1. 3003041 Benefits Realisation In RBBC projects

2. 3003042 Benefits in Projects We invest in projects because of the perceived Benefits they bring The Benefits justify the project –Linked to Corporate Objectives & Priorities –Can be wide-ranging Statutory, Social, Economic… –Often financial (but not exclusively) –Sometimes hard to measure

3. 3003043 Financial Benefits Time saved, posts lost, costs avoided, costs reduced… –Calculate a £ figure –Work out timing (investment & saving) Payback (in years) –When Savings equal Investment NPV (Net Present Value) –A common measure of a project’s value –Cash flows adjusted for time they occur –Using a 5% discount rate

4. 3003044 Non-financial Benefits Is this a Corporate priority? Look for a performance measure –BVPI –Other PI Measure –Value at start of project –Predicted value at end of project –Actual value at end of project

5. 3003045 Organisation Development The four pillars of Change –Driven by the Customer –Improving our Performance –Learning & Developing –Optimising our Finances These describe the type of organisation we want to be Each project has to contribute

6. 3003046 Later Benefits Project puts a capability in place –To be exploited by a later project Must link these projects –Is funding in place for later project? –Are we committed to later project? –If not, investment in first project may be wasted

7. 3003047 Later Benefits Project delivers as expected –But Benefits only measurable later Need to link to process –What process? –The owner? –When and how to measure?

8. 3003048 Realising Benefits Financial saving –Remove £ from next year’s budget –Saving included in formal budget setting process –Clarity about what was saved where Posts lost –At risk register Identify the staff affected, communicate –Process based on existing Council policies Consultation, redeploy, retrain … redundancy Minimise redundancy costs –Affects timing of realisation of Benefits

9. 3003049 Tough decisions Cost envelope –We must stay within this Headcount and Budget –We need to manage both May require restructuring –New ways of working may mean changes to some organisation structures Periodic reporting to Members