Efficiency and Innovation Programme

1. Efficiency and Innovation Programme Piers Bisson Deputy Director, Efficiency and Innovation Department for Public Services and Local Government Delivery Welsh Assembly Government 8 December 2010 Efficiency and Innovation Programme

2. Agenda • Meeting the Challenge of Change • Context • Approach • Progress • Forward look Efficiency and Innovation Programme

3. Meeting the Challenge of Change (1/3) • Context • Financial • Demands • Expectations • Public Service Reform • NHS Wales • Education • Social Services • Local Government • Environmental AGSBs Efficiency and Innovation Programme

4. Meeting the Challenge of Change (2/3) • Public Services Summits • 130 leaders • Focus on major sector reviews • Efficiency and Innovation as ‘enabler’ • Efficiency & Innovation Board • 7 priority areas • Adopt and adapt ‘products’ • Best practice transfer • Workforce Partnership Council • And other Social Partnerships Efficiency and Innovation Programme

5. Meeting the Challenge of Change (3/3) Efficiency and Innovation Programme

6. E&I: Principles & Aims Enabler - - - Practical action & leadership - - - Jointly owned • Improving outcomes by: • achieving significant cash releasing and cost-reducing improvements in their operational efficiency; • promoting innovation and engagement by citizens in the design and delivery of services; and • maximising the benefits for the economy, environment and people of Wales through service design and delivery. Efficiency and Innovation Programme

7. Efficiency & Innovation Agenda • Efficiency and Innovation Board – Chaired by Jane Hutt AM (Minister for Budget and Business), and including public service leaders and social partners (e.g. Wales TUC and WCVA) • 7 Working Groups – CE Chairs; public service leader membership • Asset Management – Mark James, Carmarthenshire CBC • Procurement – Mohammed Mehmet, Denbighshire CBC • ICT – Steve Thomas, WLGA • Transforming the business – Harry Thomas, Gwynedd CBC • New Models of Public Service Delivery – Andrew Goodall, Aneurin Bevan Health Board • Workforce – Alison Ward, Torfaen CBC • Leadership – Jo Farrar, Bridgend CBC Efficiency and Innovation Programme

8. Efficiency and Innovation Approach • Work groups are: • Providing a series of common platforms to encourage take up (assets/procurement/ICT) • Equipping the public service workforce to meet financial and workplace challenges (workforce/leadership) • Providing a place for senior public service leaders to consider potential innovations (transforming the business and ‘new models’) Efficiency and Innovation Programme

9. Measuring Progress • Drawing on best practice / learning the lessons… • Measurement working group • Approach • Pragmatic • Avoid prescription • No change in accountabilities • Maximise use of existing systems / processes • Balanced measurement framework reflecting reality • Financial & non-financial indicators, and qualitative evidence Efficiency and Innovation Programme

10. Forward Look • Efficiency and Innovation Board (9 December) • E&I Boards on 2/3 monthly cycle • Final Budget • Major sector reviews

11. Background Annex • Updates of progress by Working Groups

12. Collaborative Procurement Group Collaborative Procurement and Commissioning Aim: Bringing together the £4.3bn spent annually by public services on goods and services and driving savings through more efficient processes, less duplicated effort, and better supplier performance – and at the same time considering the longer term impact of what and how we buy. Progress update: • Uptake of a national sourcing strategy: most local authorities are engaged in at least one contract. • Uptake of Xchangewales e-procurement system: Since the programme started there has been 100% take up in the NHS and 7 local authorities are now live on the system with a further 8 at an advanced stage of business case development. Efficiency and Innovation Programme

13. Asset Management Group National Asset Management Aim: To realise the efficiencies and benefits that can be derived from proactive, strategic estate management and its role in providing high quality support for the delivery of public services. The public estate in Wales (excluding central Government assets) is valued at around £9.4 billion. Progress update: • 95% of the Wales NHS Estate and 75% of the Police Forces Estate has now been captured on the Electronic Property Information Management System. • Nine pilot projects are underway to look at collaborative property initiatives to improve utilisation of the existing asset stock. • A consultation on the crucial protocols that govern land transfers has commenced. Efficiency and Innovation Programme

14. ‘New Service Models’ Group New Models of Service Delivery Aim: To promote innovation and sustainable change in the way that public services are designed and delivered in order to improve citizen outcomes and make better use of resources. The priority areas are: • families with complex and interrelated needs; • support for people to live independent and well lives; • Public protection and domestic abuse. Progress update: • Initial research into service models on families is nearing completion and is being peer reviewed. • Research into service models on independent living is currently being scoped. • A core set of service design approaches to domestic abuse is being developed. Efficiency and Innovation Programme

15. ICT Group Public Service ICT Aim: To support the delivery of significant savings through four overlapping themes: buying better, using smarter, working together and working differently. Progress update: • Work has commenced on data centre rationalisation with a moratorium on the establishment of further data centres which was agreed by the Efficiency and Innovation Board. • An accelerated roll out of Public Sector Broadband Aggregation (PSBA) is underway. • Digital Strategy for Wales endorsed by the Efficiency and Innovation Board. Efficiency and Innovation Programme

16. Transforming the Business Group Transforming the Business Aim: To draw on existing good practice in Wales and elsewhere; support the applications of tested methodologies such as lean across public services and connecting sectoral initiatives. Progress update: • A pan public service community of practice on LEAN business techniques is being established. • Research is underway to understand sectoral back office shared services projects so we can look to achieve best value across public services. Efficiency and Innovation Programme

17. Workforce Development Group Workforce Development Aim: To engage, develop and evolve the Welsh public service workforce to better support public service delivery in line with the efficiency and innovation agenda. The aspiration is to create a flexible and consistent approach to manage the Welsh public service workforce by maximising opportunities to share expertise and services. Progress update: • The Efficiency and Innovation Board has endorsed the development of a business case for a collaborative career transition programme. It will support interchange and career development opportunities during a period of constraint. Partners include the Job Centre and the Careers Service as well as active engagement by the Wales Trade Union Council (TUC) and the Equality and Human Rights Commission. Efficiency and Innovation Programme

18. Leadership Group Leadership Aim: To develop leadership capability across the Welsh Public Service to support the delivery of the efficiency and innovation agenda. Progress update: • A suite of leadership development training programmes has been designed to address leadership development needs associated with achieving success during a challenging period. It is currently being rolled out. • Leadership survey of what’s needed. Efficiency and Innovation Programme