Excerpt from www.NDMA.COM, © 2024 N. Dean Meyer and Associates Inc.
Analysis: Common Symptoms of Resource-governance Problems
this list of common symptoms whose root cause is financial/budgeting/resource-governance processes to help you decide if change would be beneficial
by N. Dean Meyer
Here are some of the most common symptoms whose root cause is your resource-governance processes:
- You are expected to cut your budget and "do more with less."
- You struggle to defend your budget with little help from your clients.
- Customers expect more of you than you have resources to deliver (managing expectations).
- You lack adequate funding for critical investments in sustenance activities, infrastructure, and innovation.
- Your staff are reluctant to suggest innovative ideas for fear of being expected to deliver them without additional resources.
- Clients don't trust that you're frugal and equitable, perhaps for lack of financial transparency.
- You are accused of costing too much, perhaps for lack of perception of the value you deliver ("the black hole for money").
- You are compared unfairly to outsourcing or other benchmarks (not like-for-like), perhaps because costs are apportioned badly or your rates include things which vendors don't have to deliver.
- Clients are demanding control over your priorities; but steering committees aren't working well, either because they expect more than you can deliver or they make poor priority decisions.
- It's difficult to shift the investment portfolio from "keep the lights on" to strategic opportunities.
- You are caught in political controversies over the way you allocate your costs to the business.
- You don't understand your costs well enough to know where to save money.
- It's difficult to defend your rates or allocation formulas.
- You are trapped in the wrong dialog with the business -- defending your costs instead of exploring strategic investments.
- Managers aren't focused on financial performance metrics, and don't take responsibility for the cost of their services; so they require oversight.
- You are seeking a way to develop a culture within your organization of teamwork, customer focus, accountability, and proactive entrepreneurship.
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