A qualitative examination of the potential benefits to be derived from the use of a more logical, objective-oriented system for planning in higher education. Adherence to classical techniques of planning and budgeting which rely on ratios of efficiency, reaction to environmental factors and comparison with peers, can cloud perception of the purpose and responsibilities of an institution. The Planning-Programming-Budgeting System (PPBS) involves the identification of objectives, the organization of activities into programs to achieve those objectives, and the analysis of alternative systems designs to develop final resource allocation. Potentially, PPBS would allow administrators to evaluate and compare programs and alternatives. Thus, requests for resources could be justified in terms of expected returns and authority would be restored to the originally intended organizational levels through the reduction of uncertainty in the decisions. While the costs are realized to be significant, the potential benefits also appear to be great. 19 pp. Ref.