The competent people are there, just made totally impotent by the organization, and I'm still convinced that this place is probably better than the median organization.

This sounds so much like government work it's making me itch.

Also, this is exactly the sort of cost savings that, if they don't give a raise/bonus, you hold it hostage.

They have no idea what you did, which means it can be undone, which means you can undo it, quit, and when the costs go back up, you can negotiate the money you felt you deserved in your new contract as a specialist consultant in unfuckonomics.