How we can help
Zero-based Budgeting (ZBB)
Make sure that every dollar you spend serves your strategy. Zero-based budgeting creates an ownership mindset that reduces costs by 20 to 40 percent, and keeps costs out.
Zero-based budgeting and redesign consistently help Bain clients save 20-40%.
What to Expect
What to Expect
Gain confidence
Be certain that every dollar supports your strategic priorities
Change the culture
Instill an ownership mindset across the organization
Build new capabilities
Achieve continuous improvement by changing behaviors and ways of working
Free up cash
Channel funds to the initiatives and investments that will power your growth
A successful zero-based budgeting (ZBB) program relies on four repeatable components to achieve continuous cost improvement:
- Target-setting based on granular KPIs
- Driver-based budgets negotiated between dual owners of costs
- Rigorous tracking and monitoring
- And, the identification of a steady stream of savings initiatives and breakthrough ideas that challenge the status quo.
We have helped companies in many different industries successfully execute ZBB programs, freeing up, in some cases, hundreds of millions of dollars to re-invest in the business. When combined with zero-based redesign the impact can be even more transformative. In fact, when companies use ZBB and ZBR together they achieve savings of 25% or more for targeted functions and activities, since this combined approach extends the clean-sheet view of your business across your operating model, processes and workflows.
Our Impact
Our Impact
20%
Average total savings identified for clients
≥ 50%
Value delivered in the first year for clients
16x
Average ROI for Cost Transformation clients
3.8x
Average uplift achieved by our Cost Transformation projects
