Frequently Asked Questions
- What is the official definition of cost containment?
- Why is cost containment important?
- Who does cost containment affect?
- What are the major cost containment areas?
- What are the top cost containment solutions?
- What are other cost containment areas to look at?
- How many resources are allocated to cost containment among institutions?
- What are the primary sources of cost containment ideas?
- What is the official definition of cost containment?
- Why is cost containment important?
- Who does cost containment affect?
- What are the major cost containment areas?
- What are the top cost containment solutions?
- What are other cost containment areas to look at?
- How many resources are allocated to cost containment among institutions?
- What are the primary sources of cost containment ideas?
Process of maintaining organizational costs within a specified budget; restraining expenditures to meet organizational or project financial targets. (from Answers.com)
Cost containment has become very important to institutions of higher education to ensure financial resources are utilized to achieve greater efficiencies.
In the short run this affects faculty, staff and students. In the long run this affects policy makers and the public.
The most sought out areas for cost constraints are Energy, Procurement and Health Benefits.
The common simple solutions for cost containment includes direct deposit, increase distance education and switch to all electronic paperwork/filling.
Other suggested areas to consider cost constraints are dining/food/residential halls, bookstore, cashiering and financial as well as vending services.
Only 12 percent of institutions set aside resources to a “significant” extent for identifying and implementing cost containment measures. (AASCU Survey)
The primary sources for ideas and strategies are fellow colleagues and staff individuals at other institutions and professional meetings or associations. (AASCU Survey)