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Five critical lessons

Transforming Government

The following 5 sections discuss lessons from the private sector, common mistakes made in public sector cost reduction, the importance of getting workforce reform right and the three key facets of cost reduction.

The five lessons

  • Common mistakes in public sector cost improvement
    Common mistakes in public sector cost improvement
    As public bodies embark on major cost improvement programmes over 2011-12, managers need to be mindful of some common weakness that history has shown to exist in public sector approaches to efficiency.
  • Five lessons from the private sector
    Five lessons from the private sector
    Recent Deloitte research exposes the myth that private sector organisations find cost reduction easy and that they are always successful.
  • Three stages of cost reduction
    Three stages of cost reduction
    Like corporates, public bodies should manage cost reduction work in three distinct phases; efficiency, operating model change, and policy and capability changes.
  • Reforming the public sector workforce
    Reforming the public sector workforce
    Policymakers estimate that the 2010 Spending Review will lead to the loss of around 330,000 public sector jobs. As the process of making these cuts accelerates, it will offer public bodies an opportunity to recast the size, shape and capability of their organisations through their management of people.
  • The role of finance in cost improvement
    The role of finance in cost improvement
    Today, the corporate status and capability of the finance function in government is fundamentally different to its private sector equivalent. This matters for cost improvement - FDs in large corporates are often highly influential operators who lead on business transformation and strategic direction.

Related links

  • Transforming Government homepage
  • A standard approach for public bodies

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