1

The Third Sector Voice in the Work of the Education and Training Foundation:

April 31st 2014

Executive summary and recommendations page 2

Full report page 5

Appendix 1 Summary of Focus Group meeting page 13

Appendix 2 Summary of interview responses page 16

Appendix 3 Survey Attachment

2

Executive summary and recommendations

The Third Sector National Learning Alliance (TSNLA) was commissioned by the Foundation to explore the question of how well the third sector can be integrated into Foundation activities.

It was agreed that for the purposes of this research the focus would be on Skills Funding Agency direct and sub-contracted providers – rather than the greater number of providers without Agency funding.

A triangulated approach was taken – involving online survey, focus group and interviews with key agencies.

Engagement issues associated with this part of the sector Recommendation 1:

There should be a third sector member of the Foundation board

73% of survey respondents agreed with this – as well as 90% of interviewees. One interviewee posed the question ‘Is one board member enough?’

Recommendation 2:

There should be a third sector member of each expert panel

77% survey respondents and 80% interviewees agreed with this.

Recommendation 3:

There should be (at least one) assessor from the third sector – to enable third sector proofing

50% survey respondents and 80% interviewees agreed with this.

Recommendation 4:

There should be third sector focussed meetings

68% survey respondents and 90% interviewees agreed with this. How the Foundation can ensure that communications reach third sector providers Survey results indicate a low level of awareness as a starting point: 62% have no or little awareness of Foundation activities – with 37% quite or very aware. Recommendation 5:

A mixed approach based on all the suggested communications methods should be employed

Survey respondents ranked as follows:

Emails directly from the Foundation 80%

3

Targeted workshops 73%

Email bulletins from the TSNLA 58%

Foundation CEO blog 18%

Twitter feed 11% How the Foundation can facilitate engagement with the third Sector by bidders for Foundation tenders Recommendation 6:

Tenders should make it clear that the third sector and all relevant FE sectors should be included in the provision of services contracted for

Recommendation 7:

Third sector focussed tenders should be let where there is a clearly identified third sector specific development need not being met in other ways

Current Foundation priority areas: Professional Standards, Vocational Education and Training, Leadership, Management and Governance The importance of professional standards was agreed by all interviewees and 89% survey respondents to be critical and drew a range of comments. Vocational Education and Training (VET) was seen to be important by interviewees but not as important as professional standards – whereas 79% of survey respondents gave this second place. Leadership, management and governance was seen as critical and given ‘second place’ by interviewees but third place by 66% survey respondents.

There was an overall expression of the need to recognise the ‘partial’ nature of teaching roles in this sector and that a model of professional development needs discussion in relation to these specific circumstances.

Specific third sector development and support needs were identified:

Project management

Staff supervision

Handling difficult people

Employer engagement

Engaging with young people

E-learning, ICT and using technology in teaching and learning

English and Maths qualifications

IAG training and qualifications

OFSTED and ways to improve

Governance: quality, inspection, risk management, contracts, setting challenging targets

Working with commercial providers

Senior leadership development

Support in understanding policy changes

4

The funding or lack of funding for workforce development was identified as a critical challenge for third sector providers – throughout the research.

Recommendation 8:

The Foundation should play a key role in supporting the third sector through each of the three priority areas

5

Full Report

The Third Sector National Learning Alliance (TSNLA) was commissioned by the Foundation to explore the question of how well the third sector can be integrated into Foundation activities.

The TSNLA is the only membership body focussing specifically on third sector or voluntary and community sector learning provision – with a role on behalf of the whole of the sector. The TSNLA subscriber membership now exceeds 1000.

It was agreed that for the purposes of this research the focus would be on Skills Funding Agency direct and sub-contracted providers – rather than the greater number of providers without Agency funding.

Aims

To identify important and unique communications and engagement issues associated with this part of the sector

To advise on how the Foundation can ensure that communications reach third sector providers

To identify how the Foundation can facilitate engagement with the third Sector by bidders for Foundation tenders

To identify any specific areas of Foundation work which might be most relevant to the third Sector

To explore any other aspect which might be relevant to this general task

Context of research:

This report builds appropriately on certain key recommendations from research BIS published in 2013 – especially the following:

1.2 Utilising the unique expertise and strengths of the third sector

2.3 Developing the capacity of third sector organisations to lead, manage and deliver learning and skills provision and supporting activities

3.1 Improving participation, outcomes and achievements

4.3 Supporting third sector providers to network, collaborate, pool resources and share expertise

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/185724/bis-13-586-third-sector-engagement-and-participation-in-the-learning-and-skills-sector-executive-summary.pdf

6

Third Sector Implementation Board (TSIB)

Following on from the research recommendations the Third Sector Implementation Board was formed – with NIACE in support. The TSIB programme is being delivered through a series of six work packages, delivered by task groups formed from Board members and NIACE staff. A task group was been assigned to each objective to support the delivery of activities and achievement of outcomes associated with that objective. The work packages have included activity around:

identifying and sharing good practice in consortia and partnership

building

enhancing the quality of provision

supporting commissioners better to understand the third sector offer

ensuring equality and diversity is embedded

ensuring the Board has strategic involvement in discussions in relation

to the Third Sector’s role in key strategies (for e.g. LEPs, Spending

Review, Community Learning Reforms); and

mapping effective practice; and facilitating the Board.

The outcomes will be shared via a webpage hosted at NIACE and through dissemination activities lead by TSIB members, and potentially other networks.

(Third Sector Implementation Board – the way forward after March 2014, NIACE discussion paper, March 2014)

Methodology

Survey

The first challenge was to identify the appropriate target audience for the survey. This was done by key direct contractors co-operating by providing contact details for their network of sub-contracted providers.

This resulted in a pool of around 100 third sector providers. Given the short timescales the response rate of just over 50% is pleasing.

Characteristics of providers included: 30% direct contractors and around 70% sub-contractors, delivering a wide range of programmes (50% apprenticeships, 24% Adult Skills Budget, 20% Community Learning etc.).

When looking at size of provider 55% have up to 10 paid staff, 42% between 11 and 30 and 8% with between 31 and over 50. 94% have up to 10 volunteers.

7

Interviews

Interviews were held with 10 representatives from key agencies: AELP, NIACE, HOLEX, AoC, Skills Funding Agency, BIS (2), Third Sector Implementation Board, Cabinet Office Crown Representative for the VCSE, St. Mungo’s.

This coverage was able to draw on an extensive range of stakeholder involvement in the Foundation:

Funder and relationship manager on behalf of government

Part of the original thinking in the set-up period

Steering group phase members

Part owners

Direct bidders

Partner bidders

Member of expert panel

Providing interim Chair for Board and one Panel

Providing research on equalities and quality

Focus Group

A focus group for directly contracted providers and consortia – and sub-contracted providers – was held on the 12th March with 9 participants - with Helen Pettifor from the Foundation giving an input and participating in the discussions.

One central thread to the discussions was that fundamentally for the third sector it is crucial to begin with skills and aptitudes – rather than the qualifications. Individuals need to be able to engage with young people, to work in very informal settings and to handle having a multiplicity of roles e.g. there is no welfare office down the corridor to refer people to! There can also be the issue of literacy to take account of – when clients are highly qualified in their own countries yet not yet proficient in English.

This is crucial to understand when attempting to develop appropriate and effective models of staff development within the third sector. It was also recognised that there are higher levels of graduate workers in the third sector than any others.

There was general agreement that staff were expected to have or gain a range of qualifications: PGCE teaching, PTTLs, DTTLs, Level 5 English and Maths, IAG Levels 3 and 4, ESOL Delta/Celta etc.

Project management, staff supervision and handling difficult people, employer engagement and engaging with young people were also identified as development needs.

In relation to methodology the importance of e-learning and using technology in teaching and learning was stressed.

8

Recommendations to the Foundation Strategic Engagement with the third sector The issue of the definition of the third sector was raised by one interviewee who held the view that there is no straightforward answer to this. Indeed, this question is one under consideration by the Skills Funding Agency as it seeks to determine the most appropriate method of contracting with the third sector.

Recommendation 1:

There should be a third sector member of the Foundation board

73% of survey respondents agreed with this – as well as 90% of interviewees. One interviewee posed the question ‘Is one board member enough?’

Recommendation 2:

There should be a third sector member of each expert panel

77% survey respondents and 80% interviewees agreed with this.

Recommendation 3:

There should be (at least one) assessor from the third sector – to enable third sector proofing

50% survey respondents and 80% interviewees agreed with this.

Recommendation 4:

There should be third sector focussed meetings

68% survey respondents and 90% interviewees agreed with this. Two interviewees did not see this as appropriate suggesting that the third sector should be included in broader meetings. Other suggestions for strategic engagement

Having an SME on the board

Using the third sector to showcase innovation in training/learning and transforming people’s lives

Making sure that smaller third sector providers are heard

Having ‘Roadshows’ similar to those held in the early days of previous agencies e.g. Young Persons Learning Agency (funding dependent)

How the Foundation can ensure that communications reach third sector providers In relation to levels of awareness of Foundation activities and access to support the survey results indicate a low level of awareness as a starting point: 62% have no or little awareness of Foundation activities – with 37% quite or very aware.

9

When considering access to support 98% do not currently access support. This should be balanced against the more positive answers to questions on the Excellence Gateway. Here 53% are aware and 47% not. Of those who are aware of the Excellence Gateway 42% do use it and for a range of purposes. Recommendation 5:

A mixed approach based on all the suggested communications methods should be employed

Some interviewees did not feel able to give an informed view of how third sector communications could be utilized effectively. Survey respondents ranked as follows:

Emails directly from the Foundation 80%

Targeted workshops 73%

Email bulletins from the TSNLA 58%

Foundation CEO blog 18%

Twitter feed 11% Other suggestions for communications

Hold conferences with the third sector – possibly North and South. The TSNLA/BIS conference was a great success

The TSNLA needs to stand alongside the Foundation in order to state how they are working together – a symbolic statement by stakeholders

How the Foundation can facilitate engagement with the third Sector by bidders for Foundation tenders Writing in a third sector element to all tenders

Recommendation 6:

Tenders should make it clear that the third sector and all relevant FE sectors should be included in the provision of services contracted for

It was evident that some interviewees saw the possibility of favouring one part of the sector as inappropriate – suggesting that such an approach may not fit with procurement law. ‘Procurement should be evidence based rather than institutionally based’. The third sector itself needs to assess how the BIS delivery plan can support the sector.

Where interviewees viewed this as appropriate it was on the basis that the range of sub-sectors was identified within the tender specifications.

There was a consensus in that tenders should, where appropriate, expect bidders to demonstrate their competence in addressing third sector.

10

development needs. The nature of programmes being tendered should take into account the third sector context.

Procuring third sector focussed work as a discrete contract and integrating into FE wide activity

Recommendation 7:

Third sector focussed tenders should be let where there is a clearly identified third sector specific development need not being met in other ways

80% survey respondents and 90% interviewees agreed with this.

For procuring third sector focussed work as a discrete contract and integrate into FE wide activity 90% interview respondents saw this as appropriate – as long as specific third sector needs could be identified, needs that were different to the development needs of others.

Other possible approaches

Scale is an issue meaning that providers need to work through consortia – this could be properly taken into account in tendering processes

The Foundation should require successful bidders to work through sub-contracts with other stakeholders – and use weighting in the scoring to this end

Identifying providers who can mentor others in working with the private sector and in scaling up provision

The importance of communication well in advance of tenders so that third sector partnerships can develop and gain access

Induction for Foundation staff into third sector characteristics

The Foundation using its influence on the market in order to ensure that barriers to entry and participation are not created

There may be possible sources of capacity building funding through ESF

Specific areas of Foundation work which might be most relevant to the third Sector The focus of the Foundation’s three priority areas (Professional Standards, VET and Leadership) was chosen in order to draw on views as to what the situation is for the third sector when considering workforce development needs and potential solutions. As such Foundation priorities regarding the third sector featured in all parts of the research. The Third Sector Implementation Board commissioned a report which examined third sector in relation to OFSTED grades – concluding that ‘there is an urgent need for quality improvement to bring all third sector providers up to a ‘good’ or ‘outstanding’ level.

11

In relation to development support needs the report suggested the TSIB explore sources of support that could be made available to Third Sector learning providers. This is particularly important to replace support that has previously been provided by LSIS, that has been invaluable to some organisations preparing for their first inspection, as well as to enable organisations to feel confident that their systems are robust and that their understanding of the Common Inspection Framework is in line with Ofsted’s interpretation.

Appropriate types of support could include:

Mentoring from other providers working in similar situations (These need not necessarily be Third Sector but possibly other providers in the same geographical area.)

Briefings contextualised to Third Sector providers (in the form of written articles, web-based frequently asked questions, interactive webinar etc)

Training and one-to-one support in key areas where a need for improvements has been identified, such as: observations of teaching and learning; support with management information and quality improvement systems; support for first time nominees

(Effective Practice in the Third Sector – Understanding and supporting the Third Sector Engagement in learning and skills, Third Sector Implementation Board, February 2014) Current Foundation priority areas The importance of professional standards was agreed by all interviewees and 89% survey respondents to be critical and drew a range of comments.

Vocational Education and Training (VET) was seen to be important by interviewees but not as important as professional standards – whereas 79% of survey respondents gave this second place.

Leadership, management and governance was seen as critical and given ‘second place’ by interviewees but third place by 66% survey respondents.

Recommendation 8:

The Foundation should play a key role in supporting the third sector through each of the three priority areas

From the discussions in the focus group there was a clear consensus: that fundamentally for the third sector it is crucial to begin with skills and aptitudes – rather than the qualifications. Individuals need to be able to engage with young people, to work in very informal settings and to handle having a multiplicity of roles e.g. there is no welfare office down the corridor to refer people to! There can also be the issue of literacy to take account of – when clients are highly qualified in their own countries yet not yet proficient in English.

12

This is of the utmost importance to understand when attempting to develop appropriate and effective models of staff development within the third sector. It was also recognised that there are higher levels of graduate workers in the third sector than any others.

Potential solutions and roles for the Foundation

Specific third sector development and support needs were identified:

Project management

Staff supervision

Handling difficult people

Employer engagement

Engaging with young people

E-learning, ICT and using technology in teaching and learning

English and Maths qualifications

IAG training and qualifications

OFSTED and ways to improve

Governance: issues of quality, inspection, risk management and contracts, setting challenging targets

Working with commercial providers

Senior leadership development

Support in understanding policy changes

Developing third sector regional (or training) champions

Support for peer professional development networks

Support the use of online learning e.g. webinars, online guides

Provide targeted funding for organisations or consortia which build provider capacity

Targeted workshops, conferences and seminars

Can the Foundation support the third sector through Corporate Social Responsibility strategies?

The funding or lack of funding for workforce development was identified as a critical challenge for third sector providers – through both survey and focus group.

Conclusion

Throughout this research there has been enthusiastic and committed involvement – through the survey respondents, agency interviewees and focus group participants. It is clear that this sample are very strongly committed to supporting the contribution of the third sector in delivering high quality learning and skills to those in most need in society.

13

APPENDIX 1: Focus Group Report

Focus Group

The Third Sector Voice in the Work of the Foundation 12th March 2014

Chair: Tim Ward/TSNLA

8 attendees + Helen Pettifor (Education and Training Foundation)

Steve Kerr/London Voluntary Sector Council, Dave/The Vine Church, Anthony Harmer/ELATT, John Blackman/Action Acton, John Hacking/Network Europe, Don Hayes/Enable, John Harris/TSNLA

Agenda

1) Introductions 2) Outline of where the focus group fits within the overall project (John

Harris) 3) Outline of Foundation governance (Don Hayes) 4) Outline of Foundation rationale and structure (Helen Pettifor) 5) Delegates outline what kind of staff they employ and their development

needs 6) Each priority area was explored: professional standards, VET and

Leadership – issues raised from this are captured under the headings below.

What kind of staff we employ and their development needs

There was an overall expression of the need to recognise the ‘partial’ nature of teaching roles in this sector and that a model of professional development needs discussion in relation to these specific circumstances.

Delegates represented a range of third sector organisations; direct providers, support and managing agents (and providers) and representative bodies.

There was general agreement that staff were expected to have or gain a range of qualifications: PGCE teaching, PTTLs, DTTLs, Level 5 English and Maths, IAG Levels 3 and 4, ESOL Delta/Celta etc.

Project management, staff supervision and handling difficult people, employer engagement and engaging with young people were also identified as development needs.

In relation to methodology the importance of e-learning and using technology in teaching and learning was stressed.

Key issues:

That fundamentally for the third sector it is crucial to begin with skills and aptitudes – rather than the qualifications. Individuals need to be able to engage with young people, to work in very informal settings and to handle

14

having a multiplicity of roles e.g. there is no welfare office down the corridor to refer people to! Providers are happy to add teacher training to new employees and prefer to employ for the right personality and the subject expertise.

There can also be the issue of literacy to take account of – when staff are highly qualified in their own countries yet not yet proficient in English.

This is crucial to understand when attempting to develop appropriate and effective models of staff development within the third sector. It was also recognised that there are higher levels of graduate workers in the third sector than any others.

Volunteers are trained in PTTLS – then leave.

The key to all staff development is “how to work with different people”.

Providers are happy to add teacher training to new employees and prefer to employ for the right personality and the subject expertise.

Barriers

Unsurprisingly funding is the crucial barrier. Alongside funding is a simple lack of awareness of what is on offer. However the offer must be about meeting a need not selling a product.

In relation to potential bids for work, there is the issue of bids which tie down services in a “do it this way” approach.

There was also a question as the National Offender Management Service – is there a learning element in the bids and if not, can any influence be brought to bear?

Foundation services

In relation to Foundation services it was agreed that a directory or list of services is essential.

Helen outlined some of the current Foundation activity: Maths Enhancement programme, STEM, major projects around LLDD (Natspec and Achievement for All). There is a concern about the quality of initial teacher training and there are schemes to get Maths graduates into teaching this.‘Teach Too’ and the ‘2 Way Street’ were also referred to.

Helen also said that the Foundation needed to do more on; offender learning, employability and RPA.

The importance of blended learning was stressed and the NIACE E Guides were referred to as still useful. Helen said that work was being revamped and updated as part of the Learning Technologies contract in the VET Directorate.

There was a question as to how relevant employability and training for vocations is to the third sector where the emphasis is on pre-employment. However it was agreed that copies of the CAVTL report would be useful.

15

Leadership, management and governance

The perception is that Foundation work on this has mostly been college focussed and linked to key issues such as: ‘Is it good enough?’ – are colleges being led strategically? Are colleges being held to account?

For the third sector it was agreed that there was sufficient generic support. What is lacking is support around the responsibility of learning providers regarding quality and inspection, the management of risk and contracts. Do trustees know the difference between ‘success’ and ‘achievement’ rates? The issue of ‘challenge’ was raised – how do boards know they are/are not setting challenging targets?

Even if specialist provision for the sector cannot be offered, can there be subsidised places on other provision?

Helen also mentioned the Foundation’s learning environment as a source of online learning and management development and will send John the link.

Conclusions

Helen made the point that in whatever the Foundation developed to offer the third sector it would be crucial to contextualise the support and resources, to use language that is accessible, to offer services on an accessible basis.

The Foundation is working on a revised website, revamped learning environment and renewed Excellence Gateway and has an advisory group to help inform this development.

Actions

Helen to send John Harris copies of the CAVTL report.

Helen to send John Harris links to relevant online support currently available.

The results of this focus group discussion will be included in the overall report to the Foundation about meeting the needs of the Third Sector.

16

APPENDIX 2: SUMMARY OF INTERVIEWS WITH KEY AGENCIES

Respondents and their organisations involvement with the Foundation

Telephone interviews were carried out with 10 agency representatives: AELP, NIACE, HOLEX, AoC, Skills Funding Agency, BIS (2), Third Sector Implementation Board, Cabinet Office Crown Representative for the VCSE, St. Mungo’s.

The range of ways that respondent’s organisations have been and are involved with the Foundation is extensive:

As funding body and relationship manager (BIS)

As part of the original thinking process in setting up the Foundation (Skills Funding Agency), membership of the Steering Group

As interim Chair of the Foundation board and continuing chair of one of the Expert Panels (NIACE)

As provider of contracted services e.g. NIACE, AELP, HOLEX, AoC

As member of the Steering Group, co-owner of the Foundation (HOLEX, AELP, AoC)

As third sector member of one of the Expert Panels

As Chair of the Third Sector Implementation Board, London Voluntary Sector Council and of two London colleges

This depth and breadth of experience of the Foundation provides a helpful backdrop to the insights collected through whole process for this work.

Engagement and third sector focus

Very important Quite important Unsure/No

Third sector member of Foundation board

9 1

Third sector member of each expert Panel

8 2

Third sector independent assessor

8 2

Hold regular third sector focussed meetings

9 1

Issues

Is one member of the board enough?

The input from the TSNLA on the board has already been invaluable.

Yes, there should be a third sector member of each panel – there isn’t one on the VET Panel and there should be.

17

Regarding membership of the Panels there is a need to be careful about time expectations on people.

Holding third sector specific meetings is not appropriate – it should be a ‘level playing field’ in which each player is given the same rights as others, rather than positive action.

It would be very helpful to hold six monthly roundtable discussions – similar to the liaison meetings held bi-monthly with BIS – which as well as the TSNLA include Skills Effect and the Federation for Community Development Learning.

Strong strategic engagement with the third sector is crucial: recognising its contributions and participation in engagement with individuals far from the workplace, in delivering services and as an employer.

One respondent raised concerns the definition of third sector – at one point AELP found that quite a high proportion (45&) of their members defined themselves as third sector, but when looking into their support needs could not see that these were different to other sub-sectoral providers.

There is disappointment as I believe the Foundation is underestimating the value and importance of the sector.

Are there any other ways for the Foundation to engage with the third sector?

The Foundation doesn’t have a profile with the third sector – there is a lack of communications with this sector.

Develop a forum/network to promote discussion and share experience of the commissioning process – to include both direct and sub-contracted providers.

Invite the Foundation to the NIACE seminar in May – following on from the work of the Third Sector Implementation Board.

Depends on the operationalisation: in the early days of agencies there have been roadshows (e.g. YPLA) where a range of stakeholders could input (third sector, local authorities etc.) – looking to ensure that third sector providers are not disadvantaged in the process, ensuring that any new arrangements achieve a goal of reaching more of the ‘unreached’.

It’s important to get a good momentum going with these approaches.

Conclusions for engagement and third sector focus

There should be a third sector member of the Foundation board

There should be a third sector member of each expert panel

There should be (at least one) assessor from the third sector – to enable third sector proofing

There should be third sector focussed meetings – with 2 respondents suggesting that these should not only be third sector focussed but part of a wider audience

18

Communication and awareness

The consensus on the communication approaches was that all were important and that a mixed approach was essential. This would include the third sector. taking responsibility to promote Foundation messages – this is a clear role for membership bodies.

There is always the issue of smaller providers not being able to attend events.

The Foundation does need to find ways to communicate that meet third sector needs – third sector can be on the basis of self-selection as this can be a tricky definitional issue.A more sophisticated means of engagement is required – on top of communication – wherein the Foundation works with a third sector ‘sounding board’.

Further to this there is a key opportunity for the Foundation to participate strongly in the annual BIS/TSNLA conference.

Can you identify any other appropriate communication channels?

There is room for conferences with the third sector – possibly North and South. The joint BIS/TSNLA conference in November 2013 was a great success. BIS could provide the venue or these could be in third sector venues.

At some point the TSNLA should stand alongside the Foundation in order to state how they are working together – this is a symbolic statement by stakeholders – and should not just come from the TSNLA Foundation board member.

As a membership body the TSNLA can invite the Foundation to its events.

A key is to ‘find a hook’ with which to open people’s eyes about Foundation work with the third sector.

Use survey tools.

Conclusions for communications

The consensus is that a mixed approach based on all the suggested methods would be best

Foundation priorities

Very important Quite important Not important

Professional standards

9

VET 5 4

Leadership, management &

6 3

19

governance

Issues

OFSTED grades for the third sector need to improve.

There are fewer ‘outstanding’ third sector providers.

A report focussing on OFSTED’s role in relation to the third sector has been produced by the Third Sector Implementation Board – inspectors need good preparation. Equalities and diversity needs strengthening – there are NIACE toolkits and guidance materials available.

(Effective Practice in the Third Sector – Understanding and supporting the Third Sector Engagement in learning and skills, Third Sector Implementation Board, February 2014)

It is important to bear in mind the specific context for the third sector e.g. teaching isn’t in classrooms of 30 learners and so there can’t be a ‘one size fits all’ approach.

There are situations where failing colleges are having resources poured into then to improve – this is not a ‘level playing field’ as smaller providers are allowed to go under.

Some respondents not from the third sector identified that their responses for this section would not be as detailed.

One respondent identified a problematic issue in clearly identifying what third sector means.

If leadership, management and governance is weak delivery is weak.

If providers wish to receive public funds they have to manage these responsibly – there are challenges to the sector: in sometimes being perceived as being not so well managed as other sub sectors. The third sector has to respond to this.

In relation to VET the third sector has a fantastic understanding of disadvantage – direct contractors need to take account of this.

The challenge for the Foundation is to translate this into the context of the third sector.

Development needs

The third sector is operating in a difficult environment (more complicated, more commercial) and could benefit from support in working effectively via collaborative models, working with commercial providers, understanding

20

contracting and risk. The skill set requires adjustment to this newer environment

It’s a tough time, particularly for small providers, there are less grants available.

There is a need for succession planning – to attract quality people.

The third sector has historically been treated as special – it needs sharper commercial approaches.

The quality of teaching and learning.

What roles might the Foundation play in meeting development needs?

This should be a key role for the Foundation – the third sector is one of the important constituents of the FE sector:

In facilitating peer to peer learning

In supporting a better understanding of commissioning

Support development networks of Training Champions

The Foundation role is becoming clearer – in facilitating the sector to look after itself and in providing ways for the sector to do something for itself

In supporting regular third sector focussed meetings and/or networks, where providers self select in terms of being third sector, exploring specific approaches appropriate for this group – can there be links to CSR and potential pools of expertise?

The Foundation needs to: ensure guidance is available, that it is accessible, cross sector relevant and addresses all of the learning and skills sector.

Something like the National Leaders of Colleges Governance initiative by the AoC could be helpful in providing peer support.

There is a potential role for the Foundation to promote greater trust between the sub-sectors and their respective membership bodies.

Are there barriers to development needs being met?

The resource implications – are there sources for this? Technical Assistance, Big Lottery, government subsidies.

Conclusions for Foundation priorities

The importance of professional standards was agreed by all to be critical and drew a range of comments

Leadership, management and governance was seen as critical and in ‘second place’

VET was seen to be important but not as important as professional standards

21

Procurement

Appropriate Uncertain Not appropriate

Write a third sector element into all tenders

6 Should be taken as read – but it isn’t – with the same argument applied to local authorities etc.

4 Could be problematic in terms of procurement law Can’t be seen to favour one part over another

Procure third sector focussed work as a discrete contract & integrate into FE wide activity

8 Where there is a specific TS need identified

2

Issues

It would be useful for tenders to state that account should be taken of third sector issues and to require bids to demonstrate how these would be identified/met – rather than for the Foundation to define this.

The nature of programmes being tendered should take account of the third sector context.

Procurement should be evidence based rather than institutionally based – it may be that the third sector can demonstrate best practice in reaching the most disadvantaged – there have to be good reasons to separate out one part of the sector – and the third sector should not be ‘ghettoised’.

The Foundation could shape arrangements by defining what partner arrangements are expected in bids to deliver services – this can then be attached a weighting in the scoring.

Colleges should be encouraged to collaborate with third sector providers.

An example of a good model is the Fair Train Quality Standard for Work Experience – this is applicable across the whole of the FE sector – could the third sector bid to deliver something like this across the FE sector?

It is important to focus on opportunity within this context in light of equality and diversity issues.

The TSNLA should claim the lead in representing the third sector.

22

Overall there needs to be a mix of the proposed approaches.

There is a need for the third sector to take account of the BIS delivery plan – to see how this could support the third sector.

On procuring third sector focussed work as a discrete contract this could be tried and tested – balanced against procurement practice.

Accessibility: it is essential not to add in unnecessary barriers to entry e.g. demonstrating reserves is difficult for charities.

The Foundation needs to be mindful of the extra risk factor for charities who can often experience cash flow difficulties under certain contracting arrangements (when not paid on profile as colleges are).

Are there any other viable approaches?

Can the Foundation influence the market in order to ensure that barriers to entry and participation are not created.

It is essential that the third sector has sufficient time in order to engage with procurement processes.

Funding dependent: FECs can access infrastructure support in ways third sector providers cannot – can investment be made? Can European funding be accessed for capacity building? NIACE is involved in a bid for this.

When organisations win tenders the Foundation could encourage them to sub-contract parts to be delivered by a wide range of sub-sectors.

Conclusions for procurement

Writing a third sector element into all tenders

In relation to writing in a third sector element to all tenders the views diverged: 5/9 saw writing a third sector element into all tenders as appropriate – as long as this was in the same way as other sub-sectors e.g. local authorities. 4/9 did not see this as appropriate.

Those who did not see this as appropriate suggested that this approach may not fir with procurement law and that favouring one part of the sector would be unfair.

Procuring third sector focussed work as a discrete contract and integrate into FE wide activity

For procuring third sector focussed work as a discrete contract & integrate into FE wide activity 7/9 saw this as appropriate – as long as specific third sector needs could be identified.

23