budgeting-forecasting
Installation
SKILL.md
Budgeting & Forecasting
Create and manage effective budgets and financial forecasts.
Budgeting Approaches
| Approach | Method | Best For |
|---|---|---|
| Incremental | Last year + X% | Stable organizations |
| Zero-based | Build from scratch each period | Cost optimization |
| Activity-based | Cost per unit of activity | Manufacturing, services |
| Rolling | Continuous 12-month outlook | Fast-changing environments |
Zero-Based Budgeting Steps
- Identify all activities and their costs
- Evaluate each: does it create value?
- Rank by priority/cost ratio
- Fund top priorities within budget constraints
- Cut or optimize low-value activities