Efficiency and effectiveness review programme

Report: 12
Date: 20 February 2001
By: Treasurer

Summary

This report sets out the progress made in respect of Mapping and Scoping Project to inform the Efficiency and Effectiveness Review Programme and identifies the Project Board's proposals for appointing consultants to undertake subsequent reviews identified as part of this Programme.

A. Recommendations

1. To note the Project Board's recommendation to appoint Accenture to undertake the initial Mapping and Scoping Project as part of this Programme.
2. To note the proposals of the Project Board regarding the appointment of consultants to undertake specific reviews identified as part of the Efficiency and Effectiveness Review Programme, on either an individual review or a packaged basis.

B. Supporting information

Mapping and scoping project

1. At the meeting of this Committee on 22 January it was agreed to appoint consultants to undertake an initial Mapping and Scoping Project to be completed by 31 March in order to arrive at a three year rolling programme of effectiveness and efficiency reviews. At the same time a budget provision of £50,000 for this initial piece of work was agreed.

2. Utilising the existing Framework Contract for the provision of financial, legal, technical and human resource consultancy services, transferred to this Authority on its establishment, five organisations were invited to bid to undertake the Mapping and Scoping Project on 23 January. The five organisations selected by the Project Board were:

• Accenture (formerly Andersen Consulting)
• Cap Gemini Ernst & Young
• Deloitte & Touche
• PA Consulting
• Pricewaterhouse Coopers

3. Bids were received by the closing date of 5 February from Accenture, Deloitte & Touche and PA Consulting. At a meeting of the Project Board on 7 February these proposals were considered in relation to:

• price;
• inputs (in terms of the number of consultancy days proposed);
• the approach to the work;
• the strength and balance of the members of the project team;
• the value for money offered by the bid.

4. All three bids were within the budget provision that had been agreed of £50,000. After careful consideration the Project Board invited Accenture to discuss their proposal in more detail and are recommending their appointment to undertake the Mapping and Scoping Project.

Timetable for initiation of main review programme

5. The Mapping and Scoping Project is scheduled to be completed by 31 March. The Project Board has considered the most effective way of ensuring that this Programme retains momentum so that efficiency and effectiveness reviews identified to be undertaken in the first year of the rolling three year programme can be commenced without delay. This is essential if the Programme is to identify realisable benefits that can be taken into account in the planning and budgeting cycle for the financial year 2002/03.

6. The Project Board considered the publication of an OJEC Notice inviting suppliers to identify their interest in undertaking reviews identified as part of the Programme. However, given the timescales involved in this process it would be unlikely that any specific reviews could commence before 1 July. This was felt to be an unwarranted delay in commencing a Programme which has been accepted by the Mayor, this Authority and the MPS as an important element in achieving the best use of resources.

7. Consequently, the Project Board will be proposing that the current MPA Framework Contract, which identifies 22 organisations as potential suppliers, be used as the basis for letting reviews under the Programme. In utilising the Framework Contract for specific reviews included in the Programme, the Project Board will be proposing that:

• reviews identified as part of the Programme are let either on an individual basis or as a package, where there is synergy between individual reviews;
• that, once the specific reviews identified as part of the Programme have been agreed, all of the suppliers on the Framework Contract are asked to identify their interest in taking part in the Programme and the specific reviews they feel they can best contribute to;
• the Project Board, under the supervision of the Steering Group, which is made up of the Mayor, the Chair of this Authority and the Commissioner, be given the delegated power to appoint consultants under the Framework Contract within the agreed budgetary provision;
• that such appointments and the progress of individual reviews and the Programme as a whole be reported to this Committee on a regular basis.

8. This approach will allow the Project Board to effectively progress the programme of reviews, whilst ensuring that this progress is fully reported to those to whom they are accountable

Review arrangements

9. The Mapping and Scoping Project and the subsequent programme of efficiency and effectiveness reviews will be managed within the approved Steering Group and Project Board arrangements, with regular reports on progress to this Committee acting on behalf of the Authority.

C. Financial implications

The bid received from Accenture to undertake the initial Mapping and Scoping Project is within the budget provision of £50,000 that was agreed at the last meeting of this Committee. Since this cost will fall within the current financial year, it is proposed that it will be met from the MPA Set-Up Reserve established in the Authority's opening balance sheet.

D. Background papers

• 22 January Finance, Planning and Best Value Committee  - Efficiency and effectiveness review programme

E. Contact details

The author of this report is Colin Balkman, Deputy Treasurer.

For information contact:

MPA general: 020 7202 0202
Media enquiries: 020 7202 0217/18

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