Update on the Tri-Borough Managed Services framework ...

Managed Services Briefing
Overview and Scrutiny Committee
24 September 2013
London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council

London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council
Managed Services – a quick reminder
• Managed Services aims to radically reduce existing
systems and costs by enabling boroughs to share back
office functions.
• All of the other streams are product specific. Managed
• All of the other streams are product specific. Managed
Services is product agnostic. It is up to the service
provider to provide their best practice processes with
their preferred system.

Consisting of four areas or lots
London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council

London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council
Why are we moving to managed services?
• To save money – by 2015/16 we will save more than £6 million per
year across Tri-borough on back office services, without affecting
residents and service users. The savings for H&F is £1.2m per
annum
• To focus on what local authorities were fundamentally set up to
do – provide services
• To align back-office services to support Tri and Bi-borough
working
To focus resources where they need to be focused

HR – what are we buying?
London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council
Full HR and Managed Service
Payroll, Self Serve,
Exit Interviews
Case Management Recording Service
Occupational Health Service
Performance Management System
Document Store
HR Contact Centre
Interface Service
Management of third party suppliers
Not Buying (add no's)
Learning and Development System, CRB, job evaluation,
psychometric testing

London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council
Finance – what are we buying?
Record to Report
Chart of Accounts, General Ledger, Taxation, Support Service Allocations,
VAT Returns
Budgeting and Forecasting
Online estimates and forecasting functionality. Formula-driven forecasts
where required e.g. inflation
Purchase to Pay
Invoice Payments, E-Purchasing
Order to Cash
Raising Invoices
Cash & Bank
Cash distribution, Bank Recs, Imprest Accounting Services
Support
System Admin, Helpdesk, Supplier Performance
Not buying
Debt collection

London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council
The journey so far - highlights
•Standard build requirements captured – now working with BT to build the
new system
•Working on a Tri-borough basis to redesign end-to-end processes -
standardisation for the system and for customers
•Now all processes will be simplified with one form for three boroughs i.e.
application form/sickness form
•Standard build witness testing successfully completed
•Commenced work on data cleanse
•Commenced working with departments (through Business
Ambassadors/Subject Matter Experts/Workforce Stakeholder Group and
Corporate Workforce Group)
•We are on track for Go Live – April 1 2014

London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council
Next steps
• Complete systems testing
• Completion of all of the end to end processes and standardisation
• Commence working with the business and departments on the
training of the new processes and systems
• Model office supported by BT to cross skill staff
• Data migration to be undertaken - resulting in one set of
authorisation levels

London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council
Preparing for organisational readiness - our approach
• The creation of a supported change network consisting of Business
Ambassadors, SMEs and model managers
• HR and Finance Ambassadors, supported by SMEs, work together
acting as the primary interface with their service areas to inform and
engage staff in the programme and how it will affect them
• Change team will work closely with BT to determine systems training
requirements and ensure training meets service needs
• The change team will support the Ambassadors by:
– Initial induction to ensure clarity of roles and familiarity with change
management principles and theories
– Bite size training re change management, working with stakeholders etc
– Regular meetings and coaching opportunities
– Regularly updated communication materials

London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council
Benefits realisation
• All financial benefits will be captured and tracked in line with existing
Tri-borough and sovereign MTFS processes
• Managed Services will also result in many non financial benefits. For
example,
– Improving provision by decreasing the need for multiple support
systems
– Increasing effectiveness and reducing repetition by aligning standard
processes and systems
– Improving decision making by integrating data more effectively, and
– Enhancing our skills base through joint working with suppliers
• These will be tracked as the new ways of working are adopted.

London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council
Managed Services – other developments
• In addition to BT, we have signed two other frameworks:
• BravoSolution (eSourcing)
• The Technology Forge (Property and Asset Management)
• Business Intelligence framework discussions are ongoing with the preferred
supplier
• E-sourcing
• Call off complete by all three councils
• Tri-borough project team mobilised and governance structure
established
• Consultation and design workshops well underway with supplier
• Property and Asset Management
• Call off by the three councils planned for later on this year
• Data standards agreed
• Collaboration with Total Facilities Management programme ongoing

Key dates (HR and Finance)
London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council
• Sept/Oct 2013 - Business ambassadors induction/ training
• October 2013 onwards – Staff drop ins
• November 2013 – System build complete
• November 2013 – Training guide developed
• January 2014 – Training starts
• March 2014 – Training Complete
• March 2014 – Data cleansing complete
• April 1 2014 – Finance and HR Go Live

London Borough of Hammersmith and Fulham | The Royal Borough of Kensington and Chelsea | Westminster City Council