Value for Money (Vfm)

The Charity manages resources in order to provide quality services and a high level of Value for Money skilled staff and strategic procurement processes. The Charity’s approach to innovation ensures that it seeks to derive maximum benefit from services it receives and maximum benefit within available resources.

The Charity’s Vfm strategy is to achieve an optimal relationship between economy, efficiency and effectiveness where:

• Economy means achieving the best price for what goes into providing a Service
• Efficiency means doing something well and eliminating waste to deliver the best service for the cost incurred
• Effectiveness is achieving objectives and improving customer satisfaction via outcomes

There is a clear form of ensuring, assessing and benchmarking both robust decision making and effective people and performance management aimed at delivering improved Vfm.

This is achieved through the adoption of the British Quality Foundation’s EFQM Excellence model and the Investor In People (IIP) quality standard. Both models create a framework focused on excellent performance, enabling the Charity to offer the best possible outcomes for the investment it receives as an organisation. Both approaches are supported by multi-disciplinary project teams which ensure that the tools and techniques within each standard are applied on a day to day basis and regularly assessed in order to create an environment of continuous learning and improvement.

The diagram below summarises the operational approach to Vfm.

Economy is largely driven internally, through the pursuit of excellence and reduction of waste using the EFQM Excellence Model – a model we choose to use. Because the vast majority of services are tendered, and largely because residential services are contracted through spot contracts, the market tests economy. In a highly competitive market the Charity is winning tenders and retaining existing business which demonstrates that commissioners view it as economical.

Effectiveness is driven by the regulators, who ensure that the Charity delivers market needs. The Charity’s efficiency in delivering what is needed is demonstrated via accreditation to various national and international quality marks.

As far as the wider society is concerned, the Charity produces a national impact report each year. The aim is to integrate this with the annual accounts so that it integrates performance with income and expenditure.

Within the wider society the Charity works in community, prison, and residential settings. On a general level it operates evidence-based service models, and employs a researcher in order to help it ensure that its models are evidence-based and therefore the most effective and efficient ways to operate.

In local communities it produces Local Impact Reports, tailored to the needs of the local area as expressed in their Joint Strategic Needs Assessments and as set out by Health and Wellbeing Boards and Police and Crime Commissioners. The Charity takes a long term view that its work prevents the continuance of costly interventions from the NHS, further health problems in older age and reduced crime rates. Thus it benefits the health and well-being of local communities.

It can measure effectiveness, amongst other means, through “re-presentation data” from the NDTMS / NATMS, where these national databases match up clients who have discharged from its services and which inform it what percentage have re-presented to treatment either in the local treatment system or in other localities.

In prisons it will research the long term effectiveness of its services, through seeking to partner with the Justice Data Lab to use calibrated re-offending data, and university research.

In residential and family services it constitutes the largest single participant in the exciting national project, TRACER.

The Charity scrutinises operational performance internally, using Board and Executive Team Key Performance Indicators. This is aided by a dedicated Quality and Performance Department.

There are several regulatory bodies which examine the quality of the Charity’s work externally on a national level.

Corporate support functions are largely based in London but with regional offices across the UK. Notable features include:

  • In-house Learning and Development department

  • HR department

  • Quality department

  • Procurement department

  • Finance department

Phoenix Futures measures the Value for Money of its services through a set of key performance indicators which guide potential improvements. Examples of metrics used include:

 Measure

Success

Impact on Society

 

Completion Rates

(varied rates of completion is to be expected due to nature of service and complexity of client group)

Residential Services : Average 50%

National Family Service: 77%

Trafford Community Service: 59%

Barnsley Community Service: 65%

 

Volunteer Hours supported

110,528 hrs

Number of people receiving support  annually

24,821

Reduction in reoffending

36% improvement in reoffending *

Improvement in mental health

79% improvement *

Meaningful use of time

Social Return on Investment

 

52% improvement *

The benefit to society is set out on page X

 

 Measure

Success

 

Quality Measures

 

Investors in People Award

Gold

EFQM

5 Star Recognised for Excellence

 

Environmental Impact

 

Energy conservation

Biomass Boilers x 2 making a saving of £26k of fuel costs per year

Financial Measures

 

Free reserves

 

Policy sets as a target a minimum level of free reserves of the equivalent of two months and a maximum of three months of annual expenditure.

 

Financial and business plans

 

Performance is monitored continuously against budgets and reforecasts which include targets for savings where appropriate and planned expenditure for housing improvements to services

 

Efficiency gains on procurement viability

The relative contribution and financial performance of each service and each housing property is assessed