I’m often surprised by what topics will spark interest in people, and cycles vs. innovation/disruption would not be one on my list of topics expected to interest people. But a couple asked me if I could elaborate my example a little more clearly, and so I’m going to go for a specific example currently facing my team.

We have a large branch, some 500+ people. Before the last round of cuts and reorganization, that number was closer to 700. Ten directorates dropped to 7, we moved a lot of financial processing people (back-office types) to a service delivery branch, etc. But the part I want to talk about is the regular financing files for non-salary costs.

These costs are not extensive, maybe 10-15% of salary costs, and include things like travel, hospitality, equipment, newspapers, water machines, software licenses, training, etc. A lot of small costs that require a bit of transaction time. During the reorg a few years ago, it was felt that there were economies of scale and increased consistency to be had by centralizing the macro entry of planning figures for finances by our finance branch. They left basic processing in the branch, and each directorate has an admin officer that handles that.… Read the rest