SPHR · Question #41
The main advantage of using a zero-based budget is the ability to:
The correct answer is D. align spending with strategic objectives. Zero-based budgeting (ZBB) starts from zero, requiring justification for all expenses. This approach ensures every dollar aligns directly with the organization's strategic priorities, not historical patterns. SPHR domain guidance for Leadership and Strategy stresses "budgeting…
Question
The main advantage of using a zero-based budget is the ability to:
Options
- Autilize fewer resources to complete
- Brollover the previous year's surplus
- Cleverage prior year financial results
- Dalign spending with strategic objectives
How the community answered
(36 responses)- A8% (3)
- B3% (1)
- C3% (1)
- D86% (31)
Explanation
Zero-based budgeting (ZBB) starts from zero, requiring justification for all expenses. This approach ensures every dollar aligns directly with the organization's strategic priorities, not historical patterns. SPHR domain guidance for Leadership and Strategy stresses "budgeting methods that link financial planning with strategy." ZBB eliminates inefficiency by focusing funding only on value- generating activities.
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