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FAHR launches Governance of Outsourcing Manual in the Federal Government

Thursday May 14, 2020

The Federal Authority for Government Human Resources (FAHR) recently launched the outsourcing governance procedures in the Federal Government, duly endorsed by Cabinet Resolution No. (4/2) for 2020, and circulated it to all ministries, federal entities, as well as profit and non-profit Federal Government companies.

In this regard, His Excellency Dr. Abdulrahman Abdel Manan Al-Awar, Director General of the Federal Authority for Government Human Resources confirmed that the manual contains guidelines that act as outsourcing services governance at the Federal Government level. He added that the manual covers all ministries and federal entities, profit and non-profit Federal Government companies, and those to be created in the future.

His Excellency said: “The system will contribute in bringing the quality and efficiency of outsourcing services in the Federal Government to global standards and best practices, as well as enhance productivity levels, and enable optimal investment of outsourced financial resources. 

“The manual is primarily aimed at developing an integrated technical system that documents outsourcing data in the Federal Government, particularly financial and human, and build higher levels of transparency that support decision-making.”

He added: “As we are mainly concerned with assisting the federal entities, the manual can greatly help them to improve the quality, efficiency and reliability of their outsourced services. It can also provide effective mechanism for creating controls, standards and benchmarks related to outsourcing governance, reducing risks associated with outsourcing by  benefiting from growing technological developments in the field of outsourcing and transferring knowledge to Federal Government employees.”

The Director General explained that the manual acts as a regulatory and procedural framework for ministries and federal entities in outsourcing part of their duties and operations to external parties, which enables the Federal Government to organize the process, in terms of the nature of the services provided, or financial costs involved. The practice would upgrade the Federal Government’s performance generally, and also enables the Government to identify the jobs that could be outsourced, the numbers of outsourcing employees, the costs of outsourced services, as well as the budget items against which those sums are deducted.

Laila Al-Suwaidi: The Manual provides an integrated database on outsourcing

HE Laila Obaid Al-Suwaidi, Executive Director of Programs and Human Resources Planning Sector at the Authority, confirmed that the manual contributes to creating an integrated database on outsourcing service providers in the Federal Government, and at the same time enables  managing all financial, administrative and procedural aspects, defining the roles of the relevant organizational units. 

She added that the manual includes clear details on all the procedures that help ministries and federal entities while outsourcing some of their services,  following optimal methods for organizing and documenting by highly qualified staff.

Benefits of outsourcing governance

Laila Al-Suwaidi said: “Following governance of outsourcing method according to a sound methodology will bring many benefits to the federal authorities. It provides and reduces costs by focusing on the primary role (regulatory and supervisory) of the entity and outsourcing services to other parties, as well as attracting the best skills and experts the entity lacks, by external parties to carry out the required tasks.”

She explained that the manual outlines some of the main criteria for selecting companies to outsource some of the government services to the  Federal Government and which the federal authorities should adhere to when resorting to outsourcing.

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