Gartner Research

Beware of Shortsighted Cost Cutting Brought on by a Resource Crisis

Published: 22 August 2013

ID: G00251884

Analyst(s): Jerry Mechling, Bryan Pagliano

Summary

Despite today's continuing and urgent budget pressures, government IT leaders should avoid cuts that ignore longer-term consequences. While compliance with cost-cutting directives is a must, strategic analysis and alliances can help avoid major mistakes.

Table Of Contents
  • Impacts

Analysis

Impacts and Recommendations

  • Urgent pressures for budget cutting may encourage government IT leaders to recommend and/or authorize decisions that unnecessarily create long-term liabilities
  • Urgent pressures for staff reduction may encourage government IT leaders to make decisions — for furloughs, early retirements, attrition, etc. — that unnecessarily create longer-term morale and productivity problems
  • Urgent pressures may — in general — encourage government IT leaders to make hasty, unilateral decisions that fail to take advantage of the strategic opportunities made possible by a resource crisis
  • Some Examples

Recommended Reading

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