It was reported yesterday that the Treasury has asked unprotected departments to draw up models which offer budgetary savings of 25 and 40% by 2020. Coming after the budgetary reductions of the last five years, this will be a driver of radical reform in public services.
Businesses need to be asking themselves how they can help with this enormous challenge. Perhaps they can revolutionise the casework which underpins much of the services of the state, or change the focus of an application to deploy it in the public sector. Businesses who administer contracts for their clients will be sitting on priceless demand and rate information. The analysis of this information could be used to help their clients become much smarter buyers in the market.
You can be assured that the savings that are easily achievable have already been made and much more radical reforms including ceasing the provision of some services must be considered. Therefore those who can offer ways of providing the same services at lower cost will find a receptive audience, even at a (recoverable) cost. The provision of public services needs disruptors.