When Governments Have Got Not Enough Money #2

Inspired by 'We are doomed – doomed!'

In Britain, government debt is 89 per cent of GDP, company debt 126 per cent and household debt 106 per cent.

In Britain, as in every Western state, the primary business of government is the employment of its employees.

--> This happens everywhere, I believe.

The number of people of working age will shrink as a percentage of the total, and the number of pensioners will increase.

In the run-up to polling day, David Cameron summed it up in six words: “We can’t carry on like this.” Spot on, prime minister. Any ideas?

Also refer to David Cameron's 'The Next Age Government' and Bill Gates' 'How State Budgets Are Breaking US Schools' where Bill talks about
  • 2010 US GDP $14.7 trillion
  • 2010 US Spending (Federal, State, and local) - 36% of GDP
  • 2010 US revenue - 26% of GDP
  • Hence = 10% of deficits
I feel that smaller players have got better edge than their bigger contemporaries, and open source will have a bigger role. The governments will need to hire more Architects to oversee projects at a higher ground and expand ICT technical trainings for existing public servants.

The one gap to fill is who is going to be responsible for the success and failure of projects ? In current practice, vendors hold 100% responsibilities while stakeholders' agents such as project managers, project executives are merely playing facilitator roles. And even if you are going to hire a smaller firm with paid up capital of less than RM 100,000 to hold full responsibilities for a RM 10 million public project, it is ludicrous.

Perhaps a sensible solution to this is to split the RM 10 million public project into smaller and even smaller projects. However, we still need some form of overall responsibility.

Another solution to this is that the government simply cannot afford to own much ICT assets, everything will privately funded for public interest. And this will come with price; when you do not own the ICT facility, are you still in charge ?

It is a good time for public sectors to employ more best practices including financial management than political visions.

In previous similar discussion, 'When Governments Have Got Not Enough Money'.

Refer to more on trends.


Anonymous said…
Needless to say I enjoy the web site however, you may want to look at the spelling on some of the articles.
A number of them tend to be rife with punctuation issues
and I find it really irritating, to be truthful. Regardless I'll come back since your writing is amazing. Particularly, I love the blog post regarding car rental deals ny.

My weblog - Car Hire In Tenerife
Anonymous said…
Incredible! This is needless to say one of the most useful websites I
have ever uncovered about best car rental orlando
airport reviews. Just wonderful. I'm really interested on this topic that is why I can see the energy you put on this posting.

Feel free to surf to my weblog - Car Rent Malaga