Managing financials in the Canadian Public sector Case Study

Managing financials in the Canadian Public sector - Case Study physical exerciseIn early(a) approach, contracting these run would create room for specialization the companies testament use the outstrip janitors/ janitresses in the job to enhance fiber and efficiency thus have it awayting down on spare costs for the same job, and employees will have ample time to serve the members of the public assuming that these companies will be doing their tasks efficiently and on timely manner (Frey, 2005). Further, outsourcing these services to other companies has a financial be in the long run apart from one time severance payment the ministry will cut off the recurrent expenditure in the subsequent years, these companies will dedicate their skills and expertise to offer quality services with hope of license renewal after five years, with which the surplus can be channeled in other sectors/ ministries. Externalities such as injuries to employees while doing the janitorial services in a rush to get started for the twenty-four hourss work will be ruled out once the contracting process is complete.Retaining in-house services on the other hand might be profitable in the short run as the employees are engaged in other creative activities but it is costly to the financiers or the exchequer in the long run. Contracting route on the other hand is faced by legal and other challenges which can socially and /or economically tumble the wellbeing of the country and the public confidence towards the ministry. For instance, depending with the authoritiess provision for public contracts, a 35% requirement (Graham & Q.U, 2005) would mean that the favorite bidder would be Adanac cleaners who despite their costly service of $440000 a year have a greater chance of adulation from the government. The major problem for the management will be the decision making process on which confederacy to award the contract factoring in issues of cost, performance and the public policies by t he government.Question 2 The major external control factors to be considered in