{"id":693,"date":"2021-07-15T11:42:59","date_gmt":"2021-07-15T11:42:59","guid":{"rendered":"https:\/\/wordpress-485533-2256537.cloudwaysapps.com\/?p=693"},"modified":"2022-07-18T17:06:18","modified_gmt":"2022-07-18T17:06:18","slug":"responsibility-opportunity-via-austerity","status":"publish","type":"post","link":"https:\/\/greenbuying.co.uk\/responsibility-opportunity-via-austerity\/","title":{"rendered":"Responsibility & Opportunity via Austerity"},"content":{"rendered":"
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“A pessimist sees the difficulty in every opportunity; an optimist sees the opportunity in every difficulty” (Sir Winston Churchill)<\/strong><\/p>\n

Against an ongoing background discussion on the role of public sector spending in a recovering post-recession economy, many governments around the world have committed themselves to spending reviews.<\/p>\n

The UK has adopted ambitious public sector spending cuts, now in their fourth year of implementation. With few exceptions all Government departments still face cuts, the scale of which goes well beyond the reach of mere efficiency measures.<\/p>\n

For the private sector, such an approach to austerity in difficult times is nothing new. But from Whitehall to Town Halls, from board rooms to factory floors an austerity agenda presents an opportunity to reconsider the more profligate business models and process.<\/p>\n

Food production, water scarcity, inequality, climate change, energy security, disease and natural resource shortages; these are the seemingly expensive challenges on a grand scale which we must continue to address whilst making the books balance once again.<\/p>\n

The sustainability agenda is concerned not just about doing more with less, but finding better ways to do things. This paper applies lessons from sustainability to spending cuts, in search of doing better. It identifies four areas in which cost savings can help improve the long-term viability of an organisation. It is aimed at those who need to achieve cost savings, but believe there is a more intelligent approach than simply swinging the axe.<\/p>\n

Introduction<\/strong><\/p>\n

Austerity should drive intelligent efficiencies in the short term. But something more is required if long term aspirations for the organisations are to be met. Sustainability can drive innovation and entrepreneurialism whilst achieving efficiencies. This relates to necessity being the mother of invention and how you achieve more with less. Organisations need to do more than hope that adversity drives innovation; they must create the circumstances to facilitate it.<\/p>\n

There is therefore a need to create a culture of ideas generation and discussion paralleling the Government?s “Spending Challenge”.<\/p>\n

The process of identifying spending cuts is an excellent opportunity to reflect on the fundamental purpose of an organisation. Those looking for medium term growth in size, turnover or scale of delivery, need to consider what the purpose of that growth is? All organisations exist primarily to enhance quality of life in some way. Once that goal is recognised the mechanism by which it is achieved can be determined<\/p>\n

Corporate sustainability encourages a complete understanding of operations now and into the future and seeks to adapt internal process providing an enduring, balanced approach to economic activity, environmental responsibility and social stewardship.<\/p>\n

These points may be of philosophical interest in abstract, but are only of value when grounded in reality. This document therefore sets out the basis of a practical approach, seeking benefits from the austerity agenda in:<\/p>\n

? Strategy<\/p>\n

? Innovation<\/p>\n

? Process efficiency<\/p>\n

? Resource efficiency<\/p>\n

The Model<\/strong><\/p>\n

There are four areas in which the drivers of sustainability and austerity can be easily aligned. These are mapped below and provide the structure for this document.<\/p>\n

These four elements represent the greatest synergies between the objectives of spending cuts and sustainability. Each of these presents an area in which cost management may provide the catalyst for finding new and better ways of doing business or delivering services.<\/p>\n

The order usually begins with a review of strategy as with current austerity measures; however, in some instances, innovation can be a viable starting point. These elements are now considered in turn.<\/p>\n

Strategy<\/strong><\/p>\n