SUMMARY FEEDBACK FROM WORKSHOP. 1 st April 2015

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1 Building Control Workshop Re-thinking Building Control - Delivering statutory services in a sustainable way 1 st April

2 2 SUMMARY FEEDBACK FROM WORKSHOP 1 st April 2015 Workshop Presenters and facilitators Catherine Inskip - catherine.inskip@iese.org.uk Catherine Linehan catherine.linehan@iese.org.uk Marie Buckley - marie.buckley@labc.co.uk Andy Carpenter - andrew.carpenter@devonbuildingcontrol.gov.uk Haydn Lewis haydn.lewis@iese.org.uk Workshop Aims and Objectives: To To consider the public sector landscape and the role for local authorities in the future To understand where your authority is along the journey To look at possible future options and alternatives for local authorities To understand the benefits and pitfalls of shared services and alternative delivery models Introduction to Workshop (these notes should be read in conjunction with the workshop slides from the day) The workshop was opened by iese in setting the scene for the Public Sector Landscape and the challenges ahead for Public Services (see slides 6-14) with increasing public expectation whilst significantly reducing budgets. It was considered that this pressure to achieve greater efficiencies in local public services is a very strong driver for innovation. The strategy for many local authorities has been to: Look inwards, focused on making the services and organisations internally leaner and more efficient, but this is very much changing and the focus is becoming more transformational and innovative. iese through its activities and support of local authorities have seen more Councils moving on a journey of improvement (reviewing) transformation (remodeling) through to innovation (redesign) One size does not necessarily fit all. Councils can quite rightly be in different places in different service areas at any one time. These will reflect the different nature of local services, requirements of the community, political priorities and the public value they are adding.

3 3 Session One: Review, Remodel, and Redesign Model The Workshop considered the model and considered the following 3 areas that councils undertake. Review Service level change, focusing on internal efficiencies and improvements within existing structures Remodel Organisational level change, embracing greater cross-functional working and multi-skilling, and improving ways of working to move away from professional silos and bringing services to the citizen; Redesign Whole system level change, public value is the key and customer demand is met through new structures and delivery models, the demand itself is reshaped and managed, reframing the whole deal, perceptions changed of the relationship between Councils, residents and businesses. Activity 1: Attendees in 3 working groups looked to discuss and explore the Model above in relation to their authority and the building Control Service in respect of: How would you characterise your council s broad approach to efficiency and change? What is Building Controls current position - Review, Remodel, Redesign some all? (provide details) What is the aspirational position i.e. where does your council want to be? Activity 1 part 1 - Individual council s broad approach to efficiency and change Individual council s broad approach to efficiency and change Using Income to offset reductions in RSG funding Keen to be lead authority if money to be made Efficiencies through lean activities Reorganisation of Departments Reviewing all Services and looking for Savings Evolution not Revolution Mobile / home working to save money Efficiency key to service delivery Change embrace where justified and improve service delivery and cost Efficiency though Lean and Systems thinking Remodel stage (+/-) Remodel stage embarking on a transformational redesign in alignment to its Vision Council approach a bit of everything Staff / Management keen to embrace and explore changes Acceptance that As-Is option is not sustainable. Potential reticence from Members Corporately very open to change Considerable Partnership working Some effective some less so

4 4 Underway with customer first Commercialisation Commercialisation of Services Wants to be more commercial but is inhibited through number of constraints Cautious Commercialisation set up trading board (not yet Teckal) Leadership training Programme Partnership Working Cross boundary and Partnership opportunities Shared Services Shared services with 2 other boroughs Council wants to be Commissioning Council? Keen to explore alternative delivery methods on a pragmatic basis e.g. ICT LATC, Shared and joined up services Building Control is a stand alone service moving towards shared service Partnership of 3 authorities been through review now between remodel and redesign Transformation and redesign of all services from top to bottom It was noted that all authorities recognise that there is need for change but that due to various factors they are at different stages (and therefore activities being undertaken) of the change process. These drivers include Financial pressures, political direction, existing association with other authorities and organisations, Activity 1 part 2 - Building Controls current position - Review, Remodel, Redesign some all Building Controls current position (Review, Remodel, Redesign) BC Currently shrinking due to increasing competition looking to create a shared service with 2 others Exploration of options? Risk Review restructure for efficiency - Staff close to retirement Not in Partnership therefore isolated Consultancy working plus Building Regs service Quality Services without excessive costs Joining with a neighbouring authority BC to create a shared service which we are hosting (both authorities are financially efficient currently) Already a hosted partnership remodeling to a LATC to expand service across region, support remote working and generate income. New vision for 2020 no direction in regard of Redesign outcomes yet as transformation just commenced Using Building Control Mgt to run DC/ DM functions Looking to other markets internal and external Review stage but looking at a shared service with another LA Mainly review and Remodel of BC Went through Review 7 yrs a go now between remodel and redesign Redesign to Shared Service Small authority currently exploring Partnership options with 9 other Bdg Control

5 authorities in Surrey (staff committed to change) Very Lean team currently Review stage but investigating Partnership options with other LAs not in existing partnerships) Just gone through a Partnership review and the joining of 2 councils. Service going to home/ mobile working and looking at the possibility of working with other LAs or forming a Teckal Company. Evolution rather than revolution Restructuring and remodeling around citizens In the process of consideration of outline business cases Maintaining Market Share and establishment looking for Cross boundary working Redesign stage Review restructure in management and reduction in support services Shared service Business case (is it ambitious enough?) 5 Activity 1 part 3 - the aspirational position i.e. where does your council want to be? The aspirational position i.e. where does your council want to be? Robust, efficient, maximising income Delivering a quality service, efficiency with customers at the heart Redesign around customer, citizen requirements To continue to provide the service as it should be provided. Keen to engage with private sector Bdg control with view to increasing Market Share and opportunities to expand business/ service Review and Remodel creating a virtual paperless office Move towards an Approved Inspector Model Moving to commissioning authority To subsidize total costs for authorities so that Partnership is self sustaining To achieve cost zero (currently running at loss) To become a company to maximise opportunity to bring money back into the council To make profit Profit Making Service Commercial trading arm to be developed Building control as an ALMO / LATC A London wide Bdg Control service to enable service to compete and train next generation of Bdg Control surveyors To Redesign service Shared service with other borough one source HR, IT Finance (could change dependent on Political environment changes) Broad approach - to Commercialize services if not already outsource create commercial partnership Development of regional local government with number of shared services Paper submitted to CEO for County Redesign Shared services for Bdg Control (and other services) for efficiencies and customer benefits

6 6 Session Two Marie Buckley (LABC) introduced the topic around The Future of Local Authority Building Control Activity including the challenges, issues and opportunities for Building Control. (see slides 16-31) Andy Carpenter (DBCP) followed this with a practical example of the journey that Teignbridge, South Hams and West Devon councils have been through from individual service delivery to creating a shared service, hosted service and steps toward the creation of a LATC. (see slides 32-46) Participants were asked to explore in groups: 1. What is your reaction and feedback on the morning sessions? 2. What do you think you need to consider for your future service? 3. What are the obstacles preventing you from achieving future service? 4. What methods and techniques are most appropriate to achieve your service aspirations and priorities? What is your reaction and feedback on the morning sessions? The Sessions were very useful No real surprises interesting about the difficulties in running 3 separate accounts Useful to see the Delivery and establishment of models from others and hearing how it is/was for others Interesting in the evolution of the DBCP service Positive that we are all progressing Evident willingness to change despite already undertaken change Good to see if we can get different political backgrounds together Appreciation that we are all in it together Some authorities are already shared how do we get to the next step? An understanding that there are differences in the requirements of different councils and there is a need to go through the process to identify the right option for different authorities Recognition that there are issues that authorities may have different partners for different services which need to be considered. e.g. waste, Audit, ICT etc Looking at county wide is this biting off too much to start with?

7 7 Considerations for your future service Recruitment and retention and succession Establishment options Cost effectiveness and efficiency Need to be cross boundary cross working services Concerns over non-fee earning work Resilience and viability In process of sharing/ company creation how to get buy in from councils i.e. Win Win situation Business case for future what to include and who to target Have we the expert capability / capacity to instigate change? The Elephant in the room Governance (how profits are extracted in a shred environment); Recharges (how can costs be recouped); Redundancy liability (recouped by fees? Remains the responsibility of the home authority); TUPE Need to reduce managers (needed for strategic purposes) What will LABC look like in the future - Could Building Control come under the LABC umbrella? Maintain current customers and win new ones The obstacles preventing you from achieving future service delivery (shared/ company) Achieving a level playing field between the various authorities (Financial & service Performance Lack of trust and view of the big picture benefits for all authorities Loss of recharge contribution impact on the authority Possible staff resistance ICT migration Redundancy costs Politics of authorities getting more than one authority together LA Mindsets Culture Customer services (if already centralised non specialized administration) Approved Inspectors Funding Business Case/ Transformation Capability and Capacity/ Resources Inability to attract new staff and provide traineeships Lack of Profile for building control generally (limited knowledge of BC outside of the service itself) LABC needs to support services and BC in raising the profile to the wider audience

8 8 The methods and techniques are most appropriate to achieve your service aspirations and priorities Commercial aptitude of Management and team mindset of dedication, customer centric Flexible and mobile working (including ability to work outside the 9-5 regime) Effective ICT i.e. Back office systems to do what is required/ mobile solutions/ connectivity/ Cloud based Building of capacity and capability need gravitas within the service to bring prospective partners together and act as a driver and obtain senior buy in from potential partner authorities (CEOs, HoFs etc) Looking to create a consistent provision and understanding of Building Control across local authority boundaries A full understanding of the phases of implementation see how other organisations have done it Obtaining lessons learnt from organisations that have already been through the process. E.g. fee apportionment also see differences and commonality between organisations Session Three Catherine Linehan (iese associate Solicitor) provided an evaluation on future options for Building control. This included In-house, Commissioning, outsourced, Shared Services (Public- Public collaboration; Public Private collaboration; Incorporation; Teckal Company, S95 and future delivery model considerations, benefits and pitfalls from a legal perspective. (see slides 49-64) For more information on any of the subjects above, or to find out how iese can support your Building Control Service please contact enquiries@iese.org.uk or call

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