Innovation and insourcing

PROJECT BRIEF

The Challenge

Just Housing Group was commissioned to support a local authority client with their ambition to re-establish an in-house stores service.

This was a complicated organisational challenge, especially as the client required day to day work to remain ongoing while the reorganisation was planned and carried out.

Additional asks from this commission included:

  • A service and commercial strategy to compliment the new in-house service;

  • A clear procurement strategy for the new services;

  • An organisational roadmap that included TUPE transfers, recruitment and training;

  • An action plan that laid out a clear timeline for the establishment of the future in-house service, including performance management systems;

  • A project management structure;

  • An internal communications strategy that helped explain the change to the wider organisation and included intensive staff training.

  • By returning the stores’ service to it’s direct control, the client was seeking to meet a number of objectives, including being able to source materials from specialist and local suppliers, and to have more flexibility over the type and volume of materials used by its organisation. There was a particular desire to increase the proportion of sustainable products being used throughout the client’s operations.

    To successfully transfer services inhouse, the project required a plan that would manage the transfer of staff from the previous external provider, a supporting IT system and data management programme. A primary goal was also to secure a 10 year, £53m core material supplies contract, and to establish links with local suppliers.

Key Service Provisions

  • Procurement

  • Asset Management

  • Direct Labour and Repairs Contract Management

  • Strategy

  • System integration and implementation

  • Leadership and people

Key Facts

  • Around 16,000 properties within the client’s housing portfolio that depended on the store service: close to 1,000 employees across the wider organisation.

  • The service was under pressure from growing customer service demand, at the same time as facing increasing material and other costs.

  • The client had an innovative and ambitious corporate agenda, including carbon reduction, community wealth building, housing development and regeneration

  • A political priority was to in-house service delivery where possible

  • A budget of £53 million was made available for the procurement of materials to support the in-house service

OUR METHODS AND OUTCOMES

The Plan

Our team drew together a twelve month plan aimed at procuring a main supplier using competitive procedures and negotiation. 

Just Housing Group worked with the client’s procurement lead, and provided strategic, project management, procurement and administrative advice, assistance and resources. This team also established compliant routes to market for specialist and local suppliers, who were ready to be accessed by the in-house stores team, on its implementation.

Making it happen

Just Housing Group provided interim shadow management of the inhouse service as it came into being, and crucially delivered an internal communication programme that also encompassed training for staff. A key part of this plan was working closely with the client’s inhouse team: our consultants were embedded in the organisation on a day to day basis while the changes were planned and implemented. This enabled our team to work holistically with the client and become part of their set up during this year long process, while remaining a independent, critical friend.

PROJECT SUCCESSES

  • Transition from an externally managed stores to in-house stores service effected with no operational disruption;

  • A team of 13 was up and running on time, and properly intergrated with the rest of the client’s operations.

  • A successful and effective TUPE transfer process was delivered;

  • A core supplier appointed at costs externally benchmarked to be in line with framework prices;

  • Social value and community benefit commitments from the core supplier of over 5% of the contract value were achieved;

  • Compliant routes to market for specialist and local suppliers we’re delivered on time;

  • Importantly, the new arrangements ensured that the capacity of the new service ensured its stores and materials service was in line with requirements of the repairs service.

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