commissioning and social value, fergus lyon, pmpa seminar
TRANSCRIPT
![Page 1: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/1.jpg)
Ho
sted
by:
Fu
nd
ed b
y:Third Sector Research Centre and Centre for Enterprise & Economic Development Research (CEEDR)
Professor Fergus Lyon
Commissioning and social value
PMPA, 28 November 2011
![Page 2: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/2.jpg)
Introduction• Growing interest in commissioning social
outcomes• Innovative approaches and value for money-
benefits for the public sector and service users• Multiple objectives make contributions to a
range of public sector goals– economic, social and environmental
• How to commission for social value and innovation?
![Page 3: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/3.jpg)
Commissioning social value• Social value
– Measure of worth, wellbeing, above and beyond benefit of goods and services
• Commissioning services of social value• From commissioning outputs to commissioning
outcomes• Best Value and beyond CCT• Social clauses• Limited by applying EU directives unnecessarily
![Page 4: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/4.jpg)
• Hill Holt Wood
– Education for excluded from schools
– 14 acres self sustaining woodland using traditional craft
– Council trained staff and helped set curriculum
– Reduces antisocial behaviour and costs
– Diversifying
![Page 5: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/5.jpg)
Social value in the coalition• Payment by results• Right to bid to run local services• Public sector worker cooperative spin outs • Social impact bonds• Big Society Capital• Where will support come from?• The Bills
– Open Public Services, DH,– Public Services (Social Value) Bill
![Page 6: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/6.jpg)
Spin outs• Cultural, technical and
legal changes• Uncertainty under
previous government and current coalition
• What types of innovation
• Claims of a Trojan horse for privatisation?
![Page 7: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/7.jpg)
Social Impact Bonds
• Organisations raise finance from private or charitable investors
• Contracts to deliver public services and investors paid by results
• But how to set payment, when to pay, what indicators, how to avoid cream skimming and can the government borrow more cheaply
![Page 8: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/8.jpg)
Measuring impact
• External pressure from commissioners and funders ( reactive)
• Proactive decision to sustain or grow activity– To win contracts– To break an image– To create a new image– As a sign of change of character of organisation– Provide an evidence base to find new funding– To be professional and businesslike
![Page 9: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/9.jpg)
•Socially inclusive fee structure•Focus on poverty and
disadvantaged areas•Intergenerational programmes•Quality of provision•Training, apprenticeships and
qualification offer•Consideration of environmental
impact (e.g. procurement)
London Early Years Foundation
![Page 10: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/10.jpg)
Challenges for commissioners• Setting outcome indicators that are
measurable• Which method – benefit, monetised or
distance travelled• Allowing the cost of measurement in bids• Balancing setting indicators with innovation• Encouraging the reporting of smart failure• Interpreting ( and trusting) the results from
providers ( in bids or PBR)• Dangers of comparing the uncomparable
![Page 11: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/11.jpg)
Six questions commissioners should ask
1. What indicators?2. What data and sample size?3. Who surveyed?4. How monetised?5. What counterfactual or deadweight
(what would have happened without activity)
6. What reported ( and what left out)
![Page 12: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/12.jpg)
Building capacity in the Third sector
• Building social entrepreneurial cultures and helping start up
• Advisory services – Who - specialist or mainstream?– Which sector - Public sector, third sector,
community groups or private– What type- training, coaching, mentoring, on-line?
• Building confidence- of staff and board members
• Finance
![Page 13: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/13.jpg)
Social investment • Public sector loan funds support TSO
responding to commissioners eg Futurebuilders
• Social impact bonds
• Community shares and bonds
• Demonstrating financial and social returns
• Resistance to loan finance and risk
![Page 14: Commissioning and social value, fergus lyon, pmpa seminar](https://reader036.vdocuments.mx/reader036/viewer/2022062707/55839207d8b42a9e528b4eb2/html5/thumbnails/14.jpg)
Conclusion
• How to commission for social value• Support for charities and social enterprises to
start and grow• Support for commissioners• Interpreting social value reporting