Question 1

Why don't councils or governments just hire a venue or event manager themselves to run their venues?

Accepted Answer

There are a range of specific and important reasons that Local Councils, State Governments and Government owned entities have decided that they should not directly manage their important civic assets:
Venue and facility management expertise - venue management involves  a wide range of specialist knowledge and expertise.  By engaging and employing industry experts to manage a venue or facility the council can expect world-class operational expertise.  In recent years there has been a noticeable change in attitudes and perceptions about using the private sector to deliver public services.  The community now expects and demands the Goverment and authorities  to deliver quality customer services on par with the best of the private sector.
Reduction in human resource costs -  due to the all hours 24/7 nature of venue operation (especially in the arts / events sector), Councils find in-house personnel far too expensive.  Due to the restrictive nature of Council enterprise bargaining workplace agreements and hourly, after-hours, over-time and penalty rates, the cost of private venue operation is far cheaper and more competitive than internal operation.
Improving service quality and efficieny - Out-sourcing the operation and management of a venue can be an effective tool for improving the quality of services as a private sector service provider is not bound by restrictive in-house Council and Government procedures and practices and generally has a more felixible, innovative and effective service delivery methodology.

Question 2

Isn't using a private company too expensive for smaller councils or venues?

Accepted Answer

For all the reasons above even small regional councils or Government bodies can extract not only cost savings but operational expertise and the benefit of increased utilisation from their venue assets.

Question 3

Will out-sourcing the venue management mean that the venue becomes privatised and we lose control?

Accepted Answer

This is a common mis-perception. However venues that are out-sourced are still very much under the control of the venue owner (local council or government).  The venue hire rates are still approved and set by the council or government annually and elements such as reduced or subsidised rates for community organisations and charities are maintained.

Question 4

As a community how can we ensure everything is kept 'local'?

Accepted Answer

VMS understands the importance of 'keeping things local'. Where possible VMS hires local people, engages local suppliers and supports local community organisations. Through intensive local stakeholder consultation VMS ensures that the venue operations support healthy economic returns back into the community.

FREQUENTLY ASKED QUESTIONS

Why don't councils or governments just hire a venue or event manager themselves to run their venues?

Isn't using a private company too expensive for smaller councils or venues?

Will out-sourcing the venue management mean that the venue becomes privatised and we lose control?

As a community how can we ensure everything is kept 'local'?