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“How the Social Value Act is being applied across Greater Manchester, how the impact is being measured and some practical examples and case studies” Peter Schofield (Programme Manager AGMA Procurement Hub) Deriving Social Value through Commissioning
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Agenda Introduction to the AGMA Procurement Hub Social Value The AGMA Approach Measurement Examples/Case Studies
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Social Value Public Services (Social Value) Act 2012 “require public authorities to have regard to economic, social and environmental well-being in connection with public services contracts; and for connected purposes.” In force since January 2013 Consider at pre-procurement stage: How the procurement might improve the social, environmental and economic well being of the relevant area How they might act to secure that improvement To consider the need to consult Applies only to services (not goods or works) Intended to encourage innovation
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Issues Pre-procurement stage is often shorter than ideal Procurement expected to deliver “savings” Evaluating “innovative bids” “teach the children” or “paint the community centre”? How does the procurement department know What’s already happening? Is what is on offer what the organisation wants? Monitoring delivery – is it the procurers’ role? National, Regional and PRO5 frameworks may not be adaptable New EU Directives encourage Social Value
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All Authorities had policies /frameworks that allow/encourage Social Value considerations Wide spectrum of approaches to Social Value from “Core”, through “Business as Usual” to Peripheral Benefits from a common approach Benchmarking Simplified for suppliers Anything that is produced through this work must be flexible, simple and easily understandable View that Social Value should apply to all procurement activity – all scales as well as capital and revenue SV must be seen as a pre-procurement activity AGMA Approach
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GM model for delivering Social Value ‘Golden Thread’ of: Corporate Objective Enablers Process Each procurement exercise identifies appropriate outcomes e.g. “Workforce that is fairly paid and positively supported by employers” Suppliers respond on how they would deliver the Outcome(s) and how they will be measured and verified Contract Management includes delivery against outcomes
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Social Value Spectrum
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The Balance General consensus that a tender is expected to deliver “savings” Evaluating “innovative bids” and “total cost of ownership” Monitoring delivery National and Regional frameworks may not be adaptable EU Directive principles apply – Fair, Transparent and Appropriate
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GM Policy Context
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Social Value “Menu” Promote employment and economic sustainability tackle unemployment and facilitate the development of skills Raise the living standards of local residents working towards living wage, employee access to entitlements (childcare) and encourage suppliers to source labour from within Greater Manchester Promote participation and citizen engagement encourage resident participation and promote active citizenship Build the capacity and sustainability of the voluntary and community sector practical support for local voluntary and community groups Promote equity and fairness target effort towards those in the greatest need and tackle deprivation Promote environmental sustainability reduce wastage, limit energy consumption and procure materials from sustainable sources
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Template ThemeOutcomes: What are we trying to achieve? What could this mean for suppliers? What could they deliver (Examples Only – this is NOT an exhaustive list) a)Promote Employment & Economic Sustainability Outcome 1: More local people in work Create x number of new jobs in the local economy Create x number of traineeships (including apprenticeships) for local residents Provide x number of days of meaningful work experience for local residents Support x number of people back to work by providing career mentoring for job clubs, including mock interviews, CV advice, and careers guidance Supporting young people into work by delivering employability support (e.g. CV advice, mock interviews, careers guidance) to x number of school and college students Employ x number of ex-offenders (or other group of people who typically face additional challenges in competing in the labour market Outcome 2: Thriving local businesses Support x number of new business start-ups by running practical workshops with enterprise clubs Support the local economy by spending x% of total expenditure in the local supply chain - this could be measured with tools such as LM3 Support the local supply chain by spending x% of total expenditure in a xx-mile radius of / within Greater Manchester
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e-Learning Module Section 1: Social Value - The Basics Section 2: Greater Manchester’s Approach to Social Value Section 3: Incorporating Social Value into Commissioning and Procurement Activity Section 4: Quiz Further Information
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1.Promote employment and economic sustainability Percentage of suppliers’ employees resident in Greater Manchester Number of new jobs and apprenticeships created in the last year 2.Raise the living standards of all residents Rates of pay for the lowest paid staff Percentage of people who are paid/employed on a permanent basis 3.Promote participation and citizen engagement % businesses that actively encourage volunteering and community participation No of hours offered to employees for volunteering & community participation Social Value Indicators 1
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4.Build capacity & sustainability of the voluntary & community sector Number of hours that suppliers provide to supporting voluntary and community sector organisations Activities undertaken to support the voluntary and community sector 5.Promote equity and fairness Number of targeted employment opportunities from suppliers directed at ‘hard to reach’ individuals Gap between the lowest and highest paid within the organisation 6.Promote environmental sustainability Carbon emissions by suppliers (using a carbon calculator) Evidence of an environmental strategy which covers a spectrum of activities Social Value Indicators 2
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Case Study – Banking Contract Oldham Council tendered banking services – the contract was won by Barclays. social value benefits Apprenticeships LifeSkills: Offering teachers a range of free resources designed to develop the skills employers most seek in young people (CV writing, managing money and building self-confidence) MoneySkills: Helping people to develop the skills, knowledge and confidence they need to manage their money more effectively and become more employable Parish Banking: Hosting events to bring key people together to discuss ways to tackle local issues such as employment, social inclusion and various other areas P ROMOTE EMPLOYMENT AND ECONOMIC SUSTAINABILITY R AISE THE LIVING STANDARDS OF LOCAL RESIDENTS B UILD CAPACITY AND SUSTAINABILITY OF THE VCS S ECTOR P ROMOTE EQUITY AND FAIRNESS
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Trafford Council tendered an Early Help & Domestic Abuse Service for its residents Social Value Benefits Volunteering opportunities, Community projects, Peer to peer support, Engaging vulnerable & reducing exclusion, Work experience/training placements, Working with young people, Service-user to employment programme, Parenting programmes, Create new jobs for locally based people, Tackling anti-social behaviour, Opening a locally based branch, Raising awareness domestic abuse/support, Building capacity within the VCS, Environmental awareness sessions, Private and third sector collaboration, Green champions, Reduce, Reuse, Repair, Recycle, Reduce carbon footprint/ conserve energy P ROMOTE EMPLOYMENT AND ECONOMIC SUSTAINABILITY R AISE THE LIVING STANDARDS OF LOCAL RESIDENTS P ROMOTE P ARTICIPATION AND C ITIZEN E NGAGEMENT B UILD CAPACITY AND SUSTAINABILITY OF THE VCS P ROMOTE EQUITY AND FAIRNESS P ROMOTE ENVIRONMENTAL SUSTAINABILITY Case Study – Early Help & Domestic Abuse
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Case Study – Leisure Centres As part of the strategic regeneration of the Oldham borough, the council built two new leisure centres. Opportunity tendered via a mini competition using the North West Construction Hub Framework. social value benefits Apprenticeships for 15 Oldham residents Work placements for 22 Oldham residents 1,760 hours of work experience opportunities for local residents 40% of total project cost to be spent with supply chain in the Oldham Borough 80% of total project cost to be spent with Greater Manchester supply chain Signed the fair payment charter P ROMOTE EMPLOYMENT AND ECONOMIC SUSTAINABILITY R AISE THE LIVING STANDARDS OF LOCAL RESIDENTS B UILD CAPACITY AND SUSTAINABILITY OF THE VCS S ECTOR P ROMOTE EQUITY AND FAIRNESS
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Case Study – Shared Lives Manchester City Council tendered opportunity to work in partnership with the Shared Lives Incubator to increase the volume and range of Shared Lives provision available to adult residents with learning disabilities and mental health needs. Social Value benefits Community based projects Befriending services for older residents and those with dementia Manchester minimum wage Upskilling services users and carers to become ambassadors for digital assistive technology Local job opportunities P ROMOTE EMPLOYMENT AND ECONOMIC SUSTAINABILITY R AISE THE LIVING STANDARDS OF LOCAL RESIDENTS P ROMOTE PARTICIPATION AND CITIZEN ENGAGEMENT P ROMOTE EQUITY AND FAIRNESS
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Case Study – White Goods Blackpool & Wyre workshop to repair and re-sell electrical white goods deposited at the Household Waste Recycling Centre or Collected through bulky waste collections Social value benefits: 4 long-term unemployed residents employed in workshop Refurbished goods offered for sale in a second-hand shop located at the HWRC Profits from the shop shared equally between a local charity and re-invested in the service Some items re-directed to residents who applied for cash support from the Council’s Discretionary Fund to purchase new electrical white goods P ROMOTE EMPLOYMENT AND ECONOMIC SUSTAINABILITY R AISE THE LIVING STANDARDS OF LOCAL RESIDENTS P ROMOTE EQUITY AND FAIRNESS P ROMOTE ENVIRONMENTAL SUSTAINABILITY
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Case Study – Garden Exchange Scheme Bury Council and PCT jointly funded a Garden Exchange Scheme to provide low level gardening support to people who were struggling to maintain their gardens. This supports drive for people to stay in their own homes and promote independence. social value benefits: 26 people from local community volunteered their time towards the scheme 76% of participants (supported & volunteers) reported feeling less socially isolated 76% of participants reported feeling more active 91% of participants reported an improvement in their well-being 71% reported an improvement in their quality of life Over 60% produced fruit and vegetables, shared with residents & volunteers P ROMOTE PARTICIPATION AND CITIZEN ENGAGEMENT B UILD C APACITY & S USTAINABILITY OF THE VCS
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Questions? Peter Schofield – AGMA Procurement Hub Programme Manager peter.schofield@trafford.gov.uk Tel: 0161 912 4597 Mob: 07814459668
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