Local government is adopting shared services at lightening speed

Back in December a colleague of mine wrote an article about research from the Chartered Institute of Public Finance and Accountancy. The research suggested nearly all local councils will use shared services.

It seems to be moving in that direction of recent tenders are looked at. There is loads going on in local government.

How deep can these sharted services go? How long will it be before all IT enable services are shared ion local government? Which other public sector organisations can share IT with local authorioties?

– This week a tender has been placed on the Official Journal of the European Union by four London boroughs that are looking for a systems integrator to support their plan to share a single instance of Oracle’s latest ERP software.

The contract, which will be worth up to £88.5m over four years, includes the London boroughs of Barking and Dagenham, Brent, Lambeth and Lewisham, which are existing Oracle users. It is hoped other councils – including Croydon and Havering – will join the shared services deal at a later date.

– Early this month Surrey County Council put out a tender for a managed network service that will be shared between public sector organisations within the council as well as neighbouring Berkshire.

The contract titled Unified Communications over Regional Networks (Unicorn) was been put out for tender on the Official Journal of the European Union.

 It is asking for bidders that provide integrated network systems and services as well as telecoms suppliers.

The supplier will be tasked with providing services, including managed wide and local area networking and IP voice services, to public sector organisations, provide the ongoing management of contracts within the overall project, as well as technical, commercial, migration, training and support. The service provider will be expected to work alongside staff from the public sector who will provide specialist business and procedural expertise.  

– Also this month came news of seven Scottish councils joining up services in a move that is expected to save around £30m a year. The participating councils include Glasgow, Inverclyde, East Renfrewshire, Renfrewshire, East Dunbartonshire, West Dunbartonshire, and North Lanarkshire.

Staff numbers under the new shared services model are expected to decrease by around 25% over time, which could see more than 100 IT roles go. IT is the most expensive function across the councils with a total cost of £58m per year.