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  • user warning: UPDATE command denied to user '408302_semagad'@'10.40.200.89' for table 'cache_content' query: UPDATE cache_content SET data = 'a:10:{s:10:\"field_date\";a:1:{i:0;a:4:{s:5:\"value\";s:19:\"2011-04-06T00:00:00\";s:8:\"timezone\";s:13:\"Europe/London\";s:11:\"timezone_db\";s:13:\"Europe/London\";s:9:\"date_type\";s:4:\"date\";}}s:12:\"field_source\";a:1:{i:0;a:1:{s:3:\"nid\";s:3:\"215\";}}s:17:\"field_story_img_1\";a:1:{i:0;a:10:{s:3:\"fid\";s:4:\"3108\";s:4:\"list\";s:1:\"1\";s:4:\"data\";a:2:{s:3:\"alt\";s:14:\"The Wise Group\";s:5:\"title\";s:14:\"The Wise Group\";}s:3:\"uid\";s:1:\"9\";s:8:\"filename\";s:11:\"newspic.jpg\";s:8:\"filepath\";s:55:\"sites/default/files/images/stories/images_1/newspic.jpg\";s:8:\"filemime\";s:10:\"image/jpeg\";s:8:\"filesize\";s:6:\"127756\";s:6:\"status\";s:1:\"1\";s:9:\"timestamp\";s:10:\"1302087975\";}}s:25:\"field_story_img_1_caption\";a:1:{i:0;a:2:{s:5:\"value\";s:227:\"<p><strong>The Wise Group has been successful in delivering welfare to work programmes in Scotland and northern England, but has not been picked as a prime contractor for the current government&#39;s Work Programme</strong></p>\";s:6:\"format\";s:1:\"2\";}}s:27:\"field_story_img_1_in_teaser\";a:1:{i:0;a:1:{s:5:\"value\";s:1:\"1\";}}s:16:\"field_story_lead\";a:1:{i:0;a:2:{s:5:\"value\";N;s:6:\"format\";N;}}s:17:\"field_story_quote\";a:1:{i:0;a:2:{s:5:\"value\";s:285:\"<blockquote>\r\n<p><em><strong>&#39;There is a danger that the emphasis on reducing price will undermine the ability of organisations that are based on sustainably adding social value to compete&#39;</strong></em></p></blockquote>\r\n<p>&nbsp;</p>\r\n<p>The Wise Group CEO Laurie Russell</p>\";s:6:\"format\";s:1:\"2\";}}s:18:\"field_story_teaser\";a:1:{i:0;a:2:{s:5:\"value\";s:292:\"<p>The government&rsquo;s rhetoric of opening up public sector contracts to social enterprises has been thrown into question with a document obtained by <em>Social Enterprise</em> showing that some of the new Work Programme contractors are not planning to use the voluntary sector at all.</p>\";s:6:\"format\";s:1:\"2\";}}s:25:\"field_story_related_nodes\";a:1:{i:0;a:1:{s:3:\"nid\";N;}}s:17:\"field_story_files\";a:1:{i:0;a:10:{s:3:\"fid\";s:4:\"3109\";s:4:\"list\";s:1:\"1\";s:4:\"data\";a:1:{s:11:\"description\";s:38:\"Work Programme primes and supply chain\";}s:3:\"uid\";s:1:\"9\";s:8:\"filename\";s:34:\"WP Successful Bidders April 11.pdf\";s:8:\"filepath\";s:68:\"sites/default/files/stories/files/WP Successful Bidders April 11.pdf\";s:8:\"filemime\";s:15:\"application/pdf\";s:8:\"filesize\";s:6:\"300597\";s:6:\"status\";s:1:\"1\";s:9:\"timestamp\";s:10:\"1302089288\";}}}', created = 1511192047, expire = 0, headers = '', serialized = 1 WHERE cid = 'content:6629:14838' in /mnt/stor2-wc1-dfw1/408302/www.socialenterpriselive.com/web/content/includes/cache.inc on line 109.
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  • user warning: UPDATE command denied to user '408302_semagad'@'10.40.200.89' for table 'cache_filter' query: UPDATE cache_filter SET data = '<p>The government&rsquo;s rhetoric of opening up public sector contracts to social enterprises has been thrown into question with a document obtained by <em>Social Enterprise</em> showing that some of the new Work Programme contractors are not planning to use the voluntary sector at all.</p>\n<p>The first contract decisions of the government&rsquo;s new welfare to work programme have disappointed the social enterprise sector with two big names ignored and no social enterprise wining a prime contract in its own right.</p>\n<p>What&rsquo;s more, the government&rsquo;s touting of the sub-contracting opportunities for social enterprises seems to be in question. A letter written by employment minister Chris Grayling to prime contractors includes a break down of each organisation&rsquo;s supply chain and shows a massive variation of between zero and 60 per cent in the allocation of supply chain to the voluntary sector depending on the prime contractor and the region.</p>\n<p>In the vast majority of cases the percentage of work offered to the voluntary sector by primes is well below the current Department of Work and Pensions (DWP) average of 30 per cent voluntary sector provision of its welfare to work supply chain (see attached pdf).</p>\n<p>Many primes fall below this figure of 30 per cent despite it being given as part of the guidance to prime contractors in the tendering documents accompanied by the words &lsquo;this will be a key factor in the tender assessment process&rsquo;.</p>\n<p>In the entire region of West Yorkshire, between two prime contractors only 8.2 per cent of the supply chain will go to the voluntary sector.</p>\n<p>When asked to explain how such a large variation between prime contractor commitments could exist, a DWP spokesman said: &lsquo;Preferred bidders were chosen through a fair and open competitive commercial process&hellip;we have always been clear that we would use the very best of the private, public and voluntary sectors and the successful bidders have demonstrated just that.&rsquo;</p>\n<p>He also pointed to the fact 289 voluntary sector organisations are listed by primes as part of their sub-contractor supply chain.</p>\n<p>However, The Wise Group, which operated as a prime contractor in both Scotland and northern England under the previous welfare to work programme, was not named as a prime contractor for the Work Programme.</p>\n<p>The Social Enterprise Coalition (SEC), which had put in a proposal that would have allowed the financial services giant PricewaterhouseCoopers to offer pro-bono business development support for social enterprises in its Work Programme supply chain, also lost out.</p>\n<p>Two voluntary sector organisations do feature on the prime contractor list, and when contacted by <em>Social Enterprise,</em> both Rehab Group and the Careers Development Group said they considered themselves to be social enterprises. However, both have partnered with massive, multinational, publicly-listed service companies.</p>\n<p>SEC head of policy Ceri Jones said: &lsquo;We are naturally disappointed there is not a social enterprise as a Work Programme prime contractor, especially The Wise Group in Scotland, which has such a strong track record in devising and managing efficient and innovative ways to support people into work.</p>\n<p>&lsquo;Now we have to be very watchful to ensure that social enterprises are both given fair terms in the supply chain but also that innovation can be taken into account.&rsquo;</p>\n<h4>Missed opportunity</h4>\n<p>The Wise Group CEO Laurie Russell said his organisation was &lsquo;sorely disappointed&rsquo; with the result, especially given its established track record.</p>\n<p>&lsquo;The bidding process did not take account our track record, but was based on proposals for the future and on price,&rsquo; said Russell.</p>\n<p>&lsquo;There is a danger that the emphasis on reducing price will undermine the ability of organisations that are based on sustainably adding social value to compete.&rsquo;</p>\n<p>He added: &lsquo;This is a missed opportunity for the third sector generally and especially for social enterprise in taking a lead position as prime providers for welfare to work.</p>\n<p>&lsquo;By contracting to a social enterprise the government would have ensured that the money was spent on unemployed customers and poor communities rather than being diverted to profits for shareholders and excessive salaries for some chief executives.&rsquo;</p>\n<p>Of the two private-voluntary sector partnerships created for the Work Programme one, Rehab JobFit, is a completely new organisation 51 per cent owned by the Dublin based international charity Rehab Group and the rest owned by multinational service and construction group Interserve.</p>\n<p>Rehab has experience as both a prime and sub-contractor for DWP. 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  • user warning: UPDATE command denied to user '408302_semagad'@'10.40.200.89' for table 'cache_filter' query: UPDATE cache_filter SET data = '<p>Commenting yesterday on this failure to include social enterprise in the supply chain, which has been my own experience as a service provider since 2004, there\'s worse at the local level where public funds are invested in exclusion of social enterprise.</p>\n<p><a href=\"http://www.ecademy.com/node.php?id=162943\" title=\"http://www.ecademy.com/node.php?id=162943\">http://www.ecademy.com/node.php?id=162943</a></p>\n', created = 1511192047, expire = 1511278447, headers = '', serialized = 0 WHERE cid = '1:2751d5fae2f37bd148817d41b74d0514' in /mnt/stor2-wc1-dfw1/408302/www.socialenterpriselive.com/web/content/includes/cache.inc on line 109.
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  • user warning: UPDATE command denied to user '408302_semagad'@'10.40.200.89' for table 'cache_filter' query: UPDATE cache_filter SET data = '<p>Over 4,300 social enterprises and third sector organisations trust us to look after over 149,000 employees&rsquo; pensions.With more than 65 years&rsquo; experience, we understand.</p>\n<div id=\"cke_pastebin\">Contact us to find out about our reliable and comprehensive pensions service.</div>\n<div id=\"cke_pastebin\">&nbsp;</div>\n<div id=\"cke_pastebin\">Contact:</div>\n<div id=\"cke_pastebin\">The Pensions Trust, Verity House,</div>\n<div id=\"cke_pastebin\">6 Canal Wharf, Leeds LS11 5BQ</div>\n<div id=\"cke_pastebin\">t: 0845 123 6611</div>\n<div id=\"cke_pastebin\">e: <a href=\"mailto:contact@thepensionstrust.org.uk\">contact@thepensionstrust.org.uk</a></div>\n<div id=\"cke_pastebin\">w: <a href=\"http://uk.sitestat.com/socpen/pensionstrust/s?SocialEnterpriseLiveAdvetorial1111&amp;ns_type=clickin \">www.thepensionstrust.org.uk</a></div>\n<div id=\"cke_pastebin\">twitter: <a href=\"http://www.twitter.com/PensionsTrust\">PensionsTrust</a></div>\n', created = 1511192048, expire = 1511278448, headers = '', serialized = 0 WHERE cid = '1:78fd6a15496db5eba2ecc3f71f7d7e5b' in /mnt/stor2-wc1-dfw1/408302/www.socialenterpriselive.com/web/content/includes/cache.inc on line 109.
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Social enterprise opportunities dwindle with first Work Programme contracts

6 April 2011
The Wise Group

The Wise Group has been successful in delivering welfare to work programmes in Scotland and northern England, but has not been picked as a prime contractor for the current government's Work Programme

'There is a danger that the emphasis on reducing price will undermine the ability of organisations that are based on sustainably adding social value to compete'

 

The Wise Group CEO Laurie Russell

The government’s rhetoric of opening up public sector contracts to social enterprises has been thrown into question with a document obtained by Social Enterprise showing that some of the new Work Programme contractors are not planning to use the voluntary sector at all.

The first contract decisions of the government’s new welfare to work programme have disappointed the social enterprise sector with two big names ignored and no social enterprise wining a prime contract in its own right.

What’s more, the government’s touting of the sub-contracting opportunities for social enterprises seems to be in question. A letter written by employment minister Chris Grayling to prime contractors includes a break down of each organisation’s supply chain and shows a massive variation of between zero and 60 per cent in the allocation of supply chain to the voluntary sector depending on the prime contractor and the region.

In the vast majority of cases the percentage of work offered to the voluntary sector by primes is well below the current Department of Work and Pensions (DWP) average of 30 per cent voluntary sector provision of its welfare to work supply chain (see attached pdf).

Many primes fall below this figure of 30 per cent despite it being given as part of the guidance to prime contractors in the tendering documents accompanied by the words ‘this will be a key factor in the tender assessment process’.

In the entire region of West Yorkshire, between two prime contractors only 8.2 per cent of the supply chain will go to the voluntary sector.

When asked to explain how such a large variation between prime contractor commitments could exist, a DWP spokesman said: ‘Preferred bidders were chosen through a fair and open competitive commercial process…we have always been clear that we would use the very best of the private, public and voluntary sectors and the successful bidders have demonstrated just that.’

He also pointed to the fact 289 voluntary sector organisations are listed by primes as part of their sub-contractor supply chain.

However, The Wise Group, which operated as a prime contractor in both Scotland and northern England under the previous welfare to work programme, was not named as a prime contractor for the Work Programme.

The Social Enterprise Coalition (SEC), which had put in a proposal that would have allowed the financial services giant PricewaterhouseCoopers to offer pro-bono business development support for social enterprises in its Work Programme supply chain, also lost out.

Two voluntary sector organisations do feature on the prime contractor list, and when contacted by Social Enterprise, both Rehab Group and the Careers Development Group said they considered themselves to be social enterprises. However, both have partnered with massive, multinational, publicly-listed service companies.

SEC head of policy Ceri Jones said: ‘We are naturally disappointed there is not a social enterprise as a Work Programme prime contractor, especially The Wise Group in Scotland, which has such a strong track record in devising and managing efficient and innovative ways to support people into work.

‘Now we have to be very watchful to ensure that social enterprises are both given fair terms in the supply chain but also that innovation can be taken into account.’

Missed opportunity

The Wise Group CEO Laurie Russell said his organisation was ‘sorely disappointed’ with the result, especially given its established track record.

‘The bidding process did not take account our track record, but was based on proposals for the future and on price,’ said Russell.

‘There is a danger that the emphasis on reducing price will undermine the ability of organisations that are based on sustainably adding social value to compete.’

He added: ‘This is a missed opportunity for the third sector generally and especially for social enterprise in taking a lead position as prime providers for welfare to work.

‘By contracting to a social enterprise the government would have ensured that the money was spent on unemployed customers and poor communities rather than being diverted to profits for shareholders and excessive salaries for some chief executives.’

Of the two private-voluntary sector partnerships created for the Work Programme one, Rehab JobFit, is a completely new organisation 51 per cent owned by the Dublin based international charity Rehab Group and the rest owned by multinational service and construction group Interserve.

Rehab has experience as both a prime and sub-contractor for DWP. However, the partnership with Interserve will allow Rehab JobFit to make use of the recruitment opportunities which come with Interserve’s 27,000 strong workforce, especially in construction, building maintenance and office-based work, in the south west of England and Wales.

On the other hand the UK Charity the Careers Development Group (CDG), which is working with multinational Maximus in three regions, has not set up a new company and a spokesperson described the partnership as an ‘alliance’.

In two of the regions Maximus will be the lead partner and in east London CDG will be the prime contractor.

A CDG spokesman said that in east London, once CDG’s own delivery of the Work Programme contract is taken into account, the ‘end to end supply chain delivery partners’ will be 60 per cent third sector, 27 per cent private and 13 per cent public.

Work Programme primes and supply chain

Comments

More concerns

Commenting yesterday on this failure to include social enterprise in the supply chain, which has been my own experience as a service provider since 2004, there's worse at the local level where public funds are invested in exclusion of social enterprise.

http://www.ecademy.com/node.php?id=162943

Jeff Mowatt
People-Centered Economic Development

p-ced.com
people-centered.net