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To Make Zero-Based Budgeting Work, Change Behavior
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To Make Zero-Based Budgeting Work, Change Behavior

Karin von Funck, Mark Austin, Donat Wunderlich and Christina Schenk
Boston Consulting Group, 2021
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Editorial Rating

8

Qualities

  • Applicable
  • Visionary
  • Concrete Examples

Recommendation

Where are your resources going, and does spending support your company’s most important priorities? If you were able to free up some funds, what new projects or technologies could you invest in? How can you make all employees committed to cost-saving measures and more accountable for budgeting decisions? These are some of the questions that companies can answer using ZBB, or zero-based budgeting. In this special report, the Boston Consulting Group provides a guide for implementing ZBB.

Take-Aways

  • Like any upheaval, COVID-19 opened the opportunity for long-term, positive changes. This extends to budgeting.
  • Zero-based budgeting (ZBB) relies on an organization-wide awareness of how resource allocation produces value.
  • ZBB decisions should be transparent, data-driven and ubiquitous in company processes, systems and IT.

About the Authors

Karin von Funck, Mark Austin, Donat Wunderlich and Christina Schenk are professionals with the Boston Consulting Group.

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