An Opportunity or Threat for Printers!

Bob Tallent
The Synergy Group
17^th November 2011

Today, the Government announced a new plan for public sector reform. Not before its time, I hear you say. However, believe it or not this offers the print industry an opportunity! Why, because all these plans will create a need for documents to be printed in order to inform staff as well as the public. So maybe you can try to get some of this work? As in all scenarios, opportunities always exist on the other side of the coin. It may be a harsh statement but it’s a fact of life. Have a look at the details-

You can download the public sector reform plan here.  In short, it says:

• Merging of various government agencies and quangos - rationalise 48 bodies by the end of 2012, with a further 46 to be critically reviewed by June 2012
• Number of public service employees will be reduced by 23,500 (to 282,000) by 2015 reducing the overall public pay bill by €2.5 billion
• Decentralisation programme of 2003 to be abolished
• Proposals for standardising annual leave across the public service has been sent to unions
• Plan includes 70 recommendations, including setting up shared services in areas such as HR, payroll and pensions. It includes plans for better use of technology to improve services, reform of procurement processes and changes in the way property is managed
• Reuters news agency says it has obtained documents showing that the Government will increase the top VAT rate by two points to 23% in next month's Budget
• The Government is committed to making budgetary adjustments of €3.8 billion for next year under its EU/IMF bail-out and Finance Minister Michael Noonan has said he will not reveal the exact measures until he presents the Budget on December 6
• The Minister also said that the public service reform plans include 70 recommendations and 200 key actions which the government wants taken by the public sector
• Public Services Card will be developed to ensure that citizens have ease of access to a range of services through multiple channels at the beginning of 2012
• A commitment to look at a GovStat initiative which will build on the HealthStat initiative and will be aimed at ensuring that citizens can see how well services are being delivered.
• New single awarding authority for student grants to be set up that will include an online application process for more than 72,000 students
• Online services like first time voter registration and the rollout of fixyourstreet.ie.
• New integrated transport ticketing system has been announced today for the Greater Dublin area (this is separate to the plan)

The plan is focussing on five main commitments:

1. Placing customer service at the core of everything;
2. Maximising new and innovative service delivery channels;
3. Radically reducing costs to drive better value for money;
4. Leading, organising and working in new ways; and
5. Strong focus on implementation and delivery.

You are all aware of the business analysis tool called SWOT.  Strengths and weaknesses are under the control of the company whereas opportunities and threats are outside their control.  This new plan could be factored into the business analysis model for printers.  It could provide either opportunities or threats.  Again, as we all know, the astute business person will find a way to turn a threat into an opportunity.

For example, there will be 23,500 fewer people on the public service payroll.  That means the will be less cash in the system for spending.  Or will it?  These people will be voluntary layoffs (in order to keep within the Croke Park Agreement).  So presumably, they will be close to retirement age, therefore they will have public service pensions, therefore there will be cash flowing.  What it also means is that there will be a lot of skilled people available for work – if they want to work.  Therefore those skills may be usable by printers and suppliers, so you may be able use their services and at the same time get the inside track.

All these plans will create a need for documents to be printed in order to inform staff as well as public.  Can you try to get some of that work?  Indeed can you pre-empt some of it and perhaps form a strategic alliance with other printers who have other resources and equipment, so that you can target specific business.

Check out the new public service card, GovStat, Health Stat, proposed new online initiatives, new integrated transport ticketing system, etc.  Can you find opportunities suitable to you?  They are there, you just have to look.