THE IMPORTANCE OF BUDGETING IN CONSTRUCTION PLANNING

Abstract

Introduction: The construction industry faces significant challenges related to cost control and execution efficiency. When effectively integrated into the physical and financial planning process, budgeting can contribute to greater predictability, quality, and sustainability in construction projects. Objective: This study aims to analyze, through a narrative review, how budgeting influences the planning and execution of construction projects, identifying recurring evidence, gaps, and best practices in literature. Materials and Methods: The research was based on the analysis of thirty-two national and international studies published between 2008 and 2024, selected according to thematic relevance, originality, and practical applicability. Data were organized into charts and graphs and critically discussed considering their implications for the sector. Results: The main findings indicate: (1) lack of integration between budgeting and planning as a recurrent cause of failure; (2) growing use of digital tools such as BIM and MS Project, still limited by access and training gaps; (3) marked contrasts between public and private projects regarding cost management, schedule control, and organizational culture. Conclusion: Effective budgeting, when aligned with strategic planning and supported by adequate technologies and qualified teams, significantly contributes to project success. The review also highlights the need for applied research and public policies focused on the professionalization and modernization of the sector.