Tuesday 1 March 2011

Outsourcing Training in the Public Sector - 8 reasons why its a great idea


Outsourcing training services represents a cost effective and innovative approach to commissioning services. The private sector has long known the benefits of outsourcing services, with the private sector outsourcing market estimated to be worth in excess of $310 Billion in 2008.
With reducing budgets across local authorities and significant changes to the NHS, outsourcing is becoming more attractive, relevant and needed by public sector organisations.
In 2008 the Public Services industry Review found that on average savings of 20% were achieved in the public sector when services are contracted out, that quality does not suffer and that using partnership models to deliver services had real benefits.
With the current political direction of travel there has never been a better time to outsource services to the private and voluntary sector.

Lower Costs –
Outsourcing always means lower costs. The cost of training can be huge, training departments expensive and in-house trainers not always time efficient. With outsourcing costs are lowered through reduction in management, co-ordination, administration and improved processes.

Is training your business? –

Many organisations make the decision to outsource training when they come to the realisation that training is not necessarily their core function. By outsourcing to a specialist provider you can see improved efficiency and outcomes from your training programme.

Improved efficiency and outcomes – 

Outsourcing training also means an increase in efficiency as training companies have processes and professionals working on nothing but training. They also are not bound by organisational demands and can keep up to date on latest learning styles and approaches leading to improved training outcomes.

Reduce capital overheads –

It's not just about the money; there can also be a reduction in associated over heads, from desks space to IT.

Reduction in Risk –

With outsourcing any risk is carried for you, with internal training you carry it. As demand fluctuates companies have to respond and can be left with trainers with nothing to do. With outsourcing you pay for what you need, cutting down on risk and cost.

Only pay for what you need –

In-house training departments are often un-efficient as you pay them whether there training or not, with fixed price outsourcing you know you are getting the best deal possible for yours or the public's money.

Reduction in Staffing –

Unfortunate as it is the public sector is looking to make redundancies and stream line their organisations, outsourcing can help make staffing reductions without impacting on services.

No impact from sickness or annual leave –

By outsourcing training you never have to worry about fitting courses in around your trainer's sickness or annual leave, and with our extensive pool of expert trainers we always have the correct people
With increasing pressure on the public sector outsourcing training is a true growth area. For organisations it represents a significant cost saving, for the tax payer it represents better value and for staff and the public it can represent better services.

With currently few public sector specific outsourcing companies in the market place now is the time for public sector organisations to respond to the increased demands on them.

By outsourcing, organisations can spread the risk and cost over to the private sector and see improved service and outcomes as a result.

Mark Bowles


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