Zero-Base Budgeting의 問題點과 앞으로의 展望 = The Problems and Perspective of Zero-Base Budgeting

다국어 초록 (Multilingual Abstract)

Zero-Base Budgeting is an emerging process, which has been adopted by a variety of industrial organization in many sectors of the economy, as well as state local government. As it is generally practiced today, Zero-Base Budgeting was developed at Texas Instrument Inc. during 1969. The process was first adopted in government by governor Jimmy Carter of Georgia for the preparation of the fiscal 1973 budget.
It would appear at this point that Zero-Base Budgeting will be adopted in the federal government, sponsored by both the president and congress.
The Government Economy and Spending Reform Act of 1976 was introduced by Senator Muskie, and the bill required a congressional zero-base review and evaluation of every government authorization for program and activities every five years and requires the director of OMB(Office of Management and Budger) to develop a program for Zero-Base Budgeting for all departments and agencies of the Executive Branch.
OMB Bulletin 77―9 (19 April 1977) mandated ZBB for all federal agencies. The FY 1979 budget was prepared according to the new ZBB procedures.
The Zero-Base approach requires each organization to evaluate and review all programs and systematically, to review activities on a basis of output or performance as well as cost: to emphasize managerial decision making first, number oriented budgets second; and to increase analysis. There are four basic steps to the zero-base approach that must be addressed by each organization:
① Identify "decision units"
② Analyze each decision unit in a "decision package"
③ Evaluate and rank all decision packages to develop the appropriations request.
④ Prepare the detailed operating budgets reflecting those decision package approved in the budget appropriation.
Decision unit determination is the process for building the budget formulation structure. Decision package formulation is the mechanism used to compile and package the budget request. Ranking is the process through which managers are asked to array their priorities by choosing among all the decision packages presented to them.
In theory, zero based budgeting calls for total cost analysis of all programs every year. Each item of expenditure is to be scrutinized to see if it can be reduced or eliminated.
Thus, Zero-Base Budgeting has two distinctive characteristics. First, budget requests are formulated in "decision packages" by priority and each successively higher manager similarly ranks packages across program lines clear to the top of the organization. Thus each marginal increment of budget can be placed on the next most important activity.
Five major contributions of ZBB are as follows.
① Improve debate
② Increase participation
③ Increase flexibility
④ Manage support services
⑤ Increase information flow
In fact, the compatibility of ZBB with traditional budgeting was the basis for a number of criticisms of it.
① No program budgeting
② No structural change
③ Still incremental
Zero-basing requires too much paper work (it would be impossible to really evaluate all programs "from zero" annually). It also requires expensive and time consuming. A good manager uses it when he expects the gains will outweigh the costs.
Few managers would deny that analyzing and defending the entire budget is a useful tool in selected circumstance. Even very stable, continuing programs can be usefully zero based occasionally, perhaps once in five or seven years, Little, however, can be learned about most programs from an an annual zero based budget. The most practical budgeting system for most managers is a formalized combination of incremental and zero based analysis.
In this treatise, essential qualities, problems and a new direction of Zero-Base Budgeting are considered. Since the early 1980s, the Republic of Korea has implemented Zero-Base Budgeting.
But Korea also has faced several problems. In Korea, it is important to rain its official for successful ZBB and it needs the wholehearted support of every level of government, especially by high-ranking officials.

목차 (Table of Contents)

• Ⅰ. 序論
• Ⅱ. ZBB의 意義
• Ⅲ. ZBB의 歷史的 背景
• Ⅳ. ZBB의 編成節次
• Ⅴ. ZBB의 長短點
• Ⅵ. ZBB의 展望과 우리나라 導入上의 問題點·對策
• Ⅶ. 結論