Opinion – Reforming the Professional Interim and Independent Consultant Supply Chain Model? – John Gelmini

 Like Dr Alf, I look back on this period as well.

Since then, interim management rates have for the most part halved, yet the consultancy bill, via the Big 4 to Central Government, has gone up to £15.5 billion gbp and value per taxpayer pound is still at 17th in the world.

The “basket case” services, like the NHS, are not delivering, and we already see in Wales the first case of NHS meltdown. Last week, the head of NHS England, Simon Steven, tried to issue a wake-up call to the public and politicians who face a £30 billion gbp shortfall by 2020. Everybody agrees with his prognosis but the figures to close the gap (he quotes £8 billion gbp) are too big for the politicians to countenance because they would involve either cuts or finding 2 pence on income tax – this is if the £22 billion gbp in efficiencies that Simon Steven thinks can be found, do not materialize.

Local authorities are still in a deep financial mess, which is worsening; the MOD is wasting more money than ever; and the Home Office is still chaotic, not fit for purpose and has no idea how many people are in or set to live in the country.

What has happened is that as fewer interims have been involved in Central and Local Government work the amount of fraud, waste, mismanagement and duplication has increased.This is despite the more robust processes and supposedly superior consulting skills of the Big 4 and specialist consultancies like McKinseys. Specialist consultants are charged out to the Government at GBP5,000+ per day.

I seem to remember certain white-haired, very patrician, interims, acting as “devils advocates” and suggesting that they doubted whether interims would have any better effect on this situation than the Big 4 and the Systems Integration Houses /BPO providers. I also remember being told that I was “ranting” and that things were not as bad as I said they were, that everything would come right on the night, that IR35 would not be dramatically extended. They have, just as I predicted, been proved wrong in virtually every single respect as events have unfolded since 2010. These “devils advocates” have also been proved wrong not once but in every year since 2010 when Dr Alf started to highlight these problems and eventually moved to Cyprus, where he can now drink wine while the sun goes down and comment with the benefit of hindsight over situations which were bound to happen.

All of this is sad and would have been unnecessary but for a willingness to lobby and street-fight. Dr Alf, myself and a handful of hardened professionals formed a political action committee (PAC) but the industry lacked to stomach to fight their corner. The executive interim management industry had it’s golden years but they have long since passed. These days interim CEOs, CFOs, CIOs, CMOs etc., are just commodities in a globalized market-place. They are contingency workers, just like contract nurses, or IT project managers.

John Gelmini

Opinion – Has the ugly side of Nationalism reached Scotland? via Telegraph – John Gelmini

The answer to Dr Alf’s question is that Alex Salmond will go to almost any lengths to achieve his ends and his followers are simply ignoring and concealing the powerful numerical evidence that shows how people in Scotland, Wales and Northern Ireland are £3,500 gbp per head better off under the Barnett Formula.

They ignore free tuition fees, they ignore the fact that Scotland’s economy has never been self-sufficient in hundreds of years, and that from the time of the Highland Clearances and indeed from the time the Roman emperor Hadrian built his wall Scotland has never been economically self-sufficient.

About 55% of County council budgets, City council budgets and Unitary authority budgets are consumed by the costs of Adult Social Care, which everyone in England with total assets of more than £23,500 gbp including real property has to pay for in full.

A North Sea Oil rig. North Sea oil production ...

A North Sea Oil rig. North Sea oil production is centred on the waters to the NE of the Scottish mainland. (Photo credit: Wikipedia)

In Scotland Adult Social Care is free.

In addition, car ownership is higher in England, journeys are longer and we have more freight movements. We therefore pay more Petroleum Revenue Tax to the Chancellor per head than anyone in Scotland.

However, even that is not the whole story because the NHS since the year 2000 has not been funded out of NI contributions. The NI fund became effectively insolvent at that time (I saw the submissions by insurers in 1998 warning the Government that this would happen by 2000).

What has funded it is Petroleum Revenue Tax until the banking crisis and the so-called “Green measures” which forced up the costs of petrol and diesel.

These measures caused the car manufacturers to develop more fuel-efficient engines and the public to cut back on driving to the point where Petroleum Revenue Taxes fell by £1.83 billion gbp and then a further £2 billion gbp the year before last.

The NHS already cross subsidized out of monies plundered from “good causes” out of the Lottery then doubled the price of lottery tickets to bridge the NHS funding gap.

Even this is not enough because rising numbers of old people, obese people and demented people are going to cause a £30 billion gbp funding gap within 10 years.

The most unhealthy people in the country and the biggest drain on NHS resource per head of population are the Scots.

Adding in just these costs to those of the Barnett Formula gives every Scot a £6,500 gbp a year subsidy.

What do you hear about this from the SNP and Alex Salmond?

Nothing!

What you do hear is threats to repudiate debts, insistence that he is going to “share the pound” and statements to the effect that “we are a rich country and want 92% of North Sea oil revenues”.

The 3 main political party leaders to a man have failed to make these points forcefully, failed to call Alex Salmond’s bluff and are still prepared to give him what he wants at the expense of the English taxpayer.

It is time his bluff was called and for these useless and ineffective politicians to be given their marching orders.

John Gelmini