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answered, volumes processed, or user sessions conducted. This technique helps

measure efficiency and impact, although it requires reliable performance data.

Program Budgeting organizes funds around particular library programs or initiatives.

For example, a program may be designed for rural outreach or digital preservation, and
all related costs are bundled under that program. This enables goal-oriented financial

planning and helps with external funding or donor alignment.

Zero-Based Budgeting (ZBB) is an evaluative method where every financial cycle
begins from a zero base. Each department or activity must justify its budget anew, rather

than simply adjusting the previous year’s figures. ZBB encourages cost-effectiveness
and critical review but may demand significant administrative effort.

Formula Budgeting is used primarily in large educational institutions. Funds are
distributed based on predefined formulas, often linked to metrics like student

enrollment, departmental needs, or research output. While this method promotes

objectivity and scalability, it may not account for unique or evolving needs.

Lump-sum budgeting provides a block of funds to the library or its units without

specifying detailed allocations. This method provides managers with the flexibility to
allocate resources according to situational demands. However, it requires high levels of

managerial accountability and financial prudence.

Role of Budgetary Control in Financial Management

Budgetary control refers to the continuous tracking, comparison, and correction of

financial activities against the planned budget. It makes sure the library remains within
financial limits while achieving its performance goals.

A central goal of budgetary control is to identify deviations early and take corrective

actions. By comparing actual spending with budgeted figures, library administrators
can identify overspending, underspending, or misallocations of funds. These insights

help in reallocating resources efficiently and avoiding financial crises.

Budgetary control relies heavily on documentation and reporting. Libraries conduct

regular financial reviews—monthly, quarterly, or semi-annually—where unit heads

present spending reports, highlight bottlenecks, and propose changes. These reviews
promote accountability and provide real-time data for strategic decisions. Management

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