tag:blogger.com,1999:blog-6052097781213973653.post6960626618863387146..comments2023-10-25T02:52:26.716-07:00Comments on Tzimiskes: Why Cost Cutting Costs MoneyTzimiskeshttp://www.blogger.com/profile/13002441291627298737noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-6052097781213973653.post-42229860187336778042010-10-28T15:45:56.292-07:002010-10-28T15:45:56.292-07:00Very true. My current job I like to call "ca...Very true. My current job I like to call "capital adjacent" or "downstream government." We're a for-profit company that mostly subcontracts with non-profit agencies that are entirely funded by California and the United States. <br /><br />In 2002 when the California budget blew up, I met with my assembly representative who asked for suggestions. The system I worked in is very complex (There are roughly 8000 other companies doing different things different ways that contract with the 21 non-profits funded by government.) <br /><br />I pointed out that no consistent effort has ever been made to track outcomes and without that all I could recommend is to cut someone else and leave me whole. With that, he wouldn't need me to recommend anything because they could figure out which things they bought were helping and which things they bought were not helping, and cut out the waste. He actually did include my suggestion in a bill but it died in committee because it would have cost $50 M over several years. <br /><br />Since then, they have cutting the whole system by around $150M/year and it doesn't matter if a particular purchase is under- or over-valued because nobody knows.Doug The Unahttps://www.blogger.com/profile/04753071669562594194noreply@blogger.com