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Wednesday, December 12, 2007
The dreaded ‘outsourcing’ word
The Atlanta Journal-Constitution
Georgia will begin privatizing much of its technology services, shifting about 500 state employees to private companies, Gov. Sonny Perdue announced Tuesday. The shift will also mean that about “200 or so” employees will be laid off and other jobs will be consolidated as employees leave.
Former Gov. Roy Barnes proposed to consolidate all of Georgia’s telecommunications, then valued at $1.8 billion, under a single private contractor but he was defeated and the idea never got past the bidding stage. Perdue’s approach will be to break the contract into smaller pieces.
The bidding will be open not only to Georgia companies and to those in the U.S., but to global competitors as well.
My belief is that virtually everything government does, except for decision-making positions affecting our liberty and property, should be privatized. Technology certainly would be at the top of the list. There’s no way government can maintain the edge needed, or amass the expertise required in the event of a large-scale crisis in operating systems. Better to buy those services in the private sector.
The same is true, of course, in traditional functions of government, like transportation. The Georgia DOT should be composed of personnel with the expertise to write and manage contracts, to assess performance, and to hold private-sector companies accountable. All of the expertise needed to design and build roads or operate buses, trains or planes is available in the private sector.
Perdue’s likely to catch flak if winning bidders on technology services are located in Calcutta, thus triggering the dreaded “outsourcing” fear. But if the contracts are properly written and managed, the location of the company providing the service is unimportant.
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