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OPPORTUNITIES FOR ALIGNMENT
Arts and cultural organisations and public sector commissioning
Sally Bagwell, Senior Consultant, NPC #artscommissioning June 2014
TRANSFORMING THE CHARITY SECTOR
2
Transforming the
charity sector
Increasing the
impact of charities
eg, impact-focused
theories of change
Strengthening the
partnership
eg, collaboration
towards shared
goals
Increasing the
impact of funders
eg, effective
commissioning
ARTS AND CULTURAL SECTOR
3
Range of different organisational types
Charitable arts and
cultural sector
8,500
Not-for-
profit
Commercial
Infrastructure
organisations
Museums
sector
2,500
Libraries
sector
3,000
GRANTS AND CONTRACT INCOME
4
THE COMMISSIONING ENVIRONMENT
Positive
•Commissioning for
outcomes
•Social Value Act
•Integrated
commissioning
•Co-design and co-
production
•Personalisation -
fragmentation of
commissioners
5
Commissioning practices are changing rapidly
Neutral
•Very rapid change
•Wide variety of
practices
•Increased
outsourcing of
services previously
delivered by public
sector directly
•Payment by results
and the hard evidence
agenda
Negative
•Rising need and
budgets cut (including
arts and cultural
budgets)
•Weak voice in public
policy
•Hollowing out
commissioning
profession
•Large contracts ill
suited to arts and
cultural orgs
EXPERIENCES OF PUBLIC FUNDING
6
Whole sample
9 / 10
applied
for
public
funding
8 / 10 won
public
funding1 / 3rd won
contracts
Half of bids as part of
a partnership
High proportion have some experience of public funding
Average
1-2
contracts
Average
£5,000 -
£40,000
Average
6-12
months
PUBLIC FUNDING SOURCES
7
High reliance of arts and cultural specific funding
Source: NPC Cultural Commissioning Programme Survey 2013. Q11: “Have you applied for any statutory or public funding in the past 4 years
(either as grants or contracts)?” If yes Q12: “Where did these opportunities come from?” (multiple response. N=209)
For 67%, all
public
funding is
arts / cultural
specific brief
National
Local authority
Local (other)
COMPARISON TO THE CHARITY SECTOR
8
Do not match charity sector level of contracted income.
Charitable arts and cultural
organisations…
Arts and
culture
Charity
…are bigger than charities on average
(median)
£17,500/org £9,500/org
…receive about half the level of contracted
income,
£34,200/org £72,400/
org
…or a third as much if we look at the
proportion of overall income
10% total
income
27%
income
…receive less public funding per organisation
(when we exclude Arts Council funding)
£56,700
£100,500 incl
ACE
£90,300
VALUE DELIVERED
9
Many aspects which are of interest to commissioners
Encourage sustained
participation
Addresses inclusivity
and difference
Effective working in
preventative agenda
Use of existing
community assets
Place and
inclusion
Health and
well-being
Life
skills
Identity
Safe way
to explore
difference
Regeneration
Engaging with
seldom-heard
voices
Route into
education
Pride
and
identity
Reduced social
isolation
Social
bonding
Personal
communication
tool
Physical
health
Addressing
stigma
Community
cohesion
Cognitive
and
creative
skills
Social skills
(confidence,
teamwork etc.)
Route into
employment
Mental health
recovery
Reintegration
into society
WORKING WITH COMMISSIONERS
10
Using language that will resonate with commissioners
Does arts and
culture offer
commissioners
anything
unique?
Part of a jigsaw of services
In some contexts contribution is distinctive
Benefit of addressing a problem indirectly
How should you
talk about an
arts or cultural
intervention?
Quality essential in achieving outcomes
Talk the language of social outcomes.
Be bold: explain the value of arts and cultural
approaches
Barriers and
enabling factors
Many common to all organisations involved in
commissioning
Distinctive to arts and culture: mission, open access
services, involvement in market development
WHEN IS COMMISSIONING APPROPRIATE
11
It’s not for every organisation, and commissioning arrangements vary
Mission Capacity
The
opportunity
Chance of
success
Yes to most questions?
Some adaptation may be necessary, but worth engaging with commissioning.
No to most questions?
Commissioning unlikely to be the right approach for you.
Different types of commissioning
More formal
Fewer relationships
Larger contracts
Less formal
More relationships
Smaller contracts
PRACTICALITIES
Limits of commissioner freedom:
Commissioners not working in
unconstrained environment
Need to work within legal
and operational
procurement framework
Scrutiny of decisions
– may become risk
averse
Lacking time and
resource for
innovative work
Changing the system or working
within it:
Organisations may want to
influence how commissioning
takes place
Need to work out where
levers of power are
Often commissioning
strategy decided
locally—may be easier
to influence
Some strategies
nationally defined
12
How should providers work with the commissioning system
MEASURING IMPACT
• Range of methodologies, from simple (quotes and anecdotes) to the
more complex (long term follow up, use of standardised tools)
• Value of an outcomes framework (eg, theory of change) as a way to
articulate work to commissioners.
• Two important elements to proving your impact:
• Evidence collected by the organisation
• Independent evidence base
• Issues with access to independent evidence, and
comprehensiveness of evidence base.
13
How do organisations measure and demonstrate their impact
PARTNERSHIP
14
Very important to commissioning success
Benefits of partnership
•Provide better service
•Expand reach of
beneficiaries
•Secure funding
•Access bidding
experience
•Professionalise
organisation
KEY MESSAGES
• Commissioning structural arrangements affect who is able to bid for
work, and may exclude those who could offer valuable solutions.
• Arts and cultural partners can help beyond the service delivery—in
consultation with users and service design.
• It is essential to know that money is being well spent, but evidence
standards should be established through dialogue with providers.
• Commissioning and procurement professionals need leadership and
support in seeking innovative solutions to difficult problems.
• Existing evidence needs to be more readily accessible, and gaps in
evidence need to be filled.
15
For commissioners, policy makers and for the Arts Council
v
THANK YOU
New Philanthropy Capital – transforming the charity sector
Sally Bagwell, Senior Consultant, sally.bagwell@thinkNPC.org

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Opportunities for alignment

  • 1. v OPPORTUNITIES FOR ALIGNMENT Arts and cultural organisations and public sector commissioning Sally Bagwell, Senior Consultant, NPC #artscommissioning June 2014
  • 2. TRANSFORMING THE CHARITY SECTOR 2 Transforming the charity sector Increasing the impact of charities eg, impact-focused theories of change Strengthening the partnership eg, collaboration towards shared goals Increasing the impact of funders eg, effective commissioning
  • 3. ARTS AND CULTURAL SECTOR 3 Range of different organisational types Charitable arts and cultural sector 8,500 Not-for- profit Commercial Infrastructure organisations Museums sector 2,500 Libraries sector 3,000
  • 5. THE COMMISSIONING ENVIRONMENT Positive •Commissioning for outcomes •Social Value Act •Integrated commissioning •Co-design and co- production •Personalisation - fragmentation of commissioners 5 Commissioning practices are changing rapidly Neutral •Very rapid change •Wide variety of practices •Increased outsourcing of services previously delivered by public sector directly •Payment by results and the hard evidence agenda Negative •Rising need and budgets cut (including arts and cultural budgets) •Weak voice in public policy •Hollowing out commissioning profession •Large contracts ill suited to arts and cultural orgs
  • 6. EXPERIENCES OF PUBLIC FUNDING 6 Whole sample 9 / 10 applied for public funding 8 / 10 won public funding1 / 3rd won contracts Half of bids as part of a partnership High proportion have some experience of public funding Average 1-2 contracts Average £5,000 - £40,000 Average 6-12 months
  • 7. PUBLIC FUNDING SOURCES 7 High reliance of arts and cultural specific funding Source: NPC Cultural Commissioning Programme Survey 2013. Q11: “Have you applied for any statutory or public funding in the past 4 years (either as grants or contracts)?” If yes Q12: “Where did these opportunities come from?” (multiple response. N=209) For 67%, all public funding is arts / cultural specific brief National Local authority Local (other)
  • 8. COMPARISON TO THE CHARITY SECTOR 8 Do not match charity sector level of contracted income. Charitable arts and cultural organisations… Arts and culture Charity …are bigger than charities on average (median) £17,500/org £9,500/org …receive about half the level of contracted income, £34,200/org £72,400/ org …or a third as much if we look at the proportion of overall income 10% total income 27% income …receive less public funding per organisation (when we exclude Arts Council funding) £56,700 £100,500 incl ACE £90,300
  • 9. VALUE DELIVERED 9 Many aspects which are of interest to commissioners Encourage sustained participation Addresses inclusivity and difference Effective working in preventative agenda Use of existing community assets Place and inclusion Health and well-being Life skills Identity Safe way to explore difference Regeneration Engaging with seldom-heard voices Route into education Pride and identity Reduced social isolation Social bonding Personal communication tool Physical health Addressing stigma Community cohesion Cognitive and creative skills Social skills (confidence, teamwork etc.) Route into employment Mental health recovery Reintegration into society
  • 10. WORKING WITH COMMISSIONERS 10 Using language that will resonate with commissioners Does arts and culture offer commissioners anything unique? Part of a jigsaw of services In some contexts contribution is distinctive Benefit of addressing a problem indirectly How should you talk about an arts or cultural intervention? Quality essential in achieving outcomes Talk the language of social outcomes. Be bold: explain the value of arts and cultural approaches Barriers and enabling factors Many common to all organisations involved in commissioning Distinctive to arts and culture: mission, open access services, involvement in market development
  • 11. WHEN IS COMMISSIONING APPROPRIATE 11 It’s not for every organisation, and commissioning arrangements vary Mission Capacity The opportunity Chance of success Yes to most questions? Some adaptation may be necessary, but worth engaging with commissioning. No to most questions? Commissioning unlikely to be the right approach for you. Different types of commissioning More formal Fewer relationships Larger contracts Less formal More relationships Smaller contracts
  • 12. PRACTICALITIES Limits of commissioner freedom: Commissioners not working in unconstrained environment Need to work within legal and operational procurement framework Scrutiny of decisions – may become risk averse Lacking time and resource for innovative work Changing the system or working within it: Organisations may want to influence how commissioning takes place Need to work out where levers of power are Often commissioning strategy decided locally—may be easier to influence Some strategies nationally defined 12 How should providers work with the commissioning system
  • 13. MEASURING IMPACT • Range of methodologies, from simple (quotes and anecdotes) to the more complex (long term follow up, use of standardised tools) • Value of an outcomes framework (eg, theory of change) as a way to articulate work to commissioners. • Two important elements to proving your impact: • Evidence collected by the organisation • Independent evidence base • Issues with access to independent evidence, and comprehensiveness of evidence base. 13 How do organisations measure and demonstrate their impact
  • 14. PARTNERSHIP 14 Very important to commissioning success Benefits of partnership •Provide better service •Expand reach of beneficiaries •Secure funding •Access bidding experience •Professionalise organisation
  • 15. KEY MESSAGES • Commissioning structural arrangements affect who is able to bid for work, and may exclude those who could offer valuable solutions. • Arts and cultural partners can help beyond the service delivery—in consultation with users and service design. • It is essential to know that money is being well spent, but evidence standards should be established through dialogue with providers. • Commissioning and procurement professionals need leadership and support in seeking innovative solutions to difficult problems. • Existing evidence needs to be more readily accessible, and gaps in evidence need to be filled. 15 For commissioners, policy makers and for the Arts Council
  • 16. v THANK YOU New Philanthropy Capital – transforming the charity sector Sally Bagwell, Senior Consultant, sally.bagwell@thinkNPC.org