AMALGAMATIONS AND MERGERS

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AMALGAMATIONS AND MERGERS

• SIZE ISNT EVERYTHING
• BUT IT SURE CAN HELP

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Introduction

• Amalgamations and mergers
• Our journey to date, the difficulties, challenges
  and opportunities we experienced along the way
• Five small NGOs located on the North Coast of
  NSW.
• Mental Health Rehabilitation Services- MHARS
  (Lismore)
• Ballina Community Network- (Ballina)
• Bay- Ami (Byron Bay and Mullumbimby)
• Moomba Accommodation Service (Coffs Harbour)
• On Track Community Programs Inc (Tweed Heads)

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Mental Health Service Programme Locations

• Residential Rehabilitation
• High Support
• Two Services provided based at Tweed and Lismore
• Recovery and Resource Centre
• High, Medium and low Support
• One Service provided based at Tweed Heads South
• Supported Accommodation and Psychosocial
  Rehabilitation
• Services Outreach
• High and Medium Support
• Three Services based at Tweed, Lismore and Coffs
  Harbour.
• Crisis Refuge
• High Medium and Low Support
• One Service provided based at Lismore.
• Outreach Disability Support
• Medium and Low Support

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Why amalgamate??Better consumer services

• Retain the organic nature of our services
• Does size really matter ?? Yes
• The dreaded bottom line- Spread of risk Balance
  sheet
• Capacity to increase infrastructure without
  significant reduction in services
• Increase Performance - QA, Accountability,
  Administration, Organisational Profile

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Where it Began

• Report commissioned in 2000.
• Organisations could not identify a lead agency
• Amalgamation of the Health Services
• Rethink by the NGOs
• Shared realistic vision for the future

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Why Amalgamate -Positives

• Decreased costs through economies of scale
• Development of a cohesive strategic approach
• Simplified administration at front line service
  level
• Spreading of risk
• More effective allocation of resources

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• Increased quality or quantity of services
• Improved government or corporate support
• Ability to value add via volunteers, community
  support, donations, profile etc
• Can be done within existing resources or surplus
  eg Dona Tech, Funding providers support (NCAHS)
• Task allocation to various workers to spread the
  load

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How to the Blueprint

• Decide on a structure
• Inform the staff!!!
• Fair Trading
• Consult with relevant Unions, professional and
  funding bodies
• Resources
• Research and Plan
• Change as little as possible
• Decide on your Structure

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Must Haves

• Energetic Boards of Management
• Budget (funds to expend)
• Financial Systems in place
• One organisation that has existing policy and
  procedures
• Support of the funding the provider
• Shared Vision- with staff support

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Issues and Challenges

• Smaller orgs shared vision harder workers
• Small orgs ability to provide social capital ,
  community input and local responsiveness
• To ensure all stakeholders continue the vision
  during the merge and post
• Resources to complete in a viable time frame more
  for over worked staff
• Time consuming
• Staff and consumer angst- grief and loss
• Emotions

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What we would do differently

• Separate Budget and allocate funds from all
  amalgamating organisations
• The need to be realistic, there has to be a lead
  organisation
• Newsletter or format/process to update
  information

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