Managing and Measuring Performance in Public and Nonprofit Organizations: An Integrated Approach, 2nd Edition

CHAPTER NINEPerformance-Informed Budgeting

How has the budget process—one of the most systematic and essential components of public management—been influenced by the performance movement? How is performance information used in allocating budgetary resources? How do managers utilize performance information in the budget process relative to other information sources in budgetary decision making? In this chapter we explore the concept, development, and practice of performance budgeting. The idea of performance budgeting is not a new one, having a basis in the budgetary reform efforts of the mid-twentieth century. Such reforms sought to decouple the budget decision-making process from incrementalism, depoliticize it by making the process more objective, ...