Departments look to cut costs by consolidating HR functions
The Cabinet Office has begun sourcing the IT systems for its plans to develop a shared human resources function with other government departments.
The Treasury and the Office of the Deputy Prime Minister are working with the Department to transfer their individual HR functions to a common Shared Service Centre.
The move forms a key part of the departments' efficiency and staff relocation programmes, after the Gershon Review targetted HR as one of the 'back-office' functions that could be contracted out or shared.
The Cabinet Office alone expects to save around £660,000 over the next three years through the transition to the shared HR model.
Sir Andrew Turnbull, the Cabinet Secretary, said on 20 June that the project would reduce HR operation costs by 40 per cent over the next 18 months.
The Shared Services Centre is seen as acting as a "demonstration site" for HR transformation, with the hope that more departments, and the wider public sector, could later climb on board.
On 5 July the Cabinet Office started procuring the key IT services that will support the centre's "operational and information management needs".
According to the tender notice, the requirement is currently expected to include an HR information system, case management applications, workflow and knowledge base tools, document management and scanning, together with integrated telephony. Departments would access the systems through the Government Secure Intranet.
The potential value of the contracts was not disclosed. Selected bidders will be invited to tender possibly next month.
Related Links
Whitehall HR Shared Services tender
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