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Programme and Performance Budgeting (PPB) is a systematic approach within Management Control Systems designed to link the allocation of resources to specific programs and the measurable outcomes they are intended to achieve. Unlike traditional incremental budgeting, which primarily focuses on historical expenditure patterns, PPB emphasizes the efficiency, effectiveness, and results of organizational activities. It serves as both a planning and control tool, allowing managers to evaluate performance based on clearly defined objectives and outcomes. In the context of PPB, a “program” is defined as a coordinated set of activities aimed at achieving a specific organizational goal. These programs are broken down into smaller units, each with measurable targets, enabling precise tracking of resource utilization and results. By associating budgetary allocations with these programs, organizations can ensure that funding decisions are aligned with strategic priorities, rather than merely maintaining past expenditure levels. This alignment fosters accountability among managers, as each program’s performance __________ _____ ____ ___ ___ ______ ________ _______ _______.
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