SOUTHWEST ONE

1
SOUTHWEST ONE

• History of the establishment of the Joint Venture
  Company

2
Background

• Local Government comprehensive spending review
• Strategic Service Delivery Partnership
• Budget Deficits
• Somerset County Council 20 million
• Taunton Deane 1.2 million

3
SOMERSET 6 OBJECTIVES

• To improve access to and delivery of customer
  facing services
• To modernise, reduce the cost of and improve
  corporate, transactional and support services
• To help modernise and transform the overall
  workings of the County Council and the Borough
  Council

4
SOMERSET 6 OBJECTIVES

• To invest in world class technologies to improve
  productivity
• To create an excellent working environment and a
  more sustainable employment to council staff in
  the future
• To generate economic investment by attracting a
  partner willing to invest in Somerset.

5
ISIS Vision

• Consultancy firm appointed to identify how to
  achieve vision of ISIS
• Various options considered
• In house
• Outsourcing
• JVC
• Consultancy firm identify criteria to achieve
  objectives already agreed
• Options scored against criteria
• Decided on Joint Venture Company

6
UNISON Campaign

• Advice from Dexter Whitfield of European Services
  Strategy Unit
• Funded by GPF
• Report Sept 05
• The Flawed Business Case widely publicised
• 7 Questions Councillors must answer
• Councillors informed privatisation not only
  option
• Despite UNISON Campaign, Council opted to develop
  Joint Venture Company, foregoing alternative
  options

7
Tendering

• Joint Venture Company - OJEU notice published
  December 2005
• Public sector employers in South West approached
  regarding Framework Agreement (Expression of
  Interest)
• 4 years from signing contract
• Opportunity for employers to sign up to Framework
  Agreement within 4 years
• UNISON informed of content of OJEU notice
• 36 public employers in South West signed up
• 14 of these employers opted for anonymity

8
Tendering

• 7 companies initially submitted Intentions to
  Negotiate 2 dropped out
• IBM, BT and Capita invited as preferred bidders
• December 2006 - 3 preferred bidders present their
  bids (much of which visionary)

9
Assessment

• UNISON decides not to sign commercial
  confidentiality agreement (not party to specific
  details presented to council)
• January / February 2007 - 100 staff evaluate
  bids
• 2007 Matrix of how bids are to be analysed is
  produced
• Considerable amount of resources invested
• Political decision
• Degree of scrutiny by councillors is poor
• IBM selected in March 2007

10
Scope of ISIS Joint Venture Co.

• Human Resources
• Legal Services
• Finance
• ICT
• Property
• Customer Services
• Design and Print
• Facilities Management
• 800 staff

11
Founding Partners

• Founding partners Golden Share
• 19 share of Joint Venture Company
• Somerset County Council
• Taunton Deane Borough Council
• Avon Somerset Police
• Right of Veto
• New subscribers will not have this

12
Staffing issues

• Terms and Conditions of staff
• Staff offered TUPE or secondment Assured
  Employment Staffing Agreement
• First tranche staff 1st November remainder 1st
  December
• Unresolved issues -
• Terms and conditions of staff directly employed
  by Joint Venture Company - pension provision,
  accommodation etc.