged against those incomes for an accounting period, generally for a year. For the government, a budget is a document where the government’s expenditures. How much money is expected to be earned (through taxes, loans, and so forth)? And how it plans to spend it (on infrastructure, welfare, defense, and so on).

Importance of Budgeting

The importance of budgeting is due to the fact that it:

• They reflect government priorities.
• They provide economic stability.
• They promote social welfare.
• They ensure optimal allocation of resources.
• They ensure transparency and accountability.

Type of Budget in India

Let us break down the major types of budgets existing in the financial system in India:

Union Budget

The most significant budget in India. And it details the revenue and expenditure expected by the central government. In the ensuing financial year.

The budget is divided into 2 parts:

Revenue Budget

This includes revenue, expenses, and net anti-legal gross receipts. Essentially used for revenue support and income support.

Capital Budget 

Relates to budgetary capital receipts. And capital expenditures (like building roads and infrastructure).

State Budget

Every state in India also has its own State Budget introduced by the State Finance Minister. It functions in a similar manner to the Union Budget. At, state level and, therefore, covers all expenses and revenues state-wise.

Interim Budget

A budget that is not a full-fledged one but is introduced by the government. When it has a term of less than a year, as in, case of elections. It gives an estimate for a short period. Ensuring the continuation of most essential functions.

Key Feature: It will encompass complete accounts but no major policy changes.

Vote on Account

The Vote on Account is a temporary provision. Parliament allows the government to withdraw funds for a very short period of time. Usually equivalent to 2 months until the full budget is cleared.

Supplementary Budget

This is when the government promptly needs more money. Then the original budgeted amount. Here, such additional expenditure is introduced.

Zero-Based Budgeting (ZBB)

In contrast to last year’s figures, which is what traditional budgeting relies on. Every cost incurred for evaluation within Zero-Based Budgeting. Usually has to be justified afresh. This method prevents unnecessary spending. Promotes cost-effectiveness. Encourages a fresh look at every program:

Performance Budget / Outcome Budget

It reflects the results or the outcome of spending by the government. It does not merely show where and how money was spent. But, rather, illustrates the achievements and impacts of the expenditure.

Gender Budget

It shall make gender budgeting and equalisation of sexes through focused programme interventions.

Green Budget 

Environmental budget, whereby it is concerned with spending on management. Of environmental aspects such as climate change and conservation. It is very important to mention in a changing globalized world. That has become increasingly beleaguered by global warming and pollution problems.

A Quick Recap on All type of Budget in India

Type of Budget	Focus Area
Union Budget	National income and expenditure
State Budget	State-specific planning for finances
Interim Budget	Temporary budget in lieu of election
Vote on Account	Temporary permission for payments by the government
Supplementary Budget	Extra finance post-budget
Zero-Based Budget	Justification for each expense from scratch
Performance Budget	Evaluates the performance in terms of expenditure
Gender Budget	Women-related allocations and programs
Green Budget	Environment-related policies and expenditures

Conclusion

Knowing the types of budget becomes important in understanding the financial operation. These budgets represent the aspirations, priorities, and commitment of the government. Toward growth and welfare. Environmental goals, gender equality & economic growth. Or Digital India—each of these types of budgets forms the medium to realize these ends. An understanding of different types of budget is a great place to start.

FAQs

Q1. What are the type of budget in India? List them. 

India has its Union Budget, State Budget, Interim Budget & Vote on Account.

Performance Budget, Gender Budget, and Green Budget.

Q2. What is the difference between the Union Budget and the State Budget?

The Union Budget deals with the finances of the nation brought out by the central government. While the State Budget holds good for distinct states. And is brought out by the respective state government. 

Q3. What is a Vote on Account?

This is an interim budget that allows the government to run. Until the main budget is approved, it usually covers expenses for around two months.

Q4. What is Zero-Based Budgeting?

Zero-Based Budgeting justifies each and every expense from the building block of zero. It does not carry forward last year’s expenses. And it is good for planning resources efficiently. 

Q5. Why is the Green Budget important?

This heavily endorses financing for environmentally friendly projects. To combat climate change and follow sustainable performance development.

 

Reading Time: 4 minutes

Carbon emission, particularly CO2, are essential contributors to climate change. Mainly brought about by the ever-increasing use. The central greenhouse gases trap heat in the atmosphere. However, human activity has increased the greenhouse gas effect. Causing the alteration of general temperature conditions around the planet. 

What is the Greenhouse Effect 

This refers to a natural phenomenon that allows the trapping of certain gases. In the atmosphere of the Earth. To absorb heat emitted. This is one reason why our planet cannot remain too cold for the existence of life without this effect. 

However, the most important development is anthropogenic activities. Magnified this natural phenomenon, leading to the rise in temperature. And those from transportation and energy consumption.

Distinguished Greenhouse Gases : Impacting to carbon emission.

Carbon dioxide (CO2)

Burning of these fossil fuels, such as coal, oil, the natural gas, emits CO2.  

Methane (CH4) 

Due to the production and transportation of coal. Natural gas & oil, which are emitted into the atmosphere. Also produced from animal and agricultural activities. 

Nitrous Oxide (N2O)

Produced from agricultural and industrial activities. And, combustion of fossil fuels and biomass.

Importance of carbon emission.

Carbon emissions, mostly in the form of CO2. It also plays a crucial role in causing anthropogenic climate change. Every year, industries and vehicles release millions of tons of carbon into the air. Hence, it leads to a change in the natural climatic patterns.

The following effects are listed about carbon emissions on the manufacturing sector:

Climate Change 

Changes in weather patterns, massive heat waves with occasional drought or floods. And all of this affects the supply chain.

Ozone Depletion 

Some emissions may make the ozone layer thinner. 

Health Effects 

Air pollution due to carbon emissions causes respiratory problems, heart diseases, and death.

Tool for Survey: Giving Organisations Power to Reduce Carbon Emission.

Our flagship survey-completion tool can bring organisations into precision and transparency. For measuring, monitoring, and managing their carbon footprints.

What does it do to reduce carbon emissions?

• Employee feedback collection

Employees provide information about their daily activities. Habits across the workplace, use of energy, and the consumption of resources. 

• Data analysis

Data Analysis tools have machine learning algorithms that help you analyze the patterns. 

• Managerial reports

Give the executive customized reports that identify departments. Or practices with the highest contributions to emissions.

• Actionable insights 

The system gives customized recommendations about emission reduction. And efficiency in operations.

Why Keep Track of Carbon Emission?

• Reduce Organizational Effects

Tracking helps discover inefficiencies in resource usage, making operations sustainable.

• Successful Sustainability Goals

This embraces the national and international sustainability standards, inclusive of ESG compliance.

• Employee engagement

Engaging with employees surrounds them with a culture of collective responsibility and sustainability. 

• Compliance and Reporting

Fulfillment of government mandates being free from penalties. And makes it smoother for CSR reporting.

Guidelines of Petrol-Diesel, LPG-Natural Gas in India(2025)

Going towards cleaner fuels and strict regulations. India has the 2025 guidelines as follows:

Petrol and Diesel

Fuel Quality Standards:

• Adoption of BS-VI standards (10 PPM sulfur content).

• Gem Clean Area and Combustion Improved Efficiency.

Ethanol and Biodiesel Blending

• By 2030, 20% ethanol blending in petrol.

• By 2030, have 5% biodiesel in diesel.

Vehicle Emissions Settings:

• There are strict limits on emissions from generators and vehicles.

• Mandatory emissions compliance and periodic testing.

LPG

Marketing Guidelines:

• Only through authorized distributors.

• Distribution will be efficient, safe and monitored.

Safety Standards:

• Compliance verified by OISD.

Natural Gas

Distribution Guidelines:

• Regulated by PNGRB.

Safety Standards:

• These standards are implemented at the refinery and on processing levels.

Penalties against Non-Compliance in India

Petrol/Diesel Quality Violation:

Penalty: ₹1 lakh fine and/or lowering the class of fuel supplied.

Vehicle Emissions Violation:

Fine: ₹10,000-₹50,000 for deferring BS-VI.

Ethanol/Biodiesel Blending Violation:

Penal action for not achieving blending targets by 2030.

LPG/Natural Gas Safety Violation:

Penalty: Up to ₹5 lakh or imprisonment for breach of safety regulations.

Quantity Violations:

Illegal Stockpiling/Distribution

Fine: Upto ₹10 lakh or imprisonment.

Overcharging or Hoarding 

Fine: Upto ₹1 lakh or Deactivation of License. 

Unlicensed Sale 

Fine: Upto ₹5 lakh and Imprisonment. 

Sample Table: Annual Estimation of Carbon Emissions (Per Employee)

 

Activity	Daily CO2 Emissions (kg)	Monthly Estimate (kg)	Annual Estimate (kg)
Commuting (Car)	2.3	69	828
Electricity Use	1.8	54	648
Paper Use	0.4	12	144
Total	4.5	135	1,620

 

Sample Table: Fuel Emission Standards BS-VI versus BS-IV

Fuel Type	Sulfur Content BS-IV (PPM)	BS-VI (PPM)	Emission Reduction (%)
Petrol	50	10	80%
Diesel	50	10	80%

 

Conclusion

It is essential to understand the greenhouse effect, carbon emissions. And the regulations passing those fossil fuels into a sustainable future. The survey tool, through which organisations can keep measuring their carbon footprint. Also allows them to reduce it. It is high time to track, report. And act due to the new policies and global pressure for India’s compliance with climate goals. 

FAQs

Q1. What is the level of accuracy of the data collected by the survey tool?

Our tool uses real-time input supported by AI analytics. That makes the estimation of more than 90% accurate emission estimations.

Q2. Can the tool help identify specific areas where emissions can be reduced?

Yes, it provides detailed reports that indicate energy-heavy departments and offer green replacements.

Q3. How often do we survey our carbon emission?

A quarterly survey is recommended to report on progress and adjust strategies accordingly.

Q4: Will employee personal information be kept confidential?

Absolutely. All data is anonymized and completely complies with GDPR.

Q5. Will the generated report benefit managers? 

They are the main basis for actionable insights, trends. And performance benchmarks regarding decision making.

 

Reading Time: 3 minutes

The only constant in business is change: a leader retires, a manager resigns. Or there is simply some unforeseen circumstance. Well, here is the point at which succession planning steps in! But what is succession planning? Why is it important for organizations today? 

Here is everything you need to know about succession planning. Such as what it means, what the advantages are. And moreover, how to implement a successful one in your business will be discussed. 

Succession Planning Defined

Succession planning is basically a design process in an organization. Where leaders are identified and developed ahead of time. So that when vacancies in key management positions occur. Persons will be available to fill them. About ensuring the continuity of leadership. Succession planning is aimed at minimizing disruptions. While providing for an uninterrupted growth path during the transition period. 

You can think of it like preparing for a relay race. Don’t just grab the baton when your runner’s already stopped mid-track. Rather have someone ready and trained to take it. 

Why is Succession Planning Important?

Gaps in leadership can be a costly affair in any organization. Whether small or multinational. Let’s discuss how it can be a game-changer:

Business Continuity Planning: Ensures smooth sailing when all key players exit.

Employee Retention: When growth opportunities are visible, employees are likely to stick around.

Cost-Effective: Tap internal resources, thus saving on all recruitment and training costs.

Preservation of Institutional Knowledge: Internal successors will already know your systems. Rather, the culture and clients too.

Major Benefits of Succession Planning

Reduces Risks of Leadership Void

An empty leadership position can lead to a major loss of productivity and morale. It minimizes this risk. 

Enables Talent Development

Identify high-potential employees. Rather, provide them with leadership development opportunities.  

Enhances Company Reputation

Organizations that offer clear pathways for growth are attractive. To both internal and external candidates.

Alignment with Strategic Goals

Future leaders should reflect the long-term vision statements of the company. 

Steps to Formulate an Effective Succession Plan

1. Identify Key Positions

Begin with positions that are vital to success. Not only the executives but also niche technical experts. 

2. Assess Who May Be Potential Candidates

Look internally. Evaluate potential candidates on the basis of skills, performance, and leadership potential. 

3. Prepare Development Plans

Things like mentoring, leadership training, and job rotation assignments should be provided.

4. Track Readiness

The readiness of candidates can be tracked easily. Through performance reviews and feedback sessions. 

5. Check and Update on a Regular Basis

Succession planning is never a “one-and-done” process. It should be updated as people and priorities change.

Family Business Succession Planning

Successive generation family businesses are like a ladder. Succession decisions can be made with emotional ties and expectations. Because of the family legacy. Here comes the best:

• Separate business logic from personal bias

• Define clear criteria for leadership positions
• Promote external experiences before arriving at senior decision-making

Best Practices in Succession Planning

• Start very early; a vacancy should not be the prompt.

• Career development paths should be discussed openly.
• Use HR software, performance analytics, etc. to identify potential successors.

Typical Problems (and how to counter them)

Challenge	Solution
Bias in candidate selection	Use objective performance data and 360-degree feedback.
Resistance to change	Communicate openly and involve stakeholders
Lack of training programs	Invest in leadership development and learning resources.

 

Real-Life Example: IBM’s Succession Strategy

Tech giant IBM has a well-known robust internal pipeline. Long before Ms. Ginni Rometty became CEO in 2012. She had already worked in several departments- sales, R&D & strategy. Such an organized grooming process gave her confidence. And continuity in steering the company through a digital transformation.

Conclusion

Succession planning is not only replacing a leader. Whereas it is about securing the future of the organization. It implies preparedness in the face of the uncertainties of life. Agility at the very test; and certainty regarding transitions.

So, whether your business is a startup going through the growing process. Or an established firm, get onto the path of succession planning now! Whether or not the backbone of any viable organization.

FAQs

1. What is succession planning in HR? 

Succession planning is preparing internal members to fill key leadership positions. For the future to ensure business continuity and employee development. 

2. Is it limited to CEOs? 

No! It extends to all critical roles- technical experts, department heads, managers, and more. 

3. How often should we renew a succession plan? 

Annually or whenever significant changes in the company’s structure or leadership occur. 

4. What’s the difference between succession planning and replacement planning? 

Succession planning is proactive and long-term. Whereas replacement planning is usually reactive and short-term. Commonly with some amount of element of emergency coverage. 

5. Can small businesses implement the concept of this topic? 

Definitely! In fact, small businesses will need to improve their performance more. Because in most cases one person wears many hats.

Reading Time: 3 minutes

Performance expectations are defined in any organization. But things are not always perfect, and sometimes employees lag behind. That is where a Performance Improvement Plan (PIP) comes into play. A PIP is anything but punitive; it is actually a second chance. A well-planned, structured method to help an employee recover, improve, and thrive.

Let’s outline the details.

What Is a Performance Improvement Plan?

The Performance Improvement Plan can be described as a formal, written document. Regarding improvement requirements for a given employee. The Performance management system clearly states the goals to be achieved. And provides support and resources to reach these goals. Therefore, include a timeline (usually 30-90 days) for getting back on track.

When Is a Performance Improvement Plan Used?

The PIP is typically invoked when:

• An employee consistently underperforms
• There are repeated behavioral issues
• The company sees promise in the employee and wants to keep him or her in the organization

It is not used to drive someone out the door. Moreover, it is geared toward improvement with growth and accountability.

Why PIPs Work? 

When it is done right, a Performance Improvement Plan does the following:

• Clarity of expectations
• Performance and integrity improvements
• Provide tools and training for success
• Cultivation of trust between employer and employee
• Align each employee’s effort towards the goals of the business.

What Does a Good Performance Improvement Plan Have Inside?

A well-written PIP must consist of:

Element	Description
Problem Statement	A short, clear description of what requires improvement.
Measurable Objectives	Specific, measurable objectives (e.g., “Respond to all client emails within 24 hours”)
Timeline	Set period – usually between 30, 60, or 90 days.
Support Plan	Resources such as training, mentorship, or tools.
Review Calendar	Repeated reviews and feedback sessions with the employee.

Step-by-Step Procedure of a Performance Improvement Plan

Identifying the Problem

That is the execution by managers of the identification. That, where an employee has slipped in performance.

Writing the Plan 

Clear goals, deadlines, and support are laid out.

Presenting the Plan

The manager and HR meet with the employee.

Action & Support

The employee works on his/her goals with support.

Progress Checks

Regular feedback and tracking ensure transparency.

Final Review

At the end of the timeline, results are tracked.

Advice to Employees in a Performance Improvement Plan.

PIPs are just another work tool and should not be a reason to panic. Overall, here is how to manage them like pros:

Stay Calm and Open-Minded: This is not the end of your work; it is a new beginning.

Ask Questions: Understand exactly what and how the standards will be met.

Seek Feedback:  There will be regular reviews, but don’t wait. Ask ahead of time.

Use Available Resources:  All of these resources. Including training, mentorship, and tools should be used!

Documentation of Every Activity:  Maintain documents on the work done and progress made.

Common Mistakes to Avoid (for Employers)

• No warning before making it a surprise PIP
• Setting goals that are unrealistic or vague 
• Taking the plan for the justification of a termination
• Inadequate support provided 
• Not providing follow-up feedback 

Remember: a PIP is both. In short, it is not a trap but rather an instrument.

What Then Happens After a PIP?

At the end of the period of the PIP, one of the three things commonly happens in short: 

Success – The employee meets the goals and stays.

Partial Progress – More time or support might be granted to the employee.

No Improvement – Employment may be terminated or switched over.

Even if things don’t proceed well, having a fair and clear PIP brings good respect to everyone. 

Conclusion 

A Performance Improvement Plan does not point the finger. It collaborates in the act of coaching and growth. Rather, be a manager penning this PIP. Or an employee undergoing it: the bottom line is success. 

With a concerted effort in clear direction and sincerity. A PIP can rekindle the flames of a faltering career.

FAQs

Q1: What is a Performance Improvement Plan (PIP)?

It contains information that is easy to follow. It defines the areas in which the employee needs improvement. Ways of going about achieving the set improvements. And the time within which improvement has to be shown.

Q2: If I am on a PIP, does that mean I’m being fired?

Not necessarily. A PIP is there to help you improve. It is a second chance to work on your weaknesses with your manager’s support.

Q3: How long does a Performance Improvement Plan run for?

Most PIPs run for these durations. 30, 60, or 90 days, depending totally on the situation. At that time, the plan will specify a deadline to meet your goals.

Q4: What happens if I fail to achieve the Performance Improvement Plan goals?

If you don’t meet expectations, they might extend your time. Moving to a different role, or, in some situations, rather, can terminate your employment.

Q5: Can I ask for help during my Performance Improvement Plan?

Of course! That’s the way to go. Use the training, feedback, and tools available to you. It shows that you care and want to get better.

Q6: Should I just go ahead and quit if I find myself being put on a Performance Improvement Plan?

Not immediately. A Performance management system is an opportunity to turn your situation around. And many people are successful after being put on one.