Enhancing Cost Data Analysis To Deliver Improved Financial Oversight

Top 3 Areas of Impact

$2M

Approximately $2 million a month saved in vacancy penalties

$7M

Over $7 million saved from SCA adjustments in CY24

$4M

Over $4 million saved from minimum wage adjustment payments in CY22-23

Summary

Learn how BDO helped the United States Department of Labor (DOL), Employment and Training Administration (ETA), Job Corps improve the financial oversight of program operations that affects more than 50,000 at-risk students every year.

Department of Labor logo

CLIENT
United States Department of Labor, Employment and Training Administration, Job Corps
INDUSTRY
Government and Public Sector
VISIT
https://www.dol.govopen_in_new

The national mall with US Capitol in the background

Challenge

The DOL wanted to improve financial oversight of the Job Corps program’s operations on risk management, financial analysis, and cost data analysis. Additionally, fragmented systems and data sources required time-consuming, labor-intensive manual analysis.

Recommendations

  • We proposed bringing information from multiple financial systems and sources of analysis, data analytics, and automation to enhance efficiency and reduce manual analysis, allowing employees to focus on higher-value, knowledge-based tasks.
  • We supported the DOL Director in identifying the most cost-effective strategy to address the federal minimum wage impact on Job Corps centers. We proposed a strategy that included salary verification using payroll data and additional supporting documentation to help the DOL process and organize information from more than a dozen operators, all with different reporting systems.
  • As a final recommendation, we provided advanced data analysis to perform data validation, outlier identification, and data visualization, which led to the rejection of hundreds of claims, saving the agency millions of dollars.

Results

When BDO specialized resources stepped in as CFO, the company was able to complete its reporting on time. This enabled the CEO (which was newly assigned by the company) and we worked closely with the new CEO to improve profitability throughout most of the year.

BDO brings passion, new ideas, and critical thinking to help us better execute our mission. With their help, we realized millions in savings and are better positioned for the future.
Department of Labor