Showing 3 ideas for tag "incentives"

Department of Defense

End of Year Funding Incentives

Each year, towards the the end of the fiscal year (around September), military commands around the world scrammble to spend the remaining money in their budget for fear that their funding for the next fiscal year will be cut (take a mark).

Rather than penalizing commands for not spending their money, they should be rewarded for their savings. A small portion of the money they turn back should be given back to the... more »

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Department of Defense

Manage incentives, not just dollars

An organization as large as the US government will never control costs without appropriately aligned incentives for individual employees. The solution to sustained federal cost savings is a shift in focus from management of dollars to management of incentives.

Federal employees squander millions of dollars and justifying it by saying, “If we don’t spend it this year, we won’t get it next year.” This causes a ratchet... more »

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Department of Defense

End of Fiscal Year Spending

Often agencies spend money at the end of the FY so their budget won't be cut by the amount they save. Instead, as a method to cut spending, allow the agency's budget to remain at the same burn rate as previous months, but allow them to not spend as much during the last month of the fiscal year. This will, in particular, save millions in wasted flying time hours when units fly unnecessarily in order to use all their... more »

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