2. Andy Rennison 3BM Managing Director Safeguarding and Supporting Young People Delivering Differently Workshop 5 th June 2015

3. Who are 3BM? Employee Owned Joint Venture with Prospects Provide services to schools and LA’s Formed April 2013 Year 1 - 43 Staff - Turnover £3.7m Year 2 - 67 Staff - Turnover £6m

4. Drivers for change Financial imperative more than a salami slice Commercial experience and approach already within the teams Genuine commitment from members to innovate Government Pathfinder status – Bi-borough

5. Options Considered Outsource Co-operative Model Teckal Model Employee Owned Model Limited / CIC / Charity

6. How Decision Made First step – gauge political appetite Informal discussion with staff group Council developed a structured process – Business Case and clear output spec (pro-bono legal / finance, now MSP) – Discussion with staff and Unions – Council SMT challenge Cabinet Decision

7. Why Joint Venture? Procurement approach (new legislation helps mutuals) Share risk and add capacity Commercial readiness Take advantage of employee ownership Transition logistics support Back office services Business development options – for both

8. How we choose our Partner and Why Undertook procurement with clear outcome being to select a partner to support the transferring staff develop as an Employee led Mutual, providing services to schools and a Local Authority Output spec and financial values set pre-procurement, therefore Competitive Dialogue process was about finding a partner rather than a provider and protected against conflict of interest Various dialogue meetings developing, shared understanding and leading to a final offer

9. Staff Engagement Away Day July 2011 – Sacred Cows identified and SWOT / Options openly discussed Communities of Practice – constant information exchange Conversations with Unions Open discussions and actively encouraged challenge External reviews (JV Partner) Created the Employee Committee Transparency

10. Challenges Approach to picking the right partner Issues with ‘silo’ mentality Marketing and Branding Communication External Lawyers/ Risks

11. Challenges continued Keeping key people – more emphasis on key individuals now as no longer part of large experienced organisation Being part of a JV partnership but maintaining independence Keeping values strong and maintain that strong public service ethos Pensions – historical shortfalls / bonds / performance of pension fund Balance between growth / development and over-commitment

12. Culture and Values Develop values through Away Day Values driven performance assessment Simple Strategic Business Plan (Orbit) Policies and Practices Early removal of poor performers

13. What has changed for staff They own the business Control of company direction Harmonised Terms and Conditions Empowerment and confidence Innovation, creativity and flexibility Sustainability Sharing in success

14. Experience to date Employee Ownership creates stronger workforce, ethics and commitment Good risk assessment at start Communication, Communication, Communication! Learn from others JV Partnership positive “Hearts and minds drive positive change”

15. Question and Answer Session 0345 270 8260 www.3bm.co.uk