article thumbnail

Do You Set Zero-Based Goals for Yourself?

thoughtLEADERS, LLC

Use this common budgeting technique to set goals that are more relevant and actionable. When you’re setting goals, you can borrow a technique from a common budgeting process called zero-based budgeting. Every dollar you’re going to spend in the budget is justified.

article thumbnail

How to Set Zero-Based Goals

thoughtLEADERS, LLC

Use this common budgeting technique to set goals that are more relevant and actionable. When you’re setting goals, you can borrow a technique from a common budgeting process called zero-based budgeting. Every dollar you’re going to spend in the budget is justified.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Airbnb, Plus Lessons from Kraft Heinz and Zero Based Budgeting

Harvard Business Review

They also discuss Kraft Heinz’s controversial zero-based budgeting approach to management. Youngme, Felix, and Mihir debate how well Airbnb is managing growth amid backlash from cities like New York City.

article thumbnail

Zero-Based Budgeting Is Not a Wonder Diet for Companies

Harvard Business Review

Zero-based budgeting (ZBB) is elegantly logical: Expenses must be justified for each new budget period based on demonstrable needs and costs, as opposed to the more common method of using last year’s budget as your starting point, then adjusting up or down. We believe the exact opposite to be true.

article thumbnail

Can You "Re-Anchor" Your Next Budget Meeting?

Harvard Business Review

It has been another long, exhausting budget meeting. Zero-based budgeting is one such technique, but it is a time-consuming approach that cannot be used systematically. For simplicity's sake, we illustrate this approach using a budget discussion that focuses on setting sales targets for a number of different regions.

article thumbnail

Your Organization Wastes Time. Here’s How to Fix It.

Harvard Business Review

reset the budgets. Reset the Budgets. We recommend zero-based budgeting and planning to make the choices clearer. This is why we find a zero-based approach preferable. A zero-based budgeting and planning process using stretch targets challenges conventional thinking and brings forth bolder ideas.

article thumbnail

Why Can't a CIO Be More Like a CFO?

Harvard Business Review

At the same time, technology budgets are static or contracting, and non-IT execs want more attention to cost-cutting. They fulfill this role by delegating responsibility and establishing control systems such as budgets, directives, audits, and oversight to drive fiscal compliance. The explosive growth of information is accelerating.

CIO 8