At the Nov 2010 NYPTA Conference, Hillary Ring, Director of Government Affairs, MTA, presented how the MTA is cutting $1 billion from its $12 billion budget. The multi-prong approach included targeted service cuts, reducing costs of supplier contracts, competitive procurement of health insurance, consolidating warehouses and maintenance services, laying off 1,000 administrative staff, and centralizing business operations. Additional steps are needed to attain the $1 billion recurring annual savings.
As MTA's plan for centralized business operations was discussed I thought about ITNAmerica's central business support services for its affiliates. In the case of MTA, its member transportation companies were responsible for their own procurement, accounting, marketing, IT support, etc. MTA's central business center required a major investment in IT systems in order to consolidate central services. ITNAmerica's central office support for its affiliates provides each affiliate with cost-effective central support for essential business services, and web-based operations software.
Sometimes similar models work for the largest and modest sized organizations.