Library Outsourcing: A Crisis for Managers

1. Library Outsourcing: A Crisis for Managers

2. A Definition: • Outsourcing: transfer of a function or job formerly done inside an organization to an outside contractor/vendor • The question of which function/job for an organization to outsource depends on what are the core activities of the organization.

3. Outsourced Library Functions • INDEXING BOOK-KEEPING IMAGING • CATALOGING BOOK PURCHASING • PAYROLL COMPUTER AND TECHNOLOGY MANAGEMENT • BINDING DATABASE ACCESS LIBRARY MOVE • SECURITY DATA RECOVERY LOOSE LEAF FILING • JANITORIAL DEACIDIFICATION • PHOTOCOPYING DOCUMENT DELIVERY • WEB DESIGN/HOSTING • SPINE LABELS DAYCARE SERVICES MICROFILMING • NETWORK MANAGEMENT • RETROSPECTIVE CONVERSION • TRANSLATION • THE ENTIRE LIBRARY

4. Privatization • Outsourcing in libraries is occurring parallel to other areas: • IT Industry • Military/War- Iraq War • Prisons • Natural resources: water

5. Two Notorious Examples 1996: Riverside county Public Library-Southern California 1997: Bart Kane and the state of Hawaii • The county outsourced the entire library including management to LSSI • Board retained policy control • One librarian retained as advisor in pay of the county • Facing drastic budget cuts, state librarian Bart Kane outsourced collection development to Baker & Taylor • Problems escalated with this policy • The contract was ended and Bart Kane was sacked

6. ALA Taskforce on Outsourcing: 2000 • The ALA asserted that good library work is connected to the local community • Good library work cannot be reduced to a commodity

7. Effects of Outsourcing pro con • Bottom line-save $ • Efficiency • Economies of scale • Focus on core activities • Career growth area for librarians working for private contractors? • Hidden costs and extra work • Technology gaps • Can hurt staff morale • The efficiency is often about the appearance of efficiency

8. The main problem is a clash of values Corporate management ideas librarianship • Efficiency • Cost savings/Profits • An approach based on profit motive and efficiency will inevitably undermine library service for the worse • Management ideas like systems thinking can actually support complete outsourcing and privatization • Libraries are market failures • Ideals like open access, freedom of information, lifelong learning etc. cannot be measured by standards of efficiency and profit • Fundamental library values aim at bolstering democracy over a long period of time

9. The Manager's Crisis Many management techniques come from the corporate world. A library manager is in a bind between librarianship and corporate management. The lack of recognition/value about librarians and their work makes libraries and librarians vulnerable to outsourcing. The question of outsourcing is not a question of if but when, how, and to what extent. Managers may at some point have to choose allegiance to which set of values they support.

10. The New Social Contract • Privatization and outsourcing have eroded job security and stability • In the past, loyalty and hard work translated as job security-this is no longer true. The property right in job positions is weakening. • Huge rise in number of temp, part time and contract workers • Employees must be more loyal towards themselves and their careers than the organization • It is now more urgent for librarians to demonstrate their value and the importance of their work • Managers can face challenges managing personnel under the new contract because of loss of morale and different conceptions of loyalty

11. The Future? Many libraries will probably move towards privatization. The ideas of efficiency and outsourcing are very seductive to officials and many managers