Committee Reports > List of Committees > Dáil > 1970 > Committee of Public Accounts > Interim and Final Report - Appropriation Accounts 1967 - 1968

APPENDIX 6

PUBLIC SERVICES ORGANISATION REVIEW GROUP.

An Cléireach,

Coiste um Chuntais Phoibli,

During my examination by the Public Accounts Committee on 5 February, 1970. I undertook to furnish a note on the question of consultancy advice to the Public Services Organisation Review Group.

The Public Services Organisation Review Group were appointed in September, 1966, with the mandate

“Having regard to the growing responsibilities of Government, to examine and report on the organisation of the Departments of State at the higher levels, including the appropriate distribution of functions as between both Departments themselves and Departments and other bodies.”

The Group had complete discretion as to the manner in which they carried out their investigations and the form in which they reported. On presentation of their Report, running to some 500 pages, the Group ceased to exist.

In the course of their inquiry the Group sought and obtained the sanction of the Minister to the engagement of management consultants to undertake an examination of the organisation and operation of the public service. They received proposals from eight firms and, after discussions and examination of these proposals, engaged Booz, Allen and Hamilton International, an international firm with headquarters in America. The fees to the consultants were paid by the Department of Finance on the Group’s certificate that the services rendered were satisfactory. The total amount of fees paid to the consultants was £93,640. Of this amount £89,155 was paid in the period up to 31 March, 1969. A further and final sum of £4,525 was paid in the financial year 1969/70.

It is understood that, as arranged with the Group, the material supplied by the consultants consisted of a series of working papers, which were supplemented by regular oral discussions with the Group in the course of which the views of all parties were modified. The method of procedure is indicated in the following extracts from the Group’s report:—

1. (paragraph 2.2.5) “. . . The consultants reported to us fortnightly as the survey proceeded and, at the end of the survey, presented us with and discussed their views on the whole organisation and on special topics such as planning, personnel, finance and management services.”

2. (paragraph 2.2.6) “. . . We were exhorted on our establishment to follow a more flexible procedure than that normally followed by a commission of enquiry and we did this by encouraging those we saw to talk to us freely under an undertaking from us of absolute confidentiality”.

3. (paragraph 2.2.7) “Throughout our proceedings we operated on the principle of testing all the material we obtained against our collective knowledge and experience. The views and assistance of those who gave evidence to us and of our consultants were of great help to us in our deliberations. The conclusions are our own”.

4. (paragraph 18.2.6 which introduces Part 2 of the report) “The proposed new Departments beginning with the Taoiseach’s Department are set out in the following chapters. Each chapter has four parts.

(1) Present functions of the Department

(2) Existing Organisation

(3) Considerations

(4) Recommendations.

Organisation charts are at the end of each chapter. The material for the first two parts was prepared for us by the consultants.”

The former Chairman of the Group, whom I have consulted, has told me that the Group took a firm decision as to the amount of material which they would publish in their report. The report contains the bulk of the factual material on the organisation of Departments repesented to them by the consultants and, in arriving at their conclusions, the Group took full account of the advice arising from their discussions with the consultants as well as of the large volume of material contained in the submissions made to them.

The question referred to by Deputies as whether good value was obtained for the expenditure involved must, therefore, be considered by reference to the comprehensive and detailed nature of the report itself which contains a mass of information, comment and advice on the public service.

The former Chairman of the Group has asked me to say that he would be happy to meet the Committee of Public Accounts, if they so desired.

Secretary, Department of Finance.

8th April, 1970.