OMB chief stresses competitive sourcing, not outsourcing

OMB chief stresses competitive sourcing, not outsourcing

The Bush administration wants better financial management, a serious movement toward electronic government, and competitive sourcing to provide citizens better and faster service, a top government executive said this week.

E-government efforts will boost transactions with businesses as well as citizens, said Office of Management and Budget director Mitchell E. Daniels, speaking at the Excellence in Government 2001 conference.

'Competitive sourcing, in my view, is the single best opportunity we have for dramatically improving service quality and cost efficiency in the provision of government services,' he said. Competitive sourcing pits in-house staff against outside vendors for the chance to provide services.

Achieving excellence in the government is difficult, he said, but it's crucial that employees do their best.

Regarding the A-76 controversy, Mitchell said, 'We are proceeding with the general target of competitive sourcing. I stress competitive sourcing, and not outsourcing. In a competitive situation the government should be indifferent to who wins. The win comes in the form of savings and better quality.'

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