Thanksto Develop for the opportunity to join you all today.I’m going to give an overview of the subject today – distilled from a day long conference we ran last year and in order to cover as much as possible I’m afraid I have ended up with very wordy slides. So my apologies for lack of creativity.
A private members bill that made it: from Chris White MP, author of the bill“The Act is not prescriptive, but empowering. It relies on civil society organisations to take the initiative and use the potential of the Act to change the way we commission services”...I hope all public bodies will see this as a duty to consult and civil society organisations should lobby hard to ensure that public bodies use the expertise and knowledge of the third sector when putting the Bill into action.”
Builds on legislation: treasury guidance, Best Value statutory guidance, EU guidance, equalities lawBuilds on previous policy directions & guidance: Social clauses, intelligent commissioning, world class commissioning, EU Buying Social & Buying Green, NAO Successful Commissioning
Whose Value is it Anyway?Value is context and stakeholder specificHowever, there is a common architecture behind value, the elements of which could be summarised as: looking at effect or change (OUTCOMES), not just inputs and activities, or in the language of the Act " improvement in wellbeing" value builds on (but is not just) effect, it deals with relative importance of effect recognising that different stakeholders value those effects differently.
"The Bill constitutes a good idea that has been given a few teeth. Whether those teeth are sharp enough, or the jaw that contains them is strong enough, we do not yet know. However, the Bill is a good start. We should see it as part of an ongoing process as opposed to an end in itself."Lord Addington“Plenty of examples of a little social value being factored into procurement processes on an ad hoc basis, but far less where it is a corporate approach driven from above”“a continuation of what was done before... In the worst cases box ticking... A minority seeing it as a positive impetus to do things differently”(John Dawson,Local Commissioning & Procurement Adviser, NAVCA)
The opportunity that the Bill gives to us is to give as much credence to social value as to cost.. If we do not do this, then we end up knowing the cost of everything and the value of nothing.“Baroness Stedman-Scott.
No one sector / organisation has a monopoly on social value. However not all sectors are driven by social value hence which is why the Social Value act can be seen as such an opportunity for social purpose organisationsDo your commissioners see this as a risk or an opportunity?Are they looking to buy better or change what they’re buying?Are they looking at this systemically or specifically, case by case?
To gain competitive advantage from the provisions of the act you will need to be able to measure and demonstrate your impact.But this is not just relevant in the context of public service delivery, as this quote from Peter Wanless demonstrates.In response to this South West Forum is developing the Impact Hub South West, to help organisations capture and communicate their impact, in a way that suits the size of your organisation and the resources at your disposal. Advice – Training – Consultancy – Briefings – Research - Commissioning & outcomes frameworksTwo projects – Skills for Impact and Proving Our ValueAccess to support which is:High quality and expert – Independent – Affordable – Appropriate - Grounded in reality
Social Value Wilts VSF
Social ValueAfter the Public Services (SocialValue) Act 2012Wiltshire Voluntary Sector Forum15th May 2013
What does the Act say?Public Services (Social Value) Act 2012“The authority must consider—(a)how what is proposed to be procured might improve theeconomic, social and environmental well-being of therelevant area, and(b)how, in conducting the process of procurement, it mightact with a view to securing that improvement.”(my emphasis)
What Does the Act Say?Public Services (Social Value) Act 2012“The authority must consider whether to undertake anyconsultation as to the matters that fall to be consideredunder subsection 3”– Exemption for urgent procurements– Does not overrule procurement legislation
What is Social Value?• No universal definition"social value refers to wider non-financialimpacts of programmes, organisations andinterventions, including the wellbeing ofindividuals and communities, social capital and theenvironment. These are typically described as soft‘outcomes, mainly because they are difficult toquantify and measure.“Measuring Social Value, Demos
What is Social Value?Social Enterprise UK:“It involves looking beyond the price of each individualcontract and looking at what the collective benefit to acommunity is when a public body chooses to award acontract.”Social value asks the question: “If £1 is spent on thedelivery of services, can that same £1 be used, to alsoproduce a wider benefit to the community”.In other words, what are the additional benefits to thecommunity, be they social, economic or environmental,which can come from this procurement process over andabove the direct purchasing of the services?
What’s currently happening?You have to know languages when you go to sellsomething……but when you go to buy everyone does whathe must to understand you.”Gabriel Garcia Marquez, Love in the time ofCholera
Challenges• Only 18% of commissioners regularly engagewith potential providers to design a tender• Criteria for awarding contracts– TOP: Cost– BOTTOM: Community engagement potentialFuture Service Partnerships, LGiU, http://bit.ly/OwoE6M
What you can do:Find out locally:1. What are the local priorities?2. Is there clear political leadership3. What counts as having met the Act’srequirements?
“…there’s an onus on us to make the biggestdifference we can… It’s not enough to show thatyou did something. You have to show that whatyou did is better than anything else you couldhave done.”Peter Wanless(Chief Executive, The Big Lottery Fund)Demonstrate your Impact
Help and Supporthttp://southwestforum.org.uk/eventreportshttp://tinyurl.com/ImpactHubSWfirstname.lastname@example.org 247901
AcknowledgmentsThis presentation is based on material from:• John Dawson, Local Commissioning andProcurement Adviser, NAVCA• Jenni Inglis, VIE• Helen Vines, Vinesworks• Charlotte Hanson – Proving Our Value, SouthWest Forum