ASSOCIATION FOR PUBLIC SERVICE EXCELLENCE
VISION FOR THE FUTURE
ASSIST CONFERENCE – ST
ANDREWS BAY SEPTEMBER 2005
PAUL O’BRIEN, CHIEF EXECUTIVE, APSE
ASSOCIATION FOR PUBLIC SERVICE EXCELLENCE
Outline
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Quotations
A ten year vision
Short to mid term
Designing services
Conclusions
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Vision - Quotations
• ‘They couldn’t hit an elephant at that
dist…..’ last words of General
Sedgewick.
• ‘The best way to predict the future is to
invent it’, Sony.
• ‘I never think of the future. It comes
soon enough.’ Albert Einstein
ASSOCIATION FOR PUBLIC SERVICE EXCELLENCE
2015
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Society in 2015
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Longevity
Varied households
Disabilities
Diversity
Skills shortages
Child care
Training
Consumerism
Quality of life
Sport & Leisure
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Environment in 2015
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Extreme weather
Housing shortages
Fear of crime
Reduce emissions
Recycling
Congestion
Public awareness
Charging
Public transport
Establishment
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Economy in 2015
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Economic stability
Manufacturing
Service sector
Knowledge economy
Wealth v exclusion
Regional variations
Polarisation
Multinationals
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Technology & Politics in 2015
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Technology
Access
On demand 24/7
Voter apathy
Political parties
Celebrity
Lower taxes / Higher quality
Privatisation
Service failures
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Short to mid term issues
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P.R.
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2007
No overall control
Consensual politics?
Clarity of direction
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Reorganisation
• Tom McCabe, APSE Glasgow
• ‘Yes, No, Yes, No, Yes, No’
• Football Chairman’s vote of
confidence
• Joint working or else
• Beyond 2007
‘We're not in the market to be
looking for a manager’ – 15
October
SFA chief executive David Taylor
Sacked 1 November
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Centralism V Localism
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Thatcher / Blair
Centralism
Ring fencing
Local agents?
National minimum standards
Local enhanced choice
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Finance
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Tom McCabe
U.K. Macro economics
Comprehensive Spending Review
Record investment in public services
Now want return
Drives efficiencies and PPP
Prudential borrowing
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Scotland – Efficient Government
• September 2004 - Scottish Executive spending
proposals for 2005 – 2008 published.
• £500 million of recurring cash-releasing
efficiency savings for investment in frontline
services by March 2008.
• November 2004 – Efficient Government Plan.
• 3 year financial targets - £745m of annually
recurring cash-releasing savings by 2007-08
and the ambition of achieving up to 900 million.
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Scotland - Targets
2005-06
Already
identified
2006-07
Already
identified
2007-08
Already
identified
For the year
2007-08
Additional
savings yet
to be
specified
Cash
releasing
savings
405m
582m
745m
155m
Time
releasing
savings
N/a
N/a
300m
300m
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Scotland – Developments to March 2005
• Establishing a reference group with representation from local
government, the NHS and other public bodies to act as a
channel for information and to strengthen dialogue between
different sectors;
• Establishing an Efficient Government Delivery Team within the
Scottish Executive;
• Holding a series of workshops across Scotland with senior
managers in the public sector on the topic of collaborative
Efficient Government projects;
• Piloting the technical note for identified cash-releasing efficiency
projects;
• Drafting of technical notes for the 48 cash-releasing efficiency
projects that have been identified; and
• Working with Audit Scotland to introduce independent scrutiny
into the process.
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Achieving Efficiencies – The APSE way
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PPP
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Tranche 1 - 2002 £1.2bn
Tranche 2 – 2003 £748m
Catering / Cleaning / Janitorial
Soft Service
– Carve out
– Sub-contract
– Stake in SPV
– Secondment
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Trading & Charging
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2003 Act
Surplus Capacity
Guidance
95% Marginal
5% Significant
Encore
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Planning to Charge or Trade
Community
Strategy
Market
analysis
Council Strategic Objectives
Economic, Social,
Environmental
Civic Benefit
Partners
Powers
Business Case
Portfolio
Analysis
Demand
Competition
Economic Impact
Risk
Assessment
Financial
Case
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A Rough Guide
• What are we good at?
– Portfolio analysis
• Is there an external market for it?
– Market research
– Porters five forces
• Is it consistent with Council objectives
– Economic impact assessment
• Prepare business case
– Inputs
– Risks
– Rewards
• Business plan
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Examples
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Large event catering
Deep cleaning
Specialist catering – e.g. halal, kosher
Specialist cleaning e.g. hazardous
environments
• Joined up examples
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Any Council Community Support
Service
•Meals on wheels
Trust
•Cleaning
Comprehensive
service
•Shopping
•Property Maintenance
•Grounds Maintenance
•Emergency Alerts
Qualified/approved
staff
CRB checked
Charge based on ability to pay
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EQUAL PAY – THREAT OR
OPPORTUNITY?
 Not a question of ‘if’ but ‘when’!
 What is local government’s defence?
 Lemmings, Lawyers and Losers?
 What is the vision for Equal Pay?
 Do or be dammed?
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Two Comparable Destinations
CORPORATE VISION/
CONTINOUS IMPROVEMENT
COMMERCIAL
TRADED SERVICES
& BUSINESS PLANNING
WORKFORCE
DEVELOPMENT &
LABOUR COST
STRATEGY
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SECOND DESTINATION?
EQUAL PAY
WILL NOT
HAPPEN TO
ME!
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Soft FM Skills Shortages
• UK Wide Survey – 23% Response Rate
• 94% of Soft FM Employers Encountering Skills Shortages
– *Biggest skills shortages evidenced in Catering (41%) and Cleaning
(35%)
– *Biggest recruitment shortages evidenced in Catering (73%) and
Facility Assistants (61%)
• 41% Developing a Soft FM Model
– Of which, 25% are incorporating Hard FM functions
• All respondents are currently recruiting for service needs only,
no evidence of long term support for the wider industry from
either sectors
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STRUCTURES
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Customer focused
One stop approach
Loose fit FM package
Area based
Selling services to schools
New markets
Links to Corporate Initiatives
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THE FUTURE
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Improve or else
Bigger authorities
Fewer Councillors
Changing environment
Flexible structures
Thriving in adversity
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CONCLUSIONS
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Strong future for Local Government
Dynamic environment for FM services
Adapt to change
Take opportunities
Learn from each other
Challenge for APSE & ASSIST
ASSOCIATION FOR PUBLIC SERVICE EXCELLENCE
“It is not the strongest of the species
that survives, nor the most intelligent it is the one that is most adaptable to
change”.
Charles Darwin
ASSOCIATION FOR PUBLIC SERVICE EXCELLENCE
Contact details
PAUL O’BRIEN
Association for Public Service Excellence (APSE)
2nd Floor, Washbrook House
Lancastrian Office Centre
32 Talbot Road, Old Trafford
Manchester M32 0FP
Tel 0161 772 1810
Fax 0161 772 1811
Email: po’brien@apse.org.uk
Web: www.apse.org.uk