Shared Services in the Public Service

1
Shared Services in the Public Service

• Gearoid OKeeffe
• Public Service Modernisation Unit
• Department of Finance

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Shared Services in the Public Service

• OECD Review of the Irish Public Service (2008)
• Transforming Public Services (2008)
• Report of the Special Group on Public Service
  Numbers and Expenditure Programmes (2009)
• Public Service Agreement (2010)
• National Recovery Plan (2010)
• Government for National Recovery (2011)

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Shared Services

• Single centralised units providing specialised
  administrative and back office support services
  to a number of organisations, which are often
  geographically dispersed.
• Greater efficiency
• Increased quality of service
• A more service focused ethos

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Benefits of Shared Services

• Cost savings through
• efficiencies
• economies of scale
• reduction in duplication of effort
• Process improvement/standardization/consistency
• Higher quality of service and productivity with
  lower resources
• Higher degree of staff specialization and
  expertise
• Improved focus on strategic decision making
• Additional service delivery

5
Risks

• Reduced service quality
• Loss of control, concerns about access to
  services
• Inflated retained organization, shadow staffing,
  duplicate record keeping
• Reduced internal talent pool, risk of losing
  internal capacity and corporate knowledge
• Reduced motivation and commitment if
  the transition is badly managed
• Expectation

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Shared Service Areas

• Back Office
• Human Resources
• Payroll
• Pensions
• Financial Management
• Procurement
• ICT Systems Management.
• Services to the Public

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Shared Services in the Public Service
Civil Service Health Education Local Government State Agency Justice/ Defence
Human resources
Payroll
Pensions
Financial Management
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Some Shared Service Initiatives

• Education
• Consolidated Student Grant Scheme
• VEC Pension Administration.
• Health
• National Recruitment Service
• National Pensions Management
• National Personnel Administration.
• Civil Service
• HR Shared Service
• Department of Justice Financial Shared Services.
• Local Government
• Core Project.
• Public Appointments Service

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HR Shared Service Project

• A single HRSSC for the Civil Service to
• carry out transactional elements of HR function
• free up HR Units to concentrate on HR Management
• External expertise to assist with establishment
  of HRSSC

10
Background to HRSS Project

• Working Group on HR Shared Services
• Visit to Northern Ireland HRConnect
• UK experience
• Briefing for
• Personnel Officers
• Corporate Services Assistant Secretaries
• Secretaries General
• Cabinet Committee
• Liaison with CSSO

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Move to HR Shared Service

• Three main phases
• Set Up
• Business Process Improvement
• Role Definition
• New Business Practices
• Technology Requirements
• Transition
• Ongoing Support

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Set Up Phase

• BPI a significant element
• to improve and standardise HR processes
• Workshops with Civil Service subject-matter
  experts
• Role Definition
• HR Units
• HRSSC

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Transition Phase

• Waves based on size, numbers, grades, etc.
• Training
• HR Unit staff
• HRSSC staff
• Review following transition of first wave
• Apply lessons learnt

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External Assistance

• Assist with
• Set Up
• Transition
• Post Set Up and Transition
• HRSSC Operational Expertise

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HRSS Work Group

• Membership
• Department of Finance
• Department of Social Protection
• Department of Transport
• Office of Public Works
• Revenue Commissioners.
• Role
• Agree award criteria and approve RFT
• Address queries from bidders
• Evaluate bids received.

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Shared Services in the Public Service
Civil Service Health Education Local Government State Agency Justice/ Defence
Human resources
Payroll
Pensions
Financial Management
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• Public Service Management Division
• Department of Finance
• www.finance.gov.ie
• www.onegov.ie