Study guide
9.4 Resource Management & Stewardship
Air Force PFE Promotion Fitness Examination
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1 Introduction & Exam Overview
1.1 PFE Exam Facts & Format 1.2 The WAPS Scoring System 1.3 The Tested AFH 1 Chapters & Study Strategy
2 Professionalism (AFH 1, Chapter 1)
2.1 The USAF Professional & the Profession of Arms 2.2 The Air Force Core Values & Their Virtues 2.3 Ethical Standards & the Airman's Creed
3 Military Organization & Command (AFH 1, Chapter 5)
3.1 The United States Armed Forces 3.2 The Military Departments & Services 3.3 Military Command Structure & Combatant Commands 3.4 The Air Force Total Force 3.5 Air Force Organizational Structure
4 Enlisted Force Development I (AFH 1, Chapter 7A–7D)
4.1 Leadership Levels 4.2 The Enlisted Force Structure & Tiers 4.3 Duty Titles & Special Positions 4.4 Force Development & the Competency Framework
5 Enlisted Force Development II (AFH 1, Chapter 7E–7H)
5.1 Training Responsibilities & Upgrade Training 5.2 Professional Military Education 5.3 The Community College of the Air Force 5.4 Continuing Education & Voluntary Programs
6 Assessments & Recognition (AFH 1, Chapter 8)
6.1 The Airman Comprehensive Assessment 6.2 Performance Evaluations & the EPB 6.3 Reenlistments, Retention & Continuation 6.4 Awards & Decorations
7 Enlisted Promotions (AFH 1, Chapter 9)
7.1 Promotion Systems & Programs 7.2 Promotion Cycles & Eligibility 7.3 Preparation & Individual Responsibilities 7.4 Promotion Testing & Test Control 7.5 Evaluation Boards & Central Selection
8 Personnel Programs & Benefits (AFH 1, Chapter 11)
8.1 Benefits & Services 8.2 Leave & Authorized Absences 8.3 Military Associations & Civilian Programs
9 Finance, Manpower & Resources (AFH 1, Chapter 12)
9.1 Individual Finances & Allowances 9.2 Official Travel Expenses & Allowances 9.3 Manpower Management 9.4 Resource Management & Stewardship 9.5 Environmental Commitment
10 Developing Organizations (AFH 1, Chapter 13)
10.1 Strategic Thinking & Results Focus 10.2 Resources & Organizational Structure 10.3 Change Management & Problem Solving
11 Developing Others (AFH 1, Chapter 14)
11.1 Teamwork & Team Dynamics 11.2 Develops People: Mentoring, Coaching & Feedback 11.3 Service Mindset & Fostering Effective Relationships 11.4 Leadership: Styles, Power & Influence
12 Developing Self I (AFH 1, Chapter 15A–15C)
12.1 Accountability & Self-Management 12.2 Military Communication 12.3 Preparing to Communicate
13 Developing Self II (AFH 1, Chapter 15D–15F)
13.1 Written Communication 13.2 Spoken Communication 13.3 Electronic Messaging
14 Developing Ideas (AFH 1, Chapter 16)
14.1 What We Know: Priorities & Innovation 14.2 Cognitive Processes & Critical Thinking 14.3 Informed Decision-Making 14.4 What We Don't Know: Uncertainty & Assumptions
15 Emergency Management (AFH 1, Chapter 17)
15.1 Air Force Emergency Management, Disasters & Hazards 15.2 Preparedness, MOPP & Individual Protection 15.3 Crisis Response & Recovery 15.4 Department of the Air Force Mishap Prevention 15.5 Risk Management
16 Security (AFH 1, Chapter 18)
16.1 Integrated Defense & Force Protection Conditions 16.2 Operations Security (OPSEC) 16.3 Information Protection & Classification 16.4 Information Access, Cybersecurity & Mobility 16.5 Antiterrorism
17 Standards of Conduct (AFH 1, Chapter 19)
17.1 A Way of Life: Oaths, Standards & Off-Duty Conduct 17.2 The Law of War 17.3 The Code of Conduct
18 Enforcing Military Standards (AFH 1, Chapter 20)
18.1 The Air Force Inspection System 18.2 Individual Accountability & Corrective Action 18.3 Appropriate Working Relationships & Fraternization 18.4 Addressing Misconduct & Prohibited Behavior
19 Fitness & Readiness (AFH 1, Chapter 22)
19.1 USAF Fitness & Comprehensive Airman Fitness 19.2 The Official Fitness Assessment 19.3 Nutrition & Performance 19.4 Substance Use, Abuse & Treatment Programs 19.5 Readiness State of Mind & Resilience
20 Military Customs & Courtesies (AFH 1, Chapter 24)
20.1 Honored Traditions: Saluting, Titles & Reporting 20.2 Respect for the Flag 20.3 Respect for Individuals 20.4 Ceremonies & Events 20.5 Drill & Formation 20.6 Preserving Our Heritage
21 SJT Format & Competencies
21.1 SJT Format & Mechanics 21.2 Airman Leadership Qualities (ALQs) 21.3 Foundational Competencies & Behaviors
22 SJT Reasoning, Scenarios & Traps
22.1 SJT Reasoning Strategies 22.2 Sample SJT Scenarios 22.3 SJT Traps & Best Practices
9.4 Resource Management & Stewardship
Key Takeaways Explain This Topic AI
The four PPBE phases are planning, programming, budgeting, and execution, and the budget program operates on a fiscal year from 1 October through 30 September.
A financial liability investigation is required for loss, damage, destruction, or theft of government equipment with an initial acquisition cost of $5,000 or greater, and for all sensitive, classified, or leased property regardless of cost.
The DD Form 200, Financial Liability Investigation of Property Loss, documents the facts and circumstances of the loss.
Fraud is intentional deception, waste is extravagant or careless expenditure from deficient practices, and abuse is intentionally wrongful or improper use of Air Force resources.
The AF Form 332 is used to submit base civil engineer work requests, which are categorized as direct scheduled, planned, or emergency work.
Last updated: August 2026
The Resource Management System
AFH 1 states the premise: "All USAF resources have a value or cost associated with them." The resource management system focuses on outputs and resources used , managers effectively using resources , measuring actual performance compared to planned performance , and using financial plans and accounting to enhance management controls at each organizational level .
Being an effective steward "involves more than legal accountability." While every USAF member has a principal responsibility to ensure resources are used in the most cost-effective manner , commanders and supervisors are responsible for the efficient and economical use of all resources in their organizations , as well as budgeting, allocation, composition, and distribution .
The Key Duty Positions
Position Responsibilities
Commanders Review, validate, and balance the financial plan ; inquire about program conditions, review causes, weigh alternatives, and direct action ; allocate sufficient resources to resource management system training
Comptrollers Provide sound financial management and advice to commanders and staff; apply policies and procedures enabling accounting, budget, and cost functions
Responsibility center managers Plan, direct, and coordinate subordinate organization activities ; analyze plans, identify imbalances in resource distribution, analyze alternatives, and balance programs . They appoint resource advisors in writing
Cost center managers The cost center is the basic production flight or work center . They regulate the consumption of work hours, supplies, equipment, and services and shift resources among production tasks to ensure the proper mix
Resource advisors Monitor and help prepare resource estimates ; help develop obligations and expense fund targets ; monitor use of resources against projected consumption ; serve as the primary point of contact on resource management for their responsibility center
The Two Financial Bodies
Body Composition and role
Financial Management Board Established by the senior or host commander at each base . Determines program priorities and ensures effective allocation of resources ; reviews and approves or disapproves recommendations made by the financial working group
Financial Working Group Composed of line and staff resource advisors and responsibility center managers . Develops requirements and revisions for the financial plan, reviews all appropriated fund financial plans , and makes recommendations to the board for final approval , including unfunded requirement prioritization and fund target adjustments
The direction of flow is the item: the working group recommends; the board approves.
The budget program operates on a fiscal year basis — 1 October through the following 30 September.
The PPBE Process
The Planning, Programming, Budgeting, and Execution (PPBE) Process is the Department of Defense's resource allocation system , governed by DoDD 7045.14 . Its ultimate objective is "to provide the best mix of forces, equipment, manpower, and support attainable within fiscal constraints."
It consists of four interrelated and overlapping phases :
Phase What happens
Planning Translates top-down guidance into plans and requirements ; defines and examines alternative strategies and analyzes external conditions and trends ; provides an objective against which execution success is measured
Programming Matches available resources (fiscal, manpower, and materiel) against validated requirements . Key objective: develop a balanced, capabilities-based Air Force Program Objective Memorandum (POM) and defend it during program and budget review
Budgeting Occurs concurrently with programming . Each Component submits a proposed budget estimate simultaneously with a POM . Provides detailed review of pricing, phasing, and capability to execute on time and within budget
Execution Running the USAF day to day . MAJCOMs and HAF are allocated their share of obligation authority ; installations execute to the integrated priority list for centrally managed programs
Three things happen in preparing the budget estimate submission: (1) budget analysts identify situations where the program has put resources at risk of OSD or congressional reduction ; (2) the comptroller applies the latest inflation figures and flying hour and manpower rates ; (3) the program is put into OSD budget format with justification documentation prepared .
Execution reality: because the budget being executed in any given year was compiled over a year earlier, some assumptions will have changed , so Congress allows some flexibility within operating budgets to move resources without requiring permission . Program execution is reviewed at budget execution reviews in February, April (concurrent with the internal Air Force mid-year review), and July .
The Future Years Defense Program
The FYDP is a database summarizing forces, resources, and equipment associated with all DoD programs , displaying information in three basic dimensions :
- Organizations affected — military departments and defense agencies
- Appropriations accounts — research, development, test, and evaluation; operation and maintenance
- Major force programs — strategic forces and mobility forces
It is updated twice during the PPBE cycle: upon submission of the POM (usually July/August) and upon submission of the President's budget (early February the following year) . It comprises 11 major force programs and over 3,600 active program elements .
Equipment and Property Accountability
The USAF equipment management system provides worldwide visibility of all equipment assets , supporting capitalized asset depreciation reporting, equipment requirements determination based on allowance standards, the budget and buy program, and identification of equipment types and quantities . Allowance standards identify specific items and quantities approved by the functional manager for wartime and peacetime operations.
AFH 1 sets the individual standard: personnel must operate and maintain government systems, equipment, supplies, and real property in the best possible condition and readiness, and in the absolute minimum quantity necessary . Airmen must accurately maintain property records , carefully and economically use and safeguard property , provide adequate security, protection, and storage , and make recommendations for preventing fraud, waste, and abuse — exercising supply discipline .
Property custodians are appointed by an accountable property officer, commander, or chief of staff agency and are directly responsible for the physical custody, inventory, accounting, and reconciliation of items on the account . Critically, a custodian may be held financially liable for the loss, theft, destruction, or damage of any property or resources under his or her control , and must report property losses or irregularities to commanders or accountable officers at the time of discovery .
Installation and civil engineer responsibilities. The installation commander has overall responsibility and accountability for the operation of a USAF installation , assisted by the base civil engineer , who is "charged with providing, operating, maintaining, restoring, and protecting the built and natural infrastructure necessary to support the USAF mission" and serves as the focal point for all construction, sustainment, restoration, and modernization of real property .
Civil Engineer Work Requests
Work requests are identified to the customer service unit by the facility manager using the AF Form 332, Base Civil Engineer Work Request , or designated information technology systems. The customer service unit reviews all incoming requests for validity, verifies scope, and coordinates with fire, safety, and environmental agencies. If approved, work is executed in-house by the operations flight based on priority, or as a contract managed by the engineering flight .
Category Definition AFH 1's example
Direct scheduled work Does not need detailed planning ; sent directly to the required shop Fixing a leaky faucet
Planned work Typically complex ; requires detailed planning, scheduling of multiple shops, and lead time for material acquisition Relocating a doorway and associated exit signs to accommodate a new layout
Emergency work Corrects an issue posing an immediate threat to mission, life, safety, or health ; requested and accomplished by the quickest means possible, including verbal or phone communication —
Fraud, Waste, and Abuse
AFH 1 states that the key element of the program is to prevent the loss of resources , with detection and prosecution serving as deterrents. The Secretary of the Air Force, Inspector General , provides policy guidance and establishes and evaluates Air Force Complaints; the IG at every level establishes and directs these programs.
Term Definition
Fraud Any intentional deception designed to unlawfully deprive the USAF of something of value , or to secure a benefit, privilege, allowance, or consideration to which the individual is not entitled. Also any theft or diversion of resources for personal or commercial gain
Waste The extravagant, careless, or needless expenditure of USAF funds or consumption of USAF property resulting from deficient practices, systems controls, or decisions . Includes improper practices not involving prosecutable fraud . Wartime and emergency operations, legitimate stockpiles, and wartime reserves are not waste
Abuse The intentionally wrongful or improper use of USAF resources — for example, misuse of rank, position, or authority causing loss or misuse of tools, vehicles, computers, or office equipment
The discriminator is intent and mechanism: fraud requires intentional deception ; abuse requires intentional wrongful use without deception; waste can be careless or needless without intent at all.
Reporting. Personnel have a duty to promptly report FWA to a supervisor or commander, an IG or other inspector, or through an established grievance channel — or to the Air Force Audit Agency, AFOSI, security forces, or other proper authorities . Complaints may be submitted by memorandum, in person, or by hotline , and may be submitted anonymously . Members should try resolving issues at the lowest possible level using command channels first , and remain subject to punitive or adverse administrative action for knowingly making false statements .
Complainant privacy. The IG safeguards the personal identity and complaints of individuals seeking assistance. AFH 1 is careful here: this does not mean communications to an IG are privileged or confidential — it means disclosure is strictly limited to an official need-to-know basis , when required by law or regulation, when necessary to take adverse action against a subject, or with SAF/IG approval .
Whistleblower rights. Whistleblower witnesses have additional rights , and "third-party" complainants are not entitled to a response regarding alleged wrongs not directly affecting them unless authorized via a FOIA or Privacy Act release.
Financial Liability Investigations
On discovery of loss, damage, destruction, or theft of government-owned property (real or personal) of any value , the immediate supervisor within the chain of command shall conduct an informal inquiry to determine if a formal investigation is warranted.
An investigation shall be conducted for:
- All government-owned equipment with an initial acquisition cost of $5,000 or greater
- All sensitive, classified, or leased (capital lease) property, regardless of initial acquisition cost
- Any real property
Investigations may also be conducted when circumstances warrant — for example, when small losses occur frequently enough to suggest a pattern of wrongdoing .
The DD Form 200, Financial Liability Investigation of Property Loss , is the required documentation , used to document the facts and circumstances of the loss, damage, destruction, or theft . The reference is DoDR 7000.14, Volume 12, Chapter 7 .