Local authorities are lukewarm about central government plans to develop
shared administration systems to cut costs.
Shared services are integral to plans to improve efficiency across the public
sector and meet public spending commitments without raising taxes. But council
IT leaders claim that time constraints and organisational complexity stand in
the way of progress.
Building effective partnerships takes time, said Glyn Evans, assistant to the
chief executive at Birmingham City
Council.
“Local government is yet to be convinced about shared services very few
major projects have been set up so far,” said Evans.
“You cannot force people together who do not naturally work together, and
partnerships take a while to develop.”
The reservations are also reflected in last week’s annual IT trends report
from local authority user group
Socitm.
Respondents rated shared services only fourth as a policy for improving
efficiency, behind alternatives such as flexible working.
Central government planners have been wowed by management consultants, said
Socitm report author John Serle.
“Private firms can raise capital more easily and change how they work
faster,” he said.
“The speed at which partnerships are adopted by councils will be slower than
anticipated and on a smaller scale.”
Local authorities claim shared services are not the only route to improved
efficiency.
Westminster City Council is
showing that costs can be cut in other ways, said interim head of IT Tony Glew.
“We are meeting our financial objectives, but we share with the private
sector, not with other London boroughs,” he said.
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