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bristoni74 's review for:
The Big Con
by Rosie Collington, Mariana Mazzucato
This book was very topical given a current Senate inquiry in Australia underway into the use of consultants due to a scandal in early 2023 that revealed PwC provided confidential information to its international clients on how to avoid paying taxes on the very tax strategy it was contracted to develop by the federal Treasury Department! I was disheartened to read, almost the exact situation happened in the UK 10 years ago. So whilst there has been short-term pain for PwC with the CEO resigning, etc. and an awareness by the public about the amount of money spent on consultancies by government annually there doesn’t seem to be any long-term consequences and they will bide their time before they gain business with government again. In fact, many ex-politicians and experienced public servants become consultants themselves, so I can’t see a shakeup of the industry or any long-term change soon!
But as far as the book, I wish it had explained the history of 'New Public Management' which was introduced in the 1980’s by Western democracies (and by a Labor government in Australia) to run the public service like the private sector which is perceived as more efficient. I think this ideology has had more impact and is the cause of the current hollowing out of the public sector, rather than consultants alone. The author also didn’t clearly differentiate between contracting consultants to develop strategy vs “outsourcing” of government services. Outsourcing is very different, but this wasn’t clear in the book and examples of outsourcing were used to highlight issues with consultancy firms. Whilst I understand the book’s focus was on scrutinising the negative aspects of consultants, I would have liked to see some examples included where consultancy services have complemented and produced better outcomes for society.
But overall, I’m glad books like these are being written to highlight engaging the consultancy industry and outsourcing services isn’t always the most efficient way to provide services to society, nor do the public necessarily benefit from these changes. There are many complexities, especially in a society where people resent paying taxes and have little respect for public servants but want 24/7, personalised, high tech instant services when and where they need them (which requires investment!) and not hiding this investment in the public service, by engaging consultants instead!
But as far as the book, I wish it had explained the history of 'New Public Management' which was introduced in the 1980’s by Western democracies (and by a Labor government in Australia) to run the public service like the private sector which is perceived as more efficient. I think this ideology has had more impact and is the cause of the current hollowing out of the public sector, rather than consultants alone. The author also didn’t clearly differentiate between contracting consultants to develop strategy vs “outsourcing” of government services. Outsourcing is very different, but this wasn’t clear in the book and examples of outsourcing were used to highlight issues with consultancy firms. Whilst I understand the book’s focus was on scrutinising the negative aspects of consultants, I would have liked to see some examples included where consultancy services have complemented and produced better outcomes for society.
But overall, I’m glad books like these are being written to highlight engaging the consultancy industry and outsourcing services isn’t always the most efficient way to provide services to society, nor do the public necessarily benefit from these changes. There are many complexities, especially in a society where people resent paying taxes and have little respect for public servants but want 24/7, personalised, high tech instant services when and where they need them (which requires investment!) and not hiding this investment in the public service, by engaging consultants instead!