Are You Ready For Business? DPULO Toolkit

Are You Ready for Business?
Fusion 2009
Fusion Contact Details

c/o Living Options Devon Isca House Haven Road Exeter EX2 8DS Tel: 01392 459222 SMS: 07958 517919 info@livingoptions.org
Authors:
Debbie Stafford, Dr Emma Treby
Acknowledgements:
Kelly Mavro, Sylvia Llecha
Contents
1 PURPOSE.....................................................................................10 2 PROJECT BRIEF.............................................................................11 2.1 AIMS....................................................................................11 2.3 LINKS TO COMMISSIONING STRATEGY AND OPERATING PLAN.......................12 2.8 STAKEHOLDERS.........................................................................12 2.9 EQUALITY/HEALTH IMPACT ASSESSMENT (EIA).......................................13 2.10 LINKS TO OTHER PROGRAMME OR PROJECTS.......................................13 2.11 DEPENDENCIES AND ASSUMPTIONS..................................................13 3 BUSINESS CASE.............................................................................13 3.1 REASONS..............................................................................13 3.2 OPTIONS..................................................................................13 4 PROJECT MANAGEMENT TEAM STRUCTURE................................................15 4.1 PROJECT BOARD.........................................................................15 4.2 PROJECT ASSURANCE.....................................................................15 4.3 PROJECT MANAGEMENT..................................................................15 4.4 TEAM LEADERS/TEAM MEMBERS........................................................15 4.5 PROJECT MANAGEMENT STRUCTURE.....................................................16 5 PRODUCT APPROACH........................................................................16 6 MANAGEMENT OF RISK.....................................................................17 6.1 RISK LOG................................................................................17 6.2 RISK MANAGEMENT......................................................................17 7 PROJECT PLAN..............................................................................18 Evidence Accountable Officer Design Criteria 19 19 19
8.2 QUALITY CONTROL ARRANGEMENTS.....................................................20 9 CONTROLS...................................................................................20 9.1 REPORTING ARRANGEMENTS.............................................................20 9.2 MONITORING PROGRESS.................................................................21 9.3 CHANGE CONTROL APPROACH...........................................................21 10 STAKEHOLDER ANALYSIS AND COMMUNICATION PLAN...................................22 10.1 COMMUNICATION PLAN.................................................................22 11 DOCUMENT MANAGEMENT ARRANGEMENTS...............................................22 11.1 STORAGE OF HARDCOPY DOCUMENTS.................................................22
11.2 STORAGE OF ELECTRONIC DOCUMENTS ................................................22 11.3 STORAGE OF DELIVERABLES............................................................23 11.4 APPROACH TO DELIVERABLE VERSION CONTROL......................................23 Equal Opportunity Diversity Externally initiated Internally initiated Legally driven Business needs driven Quantitative focus Qualitative focus Problem focused Opportunity focused Assumes assimilation Assumes pluralism Reactive Proactive Race, gender & disability All differences 79 79 79 79 79 79 79 79 79 79 79 79 79 79 79 79
Introduction
Fusion is delighted to present the Are you ready for Business? pack which is intended to provide a reference and audit guide for smaller/fledgling User Led Organisations. The purpose of the pack is to enable ULOs to assess current business capacity and skills, provide an example of governance and organisational structures and enable identification of strengths, weaknesses and areas for development. The pack has been produced by the Fusion User Led Organisation based on its own experiences. ULOs are critical to independent living - to enable disabled people and carers to have choice and control over the support they need to go about their daily lives. They are one of the key elements of the cross-government Independent Living Strategy. Putting People First also recognises that local organisations run and controlled by disabled people are vital to providing information, advice, peer support and advocacy to other disabled people. In the current climate of Choice and Control, Independent Living and Personalisation, now has never been a better time for voluntary and community sector organisations to refine their services, skill-up and be better prepared to bid for services in what is hoped to be a more stimulated market for service delivery. This pack does not promise any instant recipe for success, nor does it hope to suggest a one size fits all solution. However, it is hoped that it will provide a wide range of tips and examples and signposting to further information. Use of the Business Toolkit will, in addition, enable you to audit where you are at and what more you need to do!; highlighting areas for improvement and implementation. ULOs are in a strong position to promote their value, knowledge and the benefits that they offer to their constituents. Business and organisational
management skills, in addition to core values and ethos provide the foundation to building an established and sustainable User Led Organisation.
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Outline of Pack Project Initiation Document (PID) A template which can be used to capture and record basic information needed to correctly direct and manage a Project. A PID addresses the following fundamental aspects of a project: What is the reason (why) for doing the project What the project is aiming to achieve Why it is important to achieve the stated aims (benefits) Who will be involved in managing the project and what are their roles and responsibilities Project timetable Partnership Agreement A template document provided as an example to use in the case of working with partner organisations or as a consortium. Business Toolkit An audit checklist and information resource. The main part of the toolkit is to be used in conjunction with the checklist in appendix 2 of the section in order to provide a guide to setting up necessary policies and procedures. Tender Section This section provides a short guide to tendering in the hope that it will provide a step-by-step process to smaller ULOs who are perhaps looking to expand the repertoire of services they offer but are inexperienced in formal tendering. Appendices Partnership Agreement example a time-limited partnership agreement drawn up specifically for the Fusion Consortium for the purpose of the Department of Health, Wave 1, Action and Learning Site project. Governance and Organisational structure diagrams examples. Prince II project board a definition of roles and responsibilities.
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Project Initiation Document (PID) Template

Department Project Name Project Reference Number Project File Reference Senior Responsible Owner Project Manager Current Version Number Date
This template is based on Prince II methodology which is owned by the Office of Government Commerce. The template has been adapted from a document received during an accredited training programme in 2007, delivered by Raj Khanna Associates Ltd.
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Version History Date Revision Summary of Changes
Approval Name Role in Project Signature Date
Distribution List This document has been distributed to the following: Name Title Date of Issue Version
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Purpose
This Project Initiation Document (PID) has been produced to capture and record the basic information needed to correctly direct and manage the Project. The PID addresses the following fundamental aspects of the project: What is the reason (why) for doing the project What the project is aiming to achieve Why it is important to achieve the stated aims (benefits) Who will be involved in managing the project and what are their roles and responsibilities Project timetable. The PID will provide the Baseline for the project. It will be referred to whenever a major decision is taken about the project and used at the conclusion of the project to measure whether the project was managed successfully and delivered an acceptable output for the user. 1.1 Key Definitions
Project A project is a temporary organisation set up to create one or more products according to a specified Business Case. This is unique and not business as usual. Products/Deliverables These are what the project is attempting to create. At the end of each project there will be a number of tangible outputs. These can be referred to as products or deliverables. For example: A new service or a new strategy/policy document. Benefits Benefits are defined in measurable terms by the improvement to a service as a result of undertaking a project. Benefits are generally achieved sometime after the project has finished.
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For example: Members of the Consortium will be in a better position to tender for Self Directed Support provision.
Outcomes Outcomes are defined as intangible improvements to a service. For example: Constituents will feel more engaged and involved. 2 2.1 Project Brief Aims
2.2
Background
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2.3
Links to Commissioning Strategy and Operating Plan
2.4
Scope of the Project
2.5 Exclusions
2.6 Constraints
2.7 Outline Deliverables
2.8
Stakeholders Stakeholder
How affected?
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2.9
Equality/Health Impact Assessment (EIA)
2.10 Links to Other Programme or Projects Linked Programme/Projects How Linked? 2.11 Dependencies and Assumptions
2.12
Tolerances for the Project
2.13
Corporate Reporting Arrangements
2.14
Operational Arrangements
3 3.1
Business Case Reasons
3.2
Options 3.2.1 Options Option Benefits & Disadvantages
Costs
Timescale
Risks
3.2.2 Recommended Option
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3.2.3
Reasons for Selecting the Recommended Option
3.3
Expected Benefits
3.4
Key Risks
3.5 Expected Timescales
3.6 Expected Costs and Funding Arrangements Project Costs Operational Costs Funding Arrangements 3.7 Benefit Realisation
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4 4.1
Project Management Team Structure Project Board
The Project Board has the responsibility and authority to provide overall direction and management of the project making sure that the project remains within any specified constraints. Its primary concern must be to ensure that all the resources staff, time and finance are available to allow the project to happen. Name Role Job Tile and Contact Details Representing
4.2
Project Assurance Role Job Tile and Contact Details Appointed By
Name of Group
4.3
Project Management Role Job Tile and Contact Details Representing
Name
4.4
Team Leaders/Team Members Role (Team Job Tile and Contact Manager or Details Team Member) Responsible for
Name
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4.5 Project Management Structure Project Board Project Sponsor Senior Users Senior Responsible Owner Senior Supplier
User Assurance
Business Assurance
Supplier Assurance
Project Manager Project Coordinator
Product approach Off the shelf or designed from scratch Source Internal Go live approach or External
Product Objective 1 Objective 2 Objective 3 Objective 4
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6 6.1
Management of Risk Risk Log Risk Risk Contingency owner Status
Risk number 1 2 3 4 5 6
6.2 Risk Management The project manager has overall responsibility for managing the process, but the whole Project Team has responsibility for contributing to it, as described below: The Senior Responsible Owner (SRO) responsibilities include checking that the risks are being monitored effectively. The Project Board responsibilities include: Reviewing and approving actions to be taken to control risks Identifying additional risks Informing project manager of external risks that might affect the project Making decisions on level of risks and deciding whether they are acceptable or not. The Project Managers responsibilities include: Updating risk log Reporting the status of risks to the Project Board.
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Project Plan
7.1 Identification of Workpackages & Deliverables Expected Start Workpackage 1 Workpackage 2 Workpackage 3 Workpackage 4 An example of a workpackage structure is given below:Expected End Responsibility
Are
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Workpackage 1: Example Action and Learning Site (ALS) Objective 1 Outcomes/ Outputs Evidence Accountable Officer Design Criteria
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Actions to achieve this objective
Milestones/ Success Criteria
Timefra me
Project Quality Plan
8.1 Quality Responsibilities Name Role Quality Responsibilities
8.2 Quality Control Arrangements Area Quality Method Group or Check or individual Review responsible for Quality Control Contact Details
1 2 3 9 9.1 Controls Reporting Arrangements
SRO/Project Board and Project Manager should seek to avoid large meetings involving all teams. To allow the members of the Project Board to manage by exception (i.e. meet when a decision needs to be made), the Project Manager will produce regular Highlight Reports summarising the work of the teams for them during each stage. The frequency and contents of the reports will be confirmed by the Project Board when authorising the respective stage.
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Project Manager will review the Communications Plan (See section 10.1) to see if there are any additional progress reports required for other stakeholders.
9.2
Monitoring Progress
Project Manager will: Manage the Issue Log these will include requests for change and off-specifications. If the issues can be resolved within the Project Managers tolerance, then they can take corrective actions. If not then these should be escalated to the Project Board. Manage the Risk Log as the project progresses, the risks facing the project will change and they should be reviewed on a regular basis. If a risk materialises then it should be treated as issue. Manage the Lessons Learned Log. Review the Quality. 9.3 Change Control Approach
Regardless of how well the project has been planned, there are a number of issues that may arise. These include: Request for Change (where a request is made for something not originally specified these may come from users or suppliers) Off-specification (failed quality requirement) Query or concern The originator must be sent a Change Request Form to ensure their needs are understood completely. When a Change Request Form is received, the Project Manager must assess the impact of the change proposed in terms of time,
costs, risks, benefits, resources, product quality and the interaction with other products or work streams of the project. The Project Manager, in consultation with the originator of the request, should also consider the options for making the change. If possible, these should be weighed in a cost/benefit analysis so that a positive recommendation can be made to the appropriate decision making level. It is important for the purposes of project control and audit that a record of the decision made and by whom is retained. 10 Stakeholder Analysis and Communication Plan
10.1 Communication Plan Communication is crucial to the success of the project and effectiveness will be regularly reviewed by the project team: Audience Internal or External Medium Frequency Person Response to send the information Any feedback expected
Project Board Project Team Public Stakeholders
11
Document Management Arrangements
11.1 Storage of Hardcopy Documents Hard copy documents including the signed PID, must be stored in a secure location. The location must be listed where any hardcopy documentations are stored. 11.2 Storage of Electronic Documents List on which drive and pathway.
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11.3 Storage of Deliverables The project deliverables will be stored with all other hardcopy documents and electronically as listed above. 11.4 Approach to Deliverable Version Control All documents produced in the project will be version controlled. Each document will have their respective version number as part of the footer. During draft production, documents will be numbered Draft 1.0, Draft 2.0 etc. Once the document has been approved, it will be versioned 1.0. This document will then be baselined. Any grammatical changes will increment the version numbers by 0.1 and any major ones will be incremented by 1.0. 12 Glossary of terms
Project Brief A description of what the project is to do: a refined and extended version of the project Mandate, which the Project Board approves and which is input to project initiation. Business case The business case is used to say why the forecast effort and time will be worth the expenditure. Its purpose is to document the justification for the undertaking of a project based on the estimated cost of development and implementation against the risks and the anticipated business benefits and savings to be gained. The total business change must be considered, which may be much wider than just the development cost. Project Management Structure Project Board The Project Board consists of three roles - The Executive or Senior Responsible Owner who is ultimately accountable for the project, supported by the Senior User and Senior Supplier.
- The Senior User is accountable for any products supplied by the user(s), such as making sure that requirements have been clearly and completely defined and that what is produced is fit for its purpose, as well as monitoring that the solution will meet user needs. - The Senior Supplier needs to achieve the results required by the Senior User. The Senior Supplier is accountable for the quality of all products delivered by the supplier(s). The Project Manager Is given the authority to run the project on a day to day basis on behalf of the Project Board within the constraints laid down by the Board. The Project Managers prime responsibility is to ensure that the project produces the required products, to the required standards of quality and within the specified constraints of time and cost. The Project Manager is also responsible for the project delivering an outcome that is capable of achieving the benefits defined in the project initiation document. Project Assurance There is a need in the project organisation for monitoring all aspects of the projects performance and products independently of the Project Manager. This is the role of Project Assurance. Each member of the Project Board is responsible for appointing one or more persons in the Project Assurance role aligned with their area of concern- business, user or supplier. Management of risk Risk Can be defined as uncertainty of outcome, whether positive opportunity or negative threat. Every project has risks associated with it. Project management has the task of identifying risks that apply and taking appropriate steps to take advantage of opportunities that may arise and avoid, reduce or react to threat. Risk Log Contains all information about the risks, their analysis, countermeasures and status. Also known as risks registers.
Project Plan Work packages The set of information relevant to the creation of one or more products. It contains the Product Description(s), details of any constraints on production such as time, cost and interfaces. It also includes confirmation of the agreement between the Project Manager and the person or Team Manager who is to implement the Work Package that the work can be done within the constraints. Work is released to a Team Manager or member in an authorised Work Package. Deliverable An item that the project has to create as part of the requirements. It may be part of the final outcome or an intermediate element on which one or more subsequent deliverables are dependent. According to the type of project, another name for a deliverable is product. Quality The totality of features and characteristics of a product or service that bear on its ability to satisfy stated needs. Also defined as fitness for purpose or conforms to requirements. Communication plan Part of the Project Initiation Document describing how the projects stakeholders and interested parties will be kept informed during the project. Reference: Great Britain. Office of Government Commerce (2005) Managing successful Projects with Prince 2. London: The Stationery Office.
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Partnership Agreement Template
DATE
Enter date
(1) (2) (3)
[Parties involved] [Parties involved] [Parties involved]
______________________________ Consortium Agreement Relating to ______________________________
THIS AGREEMENT is dated PARTIES

(1)
Enter date
(2)
(3)
[FULL COMPANY/ORGANISATION NAME] [incorporated and registered in England and Wales with company number [NUMBER] whose registered office is at [REGISTERED OFFICE ADDRESS]]/ [of [ADDRESS] [FULL COMPANY/ORGANISATION NAME] [incorporated and registered in England and Wales with company number [NUMBER] whose registered office is at [REGISTERED OFFICE ADDRESS]]/ [of [ADDRESS] and [FULL COMPANY/ORGANISATION NAME] [incorporated and registered in England and Wales with company number [NUMBER] whose registered office is at [REGISTERED OFFICE ADDRESS]]/ [of [ADDRESS]
Background In 2005 the government produced the Improving the life chances of disabled people report. This report outlined how the government intends to improve the quality of life for disabled people; giving them more choice and control so they can be included as equal members of society. As part of this report, the government has stated that by 2010 each locality should have a User Led Organisation (ULO). A ULO is one which involves disabled people and carers in all aspects of its day to day services and functions. ULOs work in partnership with local councils and Primary Care Trusts (PCTs) in order to improve or change services that disabled people use. [Contents to be provided as to why and how the consortium exists]
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Agreed Terms 1 1.1 Interpretation The definitions set out in this sub-clause shall govern this agreement: ['Commencement Date' [ ].]
'Default' any failure on the part of a party to carry out their obligations under this agreement, including but not limited to, the default events detailed in the agreement and Project Plan(s). 'Default Notice' a notice which any party issues to the other which sets out the nature of the Default and the time scale in which it must be put right. Any such time scale must be reasonable in all the circumstances. 'Persistent Default' where either party has committed more than two Defaults during any period of six consecutive months, whether these are the same Defaults or different Defaults. 'Project Plan' the document agreed between the parties and contained in the schedules, detailing the day to day administration of the Services and the roles and responsibilities of each of the parties. 'Regulatory Bodies' organisations that have a statutory responsibility for regulating the Services. 'Serious Default' a Default which materially prejudices the health, safety or welfare of a carer/cared for person(s), staff of the parties or any other agents engaged by the parties.
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'Service' a project/service to be procured by the parties to this agreement in accordance with the conditions of the service agreement. 'Service Agreement' the agreement between [name of organisation] and the Service Purchaser, relating to the provision of the Service. 'Service Purchaser' Council or any successor and any other organisation with responsibility for procuring performance of the Service. 'TUPE' the Transfer of Undertakings (Protection of Employment) Regulations 1981, the Transfer of Undertakings (Protection of Employment) Regulations 2006 and the Acquired Rights Directive. 'VAT' Value Added Tax. 'Working Days' between 9.00 a.m and 5.00 p.m Monday to Friday inclusive, but does not include any days that are bank holidays or public holidays. 1.2 Headings in this agreement shall not affect their interpretation. A person includes a natural person, corporate or unincorporated body (whether or not having separate legal personality). The schedules form part of the agreement. A reference to a statute or statutory provision is a reference to it as it is in force for the time being, taking account of any amendment, extension, or re-enactment and includes any subordinate legislation for the time being in force made under it. A reference to writing or written includes faxes but not e-mail.
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1.3
1.4 1.5
1.6
1.7
Any obligation in the agreement on a person not to do something includes, without limitation, an obligation not to agree, allow, permit or acquiesce in that thing being done. A reference to party shall mean a party to this agreement and parties shall be construed accordingly. Delivery of the Services The parties shall use their best endeavours to ensure that the Services are delivered on behalf of the Service Purchaser in accordance with the terms of the Service Agreement. In order to discharge the obligations detailed at clause 2.1 above the parties have agreed to comply with the Project Plan(s), which serves as a template for the day to day administration and delivery of the Service(s). In addition to the obligations detailed under clause 2.2 above the parties have further agreed that they shall at all times: 2.3.1 devote to the delivery of the Service(s) such time and attention as shall be necessary for the proper performance of their duties in relation to the Service Agreement(s). 2.3.2 be just and faithful to the other parties and give them at all times full information and explanation of all matters relating to delivery of the Service(s); 2.3.3 conduct themselves in a proper and responsible manner and use their best skill and endeavour to promote the delivery of the Service(s); and 2.3.4 comply with all statutes, regulations, professional standards and other provisions as may from time to time govern the delivery of Service(s), and with any such quality assurance standards as may from
1.8
2.1
2.2
2.3
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time to time be applied by the parties to the delivery of the Service(s).
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3 3.1
Matters Requiring Consent of the Parties The parties shall, for so long as they are bound under a Service Agreement and parties to this Agreement procure that a party shall not without the prior written consent of the other parties: 3.1.1 conduct its business otherwise than in the ordinary course of business on an arm's-length basis; or do, permit or suffer to be done any act or thing whereby a party may be wound-up, or enter into any compromise or arrangement under the Insolvency Act 1986; or purchase, lease or otherwise acquire assets or any interests therein which relate to the delivery of the Services and which exceed the value of [AMOUNT]; or enter into any contract, transaction or arrangement (relating to the delivery of the Services) of a value exceeding [AMOUNT] without full and complete disclosure to the parties and with the express written consent of all the parties; or borrow any money in excess of any limits agreed between the parties or create any mortgage, debenture, pledge, lien or other encumbrances which might reasonably prejudice the delivery of the Services; or compromise or otherwise settle any dispute or potential dispute relating to the Services, be it with the Service Purchaser or any third party; or
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3.1.2
3.1.3
3.1.4
3.1.5
3.1.6
3.1.7
pass any resolution or engage in any other matter which represents a substantial change in the nature of the delivery of the Services; or hold any meeting of the parties which relates to the delivery of the Services or purport to transact any business at such meeting, unless authorised representatives or proxies are present for each of the parties.
3.1.8
3.2
Where a matter requires the consent of all parties (as detailed at clause 3.1 above) the parties agree that they shall negotiate in good faith to reach agreement and shall not in any circumstances unreasonably condition, withhold or delay the consent. Save as otherwise detailed in clause 3.1 above, the parties agree that [organisation name] shall have authority to manage all other aspects of the delivery of the Service on a day to day basis. In discharging its obligations [organisation name] shall ensure that the other parties remain informed of developments, as more particularly set out in the Project Plan. Term and termination Subject to the provisions of this clause 4, the agreement will continue in force until xxxxx. This agreement may be terminated prior to xxxxxxx by any party on not less than 3 month's written notice being provided to the other parties. This agreement may be terminated with immediate effect upon written notice where a party is in Serious Default or Persistent Default of the terms of the agreement. Termination of this agreement for any cause shall not affect liability for any payments due to any party before or following the termination date.
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3.3
4 4.1
4.2
4.3
4.4
Default Events 4.4.1 Criteria
Ceasing to be a user led organisation, or to be engaged with service users or carers
Failure to communicate risk issues to [organisation name]
Failure to comply with health and safety at work, equal opportunities, CRB, complaints requirements and any other relevant current and future legislation requirements required in the provision of the service. 4.4.2 If a party considers that one of the other parties is in default of their obligations under this agreement, they will be informed immediately. The other parties will consider the matter and (if deemed appropriate) issue a Default Notice setting out the nature of the default and specifying a reasonable time scale within which the default shall be put right If the Default has not been put right within the specified time scale then the other parties will be entitled to exclude that party from the consortium and terminate this agreement with them. If the Default is a Serious Default, as identified on the Default Notice, then the other parties will be entitled to terminate this agreement with the party, with immediate effect and/or take whatever reasonable action necessary to protect the health, safety or welfare of any or all the service users
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4.4.3
4.4.4
5 5.1 5.2
Disputes The parties shall use their best endeavours to resolve by agreement any dispute between them. In order to resolve a dispute, either may use the following procedure: 5.2.1 Request a meeting between each party's appointed contacts within 10 Working Days, or such other period that as may be agreed. If the dispute remains unresolved after that meeting, then a further meeting involving senior representatives may be requested within a further 10 Working Days, or such other period that might be agreed. If the dispute is still not resolved, then the matter may, if both parties agree, be referred to independent mediation as soon as reasonably practicable. The mediator shall be an individual or organisation agreeable to both parties. The costs of mediation shall be borne in equal parts between the parties. If the matter cannot be satisfactorily resolved through mediation, then the matter may, if both parties agree, be referred to an independent arbiter agreed by both parties. Responsibility for the costs of arbitration shall be decided by the arbiter. Use of the dispute procedure set out in this agreement will not delay, or take precedence
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5.2.2
5.23
5.2.4
5.2.5
over, any use of the termination procedures detailed. 6 6.1 Insurance Each party shall maintain the following minimum insurance cover and provide to each other party, upon request, written evidence that cover is in place. The parties shall also ensure that any sub-contractors which they engage and who are providing any or all of the Service on their behalf (provided that use of any such sub-contractor has, if appropriate, been approved in writing by the other parties, in accordance with clause 17) take out and maintain equivalent insurance: 6.1.1 Employers' liability insurance in a minimum amount which complies with statutory requirements for each and every claim, act or occurrence or series of claims, acts or occurrences (at the date of this agreement this is 10 million); 6.1.2 Public liability insurance in a minimum amount of 5 million for each and every claim, act or occurrence or series of claims, acts or occurrences; 6.1.3 Where relevant to the Service provided, professional indemnity insurance in an amount for each and every claim, act or occurrence or series of claims, acts or occurrences which is sufficient to cover that party's liabilities under this agreement. 7 7.1 Liability and Indemnities Each shall indemnify the other parties against all losses, damages, costs, expenses, liabilities, claims or proceeding, whether these arise under statute or common law, (together referred to as Losses) which those parties suffer which relates to or results from any negligence, Default or breach of statutory duty on the part of that party in carrying out their obligations under this agreement or on the part of any
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person the party employs or engages to carry out their obligations under this agreement. 7.2 7.3 A party's liability for any Losses, which relate to death or personal injury, shall be unlimited. Otherwise a party's liability for Losses shall be limited to the insurance caps detailed at clause 6 above in respect of each and every claim. Human Rights Act 1998 The parties acknowledge that: 8.1.1 in performing their obligations under this agreement each may, by virtue of the contractual relationship between the Service Purchaser and the parties, be considered a public authority for the purposes of the Human Rights Act 1998; and 8.1.2 that it is unlawful to exercise functions which are of a public nature in a way that is incompatible with the rights set out in the European Convention of Human Rights and the Human Rights Act 1998. 8.2 In the event that a party becomes aware of any act, or failure to act, on the part of another party that directly contravenes or falls short of the statutory requirements of the Human Rights Act 1998, then the party shall notify the defaulting party requiring them to either undertake, or refrain from undertaking, such specific acts. The defaulting party shall rectify such contravention by undertaking, or refraining from undertaking such acts as soon as practicably possible, but in any case, within 10 Working Days of receipt of such notification. Contracts (Right of Third Parties) Act 1999
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8 8.1
9.1
The parties do not intend to confer any right or benefit upon a third party under this agreement (save for the Service Purchaser, where detailed) and for the avoidance of doubt, the provisions of the Contracts (Rights of Third Parties) Act 1999 are expressly excluded from this agreement. Health and Safety
10
10.1 Each party shall comply with the requirements of the Health and Safety at Work etc Act 1974 insofar as they apply to the provision of the Service. 10.2 For as long as this agreement is in force each party shall have in place a health and safety policy which complies with all statutory requirements. 11 Declaration of Interests
11.1 Each party shall inform the other parties in writing of any elected council member of the Service Purchaser, or employee of the Service Purchaser who is involved in any way with them at any time in the duration of this agreement. 12 TUPE
12.1 [When requested by a party the other parties shall supply on demand reasonable information concerning the terms and conditions of service of employees who are engaged in the delivery of the Service, so that each party and the Service Purchaser can come to a view as to whether TUPE is likely to apply to the award of any new contract by the Service Purchaser in respect of the Services.] 13 Variation No variation of the agreement shall be valid unless it is in writing and signed by, or on behalf of, each of the parties. Waiver
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14
14.1 A waiver of any right under the agreement is only effective if it is in writing and it applies only to the circumstances for which it is given. No failure or delay by a party in exercising any right or remedy under the agreement or by law shall constitute a waiver of that (or any other) right or remedy, nor preclude or restrict its further exercise. No single or partial exercise of such right or remedy shall preclude or restrict the further exercise of that (or any other) right or remedy 14.2 Unless specifically provided otherwise, rights arising under the agreement are cumulative and do not exclude rights provided by law. 15 Severance
15.1 If any provision of the agreement (or part of any provision) is found by any court or other authority of competent jurisdiction to be invalid, illegal or unenforceable, that provision or part-provision shall, to the extent required, be deemed not to form part of the agreement, and the validity and enforceability of the other provisions of the agreement shall not be affected. 15.2 If a provision of the agreement (or part of any provision) is found illegal, invalid or unenforceable, the provision shall apply with the minimum modification necessary to make it legal, valid and enforceable. 16 Entire Agreement
16.1 The agreement constitutes the whole agreement between the parties and supersedes all previous agreements between the parties relating to its subject matter 16.2 Each party acknowledges that, in entering into the agreement, it has not relied on, and shall have no right or remedy in respect of, any statement, representation, assurance or warranty (whether made negligently or innocently) (other than for breach of contract).
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16.3 Nothing in this clause shall limit or exclude any liability for fraud. 17 Assignment
17.1 A party shall not, without the prior written consent of the other parties, assign, transfer, charge, sub-contract, or deal in any other manner with all or any of its rights or obligations under the agreement (such consent not to be unreasonably withheld or delayed). 17.2 Each party that has rights under the agreement is acting on its own behalf and not for the benefit of another person. 18 Confidentiality
18.1 The parties shall comply with the requirements of the Data Protection Act 1998 in so far as they apply to the provision of the Service within this agreement. 18.2 The parties shall take all reasonable steps to ensure that all information concerning the carer/cared for person benefiting from the Services is treated as confidential except where clause 18.3 applies. 18.3 Because the security, safety and well-being of the carer/cared for person takes precedence over issues of confidentiality, where a party has received information that a carer/cared for person has been abused, or is at risk of abuse, that party shall report this immediately to the other parties, the Service Purchaser and/or the police and cooperate fully with any subsequent procedures. 19 Notices
19.1 Notice given under the agreement shall be in writing, sent for the attention of the person, and to the address (or fax number) detailed above (or such alternative contact details
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as the relevant party may notify to the other parties from time to time) and shall be delivered personally, sent by fax or sent by pre-paid, first-class post or recorded delivery. A notice is deemed to have been received, if delivered personally, at the time of delivery, in the case of fax, at the time of transmission, in the case of pre-paid first class post or recorded delivery, 48 hours from the date of posting and, if deemed receipt under this clause 19 is not within a Working Day, at 9.00 am on the first Working Day following delivery. To prove service, it is sufficient to prove that the notice was transmitted by fax, to the fax number of the party or, in the case of post, that the envelope containing the notice was properly addressed and posted. 20 Governing Law and Jurisdiction
20.1 The agreement, and any dispute or claim arising out of or in connection with it or its subject matter, shall be governed by, and construed in accordance with, the law of England. 20.2 The parties irrevocably agree that the courts of England shall have exclusive jurisdiction to settle any dispute or claim that arises out of, or in connection with, the agreement or its subject matter.
This agreement has been entered into on the date stated at the beginning of it.
Caveat: any new partnership should seek legal advice when constructing a legally binding agreement.
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Business Audit Toolkit
An audit toolkit to support the business development skills and capacity of User Led Organisations.
Introduction
1.1 Purpose In 2008, Living Options Devon (LOD), Westbank and the Service Users Regional Forum were successful in a bid to be one of 12 pilot Action and Learning Sites who received funding from the Department of Health in order to meet the design criteria for a fully functional User Led Organisation (ULO). Working together as the consortium Fusion, we continue to ensure that through our cooperation we support disabled people and their carers to have more support and control over their lives; empowering constituents and service users. Fusion remains committed to being independent; service user needs driven; accountable to its constituents and not for profit. The purpose of this toolkit is to enable embryonic/smaller ULOs to assess their current business capacity and skills. Deployment of the toolkit will enable an organisation to have a greater understanding of its strengths, weaknesses and areas for development. The main part of this toolkit is to be used in conjunction with the checklist listed as Appendix Two. 1.2 Background In January 2005 the Government gave the commitment that, By 2010, each locality (defined as that area covered by a Council with social services responsibilities) should have a user-led organisation, modelled on existing CILs (Centres for Independent Living). (Improving the Life Chances of Disabled People, DH, 2005. p.91)
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User-led organisations are critical to independent living to enable disabled people to have choice and control over the support they need to go about their daily lives. They are one of the key elements of the forthcoming cross-government Independent Living Strategy. Putting People First also recognises that local organisations run and controlled by disabled people are vital to providing information, advice, peer support and advocacy to other disabled people. However, financial insecurity and sustainability are often an issue in the long term stability of a user-led organisation. There are a range of factors which may constrain the ability of ULOs to grow their capacity. These may include difficulties in recruiting, training and retaining staff, the set up of systems for effective financial management, governance and monitoring and contingency planning (DH, 2007). Furthermore, many funding opportunities arise from securing public sector contracts. Knowledge of tendering processes is, therefore, essential to successful bid writing as is a strong position on the organisations value base and ethos. 1.3 Fusion Consortium Fusion Devon is a Consortium comprising of three organisations - Living Options Devon, Westbank and Devon LinkUp. When the consortium was first formed one of our key partners was the Service Users Regional Forum (SURF). In 2009 SURF ceased to operate and Fusion now include Devon LinkUp as one of their partners in the consortium. Living Options Devon Living Options Devon exists to ensure people with physical and/or sensory disabilities and Deaf people with sign language can make an active and equal contribution in society. Their purpose is to:
encourage people to feel more informed, valued and confident to take part in society through relevant training and support; enable people to identify priorities and develop user-led services; engage people in effective communication with local and national service commissioners and providers; empower people to raise awareness of what society needs to do to provide equality of opportunity both locally and nationally. Living Options Devon is a leading, local disability organisation with an excellent reputation for providing a range of user-led projects to improve services, equality of opportunity and social inclusion across the County. It is supported by a mixture of public sector funding and grants from external trusts. LOD also generate their own income through delivery of high quality, user-led disability and Deaf awareness training and access audit services and other consultancy services. Living Options Devon is also commissioned regularly to involve service users in high profile, public service reviews and user-led research. We are a member of a variety of influential public sector partnerships where it is essential that the views of disabled and Deaf people are represented. Westbank Westbank has been providing practical help such as shopping, transport to and from medical appointments, befriending and welfare support since 1986. Westbanks Priority Aims are to: Relieve sickness and preserve health amongst the community Preserve health and foster independence
Support primary health care through voluntary activity Support for carers and bereaved people in their homes with practical and befriending support Meeting the needs of carers of all ages, including young carers Supporting carers has always been a priority for Westbank and this is done locally through their carers group, one to one advice and sitting service. Westbank is the lead agency for the Carers+ consortium which also includes East Devon VSA and Exeter CVS. Carers+ has a countywide contract with Devon County Council (DCC) for the delivery of the Devon carers link network, and the flexible breaks grants and Take a Break schemes. Devon LinkUp Devon LinkUp provides Voices and Choices for people who have a learning disability. It provides opportunities for people to get involved in the community, with the community and its activities. Devon Link-Up also supports independent advocacy for groups and individuals. Devon Link-Up recruits and supports volunteers to work alongside people. 1.4 Breakthrough UK Breakthrough UK is an established user-led organisation, based in Manchester, which was also chosen to be one of the Department of Health 12 action and learning pilot sites in 2008. (Please click on this link to find out more about Breakthrough UK http://www.breakthrough-uk.com/). In 2007 the organisation compiled a project report setting out a framework for development of a business toolkit. The project advised on the availability, content and type of tools that are required to support the business development of User-Led Organisations. The report identifies tools and toolkits currently available to ULOs and also identifies the gaps in information.
To avoid duplication of good work Fusion used the report as a basis for this toolkit. It was originally adapted to ensure it was fit for purpose to audit each partner organisation within the Fusion consortium. It has now been updated to provide a generic tool which can be used by other ULOs and will be used to audit the Fusion consortium as whole.
2. Business framework
The following areas may be considered as a framework to identify business development needs. The suggested topics within each area are not an exhaustive list and where a topic is not listed below, it is advised that this be noted on the planning and analysis checklist. (See Appendix 2). 2.1 Governance Leadership skills, committee skills, team working, negotiating skills, dealing with conflict in order to ensure good governance. Legislation and regulation e.g. Companies legislation, Charities legislation, etc. Membership development, inclusion and involvement how to grow, support and manage membership. Equality and Diversity at a strategic level, how to ensure equality and diversity in governing structures. (See Appendix 5) 2.2 Strategy and Planning Planning and skills techniques to help plan, implement, monitor and review. Strategic and business planning how to plan for the future in an inclusive, realistic and pragmatic way, including succession planning and sustainability. Strategic and training needs analysis how to identify and secure the skills and behaviours needed to deliver strategic aims.
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Policy development ways to ensure relevant and up to date policies are developed and implemented.
2.3
Risk Consider the implications of entering contract work failure to deliver, loss of reputation or financial penalties. Weigh up the benefit and cost of preparing and submitting bids success is not guaranteed. I.e. Can you afford to, can you afford not to? take into account:Capacity Expertise Timescales Local knowledge and resources Kudos Preparing a realistic proposal in terms of costs too expensive risks losing work but dont undersell the organisation. Consortium working providing a partnership agreement, does the consortium need to be legally constituted. See Working in a consortium A guide for third sector organisations involved in public service delivery (Cabinet Office, Office of the Third Sector, December 2008). http://www.cabinetoffice.gov.uk/media/107235/consortiu m%20guide%20final.pdf Exit strategy for funding/grant allocations and public procurement, including:o Workforce issues o Long term financial planning
2.4
Financial Management Legislation and regulation including taxation, accounting, etc. Financial planning, budgeting including costing services, cash flow, etc.
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Financial records and functions audits, annual accounts, management accounts, etc. Working with funders and commissioners tendering and procurement how to prepare and negotiate funding bids and tenders, where to seek funding etc. 2.5 Organisational Management
Legislation and regulation e.g. Health & Safety, employment law, etc. (See also Appendix 1). Quality systems and performance management how to manage organisational performance, what systems to use, etc. Service delivery how to ensure planning and delivery of a service that is efficient and effective. ICT how to assess provide and maintain ICT systems that add value. Delivering equality and addressing diversity both in employment and service delivery. HR and workforce development all aspects of good employment practice, including:o o o o Recruitment and TUPE regulations Staff management Performance, appraisals Grievances, absence, discipline and letting people go
2.6
Partnership Working Building, and working within, partnerships. Influencing others who can make key contributions. Maintaining partnerships, identifying mutual benefit, how to resolve differences. Good chairing skills. Project management skills. Roles and responsibilities. Identify strengths and weaknesses. Building on commonalities. Consider different approaches to partnership working:-
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o Consortium o Partnership agreement 2.7 Marketing Corporate image. Mission statement. Identifying a suitable marketing consultant/organisation to promote your services/work. Website. Leaflets and information about your organisation in accessible formats. Establishing links with other organisations. Seeking network membership or affiliation. 3. Working as a Consortium In addition to the above, organisations wishing to consider working as a consortium may need to consider undertaking some initial development/capacity building work in order to function as a constituted organisation. This may include: Membership who will be members, how to decide, how will members be identified, by what process will they become members. Structure will it be a new organisation, a federation, part of an existing organisation. Legal identity charity, Community Interest Company, Company Limited by Guarantee, etc. Governance how will the consortium be managed and by whom. Services what will the consortium deliver, how to decide. Staff will there be staff, how many, what will they do. Funding what is needed, where will it come from, who will seek it. Premises what is needed, what is available, how can they be secured.
Learning from the experience of each partner organisation will provide the best reference and provide a rich pool of knowledge from which to draw on in terms of developing the work of the consortium. Furthermore, the DH Action and Learning Site project has increased awareness of a growing network of ULOs in the UK which continues to facilitate the sharing of best practice and mentoring between organisations. Drawing on this resource will enable ULOs to pool knowledge and strengthen partnership working between like-minded organisations. In addition to these provisions there are a number of existing resources and toolkits to support business development needs and these have been very well researched by Breakthrough UK in their Business Toolkit. These are listed under the following sections: Third sector training deliverers; Private sector/mainstream deliverers; Networks and resources; Universities and Business Schools; Books and literature.
3.1 Third Sector Training Deliverers. Three national organisations are listed which provide an illustration of the range of training and support offered. However, there are many more which offer combinations of training, networking, coaching, mentoring and consultancy. The Association of Chief Executives of Voluntary Organisations (ACEVO) www.acevo.org.uk. National Council for Voluntary Organisations (NCVO) www.ncvo-vol.org.uk. The Directory of Social Change (DSC) www.dsc.org.uk
In addition to national resources it is worth identifying local organisations which also provide support, information and training to the third sector. For example support in Devon may be provided by:Are You Ready for Business? Business Audit Toolkit Page 52 of 145 June 2009 Version 1
Devon Association of Councils for Voluntary Service (DACVS) The DACVS aims to ensure that the voluntary and community sector has effective local representation and that everyone is able to share best practice, skills and expertise. In addition it ensures that relationships are made with the regional and sub-regional bodies to promote the interests of the 8 CVS and their members, and to access funding to improve and increase services to the Voluntary and Community Sector (VCS) across Devon. CVSs can help new and existing groups to meet local needs with advice on planning and many other organisational matters. They also have contacts with others who may be able to help.
South West Development Centre www.swdc.org.uk The Care Services Improvement Partnership as an entity ceased operations on 31 March 2009. However, its work will be carried forward through a range of programmes. The South West Development Centre is commissioned by the South West Strategic Health Authority working in partnership with the Deputy Regional Director (DRD), Adult Social Care and Partnerships within the Government Office of the South West and the association of Directors of Adult Social Services. The SWDC adopts a collaborative approach understanding the needs of its partners from the public and Third Sector and works with them to achieve shared solutions for the improvement and innovation of local services. They achieve this by:

developing the capacity and capability to achieve improvements in delivery supporting policy implementation, and supporting the development of policy
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They support effective leadership and teamwork development, helping to mobilise teams to define and achieve shared goals. 3.2 Private Sector/M ainstream Training Deliverers. Chambers of Commerce www.chamberonline.co.uk. Offers training courses including communication, finance, health and safety etc. Business Link www.businesslink.gov.uk. These organisations are now delivered through Regional Development Agencies, having recently been re-organised. As a result they are delivered through a public sector body and are, therefore, subject to the Disability Equality Duty. This means that they should be providing an accessible and appropriate service to disabled people and their organisations. 3.3 Networks and Resources United Kingdoms Disabled Peoples Council (UKDPC) www.bcopd.org.uk. Formerly the British Council of Disabled People (BCODP), this is a membership organisation offering a range of support and networking to members, for example Membership and Services Project The aim of this project is to generate a more secure and sustainable future for members by sharing good practice between and across groups, if necessary bringing in experts from within or outside the organisation to advise in areas such as trustee and governance, funding advice, disability equality and group management of membership services. UKDPC also published The Way Forward A Resource Pack for Local Groups of Disabled People in 1997, which is currently being updated. The pack is a folder containing booklets on various practical aspects of running a group, including lists of useful publications and organisational
contact details. It is a useful model toolkit resource for new and emerging groups. The original pack comprises of 6 booklets, of which the topics are 1. 2. 3. 4. 5. 6. About your Group The Environment Money, Workers & other Resources The Disabled Peoples Movement Training More help and information
The National Centre for Independent Living (NCIL) www.ncil.org.uk/ - offers information, advice and policy service to members and a range of resources including Supporting Member and User Led Organisations, Employers Kit Employing a Personal Assistant. The Southwest Disability Equality Network (SWDEN) www.equalitysouthwest.org.uk was launched in 2004. It is a forum of and for disabled people in the region. It represents organisations of and for disabled people. If you are interested in joining the network database there is a section on the website where you can fill in an Equality Southwest contact form. GuideStar UK www.guidestar.co.uk. GuideStar UK was set up in 2003 to provide, for the first time, a single, easily accessible source of detailed information about every charity and voluntary organisation in England and Wales. The site provides a high profile free web presence, not just for established charities, but also for the many smaller specialist and local organisations that currently do not have websites. It promotes greater public understanding of the work of charities and how they are managed. And it is a good source of statistical and financial information for grant makers, researchers and public policy makers.
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Fundraising information desk at Disability LIB To assist Disabled Peoples Organisations (DPOs) to find funding that is accessible and advise on other fundraising issues, Disability LIB has set up an information desk to: 1. Research into where DPOs can get funding for projects and activities. 2. Offer constructive advice on written applications for grant funding. 3. Give tips on what DPOs should look at or consider before they start writing applications. For example, does your DPO have a fundraising plan? Is there an exit plan? Have you considered what is going to happen once the fund runs out? You can get in touch and send your project plans and proposals to Iyiola. He will call you to discuss what advice can be offered (or research where you could get appropriate funding). Iyiola can be reached on: T: 0844 800 4331 E: iyiola.olafimihan@disabilitylib.org.uk Post: Disability LIB, 6 Market Road, London N7 9PW Futurebuilders funding to help small charities http://www.futurebuilders-england.org.uk/our-products/smallorganisation-tender-fund/small-organisation-tender-fund/ A 220,000 grant to help voluntary organisations tender for public sector contracts has been launched by Futurebuilders and the National Programme for Third Sector (NPTSC). NPTSC and Futurebuilders will contribute 150,000 and 70,000 respectively to the fund. The fund is designed to aid small organisations to cover tendering costs or build capacity and also specifically help them to land contracts. The fund is open to any organisation that has been incorporated for at least one year and has a turnover of less than 250,000. Organisations can receive grants worth up to 10 per cent of the value of the contracts they want to bid for with an upper limit of 15,000.
Contracts must have a minimum value of 30,000. 3.4 Business and Management Schools A source of support for capacity building is the range of management short courses available from Business Schools (usually attached to universities) and from colleges working in collaboration with an awarding university. Examples of relevant courses range from unaccredited short courses, (such as communication skills), through to accredited Certificate in Management Studies (CMS) and Diploma in Management Studies (DMS). At the top end there is Masters in Business Administration (MBA) and universities can also offer Masters of Arts (Mas) in Management Studies. 3.5 Books and Literature There is an abundance of business development literature, much of it including checklists and templates. There are a couple of recommended publications referred to in the Breakthrough toolkit:o Just about Managing published by the London Voluntary Services Council; o Voluntary but not Amateur published by the London Voluntary Services Council. 4. Capacity Building Further to initial development work on setting up (UKDCPs document The Way Forward is useful here), new user-led organisations would need to follow the steps described below in order to consider an effective framework to design and deliver capacity building.
Identifying a training budget and resources this is essential for the success of the venture, and should be viewed as an investment rather than a cost. If a ULO can deliver capacity building then it can also be viewed as a reinvestment. Some
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free or subsidised sources of training can be found. For example Exeter CVS in Devon run free courses for third sector and voluntary organisations (see also Business and Management schools above). Training/strategic needs analysis this would involve working with the existing organisation to identify skills and experience needed, existing skills and experience, and therefore the gaps. I.e. effective bid writing, negotiating or research skills. Review strategic and business plans with an experienced facilitator review the content, practicality and timeliness proposals, including how well the business plan reflects the strategic plan. There are many commonly used tools which could be adopted for this purpose, such as SWOT analyses, PEST analyses, SMART targets and so on. (See appendix 4, for a brief description of each). Prioritise training needs in light of the gaps identified, and the strategic aims developed, assess the immediate and the medium term training/capacity building needs. Design forward capacity building/training plan this involves deciding what tools or methods to use, from the wide range described here, how they will be delivered and by whom. Agree and begin implementation schedule this can be a complex and vexing part of the process. It is mainly a logistics exercise and involves coordinating trainers/mentors/coaches with participants availability, access and learning needs, venues, catering, transport and so on. This may include, in addition to contracted staff, training of trustees and peer support workers and development of user experience and skills. Review, and adjust as necessary monitoring and review points should be built into the implementation schedule and robustly observed so as to assess progress and development, and make any adjustments indicated.
4.1 Delivery of Capacity Building for Business Development Needs: Delivering the proposed framework can encompass a variety of options. Key elements to support implementation may include resources, delivery methods and delivery sources.
Resources there are limited opportunities for subsidised or free training, additional potential sources of funding include:o o o o
Big Lottery www.biglotteryfund.org.uk Business Link www.businesslink.gov.uk o Lloyds TSB Foundation -www.lloydstsbfoundation.org.uk European Social Fund www.gos.gov.uk/gonw/ Grant Finder www.grantfinder.co.uk
It is worth finding out about local opportunities for funding including circulars, newsletters or magazines. E.g.
o Devon Funding news www.fundingnews.co.uk
Delivery methods Learning will be more effective if delivered appropriately. There are a wide range of delivery methods available:Business to business learning Networking Coaching and mentoring Use of model documents, policies and procedures as templates o Training courses external and in house, delivered by a range of providers o o o o Delivery sources the learning relationship can determine the success of a particular exercise and peer support or learning is widely recognised as effective. Potential delivery sources may include:Existing CILs/ULOs Existing voluntary sector support organisations Existing consultancy/training suppliers across the sectors Freelance consultants and trainers o Universities and Business schools o o o o
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5. Conclusion The business toolkit provided by Breakthrough UK is an excellent resource and has informed the structure of this document. It is hoped that in using the information and resources provided in this paper, in addition to the planning and analysis checklist, budding ULOs will be in a position to identify areas for improvement, growth and training. Audit results should subsequently support the production of an action plan which can be taken forward in line with a strategic and business plan for the organisation.
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Appendix 1. Fusion Partner policies example Living Options Leave Policy Maternity Pay & Leave Policy Paternity Pay Adoption Leave & Pay Parental Leave Policy Dependant Leave Policy & Procedure Statement Compassionate Leave Flexible working hours Appearance and dress code The use of mobile phones whilst driving No smoking policy in the workplace Sickness Absence Retirement Policy Equality and Diversity Strategy Disciplinary Procedure Grievance Procedure Harassment policy and procedure Recruitment and Selection Guidelines Appraisal and Development Planning Working with Children and Vulnerable Adults Policy Lone Working Policy Compliments and Complaints Procedure Lay-off/Redundancy Guidelines Mobile phone, email and internet policy Data Protection Policy Confidentiality Policy Volunteer Policy CRB Policy
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Westbank Absence Policy Child Protection Policy Complaints procedure Confidentiality Policy Equal Opportunities Policy Fire Safety Policy Grievance & Disciplinary procedure Health & Safety Policy Induction Policy Information Security for staff Policy Information Security for Volunteers Policy I.T Policy Lone Working Policy & Procedures Minibus Policy Probationary Reviews, Supervision & Appraisals Policy Smoking Policy
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Appendix 2. Planning and Analysis Checklist Use this checklist to audit your organisation. Where you have ticked No or In Part, please refer to the Business Toolkit to guide you in setting up the necessary policies or procedures. There are no right or wrong answers to the questions; it is the intention that completion of the checklist will highlight areas needing implementation and/or improvement. Governance Do you have:A trustee board/committee of which 75% or more have a disability or are carers? An agreed organisational structure which is recognised by all staff, users and trustees? Comprehensive person specifications for organisation employees and trustees? A membership association? An agreed plan, which is fully inclusive, to support and grow your membership? An Equality Policy? Is equality embedded in all your organisations policies i.e. have you equality proofed your policies? Yes No In Part
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Yes Do you have an equality champion? Have you sought to ensure that membership of your trustee board and staff is representative of the community you support? Do you abide by relevant legislation? i.e. Charity Commission Company Limited by Guarantee Social Enterprise Legally Constituted Body
No
In Part
Strategy and Planning Do you have:An operational plan for each area of work in your organisation? A user-led 3 or 5 year business strategy/plan in place? A strategy in place to network with public sector bodies and voluntary sector organisations? A checklist of required policies for development? An agreed process for policy implementation within your organisation? Are you aware of key personnel external to your organisation?
Yes
No
In Part
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Risk Yes Contracting: Is entering into contract work part of your business strategy? Have you tendered for work with a public authority or other large organisation before? Do you have a process for appraising the implications of entering into contract work? Have you a process for undertaking a cost benefit analysis of preparing and submitting every bid? Do you have the expertise or access to relevant expertise to put together a feasible business case with realistic costings? When considering an individual proposal, have you undertaken the necessary research to ensure you are pitching it at the right price? Do you have an exit strategy in place within your business case to include workforce issues and long term financial planning? No In part
Yes Consortium working in relation to contract work:
No
In Part
Do you have the necessary agreements and Are You Ready for Business? Business Audit Toolkit documentation in place to ensure all partners June 2009 Version 1 are aware of their roles and responsibilities?
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Does your agreement include an established procedure to address a breakdown of
Financial management Yes Do you have a finance manager (or access to such expertise)? Are you aware of relevant financial legislation and regulation governing your organisation and its practices? No In Part
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Do you have standardised and agreed processes for ensuring financial planning and budgeting? Do you have standardised and agreed financial functions and recording processes? Do you know where to seek funding? Do you have the necessary expertise (or access to such) to prepare and negotiate funding bids and tenders? Organisational Management Yes Do you have policies and procedures incorporating up to date legislation and regulation for your organisation? Do you have quality and performance management systems in place within your organisation? Do you have an established model of service delivery to ensure an effective and efficient service? Do you have a process for assessing, providing and maintaining the suitability of your IT systems? Do you inform all staff, trustees and service users of their responsibilities in line with the organisations equality policy? Do all line managers respond to the diverse
No
In Part
needs of the workforce appropriately and in line with the equality policy? Do you have training in place to support this? Do you have a HR manager (or access to such expertise)?
Partnership working Yes Are you aware of the different models of partnership working? Are you aware of the benefits of partnership working? Do you know the processes required in order to build and work within a successful partnership? Do you have strategies in place to influence others to contribute effectively to your partnership work? Are you aware of the requirements in order to maintain a successful partnership? Marketing Yes Do you have a Corporate Image? Do you have a Mission Statement?
No
In Part
No
In Part
Have you identified a suitable marketing consultant and/or organisation/s to promote your services/work? Do you have a website? Do you have leaflets and information about your organisation (and in accessible formats)? Have you established links with other organisations? Do you actively seek network membership or affiliation? Additional areas for development not highlighted in checklist:-
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Appendix 3. Example Terms of Reference 1. 2. Name of sub group: Purpose of the sub group: (to advise on.; to scrutinise.; to monitor.; to report to..; to decide; etc.)
3. Powers: (e.g. what decisions should be left to staff/what decisions should the Sub group make/what should be referred to the Board/Management Committee) 4. 5. 6. 7. Reporting to the Board: (who, how, what on) Lead Board member: Lead staff member: Quorum: (e.g. 2 Board members, one staff)
8. Frequency/timing of meetings: (midway between Board meetings/monthly/etc)
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Appendix 4. Planning and Analysis tool User-led organisations will raise the bulk of their income from donations, grants and contracts and are in the business of selling a service or services, competing in a market in reality. Business planning must address the nature of that market, future trends and the organisations position in the market. A PEST analysis looks at the Political, Economic, Social and Technological factors that have a bearing (or might do) on the organisation. This is best done in a facilitated open discussion group, where creative and analytical ideas can be generated. The SWOT analysis is often linked to the PEST analysis. This is a brainstorming exercise in which points under the following four headings are listed and evaluated: Strengths and Weaknesses, the Opportunities to the organisation and the potential Threats that there may be. A table is often used Strengths Opportunities Weaknesses Threats -
The SWOT analysis helps to outline the directions the organisation can follow, what obstacles it needs to overcome and what opportunities it wants to exploit and make priorities which can then inform corporate objectives in the plan.
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SMART TARGETS are used to describe a framework to analyse the practicality and achievability of targets, it is also useful when setting targets: Specific avoid a vague, all-embracing wish list. Measurable how can you tell if youve achieved them? Agreed within the organisation, with stakeholders and funders. Realistic can they be achieved? Time-framed by when?
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Appendix 5 Equality and Diversity It is against the law for a company to discriminate against anyone on the grounds of race, colour, nationality, ethnic origin, gender, marital status, disability, religion, age, or sexual orientation. Similarly if your employees discriminate against a colleague or customer your organisation could be held vicariously liable for their acts, and be responsible for paying the compensation or damages to the victim of the discrimination. An Equal Opportunities Policy (also called an Equality and Diversity Policy) should be written in accordance with current best practice. If a company can prove that it has done all that was reasonable to prevent discriminatory acts from occurring then its liability can be reduced or entirely eliminated. Having an equal opportunities policy, and appraising all staff of its existence is one of the things that a reasonable employer should do. An Equal Opportunities and Diversity Policy may contain the following sections: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. Policy Statement Objectives of this Policy Designated Officer Definition of Discrimination Types of Discrimination Unlawful Reasons for Discrimination Reasonable Adjustments Responsibility for the Implementation of the Policy Acting on Discriminatory Behaviour Advice and Support on Discrimination The Extent of the Policy
The Policy should relate to: Staff

Clients Public Other organisations Equality and Diversity should be embedded within all policies of an organisation and at all levels. Related documents/policies may include: Recruitment and selection policy and procedures incl. job application forms and guidance notes, interview guidance notes Employment policy incl. sickness policy Health and Safety Policy including Risk assessment forms Harassment and bullying policy Disciplinary policy and procedures Grievance procedure Data protection policy Lone working policy Vulnerable adults policy Staff handbook Induction feedback form Equality monitoring form Staff appraisal guidance notes Retirement letters Action plans (e.g. disability, race, gender)
The Meaning of Equal Opportunities (source Rajwant Bains Consultancy 2008) In ensuring Equality and Diversity is understood within your organisation it may be helpful to consider the meaning of Equal Opportunities. We use the term equal opportunities all the time both within our workplace as well as within wider society without necessarily being clear as to how we are using the term. This could lead to the term becoming hollow and having no real meaning other than that it is
a good thing. However, it is important to define what we mean by this, as the way we define something will determine what course of action we take. A model of Equal Opportunities that is helpful in developing our understanding is one that defines it in terms of: Equal Treatment
Equal Access
Passive
Active
Equal Share
The notion of Equal Treatment sees equal opportunity as essentially passive and assumes that so long as no one deliberately discriminates unfairly against another person there is equal opportunity in society. The model assumes that if everyone is treated alike, and if they are, then there is no discrimination and consequently there is equality of opportunity. Under this model ideally there should be taken to ensure that there is no deliberate unfair discrimination against specific individuals or groups. The notion of Equal Access assumes that the elimination of unfavourable treatment at the point where people are considered for jobs, training etc is not sufficient where there are obstacles which prevent some groups reaching the point where they can be considered for the benefits. That is, there may be no intention to discriminate in the conferring of benefits such as jobs etc. but there may not be equal access to consideration of those benefits. The most active of the notions is that of Equal Share as it assumes that the previous two definitions i.e. absence of unfavourable treatment, and the removal of unjustifiable obstacles and entails more direct action and intervention to ensure true equality of opportunity. Therefore, under this notion equal opportunity exists when the benefits of society are held in equal proportion by the groups, which make up that society.
An understanding of the three definitions of Equal Opportunities enables us to consider the type of response we want to develop in implementing equal opportunities do we want to take just a passive approach or are we developing more active approaches that are really going to impact positively on those experiencing discrimination. (Adapted by Carlis Douglas of DMTD from Hackney Councils internal document on Equal Opportunities) Managing Diversity accepts that organisations consist of a diverse population of people these differences are both visible and non-visible including age, gender, race, background etc. Managing diversity is about valuing those differences.
June 2009 Version 1
Equal Opportunity
Externally initiated Legally driven Quantitative focus Problem focused Assumes assimilation Reactive Race, gender & disability
Diversity
Internally initiated Business needs driven Qualitative focus Opportunity focused Assumes pluralism Proactive All differences
(Adapted from Kandola and Fullertons ideas in Mosaic in Action).
June 2009 Version 1
Tender Section
Acronyms
DTI: ICT: IMT: JSNA: PSO: SME: TUPE: VCO: Department of Trade and Industry Information and Communication Technology Information, Management and Technology Joint Strategic Needs Assessment Public Service Organisations Small and Medium Enterprise The Transfer of Undertakings (Protection of Employment) Regulations Voluntary and Community Organisations
Introduction
Responding to tender and the subsequent process of submitting a bid can prove to be both complex and costly. Whilst there is much rhetoric in support of commissioning with the third sector (DH, 2008, 2009) and, in turn, ensuring a more fair and accessible system for tendering (DH, 2006), the process itself can be daunting and discouraging. This section provides a short guide to tendering in the hope that it will supply a step-by-step process to smaller ULOs who are perhaps looking to expand the repertoire of services they offer but are inexperienced in formal tendering. Information has been taken from a wide variety of documents offering guidance and support and supplemented with examples of bid work that Fusion has undertaken. It is by no means a comprehensive guide to tendering, hence the inclusion of signposting to more detailed documentation and a 'Useful Links' appendix. Two example diagrams have been produced (see appendix 4) to provide an illustration of the tender process undertaken by a public sector organisation and a User Led Organisation. It is worth referencing work undertaken in Manchester to propose a Manchester Model for joint commissioning (Vaughan & Ainger, 2009). The resultant report looks at developing a commissioning model for Manchester which will overcome inconsistency in commissioning processes used across public sector bodies, produce a standard methodology and take account of new national policy imperatives such as personalisation. The report provides good background reading to this section and offers a good example of commissioning processes.
Hints and Tips: Researching tenders and making links
In order to build your business knowledge, skills and capacity, it is advisable to find out about your local authority, primary care trust and other potential commissioning bodies. In addition to obtaining key documents and strategies it is also advisable to begin raising your profile within your locality. Fostering relationships and seeking active partnerships takes time and needs to be undertaken much earlier than submitting a tender bid. You may find if your organisation is still in an embryonic stage that entering into a consortium with other, larger organisations, will help to give you the financial security and sustainability that will be looked for by commissioning bodies. This section provides a quick reference list of bullet points which are intended as hints and tips to point you in the right direction: Familiarise yourself with guidance issued by central and local government bodies. Research and understand the political and service structures of your local authority. Find out who leads/manages council business. Research the appropriate councils political and service structures through its website or the Town Hall some may be set out in a regular newspaper for residents.
Search council web sites for procurement pages or visit Town Hall or the library: is there a list of contracts published or is one planned? Obtain key strategic documents, e.g. Strategic Plan, Corporate Plan, Joint Strategic Needs Assessment (JSNA), and consider how you could assist in delivering the priorities contained in these documents. Use information available via the web such as Census data, ward level data, population trends, consultation results etc. This includes information held on central Government and local Government websites.
Check the magazines in your business sector for news and events.
Who is in charge politically an executive in the cabinet or a committee chair? Check which decisions are delegated to senior management does the local authority have a service director? Who has responsibility for day to day management?
Dont be shy of making enquiries to public sector bodies about available contracts. Ask early on if the authority may waive some criteria used in pre tender assessments of prospective contractors to support small scale or start-up enterprises.
Talk to the commissioning organisation at the earliest possible stage, even if they have not given any indication that they are going to commission services that you may be interested in. . Make an appointment with the most senior person in the organisation who has responsibility for a service you are interested in bidding for. This may be the service manager, director, contracts manager, commissioning manager or client manager. Dont assume they know about your organisation. Find out what new services are likely to be commissioned in the near future, as well as longer-term plans, including existing contracts due for renewal. Share what you think you can offer as this may influence future plans. Get hold of information about the services you would like to deliver. E.g. relevant local strategies or plans, budget information, the outcomes of any audits, reviews or inspections. Much of this is available from an organisations website. If you have a reputation for constructive input into dialogue it could help get you invitations to key meetings about services.
Ask whether there is a particular priority emerging in the service delivery or are there specific challenges to be tackled in future contracts? Understanding the clients objectives/problems and delivering solutions that require minimal effort from the client is a key component to an organisations credibility and success. Where there is no track record for a particular service, suggest that you help them pilot your service delivery approach.
Without the capability for ICT your enterprise may lose out. Remember that support with ICT in your business is available from the Governments Small Business Service, which can arrange ICT advice for small enterprises. You may wish to use the Freedom of Information Act to request data- this supplies UK government legislation defining what information public sector organisations are obliged to provide on request. It is advisable to become familiar with your local Compact Agreement. The Compact is an agreement between government and the voluntary and community sector in England. It recognises shared values, principles and commitments and sets out guidelines for how both parties should work together (www.thecompact.org.uk).
E-Trading The development of electronic trading has the potential to alter access to contracts and their documentation, and to change methods of bidding. The Government is committed to supporting and encouraging the development of internet-based methods of placing contracts as part of its goal to get public services familiar with modern information and communications technology (ICT). This links to the local government online (LGOL) project.
Get familiar with modern information and communications technology and consider training for e-trading.
Find out if the commissioning organisation operates any minimum standards for working with external organisations. This is often set out in a pre-tender qualification questionnaire or minimum requirements for funding document. There may also be specific requirements for certain types of services, e.g. a requirement to hold a certain accreditation or quality assurance standard, or minimum training levels of staff.
Check if stakeholders are invited to become involved (how and when) in any public service review process.
Identify your organisations strengths, and unique selling points to demonstrate that you are more likely to secure the outcomes for the organisation rather than the competition. Maintain regular contact with key officers or key stakeholders. Make use of any examples or case studies of similar service delivery.
Undertaking Research Prior to Tender The Fusion consortium in Devon undertook research last year in the knowledge that the local county council was preparing to release a large tender for the externalisation of a Direct Payment Support Service. We produced a report which was invaluable in providing information in order to understand the existing provision of direct payment support within and external to the county of Devon. It is worth considering undertaking research for larger tenders and you may wish to include the following headings in a research report:
Context National scene setting and explanation of service Local Picture History within the locality including any recent improvements/significant events
Competition Research on who else might be bidding for the service Best practice Research of other services (or other bodies) which you deem to be good practice Recommendations for your bid/service Bullet pointed outline of key elements of the service you would wish to provide To Bid Or Not To Bid
The decision to put in a bid should be thought about carefully and it is advisable to weigh up the pros and cons about whether to tender for a piece work. Do not rush into bidding just because you are afraid of missing out on opportunities! If you bid, your offer might become part of a contractual agreement if accepted, so again, think carefully. Your organisation needs to consider the potential impact on mission, objectives and capacity. It is important that any potential contract fits tightly with your organisations aims, objectives and purpose. Give real thought to the prequalification stage of the tender process, which provides an opportunity to take a step back and examine your policies. Find out as much as you can about the commissioners objectives and requirements. If theres anything you do not understand about the tender process, do not be afraid to ask the commissioner directly. Partnership working has pros and cons. Consider these and set up potential partnerships well in advance of the tendering process. Follow all the rules of the process scrupulously. Getting minor details wrong can disqualify you. Prepare carefully for every stage. Remember that your tender documents may form part of the contract. There may be no further opportunity to renegotiate what you have submitted, so get it right first time. You can use the list below as a guide to help decide on what contracts are right for particular Voluntary and Community Organisations (VCOs). Mission and objectives
Do your governing documents allow you to undertake this work? Does the piece of work fall within your aims and objectives? Does the piece of work fit with your business plan and strategy? Is the scope and level of service required understood? What do you want from the contract opportunity? Is there wider involvement to consider in areas of special interest, i.e. o Enhancing your reputation? o Contributions towards financial overheads? o Balanced workload and stability of service provision for users? Will the contract enhance or detract from other areas of your work? Do you have relevant experience in:o Client group? o Geography? o Type of work? Is there capacity to deliver through the whole life of the contract? Is there capacity to prepare and submit a winning offer? Are there any risks that could damage your organisation if badly managed? Are all the clauses in the proposed contract acceptable to your organisation?
Capacity Do you have, or can you develop, the capacity and infrastructure to deliver the service? What operational capacity is needed to meet the contract requirements? How much capacity will the opportunity absorb? How many suitable current staff could be assigned? Will you have to recruit more staff or volunteers? What additional training and development would be required? Is there scope for collaborative working with others? Will TUPE (staff transfer) be involved if you win the contract and what are the associated risks? How firm is the contractual commitment to the volume of work?
Is the time that will be spent in submitting a tender worth it? Consider the contract value, the overall value to your organisation, and your likelihood of winning the contract. If you are not sure about some of the answers you came up with for the above questions, you should take advice and think carefully before bidding. Large tenders Tenders awarding a substantial contract will, in most cases, be complex and lengthy. In addition to the above it is worth putting additional measures in place should the decision be made to bid: Perform a thorough risk assessment in relation to the bid. Draft and produce a contingency plan. Write a Project Initiation Document for the tender process including:o Planning of workforce management. o Time scales and submission stages. o Day to day operations. Seek legal advice on documentation if necessary.
Case study: Reflection on the Fusion bid submission for the Devon Direct Payments Service Following submission of the Fusion Direct Payment Support Service bid, a reflection was written in order to highlight the benefits and concerns experienced by Fusion. It is hoped that this case study will also raise awareness of the need to radicalise commissioning with the third sector resulting in a more equitable bidding process. Introduction Substantial pieces of work have been undertaken at the national Governmental level to ensure fairer and more accessible commissioning of the third Sector to include Third Sector Commissioning and World Class Commissioning. Moreover, the need to encourage and foster the development of User-Led Organisations (ULOs) in order to meet the needs of disabled people and their carers is well known through key documents such as Life Chances for Disabled People. In turn, the benefits of commissioning User-Led third Sector organisations have been clearly outlined for Local Authorities through the recent circulars LAC (DH) (2008)1: Transforming Adult Social Care and LAC (DH)(2009)1: Transforming Adult Social Care. Given this rhetoric, it is useful to reflect on the process that Fusion underwent to prepare a bid submission for the Devon Direct Payments Service. The primary challenge of responding to tender is the commitment required by the organisation in terms of resources and capacity to put the bid together. The tender process is complex and time-consuming which therefore leads to skilled personnel having to divert time from their day job to prepare the bid submission. Capacity is already stretched within the Third Sector and this additional pressure has the potential to destabilise small organisations or lead to a decision not to bid for the work due to lack of capacity. Tender Complexity is a related challenge, requiring a wide range of skills within the provider organisation in order to ensure a satisfactory bid
submission. It is often the case that professional skills required for bid submission e.g. for TUPE issues or complex Information Management & Technology are often beyond the remit of small organisations and rarely have a bearing on the ability or indeed the quality of service which they would be able to provide should their bid be successful. ULOs have the skilled personnel necessary to provide good quality services which meet the contract requirements and needs of individuals concerned and it is not necessarily the case that these personnel have the skills required for the bid submission process. The Fusion bid required the following skills, prior experience and knowledge: large contract negotiations, large bid submissions, Local Authority tender processes, partnership working, consortium management, workload delegation, bid writing, strategic policy/structure understanding, Direct Payments/personalisation knowledge, process mapping, service delivery design and modelling, User/Carer experience management, IM&T, finance, predictive modelling, risk assessment and high-level administration. The bureaucratisation of commissioning process demands such complex skills, policies and procedures that it has the potential to change the very nature of the Third Sector that currently enables its many advantages. Challenges The level of risk associated with providing the service being tendered needs to be carefully considered: When services include the need for large insurance bonds to cover the risks associated with Pension funds for example, it is possible that many small organisations will be unable to secure a bond and hence will not be able to submit a bid. Furthermore, those organisations able to secure a bond still have to consider the risks associated with the possibility of losing the bond in future years. Thought needs to be given to alternative means of managing risk i.e. of ensuring TUPE staff are appropriately supported to maintain their existing terms and conditions without this leading to the provider organisation having to bear a substantial amount of risk associated with this practice. The potential to be required to take existing County Council staff on their current terms and conditions, under TUPE regulations, can also pose a
significant risk to smaller Third Sector organisations which do need to be weighed up carefully against the potential benefits of the contract. In our experience the complexity of the bid was in part due to this issue with over 100 County Council policies having to be adopted by the new organisation- this involves a full risk assessment of each onethis assessment took 2 days work. A substantial amount of work (and associated time and resources) is required by the bidding organisation in order to assess the risk of (not) bidding for the contract and of being (un)successful in the bid. The commissioning process requires a high level of sophistication and an embedded understanding of the Third Sector and ULOs in particular, to enable equality and fairness throughout the tender process. Due consideration needs to be given to: Timescales bearing in mind that a ULO will need to involve users at all stages in the bid development and submission process and this takes time; Information availability - as without key data and clear service requirements it is impossible to construct a feasible business plan without a great deal of second-guessing and time-wasting and; The quality of the submission documents - to enable the organisation to show the value-added of ULO/Third Sector bids i.e. inclusion and suitable weighting of questions referring to such issues. Fusion was considerably hampered by unclear and at times conflicting information in the tender. Many points of clarification (of basic and critical information) were requested through the tender portal and some responses were given at a very late stage in the tender process. Furthermore, whilst the service specification was rooted in the rhetoric of choice and control and the value of peer support, the tender documentation i.e. method statement and hence the evaluation of the contract, appeared to reflect a lack of understanding of the added value of the Third Sector.
Large-scale tenders are likely to lead to a Consortium bid from Third Sector Organisations. Consortium working and bid preparation as a consortium presents a number of challenges not least because different organisations are likely to be at different points in consortium understanding and will have variable abilities, skills and experience. Furthermore, sharing work across a consortium means that only a few people (normally from the lead organisation) have the whole picture and sometimes other partners can lack context. Benefits Working together in partnership when preparing a large bid has in the case of Fusion, strengthened existing partnerships through learning about each others strengths and weaknesses. The network of ULOs across England is strong. There is a significant amount of expertise within the Third Sector and the ability to capitalise on this as one of these ULOs is a distinct advantage. There are many opportunities for ULOs to mentor and support other ULOs in bid preparation and service delivery. Fusion was supported by Enfield Disability Action and Essex Coalition of Disabled People in the preparation of the bid for the Devon Direct Payment Support Service. The involvement of key staff (across the Consortium) throughout the bid preparation and submission has led to a significant level of learning, network development and confidence to submit future tenders of a similar nature. Summary and recommendations Fusions experience illustrates there is some way to go to overcome the current disadvantages faced by Third Sector Organisations in general and ULOs in particular when responding to the request for commissioned services through the existing tender process. Fusion would like to suggest that Local Authorities and other public sector providers consider alternative approaches to commissioning, either through a greater and more flexible use of grants or through more innovative tendering
processes to include: Co-production and co-commissioning with a ULO to sub-contract the services. Staged tendering process which reduces the risk of submitting such complex and time-consuming bids i.e. the amount of work increases as you get closer to winning the tender rather than the current all or nothing process which requires that all potential providers commit the same (and considerable) amount of work from the outset. A partnership approach is required of ULOs, Local Authorities, other public sector commissioning bodies and the Department of Health to ensure that an understanding of the value of the Third Sector in general, and ULOs in particular, is embedded in all practices. Whilst government guidance and related evidence is currently available, they are not impacting positively enough. Transformation of approach will only occur through strong partnerships between the public sector and ULOs via a co-production route, at all stages and in all parts of commissioning and operations management: from the research of need, through inception, development, delivery, monitoring and review.
Checklist of Information for Pre-Tender Questionnaire There are 3 different processes to bid for contracts
Open process - All potential contractors / suppliers can bid for a contract. Restricted process - A two or three stage process allows only those potential contractors / suppliers who satisfy a number of criteria to be short listed and allowed to bid. Negotiated process - Used for complex purchases. Careful consideration is given to the use of this process.
In order to become a contractor you may be required to submit information on your organisation usually in the form of a pre-tender questionnaire or as part of an Invitation to Tender process. Tenders may be advertised in national journals, or the local or national press. All tenders above the EU threshold are advertised in the Official Journal of the European Union (OJEU). Occasionally a public sector organisation may advertise for an approved list of contractors / suppliers in a certain field of work. Contractors / suppliers must satisfy the selection criteria before being admitted onto the list. The following checklist is an indicative list of some of the expected documentation you may be required to provide as part of a pre-tender questionnaire. Evidently all tenders are different and will, therefore, require diverse amounts and type of information. Please use the format of the table as a suggested framework which you can then populate with data according to the needs of the pre-tender questionnaire or Invitation to Tender you are about to complete.
Checklist for Due date information and pre tender 3 years annual accounts Evidence of company legal entity Insurance of public liability C.Vs of directors and managers Customer service records and procedures Details of race relation act compliance Equal opportunities record Quality management system Accident book records Environmental management system Information management and technology (IM&T) References from other similar public sector bodies
Ready for submission?
Bidding
If your organisation is successful in its submission of a pre-tender questionnaire or Invitation to Tender the next stage is to complete and submit a comprehensive bid. Note the points below prior to starting to write your bid: Make sure you leave plenty of time for writing and submitting the tender. There are often unexpected problems, so allow more time than you think you will need.
Check that you can meet the principal requirements and that you
will have the necessary resources at your disposal to fulfill the contract, if successful.
Note the duration of the contract. It is becoming standard in the
public sector to award two or three year contracts, and three to five year contracts are fairly standard with utilities. Read all of the documentation carefully and note the key points that you must act upon. When you receive the tender invitation documentation you may wish to compile a checklist of all items you will need to provide in your bid.
Use the checklist (see example) before finalising your bid and
submitting it. You should designate someone in your company to take overall responsibility for compilation of the tender. Individual aspects can also be allocated to appropriate staff, for instance, financial figures to the accounts team, and so on. Ensure that the nominated person will not be away at the time the tender needs to be submitted. Commissioners are generally obliged to give you information on how they score tenders, but they dont always send this out.
If not provided, ask for a guide to the proportional split between quality and price, and research issues that may affect what is wanted e.g. budget constraints or customer wishes.
Make sure you know your real and full costs of delivering a service.
(See section 6 - 'Setting up your Costs). Be prepared to explain your purpose and values as an organisation and how this can bring advantages in the delivery of public services. Can you make a fully realistic bid describing the methods you will use, to deliver the contract, meeting users needs and the public bodys requirements?
Key issues to be aware of:

Value for money Value for money often means the lowest price, as long as the contractor delivers the right quality and performance. But sometimes it can mean adding value by offering more than the Public Sector Organisation (PSO) asked for, even if the price is a little higher. For example, you may be able to demonstrate that your solution will bring savings elsewhere, or that you will create improvements in things like equality of opportunity, inclusion, and a focus on community and individual needs. Affordability and sustainability PSOs are under pressure to become more efficient, which means making the money go further. Sometimes this means reducing costs, at other times it means finding new and smarter ways to deliver services. PSOs will look at what a service will cost over the entire life of the contract, including any costs associated with the end of the contract such as transfer payments for assets and far from accepting annual increases in line with inflation they may well insist on cost reductions each year. Voluntary Community Organisations (VCOs) may need to commit to training and development programmes or to delivering improved performance over the contract period.
Services must also be sustainable. VCOs have to think about how they can give the PSO confidence in their ability to develop, resource and deliver a service over the whole life of the contract; for example, showing how they would change or adapt services to meet changing demands, needs and legislative requirements. Building a case Once your organisation has decided to bid for a contract you need to write a proposal. This may need to conform to a structure or application form laid down by the PSO. As a prelude to this, you need to build a business case outlining why you should provide a particular service, considering all the associated risks and impacts. This is not only about preparing a case to sell the service to the purchaser, but also to help establish amongst all your stakeholders that providing the service is right for your organisation. A business case demonstrates benefits, assesses risks and how they will be managed, quantifies impact on resources, and sets out the advantages and disadvantages of doing a particular action in relation to stated objectives. A business case should be sufficiently detailed to confirm the decision to proceed, identifying unique advantage. Successful cases ensure that there is a good fit between an organisations own purpose and objectives and what the PSO is trying to deliver. You may wish to consider structuring your business case to include the following sections:Section Your ULO Content Background Vision and aspirations Governance arrangements Outline of partners Statement of commitment to equalities
Strategic context relevant to service Government policies and legislation
Section
Outline of proposed service
Financial plan
Management and staffing
Partnership working
Content Local policies, priorities and future requirements Evidence base for proposed service Putting it into practice Overview of service Cultural approach within the strategic context User-led aims and aspirations Service objectives Outputs Scope Service Delivery method Risks and Barriers with solutions Staffing costs Cost benefit analysis Other costs Best value VAT status Costs to users Day-to-day financial management Audit Management Structure chart Staffing Job Descriptions and Person Specifications Learning and development Workforce planning Workforce management Partnership arrangements Business continuity arrangements Organisational profile and experience Strengths and Weaknesses, Opportunities and Threats (SWOT) analysis Further services and innovation
Section Reduction and management of risk Quality assurance and monitoring
Information security and confidentiality IT systems and management information Evaluation Sustainability
Exit strategy
Content Risk analysis and assessment Monitoring to achieve the targets Quality assurance system Project Management Ensuring quality of service throughout Project Management How to monitor the progress of the Service Positively managing change Records of people, actions and activities Compliance with Data Protection Act 1998 Data security measures Staff training and awareness Operating systems Customer Relationship Management (CRM) Internal interfaces When and how the key elements of the Business Plan will be reviewed and monitored A summary of actions that minimise or mitigate adverse impacts and enable optimum positive benefits to be realised. This may include a full appraisal detailing key environmental, social and economic impacts. When the contract comes to an end it is important to work closely with the new provider to ensure that there is a smooth, seamless transition period. This is to ensure that service users experience as
Section
Content little disruption as possible, and that staff are supported throughout the transition period
An assessment of strengths and weaknesses will allow your organisation to emphasise its unique selling points, whether they are experience, quality of staff, or familiarity with client groups. As a user-led organisation the views and opinions of your constituents forms an important part of this process. Consider facilitating focus groups to guarantee their involvement. Within the tender proposal you should aim to manage the presentation of strengths such that they fit the clients idea of what is required. The invitation to tender will specify the service required and say what criteria the purchaser will use to decide between the different bids. Finding a unique competitive advantage will help strengthen your chances of success. Working as a consortium may be an option in order to submit a stronger and more financially robust bid. It is worth finding out whether the tendering body agrees to consider joint or consortium bids if they meet the service goals for the contract. You should in addition:o Find out if potential partners are truly User Led and work to the same values and ethos as your own organisation. o Evaluate carefully what the purpose of collaboration might be, i.e. is it to win the contract, or to learn from others and gain a track record. o Consider the strengths and weaknesses of each partner and what they bring to the collaboration, will the benefits be equal or acceptable? o Consider whether collaboration will increase chances of winning a contract due to price, skills, quality, or added value? o See if this will remove any obstacle to your organisation passing the fitness test in the pre-tender assessment. 6 Setting Up Your Costs
It is important to note that the document you submit is likely to become the basis for a contract. You may not have the option to change anything at a later date should your organisation be successful. Your costing, staffing levels, and details of what you will deliver must be thought through carefully, conservatively and with the proper approval. Very few commissioners base their tender evaluation on cost alone, but it is worth finding out how much emphasis will be put on cost. There are several things to think about when costing a tender. The commissioner is likely to specify how you should break down your finances. This may be very simplistic, for example: Front line staff costs Management costs Overheads Work through your own process of costing the contract before completing the Commissioners model. That way you will know that you have factored in all your costs. Dont forget the following: Include all operational costs from daily or lifetime activity related to the contract, including any snagging costs (to deal with any problems or things that need time to settle in, such as when a service is overstaffed to start with due to uncertainties about exact requirements) and completion costs (to ensure the contract is completed to the clients satisfaction); Include occasional and routine costs from equipment, staff, management and facilities which can be attributed to the contract (though might be reduced if there were in future more contracts); o Client liaison costs, customer service matters, complaints, etc; o Every commitment you have made in your bid, which will form part of the contract. If the tender is for more than one year, then remember to cost in any inflation in the costs of staff and suppliers.
Explain any assumptions that you have made. That way, if the commissioner doesnt agree with the assumption, they can challenge that, rather than the price. It may be that you are requesting more than it actually costs you to deliver the service so that you can put a small surplus into your organisations reserves. This is a sensible approach, but make sure you explain it. Remember, if your staff or office are funded by more than one project allocate the costing fairly across the different funders. Be wary of using round numbers, for example saying that the pension contributions will be 3,000. Round numbers suggest that youve guessed rather than actually worked it out!
Full Cost Recovery This model costs each service fully, including the relevant portion of overhead costs. It ensures that overhead costs are covered, and that each project or service is costed fully. You may choose to subsidise a service initially to help you to appear more competitive. If this is the case then you should know why you are doing it, what it is actually costing, and how you will cover costs in the long-term. You should outline the scope of any service and how you would provide it. This means checking that you can cover every aspect of the specification. It is helpful to pull together an outline plan that shows what resources will be used and how. Associated costs also need to be included to enable you to see the impact of the opportunity on existing operations and services. Maybe your
organisation will work in collaboration with others as for example in a consortium. A practical tool to help VCOs to understand and calculate their costs and allocate them appropriately has been developed by New Philanthropy Capital and ACEVO (Association of Chief Executives of Voluntary Organisations). The guide, Full Cost Recovery: A guide and toolkit on cost allocation (2005), includes a cost allocation template to help organisations calculate the full costs of their projects and services in an easy step-bystep process. http://www.fullcostrecovery.org.uk
Key Checklist for Tender Preparation
Closing date Note the day, date and time by which the tender must be submitted Acknowledge receipt of the invitation to tender and advise that you intend to submit a bid Award criteria Note whether it is lowest price or most economically advantageous tender. If the latter, what are the factors involved? Company Information on company structure, management and organisation Details of shareholding(s) Details of personnel Details of current order book Financial information Turnover for the past two to three years (government guidance recommends two years) Most recent audited accounts Bank references Tax Clearance Certificate Guarantees and bonds Technical information Details of IM&T (Information, Management and technology) Specification Do you understand the full requirements of the specification? If not, seek clarification What standards are quoted? Can you meet the requirements of the specification?
Health and safety Details of health and safety policy Details of accident records Environmental issues Quality assurance Details of quality assurance Insurance Ensure the appropriate insurance is in place Pricing Structure the pricing as specified If tender pricing sheets are included complete in full and total the costs
Sign- Off: Dont forget to sign all tender documents unsigned documents will not be considered 8 Award of Contract
Contract award notice The PSO will publish a contract award notice to notify the outcome of the tender. The notice will specify, amongst other things, details of the successful tenderer and total price to be paid, although the latter is often withheld on the ground that publication of the price would prejudice legitimate commercial interests.
The contract award may take some time from the date that you submitted your bid, especially for larger value contracts. You should be provided with a timetable of the decision-making process. If you have not heard anything after some time, you should contact the PSO and get an indication of when the decision will be made.
Notification letter
Before the contract has been concluded, you should receive a notification letter from the PSO to whom you submitted your bid. It will give you details of: The award criteria Where appropriate, your evaluation score and the successful tenderers score The name of the successful tenderer. Note though that the directives allow, and in some cases require, PSOs not to publish certain confidential information. This is also subject to the Freedom of Information Act 2000, which may prevent the disclosure of some of the above information in the notification.
Standstill period The UK government now requires all procurements subject to the full EU Directives to include a standstill period of at least ten calendar days between informing the tenderers about the award decision and concluding the contract. Before, there was no obligation to inform participants of a decision prior to the conclusion of a contract, and only limited scope to challenge concluded contracts by aggrieved or unsuccessful tenderers. The change makes the rules comply with the EU Remedies Directive (see below).
The standstill period does not apply to contracts below the EU threshold or to contract awards outside the full scope of the directives, such as Part B Services contracts. It also need not apply to procurement processes where there is only one tenderer.
Potential delay If another bidder makes use of the standstill period to question the award decision, there may be a delay in concluding the contract arrangements to enable you to commence. You should bear this point in mind in all tenders where these rules apply and consider having a price inflation
clause in the contract that will give you the opportunity to make changes to contract prices, especially where there is a substantial delay.
What EU Rules say about Standstill Periods. Within two working days of the start of the standstill period a bidder can request additional debriefing from the PSO. The PSO, due to the new standstill obligation, must provide the bidder with such additional information at least three working days before the end of the standstill period. The time periods will start the day after the award decision is issued and must end on a working day. PSOs will be required to take account of UK public holidays in calculating standstill time periods, and extend it where appropriate. For more information on the standstill period go to www.ogc.gov.uk and www.ipfprocurement.net
When your bid is successful

Feedback It is always useful to find out why your bid was successful to be clear about the award criteria and what the strong points of your offer were. For contracts above the EU threshold, the PSO must award a contract on the basis of one of the following two award criteria (which it will state in the contract notice):
Lowest price feedback on the bids received or range of prices can be helpful Most economically advantageous tender it will be useful to request feedback on how you scored against each of the criteria when your bid was evaluated.
When your bid is unsuccessful

If your bid is unsuccessful, you can write to the PSO to request a debriefing and feedback as to why your bid was unsuccessful. The PSO is
obliged to respond to you within 15 days of your written request, providing you with reasons why you were unsuccessful and, if you had submitted a compliant tender, also the characteristics and relative advantages of the successful tenderer and the name of the successful tenderer. Although it is a requirement under EC Procurement directives for PSOs to provide feedback, some PSOs may be uncomfortable about giving feedback to you, fearing that anything they say can be used against them. However, if you have developed a good working relationship with a PSO you are likely to get more meaningful and constructive feedback. It is important to gather feedback from unsuccessful bids and analyse it as this may lead you to reassess and improve your approach for future bids as well as determine your weaknesses and strengths. 9 Delivering the Contract
Delivering the contract is a serious undertaking; ensuring day by day that service and standard are delivered, and that deadlines and targets are met. If you become a contractor you will have to satisfy the wishes of your customer. Make sure your Board agrees who this is. Customer satisfaction You should carry out your own customer service work, to ensure that you can answer any questions from the client officer and that you can maintain or increase the level and standard of service over the life of the contract. Ensure you are on track to fulfill requirements and if there are problems then seek advice. Cashflow and targets
You will need to monitor your costs. In addition you will need to keep a close watch over cash flow at all times. While agreed payment regimes are fixed once the contract starts you will need to make sure that the money does arrive in the manner agreed. Take stock of the targets and any improvement requirements included in the contract. Ensure you are on track to fulfil the requirements of the described service. If at any time there are problems then do not put off seeking advice and help. Make sure that the relationship with the client office is as effective as possible Finally: make the most of your opportunity to deliver public contracts. Be proud to be meeting the needs of residents and service users and to be contributing directly or indirectly to public service! Ensure the whole workforce and all your stakeholders (including suppliers, sub contractors, and supporters) are aware of this important contribution. Keep them involved and informed of progress and achievements and celebrate your successes and the way you are achieving your social and other goals too!
Appendix 1: Glossary Accreditation: External recognition that you meet certain standards. This can be general (for example, your quality assurance system if you have one), or specific to a particular activity such as aspects of health care. Added value: Features and benefits that you offer which exceed the specification for the contract. Best Value: the performance framework for regulating local government and health services, which includes the need to consider whether services are being delivered in the most appropriate way, and by whom, and the need to secure continuous improvement. Bid: A formal proposal to supply goods or services at a specified price, usually describing how the contract requirements will be met. Business case: A document setting out the information a manager needs before deciding whether to support a proposed project, before significant resources are committed to its development. The core of the business case is an assessment of the costs and benefits of proceeding with a project. Business unit: formerly known as DSO or direct service organisation a trading unit within a council that delivers services or consultancy work on a similar basis to outside contractors. It is covered by legal requirements to make a surplus. Charitable: In England and Wales, charitable purposes are defined as being: The relief of financial hardship The advancement of education The advancement of religion Certain other purposes for the benefit of the community.
Co-financing: A public sector intermediary body approved to act on behalf of a government office. For example, Derbyshire Learning Skills Council acts for the Government Office of the East Midlands and East Midlands Objective 3 Monitoring Committee. The co-financing organisation is responsible for setting priorities for the allocation of European Social Fund (ESF) resources within the framework of the East Midlands regional development plan, and for managing the delivery of ESF supported activity. Contract: A binding agreement to perform a certain service or provide a certain product in exchange for valuable consideration, usually money. Contract notice: A notice published in OJEU, (see below) announcing a public sector organisations intention to let a contract for specific goods or services, and explaining the type of procurement process to be used. Contracting party: The leading organisations that have entered into contractual obligations. If you have a contract with a PSO and you have subcontracted some of the work to others, you are the contracting party, the sub-contractors are not. Contractor: Someone (a person or entity) who enters into a binding agreement to perform a certain service or provide a certain product in exchange for valuable consideration, usually money. Costs: The money spent on resources to deliver the service. eAuction: A tendering process where bidders go online and bid against each other live to offer the lowest price. Bidders will already have submitted technical details of their offer and will only be allowed to bid a price if their offer has met all the requirements. Efficiency: Getting more out of your resources, could be doing: More with the same resources More with fewer resources The same with fewer resources.
Evaluation: The process of assessing each bidders tender so as to be able to select the best one. Feedback: Discussion with a PSO to find the reasons for success or failure of a tender so as to learn how to respond effectively in future. Framework agreement: An arrangement where a purchaser selects suppliers and fixes terms and prices for a period in advance (often three years), and then calls on the suppliers to deliver as and when required. Full cost recovery: Covering all the costs of providing a service, including a suitable proportion of overhead costs. Grant: Money provided by a PSO to support a particular activity. Grants usually do not cover the entire cost of the activity. There will usually be conditions attached to the grant, and the voluntary and community organisation (VCO) can generally choose how to operate. Invitation to tender (ITT): A formal communication from a PSO to a supplier inviting it to submit a tender. The ITT will usually also include a specification for the contract, instructions for submitting an acceptable tender, and the terms and conditions, which will govern the contract once it is active. Lot: Some contracts are divided into a number of parcels of work (called lots) and suppliers are invited to state whether they are bidding for the whole contract or just parts of it. Method statement: account of the procedures being proposed in a service. OJEU: The Official Journal of the European Union, where all contract notices must be published for tenders that fall within the European procurement laws.
Overheads: The indirect costs incurred in running a business. These include rent and rates, marketing and publicity, administrative and financial costs. Partnership: A cooperative relationship between people or groups who agree to share responsibility for achieving some specific goal. Performance: Delivery of goods or services, judged against the standard specified in a contract. Performance Bonds: Performance Bonds are typically required as a guarantee to the ultimate service provider (for example, the local authority) in the event that the contractor fails to deliver a bond provides the public authority with a fund to rescue the service, which may require immediate replacement. It has been possible for some social enterprises to negotiate an alternative though you may need to pursue this from an early stage in discussions about bidding. Pre-qualification: A questionnaire used by PSOs to check the suitability of suppliers and shortlist the ones they will invite to tender. Procurement: The process of buying goods and services. Procurement card: Like a credit or debit card, but for organisations rather than individuals. It allows purchasers to order and pay for goods and services in the same way. Public sector: The part of economic and administrative life that deals with the delivery of goods and services by and for the government, whether national, regional or local. Public sector: A public organisation that provides or manages government and public sector services. Purchasing: The buying of goods and services.
Quality: Fitness for purpose when judged against the standards specified in the contract. Quotation: A less formal (often non-competitive) written offer to supply goods or services at a particular price. Request for tender: Same as invitation to tender. Resources: People, equipment, facilities, funding, or anything else required for the completion of an activity. Select list: A list of suppliers that a PSO has already assessed and accepted as credible bidders for one or more services. If you are not on the select list, you may not be eligible to bid for the work. Not all PSOs operate select lists. Selection criteria: The factors that a PSO will take into account when deciding which tender to accept. Usually some factors will count for more than others. Service level: Like a contract, but often less formal, and not normally binding in law. Often used between two PSOs, or between two different parts of the same PSO. A local authority social services department might have SLAs with the legal department (to get advice) and with the direct services department (to provide domiciliary care). Specification: A description of the essential technical requirements for goods or services to be delivered under a contract, including the method for checking that the requirements have been met. Sub- contractor: Someone (a person or entity) who signs a contract to perform part or all of the obligations of anothers contract. Sustainable: Capable of being maintained for the full duration of the contract.
Two envelope: A tendering process where tenders are first evaluated on technical and quality factors. The purchaser will only look at a suppliers price (in the second envelope) if it is acceptable on those grounds. Unique selling point: A unique proposition that causes a PSO to choose a particular supplier.
Appendix 2: Useful links Association of Chief Executives of Voluntary Organisations (ACEVO) They connect, develop and represent the Third sector's leaders. They have over 2000 members and have been providing support and advice to their members for 20 years. www.acevo.org.uk. Audit Commission The Audit Commissions job is to ensure that public services deliver value for money. It covers local government, housing, health, criminal justice and fire and rescue services. www.audit-commission.gov.uk Business Information Publications Business Information Publications is a comprehensive source of information and library of publications in relation to all central government procurement guidance and contact points, includes National Health Service, EU Directive updates and some high level local authority material. www.bipsolutions.com Business Link Business Link provides the information, advice and support you need to start and maintain your business, and help it to grow. Whatever your business issues, they can put you in touch with the expert help you need. Advisers in your local area deliver the Business Link service and are supported by a national website (www.businesslink.gov.uk) and a national phone line (0845 600 9 006). Chartered Institute of Purchasing and Supply- CIPS www.cips.org. Commission for Racial Equality For guidance on race equality and procurement. www.cre.org.uk
Department for Children, Schools and Families Support Pack for the Joint Planning and Commissioning Framework Information for any one seeking to tender for work including childrens services. www.everychildmatters.gov.uk/resources-and-practice/IG00044/ Department for Communities and Local Government This website provides key documents and references for implementation of the governments National Procurement Strategy for Local Government www.odpm.gov.uk Department of Health Procurement and proposals. These pages provide information about purchasing and tenders within DH and the NHS, and also serve as a guide for submitting proposals; for research and development, and covers public private partnerships (PPP), whose two main areas are the private finance initiative (PFI) and NHS Local Improvement Finance Trust (LIFT). Directgov A brief guide to finding more specialised government information Directories. In Directgov's Directories section you can browse or search for contact details and websites of many government organisations and public bodies. www.direct.gov.uk DTI regional (Department of Trade and Industry) Information on regions, including links to all the Government offices, Regional Development Agencies and Devolved Administrations websites. www.dti.gov.uk/regions/index.htm
Futurebuilders
If you are a voluntary or community organisation looking for finance to help you expand your services to the public, then Futurebuilders could be the right fund for you. Its website has advice on finding a purchaser. www.futurebuilders-england.org.uk Improvement and Development Agency (I&DeA) The Improvement and Development Agency is the body promoting best practice in services development and delivery for local government in England and Wales. It works with elected members and local government officers. Through the organisations website you can get access to publications such as Sustainable Procurement Guidance and other useful documents. www.idea.gov.uk/procurement. IPF IPF is the management support services company of the Chartered Institute of Public Finance and Accountancy (CIPFA) and is the author of this guide. It provides comprehensive procurement related information and is a valuable tool and resource for anyone who wants to access upto-date information about current initiatives, toolkits, research and developments in procurement, and the sharing of best practice. www.ipf.co.uk/ipfprocurement.net Also www.cipfa.org.uk/shop LGA The Local Government Association represents all the local authorities in England and Wales www.lga.gov.uk National Council for Voluntary Organisations (NCVO) NCVO has set up links to sources of information and advice on procurement through its Sustainable Funding Projects microsite on earning and public sector delivery. www.ncvo-vol.org.uk/sfp
New Approaches to Public Procurement (NAPP)
The New Approaches to Public Procurement (NAPP) network of local authorities aims to help participants address legal, policy and practice issues that have up to now been obstacles to achieving community benefits through contracts, in particular by maximising training and job opportunities for disadvantaged residents. The network enables participants to share information on their policies and practice, and supports them in developing pilot procurement projects to achieve community benefits. For further information, contact the NAPP secretariat on 0121 200 3242. NHS The NHS holds events such as Selling to the NHS, Meet the Buyer and numerous industry specific conferences. Assistance is available through the NHS PASA Purchasing Helpdesk on 0118 980 884; www.pasa.nhs.uk/suppliers/ OGC OGC has a small business service (for all small organisations) www.sbs.gov.uk and the new portal for low-value contract opportunities www.supplyinggovernment.gov.uk Official Journal of the European Union (OJEU, previously called OJEC) Almost all public-sector contracts worth more than the value set in the EU procurement directives must be published in the daily supplement to OJEU. This provides information on the current requirements and invites suppliers to express an interest, or to tender directly in some cases, depending on the contract procedure. It also sets out information about contracts that have been awarded. www.ojec.com Publictenders.net A site delivered by a private sector company, Public Technology Limited, providing up to date listings of public sector tenders across England. www.publictenders.net Small Business Service
The Small Business Service offers a comprehensive service to SMEs (Small and Medium Enterprise). The website includes useful advice on sources of funding; regulations which can affect small businesses; advice on exploiting innovation and improving efficiency, and a variety of statistics, papers and studies. 0845 600 9006; www.sbs.gov.uk Social Enterprise Coalition The Social Enterprise Coalition (SEC) is an alliance of social enterprises from across the UK. It aims to provide a national voice for the sector; to promote the sector; to build capacity through information sharing, and to encourage co-operation. 020 7968 4921. www.socialenterprise.org.uk Sustainable Funding Project Project run by the National Council for Voluntary Organisations. www.ncvo-sfp.org.uk Supply2.gov.uk Supply2.gov.uk is a government-backed service designed specifically to give companies easy access to lower-value contract opportunities (typically worth under GBP100,000) offered by the public sector. This portal brings buyers and suppliers together and aims to be the first portal of call for lower-value business opportunities. Tenders electronic daily (TED) Tenders which have a total value which is above the threshold are published in the Official Journal of the European Union and can be found on Tenders Electronic Daily. This is published six days per week and can be found at www.tender match.co.uk
Appendix 3: Bibliography Information compiled from: ACEVO (2005): Full Cost Recovery: A guide and toolkit on cost allocation http://www.fullcostrecovery.org.uk/main/fcr_toolkit.php Charities Aid Foundation (2006): Introductory pack to trading. Finance Hub http://www.financehub.org.uk/projects/procurement/default.aspa Charities Aid Foundation (2006): Introductory Pack on Funding and Finance Guide to Procurement and Contracting. Finance Hub http://www.financehub.org.uk/projects/procurement/default.aspa Charities Aid Foundation (2007): Tools for Procurement and Contracting: Funding and Finance Toolkit 3. Finance Hub http://www.financehub.org.uk/projects/procurement/default.aspa Charities Aid Foundation (2008): Impact Briefing: Putting impact at the heart of the tendering process. Finance hub http://www.financehub.org.uk/projects/procurement/default.aspa Charities Aid Foundation (2008): Tendering and Bidding Briefing: Give your tender a winning chance. Finance Hub http://www.financehub.org.uk/projects/procurement/default.aspa Charities Aid Foundation (2008) Tendering and negotiating: Finance Hub. http://www.financehub.org.uk/selling_goods_and_services/tenderinga ndnegotiating/resources.aspa Social enterprise unit DTI (2003): Procurement Tool kit for social enterprise.
http://www.cabinetoffice.gov.uk/media/cabinetoffice/third_sector/asse ts/toolkitforsocialenterprise.pdf Whiter. R et al (2006): Before signing on the dotted line all you need to know about procuring public sector Institute of Public Finance contracts http://www.ncvovol.org.uk/uploadedFiles/Sustainable_Funding/Publications/Procureme nt_Guide.pdf
Appendix 4 : Tender Process maps
Map 1: Public Procurement

Project Initiation Bid (PID ) Continue contract or re -commission
Engage service users and providers in design of the service
Decide on core Requirements Set standards and objectives for service requirement
Monitor and evaluate the contracts results over time
Review progress towards outcomes and value created to service , Council & public sector
Develop a pre -qualification questionnaire , also focusing on outcomes

Focus the specification on outcomes and incorporate the councils corporate level goals (e.g. from community strategy ). Involve users here!
Start the contract
Write the invitation to tender with final service specifications and schedules
Develop a way to track results over time with the provider

Relate ongoing tracking of results to value created by provider activity for the council (both financial an D Other )
Evaluation of pre -qualification questionnaire
Build outcome framework in to tender schedules and award criteria
Appoint the service provider
Assessment of technical and financial ability to provide service , requirements and standards
Interview and select the contractor
Public procurement
Adapted from: Finance hub Impact Briefing: Putting impact at the heart of the tendering process . www.financehub .org.uk Accessed on line 12th may 2009
Map 2: Organisation: Process map to tender
Research and understand service structures of councils and research literature for bids
Review progress towards outcomes and value created to service , Council & public sector
Contract continues or is being re-commissionned
Engage in discussion with commissioners, share your thoughts and what you can offer as a way to influence the scope of the service
Get hold of strategic plans , and consider how their priorities link with the aims and objectives of your organisation
Keep in contact with commissioning bodies
Monitor and evaluate the contracts results over time
Identify the strengths and weakness of your organisation and the uniqueness of the service it could/does provide
Start gathering information which could be used for this tender or for a later one (see checklist ) be prepared.
Start the contract
Invitation to tender advertised Possible pre tender questionnaire . Do you want to bid? If yes see check list information for pre tender .
Relate the results to aim and objectives as well as added value
Work in collaboration with commissioner to establish a recording , assessment and reviewing tool . Set in place last details.
Ask for the tendering scoring mechanism that is to be used . Make sure you leave plenty of time for writing and submitting. Keep all information on electronic format for quick editing. Think ahead .
The document you submit might become the basis for a contract and difficult to change at a later date. Make sure you have your costs right
Service provided appointed
When invited to fully bid for the tender , build a business case. Write a detailed proposal explaining why the service is right for the organisation , and values, aims and objectives shared by commissionner and your organisation
Key issues to consider: -Value for money -Affordability and sustainability , -Added value to service
Interview and selection of the contractor. Emphasise your expertise and your ability to provide the service, your capacity to grow and adapt .
Organisation: process map to tender

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Appendices for Are you Ready for Business? pack
Appendix 1: Partnership Agreement Example

(Project based example providing an initial agreement when partners first come together to build the foundations of a consortium and establish shared values)
Contents
1. Purpose of the Agreement 2. Objectives 3. Partners individual vision, mission and values 4. Benefits of collaboration 5. Duration 6. Operational structure and accountability 7. Delivering the Agreement
Page 127 Page 127 Page 129 Page 131 Page 132 Page 133 Page 134
1.
Purpose of the Agreement. 1.1 Living Options Devon (LOD), Westbank and SURF have been successful in a bid to be one of 12 pilot Action and Learning Sites who are to receive funding from the Department of Health in order to provide a minimum set of services for a fully functional User Led Organisation. We wish to ensure that through our cooperation we will support disabled people and carers to have more support and control over their lives; empowering constituents and service users. The purpose of this agreement is to set out how LOD, Westbank and SURF will work together, how we will achieve the design criteria as set out by the Department of Health, and how this relationship is managed. This agreement provides a basis for working relationships in order to fulfil the primary objectives identified in the Framework for User-led Organisations Action and Learning Sites (DH, 2007). Objectives. In particular, the scope of the project intends to: Establish a Devon-wide Consortium of three user-led organisations (LOD, SURF and Westbank). Evaluate broadening Consortium membership and widening the constituency base to include Physical and Sensory Disability, Learning Disability, Mental Health and Older people. This will include the involvement of carers for each group.
1.2
1.3
2.
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This will be realised by achieving the following objectives:Objective 1 Making Links To establish a Devon-wide Consortium of three user-led organisations; broadening the group of people we work with either directly or via establishing links with other agencies. To set up working relationships with local networks and organisations who may work with a different constituency base. To identify how networks can best be used to achieve cohesion across all user groups. Objective 2 Promote Independent Living To develop the Consortiums services and wider work to promote independent living. Both constituents and stakeholders will have a greater understanding of why the concept of independent living is important and how it will shape the Consortiums work. We will carry out an audit to review how current work fits with the concept of independent living and develop services accordingly. Objective 3 Promote peoples human and other legal rights To develop an understanding of peoples human and other legal rights. We will audit the Consortiums services to see how its work incorporates/relates to peoples human and other legal rights and develop a toolkit to ensure rights are embedded within all processes across the Consortium. Objective 4 Recognise that carers have their own needs and requirements. The Consortium will develop work to address the needs and requirements of carers. We will explore ways of focusing on the common and different perspectives of carers, disabled people and other people who use support. We will build upon areas of commonality where the Consortium can speak as one voice regarding carers and in turn seek to develop services
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holistically, i.e. so the needs of carers are considered by disability organisations and the needs of disabled people are part of the work of Carers Plus. 3. Partners individual vision/mission/values. Living Options Devon 3.1 Living Options Devon exists to ensure people with physical and/or sensory disabilities and Deaf people with sign language can make an active and equal contribution in society. Their purpose is to: encourage people to feel more informed, valued and confident to take part in society through relevant training and support; enable people to identify priorities and develop user-led services; engage people in effective communication with local and national service commissioners and providers; empower people to raise awareness of what society needs to do to provide equality of opportunity both locally and nationally.
Living Options Devon is a leading, local disability organisation with an excellent reputation for providing a range of user-led projects to improve services, equality of opportunity and social inclusion across the County. It is supported by a mixture of public sector funding and grants from external trusts. LOD also generate their own income through delivery of high quality, user-led disability and Deaf awareness training and access audit services and other consultancy services. Living Options Devon is also commissioned regularly to involve service users in high profile, public service reviews and user-led research. We are a member of a variety of influential public
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sector partnerships where it is essential that the views of disabled and Deaf people are represented. Westbank 3.2 Westbank has been providing practical help such as shopping, transport to and from medical appointments, befriending and welfare support since 1986. Westbanks Priority Aims are to:
Relieve sickness and preserve health amongst the community Preserve health and foster independence Support primary health care through voluntary activity Support for carers and bereaved people in their homes with practical and befriending support Meeting the needs of carers of all ages, including young carers Supporting carers has always been a priority for Westbank and this is done locally through our carers group, one to one advice and sitting service. Westbank is the lead agency for the Carers+ consortium which also includes East Devon VSA and Exeter CVS. Carers+ has a countywide contract with DCC for the delivery of the Devon carers link network, and the flexible breaks grants and Take a Break schemes. SURF
3.3
Surf is a project that is managed and supported by Royal Society Mencap. Mencap support Surf to actively contribute to the development of the Fusion consortium. The project is funded primarily by Devon County Council through the Learning Disability Development Fund. The role of Surf is to support adults with learning disabilities to have a say about their services and to inform local, countywide and national decision making.
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Surf is working towards being an organisation led by its members. This work is led by the Surf Board, a group of members that take part in planning and consultation. In the next year members will focus on key aspects of the organisation, gain new skills and shape the future of the organisation. As Surf progresses towards becoming user led, members will take effective control of decision making processes. Mencap are pleased to support Surfs contribution to Fusion. 4. Benefits of collaboration.
Involvement of people who use services and their carers.

4.1 Although the partnership must meet specific objectives as set out by the Department of Health, the project can be seen as a strategic piece of work which serves to engage with all stakeholders across the public and voluntary sectors and service user groups. The work of the Consortium will be steered and guided by users and will help to achieve delivering choice and control for disabled people and carers in Devon.
4.2
Sharing knowledge and information.

4.3 The work of the Consortium will build upon established links and networks to cover all local disabled people, carers and other people who use support. Living Options Devon, Westbank and SURF are committed to broadening the group of people who the Consortium works with and will share existing networks and information in order to do this.
4.4
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4.5
The Consortium is also contributing to wider partnerships between the third and statutory sector and will link to Commissioning Strategies and local operating plans, i.e. the Devon County Council Modernisation and Personalisation Agenda. LOD, Westbank and SURF will look for opportunities to disseminate and promote awareness of each others work. Duration. The key objective outlined by the Department of Health (DH) is to ensure that Action and Learning Sites are delivering against project plans within the timescales and in line with the funding agreed with DH. In accordance with the key objective this Partnership Agreement will terminate upon completion of the four objectives within the agreed timescale of one year from March 2008 to March 2009. Any extension or review of the partnership agreement will be subject to further funding or the Consortium becoming the User Led Organisation for Devon. The Consortium agrees to submit quarterly reports to DH no later than the close of business on the following dates: Quarter 1 Quarter 2 Quarter 3 End of year report 14th July 2008 13th October 2008 15th January 2009 21st April 2009
4.6
5. 5.1
5.2
5.3
Living Options Devon will ensure reports are submitted by the relevant dates and are signed by the Senior Responsible owner as identified in the Project Initiation Document.
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6.
Operational structure and accountability.
Working with other organisations

6.1 This agreement will underpin our work with other agencies and organisations where it is in the best interests of the Consortium, i.e. to widen the constituency base to include Mental Health and Older People. Partners will share best practice on working with organisations outside of the Consortium and individual methods for establishing effective networks. This will in the long term work towards achieving a strategy to become the ULO for Devon.
6.2
Organisational Structure and Accountability

Roles and responsibilities of the Consortium are identified in the Project Initiation Document (PID). We agree to work according to the methodology of Prince II Project Management, thereby ensuring a robust and efficient reporting and monitoring system. Living Options Devon, Westbank and SURF agree to form part of the Project Board and carry out their role as commensurate with that as stated in the PID. 6.5 As part of the Project Board, partners will ensure they provide overall direction and management of the work of the Consortium and that the project remains within any specified constraints. Partners agree to inform each other in the first instance of any risks or difficulties they may encounter during the course of this agreement. The project team may also provide support where needed.
6.6
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6.7
Where progress has not been made to resolve the issue, assistance may be sought through the South West representative for the Care Services Improvement Partnership (CSIP). A sustained lack of progress will lead to the involvement of the Department of Health and we agree to meet with the Project Board before making such a decision. This agreement may be terminated, with written notice, should either of the partners default on any of the following: Ceasing to be a ULO, or to be engaged with service users or carers. Failure to communicate risks as noted in 6.6. Failure to complete objectives as commensurate with the project plan.
6.8
6.9
6.10
Should a partner default on any of the above they will be issued with a plan of action to rectify the default within an agreed timescale set by the project board. It is the duty of all partners to bring notice of a default to the attention of the project board. If the default has not been rectified within the time limit specified then the project board, including the other partners, will be entitled to exclude the partner from the consortium and end this agreement.
6.11
7.
Delivering the Agreement. 7.1 To support the delivery of this agreement Living Options Devon, Westbank and SURF will incorporate their principles into the overall Consortium objectives. We agree to respect and abide by the fundamental values of each others organisations and any person who uses their services.
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Are you Ready for Business? Appendix 1
7.2 7.3
We will use this agreement as the basis for monitoring our joint working and the development of our relationship in the future. We are committed to ensuring that there is good communication between our organisations. We will have formal meetings monthly in the first instance with the rest of the Project Board. We will update each other on developments and learn from each others work. xxxxxx from Living Options, xxxxxx, from Westbank and xxxxxx, from SURF will be the lead contacts to develop practical arrangements to ensure that each partner organisation informs each other of relevant activities to the work of the Consortium. These arrangements may include: Sharing of network and partnership working information. Future meetings of the Project Board. Setting up advisory groups across the county to inform the work of the Consortium. Regular meetings between the partners to keep up to date with project progress or to deal with issues as they emerge.
7.4 7.5
7.6
Signatories.
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Appendix 2: Governance Structure Example
Governance Structure Diagram
Trustee Board
Finance Subcommittee
Service User Involvement Subcommittee
Senior Management Team

Disabled People Disabled People Director of Finance
Chief Director of Research Executive and Officer Development
Company Secretary + HR
Director of Service User Involvement
Disabled People
Staff Team
Staff Team
Staff Team
Staff Team
Staff Team
Governance structure
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Appendix 3: Organisational Structure Example
Staff Organisational Chart Template

Chief Executive Officer
Assistant to CEO Service Manager Disability Advisor Office Manager Project Assistant Devon Link magazine Correspondents Disability Awareness Trainers
Director of R&D Project Lead Advocacy Operational Manager Research & Consultancy
Director of Service User Involvement
Director of Finance Disability Access Coordinator Finance Assistant Access Auditors
Advocate
Peer Support Officer
Receptionist/ Pathways Advisor Business Development Coordinator
Research Assistant
Advocate
Consultation & Campaigns Officer
Advocate Deaf Project Coordinator
Administrator Lead Training Coordinator D4
PA to Senior Management Team Premises & Project Support Offier
Senior Independent Mental Capacity Advocate (IMCA) Practitioner
IMCA
IMCA
Within each team, positions are function based rather than hierarchical
IMCA
IMCA
Are you Ready for Business? Appendix 3
Appendix 4: Project Structure
June 2009 Version 1

Are You Ready For Business? DPULO Toolkit

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Are You Ready For Business? DPULO Toolkit

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Are You Ready for Business?

Fusion Contact Details

Are you Ready for Business? Introduction

June 2009 Version 1

Are you Ready for Business? Introduction

June 2009 Version 1

Project Initiation Document (PID) Template

Version History Date Revision Summary of Changes

Approval Name Role in Project Signature Date

Are you Ready for Business? Introduction

June 2009 Version 1

Are you Ready for Business? Introduction

June 2009 Version 1

Are you Ready for Business? Introduction

June 2009 Version 1

Links to Commissioning Strategy and Operating Plan

Scope of the Project

2.7 Outline Deliverables

Are you Ready for Business? Introduction

June 2009 Version 1

Equality/Health Impact Assessment (EIA)

Tolerances for the Project

Corporate Reporting Arrangements

Business Case Reasons

Options 3.2.1 Options Option Benefits & Disadvantages

3.2.2 Recommended Option

Are you Ready for Business? Introduction

June 2009 Version 1

Reasons for Selecting the Recommended Option

3.5 Expected Timescales

Are you Ready for Business? Introduction

June 2009 Version 1

Project Management Team Structure Project Board

Project Assurance Role Job Tile and Contact Details Appointed By

Project Management Role Job Tile and Contact Details Representing

Project Manager Project Coordinator

Product Objective 1 Objective 2 Objective 3 Objective 4

you Ready for Business? P.I.D Template Page 16 of 145

Management of Risk Risk Log Risk Risk Contingency owner Status

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Are you Ready for Business? P.I.D Template

June 2009 Version 1

Actions to achieve this objective

Milestones/ Success Criteria

Project Quality Plan

8.1 Quality Responsibilities Name Role Quality Responsibilities

1 2 3 9 9.1 Controls Reporting Arrangements

Project Board Project Team Public Stakeholders

Document Management Arrangements

Are You Ready for Business? P.I.D Template Page 22 of 145

June 2009 Version 1

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June 2009 Version 1

Partnership Agreement Template

(1) (2) (3)

[Parties involved] [Parties involved] [Parties involved]

______________________________ Consortium Agreement Relating to ______________________________

THIS AGREEMENT is dated PARTIES

June 2009 Version 1

June 2009 Version 1

June 2009 Version 1

time to time be applied by the parties to the delivery of the Service(s).

Consortium Agreement Relating to