We Are All at Our Best When We Build Bridges
Subscriber Benefit
As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowAt the end of June, the federal Human and Health Services (HHS) agency announced its partnership with national pharmacy and grocery retail chains to execute widespread, community-based testing for COVID-19. This partnership is a key example of efficiently implementing federal resources at the state and community level in order to expand the distribution and accessibility of COVID-19 tests as a first step to gauging the accurate spread of the virus.
Within the months since the start of the pandemic, public and private partnerships have become paramount for HHS, health departments, state agencies and public officials to better adapt and address the changing circumstances of the novel coronavirus at the statewide level.
There are myriad benefits for a state agency to engage with the private sector in a public/private partnership. Specifically, this pandemic has illuminated those benefits and can be a guiding light for a post-pandemic world. Crucial functions such as Social Security, Temporary Assistance for Needy Families (TANF), and Workforce Development are all distributed by agencies dedicated to finding solutions for Indiana residents, but they often require support in crucial areas where they might not have the skill set or the bandwidth to move swiftly. Public/private partnerships enable government agencies and private sector organizations to focus on their core strengths. Essential roles that advance science, identify disease, and prepare isolation strategies are important, but in a rapid, digital environment it is often cumbersome for public agencies to adapt skill sets they aren’t best suited to fulfill.
Better Infrastructure
By partnering with a private entity, government agencies benefit from a wealth of knowledge that otherwise wouldn’t be available. As a result of this collaboration, innovative designs, financing approaches and management styles blend together, creating a maximum efficiency that is missed when working alone. Even better, an improved infrastructure equips each agency with the transparency and documentation needed for employees to do their jobs more effectively and efficiently.
Superior Planning & Management
Working with private entities equips agencies with clarity for decision making and governance that is frequently missed and can inhibit project delivery. Addressing project management challenges ahead of time — like documentation, performance standards, assigned responsibilities, rewards and penalties — in a specific format provides visibility into the project throughout each step and accountability for both the private and public organization. Offloading problem solving and critical decisions required for procurement and deployment gives government agencies like the HHS and Family & Social Services Administration (FSSA) time to still focus on tasks that were present prior to the pandemic. Furthermore, it can help improve success rates versus working alone or in silos.
Faster Completion
As a measure of performance, many consultants include completion dates for projects in their contracts. In turn, completion dates can have a direct impact on profit, which makes the return on investment (ROI) greater than projects that are completed without a partnership. Furthermore, a successful public/private partnership provides a clear, well-planned strategy that can help swiftly achieve an end goal. This helps reduce additional costs down the line from change orders or scope adjustments and those saved costs can be allocated to other important socioeconomic areas that need it most.
Risk Transfer
With the economic uncertainty resulting from the pandemic, it is crucial that government agencies make sound decisions involving taxpayer finances. Traditionally, an agency project’s risk is solely based on funds from taxes, so if things go wrong, or over budget, or there are significant delays, taxpayers bear the burden. With a private partnership, government agencies can offload financial risk and accelerate the timeline. A private partnership establishes confidence because it provides a contractually-obligated promise to stick to the schedule and the budget. After all, if it fails, it will inevitably affect that private company’s bottom line.
When things get complicated, as they have during this pandemic, leveraging assets and skill sets among partners is key. One company or agency cannot solve these complex circumstances alone. Public/private partnerships add value by transferring risk with organized planning and management to provide faster completion often under budget and well before the deadline provided.
