Decentralisation

Decentralisation

1. Localism

   • Definition: Generally, localism supports local production and consumption of goods, local control of government and promotion of local culture and local identity.
   • Examples
   • Government action
     • http://www.grant-thornton.co.uk/Documents/Alternative-Delivery-Models-LG.pdf
     • Scrapped top-down targets e.g. local area agreements
     • Reduced central government data reporting
     • Removed the ring fencing of funding
     • Allowed local retention of business rates
     • Removed national planning restrictions

2. Benefits

   • Devolution is a powerful tool to promote and implement change
     • Managers are more in control of achieving outcomes
       • Managers are more familiar with corporate management issues
         • Managers have more scope to determine the level and type of service delivery and the method of delivery
           • Managers can be more responsive to stakeholders
             • Service providers are closer to their clients and have a better understanding of their needs
               • There are opportunities for increased job satisfaction
                 • Managers have the opportunity to acquire new and marketable skills

3. Costs

   • Loss of quality and increased inconsistency in decision making
     • Loss of purchasing power and other economies of scale
       • Duplication of tasks or functions
         • Reduction in number of people skilled in providing corporate services
           • Diminution of expertise, for example in personnel matters
             • Loss of corporate identity

4. Required conditions

   • Commitment from the chief executive
     • Communication, transparency and openness
       • Training for staff
         • Appropriate time for monitoring and evaluation
           • Line managers must be given real choices about how they will obtain or undertake corporate service functions