ZBB, or Zero-Based Budgeting, is a strategic financial management approach that requires every expense to be justified and evaluated from a “zero base” rather than using previous year’s budget as a starting point. This method encourages organizations to thoroughly analyze their spending and prioritize their resources based on their current needs and objectives. By implementing ZBB, companies can identify and eliminate unnecessary costs, optimize their budget allocation, and ultimately achieve greater efficiency and profitability. Unlike traditional budgeting methods, ZBB promotes a more proactive and dynamic approach to financial planning, making it a valuable tool for businesses looking to stay competitive in today’s rapidly changing market.