The most expensive contracting fiasco in the history of the public sector

18 September 2013

The computerising of Britain’s patient health records has crashed and burned in a dramatic way.  The Public Accounts Committee has said nearly £10 bn misspent on the now abandoned project will rise as the costs of ineffective supporting networks are taken into account.

More than 150% of the projected completion price was committed before the plug was pulled on what one PAC member says is evidence of systemic failure, proof that agencies seem unable to manage large IT contracts.

These sentiments echo the New Zealand situation, that each project seems to face problems which though previously experienced haven’t become lessons learned, that agencies don’t benefit from what has gone before. Internationally, the success rate of e-government projects is somewhere about 35%.  It seems much the same in New Zealand.

In 2006 when Gauld and Goldfinch wrote In Dangerous Enthusiasms: E-Government, Computer Failure and Information System Development  the casualty list included the Police INCIS computer ($100m), and systems for Health Waikato (17m), and Capital Coast Health ($26m). Some, like the National Library system remained below public consciousness.   Problems have continued despite the moderating intervention of the Gateway Review process – while the FIRST project has been a challenge for Inland Revenue, the Ministry of Education has been embarrassed by Novopay, and problems, illustrated by privacy management concerns at the Ministry of Social Development, lurk elsewhere.

The British Government has faced similar problems including a breakdown of the computers for child and rural support payments, tax credits, passport management, and tracking non national prisoners.

Currently the Public Accounts Committee is also critical of a procurement hub designed for use by 43 English and Welsh Police Forces. What was meant to facilitate purchasing of 80% of these Forces’ needs within 18 months is being used for approximately 2%.

Computers can be as fickle as folk. Resulting problems provide Spectrum ieee with copy for a column on IT hiccups of the Week.  What seems extraordinary is that in an era when big business is keen to partner with government in running traditionally public organisations like hospitals, schools and prisons, there are few examples of major agency computer projects being structured around a profit sharing PPP agreement. Are the chances of success too discouraging?

www.parliament.uk/business/committees/committees-a-z/commons-select/public-accounts-committee/publications/

www.bbc.co.uk/news/uk-politics-24130684

www.computerworlduk.com/news/public-sector/3469158/home-offices-online-police-procurement-hub-failure/

www.ssc.govt.nz/gateway-rpa-agency-responsibilities

http://spectrum.ieee.org/riskfactor/computing/it/it-hiccups-of-the-week-computer-issues-creates-misleading-us-jobless-claim-numbers-

Would the State Services achieve more with a grumpy head office?

16 September 2013

The Performance Improvement Framework report on the State Services Commission was published last week.  SSC is the 29th  department subjected to the evolving PIF measurements. There has been a notable absence of media commentary about the review.  Perhaps that is not surprising as the content seems to reflect a perception shared by many long time public servants.

The reviewers seem to have found it difficult to be more than moderately complimentary.  In the PIF scorecard rating, of the 18 elements making up the critical areas, only three scored a light green – “well placed”, not excellent – with 14 others as “needing development” (and one unable to be rated).  PIF Fact Sheet 5 on rating the Six Dimensions of System Improvement indicates that only one agency previously has been graded more unfavourably.

The reviewers repeated in various ways the need for SSC to move from talking the talk to walking the talk.  Ironically SSC gets recognition for championing the PIF reviews with which Ministers are apparently well pleased, but is criticised for undercooking its responsibility for providing the leadership needed to give effect to the changes that it advocates. “…It is essential that SSC itself models the collaborative behaviour and culture it seeks from the State Services … SSC must demonstrate it has won the hearts and minds of its own staff…” “…It needs to demonstrate exemplary performance and deliver some real gains…” “The HOSS must communicate…”  “The HOSS must lead…” “The HOSS must be the Boss…”  “…The HOSS needs to be more visible…” “The HOSS must lead by walking the talk…”

A Minister is quoted as saying that the aspiration for SSC is “…a move from a peer relationship to more of a grumpy head office…”

www.ssc.govt.nz/sites/all/files/pif-ssc-review-aug2013.PDF

www.ssc.govt.nz/sites/all/files/pif-factsheet5-august2013.pdf

Most Kiwis trust the Police

11 September 2013

NZ Police has released results of its annual public satisfaction survey.  (The date is probably an unintended coincidence with New York’s commemoration of emergency services’ dedication.)

The survey indicates that New Zealanders continue to have impressive levels of trust and confidence in the Police. The findings show an increase in overall trust levels to 79% (77% in 2012).

This reflects the UMR survey result published as part of the 2013 Mood of the Nation report which also highly rated public satisfaction levels in the Police – the institution with second highest confidence levels (at 70%) above general practitioners (at 69%).  Respondents rated Police as the third most respected occupation (7.9) – along with teachers –  following nurses (8.7) and doctors (8.4). Only the Fire Service (at 88%) had more people rating it higher than the Police (at 77%) for doing an excellent job.

In this year’s survey 83% said that they were either satisfied or very satisfied by their contact with the Police.

Last week Police published the results of internal surveying to determine the commitment levels of staff.  The result shows 24.5% of staff were “fully engaged”  – a drop of over 3%  since last year’s survey, but more than in 2010 and 2011.  Police note that this engagement level is “…well above the State Sector benchmark of 19.9%. .. Police also has over five percent fewer disengaged staff than the benchmark…”

www.police.govt.nz/about-us/publication/citizens-satisfaction-survey-reports

www.police.govt.nz/about-us/publication/new-zealand-police-workplace-survey

http://umr.co.nz/sites/umr/files/umr_mood_of_the_nation_2013_online_0.pdf

https://integritytalkingpoints.com/2013/03/03/small-changes-in-public-confidence-in-agencies/

Why are Singapore, Finland, Sweden and the Netherlands more competitive than New Zealand?

9 September 2013

The World Economic Forum published the 2013 Global Competitiveness Index last week ahead of the St Petersburg meeting of the G20. The report comprises a comprehensive collation of data. The 144 surveyed jurisdictions are evaluated of 117 elements grouped under 12 competitiveness “pillars”.

This year New Zealand has moved up 4 places to 18th in the competitiveness pecking order. This provides some sense of achievement, overtaking Australia ( now 21st) for the first time.  A concern is that jurisdictions with a number of geographic or social characteristics similar to New Zealand – like Singapore, Finland, Sweden, Netherlands and Denmark – are assessed as much more competitive than New Zealand. Yet these economies are handicapped on the index by their market size in the same way as New Zealand.

Switzerland is the highest scoring jurisdiction for the fifth year. Singapore and Finland follow, then Germany and the United States.

Malaysia is the most competitive country in Asia at 24th, China at 29th is more competitive than the other large emerging market economies, like South Africa (53rd), Brazil (56th), India (60th) and Russia (64th).

Switzerland, ranks best on the index. It is only for institutional elements that New Zealand is markedly better than the average for “innovation driven” economies.

Competitiveness Pillars            NZ rating

• Institutions                                        2nd
• Infrastructure                                  27th
• Macroeconomic environment         43rd
• Health and primary education          5th
• Higher education & training             9th
• Goods market efficiency                  9th
• Labor market efficiency                   8th
• Financial market development        4th
• Technological readiness                 24th
• Market size                                      62nd
• Business sophistication                  26th
• Innovation                                        26th

www.weforum.org/reports/global-competitiveness-report-2013-2014  at page 274-5

Better presentation of progress to Better Public Services

6 September 2013

The State Services Commission website has repackaged information showing progress being made by agencies in giving effect to the Government’s  Better Public Services priority goals. The Public Sector Conference yesterday and today provided an opportunity for Ministers to raise awareness of these achievements.

The repacked results, jointly released by the Deputy Prime Minister and the Minister of State Services in July, illustrate that a continuing focus on specific objectives does make a difference.   But the “ten results within five areas” graphs show that there is mixed success achieving these “stretch” goals. Some – those in the Justice sector – are well ahead of plan. Others are flagged as having issues to resolve.

Ministers have commented on the requirement for the State Services to find new ways of working together; that delivering better public services needs innovation and collaboration. The Better Public Services goals are still three or four years out, giving agencies not yet getting sufficient traction towards those goals the opportunity to demonstrate that they can work in new and more effective ways.

The Public Sector Conference titled “New Thinking on the public services of New Zealand” was jointly managed by the Institute of Public Administration of New Zealand (IPANZ), the Labour History Project, the New Zealand Public Service Association and the School of Government at Victoria University as the concluding centenary celebration of the Public Service Act 1912.

http://www.ssc.govt.nz/bps-snapshot

www.ssc.govt.nz/better-public-services

Not much competition about political integrity in Australian election

6 September 2013

In the run up to the Australian election it will be interesting to see whether any particular party claims the high moral ground.

The Transparency International Global Corruption Barometer released last month indicates that Australians are not enamoured of their politicians.  Survey responses suggest that 58% consider political parties to be corrupt or very corrupt!  As an institution Parliament didn’t fare  very much better – 36% considered the legislature was corrupt or very corrupt. Public officials were rated marginally better with a 35% response suggesting they are corrupt or very corrupt. There may not be much attention given to that result – at least not by the media, which was ranked as poorly as political parties – at 58% corrupt or very corrupt.

Not much has been reported about party policies for raising standards in government.

In response to a query from Transparency International the Labor Party set out its “pro-integrity and anti-corruption” priorities.  These include enacting a Parliamentary code, a  Ministerial code and setting up a Parliamentary Integrity Commissioner who will;

  • Provide advice and report on parliamentary entitlements
  • Investigate incidents and provide ethical advice to MPs
  • Enforce the Parliamentary code and control the Lobbyist register

The Liberal Coalition has not formulated its policy.

By comparison, the Greens appear to have the most considered programme.  A Greens government would legislate a code for MPs, set up an anti corruption commission, strengthen  provisions for protecting whistleblowers and review the scheme for election financing.  The Greens would also enact controls on lobbying and lobbyists, based on the Canadian provisions which a fortnight ago, were rejected after Select Committee in New Zealand.

http://www.transparency.org/gcb2013/country/?country=australia

http://transparency.org.au/wp-content/uploads/2013/08/Greens-Anti-Corruption-Policy.pdf

UK government wants lobbying controls rejected by NZ parliament

4 September 2013

A fortnight ago Holly Walker’s Lobbying Disclosure Bill didn’t make it back from Select Committee. MPs voted down the Bill although unanimously agreeing to non statutory controls which would require

  • guidelines for MPs on handling lobbying communications, which could include mechanisms for disclosure and reporting by MPs and lobbyists
  • regulatory impact statements and explanatory notes of bills to include the names of any non-departmental organisations consulted during the development of legislation and policy
  • release of policy papers to make the policymaking process more transparent ( something now required anyhow in the Disclosure Statement which Departments promoting legislation are required to post on the Parliamentary Counsel Office website ).

The Attorney –General had previously been very disparaging of the Bill.

But this week British counterparts seemed accepting of measures thought unhelpful in New Zealand. The Opposition tried to vote the Bill down, seeing the Government proposal as more harmful than if lobbying remained unregulated. The Government had a majority of 71 on the Second Reading. Opposition MPs claim the Transparency of Lobbying, Non-party Campaigning and Trade Union Administration Bill has Government support because it has few of the characteristics prescribed in the OECD Principles of integrity and transparency in lobbying. Its attractiveness for some may be that inherent weakness.

In general terms the UK Bill

  • establishes a Register of consultant lobbyists with a Registrar to enforce the registration requirements
  • regulates election campaign spending by those not standing for election or registered as political parties
  • strengthens requirements that trade unions keep up to date membership lists.

Opponents see the proposal as the sort of legislation promoted when Governments want to make a political statement but not to force change.

www.parliament.uk/business/news/2013/september/transparency-of-lobbying-non-party-campaigning-and-trade-union-administration-bill-/

www.parliament.nz/en-nz/pb/legislation/bills/00DBHOH_BILL11278_1/lobbying-disclosure-bill

http://blog.greens.org.nz/2013/08/23/the-final-report-on-the-lobbying-disclosure-bill/

Is the Westminster doctrine of Cabinet collective responsibility collapsing?

31 August 2013

The Commons vote this week opposing intervention in Syria not only limits the British Government’s authority to provide military support to the United States, but appears to break with the collective responsibility of Cabinet. For many decades, the doctrine of collective responsibility has been fundamental to Westminster constitutional arrangements.

In the UK all members of the Government from Ministers in Cabinet down to Parliamentary private secretaries are expected to comply with the doctrine. The rationale is that a vote of no confidence agreed by a majority in the Commons encompasses all Government office holders, and all Ministers resign their warrants.

The opportunity for a free vote may be given to back benchers enabling them to abstain or vote against an item of government business but by convention, all who hold positions in the Administration must support its business.

A Telegraph report is that the Whips are in trouble.  Arrangements were meant to be in place for a three line whip. In the event the Government lost the vote by 13, after 31 Conservatives – a number of whom hold ministerial appointments – failed to vote, and 30  “rebelled” and voted with Labour.

Part of the issue appears to be that a number were given leave as the strength of opposition to the vote was underestimated. However, there may be ten Ministers who lose their roles. Although several Lib Dem ministerial aides, also regarded as part of the Administration, abstained, their Party leader is less concerned about the outcome of the vote.

A similar circumstance threatened earlier this year at the time of the Queen’s Speech which included references to EU membership. A group of Conservative members who proposed moving an amendment to acceptance of the Speech were placated with arrangements for Ministers to abstain and for back benchers to have a free vote.

 

www.telegraph.co.uk/news/worldnews/middleeast/syria/10277598/Ministers-face-sack-over-Syria-shambles.html

www.theguardian.com/politics/2013/may/12/eu-referendum-cabinet-david-Cameron

www.historylearningsite.co.uk/whips_and_the_whipping_system.htm

Lots of UK government data but not much meaning

 

29 August 2013

The Institute for Government has published Whitehall Monitor 2013 in its continuing series about the implications of UK Government reforms. The  IfG promotes the report as aiming “… to build a systematic framework for thinking about the effectiveness of Whitehall. It focuses on the three elements needed to judge effectiveness: the resources Whitehall has available to it (inputs), what it does with them (outputs) and whether it achieves its goals (outcomes)…”

The report acknowledges the drive for transparency and the accessibility of data but questions the usefulness of much of it.  The criticism is that the data has too few links that explain the effect of Government actions.  An interesting aspect of the input material is of the changes in civil service “headcount and diversity”. Some Departments have had dramatic reductions in staffing, but the ethnicity, gender and disability representation has not improved in the restructured agencies.

Despite the reducing headcount, redundancies must continue on a more rapid scale to meet Government targets for 2015. In the last two years the Department for Work and Pensions has reduced staff by 20,000, the Ministry of Defence by more than 15,000 and a number of  smaller departments, by more than 20% of their 2010 establishment.

The target under the  Civil Service Reform Plan is 380,000.

The Whitehall Monitor highlights the absence of substantive data about the impact of, and difference made by, these input changes.

“…A lack of useable public information on how well Whitehall meets its objectives makes assessing overall government effectiveness ‘an impossible task’…” The IfG wants the Government to make it easier to find out what data is produced by publishing an index of available information, with an explanation of the purpose and coverage of each data set.

 

www.instituteforgovernment.org.uk/publications/whitehall-monitor-2013

www.instituteforgovernment.org.uk/news/latest/impossible-public-measure-overall-effectiveness-whitehall

www.instituteforgovernment.org.uk/news/latest/impossible-public-measure-overall-effectiveness-whitehall#sthash

Greens lobby ineffectively to control lobbyists

26 August 2013

New Zealand may be seen as taunting the OECD with a disregard for a Recommendation of the Council  to regulate lobbying and lobbyists  The OECD considers that controls are vital “… to make the world economy stronger, cleaner and fairer…”  They are necessary in the “…drive to foster open governance and restore public trust in markets and democracy…”

But that is not the conclusion reached by the Government Administration Select Committee. In reporting on the Lobbying Disclosure Bill today after more than 12 months’ consideration, it has decided that regulating the activities of lobbyists would have unintended consequences for democracy going well beyond what is required.

The Attorney General’s view is that the ability of citizens to freely express views and opinions should not be silenced by the state.

In what may well be an ironical observation on Parliament’s history of self regulation, the Select Committee suggested that the best way to improve transparency of lobbying and decision-making is not to legislate but for the House to set guidelines on proactive disclosure.

The report mentions statutory controls in Canada and Australia (although another 10 countries have laws in place, with others like Ireland in the process of enacting provisions) but makes no reference to the OECD Principles for Transparency and Integrity in Lobbying.  The Principles, in force since 2010 expect Member states to implement rules and guidelines.  That may well be why the Select Committee suggested that a better solution than the Bill promoted by the Greens, would be for Parliament to establish “guidelines”.

A primary characteristic of the OECD Principles is that there is a clear and unambiguous definition of “lobbyist and lobbying activity”.  The Select Committee proposal for guidelines that provide a definition of lobbyist and lobbying activity reinforces the probability that though rejecting statutory controls, the Select Committee members were cognisant of OECD expectations.  This sideward glance at the OECD is pertinent.  The OECD  Council has directed that the Public Governance Committee report this year on progress made in reviewing and updating frameworks for transparency and integrity in lobbying.

www.parliament.nz/resource/0001777544

www.oecd.org/gov/ethics/oecdprinciplesfortransparencyandintegrityinlobbying.htm

www.oecd.org/gov/ethics/lobbying-forum.htm

www.oecd.org/gov/ethics/Lobbying%20Brochure%202012.pdf

https://integritytalkingpoints.com/2013/06/26/new-oecd-push-for-lobbying-controls/