Practice and Procedures : A review of early experiences within eight local authorities.

The role of Best Value Performance Plans.

Under Best Value, the Performance Plan (BVPP) is the principal means by which authorities are held accountable to local people for the quality and efficiency of their services. BVPPs are both the public statements and summaries of a local authority's Best Value position as well as a reporting and accountability mechanism, and should provide "a clear practical expression of an authority's performance in delivering local services and its proposals to improve". The Local Government Act requires that authorities publish their BVPP by 31 March 2000.

Whilst the broad contents of BVPPs have been prescribed, the Government does not propose to issue explicit guidance concerning their exact format. As the White Paper acknowledges, "local authorities need maximum flexibility as to how to present and publish key performance information". However, it is clear that the plan will need to provide appropriate information for both local people and external auditors to be able to judge the performance of the authority. The plan will need to bring together performance information of corporate relevance from different sources in a form that local people can understand. It should set out:

· what services an authority will deliver;

· how it will deliver them;

· to what levels services are currently delivered;

· what levels of service should be expected in the future; and

· what action it proposes to deliver those standards.

The contents of a Best Value Performance Plan. <Top>

Best Value Performance Plans will need to include:

· a summary of the authority's objectives in respect of its functions;

· a summary of current performance;

· a comparison with performance in previous financial years;

· a summary of the authority's approach to efficiency improvement;

· a statement describing the authority's approach to efficiency improvement;

· a statement describing the Review programme;

· the key results of completed Reviews;

· the performance targets set for future years;

· a plan of action;

· a response to audit and inspection reports;

· a consultation statement;

· a financial statement.

Source: Implementing Best Value - A Consultation Paper on Draft Guidance (DETR, 1999).

There already exist statutory duties on local authorities to produce a number of existing plans, and the proposal is that BVPPs should bring together the outcomes from these different planning systems, and illustrate authorities' corporate strategy on an annual basis across the range of their responsibilities. However, the aim of the BVPP is more than a service delivery plan writ large. It is about delivering existing services more efficiently, but it also seeks to promote a process and framework for wider engagement and debate in the process of local governance.

These processes will require local authorities to consider afresh fundamental questions about their local areas; the capacity of the authority to meet the needs of the resources available and the value attached to those services by the local communities.

The process of producing a Best Value Performance Plan. <Top>

The process of producing Best Value Performance Plans should provide an opportunity for:

· Illustrating authorities' corporate strategy across their range of responsibilities and foster greater transparency and accountability for local authority services and activities;

· Demonstrating how a local authority's plans link with those of other stakeholders with a shared responsibility to meet local needs;

· Engaging the local community in determining the priorities of the local authority and measuring the extent to which Best Value has been achieved.

Source: Modern Local Government: In Touch with the People White Paper (DETR, 1998).

Given that the BVPP will need to provide appropriate information to enable local people to judge their performance, there is a need to ensure that the plan is readable and accessible. Local authorities will need to consider what information is most appropriate for the BVPP, how it might most effectively be conveyed, and what might more usefully be obtained within other plans.

Presentational issues - language, layout and distribution - will need to be carefully considered. <Top>

The BVPP will be subject to audit and inspection; this process will not only ensure that its performance information is prepared and published in accordance with statutory requirements, but that the corporate review and management arrangements which underpin its development are appropriate and effective. It is clear, however, that in the first instance, there will be a need for flexibility in the auditing plans given the absence of any comprehensive baseline information from previous BVPPs or Best Value Reviews.

Review of Early Experiences within eight local authorities report. <Top>

The report is broadly divided into three parts. The first part - chapters 2 and 3 - sets the context to the research by outlining the aims and methodology underpinning it. The second part - chapter 4 - considers the format of BVPPs, examining their content and the methods used to consult on them. The third part - chapters 5 to 8 - considers the process of producing a BVPP through examination of the organisational approaches adopted by authorities, the relationships between different planning processes, the performance review procedures and the engagement and consultation methods.

The research is based upon an assessment of the approach to, and experiences of, producing a Best Value Performance Plan amongst eight local authorities in England and Wales. It is based upon fieldwork undertaken in early Summer 1999, and does not reflect activities which the authorities may have undertaken in the intervening period.

The aims of the study

The extent of progress in developing a BVPP differs across local authorities: some have produced final drafts whilst others have not. However, it is less clear how many have produced plans, what form those plans take, and the experiences and lessons which emerge from those authorities. Authorities appear to have adopted quite distinct approaches. Through the use of case studies, this research presents an analysis of the content of some of these early plans, in addition to examining the authority's strategic decisions surrounding both the process and product of the plan. It is based upon fieldwork undertaken during Summer 1999.

Methodology of the study

The research employed a case study approach, using a sample of eight local authorities drawn from a matrix of variables to reflect: regional location, type of authority, Best Value pilot status and political control. The research involved interviews with officers, members and external stakeholders within the authorities, with a subsequent analysis of their BVPP (where produced) and supporting material.

The content of performance plans

There is no single blueprint or approach to the format of a BVPP. Authorities have adopted a variety of different approaches to content and presentation. However, most follow a broadly similar 'hierarchical' template. Within this format, an authority sets down its vision, supported by increasingly specific priorities for its realisation, accompanied by (to a degree) performance information - both aspirations (targets) and achievements (performance data). All of this is underpinned by the service-specific plans, which provide detailed action plans and the basis for performance review. However, no one authority presents all of these elements in entirety.

Setting the scene: corporate visions and objectives

Though different terminology is used, most authorities identify their priorities within their BVPP, variously setting down their desired vision (or endstate), the corporate values which relate to the authority's ways of working and the corporate priorities which identify those areas of work which need addressing to bring about the vision. In essence, these elements serve as the context to the BVPP, and they are generally non-contentious and similar in nature. Most do not, however, include any details of the choice or source of these priorities. They are generally presented as a fait accompli.

Realising the vision: priorities and objectives for action

Without details of how broad priorities are to be operationalised, there remains the danger that plans become 'corporate wish lists', whose successful implementation remains unclear and unmeasurable.

Action plans serve as the link between an authority's ambitions and its service-specific activities. Most of the plans produced by the case study authorities did include details of action plans, though levels of comprehensiveness vary. To date, many remain insufficiently explicit to allow the development of associated performance information, particularly since the majority focus upon (process) outputs. There is often little clear link between the overall objectives and the choice of priorities for action, and the contribution of other agencies to the fulfilment of priorities is rarely referenced.

Setting and measuring performance

The case study authorities recognised the importance of performance information as the basis by which the effectiveness of the authority can be ascertained. However, a conceptual awareness does not automatically translate into practical expression.

Authorities were grappling with some difficulty with the process of delineating appropriate indicators and targets. Many have, to date, relied heavily upon national performance indicators. The authorities have yet to make significant progress in developing performance frameworks.

Performance information relates to a number of potential measures which relate to different elements of service activity (inputs, outputs, outcomes), and the purpose for which that information is sought (measure or baseline of current performance; target for future performance; comparator with previous performance or other service delivery bodies). Taken as a whole, they need to provide information which relates to performance in achieving corporate priorities. Those authorities that include performance information rely primarily upon output data - as a baseline or target - which relates to their current service activities or processes. Few include outcome measures - though a number report results from satisfaction surveys - and none include information about inputs. Comparator information and benchmarking of performance are notable by their absence.

Best Value Reviews

The majority of authorities did not include any details of their review agenda, either in terms of a clear statement of the services to be reviewed or of the timetable for review.

Service-specific plans

Most authorities stressed the difficulties they experienced in reconciling the requirements of different (statutory) planning systems with that of the BVPP. In terms of the content to the BVPP, most make reference to the existence of these other plans only within an annex to the main plan. The exception is Hackney who include all of their nine service plans within the body of their 'Hackney Plan'.

Consultation and engagement

The value of the BVPP as a tool of public engagement is twofold: the process of drawing up the plan provides an opportunity for involvement in defining and shaping its contents whilst the completed plan may be the subject of consultation. The majority of plans contained general exhortations of the importance of responding to the needs of the public, though few include details of any consultation strategy. A number include ways in which the public can express opinions (giving addresses or names of contacts), whilst both Hackney and Bradford include freepost questionnaires within their plans.

The appearance of performance plans

Authorities are adopting quite differential approaches to the presentation of their BVPPs; there is no blueprint or received wisdom about the form of the plan and authorities are being creative (or otherwise) in their approaches. Most have yet to devote their attention to the format, instead concentrating primarily upon the content. Most authorities acknowledged the difficulty of preparing material in an accessible way for a number of different audiences, and felt they would have to tailor different publications for different groups. To date, however, most take the form of 'internal' reports of between 30-60 pages with little, or no, illustrative material.

Producing the plan: organisational approaches and their implications.

The 'product' of the BVPP cannot be considered separately from the processes - the 'Best Value infrastructure'- which underpin it. A key element which emerged from the research was the importance which authorities placed upon leadership, from both officers and members, in encouraging and enabling the development of the BVPP.

Internal management processes

All of the case study authorities had implemented some form of (physical or virtual) organisational change, surrounding both departmental structures and corporate arrangements. The former were generally amalgamated into broader directorates or teams in order to prevent 'silo' working. The latter involved moves to strengthen the corporate capacity of the authority in order to develop a strategic approach to planning and performance. Though authorities were mindful of the profound upheaval of organisational change, all felt function and form were interrelated, though they also stressed that Best Value should not, of itself, demand a whole new raft of organisational arrangements. A change in leadership - through unitary status of appointment of new chief officers or Leaders - was seen as a useful trigger to change.

Committee structures

The majority of the case study authorities were reviewing their committee structures, primarily in response to the wider modernising agenda. The changes have sought to introduce more flexible approaches, moving away from traditional service committees, and developing cross-department committees utilising different modes of working. Authorities identified a variety of roles for members in the development of their BVPPs, which imply a range of different organisational arrangements. A number of authorities had developed specific Best Value committees or panels, though concerns were raised about the extent to which this may reinforce perceptions of Best Value as a separate 'management project'. Generally, only a small number of members were actively involved in, and aware of, Best Value. Initiatives by some authorities, including member development and policy days, seek to counter this.

Mapping the terrain: the relationship between BVPPs and other plans. <Top>

The purpose of the BVPP is to bring together the outcomes from different planning systems to illustrate an authority's integrated corporate strategy and performance. However, most authorities were aware of a 'missing link' within their planning arrangements, between the corporate plan and 'visions', and the detailed service-specific plans containing activities and performance. The BVPP is seen as a vital opportunity to broker the two.

At a practical level, however, most authorities could not resolve the balance between the BVPP as an operational document or as a strategic plan. They were seeking ways of synchronising different planning frameworks, but approaches are embryonic and have, to date, relied upon auditing current plans and performance information. There are no clear lessons to emerge, though the importance of dialogue and consensus between the centre and service departments is vital.

Informing the plan: performance and service review procedures. <Top>

The need to develop performance planning processes and a 'performance culture' was recognised as an integral part of developing a BVPP by the case study authorities. However, most were still in the process of defining the parameters of change required. The use of Best Value Reviews as a learning and review mechanism played an integral role within that process. A number of authorities had developed internal 'toolkits' to guide staff and members through the requirements of Best Value, and to reinforce a corporate approach. Authorities stressed the need for guidance and leadership within the authority, to lend both drive and rigour to the process. However, the process is an iterative one, requiring information exchange and learning between service departments and the corporate centre. Time is an essential ingredient in this process.

There are a plethora of different types of review, prompted by different impetus for undertaking them. It is useful for authorities to make these distinctions clear. Few of the authorities had established any formal criteria for selection of areas for performance review. Most had implicit or explicit guidelines, or 'shopping lists' through which they identified areas which would be particularly useful to assess; most were wary of adopting a 'worst first' basis in exclusion of other factors. Authorities also stressed the importance that reviews are seen as continual rather than episodic, and the need for better coordination and exchange of learning between the many different reviews which may be operating at any one point in time.

Authorities expressed consensus over the difficulties with developing a performance framework, regardless of their progress (or otherwise). These problems centre around five key issues: lack of current performance information; lack of Government guidance; strategic service gap between the centre and service departments; member involvement and their perception of revised structures; and delineation of boundaries between service areas.

Performance data: collection and measurement. <Top>

Authority-wide frameworks for the collation and monitoring of performance data are very much embryonic within the case study authorities. Most have, to date, relied upon national performance indicators or local output measures. Difficulties expressed by the authorities related not only to defining appropriate outcome performance measures, but also determining appropriate comparators for benchmarking performance.

Timing of the BVPP. <Top>

The decision that the BVPP should be prepared by 31 March each year was felt to be deeply flawed by most authorities. Aside from the difficulties of relying upon provisional data, many thought that its proximity to local elections would make the BVPP a party political creature, with officers under pressure to report 'good news'.

External consultation

Authorities adopted a variety of different techniques for consulting with the public, including newsletters, surveys, panels and meetings, though most had not developed these specifically for the purpose of producing their BVPP. It was acknowledged that a variety of different techniques would be necessary to reach the many different 'publics', and that authorities had to be creative in order to counter indifference or suspicion of the Council.

Developing a coordinated approach to consultation

The existence of a plethora of consultation mechanisms within authorities, many of them statutory, was felt to be inefficient and detrimental, resulting in 'consultation fatigue' for both the public and officers. A number of authorities have sought to develop strategic approaches to consultation, through corporate working groups, or authority-wide schemes such as 'listening years' (Telford & Wrekin) or 'Put your mouth where your money is' requests for feedback (Hackney). However, authorities were also mindful that consultation should not become entirely a 'corporate' activity: aside from the logistic or legal impediments, there is an important ownership issue for service departments.

Staff engagement

Most authorities saw staff as playing a pivotal role in the development of their Best Value agenda, and that adequate consultation involves both informing and consulting. Again, the role of leadership was stressed and the importance of key staff being familiar and enthusiastic about Best Value had a clear advantage in developing interest and commitment amongst staff.

As such, a number of authorities had developed 'champions' within departments to act as liaison points and envangelists about the reforms.

Most authorities relied upon traditional communication methods to consult with staff, and a number had developed handbooks or toolkits for distribution amongst staff. Others have held 'policy days' or briefing sessions to consider areas of cross-cutting work with staff, whilst others cite the use of quality initiatives or accreditation as a way of developing staff management and the links between individual performance and organisation performance.

The role of members in consultation

Authorities saw an important role for members in the process of developing their BVPP as a conduit between the Council and the public, though there was awareness that some members felt that the emphasis upon public engagement may undermine their role as local representative. Whilst few authorities had developed specific initiatives, many included contact details within the BVPP and were developing mechanisms for member training and development.

Conclusions. <Top>

It has become clear that there is no model or blueprint for an ideal BVPP. Neither is there a model approach to the planning and performance process, which underpins its development. The analysis of the plans produced by the case studies reveals diversity in content, presentation and methods for development. None of the plans were without flaws, though it needs to be acknowledged that this is inevitable within a first attempt. Producing a BVPP is as much a process as an outcome, and the inevitable learning curve it presents is important.

It is possible, however, to point to lessons which emerge from this research, which distinguish the more comprehensive and effective plans from those which are less so:

· All authorities need to develop an overall vision and link it to corporate objectives and methods of delivery and performance planning;

· The development of service- and policy-specific planning and performance arrangements provides the foundation for the BVPP, as a basis from which to deliver, monitor and evaluate performance. It is important to place the BVPP within the context of the corporate planning process.

Consultation needs to be an integral part of the process of developing the BVPP, and the plan needs to demonstrate the extent to which such consultation has been effective and continuous:

· Authorities need to consider a range of media for publication;

· There needs to be a clear link between corporate priorities and action plans, and the performance measurement framework. The outcomes of policy are those which ultimately affect citizens and measures which reflect these should be sought;

· BVPPs can provide an important education role about the role of the authority. The relationship between the BVPP and other planning arrangements within the Council, as well as the activities and responsibilities of other agencies, might usefully be included.

The role of organisational structures and leadership (amongst both members and officers) in the process of developing a BVPP is vital in terms of developing a proactive 'culture'. A number of authorities have found changed committee or departmental structures a useful step to developing work on cross-cutting issues. However, there is not a need for a wholly new 'Best Value Infrastructure'.

Bibliography. <Top>

Audit Commission 1997. A Learning Experience. Service Delivery Planning in Local Government. Occasional Paper. London: Audit Commission.

Audit Commission 1999. Planning to succeed: service and financial planning in local government. Draft report.

Boyne G 1999. Service Reviews in Welsh Pilot Authorities. A review of a talk to a CIPFA workshop on 9 March. London: CIPFA.

Boyne G, Gould-Williams J, Law J & Walker R 1998. Analysis of Welsh Performance Plans. Welsh Evaluation Study on Best Value. Working Paper Number 1. Cardiff: Public Services Research Unit, Cardiff Business School.

Department of the Environment, Transport and the Regions 1999. Local Leadership, local choice. Cm 4298. London: The Stationery Office.

Department of the Environment, Transport and the Regions 1999. Preparing for Best Value. London: DETR.

Department of the Environment, Transport and the Regions 1999. Implementing Best Value. A consultation paper on draft guidance. London: DETR.

Department of the Environment, Transport and the Regions 1998. Modern Local Government. In Touch with the People. Cm 4014. London: The Stationery Office.

Local Government Association 1998.

Martin S 1998. Achieving Best Value through public engagement. Warwick/DETR Best Value Series Number 8. Warwick: Local Government Centre.

Martin S, Hartley J, Bostock J, Hands D & Sutcliffe J 1998. Best Value: current developments and future challenges. London: LGA.

The full version of: Best Value Performance Plans: Practice and Procedures Review of Early Experiences within eight local authorities is available at:
http://www.local-regions.detr.gov.uk/bestvalue/performance/ppindex.htm

 

All information in this guidance is checked and believed to be correct, but cannot be so guaranteed and the publishers shall not be liable for any loss suffered directly or indirectly as a result of its use.