Thursday 28 November 2013

Public Sector Outsourcing

http://www.arthurcox.com/uploadedFil...uly%202013.pdf

Arthur Cox article with some views on outsourcing. Having gotten bogged down in the document and eventually reading some of it, the document is an account of sorts and where possible outsourcing might happen.


s per the Public Service Reform Plan,
in relation to outsourcing a series of
timelined steps are outlined, which relate
to overall identification of opportunities,
development of business plans and,
importantly, strengthening of public
service “commercial capability” in the area,
which should include the challenging
area of project structure and supplier
management. It is an essential feature
of outsourcing that a strong customer
commercial function is needed to manage
suppliers. This area of historical public
sector weakness is, we understand, under
review by DPER. Overall, the outsourcing
industry has taken up the challenge
of presenting suitably compelling
arguments for outsourcing in appropriate
circumstances and with reference to the
stipulations of the Croke Park Agreement
 


One company that may have an interest in this is South Western Business Services, an Irish company . On their website it says :
http://www.southwestern.ie/

SouthWestern is a market leader in the provision of integrated front and back office services. Our key focus areas are Finance & Accounting, HR and Payroll, Customer Relationship Management and integrated front and back office services. Our sector focus is in our key markets of Public Sector, Financial Services, Travel, Media and Food and Drink. We provide business services to leading public and private sector clients in Ireland, the UK and Europe.

One of their directors is one Joe Walsh whom may be familiar as the once Irish minster for Agriculture .

When you look at outsourcing over all, cost effectively it does not really play out. Patricia King from SIPTU last year concluded that after a study that there is very little cost benefit from outsourcing of the Health Service and in the long term that this may even cost the state more.

KPMG's Paul Toner however takes a different attitude, getting all excited about the opportunities afforded by outsourcing
http://www.eolasmagazine.ie/outsourcing-irish-insights/

There are already many good examples of this:

• the HSE now has a legal outsourcing framework that governs the outsourcing of legal services that has improved the effectiveness of the service while driving down costs;

• a number of the financial services institutions have outsourced special servicing to third parties who bring more effective technology solutions and skills to support a more effective process offering increased performance at a lower cost;

• numerous utility and public service companies have outsourced selected customer servicing processes to third parties who have ‘best in class’ customer servicing platforms that would be prohibitive in terms of time and cost for those entities to put in place themselves
.

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