ZBB DECISION UNITS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80M00772A000100010045-0
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 3
• Document Creation Date: December 15, 2016
• Document Release Date: August 18, 2004
• Sequence Number: 45
• Publication Date: January 6, 1978
• Content Type: MF

The Director of Central Intelligence
Washin on.D.C.20505
Approve&For Release 2004/08/30: CIA-RDP80M00772A000jaW
6 January 1978
DCI/IC 77-7031
MEMORANDUM FOR: Director, National Security Agency/
Chief, Central Security Service
SUBJECT: ZBB Decision Units
REFERENCE: Your Memorandum to the DCI dated
9 December 1977 (Serial N-1394)
1. Thank you for your proposal on the target-oriented
decision units. Your suggestion will assist me in continuing
to move toward a more rational and coherent approach to
budgetary decisions.
2. Last summer, during our development of the current
decision units, we attempted to develop a target-oriented
approach. We were forced to abandon that method because
there appeared to be no generally applicable way to crosswalk
from target-oriented decisions to the allocation of resources
for systems, i.e., to those categories in which the money is
actually spent. The difficulty of pro-rating, which a
target-oriented decision process entails, will continue to
increase as we develop systems which optimize inter-operability
and a wide range of applications.
3. Although we have not yet found a satisfactory way
to implement a target-oriented approach, we consider target
coverage a useful analytical tool in the assessment of our
resource allocations. Our efforts to pursue this approach
in the FY 1979 Budget were inhibited by incomplete data on
other programs. We are looking at possible improvements for
the FY 1980 cycle. To assist us in this effort, we are
letting a contract with the Rand Corporation to analyze our
decision unit structure and our ZBB process. That effort
could reveal some possible means of using the target approach,
but will not be available until late in the program develop-
ment cycle.
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 Now
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SUBJECT: ZBB Decision Units
4. Based on our past analysis of the target-oriented
decision unit approach, I believe it would be inadvisable to
markedly alter the decision unit structure. For the near
term, therefore, I have decided to retain the current structure
with minor modifications which we will be discussing with
your staff in the near future. However, there is an immediate
applicability of target-oriented data which would greatly
assist in the budgetary process. In your Congressional
stification for the activities and systems of each decision
ju
unit, target data should be used extensively to describe
.outputs and benefits.
Your proposal will provide a helpful contribution
5
.
to our continuing evaluation of the ZBB structure and process,
and I invite your participation in that effort.
STANSFIELD TURNER
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