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02 November 2005
CAB 060/05
The Government today announced a new drive to deliver major efficiencies for tax payers by merging back office functions in public services.
Announcing the creation of a new cross-government team to promote shared services, John Hutton said merging functions such as call centres or human resources that can be delivered more efficiently on a larger scale, has the capacity to make big savings that can be redirected to the frontline.
And when funding is awarded for projects there will be a presumption that only sharing and joining up delivers value for money. Making it much harder to go ahead with wasteful duplication.
A Shared Services Director has been appointed to work for Ian Watmore in the Cabinet Office to work with public sector organisations acting as a catalyst to drive progression to shared services.
Cabinet Office Minister, John Hutton said:
“People rightly demand both choice over the kind of public services they use and value for money – that is why different institutions should team up and share back office functions that can be delivered more efficiently on a larger scale.
“If institutions can share front and back office functions like call centres and human resources, it will make big savings for tax payers that can be reinvested into the front line.
“Sharing services will mean big changes for the way public institutions work, but those changes will be of huge benefit to public service users and tax payers.
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The cross-government strategy, ‘Transformational Government: Enabled by Technology’, also outlined new measures to ensure better management and successful delivery of IT projects.
Common standards for new projects will be overseen by cross-government IT leaders, the CIO council and a new Service Transformation Board. The board, composed of officials from the wider public sector, will set operational strategy, promote best practice and develop new channels for access to public services
Cabinet Office Minister Jim Murphy announced the Government will engage with public service customers to better understand their needs and expectations. This research will also be used to identify clear customer groupings. Customer Group Directors will be appointed to lead on the transformation of group services and co-ordinate activity when services cut across organisational boundaries.
Jim Murphy Cabinet Office Minister for e-Government visited Skinners' Company's School for Girls in Hackney London where pupils showed him how they see technology improving their lives now and in the future.
“I have seen and heard today from the generation growing up with the internet and text messages how they think technology can shape their lives by 2010 – the Government certainly has high expectations to meet.
“We need to continually search for better ways to deliver public services and this strategy sets out a path to do that.
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The strategy will focus on the needs of public service users by:
Head of the e-Government Unit and Chief Government CIO Ian Watmore said:
“The pivotal component of this strategy is ensuring that the public sector builds a solid base of IT professionals. All other aims can only be reached if we have the people with the right skills to keep up with innovations, respond to customer needs and allocated resources effectively.
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The Cabinet Office has worked closely with ODPM on this project.
This report highlights the government's commitment to ensuring that the benefits of information and communications technology reach every citizen, and especially those who are most excluded and disadvantaged. It sets out recommendations and actions about how the government will continue to bring innovations to address some of the continuing issues of social exclusion in this country.
“We welcome the government's vision of driving public service improvements through effective use of IT. New technology can shift the balance of control from public service providers to the citizen. This can be a powerful force for improvement by improving outcomes for the public and increasing value for money for the taxpayer.
“The government's record on IT procurement to date has been mixed, so a commitment to a shared services culture, more joined-up delivery, improving professional skills and better management of suppliers is very encouraging. Business will do what it can to make sure this bold agenda is delivered in full.
“The government has recognised business should be properly engaged with both as a user and as a supplier of IT services, and that lessons can be learned from us on transforming services and developing better customer focus. The creation of the Service Transformation Board and appointment of Customer Group Directors will be crucial to this and we look forward to working with both.
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