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Dr Gordon Murray  Programme Manager
Transforming the procurement vision: Third sector commissioning myopia
Better outcomes for individuals & communities
Better outcomes for individuals & communities Efficiency  gains & community  benefits Smarter  Commissioning (more innovat...
Commissioning  & procurement <ul><li>Commissioning is the cycle of assessing the needs of the people in an area, designing...
Better outcomes for individuals & communities Efficiency  gains & community  benefits Smarter  Commissioning (more innovat...
Who are TSO’s? <ul><li>Voluntary and community  organisations </li></ul><ul><li>Charities </li></ul><ul><li>Social enterpr...
Benefits of third sector <ul><li>Specialist knowledge, expertise and/or skills </li></ul><ul><li>Ability to spot emerging ...
Better outcomes for individuals & communities Efficiency  gains & community  benefits Smarter  Commissioning (more innovat...
Barriers to greater third sector involvement?
NAO identified the following common problems <ul><li>Short-term funding </li></ul><ul><li>Excessive risk placed on provide...
TSOs view of the big issues <ul><li>Lack of understanding of  what the third sector can deliver </li></ul><ul><li>Lack of ...
Maximising the opportunities
The Compact and Small Business Friendly Concordat <ul><li>The Compact and its Funding and Procurement Code of Good Practic...
Eight principles of good commissioning <ul><li>Understand the needs of users etc., by engaging with TSOs as advocates to a...
Implications for procurement professionals <ul><li>Part of ‘Use of Resources’ strategy </li></ul><ul><li>New roles </li></...
Transforming the procurement vision: Third sector commissioning a lens of opportunity
Transforming the procurement vision: A lens of opportunity Better outcomes for individuals & communities Efficiency  gains...
Programme Change Model Better outcomes for individuals  & communities <ul><li>Change Hearts  </li></ul><ul><li>& Minds </l...
Dr Gordon Murray  Programme Manager
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070921 Sopo 2007

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Transforming the procurement vision: Third sector commissioning a lens of opportunity

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Transcript of "070921 Sopo 2007"

  1. 1. Dr Gordon Murray Programme Manager
  2. 2. Transforming the procurement vision: Third sector commissioning myopia
  3. 3. Better outcomes for individuals & communities
  4. 4. Better outcomes for individuals & communities Efficiency gains & community benefits Smarter Commissioning (more innovative & effective)
  5. 5. Commissioning & procurement <ul><li>Commissioning is the cycle of assessing the needs of the people in an area, designing and then securing the appropriate service </li></ul><ul><li>Procurement is one of the means of acquiring what is being commissioned </li></ul>
  6. 6. Better outcomes for individuals & communities Efficiency gains & community benefits Smarter Commissioning (more innovative & effective) Design Delivery Holding to account
  7. 7. Who are TSO’s? <ul><li>Voluntary and community organisations </li></ul><ul><li>Charities </li></ul><ul><li>Social enterprises </li></ul><ul><li>Mutuals, and </li></ul><ul><li>Cooperatives </li></ul>
  8. 8. Benefits of third sector <ul><li>Specialist knowledge, expertise and/or skills </li></ul><ul><li>Ability to spot emerging trends </li></ul><ul><li>Involving people in service delivery </li></ul><ul><li>Independence from existing structures and models </li></ul><ul><li>Reach the hard-to-reach </li></ul><ul><li>Freedom and flexibility from institutional pressures </li></ul>
  9. 9. Better outcomes for individuals & communities Efficiency gains & community benefits Smarter Commissioning (more innovative & effective) Optimal use of third sector Design (Voice) Delivery (Choice) Holding to account (Voice)
  10. 10. Barriers to greater third sector involvement?
  11. 11. NAO identified the following common problems <ul><li>Short-term funding </li></ul><ul><li>Excessive risk placed on providers </li></ul><ul><li>Unrealistic prices </li></ul><ul><li>Excessive burdens of monitoring and evaluation </li></ul>
  12. 12. TSOs view of the big issues <ul><li>Lack of understanding of what the third sector can deliver </li></ul><ul><li>Lack of understanding of how the third sector operates , how it can best be utilised </li></ul><ul><li>Perceived higher-risk leading to over-bureaucratic processes </li></ul><ul><li>High commissioners turnover </li></ul><ul><li>Lack of clarity and transparency in decision-making </li></ul><ul><li>Size of contracts exceeds capabilities of specialist organisations </li></ul>
  13. 13. Maximising the opportunities
  14. 14. The Compact and Small Business Friendly Concordat <ul><li>The Compact and its Funding and Procurement Code of Good Practice </li></ul><ul><li>99% of English councils have adopted the Compact </li></ul><ul><li>162 English councils have signed the Small Business Friendly Concordat </li></ul>
  15. 15. Eight principles of good commissioning <ul><li>Understand the needs of users etc., by engaging with TSOs as advocates to access their specialist knowledge </li></ul><ul><li>Consult provider organisations when setting priorities </li></ul><ul><li>Put outcomes for users are the heart of the process </li></ul><ul><li>Map the fullest practical range of providers </li></ul><ul><li>Consider investing in the provider base </li></ul><ul><li>Ensure contract processes are transparent and fair </li></ul><ul><li>Ensure long-term contracts and risk-sharing </li></ul><ul><li>Seek feedback to review effectiveness of the commissioning process </li></ul>
  16. 16. Implications for procurement professionals <ul><li>Part of ‘Use of Resources’ strategy </li></ul><ul><li>New roles </li></ul><ul><li>Commissioners will have demands for support & advice </li></ul><ul><ul><li>Funding strategy </li></ul></ul><ul><ul><li>Honouring the commitments of the Compact & Concordat </li></ul></ul><ul><ul><li>Removing the barriers </li></ul></ul><ul><ul><li>Engagement with the market </li></ul></ul><ul><ul><li>Interpreting the legislation </li></ul></ul><ul><ul><li>… </li></ul></ul>
  17. 17. Transforming the procurement vision: Third sector commissioning a lens of opportunity
  18. 18. Transforming the procurement vision: A lens of opportunity Better outcomes for individuals & communities Efficiency gains & community benefits Smarter Commissioning (more innovative & effective) Optimal use of third sector Design (Voice) Delivery (Choice) Holding to account (Voice)
  19. 19. Programme Change Model Better outcomes for individuals & communities <ul><li>Change Hearts </li></ul><ul><li>& Minds </li></ul><ul><li>Champions own training responsibility </li></ul><ul><li>Delegate to Change Managers </li></ul>Push Ministers, DGs. etc Training provider negotiations Reinforce through performance mgt, IDeA offers, & communications Training needs Portfolio of training provision Commissioners embed Compact & 8 Principles Advisory Group Agree TS bidding capacity improvement needs Bidding capacity improved Greater TS capacity to respond to bids Fairer & more transparent procurement Increased probability of TS bidding success Greater TS involvement in PSD
  20. 20. Dr Gordon Murray Programme Manager
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