The Potential of Planning, Programming, and Budgeting Systems in Government and Industry

American Institute of Mining, Metallurgical, and Petroleum Engineers, Inc. This paper was prepared for the 43rd Annual Fall Meeting of the Society of Petroleum Engineers of AIME, to be held in Houston, Tex., Sept. 29-Oct. 2, 1968. Permission to copy is restricted to an abstract of not more than 300 words. Illustrations may not be copied. The abstract should contain conspicuous acknowledgment of where and by whom the paper is presented. Publication elsewhere after publication in the JOURNAL paper is presented. Publication elsewhere after publication in the JOURNAL OF PETROLEUM TECHNOLOGY or the SOCIETY OF PETROLEUM ENGINEERS JOURNAL is usually granted upon request to the Editor of the appropriate journal provided agreement to give proper credit is made. provided agreement to give proper credit is made. Discussion of this paper is invited. Three copies of any discussion should be sent to the Society of Petroleum Engineers office. Such discussion may be presented at the above meeting and, with the paper, may be considered for publication in one of the two SPE magazines. The impact of systems technology upon contemporary America is manifested in a broad spectrum of activities in both the private and public sectors. This presentation will focus public sectors. This presentation will focus upon the utilization—by industry, government and other societal groups—of such technological innovations as automatic data processing, mathematical modeling and assorted man-machine techniques. The adaptation of planning, programing and budgeting concepts initially programing and budgeting concepts initially developed within industry by the Federal government, and now being applied by state and local groups, is emphasized. Finally, the potential for application of the now more sophisticated methodology and equipment by industrial components is reviewed and assessed. PREFACE PREFACE"What we need most of all is a constant flow of new ideas—a government and a nation and a press and a public opinion which respect new ideas and respect the people who have them. Our country has surmounted great crises in the past, not because of our wealth, not because of our rhetoric, not because we had longer cars and whiter iceboxes and bigger television screens than anyone else, but because our ideas were more compelling and more penetrating and wiser and more enduring. And perhaps more important, we encouraged all ideas— the unorthodox as well as the conventional, the radical as well as the traditional." John F. Kennedy Our society has been involved in a tidal wave of change during the past few decades. Each of us has been affected, and will be even more affected, by the impact of science and technology. The late President laid heavy emphasis on stimulating creative thinking. During the course of this presentation, I shall attempt to underscore the ways in which the "systems approach" can provide assistance to management in industry and government. The "Planning-Programming-Budgeting System [PPBS]", brought to Programming-Budgeting System [PPBS]", brought to a high degree of sophistication within the Federal government, had its inception in private industry. All sectors of our Nation can benefit by using the powerful tools and techniques which have evolved.