strategic RESOURCE management

Capabilities

Transforming strategic goals into programs that efficiently deliver government products and services is a fundamental part of government management. Allocating and managing resources is often the most critical aspect of this process.

Achieving strategic change isn't easy, and a “brilliant” plan is not enough. Resources, both human capital and financial, are the tools for effecting change. Too often, costs, risks, and priorities are not considered early in the planning process—resulting in an unaffordable plan that is never fully executed or has unanticipated negative effects on other programs. Effective plans simultaneously consider needs, costs, and the near- and far-term resource implications of the interdependent changes.

A strategic resource management process translates strategy into programs that achieve the desired results at the best value to the government. LMI can help develop a strategic resource management process that links strategies, planning, resourcing, and execution; defines how the organization delivers value to its customers and focuses analysis on improving delivery of these goods and services; produces a strategy that clearly communicates needs, priorities, and risk decisions; considers a broad range of solutions to meet organizational needs; measures how well programs achieve desired results; provides transparent and accurate information for decision making; creates results-based controls to incentivize performance; and informs decision makers of actual results to facilitate adjustment of programs and strategies.

LMI’s proven methods engage senior leaders at key points in the study to ensure that it meets their expectations and provides them with a range of options, rather than a single solution. This coordination allows the decision makers to choose the degree of change and reduces friction among stakeholders.

CLIENTS AND SOLUTIONS

DoD—Linking Allocation with Strategy

The military health system, a $33 billion-per-year business that provides medical care to 9.2 million beneficiaries and represents more than 8 percent of the annual defense budget, sought to improve its effectiveness while controlling its escalating costs.  In response, we assisted a government team in rapidly assessing the system and recommending ways to reduce costs without compromising quality and patient access.  We reviewed governing laws, regulations, policies, processes, and organizations and worked with the government team to develop 24 major recommendations for changes in business practices, human capital management policies, and infrastructure management processes.  23 of the recommendations were approved and a new Military Health System Office of Transformation was established to oversee their implementation.  Over the next 3 years, our work will assist the military health system to completely transform and provide vastly improved medical services to our armed forces and other beneficiaries at a lower cost to the government.

Treasury—Creating Options for Strategic Change

Literally making money, creating the currency and coinage needed by the Nation, is big business for the Department of the Treasury. Treasury sought to develop options that would lower the costs of producing currency and coins, while maintaining the security of our monetary system and support to customers. LMI examined opportunities for organizational restructuring and process change that could achieve coin and currency production efficiencies in the U.S. Mint and the Bureau of Engraving and Printing (BEP). We developed innovative alternatives for coin and currency production and evaluated the ability of each to generate cost savings and production efficiencies. We developed 15 options—from sharing services to consolidating specific headquarters and manufacturing facilities—and estimated the costs and savings associated with each over a 10-year time frame. Our team brought key Mint and BEP executive stakeholders together to examine management, finance, facilities, and organizational aspects of the challenge.