ZERO-BASED BUDGETING 1
To identify the pros and cons of the Zero-Based Budgeting, evaluating the reason behind their success or failure.
The purpose of this research is to highlight the concept of Zero-Based Budgetingand its application on the local and governmental organizations. This paper also focuseson the strength and weaknesses of the Zero-Based Budgeting and discusses some arisingissues of Zero-Based Budgeting and its application in the business world.
This research paper will discuss upon the history, drawbacks, solutions, andimplementation of Zero-Based Budgeting. It will further highlight the importance of Zero-Based Budgeting in the local and government sectors and try to assess the mainreasons behind its increasing popularity in the local and government departments,discussing both positive and negative aspects attached to it.
For the purpose of this research paper, only secondary sources were used. Most of the data that has been referred to is obtained from various business journals, onlinearticles and most importantly books relevant to the course. Some data was also obtainedfrom websites directly and has been referenced in the bibliography.
Budgeting is an essential phase of managing the activities of the organization.Budgeting is an important tool for the management not only in the manufacturing