Incorporating business approach in Government

The Federal Government has often operated with persistent budget deficits and inefficiency. Many have commented that this would not be sustainable in a business environment. Such comparisons may be intriguing but are fundamentally flawed as they are governed by different objectives and navigate different obstacles. The pursuit of sales/profits as objective and presence of competition as obstacle drives business to operational efficiency and sound fiscal practice. In contrast, Government is driven by mandates not profits, operates without competition that drive efficiency and fiscal restraint. With expanding mandates in health care, finance reform, energy generation, etc…, funding as reach its limits and tax increases have met resistance. In the business world the solution is to either, increase revenue, draw back on mandated operations, or a combination of the two. Drawing back has proven to be unpopular, so additional sources of revenue should be sought. If government is to be measured as a business, why not have it embrace it beyond just promoting but competing in the business market, offering products and services, generating revenue and profits, thereby relieving some of the tax burden and insuring healthy competitive markets. Imagine having autonomist government agencies, acting independently in operating and competing in providing financial, health care, energy products and services, etc…, this would benefit the consumer and generate much needed revenue for much needed mandates, while driving government to greater efficiency.

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, SF Business Insight Examiner

Rene Bazan, a married father of three grown children. Has lived in the Bay area since 1969. Self employed since 1978 in the information service industry. Participated in numerous start-ups and established strong corporate relationships.

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