Budget Cuts

A short little post for today but I had to bring this up: I saw an article about where companies will cut their budget in the impending recession. We’ve been undergoing inflation for a while now, but I think in the past month it is starting to ease in the sense it stopped going up. The trick will be bringing it down which is why the Fed that they will have to inflict pain in order to get rid of inflation.

There is a fear that we may see a recession later this year if we are not already undergoing it, so companies may be making plans to tighten up.

According to the article, one area companies are looking at is their real estate, especially if more and more of us work from home. The need for a large office space appears to be declining and maybe companies are rethinking their back to the office plans. I don’t know how large an impact reducing the real estate have on the companies’ budget, but it sounds like the reduction could be very attractive.

The other area companies are eyeing, and is the reason why I’m doing this post, is finance. Right now, IT and technology are regarded as an enabler of many things, and I believe budgets are increasing for IT automation. Finance is the one area undergoing immense automation.

Yeah.

That’s the not so good news – not that we weren’t already aware of it.