Zero-base budgeting

May 10th, 2008 admin

This concept means developing each year’s budget from scratchthat is from zero. First introduced in the USA under the vision of Robert Menamara.Introduced in India but implementation has not quite succeeded. This budget should evaluate afresh, every year, all ongoing ‘Projects’ and scarce resources to be allocated inas per ‘marginal return on incremental investment’. Reference to earlier year’s budget by the budget officer is not allowed.


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