Patrick Nash presents his thinking on how welfare reform with change charity and third sector provision

1. The developing role of the voluntary sector 7th December 2010 Patrick Nash, CEO Connect Assist

2. Key Question Welfare Reform 2 The developing role of the voluntary sector What are the Opportunities?

3. What’s different about the Work Programme? 3 The developing role of the voluntary sector Three elements that are significant: Payment by results Contracts are longer Stronger incentives for delivery partners

4. What does this mean for third sector delivery partners? Bidding and Tender Process 4 The developing role of the voluntary sector Issues to think about: Regular Payments Capacity Data Management Issues to think about: The Merlin Standard Consortium Margins This textbox is formatted for a quote. Use a maximum of four lines of text. Do not re-size this box as the quote marks are grouped. Private companies make 30% margins on government contracts when they get awarded them. But when they subcontract to charities we only get 8% or 9%. For us that is quite hard to take. Sally Burton, Chief Executive of Shaw Trust

5. Partnering with the private sector What has the Prime contractors been saying? Name of the source, Company or Position 5 The developing role of the voluntary sector

6. Prime contractors 6 Working with the third sector will mean that Serco will be able to deliver services to the much needed. The Secro model The developing role of the voluntary sector This textbox is It is clearly a political will to include the voluntary sector in the delivery of welfare to work. I certainly agree that there is expertise and commitment within this sector that can bring a great deal to the table. Around a third of Serco FND sub contractors are currently voluntary sector organisations. In many cases they bring a very local perspective or offer a particular specialism that enhances our service delivery considerably. Private companies make 30% margins on government contracts when they get awarded them. But when they subcontract to charities we only get 8% or 9%. For us that is quite hard to take.” Richard Johnson, Serco

7. Prime contractors 7 Engaging positively with the voluntary sector Creating a service for many via a multi channel approach The A4e model The developing role of the voluntary sector This textbox is formatted for a quote. Use a maximum of four lines of text. Do not re-size this box as the quote marks are grouped. Private companies make 30% margins on government contracts when they get awarded them. But when they subcontract to charities we only get 8% or 9%. For us that is quite hard to take.” Our company contracts between 20% and 60% of the work to charities, so we rely upon them. Last year we put £35 million into the charitable sector… they are helping us get people back into employment. Emma Harrison, Chairman and founder A4e

8. Voluntary Sector prime contractors 8 The 3SC model 3SC consortium has meant: Smaller third sector organisations can compete with larger organisations Creating a service for individuals in their local communities. The developing role of the voluntary sector This textbox is formatted for a quote. Use a maximum of four lines of text. Do not re-size this box as the quote marks are grouped. Private companies make 30% margins on government contracts when they get awarded them. But when they subcontract to charities we only get 8% or 9%. For us that is quite hard to take.” We are fielding a strong consortia approach with other lead organisations to enable us to get as much funding to the front line in the most straightforward way. Michael O’Toole, Chief Executive of 3SC

9. Social Enterprise Bill 9 Sponsored by Chris White MP Government suppliers will need to demonstrate economic, social and environmental benefits Systematic Measurement Measurement of impact and outcomes The developing role of the voluntary sector

10. Partnering What to look out for? Name of the source, Company or Position 10 The developing role of the voluntary sector

11. Getting your organisation ready 11 The developing role of the voluntary sector Third sector organisations intending to deliver public services should attend to: Delivery value for money Deliver excellent customer service Operate in a commercial manner Demonstrate results and positive outcomes Deliver with social values, clarity of mission and passion

12. Resources Discussion paper Are you ready to respond? Measuring effectiveness with technology http://www.connectassist.co.uk/measuring-effectiveness Case Study A4e http://www.connectassist.co.uk/case-studies/a4e Contact me patrick.nash@connectassist.co.uk Tel: 01443 827 600 12 The developing role of the voluntary sector

13. 13 Service delivery in a cost constrained environment