Our Approach to Zero-Based Transformation

BCG helps companies deliver lasting cost and performance gains through a structured, insight-led approach to zero-based transformation. We combine AI-enabled diagnostics, proprietary benchmarks, and agile collaboration to drive real outcomes—fast.

Our zero-based budgeting consultants work side-by-side with clients to do the following:

  • Gain a redesigned organization from the ground up. Clients achieve leaner, more effective structures through zero-based organization redesign. We challenge legacy operating models, reimagine workflows, and eliminate low-value activities—embedding collaborative change management from the start to foster shared accountability across teams.
  • Achieve full transparency into cost categories. Our GenAI-powered diagnostics and proprietary benchmarks create a clear baseline of zero-based spending, surfacing cost anomalies in days, not months. This enables rapid identification of savings and reinvestment opportunities.
  • Align resource allocation to strategic goals. We co-develop a reinvestment roadmap that embeds ROI logic into decision rights and fosters a cost-conscious culture. The result: capital is continually redeployed where it creates the most value.
  • Sustain the impact with real-time governance. With a control tower model and digital dashboards, clients gain full visibility into progress. Clear tracking mechanisms and strong governance frameworks help institutionalize changes and free up funds for long-term growth.

Doing so leads to an agile, high-performing organization that captures value and sustains it.

Our Clients’ Success in Zero-Based Budgeting

BCG helped a private equity-backed manufacturer grappling with declining revenues and rising costs transition to zero-based operations. Through cost transparency, value identification, and a robust execution framework, the ZBT realigned €300 million in operating expenses and reduced non-people and people costs by 17% and 15%, respectively. Long-term cost management capabilities, including project plans and KPIs, fostered operational efficiency and growth.

Our Solutions for Zero-Based Transformation

Rethink Every Dollar with Zero-Based Budgeting

Put People at the Center of Value Creation
In Zero-Based Transformation, employees help identify inefficiencies, improving engagement and making cost initiatives more sustainable.
  • Put People at the Center of Value Creation
    Put People at the Center of Value Creation
    Put People at the Center of Value Creation
    In Zero-Based Transformation, employees help identify inefficiencies, improving engagement and making cost initiatives more sustainable.
  • Power Strategic Growth
    Power Strategic Growth
    Power Strategic Growth
    Zero-Based Transformation examines unquestioned spending habits to ensure that every dollar supports a company's vision and fuels its growth.
  • Set CFOs Up for Success
    Set CFOs Up for Success
    Set CFOs Up for Success
    By taking the right steps in the early days of a Zero-Based Transformation initiative, CFOs can eliminate waste and ensure that every dollar enables growth objectives.
  • Tackle CEOs' Cost Concerns
    Tackle CEOs' Cost Concerns
    Tackle CEOs' Cost Concerns
    Zero-Based Organizations rebuild cost structures from the ground up while mapping resources to value in order to support innovation and deliver sustainable savings.
  • Fix What Most Cost Transformation Miss
    Fix What Most Cost Transformation Miss
    Fix What Most Cost Transformation Miss
    By treating cost discipline like a business capability and building a culture of cost ownership, Zero-Based Transformation helps companies become leaner, more agile, and better prepared for the future.

Our Insights on Zero-Based Budgeting

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