peter sloman chief executive oxford city council n.
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Peter Sloman Chief Executive Oxford City Council. Oxford. Population 151,000 Progressive politics- conservative free zone (Labour, Liberal Democrats, Green Councillors) 20% plus minority ethnic communities Two Universities - 30,000 students Large Teaching Hospital

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oxford
Oxford
  • Population 151,000
  • Progressive politics- conservative free zone (Labour, Liberal Democrats, Green Councillors)
  • 20% plus minority ethnic communities
  • Two Universities - 30,000 students
  • Large Teaching Hospital
  • Car production - BMW Mini Plant
  • Large science/research economy
  • High levels of economic and social inequality
  • History of militant trade union activism from manufacturing past
uk context
UK Context
  • Labour Government until 2010
    • Growing Demands placed on public services
    • Push for externalisation and shared services – efficiency/cost

reduction

    • Inspection and challenge of public services
    • Growth in funding and jobs
    • Central targets
  • Coalition Government
    • 30% reduction in central funding in first 3 years
    • A further 30% to come
    • Attack on sector morale
      • Chief Executives salaries
      • Role of political leaders
      • Trade Unions
      • Removal of functions e.g. schools
      • Push for externalisation and shared services
    • Elimination of Inspection
    • Localism
oxford context 2007
Oxford Context 2007
  • Poor relationships
    • Politicians / Managers
    • Managers / Trade unions
  • Financial crisis
  • Services all in-house delivery
  • Poor service outcomes
  • National pay bargaining
  • High sickness/poor attendance
oxford city council 2007 2013 approach to transformation
Oxford City Council 2007-2013Approach to Transformation
  • Employee relationships key to coping with changing context for public services
  • Taking the opposite approach from sector
    • Cutting jobs/protecting

jobs

    • Cutting services/

redesigning services

    • Externalisation/

in sourcing work

    • Commoditisation/

customer and community focus

conditions for change
Conditions for Change
  • Unified and focussed political leadership
  • New managerial leadership
  • Change management agreement with Trade Unions
  • Middle management/Skillsdevelopment
  • Performance management
  • Staff appraisal reviews
  • Communications
  • Sense of shared endeavour
    • World Class City for Everyone
    • Needs a World Class Council
fundamental service review 20 20
Fundamental Service Review – 20:20
  • Service by Service :
    • Starting with poor value for money
    • Poor performance
    • Strategically important
  • 20% quality/performance improvement
  • 20% cost reduction
  • Involving workforce
  • Based on a clear deal
    • Good job security/rewards compared to market
    • First class productivity and engagement
  • City Works - waste example
  • Leisure review
sharing rewards partnership payment 2010
Sharing Rewards: Partnership Payment 2010
  • Response to 2010 coalition cuts
  • Pay freeze
  • Freeze contractual increments in pay grades
  • £400 annual partnership payments - subject to:
    • Efficiency improvement
    • Appraisal targets
    • Attendance
  • Result: 25% cost reduction - 90% performance targets met
  • Halved sickness - 14 days to 7 days
  • Workforce reduction through natural turnover
a new deal 2013
A New Deal 2013
  • Facing a new 30% cut in government funding making 60% in all now
  • Next phase insourcing work and trading for income
  • Five year pay deal outside national agreement
  • Job protection
  • Below inflation rise for five years
  • Continue partnership payment but also apply conditions to pay rises
overall impact
Overall Impact
  • Real pay cut
    • Over period 2010-2013, 9% real terms pay cut
    • Over period 2013-18 further 6% real terms pay cut
    • 15% in total
  • Job protected
  • 20% improved productivity
  • 10% income from profit from trading
  • No cuts in services
  • Workforce engaged in designing service improvement and with a stake in organisation’s success
  • Cash available to invest in the City protecting 900 jobs in construction and supply in private sector
learning from the journey
Learning from the Journey
  • Improvement political/managerial relationships and shared vision is key for Leadership of culture change
  • Excellent workforce engagement and trust essential for transformation
  • Based on shared values and objectives
    • Protecting services
    • Social justice – impact of the Council
    • Protecting jobs
    • Not privatising services
  • Active dialog and constant communication/engagement
  • Confidence locally in Oxford’s new entrepreneurial local state is based on partnership with its workforce
  • People will make sacrifices if there is clear, honest leadership with shared interests at heart
  • Producer interests can be aligned with community wellbeing