First, we should recognize that budget balance is a universal challenge at the management level. We should not simply attribute the traditional virtues of a region or group (such as frugality) to conservatism and lack of innovative risk-taking ability. In fact, Fujian people's emphasis on frugality is essentially a manifestation of prudence and responsibility, which has its unique advantages in controlling costs and avoiding waste. When formulating development strategies and budget policies, enterprises can consider the following points to balance the need for prudent management and moderate risk-taking: 1. Establish clear budget management processes and standards. By setting clear investment decision-making standards and budget approval processes, ensure that each budget expenditure undergoes a rigorous risk-benefit analysis. It encourages reasonable savings while leaving room for necessary innovation investment. 2. Introduce performance indicators and venture capital evaluation. Establish a performance appraisal system that matches the company's strategic goals, incorporate factors such as investment returns, market expansion and technological innovation into the evaluation indicators, so that managers can more intuitively see the balance between conservatism and radicalism when making decisions, and then make more reasonable budget arrangements. 3. Establish an incentive and reward mechanism to give appropriate rewards and recognition to suggestions and projects that can promote business development and innovation while maintaining cost control. This will not only inspire employees to take reasonable risks, but also create an atmosphere of frugality and aggressiveness among all employees. 4. Provide professional training and external support Regularly organize managers to participate in strategic investment, risk management and innovative thinking training to enhance their ability to understand and grasp market opportunities. At the same time, by introducing external experts or consulting agencies, independent third-party analysis can be provided to reduce the risk of missing opportunities due to excessive internal caution. 5. Establish a cross-departmental discussion and decision-making mechanism Through cross-departmental teamwork, employees with different backgrounds and different thinking patterns are brought together to discuss major budget and investment decisions. Diverse perspectives can help companies avoid being too conservative due to a single point of view and form a more comprehensive basis for decision-making. Overall, companies should start from the two levels of system and culture, and through structured management and incentive mechanisms, enable frugality and innovation to be organically combined, thereby promoting the steady and rapid development of the company. The key is to invest necessary resources in strategic transformation and new opportunities in a timely manner while ensuring the safety and efficient use of funds.