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NHS South of England Options for the organisation of local ...

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providers towards Thames Valley or Wessex and <strong>the</strong>y may wish to belong to an AHSNand <strong>the</strong> LETB that aligns with it.8.5. concerning <strong>the</strong> governance arrangements in paragraph 34, that each transitional Boardapproves <strong>the</strong>se governance arrangements in principle and commissions fur<strong>the</strong>r detailedwork to customise <strong>the</strong>m <strong>for</strong> its own LETB. The final detailed arrangements <strong>for</strong> each LETBwill be published in its development plan;8.6 concerning <strong>the</strong> options <strong>for</strong> executive and business teams in paragraph 44, that <strong>the</strong>transitional Boards at <strong>the</strong>ir meetings in June 2012:8.6.1 affirm <strong>the</strong>ir preference <strong>for</strong> <strong>the</strong> mixed option with separate executive teams(Managing Director, Director <strong>of</strong> Education and Quality and Director <strong>of</strong>Finance/Business Manager) in <strong>the</strong> light <strong>of</strong> <strong>the</strong> opportunity costs and risksdescribed in this paper;8.6.2 confirm whe<strong>the</strong>r <strong>the</strong>y would prefer to share a Finance Director8.6.3 consider <strong>the</strong> level <strong>of</strong> financial support required to sustain separate executivesfunctioning with an integrated/shared business team;8.7 concerning education commissioning across network boundaries, that <strong>the</strong> Boardsconsider <strong>the</strong> approaches described in paragraph 53 and agree, by <strong>the</strong> end <strong>of</strong> July 2012,lists <strong>of</strong> contracts that should be separated and contracts that should be managed by leadcommissioning.The case <strong>for</strong> two <strong>local</strong> education and training networks and Boards9. <strong>NHS</strong> healthcare providers have considered two options <strong>for</strong> configuring <strong>local</strong> education andtraining networks in <strong>South</strong> <strong>of</strong> <strong>England</strong> (Central):9.1. one network covering <strong>the</strong> <strong>South</strong> <strong>of</strong> <strong>England</strong> (Central) region, plus Dorset and Salisbury.This network would be one <strong>of</strong> <strong>the</strong> largest in <strong>England</strong>, depending upon <strong>the</strong> final nationalconfiguration.9.2. two networks configured as:9.2.1. <strong>the</strong> Thames Valley network, covering <strong>the</strong> counties <strong>of</strong> Berkshire, Buckinghamshire(including Milton Keynes) and Ox<strong>for</strong>dshire, and9.2.2. <strong>the</strong> Wessex network, covering <strong>the</strong> counties <strong>of</strong> Dorset, Hampshire, <strong>the</strong> Isle <strong>of</strong> Wightand Salisbury.This configuration could result in two <strong>of</strong> <strong>the</strong> smallest networks in <strong>the</strong> country.10. Deloitte were engaged to assess <strong>the</strong>se options in March 2011 and, although <strong>the</strong> context in which<strong>local</strong> education and training networks are to be organised has changed since that time, much in<strong>the</strong> Deloitte analysis holds good. Deloitte considered <strong>the</strong> two options against three principlesagreed by <strong>the</strong> stakeholders: <strong>local</strong> ownership, quality enhancement and economies <strong>of</strong> scale. Thestakeholders, with Deloitte, found that:10.1. both options were capable <strong>of</strong> <strong>the</strong> quality enhancement <strong>the</strong>y were seeking;10.2. <strong>the</strong> one network option (option 3a in <strong>the</strong> Deloitte paper) could deliver economies <strong>of</strong>scale but <strong>the</strong> stakeholders doubted that it could deliver <strong>local</strong> ownership;10.3. <strong>the</strong> two network option (option 2 in <strong>the</strong> Deloitte paper) could deliver <strong>local</strong> ownership butnot <strong>the</strong> same level <strong>of</strong> economies <strong>of</strong> scale.<strong>Options</strong> Appraisal Version 5 dated 08 June 2012 Page 3 <strong>of</strong> 15

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