Dealing with Budget Challenges

It no secret that public agencies across the US are dealing with budget challenges as a result of the pandemic. State and local governments have seen declines in revenue and increased costs and continue to look for ways to close the budget gap.

According to a recent study by Deloitte, there are three types of approaches that organizations can consider. These are traditional, structural and next-generation. (To dramatically reduce paper waste, eProcurement is a big help!)

Traditional Approach
This approach include strategies such as the use of rainy-day funds (reserves), borrow funds, or even raising certain taxes and fees. Reducing the workforce or the services provided to the community can also be an option, as is the outsourcing of services that have traditionally been performed in-house.

Structural Approach
If a structural approach is considered, then an organization can look at things like consolidation of services, development of shared service models, and the removal of organizational silos.

Next-Generation Approach
The last, but certainly not least, of the options is a next-generation approach, including acceleration of digital technology adoption. In addition to the implementation of digital systems (including procurement and contract management), public agencies can better use data for allocating their limited resources and promote remote working arrangements. The Negometrix team covered ways to measure your cost savings in one of our recent webinars.

Reduce Costs with Negometrix

Many suppliers in the digital procurement industry, including our own, have begun offering a trial period to agencies to use their systems for free. This can allow an agency to enter the digital space at no cost and with minimal risk.

If you are interested in learning more about this opportunity, please visit www.Negometrix.com or email Bilalia H. Mubashshir, Senior Consultant, at Bilalia.Mubashshir@negometrix.com.