PPBS to PPBE: A Process or Principles?

The nature and size of the current Defense Budget illustrates the importance of two broad questions How much is enough and How much risk are we willing to take The key issue this paper addressed is how does the Defense Department go about answering such questions. This paper first examined this departments most important resource management system, the Planning, Programming and Budgeting System PPBS developed by Secretary McNamara, and then how it evolved into the current Planning, Programming, Budgeting and Execution PPBE process. This paper then analyzed the relevancy of this process in todays complex, global strategic environment. Key insights from proponents and detractors who analyzed these systems and processes were explored. Research indicated that the original principles embedded in the PPBS provided a credible means of arriving at the necessary decisions to shape the Defense program and a sustainable basis for defending them. Based on this research, three recommendations were proposed that involved evaluating the current process on a regular timeline, providing accurate guidance to users, and centrally educating participants in the PPBE process.