PEOPLEPLUS GROUP LIMITED INCORPORATING A4E

Transcription

1 PEOPLEPLUS GROUP LIMITED INCORPORATING A4E Assessment Dates: 04/04/2016 to 07/04/2016 TMX Report Template V

2 Contents 1. About the Organisations Assessment Methodology Assessment Outcome Areas of Significant Strength Areas for Improvement Areas Requiring Significant Development Findings Against the Merlin Standard Conclusion... 34

3 1. About the Organisations PeoplePlus Group Limited (PeoplePlus) a private sector organisation is part of the Staffline PLC group. Staffline PLC group entered the employment and skills market in June 2011 following the acquisition of Fourstar Employment and Skills, creating EOS and delivering the Work Programme in Birmingham, Solihull and the Black Country (CPA14), Subsequently, in May 2014 it acquired Avanta Enterprise Limited, which delivered Work Programme in North East (CPA05), North West (CPA07) and South East (CPA10), and were also successful in gaining New Enterprise Allowance (NEA) contracts in West Midlands; Birmingham, Solihull and the Black Country (CPA01) and South; Beds, Herts, Essex and Kent (CPA04). In addition, it provides a Skills and Vocational Programme on behalf of the Skills Funding Agency (SFA). The integration of EOS and Avanta Enterprise Limited commenced with bringing the four Work Programme contracts together, along with the two NEA contracts and trading as Avanta. In April 2015 A4e Limited (A4e) was acquired, which was delivering Work Programme in East Midlands (CPA02), London East (CPA04), North West (CPA06) South West (CPA09) and South Yorkshire (CPA17), as well as NEA in Wales (CPA15) and Glasgow, Lanarkshire, East Dunbartonshire and West Scotland (CPA12). Following the acquisition of A4e a ninety-day consultation took place with the aim of capturing the best practices from the two primary organisations; Avanta and A4e. Staff continued to be employed by the two primary organisations, until 4 th January 2016, where by PeoplePlus Group Limited became a legal entity and staff transferred to the new business. Its vision is to build and develop the most reliable integrated workforce in the country and be the leading creator of opportunities, jobs and new ideas in the employability, skills and justice sectors. This is underpinned by a set of core values: teamwork, integrity, commitment, reliability, creativity and respect, which drive the behaviours across the organisation. In order to achieve its vision, PeoplePlus work with a number of funders / commissioners, for example Department for Works and Pensions (DWP), Skills Funding Agency (SFA), etc. delivering a range of Welfare to Work, Skills and Justice programmes. PeoplePlus continue to adopt a delivery model using both direct delivery and supply chain capacity to meet the aims and objectives of DWP and other commissioners. Consequently it was mandated to undertake an initial assessment against the Merlin Standard. Whilst every effort had been made to novate all the contracts from Avanta and A4e to PeoplePlus, some contracts have remained under A4e, which continues to be a legal entity to enable the provision of Work Programme CPA06 and CPA 09 and New Enterprise Allowance (NEA) CPA 15 and CPA 12. PeoplePlus undertook an assessment against the Merlin Standard, which incorporated a parallel assessment with A4e. It should be noted that whilst the contracts are under two named organisations, the integration of activities has resulted in the same practices being implemented across a majority of supply chains. As a result, the following report indicates separate scoring for the two legal entities, whilst the findings against the Standard incorporate both, any exceptions / differences are recorded in order to support PeoplePlus to adopt a consistent approach to supply chain management in the future. The following provides an indication of the percentage delivery by supply chains: 1 TMX Merlin Report Template

4 PeoplePlus New Enterprise Allowance West Midlands (CPA01) 44.8% South (CPA04) 31.7% Work Programme North East (CPA05) 44.4% North West (CPA07) 26.8% South East (CPA10) 23.2%% East Midlands (CPA02) 27.7% South Yorkshire (CPA17) 18.5% West Midlands (CPA14) 12.3% A4e New Enterprise Allowance Wales (CPA15) 18% Glasgow, Lanarkshire, East Dunbartonshire and West Scotland (CPA12) 15% Work Programme North West (CPA06) 30.5% South West (CPA09) 29.3% 2 TMX Merlin Report Template

5 2. Assessment Methodology PeoplePlus incorporating A4e was mandated by DWP to undertake an initial assessment against the Merlin Standard due to being a delivery partner (Prime) for the Work Programme and NEA. The assessment team comprised of Lorna Bainbridge (Lead Assessor) and four Assessors: Susan Smith, Andy Richardson, Tracey Pepper and Neil Potentier, supported by a coordinator within PeoplePlus. The Lead Assessor had been in regular contact with the coordinator since a strategic review was undertaken in September 2015 to ensure an understanding of the changes at an organisational level and current portfolio of contracts to be included in the scope of the assessment. A booking form was submitted to Assessment Services Limited along with a spread-sheet indicating a full list of supply chain partners; past, present and potential partners delivering a range of services; end-to-end (tier 2), specialist intervention (tier 3) and ad-hoc purchases (tier 4). Subsequently, the dates for the on-site activity were agreed along with a plan of action, including the logistics of the on-site evidence collection activity. The survey was sent to all partners listed on the spread-sheet nine-weeks prior to the assessment date, which addressed those partners delivering for PeoplePlus and those that remained under the A4e contract areas, but trading as PeoplePlus. The Lead Assessor selected partners to be interviewed from all contracts and CPAs, and included end-to-end (tier 2), specialist intervention partners (tier 3) and those that provide an ad-hoc service (tier 4) from those listed for A4e and PeoplePlus. The Lead Assessor was in regular contact with the coordinator prior to the on-site activity to review the schedule and logistics. All documentation required for the assessment; Self Assessment Questionnaire, Pre-Assessment Notes and schedules were shared within the agreed time-scale. The assessment team (5 assessors) spent a total of 15 days on-site reviewing documentary evidence and undertaking interviews with PeoplePlus staff involved in the strategic and day-today delivery and management of the supply chains. A total of 85% PeoplePlus end-to-end partners (present and past) were interviewed. A total of 86% A4e end-to-end partners (present and past) from across both contracts and all CPAs were interviewed. 14 specialist intervention partners and ad-hoc purchase organisations also contributed to the assessment. The following report provides an indication of the areas of strength, improvement and development for PeoplePlus incorporating A4e. It should be noted that since April 2015 every effort has been made to create one consistent approach to the design, commitment, conduct and review of managing supply chains. The findings from the assessment apply to both PeoplePlus and the A4e contracts and as a result, the reporting by exception approach has been adopted, and only where differences were found is this highlighted. 3 TMX Merlin Report Template

6 3. Assessment Outcome PeoplePlus Overall % Overall Outcome 81% Supply Chain Design 93% Commitment 78% Conduct 81% Review 70% A4e Overall % Overall Outcome 74% Supply Chain Design 73% Commitment 73% Conduct 81% Review 67% 4 TMX Merlin Report Template

7 4. Areas of Significant Strength A number of significant strengths and areas of excellence in practice were identified during this Merlin assessment and summaries of these are given below, where appropriate differentiation has been made between PeoplePlus and A4e. The numbers in brackets refer to the criteria of the Standard to which the areas relate. Within the Work Programme the partners within the respective CPA take every opportunity to work collaboratively, for example, use of the regional hub, partner meeting, sharing resources and vacancies, referring customers, shadowing opportunities, etc. Over the life of the contract partners have developed trust and confidence in others and recognise the benefits of working together to support customers and improve the performance of the contract. (2a.3, 3d.1) A high proportion of partners had been working with the same Supply Chain Manager for a number of years and consequently continued to feel that communication is open, honest and without unreasonable restraint. In addition, their interaction with the Supply Chain Manager and other areas of the business is positive and supportive; staff are understanding of their needs, responsive and resolve issues in a timely manner. (2a.5, 3a.3) Every effort has been made to monitor and promote diversity and equality, and analyse the data collected to drive performance within the Work Programme supply chains, which has identified gaps in provision and the need for additional resources being allocated to specific groups. Whilst further work is required across the NEA supply chains this was worthy of being noted as a significant improvement across the Work Programme. (3e.1, 3e.2, 3e.3) Within both the Work Programme and NEA contracts held by PeoplePlus there was a good balance of partners from the public, private and third sectors. In addition, there was effective use of tier 3 and 4 partners from the different sectors to support customer s specific needs. A range of national, regional and local networks are tapped into with the aim of providing a comprehensive service. (1a.2, 1a.3) The approach to performance management across PeoplePlus supply chain is embedded, and provides partners with the opportunity to review progress, recognise excellent practice, raise issues and discuss issues freely. Consequently, partners feel well supported and able to speak about anything and everything without fear of repercussions. (3d.2) The inclusive approach PeoplePlus has undertaken to complete the annual Self- Assessment Review (SAR), culminating in the Quality Improvement Plan (QIP) has become embedded across the supply chains and partners confirmed their involvement and the sharing of the QIP at the end of the process. This has been found to drive performance improvements in the supply chains. (4a.2) 5 TMX Merlin Report Template

8 5. Areas for Improvement The following areas for improvement could be considered for review and improvement. The numbers in brackets cross-reference the findings to the relevant element and criteria of the Merlin Standard. A4e partners made reference to the improvements made to communication as a result of having one contact, the Supply Chain Manager, however, they failed to know the senior leadership team, and the current strategy and approach to future bidding activity. Consequently, consideration could be made to communicating the organisation s strategy and activity / research at local and national level, which would demonstrate a commitment to continue to provide welfare to work programmes and intent to use supply chains in the future. (1a.1, 1a.2, 2a.4) Whilst there was evidence of some consultation taking place to improve the systems and processes, for example, Management Information (MI) platform, there was little evidence of partners being involved at the design stage and a number of partners felt things were done to them. Consequently, consideration could be made to being far more proactive and identify alternative approaches to consultation, for example, focus groups, which are widely promoted, and may demonstrate the intent to consult far more with partners. (2a.2) At the start of a contract the due diligence activity and the on-boarding process provide tier 2 partners with extensive support, however, throughout the life of the contracts the on going support varies. Consequently, consideration could be made to designing a clear strategy to support the partner in organisational development, which includes undertaking business health checks and identifying additional support required to improve the sustainability of the supply chain organisation, including the tier 3 partners. (2b.1) Partners confirmed that the opportunities for additional funding / finance streams was promoted through SharePoint and in some CPAs the Regional Director was actively approaching partners with a range of opportunities, however, this was not consistent practice. Consideration could be made to reviewing the roles and responsibilities of the Regional Director and, if appropriate, supporting them to fulfil a far more strategic role, and be potentially involved in selecting partners to become part of the respective supply chain. (2b.2) Partners (recently involved) in an EOI process confirmed that it was fair and transparent, and communication was effective. Whilst they were informed of the outcome in a timely manner in terms of successful / unsuccessful and the opportunity to seek further feedback was provided in the future, consideration could be made to being far more proactive and provide the score and an indication of what to do next to improve the chances of being successful. (2c.1) 6 TMX Merlin Report Template

9 Areas for Improvement Cont./ Over the past two-years variations to the contracts have been made and combined with reducing volumes, which has resulted in some changes to contracting, for example, market share, volumes and payments. Whilst there was some evidence that partners financial viability, market share and volumes have been taken into consideration this was not consistent. In the future, consideration could be made to reviewing the contracting arrangements with all partners to ensure the viability of the contract. (2c.4, 2c.5, 2c.6) Whilst some tier 3 and 4 partners had experienced submitting a formal Expression of Interest (EOI) and negotiating a contract / service level agreement (SLA) indicating expectations, terms and conditions this was not consistent practice. As a result, in the future consideration could be made to formalising the EOI and contracting activities for tier 3 and 4, which would ensure a level of due diligence and mutual understanding of expectations. (2c.1, 2c.3, 3c.4, 3d.3) PeoplePlus has designed robust systems and processes to ensure contract compliance, quality assurance of the service and performance management of tier 2 partners, however, currently there is minimum / inconsistent activity to quality assure the provision of the service and performance manage the tier 3 and 4 partners. In the future, consideration could be made to designing an approach, proportionate to the delivery, which provides a level of quality assurance and performance management at this level. (3b.1, 3b.2, 3b.3, 3b.4, 3b.5, 3b.6, 3d.2) The One Planet strategy supports environmental sustainability and this has been communicated to partners through a newsletter and posters. Partners are encouraged to have an environmental sustainability policy and targets, which are monitored, however, a holistic approach to setting targets has failed to take place at this stage. In the future, consideration could be made to consulting and agreeing appropriate environmental sustainability targets for the supply chain (in line with commissioner objectives), which are subsequently monitored and evaluated. (3b.7) In some CPAs the tier 3 partners have been invited to attend the monthly partner meetings, providing the opportunity to share experiences, excellent and good practice, however, this is not consistent practice. In the future, consideration could be made to providing tier 3 and if appropriate tier 4 partners with an open invitation to these meetings, which may also contribute to building capacity. (3b.8, 2b.2) Partners were able to provide examples regarding the measurable impact they have had on the wider social objectives / policy intent of the commissioner, which were universal across the partners, however, they failed to be able to provide quantifiable examples across the supply chain. As a result, in the future, consideration could be made to being far more proactive in analysing performance against specific wider social objectives to provide a level of understanding across the supply chain. (4a.4) 7 TMX Merlin Report Template

10 6. Areas Requiring Significant Development Although the Merlin Standard overall has been achieved by both organisations with a good outcome, there are criterion within the requirements of the Standard where limited evidence was presented and require significant development in order to support the organisation to achieve excellence in supply chain partnership working. The numbers in brackets cross-reference the findings to the relevant element and criteria of the Merlin Standard. Whilst some partners made reference to having a positive impact on external stakeholders, for example customers, employers, etc. and in some cases how this made a difference to well-being and improving environmental sustainability this was not a consistent or holistic overview of the impact of the supply chain. Consequently, in the future, consideration could be made to engaging partners in discussing and agreeing measurable objectives and targets at the start of a contract, and subsequently review the impact in the following areas; external stakeholders, encouraging people / employee wellbeing and improving environmental sustainability. (4a.6) 8 TMX Merlin Report Template

11 7. Findings Against the Merlin Standard 1) Supply Chain Design 1a) Supply Chain Design PeoplePlus work with a range of commissioners / funders in order to achieve its vision and as a result consistently seek new funding opportunities at local, regional and national levels to ensure the sustainability of the business. The Supply Chain Management Framework (SCMF) has evolved over the past two-year as a result of previous Avanta and A4e learning when developing a supply chain. The SCMF aims to provide a clear outline of the approach required to undertake effective procurement, quality assurance and management of the supply chains, which is generic, fit for purpose and meets the needs of all stakeholders. The initial stage of the process is to identify the business opportunity / need and undertake research to ensure alignment with the overarching strategy, which is the responsibility of the business development team. Subsequently, a full understanding of the aims and objectives of the commissioner / funder, outcomes and expectations, geography and location, wards of deprivation, key customer groups, etc. is gained and a Bid Plan prepared and submitted to a Bid Board. Following the decision of the Bid Board extensive research is undertaken through a review of the NOMIS information at national, regional, local and ward level to establish the target group and indicative numbers, characteristics, barriers and potential support required. In addition, an analysis of the competitors and support organisations at national, regional and local levels, which may provide end-to-end or specialist support in the event of the need to design a supply chain. PeoplePlus has started to undertake a level of research in preparation for the future tendering opportunities in the health and work arena. The most recent bidding activity where by PeoplePlus made a strategic decision to use a supply chain to deliver the service was the NEA contract, which was as a result of such research. As previously indicated, 44.8% of the West Midlands (CPA01) is currently delivered through a supply chain and 31.7% South (CPA04). Similarly A4e opted to use a supply chain to address the different customer needs and locations in conjunction with direct delivery to ensure it was meeting the contractual requirements and able to provide a quality service, which met the different needs of the customers. The design of the Work Programme took place prior to the assessment in 2012, however, as a result of the changing needs of customers the supply chain has been reviewed and changes made to ensure it continues to be fit for purpose. (Please refer to 4a) A number of partners made reference to the mix of the supply chain, which brought benefits to the delivery of the service. Some partner comments included: I am totally happy with the make-up of the NEA supply chain. There is a bit of everything in our supply chain. It s a great model and works well to meet the needs of the clients. 9 TMX Merlin Report Template

12 PeoplePlus and A4e recognise the value of working with organisations from the private, public and third / voluntary sectors in order to meet the needs of the customers and contribute to the commissioner / funder objectives. Each CPA has experienced and continues to experience challenges throughout the life of the contract/s as a result of changing demographics, DWP requirements and national, regional and local issues and consequently, the supply chains incorporate partners at a national, regional and local level. Senior leaders, members of the business development team and regional directors actively seek opportunities to meet with external bodies and people of interest to contribute to ensuring its supply chain is robust, diverse and fit for purpose. In addition, there is a desire to influence and shape the future of welfare to work programmes and consequently represent PeoplePlus at national, regional and local events. For example, lobbying external bodies and people of interest; Members of Parliament, Employment Related Services Association (ERSA), Institute for Public Policy Research (IPPR), Local Enterprise Partners (LEPs), Local Authorities (LAs) etc. The research undertaken indicated that the use of tier 3 and 4 partners within the supply chain provided scope to ensure customers gained a bespoke service, which met their individual needs and was cost effective. A directory of the tier 3 and 4 partners is available on SharePoint, and tier 2 partners are actively encouraged to signpost customers to these services. In some CPAs tier 3 partners are invited to the monthly partner meetings to promote their services, however, this is not consistent practice. Some tier 2 partners had long standing working relationships with a number of local specialist intervention partners and organisations that provide an ad hoc service, which has proven to be beneficial over the years, and as a result they are encouraged to maintain these relationships with the aim of adding value to the delivery of the service and contributing to the local community. 10 TMX Merlin Report Template

13 2) Commitment 2a) Collaboration, Cooperation and Communication The SCMF has been refreshed over recent months, but continues to provide a clear indication regarding the process of engaging with potential and present partners throughout the procurement activity and the life of the contract/s. Opportunities to work with PeoplePlus and submit an EOI are promoted through the website, promotional activities with Carley Consult, ERSA, local network meetings, SharePoint, , monthly partner meetings and in some cases direct approach by staff. All future contracting is being undertaken through PeoplePlus, and as a result, the A4e partners also receive the same communications. Potential and present partners confirmed that they had received appropriate notice regarding the opportunity to submit the EOI, and felt well supported throughout the process. One partner made the following comment: Very proactive in approaching Supply Chain Partners in NEA to re-contract in Similarly, throughout the due diligence and initial preparation prior to go-live partners felt that communication was effective through a range of face-to-face meetings and briefings, telephone and correspondence. Historically, partners working with Avanta had a very close working relationship with a supply chain manager and all communications were channelled through this one individual. The same approach has been adopted across PeoplePus and applied to the A4e contract areas, and as a result partners believe that communication has improved and reduced the bombardment of information from different areas of the business. Some partner comments included: Good communication in a timely manner. Always open and willing to offer advice. They were geared to work with profit driven organisations but it was refreshing when they adapted to us and saw us for what we were. One point of contact is far better. The monthly partner meetings within each CPA continue to take place, which is valued by a high proportion of partners as these provide the opportunity to share excellent / best practice and discuss the issues that they face with contract/s at the various stages, for example, Work Programme working with customers furthest away from the job market. SharePoint provides a central reference platform where by a range of information, documentation and updates are stored for easy access by partners. Whilst partners like the concept of all the information being in one place it is populated with so much information some partners experience difficulty navigating the system. In the future, consideration could be made to setting an alert mechanism to advise partners of updates and new information. Over the past year PeoplePlus has taken the opportunity to review the systems and processes originally implemented within A4e to support partners, for example, compliance, quality assurance of service and performance management and consequently implemented some new approaches across the contracts. 11 TMX Merlin Report Template

14 Whilst a large proportion of partners inferred that the new approaches were effective, after a period of use, it was felt that their involvement was minimal and some issues could have been alleviated if they had been consulted prior to implementation. One partner made the following comment: They do usually consult us but there are a couple of situations where no consultation and changes have been introduced quite quickly e.g. claims system related to sustains changed overnight we challenged along with some others and they backed down. A4e partners made reference to expert users being consulted when the organisation changed from My A4e Desk to Connect for Work (C4W) and similarly some made reference to being consulted regarding the MI system to be used across PeoplePlus and more recently the review of the complaints procedure, design of a webinar and workbook for NEA clients, etc. however, this approach is not consistent across the CPAs. Consequently, consideration could be made to being far more consultative at the design stage of systems and processes with the aim of gaining a representative view from a range of partners, and using different approaches, for example, log for issues (a previous A4e approach), partner focus groups, etc. The partner meetings provide an opportunity for partners to gain an understanding of others approach to the delivery of the service and their successes with the aim of encouraging collaborative working, which has been highly successful. A range of examples were gained where by partners are working collaboratively, including: Use of the regional hub offering a mix of paid and free of charge services to partners, Sharing effective practice and supporting development of delivery staff working with PG1 and PG6 groups, Sharing vacancies across the supply chain and direct delivery, Two partners working together to deliver a pre-employment training programme for a large employer, One partner hosting an event, whilst the other provided the training activity, Introducing specialist intervention partners to other partners, etc. Tier 2 partners made reference to being aware of the services provided by others including the specialist intervention partners, and as a result signpost customers to specific activities to meet their individual needs there by providing a more cost effective service. Partners clearly understand the roles and responsibilities of the supply chain manager, which is the key contact with PeoplePlus, and as previously stated channels all information. Some partner comments included: I think we re very clear on business relationships, we ve all been around a fair while and our supply chain manager, the contract and SCMF all reinforce this understanding. It is an open, honest communication and we re clear about the business relationship. They managed the change well and helped clear up any misunderstanding or concerns. Daily communications and support is great. 12 TMX Merlin Report Template

15 Partners are aware of others within the organisation who have a responsibility / input into the management of the supply chain, for example, regional directors, business managers, audit and finance staff. Partners are confident to approach any member of staff, and they have found them to be professional, supportive and responsive with a tendency to be solutions focused and creating a win-win outcome. Partners spoke of the range of communication methods, formal and informal, which included one-to-one and group activities, monthly performance review, quarterly quality review, access to SharePoint and MI platforms, etc. There is a belief that communication is open and honest and they are able to discuss anything, including areas of concern and ideas regarding the contract and expectations of the commissioner. Some partner comments included: From January to March 2016 I ve had 60+ s from x which have helped to confirm messages. It s good, we have and can pick up the phone, it s informal and formal, for me to work at my best I need that in place. Communications are clear and effective It is a hell of a lot better over the last two years; our supply chain manager fights our corner. We were able to hand back our contract easily; it was our poor performance coupled with a strategic change in our business direction but PeoplePlus made it straight forward. People Plus are very good at sharing information and updates via newsletters and social media. Regional enterprise manager encourages open conversation to improve standards and encourages partners to share what they are feeling so they can be commercial, fair and deliver the contract. Communications are mainly via the supply chain manager who communicates by , one-to-one meetings, partnership forums, and there is SharePoint. Understanding is always checked. is used as a key communication tool. However, efforts are made to ensure the language used throughout is positive - not negative. Contract review meetings are good conversations with plenty of opportunity to share. The change has been seamless to us and it did not impact at all. This is the easiest partnership we ve had in terms of working together. 13 TMX Merlin Report Template

16 2b) Developing Supply Chain Partners Partners confirmed that at the start of the relationship, throughout the on-boarding process, extensive support was available from the Prime to ensure they were fit for purpose and equipped with the systems, process and documents in order to deliver the service from day one. The initial and subsequent annual due diligence activities ensures polices are reviewed and updated, and reflect changes in regulation / legislative requirements. PeoplePlus share its policies in an effort to provide guidance to partners, for example, the revised safeguarding policy to include the prevent agenda / radicalisation. Partners made reference to gaining access to other resources to support the delivery of the contract, for example, SharePoint and the different MI platforms. However, whilst a number of partners made reference to extensive support being available in order to navigate the SharePoint and MI systems, a few had struggled through the process due to no formal support being available. Throughout the life of the contract/s a number of partner organisations made reference to extensive support being available to develop a sustainable business, for example: We re on a PIN to bring performance up to target in PG6. Offers extended for our staff to shadow PeoplePlus direct delivery high performers, case reviews also introduced to share knowledge and skills.. I ve had chats with them in the past about business issues and options for strategic development always found them supportive. The board has just been restructured have had offer in the past from PeoplePlus to support us in business planning which was good. Whilst there was sufficient evidence to indicate that development is available for partner organisations it tended to be reliant on the ability / interest of the regional director or supply chain manager. Consequently, consideration could be made to designing a clear strategy to support organisation s development, which includes undertaking business health checks and identifying additional support required to improve the sustainability of the supply chain organisation, including the tier 3 partners. Partners confirmed that the opportunities for additional funding / finance streams are promoted through SharePoint, s and in some CPAs the regional director and / or the supply chain manager are actively approaching partners with different opportunities. Some partner comments included: The meetings with supply chain manager have been useful for learning of and sharing good practice, and we ve discussed possible funding pots we might dip into. The other week the regional director approached us with a bid opportunity, which was great. There is genuine collaboration opportunities, which are discussed and there are opportunities to access additional funding. Last week, with opportunities for SFA funding. Also able to tap into self-employment advisor in PeoplePlus and that provided another source of funding for service users. 14 TMX Merlin Report Template

17 Historically, within Avanta tier 3 partners were encouraged to attend the monthly partner meetings and tier 4 were invited to promote their services with the aim of gaining additional business, however, whilst this takes place in some CPAs this is not consistent practice at present. As a result, in the future, consideration could be made to formalising the approach to be adopted across PeoplePlus. Partners have access to a wide range of staff development opportunities to support teams and individuals develop the knowledge and skills to improve performance throughout the delivery of the contract/s, including but not limited to the following: Shadowing direct delivery advisors, visiting partner organisations, etc. Additional JMS or C4W support, SMART Action Planning, Processes relating to contract compliance and assurance of a quality delivery of the service, Courses on motivational techniques, Webinars, for example, BPMS MI platform, Universal Credit, fraud prevention, etc. Observation of practice, coaching and mentoring, Prevent training, Gaining advice from PeoplePlus Specialists in relation to health and safety, safeguarding, etc. when working with ESA customers, On-line resources for health and safety, equality and diversity, safeguarding, etc. Employment Related Services and IAG Level 3 funded by PeoplePlus, plus others. Throughout the monthly partner meetings training opportunities are provided in relation to specific topics; MI, quality of service, audit, etc. as well as sharing successes and best practice. In addition, partners view the support gained from the supply chain manager throughout the monthly performance review and the Contract Assurance Officer explaining the outcome of the quarterly quality assurance reviews as developmental opportunities. Some partner comments included: We had a new member of staff in quality and PeoplePlus spent the day with them and they are always on the end of the phone. This is better since the merger it probably wouldn t have been locally delivered under A4e but now there is less travel for supply chain partners and there are no charges, it is part of the management fee. The due diligence team did an update on policies and procedures last month. A wide range of learning and development opportunities and resources are available to partners, and whilst there was some evidence of evaluating the impact, for example, audit outcomes increasing from 94% to 96%, in the future, consideration could be made to encouraging partners to fully evaluate the impact on performance, value added, etc. 15 TMX Merlin Report Template

18 2c) Contracting and Funding As previously indicated, the SCMF has recently been reviewed and updated to reflect the practices of PeoplePlus, and provides a comprehensive and robust approach to procuring, contracting, on boarding, monitoring quality of service and compliance, and performance management of the contracts. Whilst partners were not consulted on the new approach it has subsequently been communicated to them and there is a level of understanding regarding the different activities. Those tier 2 partners involved in procurement activities over the past 18 months with the organisations; PeoplePlus and A4e described the process they experienced and confirmed that the respective Prime was fair and transparent in its approach to selecting and communicating with them. Partners confirmed that they were aware of what to expect at each stage of the procurement process; the EOI including the scoring of each area, due diligence and on boarding. They made reference to having access to key staff at each stage through , telephone and one-to-one meetings, as well as group presentations, and felt that they were understanding and responsive to their needs. Some partner comments included: Procurement is fair and transparent the EOI is straight forward to submit; it s easy to get involved It was a straight-forward process, very clear; we were aware that the EOI was scored. Partners were provided with an indication of the outcome of the procurement process, successful or unsuccessful and if they had been successful they were advised of the next stage. Unsuccessful partners were advised that additional feedback was available upon request, in the future, consideration could be made to being far more proactive and provide the score and an indication of what to do next to improve the chances of being successful in future EOI activities. Whilst some tier 3 and 4 partners had submitted a formal EOI this was not consistent practice across all the CPAs. As a result, consideration could be made to designing a section within the SCMF, fit for purpose, which provides a robust, open and transparent approach to the way the selection of these partners takes place. Senior leaders believe they have a duty of care to their partners and as a result, at the start of a contract ensure they understand the financial aspects, including the interpretation of the payment model. The Work Programme and NEA contracts have been in place for some time, however, as changes to volumes have taken place supply chain managers have continued to ensure the contract is financially viable. Similarly, a change in unit price for the extension of the NEA contract is to be reviewed with each partner to ensure the contract continues to be viable. In summary, partners are aware that the current funding / payment arrangements reflect that of the commissioner and as a result believe these are fair and proportionate. There was evidence of some flexibility with one partner that was experiencing financial risk and as a result action was taken by PeoplePlus to reduce the level of risk. One partner comment, which was echoed by others: We have good relationships so informal discussions can take place regarding any concerns about viability. 16 TMX Merlin Report Template

19 The contract for tier 2 partners reflects that of DWP for the Prime, and clearly defines the obligations and expectations of parties; the partner and Prime. Partners felt the document was easy to understand, not overly wordy or complicated. A high proportion of tier 3 partners confirmed that they had a Service Level Agreement (SLA), which outlined their responsibilities and expectations, however, tier 4 partners failed to have an SLA of any form. Consequently, consideration could be made to designing a simplified SLA, which outlines roles, responsibilities and minimum service levels appropriate to that being provided. Partners have a clear understanding regarding the allocation of the market share, which is predominantly based on geographical spread and capacity to deliver the service in line with the contractual requirements. Some partner comments included: We know the exact share in our CPA. The 25/75 share was good for us as we were new and able to learn from PeoplePlus. The strategy for market share was based on where direct delivery was and offering 40/50% to supply chain partners. 30% of all referrals. A high proportion of partners believe the allocation is fair and justified, some made reference to recent communications with the regional enterprise manager regarding the adjustment of market share, due to the extension of the contract (NEA). However, a few partners failed to believe there was the opportunity to negotiate and as a result accepted what they were given. At the start of the contract/s negotiations regarding the volumes, funding / finance and performance expectations are openly discussed and agreed with partners, and a number inferred that they had been confident to challenge and re-negotiate if the proposal failed to be in line with the requirements. As a result, of reducing volumes for Work Programme and extension for the NEA contract there was evidence of re-negotiating the volumes, and a high proportion of partners felt that this was being managed effectively. One partner spoke of the volumes no longer being viable and as a result, through negotiation and mutual agreement was working with PeoplePlus to close the contract and another had mutually agreed to terminate the contract due to poor performance and confirmed that the process had been effective, with positive, open and honest dialogue. Some partners made reference to PeoplePlus reallocating postcodes to them as opposed to the direct delivery to ensure the contract continued to be viable for them, and one made reference to negotiating an increase in volumes due to the extension. Once again, a few partners failed to believe there was the opportunity to negotiate and accepted what was given. Partners confirmed that typically pre-contract award processes and payment structures had been honoured as they had started to work with PeoplePlus. Previously Avanta partners had been paid weekly, whilst payment to A4e partners had been made monthly, in an effort to streamline the process all partners have been moved to monthly. Whilst partners understand the rationale and that the change makes business sense there was no consultation and the communication was considered by partners to be tardy, consequently in the future, if changes of this nature take place consideration could be made to being far more consultative and communicate well in advance. However, it was noted that some partners discussed the impact on cash flow for the first threemonths and negotiated alternative arrangements in the short term. 17 TMX Merlin Report Template

20 In summary, a high proportion of partners believe PeoplePlus are open to negotiating market share, volumes, funding / payment models and performance expectations, whilst others fail to recognise the opportunity. Consequently, in the future, consideration could be made to reviewing the contracting arrangements with all partners to ensure the viability of the contract as changes are encountered. PeoplePlus operates a self-billing system to manage the payments to partners, and consequently a high proportion of A4e partners have experienced improved accuracy and payments being made in line with the terms and conditions. Some partner comments included: I ve never had any real problems with payments. We did have a hiccup when the payment system changed over, but this was quickly sorted. Transfer of money timely and accurately new self-billing process caused a couple of delays with payment. We have no problems with payments. If there are any issues on claims our supply chain manager will get answers. We ve always found this clear with accurate payment. Never had any issues they only changed that they pay you an overall amount rather than a per customer but you can work it out. The recent change for some partners (Avanta) from weekly to monthly payments came at short notice, however, a high proportion of those partners affected confirmed that payment had been made on the due date. Some partner comments included: We ve never had problems with payments. We ve just gone to monthly from weekly. We were changed to monthly payment, but was paid when they stated. Partners are aware of the management fee and what they gain in return, for example, administrative support, provision of MI platform, SharePoint, audit and quality assurance support, performance management meetings, learning and development activities, access to the regional hub, environmental sustainability support and other policies, access to documentation, systems and processes, troubleshooting, partner meetings, etc. A high proportion of partners believe that they gain value for money for the management fee and some made the following comments: It s a reasonable fee. I was pleasantly surprised. The service has improved the increase was justified. In return we get full support and anything that will help us perform. What we get is certainly value for money. 18 TMX Merlin Report Template

21 3) Conduct 3a) Demonstrating Commercial and Business Integrity PeoplePlus designed a set of core values through a level of consultation with staff that underpin the vision and purpose of the organisation, which brought Avanta and A4e together. These were communicated to staff and subsequently drive the behaviours across the organisation. A high proportion of tier 2 partners signed up to the values of Avanta and A4e as there was a correlation to their own, subsequently the values of PeoplePlus were communicated to partners and subsequently made available on SharePoint. Partners believe they are fit for purpose and continue to align to their own values. Similarly, tier 3 and 4 partners are aware of the values and believe they are aligned due to their ambitions, desire to make a difference to others lives and the way they are treated by PeoplePlus. Some partner comments included: Core principles are embedded in the way PeoplePlus operates and the supply chain manager acts in accordance with these. The core principles of being helpful, supportive and understanding was maintained by PeoplePlus during contract withdrawal. The principles are similar to us. People that are engaged with us understand what we are doing and know what motivates us. We share the code of conduct with all of our young people. We are both client centred. Honesty, transparency, performance focused, consultative. It could have been horrendous {contract withdrawal} but it wasn t, PeoplePlus gave clear timescales and communications was really good and staff very supportive. Values now represented more than ever with improved communications all just feels more open and honest. In the future, as new contracts are gained consideration could be made to reviewing the values in consultation with partners to ensure they are fit for purpose, and potentially introduce a set of core values appropriate to the contract. PeoplePlus have a clear strategy to manage the TUPE process, which has been implemented to support the transfer of staff from and into partner organisations based on the requirements of a contract and legislative requirements. Those partners involved in TUPE confirmed that the process was effective and efficient with PeoplePlus seeking legal advice and working with them to ensure a smooth transition. Partners made reference to road shows being delivered to explain who PeoplePlus were and how they worked, which was followed by the required consultation. One partner made the following comment regarding future plans: We have talked about what TUPE would look like and had discussion on the process as part of the tailing off of the contract A number of PeoplePlus staff had experienced TUPE from Avanta or A4e, and confirmed that the process was well managed, consultation and communication took place at appropriate intervals and the transition was smooth. Some staff comments included: It was business as usual from day one, there were no real changes. There was a ninety-day consultation at the start, some liked it others didn t, but it gave time to review where we were. There were no issues as far as I was concerned, all straight forward. 19 TMX Merlin Report Template

22 Consultation and communication took place when we d expect it. A high proportion of partners confirmed that they experience positive working relationships with PeoplePlus in particular with the supply chain manager and that all interactions are supportive, with the aim of creating a true partnership to deliver the contract to achieve the aims and objectives of the commissioner. Some partners made reference to experiencing periods of poor performance, however, this was managed well as it was a supportive process and enabled them to improve the delivery of the service. Some partner comments included: We ve never had an issue that hasn t been resolved in a timely manner. Very good, feedback is always constructive. We have a very strong and positive working relationship with our supply chain manager. Communications are very good with our supply chain manager but we would have liked to meet other supply chain partners and specialist intervention partners. We try to be very positive, respectful, polite and evidence based in our communications. The PeoplePlus Branch manager is coming to help me with tracking this is really helpful. Very helpful and understanding. Things have really improved under PeoplePlus with more commitment, support and better listening. Love working with them and we want to work more with them. Our supply chain manager is fantastic, very supportive, unbiased and always there to help. I have learnt so much from my supply chain manager the one-to-ones with her are of a really high quality. Tier 2 partners confirmed that through due diligence relevant checks were provided to ensure they met the contractual requirements in terms of insurance, policies relating to information security, health and safety, safeguarding, environmental sustainability and equality and diversity. If appropriate support was provided to ensure they were fit for purpose and aligned to the policies and approaches of the respective Prime (Avanta and A4e). Subsequently, the policies have been checked annually to ensure they reflect changes in legislative requirements and fit for purpose, and again recommendations and support for improvement has been provided. PeoplePlus have started to undertake the same robust approach to ensuring partner policies are fit for purpose, up to date with new legislation and aligned to their own policies and practices. A large proportion of tier 3 partners experienced an initial due diligence where by policies were reviewed, however, this was not the same practice for tier 4, consequently, consideration could be made to designing a far more robust approach to provide protection for both parties. In line with the strategy of centralising all communications changes in legislative and regulatory requirements are predominantly undertaken through the supply chain manager, and / or , if appropriate. Partners are advised of the appropriate action required and the timescale for response, which is reviewed by the supply chain manager and also checked throughout quality assurance audits. Partners believe this approach has substantially improved communications of this nature, and subsequently able to review the requirements on SharePoint. 20 TMX Merlin Report Template