What is zero based budgeting nedir?

Zero-based budgeting (ZBB) is a budgeting technique that involves setting budget limits for each department or function of an organization from scratch, rather than basing them on the previous year’s budget or incremental changes. Every expense must justify its inclusion in the budget, without any assumptions or preconceived notions. ZBB aims to reduce costs and increase efficiency by identifying unnecessary expenses and realigning resources to company goals. ZBB is particularly useful for companies that have changing priorities or are going through a restructuring phase. However, implementing ZBB can be time-consuming and challenging, requiring a significant cultural shift within the organization.