Zero-Based Funding

Funding is the new concept name to what a lot of ITIL aware people will know (and understand) as budgeting.

The way zero based funding is described in the ITIL v3 Service Strategy is that only sufficient funds are sought to cover the exact costs of running the IT infrastructure for the upcoming financial year.

This definition seems to go against the definition given in a text called “IT Service Management – An introduction” which introduced zero-based budgeting as a way of budgeting without relying on any previous financial records/history.