atos it services uk limited

TMX – Report Template V2 – 02.04.12

ATOS IT SERVICES UK LIMITED

Assessment Dates: 25/04/2017 to 28/04/2017

Contents

1. About the Organisations ........................................................................... 1

2. Assessment Methodology ......................................................................... 2

3. Assessment Outcome ................................................................................ 3

4. Areas of Significant Strength ..................................................................... 4

5. Areas for Improvement .............................................................................. 6

6. Findings Against the Merlin Standard ......................................................... 7

7. Conclusion .............................................................................................. 26

1 TMX – Merlin Report Template V7 – 01.01.2016

1. About the Organisations Atos IT Services UK Ltd (referred to Atos throughout the report) is a global leader in digital transformation with approximately 100,000 employees in 72 countries and annual revenue of around €12 billion. The European number one in Big Data, Cybersecurity, High Performance Computing and Digital Workplace, the Group provides Cloud services, Infrastructure and Data Management, Business and Platform solutions, as well as transactional services through Worldline, the European leader in the payment industry. With its cutting-edge technologies, digital expertise and industry knowledge, Atos supports the digital transformation of its clients across various business sectors: Defence, Financial Services, Health, Manufacturing, Media, Energy & Utilities, Public sector, Retail, Telecommunications and Transportation. The Group is the Worldwide Information Technology Partner for the Olympic and Paralympic Games and operates under the brands Atos, Atos Consulting, Atos Worldgrid, Bull, Canopy, Unify and Worldline. Atos SE (Societas Europaea) is listed on the CAC40 Paris stock index. Atos IT Services UK Ltd help clients deliver innovation to their customers, reduce costs and improve effectiveness by leveraging business technologies. Business Innovation, Operational Excellence and IT Leadership form the basis for the expertise and innovative solutions applied to each industry sector and individual client challenge. The organisation’s vision is to: “accelerate progress by uniting people, business and technology”. The key objectives are to ensure that its clients are empowered to manage the resources provided, maintain control of their processes and projects, as well as the ownership of their assets and systems, including transformation to benefit from Cloud services. All services to customers are provided in accordance with the Atos Integrated Management System (AIMS), which looks to ensure the successful delivery of all services. Atos provides many government departments with access to IT functions to handle sensitive data and payments through the Atos-managed Government Gateway. A major customer is the Department for Work and Pensions (DWP), whereby Atos support the department by providing disability assessments for Personal Independence Payment benefit eligibility, which is delivered by the business processing outsourcing services. The Personal Independence Payment is delivered directly by Atos, as well as by a supply chain, which accounts for approximately 60% of assessment centre delivery.


2. Assessment Methodology

This is Atos’ third assessment against the Merlin standard, having been first assessed in March 2013. The scope of the assessment was based primarily on Atos’ Personal Independence Payment functional assessment contract with DWP, though it also factored in the organisation’s wider range of work, including commercial / non-government contracts.

The assessment team comprised of Lorna Bainbridge (Lead Assessor) and two team Assessors: Neil Potentier and Susan Smith, supported by an assessment Coordinator within Atos. The Lead Assessor and assessment Coordinator started planning the assessment in February 2017 whereby the scope and logistics of the assessment were identified, and the on-site dates agreed. Atos provided a list of Supply Chain Partners for the Personal Independence Payment, which is the main contract in scope, which included past, present and potential, and indicated tier 2 (end-to-end) and tier 3 (specialist). In addition, the major Partners delivering commercial / non-government contracts were included in this list. The Merlin survey was sent to all those listed, of which 24% responded. The Lead Assessor selected a representative sample of Partners to be interviewed taking into consideration all contracts, the different tiers and past, present and potential status. The Lead Assessor was in regular contact with the assessment Coordinator prior to the on-site to review the schedule and logistics of the on-site activity. Prior to the on-site activity all documentation required for the assessment; Self-Assessment Questionnaire, Pre-Assessment Notes and schedules were shared within the agreed time-scale. The assessment team spent a total of 9 days on-site reviewing documentary evidence and undertaking interviews with 100% of the tier 2 Partners from the Personal Independence Payment contract. In addition, tier 3 Partners contributed to the assessment, as did potential and past Partners. Partners delivering the commercial / non-government contracts were also included in the interview process, which were selected based on contract value to ensure a representative sample. Atos’ staff involved in the strategic and day-to-day delivery of the service and management of the supply chains were interviewed across the contracts to enable the assessment team to gain a full understanding of the delivery models, including the systems and processes implemented, which were fully tested throughout the interviews with Supply Chain Partners. The following report provides detailed findings against the Merlin criteria with strong reference to the Personal Independence Payment (PIP) contract. Reference is made to the findings relating to commercial / non-government contracts to demonstrate that Atos have designed and implemented effective supply chain relations, quality assurance and performance management activities.


3. Assessment Outcome

Overall 92% Overall Outcome Excellent Supply Chain Design 100% Commitment 90% Conduct 87% Review 90%


4. Areas of Significant Strength A number of significant strengths and areas of excellence in practice were identified during this Merlin assessment and summaries of these are given below. The numbers in brackets refer to the criteria of the Standard to which the areas relate.

Ø Atos seeks to gain a full understanding of the commissioner’s objectives and subsequently continue to undertake research to ensure the scope and variety of the supply chain is fit for purpose and meets the contractual requirements. Active consultation with the commissioners, Partners and wider networks contribute to identifying areas for improvement for all stakeholders, including that of the claimant in the case of the PIP contract. (1a.1, 1a.2, 1a.3, 4a.5)

Ø Collaborative working between Atos and Partners starts at the procurement stage and

continues throughout the life of the contract. Every opportunity is taken to work together with the aim of meeting the commissioner’s objectives and putting the customer at the heart of the service delivery. (2a.3, 3d.1)

Ø Improvements since 2015 were noted in the approach to communication; throughout

procurement the Partner is advised of the main point of contact, and following contract award they are advised of the named Atos personnel to support in areas such as day-to-day activities, data security, health and safety, finance, etc. Partners spoke of the communications being far more open and honest, and the relationship being supportive and positive. (2a.4, 2a.5, 3a.3)

Ø Atos is committed to supporting Partners to obtain additional funding / finance streams to

build capacity, but equally ensures that they are not put at undue financial risk. As a result, a Partner is supported to review its finances, undertake financial modelling and will not be solely reliant on Atos for its income. (2b.2, 2c.2)

Ø A range of learning and development activities are designed and implemented to support

the staff within PIP, and over the life of the contract. Additional continuous professional development needs / opportunities continue to be identified and met. (2c.3)

Ø The TUPE process has been designed to ensure the experience of the staff member is

positive and the transition to the recipient organisation smooth. Individuals feel part of the process due to the proactive approach to consultation and communication. (3a.2)

Ø Another area of significant improvement since 2015 was the consistent approach to

quality assurance and the implementation of the Quality – Cost – Delivery – Innovation – Management – Sustainability (QCDIMS) methodology being fully embed across the supply chains. In addition, robust practices have been implemented to ensure data security, health and safety and safeguarding are maintained throughout the life of the contract. (3b.1, 3b.2, 3b.4, 3b.5, 3b.6)


Areas of Significant Strength Cont./

Ø There is a clear dispute resolution process in place for all Partners (tier 2 and 3), which was recognised by a high proportion. Partners were confident to escalate issues as and when they arose and would use the dispute resolution process, if appropriate. There was evidence of Atos respecting a decision from the Independent Case examiner (ICE) and paying the £5K fine where claims are upheld. Complaints from claimants come directly to Atos. (3c.2)

Ø Partners have confidence in the Management Information that has improved over the past

two years, and subsequently use the data to manage performance effectively. The introduction of the weekly tele-conference call with the supply chain manager has further improved performance management activities at individual Partner level, and this provides the opportunity to recognise and support innovation and raise and discuss concerns and issues relating to the contract. (3d.2, 3d.4)

Ø The customer is at the heart of the service delivery and the aim is to meet their

requirements / expectations cost effectively. Consequently, Partners are consistently being encouraged to review the quality of the service delivery, consider alternative / innovative approaches and provide value for money. (3d.5)

Ø Atos seeks feedback from a range of stakeholders including customers / claimants, staff,

Partners, commissioners, external inspection / assessment services, etc. and uses the information to further improve the service being provided. (4a.1)

Ø A range of methods are used to keep Partners aware of the wider policy and strategy

information, for example, quarterly executive meetings at supply chain and individual Partner level, whereby discussion takes place to ensure the supply chains are aligned and continue to meet the wider social objectives of the commissioner. In turn, clinical and operational meetings at supply chain and individual Partner level provide the opportunity to cascade appropriate information and align the service delivery. (4a.3)


5. Areas for Improvement The following recommendations could be considered for review and improvement. The numbers in brackets cross-reference the findings to the relevant element and criteria of the Merlin Standard.

Ø Partners are actively engaged in consultation activities prior to contracting with Atos and subsequently throughout the commercial monthly and quarterly reviews, which influences systems and processes. Whilst those delivering PIP spoke positively regarding their involvement in designing systems and processes prior to contracting and throughout the life of the contract there was consistent reference to ‘having things done to them’. Consequently, in the future consultation with Partners could be far more proactive, for example, implementation of Consistency Improvement Planning (CIP). (2a.2, 2a.5, 3a.3)

Ø A high proportion of Partners referred to a mature approach to procurement and confirmed that the process was straight-forward. Some tier 3 Partners were less positive about the process and felt it was over-burdensome, consequently, consideration could be made to providing additional support, for example, on-line tutorials for the on-line procurement portal known as ‘Ariba’. (2a.1, 2c.1)

Ø Atos provide Partners with a range of resources to support the delivery of the PIP contract,

which were recognised and valued, for example, quality assurance, performance management, learning and development, etc. However, a number of Partners were not aware of how these were funded. Consequently, consideration could be made to checking Partner’s understanding of the management fee. Atos have implemented the open-book accounting approach with Partners, and whilst there was a level of understanding regarding the rationale for this, there was a belief that Atos could equally share information with them and adopt a far more open approach. (2c.8)

Ø The difference between good and excellent practice within the clinical arena has been

defined, and subsequently this is identified and shared amongst the Partners effectively. Whilst the sharing of good and excellent practice takes place operationally the definition was less clear, and consequently, consideration could be made to adopting a similar approach to that implemented for clinicians. (3b.8)

Ø Partners are confident to discuss issues and challenges relating to the contract and if

required, they are aware of and would use the dispute resolution process. Some of those delivering the PIP contract were aware of the Merlin Mediation Service, however, this was not consistent. In the future, consideration could be made to ensuring awareness of the Merlin Mediation Service for those delivering DWP contracts. (3c.3)

Ø Atos ensure that Partners’ commitment to diversity and equality is aligned to their own

throughout due diligence and the life of the contract, and subsequently promoted throughout the supply chain. Data relating to equal opportunities is collected and used to meet the contractual requirements of PIP. In the future, consideration could be made to being far more proactive in its approach to monitoring diversity and equality throughout the supply chain, and analysing and using the data collected. (3e.2, 3e.3)


6. Findings Against the Merlin Standard

1) Supply Chain Design 1a) Supply Chain Design Atos actively seeks to gain a full understanding of the commissioner’s aims, objectives and expected outcomes, and takes every opportunity to engage potential Partners in designing a solution to meet the requirements. The Personal Independent Payment (referred to as PIP throughout the remainder of the report) contract has been provided by Atos on behalf of DWP since 2012, at which stage potential Partners were involved and engaged in gaining an in-depth understanding of the aims and objectives and contributed to the design of the delivery model. Subsequently, over the past five years the supply chain has been reviewed to ensure it continues to meet the commissioner’s requirements. There was evidence of changes in the make-up of the supply chain, which had occurred in 2016, this was to ensure the contract continued to be financially viable and the resources were in place to manage the peaks and troughs of the delivery. (Links to 4.5) When commissioning a commercial / non-government services, once again, a full understanding of the aims, objectives and outcomes are gained by Atos, and in turn they engage potential Partners in researching and identifying the latest technologies and solutions that are fit for purpose and meet the requirements of the customer. The Partners confirmed that the approach to engaging them in designing the service was inclusive and provided the opportunity to gain an understanding of the contractual expectations prior to submitting a tender. The scope and variety of the PIP supply chain continues to comprise of a mix of public and private sector organisations, which provides a balance of knowledge and expertise from the National Health Service (NHS) and commercial enterprises. Atos continue to deliver the service through the use of its internal resources to ensure the changing needs of the commissioner and claimant are fully understood and appropriate solutions identified to resolve issues and further improve the delivery for all stakeholders. Within the commercial / non-government aspect of the business Atos is eager to work with small and medium size enterprises (SMEs), and as a result use an IT based programme referred to as the ‘Harbour programme’. This provides the opportunity for SMEs to gain a foothold and establish itself as a potential Partner, this forms the basis for sharing thoughts and innovations within the IT sector, and ultimately designing programmes and services to meet the future needs of the industry and customers. Atos work with numerous Blue Chip companies through to a variety of SMEs, which contributes to the Government’s agenda of supporting smaller, emerging businesses and constantly increases the scope and variety within its supply chains. One staff member referred to the need for digital innovation, and as a result constantly seeking to add to the supply chain through SMEs to bring different approaches and thinking with organisations that are agile and able to mobilise quickly. Some comments included: “SME Harbour constantly adds to the scope and variety of the supply chain.” “Let’s do things not because we have the means but because the customer wants.” “This (networking) solution is quicker, more agile and cost effective.”


The Disabilities Representatives Group was established when the PIP contract was in its infancy with the aim of gaining insight from a range of organisations at local and national level, for example, Parkinson’s UK, MENCAP, Citizens Advice Bureau, etc. The aim was to influence the initial design of the service and subsequently to review the assessment process, which takes into consideration the views and experiences of the claimants. This continues to be a useful resource and seen to be the Voice of the People. More recently, Partners have been invited to these meetings with the aim of gaining a better understanding of local issues to influence improvements to the systems, processes and overall experience of the claimant. Atos personnel, and more recently Partners, are actively involved in shaping the current and future strategy and direction of the PIP contract with DWP. A meeting with senior leaders from Atos and Partner organisations provided the opportunity to express the ongoing challenges and issues that are experienced, and to contribute their opinions in relation to plans in the event of the Scottish Devolution taking place.

Partners are encouraged to establish their own local networks with the aim of providing further information relating to the service, as well as gaining feedback from Claimant Champions, which may influence the service at local delivery. Similarly, those providing commercial / non-government services are actively encouraged to develop positive relationships with wider networks with the aim of staying abreast of current and future methodologies and developments within the IT sector.


2) Commitment 2a) Collaboration, Cooperation and Communication Robust procurement processes have been adopted by Atos; the e-sourcing platform known as Ariba has contributed, and also streamlined the approach. A high proportion of tier 2 Partners confirmed that this was fit for purpose and straight-forward, whilst some tier 3 Partners found this to be cumbersome and consequently additional support functions could be considered. Communications throughout the procurement process include a number of presentations for all interested parties, together with emails, face-to-face discussions with existing networks and individual organisations. Some Partners; commercial / non-government referred to Request for Information (RFI), which was recognised as a process that created over-load, subsequently Atos only request this for a completely new product area, whilst a Request for Proposal (RFP) is requested from the most attractive capabilities. These Partners explained that extensive communications had taken place throughout the procurement activities, and in one case this had been over a two-year period. The SME Harbour programme; provides the platform and opportunity for the smaller organisations to partner with Atos, and this process actively encourages ongoing communication to identify appropriate / suitable contracts / services to start a relationship. Throughout the life of the contracts informal and formal communication practices are embedded, for example, weekly tele-conference call, monthly contract review using the QCDIMS system, emails, clinical and operational updates and forums, etc. Atos actively seeks to consult with its Partners to inform decisions, including the design of systems and processes. Partners are consulted throughout the clinical and operational forums to seek ideas and opinions to influence changes for PIP. Most recently, the change to the assessment methodology has been discussed, and lead clinicians consulted, and subsequently ‘function first’ is to be introduced in May. Two Partners have been involved in home consultation pilots which helped to broaden the role and skills of Health Practitioners, this has also assisted in staff retention. In addition, at the quarterly executive meetings provide opportunities for Partners to gain insight in relation to the service, and subsequently contribute to shaping improvements and the future strategy. Similarly, commercial / non-government Partners spoke of Atos seeking their ideas and opinions in relation to new approaches and technologies, suppliers of goods and associated services, across the IT Services. One Partner referred to suggesting the introduction a self-serve portal for Partners for management information, which has been adopted, whilst another spoke of designing digital workplace workshops and subsequently Atos have invited them to discuss the approach further. Some Partner comments included: “They listen to the market.” “We strongly influence Atos policy and strategy by advising on capability, capacity often with consultation with stakeholder.” “Tell me the best way to do this.” “We worked together to align our digital strategies.” “We suggested we could be involved and Atos were happy to accommodate this.”


Partners are encouraged to work collaboratively, for example, there was evidence of sharing staff and training resources, as well as premises in ‘hot spots’. Lead clinicians and Health Practitioners share case studies and ‘unusual’ cases, knowledge and best practice with the aim of supporting others to learn and deliver a fair assessment for all claimants. Some Partner comments included: “There is freedom to collaborate.” “The sharing of training means that we have improved capacity more quickly and as a result of more staff, we cancel fewer appointments which is good for the customers.” The commercial / non-government Partners referred to Power of 4, Supplier Innovation Days, on-line breakfast sessions, etc. which encouraged networking and collaborative working. Some Partner comments included: “The sessions allow Partners to voice their frustrations and give their ideas as well as sell their wares to one another.” “It is best with Atos – it is more collaborative than with others – we are shoulder to shoulder.” At the start of the partnership there is clarity regarding the personnel involved for different aspects of the contract from the main contact, those responsible for performance and quality through to individuals able to provide information, advice and guidance in relation to finances, data security, health and safety, safeguarding, etc. Partners found this useful as all the names were listed with contact details for ease of contact. A high proportion of Partners found communications to be effective; open, honest and without unreasonable constraint as they had built good relationships with the key personnel. Consequently, Partners feel confident to discuss anything and everything with the main point of contact, and readily contact others to seek information, advice and guidance on wider contractual requirements. Partners cited the weekly tele-conference calls, monthly QCDIMS, clinical and operational forums, as well as emails, clinical updates and informal conversation as being effective forms of communication. The recent change; alignment of the operational and clinical forums to reduce repetition, address issues and ensure time spent wisely was viewed positively by Partners and streamlined communications. They found Atos personnel to be ‘approachable’, ‘available’ and ‘responsive’ to their requests. Some Partner comments included: “Clear business relationships.” “Relationships with the Regional Supply Chain Delivery Manager and the Clinical Lead are clear.” “We all dial in (to the weekly call) and there are good working relationships.” “People are always available.” “Each recruitment company know the parameters. We stick to areas of expertise and signpost where appropriate.” “There is a clear and open dialogue that tends to be supportive and transparent.” “There has been a significant improvement in Atos communication and behaviour during the period of the contract away from finger wagging to more constructive dialogue.” “They do share all information with us.”


2b) Developing Supply Chain Partners Atos actively support the development of Partners at the start and throughout the working relationship. If the policies and procedures submitted throughout due diligence are not fit for purpose or aligned to their own, appropriate information and guidance is provided to amend these and ensure they meet the minimum requirements. The planning and scheduling has enabled Partners to plan and as a result utilise resources far more effectively, and in turn have more insight to the financial position. The QCDIMS system provides the opportunity to review the business, finances, staff resources, etc. to ensure continuous delivery of the service, and that the Partner organisation continues to be viable and sustainable in the long-term. One Partner spoke about Atos providing staff resource and the IT equipment required for the contract, whilst another spoke of co-locating to reduce the financial burden. One Partner comment included: “They did a risk analysis with us and helped us produce a business continuity plan.” A number of Partners (PIP) have gained opportunities to increase their volumes through opening new centres, in some cases these have been in pre-existing locations, whilst some have moved into new areas. One Partner spoke of the support to build capacity through allowing them to adopt a tier 3 sub-contracting arrangement due to a shortage of clinical leads and Health Practitioners. One Partner comment included: “Better forecasting has helped us to grow. We are opening a new centre.” Partners also spoke of an incentive scheme offered to reward their staff for undertaking more assessments, for example, part time staff working extra days or staff working weekends to cover the volumes in specific areas, i.e. London. A bonus was also paid where quality reports were being consistently produced. Subsequently, one Partner has also been able to offer staff a bonus themselves from within the overall contract value. Similarly, a number of tier 3 Partners spoke of being able to increase their income through new business opportunities within Atos, working with another Partner and being signpost to other organisations. One tier 2 Partner explained that in conjunction with Atos they give business away to the supply chain when it is not cost effective for them, for example, low volume, specialised components or a local provider needed. Learning and development needs are identified through the quality and compliance practices, as well as ensuring delivery staff are up to date with the latest requirements, systems and processes. All Health Practitioners undergo extensive training at the start of their employment, and subsequently, monthly continuous professional development activities are provided to address key topics, for example, visual impairment, report writing, the assessment process, etc. The Claimant Champion also identifies training needs in both direct delivery and Partner organisations, which is as a result of engagement with stakeholders. Some examples include, training for customer service staff in using empathy and understanding when booking appointments, support for Health Practitioners to work with advocates, etc. Partners referred to numerous opportunities to access training through Atos, including; IOSHH Managing Safely course, ‘Keep Safe’, Train-the-Trainer, mentor training, audit training, Training Assessment Forms, etc.


2c) Contracting and Funding Partners confirmed that the procurement processes were fair and transparent, and whilst as previously stated, some tier 3 Partners referred to the Ariba platform as being cumbersome, they also stated that Atos was supportive throughout the process. Those Partners who had recently joined a supply chain explained that Atos was ‘up-front’ at the start and clearly outlined the procurement activities and the personnel involved. Consequently, a named contact was available when required. In addition, Partners referred to a ‘grown-up’ approach to procuring services being adopted by Atos as ‘they were straight to the point’. Successful and unsuccessful Partners felt that communications during procurement were simple and easy to understand, and delivered in a timely manner. Unsuccessful Partners were provided with generic feedback initially, but also had the opportunity to meet to gain a greater understanding in relation to improvements to be made to their tender submissions in the future. Some Partner comments included: “Tender feedback was received and Atos were open to dialogue about it.” “We met after to discuss what we could do better in future tenders.” Atos make every effort to ensure that Partners are not at financial risk, and consequently the business acquired with Atos will not excess more than 25% of their turnover to ensure they are not dependent upon PIP. This same methodology is adopted with commercial / non-government Partners. Throughout procurement and due diligence attention to detail is undertaken in relation to the financial status of the organisation, and subsequently the QCDIMS system ensures that the financial status is addressed every month. They account for Partners financial risk by asking for an open book approach such that any good practice in cost savings can be shared across the network. Some Partner comments included: “Financial viability is always discussed on a cost v benefits v payback basis, e.g. customising messages for DWP with high initial cost but with an overall longer-term saving.” “Atos challenge us to re-think our costings and projections.” “Atos is greatly aware of possible financial risks and have agreed a minimum call off rate.” A high proportion of Partners (PIP) commented favourably in relation to the payment structures. They explained that the original contract payments were linked to the time taken to conduct assessments and as the time reduced, so did the payment value, however, Atos kept the original price for Partners. One Partner comment included: “The fact that ATOS didn’t reduce the payments to us really helped at a vulnerable time for us as a SCP.” The contractual documentation clearly defines the obligations of both Atos and the Partner, consequently there is a clear understanding of expectations, including volumes, funding / finance, performance, quality, etc. In the case of PIP, a Contract Change Notice (CCN) was issued in late 2016 to reflect variations and a contract extension from DWP. These were tailored to the needs of Partners, and individual meetings took place to ensure clarity about the meaning of clauses, Atos met with Partner’s legal representatives when requested. Some Partner comments included: “Contract variation was all clear and gave us time to seek our own legal advice, we met with Atos and clarified concerns, and then there was a further period for us to consider and sign it off.” “Contract variations have been fair and transparent.” “The X Agreement is the overarching contract with Atos with contract variations or new contracts regularly added as appendices.” (commercial / non-government Partner)


There is a clear rationale to support a viable and transparent allocation of market share. The forecasting and capacity planning process, which has been further improved over the past two-years was cited by Partners as being the mechanism for understanding volumes and market share. Where volumes were lower than anticipated, for example, as a result of the Disability Living Allowance (DLA) policy changes, Atos gave the Partners additional work by closing their own delivery centres as they were able to manage the reduction in volumes far better than such establishments as the NHS. Similarly, where appropriate tier 3 Partners also had a clear understanding in relation to the market share and volumes and felt these were viable and transparent. Partners confirmed that the negotiations in relation to the volumes, funding / finance and performance have been fair and open in relation to the new contract variations. Some Partner comments included: “A unique commercial arrangement agreed with Atos after possible fall-out in 2016 due to 45% volume reduction.” “Atos is very fair.” “Negotiation is encouraged.” Partners (PIP) confirmed that Atos had taken into consideration their requirements in pre and post contract award, and actively enabled them to be successful. A high proportion of Partners believe that it is a ‘win-win’ relationship, and that Atos recognise its success is based on their achievements. Once again, Partners referred to the incentive scheme offered to encourage staff to undertake additional assessments, Atos closing its centres to ensure their volumes remained and the fact that they (Atos) did not reduce contract price in line with falling assessment times. A number of Partners referred to slow payments at the start of the contract (PIP) due to poor management information, however, over time this has improved and subsequently the payment terms are honoured; 30 days, rather than 45 which is their normal practice. A few Partners referred to being paid within days of submitting an invoice. Some Partner comments included: “The MI has improved to such an extent that we no longer run our own system, we trust the report and when we receive it, we invoice immediately against it.” “Excellent, on-time and accurate payments with a reduction in service credit payments.” “PIP Partners get priority. They are Critical Vendors!” “We are paid on time. No issues.” Partners explained the financial arrangements and the amount received per assessment / service delivered, but had limited understanding in relation to whether a management fee was paid. However, Partners listed the support and services gained from Atos, which included, quality assurance, performance management, learning and development, clinical advice and support, advice line, management information, etc.


3) Conduct 3a) Demonstrating Commercial and Business Integrity The agreed principles are based upon the delivery of the best quality service and the claimant’s journey; the claimant being at the heart of the service and receiving a fair assessment. The core principles in relation to the business activity between Atos and Partners are about being ‘clear’ and ‘transparent’. Throughout the procurement process the common factors between Atos and Partners were assessed with the key requirement being ‘the customer at the heart of the delivery of the service’. Public sector Partners spoke of the commonality of their values despite Atos being a private organisation. Some Partner comments included: “Our staff are fully integrated into the Atos ethos.” “We are both customer centric. We do it for the customer.” “My vision sat with theirs when we took over.” “I sometimes think I am part of Atos.” Due to the recent activity; Partners being involved in meetings with DWP, this philosophy of being clear and transparent has been strengthened as they spoke of the DWP Green Paper consultation day whereby they (4 Partners) were involved in the development of the new contract. Similarly, across the commercial / non-government services the SME Harbour seeks clarification regarding working relationships to ensure Atos works with like-minded organisations. The focus, once again is the customer being at the heart of the delivery, and business is to be conducted openly and clearly. There are clear strategies in place to manage any TUPE activity; both into and out of Atos, and if required support is available for Partners to implement an effective process. A comment included: “Our methodology (with TUPE) is to allay fears through early intervention and make sure it is legal.” Reference was made to the importance of communications being clear and transparent with opportunities for individuals to gain clarification and challenge, if required. The documentation demonstrated that Atos provide the TUPE transferee with a copy of the contract and where terms are the same these are indicated in green and those changed (only for the better) were shown in red, for example, a previous employer failed to provide private medical care where as Atos provide this benefit. The effectiveness of the TUPE transfer was confirmed by a number of interviewees who had experienced the process in the last two years. The following provides a summary of some of the different experiences: • A TUPE transferee from a Partner going into administration - meetings were set up quickly by Atos and all promised communications and support took place throughout the process. As the Partner was going into administration and had failed to pay employee salaries, Atos offered a six-month interest free loan to help individuals pay their mortgages. Once the statutory processes within the wind down of the Partner had taken place, Atos ‘topped up’ the statutory payment made to employees to their normal salary as a ‘gift’. • Another TUPE transferee had failed to be paid by the previous employer, the Atos manager put the travel expenses (rail fare) on her expenses in order that the she could attend the induction course.


• The TUPE transfer of an employee moving out to a Partner was well handled with Atos providing a representative structure for staff and breaking down the issues into manageable sections to assist staff to understand. Some staff comments included: “It was all handled really well. There was individual consultation and support. Regional managers were very welcoming of our incoming skills and experience and recognised the stress we’d gone though. There was excellent induction into Atos as a new employee.” “There was always someone available from the Atos side.” “I have progressed and developed since joining Atos.” “We hadn’t been through the process before and wanted to be sure we were getting what we were due, we challenged everything, and X responded every time.” Partners (PIP, commercial / non-government) confirmed that the interactions with Atos are positive and supportive. Some Partner comments included: “Very positive.” “The relationship is excellent, personable and friendly.” “There is regular communication by email or where complicated by telephone or meeting.” “There is a sense of openness, transparency, trust, responsiveness, fulfil promises - all improved.” “Responsiveness and the fulfilling of promise with Atos supply chain manager.” “Atos staff are approachable, accessible, professional and ethical and always fulfil promises.” “We’re part of the team and get invited to the Atos HR Away-days.” “Bridges have been built and the relationship improved.” Policies and procedures are in place to support and maintain legislative and regulatory requirements, and Partners are kept abreast of changes in legislation and contractual requirements in a timely manner. Partners referred to the clinical weekly email updates and the operational updates, the latter occurring as and when required. These are subsequently followed up to ensure action has been completed throughout the weekly tele-conference calls. One Partner referred to the update on Anti-Slavery legislation, which was added to the Main Framework Agreement. Some Partners (NHS, Blue Chip) spoke of Atos adopting a ‘grown-up’ approach and respecting their internal systems and processes, and as a result were possibly less robust in relation to following through on some updates in relation to legislation and regulatory requirements, which was appreciated.


3b) Quality Assurance and Compliance There is a rigorous approach to quality assurance and compliance with a range of processes and activities to monitor the quality of the service and where appropriate the claimant experience, and subsequently changes and improvements have been made. Atos undertake telephone surveys with claimants and these results are shared with Partners. In addition, Atos respond to all complaints from claimants within the agreed timescale set by DWP. These processes have captured feedback from claimants who fail to believe they have experienced a fair assessment, which are subsequently investigated and in some cases trends identified, for example, individual Health Practitioners requiring additional support. There is a four-stage training and assessment process for Health Practitioners with clinical leads assessing and passing individuals at each stage, which results in a final DWP accreditation. Once accredited a Health Practitioner continues to be observed and reports reviewed randomly to establish quality of service and reports, which has identified Health Practitioners requiring additional support. This has resulted in Partners taking specific action, for example, ‘CPD Saturdays’ - this was to address the quality of reports, previously ‘U’ grade reports were occurring at 1-2 per month, following the increased learning activity, this has dropped to zero ‘U’ grade reports over a rolling three-month period for one Partner. Over the life of the contract extensive analysis of award levels and reporting has been undertaken, which has resulted in trends being identified, and the CIP being introduced to ensure greater consistency across the assessments, awards and quality of reports. Atos visit Partner premises and undertake formal and informal observation of practices, including the approach taken with the claimants. More recently, site surveys are undertaken by DWP team in both direct delivery and Partner premises. These visits are informal observations of the claimant journey and include feedback on the quality of service, including staff attitude, appearance of the staff and the centre, site cleanliness etc., overall claimant welcome and experience, including before and post assessment. The monthly QCDIMS system also addresses quality of delivery across the PIP service, as well as a range of audit activities to ensure compliance against the contractual requirements. Similar processes are adopted across the commercial / non-government Partners, which subsequently address quality of delivery and compliance requirements. Atos provide Partner organisations with appropriate information, advice and guidance, which is derived from known sources to ensure the currency and accuracy. Partners confirmed that the information, advice and guidance gained from Atos has been relevant and communicated effectively, for example, clinical lead updates, emails, forums, as well as throughout the weekly tele-conference call and QCDIMS system. “There is good and clear advice from the ATOS clinical lead.” The Health Practitioners role, as previously stated, is to provide a fair assessment to all claimants, and whilst information may be provided there are boundaries in terms of the provision of advice and guidance. The Health Practitioners receive training, have access to an advice line and clinical leads to ensure they are kept up to date and have access to relevant information.


Throughout due diligence, policies and procedures relating to data and asset security and health and safety are reviewed to ensure they are fit for purpose. These are subsequently checked on an annual basis. Similarly, site visits at the start of the contract were undertaken to ensure data and asset security, as well as health and safety, and such visits are subsequently undertaken on an annual basis. This has resulted in health and safety advice been provided in relation to keeping records of panic alarm testing and a record of visual checks of couches in assessment centres. Whilst some Partners have had to review the premises to ensure access to claimants with a range of disabilities. One Partner comment included: “We use the ATOS locked down security system and have a clear desk policy, there are good IT firewalls in place and we shred any confidential materials and dispose of them safely.” The data system for the PIP contract is that of DWP and consequently the information collected is secure and only accessible through a log in process. All new staff are provided with individual, user specific access, and any leavers are notified to the named person in order for their removal to be arranged. Atos has invested in a data security manager, and this individual undertakes remote checks to establish frequency of log ins, failed log-ins and in some cases the records viewed by Health Practitioners. This has resulted in abnormalities being identified and appropriate action taken, for example, disciplinary action or employment terminated. Commercial / non-government Partners referred to tight controls for data and asset security, as well as health and safety. Some Partner comments included: “Its covered in the overarching ‘Crewe Agreement’ and reviewed annually and were asked to fill in a questionnaire for Atos.” “Covered in Main Service Agreement.” “We maintain a risk register for data and share this with Atos.” “We signed up to Atos’ CSR Code of Conduct.” Similarly, policies and practices are checked throughout due diligence to assure the safeguarding of people at risk; including Health Practitioners and claimants. There is a process for sharing information relating to Unacceptable Claimant Behaviour (UCB). This enables Partners to put appropriate safeguarding measures in place, for example, hiring a security guard if necessary, arranging the presence of a second Health Practitioner, or the Atos scheduling department accommodating a claimant assessment in a centre closer to their home. The PIP Claimant Champion is available to support both direct delivery and that of Partners in relation to safeguarding, for example, implementation of the policy on home visits where unique circumstances need to be addressed. Partners present their policies and processes relating the environmental sustainability throughout due diligence, and once again these are reviewed annually. Partners are expected to sign-up to the Atos Corporate Social Responsibility (CSR) Code of Conduct with the aim of committing and contributing to sustainability. Throughout the QCDIMS, discussion may take place in relation to sustainability, which prompts some Partners (with less sophisticated plans) to take action and implement new processes, for example, recycling, reducing travel, encouraging travel by public transport, etc. The use of the EcoVadis system (used mainly with commercial / non-government Partners) captures key data relating to a Partner’s approach and contribution to environmental sustainability, and indicates actions to be taken to further improve its performance.


There are numerous opportunities for Partners to share best practice, for example, clinical and operational forums, QCDIMS and the weekly tele-conference call. One Partner spoke of the Gold Standard report, which denotes what ‘excellent’ looks like from a clinical perspective. Other Partners referred to the implementation of the CIPs, and whilst mandated by DWP, they had discussed how this was to be implemented within their individual organisations and shared ideas.


3c) Honouring Commitments Partners (tier 2) delivering the PIP contract confirmed that pre and post contract negotiations were clear and open, and that the post-contracting arrangements reflected the initial agreements. The expectations were clearly defined from the start of the contract. These were communicated verbally and formalised through the contracts, which have subsequently been updated by a CCN and appropriate bulletins. The PIP contract has continued to experience challenges in relation to performance, and as previously stated, in 2016 there was a reduction in referrals; in an effort to ensure Partners continued to receive the volumes required to fully utilise the resources, Health Practitioners and premises, Atos ‘took the hit’. This was appreciated by a number of Partners and demonstrated Atos’ commitment to retaining a supply chain to deliver the contract. Tier 3 Partners referred to negotiations at the start of the contract whereby the agreements were fulfilled, and in some cases re-negotiations have been undertaken, for example, increase in the minimum ‘job bag’ fee due to low volumes which Atos have understood and accepted. Partners delivering commercial / non-government contracts also confirmed that pre and post contract negotiations were clear and open, and that Atos have fulfilled their promises / agreements. They spoke of regular contract reviews whereby there is an opportunity to discuss issues and challenges, and if appropriate, re-negotiate the terms and conditions, which is confirmed in writing. A high proportion of Partners were aware of the dispute resolution process and the fact that it was outlined in the terms and conditions, however, due to Atos personnel being accessible, approachable and reasonable there was confidence in raising issues and concerns and there had been no requirement for escalation, to date. There is a complaints process for claimants, which is promoted and all complaints, direct and supply chain, are received directly by Atos. The target set by DWP is that 90% of all complaints to be dealt with within a twenty-working day period; currently the actual performance is at 100%. Throughout the assessment there was evidence of Atos respecting a decision made by the Independent Case Examiner (ICE) and paying the £5K fine where claims are upheld. Subsequently, any lessons learned are shared both within the direct delivery and across the supply chains. Whilst some Partners delivering PIP were aware of the Merlin Mediation Service this was not consistent practice, consequently, appropriate action could be taken to ensure Partners delivering DWP contracts are aware of the service. At the start and during the contract award the expectations of both the Partner and Atos are clearly defined, communicated and agreed through open and honest dialogue. Subsequently, after contract award and throughout the life of the contract the QCDIMS system is the main mechanism to ensure Partners are aware of the expectations at all levels. In addition, the operational and clinical lead forums and the quarterly strategic review at executive level provide the platform to review and clarify expectations.


3d) Performance Partners are encouraged to collaborate outside of Atos, for example, NHS trusts meet to discuss HR issues such as recruitment and retention of Health Practitioners. Other Partners spoke of meeting with others for coffee on a monthly basis to share challenges, issues and establish solutions. As previously stated, Partners share resources, including staff and premises, and one Partner referred to an Atos employee being seconded to them for a three-month period to support their transition to an end-to-end supplier. Performance expectations are discussed and agreed throughout contracting and subsequently closely monitored. The weekly tele-conference calls and the QCDIMs are the main channels for regular and positive performance review, which are embedded across all supply chains. Partners explained that performance is discussed frequently, and they are confident to raise issues or concerns, even outside of the formal discussions. They believe that under-performance is challenged in a positive manner and subsequently, appropriate support to address the situation identified and provided. Equally, reference was made to innovation being recognised and supported, and subsequently shared across the supply chains. Those Partners working with EcoVardis are given a numeric rating for innovation, and there is an expectation that this will increase throughout the life of the contract. One Partner comment included: “We share innovation on technological advances and they tell us what they are doing and we see if we can help.” The contracts and the QCDIMs system means that all Partners are totally clear about performance expectations throughout the life of the contract. Clinical leads and Health Practitioners understand their roles and responsibilities and how they are being measured. To further demonstrate Atos’ approach to performance management of its Partners, a staff comment included: “The PIP Partners are given 15% slack on performance with anything exceeding this fully investigated.” The management information system for the PIP contract was poor at the start of the contract, however, this has significantly improved, and this has been in consultation with Partners. Partners consistently referred to the management information as being, ‘reliable’, ‘trusted’, ‘available’, ‘informative’, ‘drives performance’, etc. Some Partner comments included: “Fit for purpose with SLA reporting excellent and helps the business.” “Accurate, sufficient, relevant and on-time information.” “It is enabling better forecasting which impacts on business performance.” “MI is now more accurate and presented much better.” “You can’t manage what you can’t measure. SLA reporting helps us with this.” A number of Partners were very clear regarding the value for money provided across the supply chain, for example, sharing staff resources, learning from others and maximising the use of premises to ensure value for money for the customer (DWP). Some also referred to value for money being based on cost versus income, which was reviewed throughout the QCDIMS system. Some Partner comments included: “We adjust design and delivery so as to achieve value for money.” “We talk about value for money all the time.” “Value for money can mean outsourcing to reduce people costs.”


Those Partners delivering commercial / non-government contracts spoke about the focus on cost-savings and consistent reference to adding value through improving customer journeys, reducing duplication or joined up working, which are designed to contribute to smarter working, achieving efficiencies and therefore providing value for money. One Partner specifically highlighted the fitting of emergency lighting, whilst the bulbs were more expensive durable bulbs part of a ‘swap it out six’ for longevity and payback exceeds initial capital costs. (Links to 3b.7) Atos in conjunction with the commissioner (DWP) have established processes to measure and encourage outcomes and performance improvement, and as a result the CIPs have been developed, and as of May the ‘function first assessment’ is to be introduced. The aim is to provide a fair assessment for every claimant, and in turn the award would be the same irrespective of internal or supply chain delivery or the Health Practitioner. Performance and subsequently the improvements made by Partners are assessed by the QCDIMS scores and records, which is a clear process from start to finish which enables the measurement of the customer journey. The established customer satisfaction survey process and feedback is shared with Partners as are complaints and outcomes with the aim of improving the claimant experience and providing a fair assessment.


3e) Promoting Diversity and Equality Atos designed the supply chain for PIP based on its values and beliefs, including that relating to diversity and equality. Throughout due diligence Partner’s policies and practices to address diversity and equality were reviewed to ensure they were aligned to their own commitment. Similarly, Partners delivering commercial / non-government services were required to submit their policies and practices throughout due diligence and subsequently on an annual basis. Partners confirmed that there are very clear guidelines and expectations in relation to diversity and equality, which is visible from Atos in their approach to partnership working and providing the services to claimants and customers. There is an expectation that all Partner organisations will provide learning and development activities to staff to provide appropriate education. Some Partner comments included: “This is covered in the overarching ‘X Agreement’ and reviewed annually.” “We work and discuss on how we are aligned to their equality and diversity practices.” Data relating to equal opportunities is collected on behalf of DWP, for example, Partner’s Workforce Development Plan, which meets the contractual requirements. The data is subsequently used by the department. Data relating to UCBs is collected and shared through the IT system, which is subsequently used by Health Practitioners prior to and throughout an assessment. Health Practitioners are also able to record any form of UCB to ensure future interventions with claimants are managed appropriately. The EcoVadis system captures data relating to equal opportunities and highlights actions / improvements to be made by the Partner. This tends to be biased towards an ethical approach to trade, rather than the analysis of take up of services in comparison to any demographic data. Consequently, if Atos wish to further improve its commitment and practices in line with the Merlin Standard requirements, consideration could be made to improving the analysis and use of the data across the supply chains.


4. Review 4a) Supply Chain Review Atos has designed different approaches to gaining feedback from a range of stakeholders; DWP, Disability Rights groups and claimants, regarding the delivery of the PIP service with the aim of introducing improvements to systems and processes. The PIP Claimant Champion role is an excellent example; this is a resource dedicated to understanding issues from organisations that support claimants and is operated across both direct delivery and the supply chain. The Champions create a ‘hot topics’ list that is shared widely with stakeholders, including Partners, support organisations and DWP. It is very transparent and seeks to address policy and process themes. The operational and clinical lead meetings encourage feedback to establish what is working well / could be further improved and concerns relating to systems, processes and policies. Most recently a policy issue relating to voice recording was raised, this approach was viewed as providing Health Practitioners with more protection against claimant misinterpretation – this is currently under with review by DWP. A further example was the changes to the IT system, which supports appointment bookings and the ability to accommodate extra-large wheelchair access to Partner’s premises. Regular reviews with DWP provide the opportunity for two-way feedback at an operational and clinical level and subsequently results in improvements, for example, the introduction of CIPs and the assessment process being changed to a ‘function first’ approach with the aim of gaining richer content from the claimant. In addition, the quarterly strategy review meetings between Atos and Partner’s executive provide further opportunities to gain feedback and influence the future delivery of the service. The commercial / non-government Partners referred to ongoing feedback; the sharing of successes and challenges through informal conversation on a daily basis through to formal approaches within the monthly operational contract review and quarterly strategic review as methods to share feedback. The QCDIMS is an excellent tool to capture key findings relating to quality of service delivery and compliance, as well as performance and as result contributes to continuous improvement within Partner organisations and across the supply chain. The CIPs, whilst currently creating additional work, some Partners recognise the value and impact on the delivery of the service, the contribution to raising the standards and providing claimants with a fair assessment irrespective of the Health Practitioner or location. Atos respond positively to feedback gained from external bodies, for example, the DWP Provider Assurance Team, as well as the previous Merlin assessment team. Throughout this Merlin assessment evidence was gathered which indicated that improvements to supply chain management had been made, and continue to be considered.


The PIP supply chain is informed of wider policy and strategy information through the quarterly executive meetings with Partner CEOs and senior representatives from within Atos. This also provides the opportunity to engage the CEOs in strategically aligning the supply chain with the wider social objectives of the commissioner. The recent meeting of the executive from Partner organisations and Atos with DWP indicates an open and transparent approach relating to policy development, whereby the issue of the differing award rates between Atos and its supply chain, and those of the other provider Capita were discussed and solutions recommended. In addition, the operational and clinical lead forums provide a platform to cascade relevant information regarding wider policy and strategy and to ensure that the delivery is aligned and contributes to the overarching aims, objectives and outcomes. If appropriate and relevant, the QCDIMs system and emails are used to share wider policy information to relevant personnel. The Partners (tier 2) recognised and understood the welfare agenda for the UK, which included the promotion of improvements to health and the reduction in the number of people being reliant on benefits, which incurred rising costs to the country. However, it was also noted that the PIP was aimed at providing disabled people with fair access to an assessment of their needs, and the award was based on the objectivity of the approach. Tier 3 Partners spoke of facilitating efficiencies within the assessment process by providing Health Practitioners with accurate on line drug data and information, appropriate and cost effective equipment, etc. The Claimant Champion role enables Atos and Partners to evolve to meet the changing needs of the claimant, for example, an Advocacy Charter has been developed so that organisations delivering advocacy support can be more effective and create better partnerships. The ongoing review of the supply chain is about Atos assuring capacity and improving clinical quality to ensure a fair assessment for all claimants, and as indicated previously this has resulted in the CIP being introduced. Partners actively seek ways to ensure claimants attend the appointment and as a result over the life of the contract different initiatives have been introduced, for example, email / text reminders to claimants, offering additional financial incentives to increase volumes, etc. One Partner spoke of changing its internal policy to reduce cancellation rates and through discussions with ATOS, it now has access to contact claimants directly to re-arrange appointment times or advise of delays – both of which helps to manage the claimant’s expectations better. Other Partners referred to improvements in communications to improve the quality of the service and the claimant journey. Atos actively support Partners and recognise their financial stability is based on referrals as agreed, and accurate forecasting and planning is crucial, as a result, the forecasting and planning tool has been developed further. A number of new centres and rooms have been opened and more Health Practitioners recruited, and Partners believe there is greater stability. The forecasting and planning tool also calculates the distance to be travelled by a claimant for an assessment and as a result the journey time should be under 90 mins for public transport and 60 for private travel, contributing to reducing the carbon foot print. In addition, the use of a secure electronic system for data transfer throughout the supply chain reduces paper consumption


The CIPs are starting to eliminate inconsistencies and ensure all claimants receive a fair assessment, and subsequently this is reflected in the award level. The provision of additional support and learning and development to Health Practitioners increases and widens their knowledge base and results in a better service and experience for the claimant. As previously stated, the use of the EcoVadis system captures key data relating to a Partner’s approach and contribution to environmental sustainability, and indicates actions to be taken to further improve its performance. Consequently, this is an excellent tool to demonstrate the impact on environmental sustainability, however, currently as previously stated, this is only available for specific Partners. Consideration could be made using the EcoVadis systems with all Partners providing the PIP service with the aim of demonstrating the impact the supply chain has on environmental sustainability.


7. Conclusion Atos continue to meet the requirements of the Merlin Standard through demonstrating that it has created good working relationships with its Partners and adopted some excellent practices to quality assure and performance manage them. It was evident that the recommendations made following the assessment in 2015 were responded to positively as the scoring achieved in principle 3 – conduct increased by 6%. This was due to developing and embedding a robust approach to quality assurance, including the implementation of policies and procedures to maintain data security, health and safety and safeguarding. In the future, consideration could be made to designing and implementing robust practices to further monitor and embed diversity and equality and environmental sustainability across all supply chains. In April 2019 Atos will be expected to undertake a further assessment against the Merlin Standard in order to retain the accreditation, if it continues to receive funding from DWP or other commissioners requiring Merlin accreditation. In preparation for the assessment in 2019 consideration could be made to undertaking a health check in April 2018.

Assessment Type REACCREDITATION ASSESSMENT

Assessor’s Decision STANDARD MET

Lead Assessor’s Name LORNA BAINBRIDGE

Visit Date 25/04/2017 – 28/04/2017

Client ID C16265

Assessment Reference PN102571

atos it services uk limited

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