Government & Public Sector Journal’s Post

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Reducing reliance on consultancies without investing in public institutions risks undermining Labour's missions. We need an empowered civil service that can take risks, learn & engage with citizens. Read my oped with Rosie Collington in New Statesman. https://lnkd.in/g-fVsUS4

Consultancies may suffer in the short-term from the bursting of the profitable bubble they've enjoyed but in the longer-term they will regain purpose and get to focus on producing valuable output rather than endless marketing of 'new public management'. On the other hand, before casting out consultancies too easily, governments need to remember what was so critical in the know-how of consultancies: Taping into the vast pool of knowledge accumulated from best practices of public and private enterprises all over the world. Governments also need to learn from the practice of hiring a variety of profiles and professions in consultancies, and their ability to reinvent their work. Both need to co-exist and thrive, but a new equilibrium must be found.

"reliance on consultancies for delivering services has not only proved costly to the public purse, it has also undermined the capacity of public sector institutions and services to meet the needs of citizens and be able to adapt that capacity in response to the evolving nature of policy challenges over time. The less the public sector does itself, the less it is able to learn-by-doing." Great article that could so easily be applied to different contexts.

Rigorous performance evaluation is necessary to enhance efficiency and accountability. Clear targets and strict accountability can optimise service delivery and resource management, boosting productivity and revenue generation. Austerity alone is insufficient. Transparency, accountability and governance reforms are also essential. These pillars strengthen public confidence, attract investments and sustain economic growth. https://lnkd.in/dwRMpRfT

When non-Indigenous businesses take away opportunities ear-marked for Indigenous businesses, it counters economic reconciliation. This issue needs to be addressed in procurement offices, not just in the federal government, but also provinces, and corporations both public and private. In addition to this issue we need to fully assess the ownership structure of major IT, consulting, and professional service firms that benefit from the Indigenous marketplace by obtaining contracts that should go to Indigenous-owned entities and that require Indigneous expertise. It's time to analyze empty, hollow, and short-term contractual JVs between Indigenous and non-Indigenous businesses for more than just the contract dollar value and look deeply at social impact and long-term performance indicators that recognize and reward capacity and growth of the Indigenous business sector. It's not enough to simply acknowledge these issues. We need to do better. #economicreconciliation #Indigenousbusiness #procurement #socialimpact

❗ Big Changes Ahead for Consulting Firms Working with the UK Government Both the Conservative and Labour parties have committed to significantly reducing the UK's reliance on external consultants, aiming to halve government spending on advisory firms. This initiative, revealed in their recent manifestos, is projected to save around £3bn over the next five years. 🔷 Impact on Major Firms The decision could affect top consulting firms like Deloitte, EY, KPMG UK, PwC, McKinsey & Company, Boston Consulting Group (BCG), Bain & Company, and Accenture, which have collectively secured £7.1bn in public sector contracts since 2019. Critics argue this reliance on consultants hampers the development of in-house skills within the civil service. 🔷 Political Promises 🔴 Labour's Plan: Labour leader Sir Keir Starmer promises to reallocate the £3.73bn savings to enhance frontline public services and bolster public sector capabilities. 🔵 Conservatives' Plan: Prime Minister Rishi Sunak aims to cut spending on consultants, reduce the civil service size, and introduce stricter controls on spending. 🔷 Debate on Effectiveness While cost savings are a key driver, some experts warn that reducing consultant use could hinder productivity and effectiveness. Previous attempts to minimise consultancy use, like the now-defunct Crown Consultancy, faced challenges. 🔷 Looking Forward As both parties seek to manage an uncertain economic landscape, the future of government consulting contracts remains in flux. The next government will need to balance cost efficiency with the demand for specialised expertise to tackle complex challenges. #Consulting #UKGovernment #PublicSector #Labour #Conservative #CostSaving #PolicyChange #FinancialTimes #BusinessNews

Great article from Management Consultancies Association. We share the government's determination to provide value for money (we are all tax payers too!). But consultancy can be part of the solution to the growth challenge in the public sector. Alba Partners stand ready to #serve the #public #sector.

A good in-depth look at this issue. lots to take in as we continue to work on broader reforms to government procurement with Indigenous businesses. https://lnkd.in/eCezxia7