Opinion poll
Companies spend 6 percent of sales on bureaucracy
It is well known that business tends to view bureaucracy critically. The Ifo has now also collected figures on costs.
On average, German companies spend around 6 percent of their sales on bureaucracy costs. This is the result of a survey conducted by the Munich Ifo Institute among 437 managers in May of this year, which has only now been published.
Almost four out of five companies hire external service providers to manage the bureaucracy. The effort is particularly high for reporting and information obligations as well as documentation and reporting obligations.
The survey makes it clear “how great the dissatisfaction is on the business side – also about the lack of implementation of long-known suggestions,” write the authors of the report. “Many of the entrepreneurs criticize the multitude of bureaucratic requirements that increase their personnel costs, reduce their speed of reaction and restrict entrepreneurial freedom.”
dpa
Source: Stern
