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What role does budgeting play in motivating the company’s employees? Do you have an example?

What role does budgeting play in motivating the company’s employees? Do you have an example?

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Answer #1
Budgeting plays an important role in motivating employees
Based on the budget, the employee is given an annual compensation
package that is fixed. In addition, the employee is given a bonus package based
on performance. The bonus given to an employee is part of the variable budget.
Big investment banks are well known for giving traders and research analysts
(that are employed by the banks) big salaries that are part of the investment bank's annual budget. Also, the investment
banks give bonuses to employees that is part of the variable budget. The bonus is
usually based on company performance.
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