Tab Warlitner, Deloitte principal, recently participated in an interview with ExecutiveBiz. Warlitner shared his perspective as the manager of Deloitte’s division that is responsible for serving clients in the public sector.
Warlitner said that deficit cuts are creating a number of challenges for the public sector. Deloitte and other firms that serve government agencies are highly uncertain about the overall trend for the market.
Firms that serve the public sector are forecasting how these programs will change over the coming year. Warlitner said that many of the most important programs in the Department of Defense will be preserved. Government agencies are also considering some long-term programs that must remain intact, but aren’t as critical to long-term goals. These programs will continue to operate, but some funds will probably be reallocated to higher priority projects. These programs may not be implemented in the time-frame they originally projected.
However, government agencies have to rethink their priorities and change their mission focus. Deloitte and other consulting firms are going to need to adapt their strategies as they come to terms with these changes.
Warlitner said that these government spending cuts will have a profound impact on many programs and the way Deloitte manages projects of its public sector clients.