Who’s the Boss?

By Jamie E. Helgren and Linda Hofschire

Does private management have a place in public libraries?

Posted Tue, 07/12/2011 - 21:08

Should a public library be run like a public service or a business?

Should a public library be run like a public service or a business?



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The survival of many public libraries has been threatened as their funding has dried up in recent years. City and county officials are casting about for a lifesaver, and some have snagged a promising catch in the form of private companies that take over the management of public libraries. A September 26, 2010, New York Times article describing this occurrence in Santa Clarita, California—the first city with a relatively healthy library system to privatize its management—triggered a heated debate in the library community.

The Library Research Service (LRS), a unit of the Colorado State Library, picked up on this debate and developed a 60-Second Survey to gauge the library community’s thoughts on the topic of privatizing public library management. LRS's 60-Second Surveys are short and to the point. Narrow by intent, these online surveys capture the perceptions of respondents on a single timely topic. They are publicized through local, regional, and national library discussion lists, blogs, and other channels. As a result, most respondents have some connection to the library profession.

For the privatization survey, a series of questions asked respondents to identify whether they thought public or private management would achieve better outcomes in regard to various services. LRS posted the survey online for a four-week period in November and December 2010. A total of 2,509 respondents completed the survey, representing every state and several foreign countries. More than half (58%) worked in public libraries, 17% in academic, and 10% in school libraries. About half of the respondents were in supervisory positions: 25% were directors and 26% were managers or supervisors.

Accompanying the responses were 1,500 comments—some quite lengthy—that offered more nuanced insight into respondents’ varied thoughts on privatized management. Not only does this level of feedback support the obvious conclusion that privatization of public libraries is a controversial subject, but it also reveals the many different angles from which people connected to libraries view it.

The main goal of this study was to assess the perspectives of practicing librarians on privatization. However, we also interviewed Mark Smith, a vice president of library operations at Library Systems and Services (LSSI), the primary private company in the United States offering library management services, to provide insight into the private sector’s perspective.

The debate

Privatizing public library management has been on ALA’s radar for more than a decade. It created an Outsourcing Task Force in 1997 to advise the Association on outsourcing and privatization and adopted a policy statement in 2001 opposing “the shifting of policy making and management oversight of library services from the public to the private for-profit sector.”

Given this precedent, it is not surprising that library professionals are skeptical about relinquishing management to a third party. When asked to choose between two options—whether public library management should remain in the public sector to avoid a focus on profit or whether management should be privatized if it means providing better services at lower costs—a full 87% of survey respondents agreed with the former. Outsourcing cataloging or processing to third parties has by now become common practice for many American libraries, but the prospect of turning over responsibilities as community- or library-specific as management and collection development to the private sector raises significant questions about who retains authority over what, and whether the library’s mission and users will remain top priorities.

Survey responses revealed that many library professionals fear that privatizing management would adversely affect public library services. “The mission of the library would be absolutely compromised through privatization, including patron privacy and access to a nonbiased canon of information,” one respondent remarked.

When choosing whether they thought public- or private-sector management was more likely to achieve a list of outcomes for public libraries, at least 3 in 4 respondents identified public-sector management as the best way to improve the quality of library services, increase the relevance of libraries’ collections, employ qualified staff to meet community needs, and protect patron privacy. Public-sector management drew even more support—from nearly 9 out of 10 respondents (88%)—when respondents considered the library’s ability to serve all the members of its community and the strength of the library’s connection to the community it serves (Chart 1).

Chart 1. What type of management is more likely to achieve the following outcomes in public libraries?

Chart 1: What type of management is more likely to achieve the following outcomes in public libraries?

The types of positions respondents held made a difference in how they answered these questions. Directors were often the most likely to indicate that both types of management—public and private sector—were equally likely to achieve the above outcomes. This pattern was most pronounced when it came to the protection of patron privacy (Chart 2).

Chart 2. What type of management is more likely to protect patron privacy in public libraries?

Chart 2: What type of management is more likely to protect patron privacy in public libraries? By position.

Librarians are right to count matters such as collection relevance and patron privacy among their major concerns, as they are central to any public library’s mission. According to Mark Smith, a private company must consider these matters as primary interests as well.

In an email interview, he explained that the policies of each LSSI-operated library, including patron privacy and collection development, are set by the library’s governing body, not LSSI. LSSI and the libraries it operates are bound by state statutes to protect the confidentiality of patron records. The company does offer support in policy-making when requested, and Smith said LSSI recommends that the libraries formally adopt the ALA Library Bill of Rights.

We encourage our library staff members performing selection to buy materials broadly to serve the diverse reading, listening, and viewing interests of each of our library communities,” Smith commented. “We regularly provide justifications for purchases to our city and county partners when materials in the collection are challenged.”

A survey respondent who worked for a privatized library system noted that the process and outcome for assessing challenged materials in his or her library “were exactly what they would have been” before the management switch.

One apprehension that repeatedly arose in survey comments was whether a large national company could remain in touch with the needs of local communities or if it would produce “cookie cutter” libraries. This is a concern about which Smith said he was aware. “LSSI-operated libraries must be highly responsive to community needs because if they were not, our contracts would end,” Smith maintained. “We are held accountable to a higher standard than most public library managers, not only because we are governed by annual agreements, but because there is an unusually high level of scrutiny within the library profession of everything we do.”

Although respondents expressed major concerns about the impact of privatization on the issues discussed above, they were more likely to recognize its potential benefits on outcomes such as reducing costs and increasing efficiency. More than two-thirds of respondents thought that private management was just as likely as, if not more likely than, public management to achieve these outcomes (Chart 3).

Chart 3. What type of management is more likely to achieve the following outcomes in public libraries?

Chart 3: What type of management is more likely to achieve the following outcomes in public libraries?

 

The best of both worlds

Is it possible there is a middle ground in this debate?

Survey results indicated that while most respondents opposed outright privatization, they were open to incorporating business practices into library management. While a little more than half indicated that public libraries should be run like a public service, a sizeable percentage (42%) thought that they should be run like both a public service and a business (Chart 4). Notably, just 2% of respondents thought public libraries should be run like a business. Taken together, these findings show that the library community—as represented by those who responded to the survey—at most wants to tweak the public service model, not abandon it.

Chart 4. Should a public library be run like a public service or a business?

Chart 4: Should a public library be run like a public service or a business?

Interestingly, about half (52%) of the respondents in supervisory positions (director or manager), who presumably would be most aware of the complexities involved in running a successful library, indicated that libraries should be run like both a public service and a business. In comparison, only about one-third (35%) of respondents in nonsupervisory positions agreed with this statement. Similar response patterns for those in supervisory roles were found for all of the survey questions, suggesting that serious consideration should be (and already is) given to how the business model can be best applied to public-sector management.

While nearly three-fourths (73%) of survey comments contained pro–public management sentiments, close to one-fourth (23%) were either pro-private or discussed alternatives to the black-and-white, public-versus-private debate. For example, several respondents suggested incorporation as a private, nonprofit entity (such as the New York Public Library) or implementation of business practices into libraries’ current management structures.

Ultimately, I think libraries should be publicly managed, but they really need to learn some lessons about efficient and cost-effective management from the business sector,” one respondent commented. “We gripe about budget problems, but rarely are willing to make the tough decisions that would be better for libraries in the long run. We need to find a way to be sustainable, not just solving the money crisis for another few months.”

What happens to the staff?

For better or worse, privatization may offer cost savings by centralizing services and streamlining processes for libraries that are struggling financially. Many of the survey respondents expressed concerns that additional cost reduction results from cutting services and shrinking salaries; more than 8 in 10 respondents (82%) thought that job security and benefits would be negatively impacted by privatization, and two-thirds were concerned about job prospects for MLIS librarians (Chart 5).

Chart 5. What type of impact do you think privatization would have on the following items?

I work for a privatized library,” one survey respondent wrote. “They save money by paying us less. When qualified staff leave, they replace them with unqualified staff for much less pay. The only reason customers don’t notice a decrease in quality soon after privatization is because the staff cares and tries really hard to provide good service. In a few more years, the rot will show.”

While it is unknown if this respondent works for an LSSI-run library, Smith likewise addressed issues of service, qualified staff, and compensation. “We minimize staff time and material resources in processes that do not contribute to providing direct library service,” Smith explained. “This does not mean we eliminate services that are deemed too costly, as is often suggested. The primary factor driving management decisions should be service—how to provide the best possible library service for the least cost. That is the definition of efficiency.”

Part of running an efficient library is hiring the right people for the right jobs. Smith acknowledged that some library work requires an MLIS librarian and noted that LSSI must offer competitive salaries for librarians with the degree in order to attract qualified candidates to those positions.

What qualifies a candidate to fill a position—particularly in management—is a subject increasingly discussed by many in the library profession. A number of survey respondents commented on the importance for MLIS education programs to include curriculum typically covered in business programs, including budgeting, personnel management, and facility management. “I get that university master’s programs are trying to cover a lot of ground, but in today’s world we’re shooting ourselves in the foot by not also teaching marketing and financial management to our future leaders,” one survey respondent remarked.

Certainly many librarians are prepared to meet the challenges of implementing business practices in a public institution, but doubt has contributed to an air of mistrust that pervades nearly all angles of the discussion surrounding privatizing public library management. In spite of these professional concerns, some survey respondents tried to turn the conversation back to the focal point of all library work: the users.

It really doesn’t matter what I think—it’s what the communities providing funding think that counts,” one respondent proclaimed. “What has a community defined as ‘better?’ It’s up to us to make the case, and if public agencies can’t make the case that they can do a ‘better’ job for their communities, then privatization will be a trend that will continue growing.”

JAMIE E. HELGREN and LINDA HOFSCHIRE worked together at the Library Research Service at the Colorado State Library in Denver during Helgren’s now-completed research fellowship there. Helgren, who earned her MLIS from the University of Denver during her service at LRS, can be reached at jamiehelgren[at]gmail.com and Hofschire, research analyst for LRS, at Hofschire_L[at]cde.state.co.us.

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Thank you for your comments!

Thanks to everyone who has commented on our article. As we discovered when we conducted our survey, privatization of public libraries is indeed a controversial topic that generates a lot of discussion from all sides.

The Library Research Service’s 60-Second Surveys are designed to capture respondents’ opinions about a single timely topic. They were inspired by readers polls, a common survey technique used by many popular magazines as well as association publications, to provide a snapshot of where an audience stands on a particular topic. Therefore, the surveys are designed with these types of publication venues in mind, as opposed to publication in an academic research journal. The privatization survey was developed in response to numerous privatization-related discussions on LIS listservs and blogs, and as such, some of the questions were created to reflect common themes in these discussions.

While the primary goal of the article was to present practicing librarians’ opinions about privatization, we included comments from our interview with LSSI Vice President Mark Smith to provide a counterpoint to the survey responses. In addition, his comments gave insight into how LSSI—the primary private company in the US that provides library management services—responds to some of the common issues that are raised in this debate. It is our hope that this article inspires additional studies about private versus public management of libraries.

Libraries Managed by a Contract with a Third Party Firm

It seems to me that there is a lot of confusion about how this works. If a municipality chooses to employ a contractor to provide library services, then it is done contractually with required specifications and terms of agreement. In fact, the municipality is not “turning over” the management to anyone, it is simply choosing another form of managing the task. The municipality still retains the responsibility to oversee costs, services, etc. so that it is ensured that the contractor is providing what it promised. Municipalities contract for services of all types every day of the year, sometimes because it’s more expedient, sometimes because it’s more cost efficient or more effective generally, or sometimes because there is a lack of expertise in the municipality.

If the goal is to provide the best library service to the community, then at least researching the contract option is a legitimate course of action. If the goal is to provide job security for librarians, then that is a completely different management issue.

@ rjones2818

@ rjones2818 Outsourced libraries still provide free cards to the public. Not sure why you would think they wouldn’t. These are NOT ‘private libraries’ - they are outsourced libraries providing service to the public.

Myths like these are why I feel this discussion lacks a lot of factual input on the ground.

First Anonymous here...

@ Alan: I’m looking through your blog at the moment, and while I see a lot of local interest stories, to be honest, I’m not seeing stories that say specific negative results that are proven to have occurred as a result of privatization. I would love for you to post your ‘minutiae’ actually. So far I see a lot of opposition coming from 1) the way local governments choose non-transparent means of inviting privatization into their libraries which enrages the local populace and 2) supposition about the negative impacts of privatization, but no actual evidence pointing to library examples of privatization ‘going bad’.

Does anyone have any input on the actual real-life negative results of privatization under LSSI that they can share?

As for your discussion of the public ‘ethos’ I think it is important to note that we are ONLY talking about the outsourcing of library MANAGEMENT. The libraries are still owned by the public, the policies are set by the public, and the collections are still dictated by PUBLIC demand. So I think it’s disingenuous to say that if you support outsourced library management you are throwing public service on the ground and jumping on it.

I will share that I have had extended connections with libraries run by LSSI. Does that make me a rosy naive supporter, or merely someone who (unlike many detractors)has actually bothered to see how these operations are run first-hand? Day-to-day, these libraries appear to be run in identical fashion (policies, service, collection development, etc.) to the public libraries in which I have been employed.

Need proof of why LSSI is a

Need proof of why LSSI is a joke? let’s look at santa clarita. Those libraries have lost almost half their professional staff. The staff are being paid significantly less and the company is reaping million in profits. The city of santa clarita at this point has saved no money, and has actually spent more. LSSI already had the city spend a million dollars on more materials, and guess who takes a percentage of every new book that is bought? LSSI

To anonymous; First of all i

To anonymous; First of all i welcome this discussion, I think it’s a healthy thing even though you and others seem nervous about revealing your identities! Is this i wonder because of fear of intimidation?
Anyway, I’ll nail my colours to the post, I am a public librarian, a library campaigner and trade unionist who is totally and utterly opposed to any public service being outsourced, divested or privatised. I am also vehemently opposed to LSSI taking over the mangement of any libraries in the UK, and that is basically why i started blogging to inform and update UK library campaigners and staff regarding their activities, I also contribute on a daily basis to a multitude of other online discussion sites, newspapers etc.
LSSI are majority owned by a private equity company, they are in it for the bucks not for philanthropic reasons and I, and many many others, do not want this type of company anywhere near our public libraries. You don’t have to dig very far to see what kind of company they really are, their opposition to democratic rights in lobbying against AB438, their clandestine and underhand tactics in Santa Clarita and the lip service they pay to labour laws, union organisation and providing pensions, the list is a very long one!
But anyway we get back to my main point which was you either are against outsourcing/divestment/privatisation or you are not, so lets just beg to differ.

Run libraries like a business?

Really?

Which business?

Most businesses fail (some 50% after 5 years, although some go out of business for reasons other than poor sales, etc. - if I’m reading the various articles I’ve looked up right, and it also may not take into account the current economic collapse). Do we want to go the corporate model, or the franchise model, or the small business model, et al.?

There are plenty of reasons that public libraries should stay in public hands (such a free memberships for the public) which many of us hold dear. To turn over such a trust to a for-profit entity is something that should be done only in the most dire of circumstances (if even then).

The above article, written by

The above article, written by interns JAMIE E. HELGREN and LINDA HOFSCHIRE, poses as an unbiased survey of the library profession’s feelings on privatization. However, as a seasoned librarian and researcher, I am skeptical of their work. I would be interested in knowing their source of funding and what guarantees they offer to unbiased survey techniques. To put it bluntly, who in the world oversaw their research? They rely heavily on LSSI employees’ quotes and report their views favorably with no counterpoint. Was this survey initially conceived as an infomercial or apology for LSSI’s product? Ms Helgren and Ms Hofschire use questions that are clearly biased (was this intentional or merely unprofessional?), asking respondents to compare apples to oranges, as in the second paragraph where they write,
“When asked to choose between two options—whether public library management should remain in the public sector to avoid a focus on profit or whether management should be privatized if it means providing better services at lower costs—a full 87% of survey respondents agreed with the former.”

This kind of research would not be acceptable in a reputable library school graduate degree program. I question why ALA did not scrutinize the research behind this article before printing it. Tisk!

I have been working on the problem of privatization of public libraries for quite a while and would like to suggest that those who are interested, review the references listed below.

Library Business Model:

Harriman, Joy HP. Creating Your Library’s Business Plan: a how-to-do-it Manual with samples on CD-ROM, New York: Neal-Schuman Publisher, Inc., 2008, 280 pgs plus CD.
Joy Harriman has written a good book on applying the business model to some of the functions of public administration. Those who believe librarians do not have the resources to adopt and adapt some business techniques are being deliberately insulting to our profession.

Library Management Privatization:

Hill, Heather. Outsourcing the Public Library: a critical discourse analysis, PhD dissertation presented to the Faculty of the Graduate School at the University of Missouri, May 2009,129 pgs. Available on-line. Heather Hill’s doctoral thesis does a fine job summarizing factual history of privatization and LSSI in particular through 2009. Ms Hill’s work is frankly more credible to me than the above survey which is, after all, just an opinion survey that was conducted by a interns at a place, the Library Research Service at the Colorado State Library in Denver, that does not reveal its funding sources.

Sylvain, Matt. “Library Professional Speaks out on possible library privatization,” Southcoast Today/Chronicle, January 28, 2009. Available on-line.
Klinkow Hartmann, Meg. “Show Me the Money: privatization and the public library,” Illinois Library Association Reporter, February 2011, pp.4-7.

Wow

As a “seasoned librarian”, I would have thought you might have considered clicking the “about” link on the LRS website if you wanted to know more about the organization instead of making unfounded accusations and assumptions bordering on personal insults. If you would have bothered, you would have learned that it is a department of the Colorado State Library which is part of the CO Department of Education. Nefarious, I know.

I am not sure where or why you are getting the idea that this is a biased pro privatization article, I did not get that at all from reading it. You are correct that it is a simple opinion survey…They mention that several times.

I do appreciate your suggestions for further reading, but your vitriol is seriously misplaced. How horrible that they let a research fellow at the State Library conduct an opinion survey and share the results! What a travesty!

And to the authors, I apologize for the ignorance and unfounded accusations of this “seasoned librarian”. I enjoyed the article and I thank you for sparking discussion on this topic.

And for the record, I am in no way associated with LRS.

My opinions are funded by me.

Privatisation - Anathema for a reason

For-profit companies exist to make a profit for their shareholders. In the worst case scenario, they fail …. See the experience of Southern Cross, a firm which dominates the elder-care market in the UK and has in the last few days “gone under”, leaving many thousands of dependent elderly in a parlous position. Those who oppose the privatisation of essential public services are not blind, deaf or stupid. They can foresee the dangers of going down such a route and, in the case of Libraries, will do their utmost to keep the public library service public. LSSI is not welcome here.

‘anonymous’ are you a LSSI

anonymous’ are you a LSSI employee or a senior manager working in one of their libraries? The reason I ask is that you paint a very rosy picture of LSSI and their modus operandi, I could furnish you with many examples of why LSSI and privatisation are not good for public libraries but don’t want to get bogged down in the minutiae of the pros and cons argument, my views are there for everyone to read in my blog.
What i will say however is that one crucial point always seems to played down or totally missed in these articles/discussions in that is you either believe in public services and have that ethos or you don’t and if you don’t then you are doing your profession and service users a great disservice. It amazes me that public librarians would want to see public libraries privatised!

Library Management

A reasonably balanced article with the pros and cons of public v private set out succinctly.

Balance is what you won’t get from either Alan Wylie or Shirley Burnham who are professional “public is good, private is bad” campaigners who still mourn for the good old days of British Leyland and the National Coal Board.

Employee Benefits at Privatized Libraries?

What benefits are available to staff at privatized libraries? Leave time? Health care? And, most of all, retirement? These areas seem likely casualties of privatization in any industry. Is it as simple as that? A private company doesn’t have to provide benefits on a par with the public sector. Is out-sourcing the domestic equivalent of globalization from a middle-class worker’s viewpoint?

Some Perceived Advantages of Privatization

I think many people are afraid of library privatization because they have not yet had the opportunity to interact with a system that is privatized. This is a relatively new trend in the library world and of course there is apprehension about it, but I think we can be encouraged by the fact that there have not been any ‘horror stories’ coming out of these communities that are privatized, and I think it is also telling that in the research quoted, library directors seem to be a bit more open to the feasibility of outsourced management. Perhaps they are seeing the practicality this sort of arrangement can provide in ways that non-directors might not consider.

I am really glad that ALA chose to include LSSI input in this article because so many seem content to only focus on the ‘anti’ side of this conversation and never seek to look at the other side with an open mind. I do wish I saw a lot less fear-mongering about this topic within librarian forums. From my experience within LSSI libraries, I do think that this is a company that cares about best practices, and which truly wants to help those communities that have chosen, for a multitude of reasons, to look into outsourcing their management. They are not throwing the homeless out of their libraries, banning LGBT books, or any other number of ridiculous accusations I have heard floating around without any solid facts or proof to back them up.

I also think we need to realistically acknowledge that libraries running under public sector management do not always deliver exemplary service to their communities. Is a public employee more likely to uphold the library bill of rights than a private one? Is a public employee less likely to receive pressure from influential community members to remove books from their library? I don’t think we can say that there is something inherently better about a publicly managed library compared to a private one - it all depends on the unique situation of each library and community.

I do not think LSSI comes in with a cookie-cutter system that is roughly applied to every library with no thought for the unique needs of each community. In my experience, LSSI staff work very closely with city management and the public in the same way traditional library administrations do. The very fact that they are private sector does give them a certain amount of swiftness and flexibility in addressing issues that more bureaucratic public institutions might have difficulty matching.

I’d like to share some of my perceived advantages to privatization:
- increased access to a wide variety of library professionals in specialized areas employed by the private company who can offer advice and consultation to all libraries under the company’s management
- a chance to revitalize ‘stagnated’ library systems by bringing in management professionals who have experience in (forgive the expression) clearing out ‘dead wood’ and making important changes that might have been too daunting for the library to implement in the past
- connection to dozens of other libraries across the U.S. to share resources and best practices
- The opportunity for some company employees to have mobility within a large system across a large geographical area that many smaller systems cannot provide for their employees career advancement

From my interactions with LSSI, I have found that their staff contains dozens of degreed library professionals who care very much about doing the very best they can for their libraries every single day they come to work. The best thing for the library profession to do about this situation is to ask questions, interact with privatized libraries and their communities to find out what advantages or disadvantages have arisen as a result of privatization, and share truthfully what we have discovered so that both the public and private sectors can improve their service.

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