TOPICS
TOPICS
Over Your Shoulder
In 1916, a bit of public administration history was made. The Bureau of Efficiency was born. It was the first of many efforts by presidents and Congress to perfect the bumbling bureaucracy - most recently President Clinton's National Partnership for Reinventing Government and the Bush administration's President's Management Agenda.
A century ago, the progressive era of government reform was in full swing. Civil service reform had brought merit-based hiring to the federal ranks. Senators were forced to face voters directly. The government had been expanded to cover emerging missions such as conservation and business regulation.
The Efficiency Bureau embodied many of the age's central tenets, including the idea that there was one best way to manage organizations. It employed a team of analysts who descended upon managers to identify what they were doing wrong and to propose the path to maximum effectiveness. Among the bureau's achievements was the creation of the Federal Bureau of Prisons in 1930 to consolidate control over the government's then-autonomous, and poorly run, penitentiaries.
Congress eliminated the Efficiency Bureau in 1933, but its mission lives on - only now in a host of organizations in both the executive and legislative branches. The bureau's functions officially were transferred to what is now known as the Office of Management and Budget, the White House outfit that tells government managers what to do.
In addition, every federal agency has centralized management and budget offices that tell managers what they're doing wrong. To make sure those groups don't miss anything, every agency also has an inspector general's office to conduct audits and investigations. Some agencies have even more layers of oversight. Others hire management consultants to perform critiques. And, of course, Congress has its own teams - the staffs of the oversight committees and the Government Accountability Office - to wag their fingers at managers.
But one can certainly sympathize with the federal manager who feels overwhelmed with oversight. Overseers themselves are sometimes unhelpful or ineffective, nitpicking or pointing out problems that don't exist.
If all these extra eyes actually help managers do their jobs better, then the oversight is worth the effort.
An interesting case in point is the General Services Administration, where inspector general auditors have been looking at proposed contract deals before they're awarded. Under such pre-award reviews, the auditors compare the prices that contractors are offering the government to the prices the contractors offer other customers. The auditors frequently discover that the contractors are not offering the government the best possible deal.
GSA Inspector General Brian D. Miller recently reported that his auditors were identifying $800 million in savings a year during pre-award reviews. By contrast, auditors conducting reviews after the fact have identified an average of $36 million a year that could have been saved. The earlier reviews obviously have the advantage of not only offering more bang for the buck, but of helping managers avoid making costly mistakes in the first place.
And they follow in a tradition that was begun nearly a century ago - the endless search for the best deal for the tax-paying public.
Brian Friel covered management and human resources at Government Executive for six years and is now a National Journal staff correspondent.
COMMENTS
- Everyone needs to be aware that when auditors report savings, cost avoidance, or fraud, waste and abuse, the numbers are so inflated they are meaningless except to a Congress salivating over reports they don't understand, audititors trying to keep their jobs and make headlines, and the public who is simply duped into believing their nonsense. When an auditor finds a $5,000 unsupported charge in a contract worth $100,000, the entire $100,000 is reported as suspect. Additionally, if that $5,000 is rebutted and appropriate support is provided, the initial story never changes. Shame on the audit community and Congress who knows very well how the story goes. Skeptical Posted December 4, 2008 12:06 AM
- If the pre-award reviews are an effective practice, wouldn't it make more sense for GSA management to adopt the review methodology as part of its normal contracting practice, rather than have an oversight organization do this? robert bell Posted December 3, 2008 10:20 AM
- Please ask Brian Miller how they come up with the $800 million number. Also, ask Brian how much the government is now spending on products from Sun and EMC because his interpretation of the "fair and reasonable" pricing policy was neither fair nor reasonable for those two companies wanting to offer their products and services to the feds through the Schedules program. Before you praise someone like Miller, please understand Multiple Award Schedule Policy. It is based on best value and price reasonableness, not the lowest price. It also allows for additional competition on the Task Order level. Brian Miller prohibits the government from getting the best value of what the private industry has to offer. Peter Posted December 3, 2008 7:58 AM










