Show #016: Insourcing




Public Sector HR Podcast show

Summary: As the recession bites, much has been reported about the strong demand for outsourcing and as a consequence, profits of some of the bigger providers have soared.nbsp;Butnbsp;according to research recently carried out by the Association of Public Service Excellence, many local authorities have beennbsp;bringing services back in-house and this trend seems set to continue. To listen to the podcast, click the grey arrow below. In this month's show, we looknbsp;at the results of APSE's research to find out why some councils are finding insourcing a realistic service delivery option. Paul O'Brien is Chief Executive of APSE and he talks to me about the reasons for conducting the research andnbsp;highlights some of it's key findings. Over 50 case studies were examined in thenbsp;research and Paulnbsp;explains that one ofnbsp;the key reasons they undertook thenbsp;project, is that there were plenty of examples and anecdotal evidence around, to indicate that this was happening more regularlynbsp;and APSE members were very interested to find out more. To reinforce this, he also came across a research report by Deloitte which identified that a lot of large American companies were bringing services back in-house. And finally, he wantednbsp;authorities to know that there is a credible optionnbsp;to outsourcing, which may not be the panacea that people think it is. Key findings from the research are: THEnbsp;PRIMARY REASON FORnbsp;INSOURCING IS POOR PERFORMANCE INSOURCED TEAMS PROVIDE BETTERnbsp;QUALITY AND VALUE FOR MONEY NATIONAL AND LOCAL POLICY AGENDAS HAVE CHANGEDnbsp; WORKFORCE ISSUESnbsp;ARE IDENTIFIED,nbsp;SUCH AS POORER TERMS AND CONDITIONS AND LACK OF TRAINING AND CAREER OPPORTUNITIES INSOURCING IS HAPPENING ACROSS ALL SERVICE AREAS IT'S HAPPENING FOR PRACTICLE REASONS, NOT IDEALOGICAL ONES According to Paul, some of the most high profile outsourcing failures is in HR and consequently, thisnbsp;is one of the most likely services to be brought backnbsp;in-house. His advice to any HR practitioner who's facing the prospect of insourcing is: INVOLVE THE TRADE UNIONS AT THE EARLIEST STAGE POSSIBLE - make them aware of what you are planning to do CONSIDER THE CULTURAL IMPACT - ensure a 'them and us' culture does not arise HARMONISE TERMS AND CONDITIONS - between your existing workforce and those coming back to you COMMUNICATE EFFECTIVELY WITH THE WORKFORCE - manage by informing people, not by rumor To play Paulrsquo;s quick video message, click in the middle of screen below. [youtube:http://www.youtube.com/watch?v=7WuhqxrRhqo#38;ap=%2526fmt%3D18] Over 700 copies of the report have already been sold and if you would like a copy, contact APSE on 0161 772 1810 or email enquiries@apse.org.uk for more information on APSE go to www.apse.org.uk Listening to the show is simple, you can do it in a number of ways and you donrsquo;t need an iPod or MP3 player. Simply click on the grey arrow underneath the show heading and it will play through your computer. Alternatively, you can easily download the file and listen to it later, ornbsp;transfer it onto an MP3 player,nbsp;just right click on lsquo;Downloadrsquo; and select lsquo;Save Target Ashellip;rsquo; The show can also benbsp;playednbsp;on iTunes. To make sure that you never miss an episode, you can subscribe freenbsp;via email, or by clicking the orange RSSnbsp;icon or iTunes button. Each new show will then be delivered automatically to your computer, along with notes about the show, useful contact details and links to additional information. Inbsp;would love to hearnbsp;your feedback and any suggestions for further shows. Either email me directly at karen@publicsectorhrpodcast.co.uk or click on lsquo;Commentrsquo; underneath the show title and type away.ShareThis