Agenda item

To provide an update on key performance metrics across the partnership

Witnesses:

Nikki Neal - Head of Strategy, Performance and Change

Leigh Whitehouse - Executive Director of Resources (SCC)

Phil Hall - Acting Chief Operating Officer (ESCC)

Key points raised in the discussion:

1.    The Head of Strategy, Performance and Change introduced the report and highlighted that there were amendments to section seven of the report ‘People insight’ which had been circulated with the Committee and is attached as Annex A showing tracked changes.

2.    The Head of Strategy, Performance and Change summarised that:

a)    There were a number of changes to the services within the Orbis Partnership last year, relating to the disaggregation of services and resulting contribution ratios. The two main changes were: the full disaggregation of the Property service from 1 April 2020 reverting to sovereign control in all partner locations; HROD and Finance services reverted to sovereign control (with the exception of some centres of expertise CoE) in SCC but remained integrated across BHCC and ESCC; and the agreement on 30 June 2020 to transfer the Pensions Administration service from Business Operations to ESCC and SCC finance functions to allow greater strategic capacity and alignment.

b)    Regarding each of the services’ three-year savings profile, IT&D and Procurement were on plan to achieve their individual savings targets taking over just £800k, but it was unlikely that the £750k savings target for Business Operations would be met. Plans for improvement had been paused due to Covid-19 and the service was working to close the gap through greater alignment between the three sovereign authorities -discussions were underway at the joint management board.

c)    The ERP replacement projects in SCC: Digital Business & Insights (DB&I) programme and ESCC: Modernising Back Office Systems (MBOS) programme were at different stages. In SCC, Unit 4 had been awarded the contract and would manage critical processes, with a proposed go-live date of 1 December 2021. In ESCC, the main objective was to implement a modern system across the critical processes and was at the final stage of procurement with planned implementation in April 2023.

d)    The Performance and Change team was delivering change programmes such as the Developing Partnering Excellence Programme and staff-based initiatives across the Partnership with over twenty-one unique sessions for staff last year and eighty-five digital events - which had higher attendance and so a ‘virtual first’ approach including e-learning was prioritised, a demonstration of the intranet site Orbis Home was provided which collated resources for staff. 

e)    The spending on agency staff for Orbis overall decreased slightly compared to Q1 2020/21, BHCC and ESCC FTE had remained stable with a reduction in FTE in SCC due to the transfer in June of Pensions Administration staff from Business Operations into the Finance service.

3. A Joint Committee member queried the disaggregation of services which contradicted the founding principle of the Orbis Partnership of integration across the sovereign authorities.

a)    In response, the Executive Director of Resources (SCC) noted that over the last few years there had been a refinement of shared services across the Partnership which was consistent with the original aims of the Partnership, as integration was a benefit for some areas but a complication to other areas. He explained that he would provide the Joint Committee with a restatement of the Partnership position across the services and sovereign authorities.

b)    Responding to the Joint Committee member further, that restatement would also include the business plan approach noting areas the Partnership was strongest at.

4. A Joint Committee Member queried what the differences were between the two different ERP applications in ESCC and SCC; and why ESCC and SCC were not doingjoint procurement as they share the same services and IT system.

a)    In response, the Acting Chief Operating Officer (ESCC) noted that the system in ESCC had not yet been chosen as three suppliers were being evaluated one of which the same chosen by SCC.

b)    In response, the Executive Director of Resources (SCC) explained that several years ago there was an exercise which looked at joint procurement across the Partnership, but due to the complexity of the task it was abandoned. SCC chose to go independently on its procurement due to the complexity and it was the only option within the timescale as SCC’s existing system was at the end of its life.

5.      The Joint Committee memberfurther queried if the two different ERP systems was another example of the disaggregation of services within the Partnership; querying how back office functions would be modernised with two different computer systems. 

a)    In response, the Executive Director of Resources (SCC) noted that there were shared teams working with the two systems, although that was not as far a step forward should a single system have been chosen. He noted that once ESCC’s procurement phase was concluded, there would be a review of the extent to which the processes could be aligned.

b)    The Chairman responded that as part of the recommendations the Joint Committee had an opportunity to decide on which service should be the subject of the next spotlight performance review, proposing that it should be Procurement based on the discussions.

6.    A Joint Committee member noted confusion between integration and disaggregation within the Partnership, noting the possible long-term benefits of sharing the same systems across the sovereign authorities.

a)    In response, the Acting Chief Operating Officer (ESCC), recognised the benefits of standardising processes where possible and that ESCC would consider that as part of the implementation process.

b)    The Chairman questioned that as SCC were moving forward with its implementation phase, whether there would be an opportunity to have joint conversations with ESCC on procurement.

c)    In response, the Executive Director of Resources (SCC) confirmed that the programme manager at SCC for the DB&I programme shared updates regularly with the MBOS programme lead at ESCC and that teams working on SCC’s ERP programme would in turn work on ESCC’s ERP programme, so there were opportunities to align.

7.    The Chairman queried why agency spend remained high on Management.

a)    In response, a Joint Committee Member assumed that it was due to the separate IT systems and external consultants needed to scope the various programmes.

b)    The Executive Director of Resources (SCC) clarified that agency spend was high as there were several projects and pieces of work across the Management service that required that short-term resource.

8.    The Chairman queried whether the unfunded Data Protection Officer within IT&D was a single officer across the three sovereign authorities.

a)    In response, the Acting Chief Operating Officer (ESCC) clarified that the post for a single unfunded DPO was in place across the three sovereign authorities.

RESOLVED:

That the Joint Committee:

1. Noted the information presented as a reflection of 2020;

2. Noted the Orbis service performance information presented;

3.   Agreed that the Procurement service should be the subject of the next service spotlight performance review.

Actions/further information to be provided:

1.    The Executive Director of Resources (SCC) will provide the Joint Committee with a restatement of the Partnership position across the services and sovereign authorities; including the business plan approach noting areas the Partnership was strongest at.

2.    The Head of Strategy, Performance and Change will provide Joint Committee members with an in-depth look at Orbis Home should they request it.