Zero-Based Budgeting (ZBB) is a strategic budgeting approach where expenses must be justified for each new budgeting period, regardless of previous allocations. Unlike traditional budgeting methods, which may simply adjust previous budgets, ZBB requires every expense to be evaluated from scratch, starting at zero. This forces departments and teams to justify their expenditures based on current needs and priorities, fostering cost-consciousness and efficiency throughout the organization. ZBB encourages a thorough review of all expenditures, promoting resource optimization and strategic alignment with organizational goals.