Thursday 8 September 2016

Asset-based transformation: the designs behind the 'Transformation Component' essays


Including asset-based activity in Public Realm Transformation: an introduction

This is a blog that appears on the RnR Organisation website

Having published our Three Field Asset based Community Development paper we now want to start thinking about an operational model that will enable the implementation of an asset based health approach.
Fig 1 is our first design of such a model. We will, in the coming months, develop this design and model. This will be done through discussion with commissioners and community activists to enable a robust, fundable and sustainable model to be designed that recognises the importance of all participants within the process.


Fig 1 ASSET BASED COMMUNITY HEALTH OPERATIONAL MODEL – 1ST DRAFT.


The development of this process is only part of our thinking.
For this model to be implemented systemically, ensuring success and sustainability, we would argue that there is a need for true transformation of the public realm funding processes, to review its attitude and opinion of VCSE/community groups, and their role in service provision.
Figs 2-4 outline our thinking about changes to the public realm funding decision making process.
We promote the use of data from wider sources than those currently used. We outline an asset based approach that should be adopted to support services, not because utilising community assets is a cheaper option in time of public realm budget cuts, but because community assets are an essential and skilful resource than can optimise the impact of projects.



In the coming months we will expand on these designs exploring current process, Fig 2  Traditional (Established) Model (yellow section on left),  and the ‘market’ development of a supply chain. This diagram also explores the Product Development Process (brown section on right), which is supposedly assimilated into the supply chain process.

Fig 2 TRADITIONAL (ESTABLISHED) MODEL, PRODUCT DEVELOPMENT PROCESS


Fig 3 Current Ecosystem, Design Process, Wider Data Proposal explores what impact the term ‘transformation’ has had on the ecosystem, with the yellow and blue sections identifying a “delivery disconnect” in the sustainability of income from any ‘product’ developed within the supply chain.
This figure also provides an outline of the ‘Design Process’ (grey section), as well as outlining a Wider Data Proposal (green section).
These last two sections form part of ‘absolute’ processes, processes that, together with the Product Development Process, are external to the system but should be incorporated within it, if true transformation is to take place.



Fig 3 CURRENT ECOSYSTEM, DESIGN PROCESS, WIDER DATA PROPOSAL



The last sheet, Fig 4, incorporates elements of our previous work, Three Field Asset Based Community Development (green section), together with structures developed by Poc Zero with whom we are working to develop transformational proposals. Poc Zero’s Ring Of Confidence, is augmented by Boxes Of Support (orange section). The final section Developing The Dojos (purple), begins the exploration of how community organisations can be engaged as ‘peers’ within the delivery and process, designed or developed through public realm funding.


  Fig 4 RING OF CONFIDENCE, BOXES OF SUPPORT, THREE FIELD ACTIVITY


The Operational Model, Fig 1, and subsequent transformational designs, Figs 2-4, place asset engagement and development at the core of the activity.
We believe that communities, assets, volunteers, whatever label is used, should not be seen as an aid to public realm funding cuts.
Communities and individuals, irrespective of their issues, can be seen as assets to a programme yet generally projects/programmes are developed within a deficiency model - activities to rectify deficiencies.
We put communities at the core of activities and model how both public organisations, Fig 1 and public realm funding can be transformed to accommodate their resources and assets, Figs 2-4.
This is what we believe is true transformation.
If you are interested in discussing our designs or activities, please contact us to discuss how we can work together.


Pauline Roche
Ted Ryan
September 2016 

All images ©copyright RnR Organisation except for Ring of Confidence © copyright Poc Zero

Monday 18 January 2016

When is a market not a market?

Transformation of our (VCS Organisations) finance, performance and product performance and behaviour within our ecosystem, or market.

A confusing title for an equally confusing time. We are told we have to behave more ‘market like’, be innovative and develop new products.
BUT, can publicly funded services, a publicly funded, openly tendered and procured service exist within a true ‘market economy’ (private sector) market.  

As a producer, in a ‘market economy’, I would know the size of the market I operate in. I would know my market share, its sustainability and its growth potential.
I would know my customer demographic, have 5 year forecast predictions and have indications of actions to fulfil those potentials.
Any new product (innovation) that I wished to introduce into ‘the market’ would be developed and based on a thorough understanding of the above issues.
I would be able to cost development and retooling , potential borrowing requirements and repayments, capitalize the expenditure over a given period, borrow against projected sales and growth and then decide if I progress or not.
Having developed the initial product, from my own resources, and borrowed to get the product to market.
I would know which demographic it was targeted at, potential sales and impact on the whole market and my other products within the target market. I would know what share of the market my new product should achieve, and if that would have an impact on current products, or gain me larger market share overall i.e. I might lose 2% of market share from my current products but the new product would obtain 5% of market share, so my overall gain would be 3%.
While I accept that there is a finite amount of money in any given economy, at any given time, in this scenario I believe I can persuade people to change their buying habits and buy my new product.
All these judgements are based within an open ‘economic market’ - knowing that people want to buy my product, persuading people to buy a new product, made by me.
I am aware of how much money exists within my market and what I have to do to impact on my growth.
Product innovated, developed, produced, marketed, sold…

In the public sector funded service provision we are told we are to exist within a market and develop these skills. We are encouraged to innovate and develop new products to meet the need of tenders and procurement activity which is the way we access the funding. The process is developed, implemented and run by commissioners who receive an allocation of funding to ‘procure’ services and, in turn, develop tenders for applicants.
It is therefore a market restricted by funding, funding that can fluctuate within the public finance environment.
It is data driven, public sector data driving delivery targets, informing commissioning targets and outcomes. Data drives silos (specific funding for specific issues), and funding it attached to silos, and cannot (or very rarely can) be transferred between silos.
It is therefore outcome-orientated and very restricted. We have to deliver the expected outcome (data driven) within public sector (and silo) finance restrictions.
This is not a market.

Into an outcome-orientated market (environment), we are expected to deliver given outcomes, often in an expected manner. We cannot innovate, as that may not fit the commissioning brief. We cannot expand our market or products, through innovation, as there is a finite capacity to the finance in the silo for which we may be tendering, and the tender is for delivery, not development.

I cannot borrow to develop new products as I am not guaranteed a place in the market - I can neither argue nor prove my case.
Long term capitalisation of any investment is also restricted by the length of the contract, usually three years but it can be shorter, and any IT development to improve productivity cannot be included in a tender application.

Transformation argues we need, as a sector, to change our behaviour and practice within our ‘markets’.

While there may be skills and practices we can learn from the open market, we are having to learn them within the confines of our eco system, what I would call, based on the foregoing, a ‘non market’.