Implement Franchising for Service Functions

1. Implement franchising for service functions at the agency head's
discretion.

The President, by executive order, should instruct agency heads to
determine which service functions (e.g., procurement, personnel,
finance, logistics, engineering, etc.) their agency does well and can be
offered to other agencies and which services are weak and should be
purchased from other agencies. Agency chief operating officers (COOs)
should be assigned responsibility for making the concept work within and
across agency lines and across functional service lines using the
reinvention laboratory concept, pilots, or other approaches to
accomplish this. COOs should develop long-term agency implementation
plans. In order to facilitate franchises, OMB should introduce
legislation permitting the establishment of franchise revolving funds in
all agencies.