All 34 Zero-Based Budgeting questions
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How does ZBB support cost transparency and accountability? How does ZBB handle activities that are legally required or essential? How long does ZBB typically take compared with incremental budgeting? How does ZBB affect employee behavior and morale? How does ZBB relate to activity-based budgeting? How does ZBB improve resource allocation compared with incremental budgeting? How can ZBB be combined with continuous improvement or lean thinking? What are the risks of ZBB being reduced to a cost-cutting exercise? How do modern 'ZBB 2.0' approaches use technology and data? How do you sustain the benefits of ZBB over time?
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Budgeting & Forecasting › Zero-Based Budgeting

How does ZBB support cost management and strategic reallocation?

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By forcing justification of all spend and ranking activities by value, ZBB reallocates resources from low-value legacy activities to strategic priorities, rather than protecting historical budgets. Used well, it aligns spending with strategy, exposes cross-subsidies and inefficiency, and can fund growth initiatives by cutting waste elsewhere.
Real-world example A ZBB exercise funds a new digital initiative by cutting several low-value legacy activities identified in the review.

Common follow-ups: How does ZBB reallocate to strategy? | What does it expose?

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All 34 Zero-Based Budgeting questions