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Efficient Government Fund EGF)1)1)14 Orkney Islands Support Services Integration of Services

DescriptionProject to improve efficiency in the management and delivery of support services by means of closer working and/or integration of selected support services.
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Official Print Publication Date
Website Publication DateNovember 24, 2005

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STAGE 1 APPLICATION TO THE EFFICIENT GOVERNMENT FUND
BY ORKNEY ISLANDS COUNCIL AND NHS ORKNEY
14 January 2005

Part 1: Summary Table

Bid number (for EG use)

Lead Bidder

Orkney Islands Council (OIC)

Brief description of the aims of the project

To improve efficiency in the management and delivery of support services in both Orkney Islands Council and NHS Orkney, by means of closer working and/or integration of selected support services.

Clear description of what the EGF money would be used to buy

For Stage 1, the commissioning of consultancy services to conduct fast-track joint best value reviews of the services under consideration. The output would be a set of recommendations for the most efficient structure and modus operandi for each of these services.

Stage 2 would comprise the implementation of the recommendations.

Partners to the project likely to commit resources

Orkney Islands Council and NHS Orkney

Names of other organisations with whom the project has been discussed (to assist the introductions process)

Orkney Community Planning Partnership members, specifically the Policy Implementation Group and Senior Officers Group. Organisations represented directly on these groups include:

Careers Scotland

Communities Scotland

Highlands & Islands Fire Brigade

Historic Scotland

JobcentrePlus

NHS Orkney

Northern Constabulary

Orkney College

Orkney Enterprise Ltd

Orkney Housing Association Ltd

Orkney Islands Council

Orkney Tourist Board

Procurator Fiscal

Scottish Water

SEERAD

SEPA

SNH

Voluntary Action Orkney

Evidence that suggested approach has been deployed successfully elsewhere

OIC and NHS Orkney already have six joint posts operating successfully, including one key post in support services (Communications Officer). In addition, a number of posts are employed by the Council but partly funded by NHS Orkney through resource transfer. The two organisations are accustomed to working closely together and their small size means that staff get to know each other well and have a good working relationship.

Are there any restrictions to potential for enlargement of the project (i.e. technology, number of partners etc)

The project is initially being planned as a joint initiative between OIC and NHS Orkney, but it is envisaged that support services could be provided with and/or for other agencies as well, should they wish, once the project is up and running. Orkney Enterprise Ltd was invited to participate at an early stage, but many of its support services have already been relocated elsewhere following rationalisation by Highlands and Islands Enterprise. It may, however, be interested in participating with regard to its remaining local support services. Orkney is a small island group so this particular project will naturally be limited in scale, but it could potentially form a model for other small island or isolated communities.

Benefits projected from the project

As well as the potential for significant time- and cash-releasing savings, other projected benefits are:

(i) each service would achieve critical mass so that it could operate more efficiently;

(ii) productivity would be improved, by means of reducing staff numbers, improving services or contracting out spare capacity;

(iii) integrated services would be more flexible and effective in meeting the support needs of service departments;

(iv) there are better career prospects in a larger organisation, which would improve recruitment and retention, an increasingly critical issue;

(v) local jobs and services, which might otherwise be relocated south, would be retained in Orkney.

Estimated Financial Projections

Total

2005/6

2006/7

2007/8

2008/9

Stage 1: joint reviews

£135k

£135k

-

-

-

Stage 2: implementation

tba

Overall project cost

tba

Estimated projected benefits

tba

Is a pilot required - see guidance notes

It is not anticipated that a pilot would be required, as joint initiatives between the two organisations already operate effectively through joint posts, resource transfer and joint working.

Additionality: why is EG funding required

Both OIC and NHS Orkney are small organisations with limited resources. They have no spare resources to fund the additional costs of a project such as this, even on a spend-to-save basis. Some of the work would in practice have to be undertaken by existing staff on top of their existing workload, but neither organisation has the spare capacity that would be required to undertake a complete set of fast-track best value reviews within the tight timescale demanded by the EG initiative. EG funding would therefore be a vital element in ensuring that the project can proceed.

Is this project complementary in anyway to other EG work e.g. e-invoices, e-procurement Scotland programme, increasing productivity, or anything in line with wider EG agendas

Orkney is not at present part of any other EG consortia, although it is following their progress with interest and would be happy to consider any options which might be of mutual benefit. With regard to wider agendas, the Orkney project would help to support the Modernising Government agenda through examining common support services and administrative processes.

Is "stage 2 development funding" requested?

Yes. This initial bid is for funding to cover the work required to prepare a stage 2 bid.

Page updated: Thursday, July 7, 2005