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WHITEPAPER Data and Digital Demands in Social Housing The Priorities and Possibilities for Local Authorities and Housing Associations to Use Technology and Data to Manage, Maintain and Promote Social Housing Stock A UKAuthority Research Paper Prepared for PowerObjects

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Page 1: WHITEPAPER - PowerObjects · WHITEPAPER Data and Digital Demands in Social Housing The Priorities and Possibilities for Local ... emphasising the need for accurate, up-to-date data

W H I T E P A P E R

Data and Digital Demands in Social Housing

The Priorities and Possibilities for Local

Authorities and Housing Associations to Use

Technology and Data to Manage, Maintain and

Promote Social Housing Stock

A UKAuthority Research Paper Prepared for PowerObjects

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Data and Digital Demands in Social Housing:

The Priorities and Possibilities for Local

Authorities and Housing Associations to Use

Technology and Data to Manage, Maintain

and Promote Social Housing Stock

A Time of Opportunity

The demand for operational efficiencies and better strategic planning is as strong among social housing providers as

in any part of the public sector. This extends beyond the traditional demands of high quality back office operations

and customer contact to take in the possibilities of using the internet of things in predictive maintenance; of working

and collaborating with social care and other agencies to prevent people from becoming homeless or help keep

people living independently at home for longer; and of equipping themselves with an agile foundation from which to

deal with shifts in policy and demand.

This reflects the rising focus on social housing in the UK today. Central government and politicians have rediscovered

an appreciation of the value of the sector - as seen in the recent decision to change the relevant department’s name

to the Ministry of Housing, Communities and Local Government. And the government’s new Housing Plan1, published

in December 2017, acknowledges that the market is broken and that part of the remedy is in getting local authorities

and housing associations to build more homes.

But how ready is the social housing sector to rise to the challenge? Our research finds that many housing authorities

are still working with data in the legacy siloes that evolved from ad hoc investments in IT over the years, and need to

develop a more streamlined approach to achieve seamless working across allocations, asset management, customer

contact, repairs and workforce management systems. They also need to obtain and curate the data, from their

own and other sources, to anticipate changing demands, support public health policies and plan for their future

investments.

All this needs a hard look at the fitness for purpose of current data and digital systems. So, what are the strategic

priorities among housing professionals today? And how does this relate to their needs for technology and data

management? UKAuthority and PowerObjects – An HCL Technologies Company, asked a cross section of officials

from housing association and local authorities about their needs, problems and priorities for the use of digital

technology and data in the short and long term.

The aim was to understand how they see the situation today, and to encourage further debate on the steps needed

to make data and digital more effective resources for their organisations. There was a consensus that these are

important ingredients in their future success of operations and that improvements are needed; but some significant

divergence on where the priorities and opportunities ahead lay.

Data Sharing and GDPR

One of the major issues to emerge was that there has to be a step change in data sharing – both within the

organisation and with other local public services, such as the NHS, police, fire and local government – to support

operational delivery and strategic planning. This reflects the more holistic outlook that is emerging in public services,

with organisations wanting to better manage the way their services interact with those of other agencies to deliver

better outcomes for people.

There was a consensus that organisations have to work on more effective data sharing. “I believe that more data

sharing would increase knowledge and help with targeting projects and initiatives,” was one of the comments.

But most face significant barriers, especially in the need to comply with the General Data Protection Regulation

(GDPR), due to come into force in May 2018.

“I believe that more data sharing would increase knowledge and help with targeting projects

and initiatives.”

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It creates new obligations for all organisations in how they handle people’s personal data, notably in giving

individuals the right to have access to the data held on them, to have it rectified or erased, and to prevent it being

used in automated decision-making and profiling. The basic principles are straightforward, but there are some grey

areas around implementation, especially in the perceived tensions with the Digital Economy Act that includes a

predisposition towards data sharing for public services. They will also require IT systems that are capable of quickly

recovering the data, making it available in a publicly readable format and, if necessary, deleting it.

Organisations are still trying to understand how they should handle the details around GDPR, and while useful

guidance is emerging from the Information Commissioner’s Office, officials are still finding questions that do not yet

have definitive answers.

This is going to create challenges in all public services, not least housing, for which the processing of personal details

about individuals is often crucial in deciding whether they qualify for allocations, what type of accommodation is

deemed to be appropriate, and how to respond with any problems in their tenancies.

Housing authorities are still assessing how they will be able to balance this with full compliance with the GDPR, but

most are relatively confident. When asked if they feel their organisation is well prepared for GDPR, half said ‘yes’ and

the other half said that although they are not ready today they were ‘working on it’.

Views differed on the biggest issue in implementing GDPR. Staff are seen as important, with the need to make

employees aware of the demands of the regulation and their individual responsibilities, and to establish who has

ownership of different types of data across the organisation. One official spoke of problems in “understanding the

split of ownership across the association and parts that are IT, business and for all the staff.”

One official spoke of problems in “understanding the split of ownership across the association and parts that are IT,

business and for all the staff”.

In addition, housing organisations must be in a position post 25 May 2018 to be able to answer and log Subject

Access Requests, collating all disparate data about the individual from across the organisation and providing it to

them - within one month of the request, and at no charge to the individual.

This puts the emphasis on resolving whether the prime responsibility for compliance lies with particular business

teams or the IT department and highlights the importance of breaking down data silos.

Other factors are the uncertainties over what may or may not be permissible in sharing data with third parties and

contractors, and ensuring that the legacy IT systems and processes provide sufficient control over the data to ensure

compliance.

Overall, discussions reflected a broad trend of officials understanding the basic requirements of GDPR but running

into grey areas and uncertainties in its implementation.

Data Barriers

Other barriers to effective data sharing within and without the organisation exist in the form of problems with the

interoperability of IT systems and a cultural resistance to data sharing in some organisations.

This latter barrier was particularly problematic in terms of any open data publication. While this would not extend to

personal data, there is plenty of information that could be placed into the public realm to increase the understanding

of housing issues in specific parts of the country, supporting efforts to target projects and initiatives effectively.

Some data would also have the potential to support app developers in providing new services for the public and

professionals in the field.

Efforts to make this possible have run into obstacles, caused by the limitations of IT systems, fears around data

protection, finding the right person in an organisation to provide approval, and an unwillingness to do so. It seems the

sector is still some way off the attitudes towards open data that has provided fuel for innovations in some parts of

the public sector.

All this contributes to the fact that most officials see limitations in their current data sharing arrangements: only a

third regarded them as being good, with the reminder describing the situation as “varying.” It needs a focused effort

to navigate the intricacies of GDPR and deal with the other issues to produce a marked improvement in the picture.

Systems and Data Quality

It is an old failing, and one that lingers in many parts of the public and private sector, that an investment in high

quality IT systems is often let down by insufficient attention to the quality of data that goes into them. A series of

questions about the quality of both, emphasising the need for accurate, up-to-date data that provides a single view

of the customer, led to the impression that the social housing sector suffers from the shortcoming.

Overall, almost two-thirds of the officials were confident that they had effective systems in place; but little more than

a third were satisfied with the quality and ease of access to their data. However, it is not a consistent picture for every

type of data, as when asked to comment on specific types different views emerged.

The sharpest contrast emerged for customer service, with almost all being positive about their systems but only one

in seven about the quality of data.

In other areas, notably financial and housing allocation data, about two-thirds were positive about the systems

but only little over a third were positive on the quality of data. There were similar proportions for land and asset

management, HR, service charges and repairs and maintenance.

A more even picture emerged for rent collections and arrears, with half expressing positive views on their systems

and data quality.

But it has to acknowledged that for some categories – land and asset management, HR and service charges – most

participants declined to comment. They may not have registered a negative opinion but this can hardly be a positive

sign.

Also, almost all ventured no opinion on their data for housing sales; there were a couple of expressions of confidence

in the systems but even these were accompanied by negatives on data quality.

It suggests the sector has shared in a common failing: an ad hoc approach to investments in IT systems and a failure

to take the data out of traditional siloes and ensure that data is up to scratch. It is a good sign that officials were

generally aware of the shortcomings, but suggests there has been a lack of urgency in their organisations about

working for improvements.

This has unwelcome consequences, with only a quarter saying they had sufficient control of their data and systems

to respond in an agile manner to shifts in public policy on housing. At least the others responding to the issue said

their organisations were working on it, but the question for which it is hard to establish an answer is what degree of

priority is it given.

Similarly, just under half said that their organisations were making use of data and business intelligence systems in

strategic and operational planning; the majority of the rest reported that plans were in place, with just one person

reporting that they did not consider this necessary.

In addition, most of the officials said their organisations were set for a significant investment in data management

systems, with some indicating there could be an iterative approach. Overall this suggests strong recognition that

improvements have to be made and a willingness to do something about it.

Priorities and New Technologies

When the subject of priorities for digital and data solutions came up, some of the participants focused on specific

technologies, some on internal operations, some on customer service; but no overwhelming aspiration emerged. It

suggested that housing authorities are taking different perspectives on what they need and are shaping their plans

accordingly.

Among the priorities raised around customer contact were to develop a single customer view, encourage online self-

service, upgrade the customer portal and improve access. Those around internal operations included a shift to cloud

services, modernising back office systems, a rationalisation of IT systems, movement towards a paperless office, and

support for mobile and flexible working.

Others focused specifically on data issues: supporting data sharing, compliance with GDPR, the creation of data

governance frameworks and ensuring its appropriate use. And a couple of participants pointed towards stepping up

the use of analytics and business intelligence to support operations and planning.

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“These are still emerging technologies and may need to be more mature and cost-effective

before they can become viable for us as a business.”

Most striking was the fact that, despite increasing talk around the public sector about the potential for internet-

connected devices and sensors, there was only limited interest in harnessing the internet of things (IoT) for social

housing. This may reflect the fact that evangelists of the technology have not yet made a big deal of its potential in

the sector, although there is at least one local authority in Scotland using it for predictive maintenance.

When questioned about the potential for the IoT to support different features of their operations, most of the officials

taking part saw no strong need to use the data from associated devices and were not making plans. For some

categories – energy management, security, parking and telehealth – a handful responded that they were taking steps

or planning to do so. But for others – predictive management, waste management and recycling, environmental

management – nobody was doing anything, and only one or two were even in the planning stage.

However, a couple of comments indicated that officials are open minded about the potential – just that other

priorities take precedence. One said that while there was no plan for such efforts inside the organisation, there was a

need and that they hoped it would be something for the future.

Another commented that, “Internet connected devices may have to wait until after GDPR as these could be covered

in the new regulation.”

It appears that the IoT is currently on the back burner for most housing authorities, although as its promise becomes

more apparent in other areas this could quickly change.

There has also been a wave of speculation on the potential for cutting edge technologies in robotic process

automation, machine learning and artificial intelligence in public services. It was no surprise, however that, so far, their

application in housing has been minimal: only one of the participants said that their organisation had begun to use

data for machine learning, and nobody identified any of these technologies already in use.

“Internet connected devices may have to wait until after GDPR as these could be covered in the new regulation.”

Some organisations have been making plans: a third said they are under way for the use of chatbots and intelligent

voice interfaces such as Amazon Alexa or Microsoft Cortana, and a quarter for machine learning and artificial

intelligence.

But the numbers saying they did not see any use were decisively higher for every category – generally accounting for

about three-quarters of the total – and for robots and robotic process automation it was not in the thinking of any of

the participants’ organisations.

“I haven’t seen any of these technologies demonstrated in a social housing environment yet.”

Comments suggested a general feeling that it is still too early to take any steps:

“These are still emerging technologies and may need to be more mature and cost-effective before they can become

viable for us as a business.”

“I haven’t seen any of these technologies demonstrated in a social housing environment yet.”

It was notable that better established options were identified as the most likely to make a difference to social

housing: cloud, customer relationship management systems, web services, APIs, data warehousing and data analytics.

Housing organisations find it easier to relate these to their priorities and can think more clearly about how they could

be used.

But there was a sprinkling of references to chatbots, the internet of things and big data, suggesting that some are

ready to look forward and see the scope to do a lot more with the tech that is still in the province of pioneers.

As a caveat, one comment threw the emphasis on the IT industry’s contribution, suggesting it has paid little attention

to the housing market so far with, “The social housing software market is poor and needs more competition, lower

costs and much better software.”

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The Potential

This cautious attitude is understandable, but risks depriving housing authorities of the means to deal with some of

their long-term challenges.

IoT technology can provide benefits in the form of better services, with landlords able to identify problems such as

damp, poor insulation and the need for maintenance, and help them to protect their assets. It can also be used to

maintain the surrounding environment of a housing estate, and help tenants in reducing their utility bills.

Its use in telecare can also contribute to the work of health and social care organisations in supporting people in their

homes. While this is not a direct responsibility of housing authorities, they often become involved when elderly and

vulnerable residents have problems, and it will lighten the load if these people are better supported.

The related technologies of robotics and artificial intelligence (AI) can make a big difference in the future. Robotic

process automation is already breaking into various back office and customer contact operations in the public sector,

and can provide a range of possibilities to support self-service and manage customer-facing processes for housing

authorities.

There has been speculation about the use of AI housing assistants, operating as chatbots, to support customers.

They could provide guidance in their interactions with an authority, with options around payments, repairs, terms of

tenancies and basic legal issues. This could help authorities redirect staff towards dealing with more complex issues

and provide significant savings.

All this is largely unexplored territory for the social housing sector, but it has the potential to relieve many of the

pressures and contribute to a more efficient and effective service.

“The social housing software market is poor and needs more competition, lower costs and

much better software.”

Conclusion

A strong impression to emerge from this research is that many of the demands on data in social housing are focused

on dealing with day-to-day operations and the more immediate pressures of finding accommodation for families in

need.

The investment to date has been concentrated largely on the back office and customer systems that are found in

any authorities, along with applications specific to the sector such as allocations, repairs and maintenance. It fits

comfortably within the established IT estates of local authorities.

There is also a sense that its data could be better, both as a business intelligence asset and to support collaboration with other local authority teams and the wider public sector. Progress on this could have been restrained by the tendency for housing to be run, not exactly in a bubble, but with limited efforts to coordinate with other services.

This situation cannot continue indefinitely: the pressures on social housing are part of a broader picture in which public authorities have to take a holistic view of citizen and place in order to deal with future challenges.

Organisations have to identify how the pressures on one area of public service influences others and be ready to collaborate more intensely. This will demand that they maintain high quality data and establish robust data sharing mechanisms that pay the appropriate attention to data protection and privacy.

There are opportunities. Established technologies are making it possible to improve back office and internal operations, and to increase customer self-service through online channels, all of which can produce substantial

efficiencies.

Emerging technologies – notably the IoT and artificial intelligence – can provide more detailed and sophisticated

flows of data that can be harnessed to raise operations and planning to new levels. They have to be adopted with the

right governance systems, to protect the integrity of customers’ personal data and to stay on the right side of the

GDPR. But with this in place they can support a stronger integration of housing with other services, help to predict

and alleviate problems in advance, and lay the ground for long term improvements in the provision and management

of housing. They can make a big part in the sector’s contribution to the public good.

Housing agencies will also have to strike the right balance in complying with GDPR while exploring the new

technologies: these promise to provide new solutions for currently intractable problems, help to ease the financial

pressures and raise the overall level of service delivery. These may not be high on the agenda at the moment, but as

they mature there a sense of urgency will arise around their deployment.

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The overall picture is that housing bodies are generally getting by with their existing systems and processes for data

management, but need to do more to respond to future challenges and opportunities. They need to examine their

systems closely and identify weaknesses in the quality of their data. This should be a step towards looking at what

data could improve their operations and which new technologies could support the effort.

It is encouraging that a majority of housing professionals taking part said that their organisations are preparing a

significant investment in data and digital technologies. The issue now is that they look beyond the familiar systems in

the field to support routine operations and be ready to grasp the emerging and exciting opportunities on offer from

innovative suppliers.

Participants in this Research Project

Where They Came From

Adur and Worthing Councils, Brighton & Hove City Council, Cambridge City Council Housing, Castles &

Coasts Housing Association, Colchester Borough Council, Derbyshire Dales District Council, Gloucester City

Homes, Golden Lane Housing, Keniston Housing Association, Knightstone Housing (2), London Borough of

Redbridge, Moat Homes, North Kesteven District Council, OCSI, Peaks and Plains Housing Trust, Redbridge

Council, Radcliffe Housing Society, Unwilling to say (2), Westminster City Council, Wycombe District Council

What They Do

Business Systems Manager, Consultant, Customer Director, Data analyst (2), Data Manager (2), Director for

Digital and Resources, Director of Corporate Finance & Risk, Finance Director, Head of Housing, Head of ICT

Schools & Business Solutions, Head of IT, Home-Options Co-ordinator, Housing Policy & Performance Officer,

Housing Service Manager, Housing Strategy Coordinator, Housing Systems Manager, Managing Director,

Service Transformation Manager - Housing Prevention Team, Strategic ICT and Communications Manager,

About This Research Paper

Online questionnaire and interviews for this this project were undertaken early in 2018 by UKAuthority

across a cross section of housing organisations and job functions. This qualitative data was analysed within

the perspective of the use of technology by the public sector for the public good and current news and

policy agenda at this time.

© 2018 UKAuthority. All rights reserved. This document is provided “as-is.” Information and views expressed in this document, including

URL and other internet web site references, may change without notice.

PowerObjects, an HCL Technologies Company, is a leader in delivering Microsoft Dynamics 365 solutions through

unparalleled offerings of service, support, education and add-ons. Winner of the 2017 Microsoft Worldwide Partner

of the Year Award for Dynamics 365 Consulting and Systems Integration, PowerObjects has built an unmatched

team of Dynamics 365 experts that help organizations increase productivity, streamline business processes, and build

better relationships.

About PowerObjects