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The importance of structured
    collaboration
    Spring 2012

    Context                                                               •   introducing a common language to improve
    Partnership activity has both benefits and risks, and the track           communication between organisations
    record for local government has been mixed, leading to                •   aligning aspirations and capabilities between partners and
    varying degrees of positive outcomes and, in the case of                  playing to organisations' strengths to improve productivity
    poorly designed partnerships, sometimes making the position           •   providing greater continuity and flexibility of resource
    worse.                                                                    across organisations
      Where partnerships have not been successful, this is often          •   enhancing governance across organisations, such as by the
    attributed to a lack of formal structure and clear, robust risk           use of shared approaches to risk management
    sharing arrangements.                                                 •   promoting innovation and continuous improvement.
      The imperatives of the Coalition Government's 2010
    Spending Review, allied to its policy agendas such as Big             At a time of increasing partnership working, it is more critical
    Society and Open Public Services, are seeing local authorities        than ever to understand the costs, benefits and outcomes of
    considering - more seriously than ever before - alternative           collaboration. Structured collaboration provides the focus on
    forms of service delivery with other public sector bodies, the        value and outcomes that local authorities and their partners
    private sector and civil society organisations, including             need.
    possible 'spin offs' from their own organisation.
                                                                          How can we help?
    What are the main issues?                                             Grant Thornton and Pera have developed a structured
    1 increased risk as partnership activity increases - For              collaboration review methodology that has recently completed
      example, the Open Public Services white paper suggests that         a successful pilot with a London Borough and some of its key
      the growth of outcome based contracts and payment by                statutory and contractual partners.
      results will see an increased risk of provider failure, at a time     In applying our methodology we triangulate stakeholder
      when the minimum standards and expectations of                      perspectives on key factors such as partnership strategy,
      commissioners increase.                                             objectives, delivery, measurement and outcomes, to provide an
    2 lack of central guidance and inefficiency- Whitehall has            assessment of the 'health' of collaboration activity, based on
      not always provided guiding principles. Many new                    concepts relating to the standard's collaboration spectrum.
      partnership-based initiatives over the past 20 years started
      without 'ground rules' which led to civil servants re-              The collaboration spectrum
      inventing the wheel. The Coalition Government's localism
      agenda means that guidance will be further reduced.

    What needs to be done?
    So, how can the risks of partnership working be managed and
    the benefits maximised, given the context set out above?
       There is renewed interest in promoting formal arrangements
    between public sector bodies and third parties via structured
    collaboration. Some of this interest follows the release of the
    first national standards on collaboration (BS 11000).
       Collaboration, as codified in BS 11000, represents an
    evolution on how partnering can be managed. The standard
    advocates sharing visions and resources and has a particular
    focus on approaches and mechanisms that can create
    efficiency and effective delivery.
       Structured collaboration is relatively new to the UK and
    early adopters include the defence, aerospace and rail
    industries. There could be considerable benefits in learning
    how the concepts and tools set out in the
       Standard can be applied to the public sector, to improve the
    effectiveness of collaboration, such as:

    •   changing behaviours and improving trust, to make
        collaboration more efficient within and between
        organisations

.
We can review strategic partnerships, both contractual and                                                                                  "The structured collaboration review undertaken by
statutory, and identify areas of good practice and areas for                                                                                Grant Thornton and Pera was really valued by our
                                                                                                                                            Corporate Management Board for providing an
improvement, providing councils and their key partners with
                                                                                                                                            independent assessment on how our partnerships
an opportunity for maximising the benefits available from a                                                                                 compare to a spectrum of collaboration levels and
more structured approach to collaboration.                                                                                                  to each other. It helped us identify areas of good
                                                                                                                                            practice and also areas where we need particular
                                                                                                                                            focus.
Who should I contact?
                                                                                                                                              We had already developed a corporate
If you would like to find out more about our structured                                                                                     collaboration strategy, to ensure the council
collaboration review, please contact:                                                                                                       understands the costs and benefits, and maximises
                                                                                                                                            the outcomes, of all our current and future
Guy Clifton                                                                                                                                 partnership working, and this was particularly well
Grant Thornton UK LLP                                                                                                                       regarded by Grant Thornton and Pera, in taking
                                                                                                                                            forward the structured collaboration agenda."
T 020 7728 2903
E guy.clifton@uk.gt.com                                                                                                                     James Rolfe
                                                                                                                                            Director of Finance, Resources and Customer
                                                                                                                                            Services, London Borough of Enfield




© 2012 Grant Thornton UK LLP. All rights reserved
Grant Thornton’ means Grant Thornton UK LLP, a limited liability partnership. Grant Thornton UK LLP is a member firm within Grant Thornton International Ltd (‘Grant Thornton International’).
Grant Thornton International and the member firms are not a worldwide partnership. Services are delivered by the member firms independently.
This publication has been prepared only as a guide. No responsibility can be accepted by us for loss occasioned to any person acting or refraining from acting as a result of any material in this publication.
www.grant-thornton.co.uk

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GT - The importance of structured collaboration

  • 1. The importance of structured collaboration Spring 2012 Context • introducing a common language to improve Partnership activity has both benefits and risks, and the track communication between organisations record for local government has been mixed, leading to • aligning aspirations and capabilities between partners and varying degrees of positive outcomes and, in the case of playing to organisations' strengths to improve productivity poorly designed partnerships, sometimes making the position • providing greater continuity and flexibility of resource worse. across organisations Where partnerships have not been successful, this is often • enhancing governance across organisations, such as by the attributed to a lack of formal structure and clear, robust risk use of shared approaches to risk management sharing arrangements. • promoting innovation and continuous improvement. The imperatives of the Coalition Government's 2010 Spending Review, allied to its policy agendas such as Big At a time of increasing partnership working, it is more critical Society and Open Public Services, are seeing local authorities than ever to understand the costs, benefits and outcomes of considering - more seriously than ever before - alternative collaboration. Structured collaboration provides the focus on forms of service delivery with other public sector bodies, the value and outcomes that local authorities and their partners private sector and civil society organisations, including need. possible 'spin offs' from their own organisation. How can we help? What are the main issues? Grant Thornton and Pera have developed a structured 1 increased risk as partnership activity increases - For collaboration review methodology that has recently completed example, the Open Public Services white paper suggests that a successful pilot with a London Borough and some of its key the growth of outcome based contracts and payment by statutory and contractual partners. results will see an increased risk of provider failure, at a time In applying our methodology we triangulate stakeholder when the minimum standards and expectations of perspectives on key factors such as partnership strategy, commissioners increase. objectives, delivery, measurement and outcomes, to provide an 2 lack of central guidance and inefficiency- Whitehall has assessment of the 'health' of collaboration activity, based on not always provided guiding principles. Many new concepts relating to the standard's collaboration spectrum. partnership-based initiatives over the past 20 years started without 'ground rules' which led to civil servants re- The collaboration spectrum inventing the wheel. The Coalition Government's localism agenda means that guidance will be further reduced. What needs to be done? So, how can the risks of partnership working be managed and the benefits maximised, given the context set out above? There is renewed interest in promoting formal arrangements between public sector bodies and third parties via structured collaboration. Some of this interest follows the release of the first national standards on collaboration (BS 11000). Collaboration, as codified in BS 11000, represents an evolution on how partnering can be managed. The standard advocates sharing visions and resources and has a particular focus on approaches and mechanisms that can create efficiency and effective delivery. Structured collaboration is relatively new to the UK and early adopters include the defence, aerospace and rail industries. There could be considerable benefits in learning how the concepts and tools set out in the Standard can be applied to the public sector, to improve the effectiveness of collaboration, such as: • changing behaviours and improving trust, to make collaboration more efficient within and between organisations .
  • 2. We can review strategic partnerships, both contractual and "The structured collaboration review undertaken by statutory, and identify areas of good practice and areas for Grant Thornton and Pera was really valued by our Corporate Management Board for providing an improvement, providing councils and their key partners with independent assessment on how our partnerships an opportunity for maximising the benefits available from a compare to a spectrum of collaboration levels and more structured approach to collaboration. to each other. It helped us identify areas of good practice and also areas where we need particular focus. Who should I contact? We had already developed a corporate If you would like to find out more about our structured collaboration strategy, to ensure the council collaboration review, please contact: understands the costs and benefits, and maximises the outcomes, of all our current and future Guy Clifton partnership working, and this was particularly well Grant Thornton UK LLP regarded by Grant Thornton and Pera, in taking forward the structured collaboration agenda." T 020 7728 2903 E guy.clifton@uk.gt.com James Rolfe Director of Finance, Resources and Customer Services, London Borough of Enfield © 2012 Grant Thornton UK LLP. All rights reserved Grant Thornton’ means Grant Thornton UK LLP, a limited liability partnership. Grant Thornton UK LLP is a member firm within Grant Thornton International Ltd (‘Grant Thornton International’). Grant Thornton International and the member firms are not a worldwide partnership. Services are delivered by the member firms independently. This publication has been prepared only as a guide. No responsibility can be accepted by us for loss occasioned to any person acting or refraining from acting as a result of any material in this publication. www.grant-thornton.co.uk