Private sector doesn’t improve services, say public sector staff

6 Dec 11
Senior public sector staff expect private companies to play a greater role in providing public services, but almost half believe such collaboration will affect quality, a survey has found.
By Richard Johnstone | 7 December 2011

Senior public sector staff expect private companies to play a greater role in providing public services, but almost half believe such collaboration will affect quality, a survey has found.

The survey covered 200 senior public sector staff, working in local government, health, uniformed services and universities and already involved in partnerships with private firms.

According to Relationship counselling, published today by the Hay Group consultancy, the proportion of public bodies outsourcing services is expected to increase. Currently 17% of organisations provide more than 40% of their services this way, according to the survey. This is expected to increase to 38% in three years’ time.

Almost half of respondents (49%) dispute that the private sector would provide better services. Almost as many, 44%, believe that increased public-private collaboration will damage service quality, and the same proportiondid not believe such deals would be value for money.

Just over a third of the managers (37%) expressed opposition to collaborating with the private sector.

Phil Kenmore, the director of public sector consulting at Hay Group, said that a ‘legacy of less successful partnerships has left public sector leaders with low expectations of working with private companies’.

He added: ‘However, partnerships can drive positive results when based on mutually agreed goals and aimed at achieving desirable outcomes for both parties.

Lingering suspicions can be a critical barrier to successful collaboration. It is vital to establish common ground and identify differences at the outset to overcome this.’ 

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