strategic director of finance, governance and support...

MIDDLESBROUGH COUNCIL

Balanced Scorecards – 2016/17 model and Quarter One 2016/17 performanceExecutive Member for Finance and Governance: Councillor Nicky WalkerStrategic Director of Finance, Governance and Support: James Bromiley21 October 2016

PURPOSE OF THE REPORT

1. To propose a revised model for Balanced Scorecards within the Council, present Quarter One 2016/17 performance using the new model, and outline next steps.

SUMMARY OF RECOMMENDATIONS

2. That the proposed revised model for Balanced Scorecards is agreed, and Quarter One 2016/17 performance and the response of Outcome Areas to the issues arising noted.

3. That, to further enhance performance monitoring and management, an integrated Finance and Performance report is presented to Executive from Quarter Two 2016/17.

IF THIS IS A KEY DECISION WHICH KEY DECISION TEST APPLIES?

4. It is over the financial threshold (£150,000)It has a significant impact on 2 or more wardsNon Key X

DECISION IMPLEMENTATION DEADLINE

5. For the purposes of the scrutiny call in procedure this report is:

Non-urgentUrgent X

BACKGROUND AND EXTERNAL CONSULTATION

6. On 7 October 2014, Executive approved the introduction of Balanced Scorecards across the Council, to replace the previous ‘top-down’ performance management framework for local government, prescribed by Central Government.

7. Balanced Scorecards are central to the Council’s Performance and Risk Management Framework, subsequently approved by Executive on 14 July 2015. They provide a single view of performance across four perspectives – Customer, Business, Finance

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EXECUTIVE REPORT

and People – at the corporate level and at the Council’s three senior management levels.

Level Descriptor Owned by…

1 Whole service level (i.e. the outcomes that an Executive Director oversees) plus service specific items with corporate relevance. Executive Director

2 Individual service area level (i.e. an outcome that an AD oversees) plus single unit items with a departmental relevance. Assistant Director

3 Individual unit level (i.e. an individual contributor to an outcome – local use only, not reported to members). Head of Service

8. Balanced Scorecards at each level will be supported by an appropriate delivery plan and risk register. Formal reporting on Scorecards to Overview and Scrutiny Board and to Executive will over time replace previously separate reporting on business performance, revenue and capital budget outturns and other such updates.

Progress to date

9. Balanced Scorecards were piloted during 2015/16 on a post-quarter basis, reporting to Leadership Management Team and Overview and Scrutiny Board. Executive Members were briefed on progress by Executive and Assistant Directors.

10. In summary, the pilot progressed in line with plans, was generally well-received internally, and received positive feedback in the recent Corporate Peer Review, though there is a clear recognition that more needs to be done to refine and embed the approach. In particular there needs to be a transition in 2016/17 from focusing performance measurement to performance management (i.e. clearly demonstrating that effective action is being taken to address the issues identified in Scorecards).

11.As such, consultation with Leadership Management Team, Overview and Scrutiny Board (29 March 2016) and Corporate Affairs and Audit Committee (30 June 2016) was undertaken to review progress in embedding Balanced Scorecards and consider potential changes to the current model. The issues identified in these discussions are set out below:

Appropriateness and numbers of measures / targets – whether the measures and targets included within current Scorecards fully ‘capture’ the Outcomes targeted within the Council’s Strategic Plan and tie back to the Vision for Middlesbrough, and also whether there are too many measures within Scorecards, mitigating against the intended ‘dashboard’ effect.

Scoring and weighting mechanism – whether the scoring and weighting mechanism used in the pilot model, which resulted in an indexed, traffic-lighted, ‘league table’ for departments and Outcome Areas, is too complex and potentially offers a ‘perverse incentive’ to ‘hedge’ the model.

Continued lack of alignment between different reporting regimes – the pace of movement to a fully integrated approach to the monitoring and reporting of performance was considered too slow, with separate processes still being maintained, though Overview and Scrutiny Board requested that any fully-integrated report should not be too complex or lengthy.

Embedding the approach – it was noted that the focus to date has naturally been on developing Scorecards at the Outcome Area, but more needs to be done to

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embed the approach at all levels. In addition, appropriate training, coaching and support for members, managers and employees was requested.

Changes for 2016/17

12. In response to the above issues, the following changes have now been implemented:

Detailed briefings on the corporate performance and risk management framework have been delivered to Outcome Areas. Outcome Areas are now developing business change plans to ensure that improved practice is embedded across the Council, and these are being implemented via a Performance and Risk Management Officer Steering Group.

LMT has re-assessed key performance indicators and targets for 2016/17 to ensure that they fully reflect the priorities of Outcome Delivery Plans. This will ensure a clear focus on strategic priorities within corporate performance management. Other performance indicators will sit within subsidiary Scorecards.

A single, integrated quarterly clinic process is being implemented, which will ultimately produce a single report covering performance, financial and risk performance that is reported to LMT, Executive and Overview and Scrutiny Board.

An ongoing programme of member training in relation to performance and risk management is being delivered. In addition to the regular briefings already provided to Executive Members by LMT members, quarterly performance briefings will in future be offered to Scrutiny Panel Chairs in advance of presentation of the Balanced Scorecard report to Overview and Scrutiny Board.

13.Finally, the Balanced Scorecards scoring and weighting model has been simplified for 2016/17, and made bespoke to the differing priorities in each Outcome Area. The proposed model (using illustrative data) is set out at Appendix 1 for approval.

Performance in Quarter One 2016/17

14.Using the proposed model, the Council’s performance is summarised in the table below, and sits just under the corporate target of 75% of KPIs achieved. The complete set of Outcome Area Scorecards is at Appendix 2.

Performance 10 20 30 40 50 60 70 80 90 100

Council overall

Outcome 1

Outcome 2

Outcome 3

Outcome 4

Outcome 5

Outcome 6

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Outcome 7

Outcome 8 15.Explanations of major variances from target and mitigating activity are set out below1. A

Performance Improvement Plan in respect of these issues is attached at Appendix 3. This plan will be reviewed and updated on a quarterly basis to ensure that under-performing measures improve to target as quickly as practicable. An update on the plan will be provided at the end of Quarter Two.

Issues identified and mitigating activity

16.Outcome 1: The number of new homes delivered was under the quarterly target of 150 at 127, though a higher proportion of these than projected were Council Tax Band D or above. This was due to delays to the development of the Hemlington Grange site, and this delay in effect means that the (aspirational) 2016/17 target is unachievable. As such, the 2016/17 target will be amended to 450, and this will be reflected in future quarterly updates. Revenue assumptions from housing growth were set lower than these figures, so the Council’s MTFP is unaffected by this change.

17.Four major projects within this Outcome Area were projected to overrun agreed end-dates at Quarter One. Middlehaven Dock Bridge was in delay due to continued negotiations around land acquisition and associated project planning issues. Similarly, negotiations in relation to the planned Commercial Quarter have been extended to ensure potential benefits are fully realised. The Housing Growth Strategy was under review and replanning as part of Phase 3 of the Council’s Change Programme, and will be restated in the next iteration of the Strategic Plan. The LED Streetlight replacement scheme continued to underperform. The Outcome Area will re-plan these projects, securing appropriate change controls to ensure that the impacts of slippage are mitigated. The target date for this work is Quarter Three 2016/17.

18.Outcome 2: The number of people of households accepted as homeless was slightly over target, which though marginal, is illustrative of a perceived increase in people presenting as homeless. The Outcome Area will monitor trends closely with the contractor for this service to ensure the correct preventative support is in place.

19.Outcome 3: A number of population health metrics (including male life expectancy and early deaths) are showing a worsening position, and some PIs for commissioned Public Health services are continuing to under-perform. The Outcome Area is developing an Adult Prevention Strategy and progressing discussions on joint initiatives within the South Tees to improve key Public Health outcomes. Targets for commissioned services will be reviewed and amended as appropriate to reflect behaviour trends (e.g. it is thought that emergence of e-cigarettes may have impact on attendance at traditional smoking cessation events).

20.Outcome 4: Permanent exclusions and persistent absence in secondary schools continue to rise. Schools are exploring options to address absence, and alternative

1 The revenue and capital budget performance information used within this report is that reported to Executive on 6 September 2016 as part of the Revenue and Capital Budget 1st Quarter Review 2016/17. As such, the explanations of financial performance and mitigating actions set out in that report have already been agreed and so are not repeated here.

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models to support vulnerable children in order to reduce permanent exclusions via the Middlesbrough Achievement Partnership (MAP), and supported by the Council.

21.While currently under target, pupils attending a school judged ‘Good’ or better by Ofsted has continued to improve from August 2015, with more secondary schools meeting this target. The Outcome Area will propose a new model of school improvement support to Executive in Quarter Three.

22.The proportion of Education Health and Care Plans completed within 20 weeks increased to 59% at Quarter One, and it is expected that current processes will enable performance to rise to targeted level over the coming year.

23.Outcome 5: Demand with the Outcome Area continues to rise, impacting on LAC and Child Protection Plan numbers, and as a result, costs. It is recognise that the overall culture and practice of the Outcome Area needs to change, and plans are being developed to move to an ‘asset-based social work’ model. Also adopting a less risk-averse approach and diverting families to Early Help as the initial point of contact will help the Outcome Area to reduce numbers in the longer term. A range of actions to support this transition are set out in the Council’s Post-Ofsted Improvement Plan. An interim target to maintain the gap to national average for LAC and Child Protection Plans has been set for 2016/17 and will be tracked throughout the year.

24.Outcome 6: The rate of permanent admissions to residential / nursing care homes far exceeded target during Quarter One. Though the rate is expected to move towards target during the year, the Outcome Area is taking steps to steps to enhance oversight of residential placements / high-cost care packages, which will provide greater assurance of performance to targeted level in future.

25.Outcome 8: The average number of days for process a change of circumstances for Housing Benefit was 16.7 against a target of 13. This was due to ongoing potential data protection issues with self-serve modules for this transaction, resulting in these being made unavailable to customers for extended periods, and processing of changes being undertaken manually. It is anticipated that this issue will be resolved in Quarter Three, and bulk changes for social housing tenants later in the year will see this measure meet its target.

26.Collection of both Council Tax and Business Rates were under target at the end of Quarter One. The Council will agree remedial actions with its service provider (Kier) in Quarter Two with the aim of minimising uncollected revenues in-year.

27.The new HR / Payroll system project within this Outcome Area was projected to overrun agreed end-dates at Quarter One. The Outcome Area will develop a mitigation plan within Quarter Two to ensure the system is implemented and operational by the planned ‘Go Live’ date of 1 April 2017.

28.Overall: Sickness absence per FTE was off target in several Outcome Areas. This is likely to be due to several factors, including the management of staff absence by Middlesbrough Managers. The Council will review its sickness absence processes, propose appropriate amendments and develop a bespoke action plan for each Outcome Area by the end of Quarter Four.

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29.Similarly, there are apparent issues in several Outcome Areas relating to the completion of employee appraisals and performance against the Middlesbrough Manager and Employee Competency Frameworks. The Council will review its corporate appraisal process and propose appropriate amendments to address these issues by the end of Quarter Three.

Strategic Risk Register

30.The Council’s Strategic Risk Register was reviewed during the development of the 2016-20 Strategic Plan (approved by Council in July 2016), and is attached at Appendix 4 for information. The register will be reviewed again as part of the development of the next iteration of the plan, which is scheduled to be reported to Executive in November 2016. As part of the Council Improvement Plan, risk registers are currently being reviewed and strengthened across the organisation, and progress on the delivery of identified mitigation activity will be reported from Quarter Three 2016/17.

Next steps

31. In line with the ongoing restructuring of the Council and review of Outcome Delivery Plans, Balanced Scorecards and the KPIs included within them will be subject to change during 2016/17, with changes reported in future iterations. It is expected that customer measures, in particular, will be revised in line with the embedding of the Council’s Customer Strategy.

32.The Performance and Risk Management Framework commits the Council to the development of fully integrating monitoring and reporting of performance and financial information. To achieve this, and further enhance performance monitoring and management within the Council, it is proposed that a single, integrated Finance and Performance report is presented to Executive from Quarter Two 2016/17.

33. In addition, a Management Information Improvement Plan, that will move the Council towards ‘real-time’ and full integration of operational management information and Balance Scorecards, will be developed and presented to LMT, with associated costs, by end October 2016.

IMPACT ASSESSMENT

34.Not applicable.

OPTION APPRAISAL / RISK ASSESSMENT

35.As part of the Duty of Best Value, the Council is legally required to put in place arrangements to manage its performance, though there is wide discretion over how this can be achieved. The Council’s Performance and Risk Management Framework, approved by Executive on 14 July 2015, commits the organisation to the implementation of Balanced Scorecards. The approach outlined in this report is recommended for 2016/17 and its effectiveness will be reviewed on a six-monthly basis.

FINANCIAL, LEGAL AND WARD IMPLICATIONS

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36.Financial – there are no financial implications from the proposed actions.

37.Ward Implications – there are no ward implications from the proposed actions.

38.Legal Implications – the approach outlined is consistent with and will promote the achievement of the Council’s legal duty to achieve Best Value.

RECOMMENDATIONS

39.That the proposed revised model for Balanced Scorecards is agreed, and Quarter One 2016/17 performance and the response of Outcome Areas to the issues arising noted.

40.That, to further enhance performance monitoring and management, an integrated Finance and Performance report is presented to Executive from Quarter Two 2016/17.

REASONS

To enhance performance and risk management at both a member and senior officer level to enable the effective delivery of the Council’s targeted strategic outcomes.

BACKGROUND PAPERS

07/10/14 Executive Balanced Scorecards14/07/15 Executive Corporate Performance and Risk Management Framework06/09/16 Executive Revenue and Capital Budget 1st Quarter Review 2016/17

CONTACT: Paul Stephens, Head of Performance and PartnershipsTEL NO: 01642 729223EMAIL: [email protected] ______________________________________________________Address: Civic Centre, Middlesbrough, TS1 2QQWebsite: www.middlesbrough.gov.uk

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Appendix 1: Balanced Scorecards model 2016/17

How KPIs are identified

1. The Customer and Business quadrants of Balanced Scorecards comprise primarily performance indicators prioritised for improvement by Outcome Areas, in line with their Outcome Delivery Plans, which set out how the Outcome Area will develop in the medium-term to support the achievement of the 2025 Vision for Middlesbrough. Several standard measures are also included within all relevant Scorecards, particularly within the Finance and People quadrants, to ensure that key priorities are delivered. These are as follows:

Standard measure Associated corporate priority

Major programmes and projects projected to complete within target date Improvement in programme and project management

Risk mitigation activity projected to meet milestones Improvement in risk management

Projected expenditure of revenue budget and attainment of savings targets Balancing the budget by delivering agreed savings

Projected expenditure of capital budget Improvement in programme and project management

Employees with appraisal for current financial year, and managers and employees scoring average of satisfactory or better in appraisal

Embedding the Middlesbrough Manager and Employee Frameworks

Sickness absence (days per FTE) and employees satisfied with working in their service area Improving employee health and wellbeing

How targets are set

2. Targets are set by Outcome Areas, in view of (i) position against regional and national averages, where relevant, and (ii) ambitions for the development of services as set out in Outcome Delivery Plans. All targets must be SMART (Specific, Measurable, Achievable, Realistic and Time-bound).

How performance is RAG-rated

3. Performance against target is traffic-lighted as follows:

At or better than targeted performance Green

Within 5% of target Amber

More than 5% from target Red

4. The following table shows this applied using targets within the Customer quadrant of the Outcome 2 Scorecard:

Measure Last Target Current Period Trend Benchmark

C Number of households accepted as homeless 15 (Q4 15/16) 21.25 25 Q1 16/17 N/A

C Troubled Families w/ sustained and measured positive outcomes New PI 30 50 Sept 15 - N/A

C Children in Need referrals resulting in CAF step-downs 61 (Q4 15/16) 25 37 Q1 16/17 N/A

C Children meeting Early Years ‘good’ measure – gap to national average New PI New PI -9% 2016 (Prov.) New PI N/A

C 16-18 year olds not in education, employment or training (NEET) 7.7% (2014/15) 8.7% 6.9% 2015/16 ENG: 4.2%

C Anti-Social Behaviour incidents – gap to national average New PI New PI Due Q2 Quarterly New PI Due Q2

C Domestic Violence incidents – gap to national average New PI New PI Due Q2 Quarterly New PI Due Q2

How the Scorecards are developed

5. RAG rated performance is then converted into scores, as follows:

At or better than targeted performance Green = 2 points

Within 5% of target Amber = 1 point

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More than 5% from target Red = 0 points

6. The following table shows this applied using the same targets within the Outcome 2 Scorecard, giving a total score and percentage for the quadrant.

Measure Last Target Current Period Trend Benchmark

C Number of households accepted as homeless 15 (Q4 15/16) 21.25 0 pts Q1 16/17 N/A

C Troubled Families w/ sustained and measured positive outcomes New PI 30 2 pts Sept 15 - N/A

C Children in Need referrals resulting in CAF step-downs 61 (Q4 15/16) 25 2 pts Q1 16/17 N/A

C Children meeting Early Years ‘good’ measure – gap to national average New PI New PI - 2016 (Prov.) New PI N/A

C 16-18 year olds not in education, employment or training (NEET) 7.7% (2014/15) 8.7% 2 pts 2015/16 ENG: 4.2%

C Anti-Social Behaviour incidents – gap to national average New PI New PI - Quarterly New PI Due Q2

C Domestic Violence incidents – gap to national average New PI New PI - Quarterly New PI Due Q2

Total 6/8

75%

7. This overall performance figure for the quadrant is summarised within the Scorecard in ‘thermometer’ format, to provide a graphical indication of the current position, as follows:

Scorecard 10 20 30 40 50 60 70 80 90 100

Customer

8. Each quadrant is then weighted to reflect the respective priority of each to overall performance for the area, as identified in the Strategic Plan and Outcome Delivery Plans. Weighting will be agreed with appropriate Executive Members. For example, the Finance quadrant would be more heavily weighted in Outcome Areas contributing most to budget savings targets. Outcome Areas largely focused on Customer / Business quadrants would place a greater weighting on these. Weightings may change each year, according to priorities.

9. In this example, Outcome 2 has allocated the Customer quadrant a weighting of 30% to the overall total.

Scorecard 10 20 30 40 50 60 70 80 90 100 Weighting

Customer 30%

10. This means that a maximum score of 100% in this quadrant would contribute a maximum of 30% to the overall Scorecard. As, it is the quadrant scored 75% at Quarter One, contributing 22.5% to the overall score.

11. The same approach is applied to all quadrants, giving a total overall score for the Scorecard.


Overall -

Customer 30%

Business 30%

Finance 20%

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People 20%

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Appendix 2: Balanced Scorecards – Quarter One 2016/17

Outcome 1 Economic Development


Overall -

Customer 30%

Business 40%

Finance 20%

People 10%

Measure Last Target Current Period Trend BenchmarkC Local gross weekly pay as %age of the NE average 91.75% (2014) 93.80% 96.45% 2015 NE: £484.80

C Economically active people in Middlesbrough in employment 63.5% (Jan-Dec 15) 64.95% 65.1% Apr 15 - Mar 16 NE: 69.5%

B New homes delivered (gross) 187 (Q4 15/16) 150 127 Q1 16/17 N/A

B New homes built Council Tax Band D and above 122 (Q4 15/16) 50 73 Q1 16/17 N/A

B Homes empty for over six months New PI 1,100 844 Q1 16/17 - N/A

B Growth in Middlesbrough’s Business Rates base New PI New PI Due Q2 Quarterly New PI Due Q2

B Major programmes and projects projected to complete within target date 53% (Q4 15/16) 100% 64% Q1 16/17 Council: 74%

B Risk mitigation activity projected to meet milestones New PI New PI Due Q3 Quarterly New PI Due Q3

F Projected expenditure of revenue budget 101% (2015/16) 100% 101% Q1 16/17 N/A

F Projected attainment of savings targets 97% (2015/16) 100% 100% Q1 16/17 N/A

F Projected expenditure of capital budget 67% (2015/16) 100% 83.4% Q1 16/17 N/A

P Employees with appraisal for current financial year 100% (2015/16) 95% 69% Q1 16/17 Council: 79%

P Managers scoring average of satisfactory or better in appraisal 100% (2015/16) 90% 100% Q1 16/17 Council: 99%

P Employees scoring average of satisfactory or better in appraisal 100% (2015/16) 90% 100% Q1 16/17 Council: 99%

P Sickness absence (days per FTE) 1.49 (Q1 15/16) 1.88 2.4 Q1 16/17 Council: 2.4

P Employees satisfied with working in their service area 82.6% (2012) 70% 76.04% 2015 Council: 81%

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Outcome 2 Supporting Communities


Overall -

Customer 30%

Business 30%

Finance 20%

People 20%

Measure Last Target Current Period Trend BenchmarkC Number of households accepted as homeless 15 (Q4 15/16) 21.25 25 Q1 16/17 N/A

C Troubled Families w/ sustained and measured positive outcomes New PI 30 50 Sept 15 - N/A

C Children in Need referrals resulting in CAF step-downs 61 (Q4 15/16) 25 37 Q1 16/17 N/A

C Children meeting Early Years ‘good’ measure – gap to national average New PI New PI -9% 2016 (Prov.) New PI N/A

C 16-18 year olds not in education, employment or training (NEET) 7.7% (2014/15) 8.7% 6.9% 2015/16 ENG: 4.2%

C Anti-Social Behaviour incidents – gap to national average New PI New PI Due Q2 Quarterly New PI Due Q2

C Domestic Violence incidents – gap to national average New PI New PI Due Q2 Quarterly New PI Due Q2

B North East asylum seekers housed in Middlesbrough 30.5% (Jun 15) 30.5% 24.78% Jun 16 UK rank #1

B Take-up of nursery places for 2 year-olds from target groups New PI 70% 88% Sum 16 - 70% (Spr 16)

B Children identified for nursery readiness interventions engaged New PI New PI Due Q3 TBD New PI Due Q3

B 16-17 year olds with suitable offer of learning – gap to national average New PI -0.5% +1.5% Sep 15 - ENG: 94.6%

B Risk mitigation activity projected to meet milestones New PI New PI Due Q3 Quarterly New PI Due Q3

F Projected expenditure of revenue budget 85.5% (2015/16) 100% 95% Q1 16/17 N/A


F Projected expenditure of capital budget 60% (2015/16) 100% 100% Q1 16/17 N/A





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P Employees satisfied with working in their service area 69% (2012) 70% 83.2% 2015 Council: 81%

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Outcome 3 Public Health


Overall -

Customer 25%

Business 25%

Finance 25%

People 25%

Measure Last Target Current Period Trend BenchmarkC Healthy life expectancy (males) – gap to national average (years) -5.7 (2011-13) New PI - TBC -5.7 2012-14 ENG: 63.4 (2012-14)

C Healthy life expectancy (females) – gap to national average (years) -4.4 (2011-13) New PI - TBC -2.7 2012-14 ENG: 64 (2012-14)

C Healthy life expectancy (males) – gap most: least affluent wards (years) 14.2 (2011-13) New PI - TBC 11.7 2012-14 N/A

C Healthy life expectancy (females) – gap most: least affluent wards (years) 10 (2011-13) New PI - TBC 12 2012-14 N/A

C Early deaths from all causes (standardised mortality <75) 476.43 (2014) New PI - TBC 484.33 2015 ENG: 337.15 (2014)

C Mothers smoking at time of delivery 23.9% (2013/14) 22% 19.9% Q4 14/15 ENG: 11.4% (2014/15)

C Smoking cessation – number of ‘four week quitters’ 512 (2014/15) 1,184 521 2015/16 N/A

C Successful rehabilitation – Opiate users 5.2% (2014/15) 5.1% 6.1% 2015/16 - ENG: 7.4% (2014)

C Successful rehabilitation – Non-opiate users 35.8% (2014/15) 37.8% 34.6% 2015/16 - ENG: 39.2% (2014)

C Satisfaction of business with local authority regulation services New PI 97% 98.8% 2015/16 N/A

B Children who received a 2-2.5 year review using ASQ3 New PI 90% 90% Q1 16/17 N/A

B NHS Health Check programme – health checks offered 8,846 (2014/15) 7,289 7,937 To Q4 15/16 - N/A

B NHS Health Check programme – health checks taken up 4,213 (2014/15) 3,280.5 2,948 To Q4 15/16 - N/A

B Cancer Screening coverage – breast cancer 71.1% (2014) 71.4% 71.3% 2015 ENG: 75.4% (2015)

B Cancer Screening coverage – cervical cancer 69.8% (2014) 70.1% 70.6% 2015 ENG: 73.5% (2015)

B Chlamydia diagnoses (15-24 year olds) New PI 2,300 1,538 2015 ENG: 1887 (2015)

B %age food businesses rated as satisfactory or above – gap to national average New PI 0% 3% Q1 16/17 N/A

B Children who received a 2-2.5 year review using ASQ3 New PI 90% 90% Q1 16/17 N/A

B %age Env. Protection service requests successfully resolved New PI 90% 100% Q1 16/17 N/A

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B %age businesses visited brought to a state of compliance New PI 80% 96% Q1 16/17 N/A

Measure Last Target Current Period Trend BenchmarkB Risk mitigation activity projected to meet milestones New PI New PI Due Q3 Quarterly New PI Due Q3



F Projected expenditure of capital budget N/A 100% 100% Q1 16/17 - N/A





P Employees satisfied with working in their service area 83% (2012) 70% 83% 2015 Council: 81%

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Outcome 4 Learning and Skills


Overall -

Customer 30%

Business 30%

Finance 25%

People 15%

Measure Last Target Current Period Trend BenchmarkC Reception: Expected standard in phonics de-coding 69% (2014) 72% 71.2% 2015/16 ENG 80.6% (Prov.)

C KS1: Expected standard in reading New PI New PI 67% 15/16 (Prov.) New PI ENG: 74% (Prov.)

C KS1: Expected standard in writing New PI New PI 57.4% 15/16 (Prov.) New PI ENG: 66% (Prov.)

C KS1: Expected standard in maths New PI New PI 64.4% 15/16 (Prov.) New PI ENG: 78% (Prov.)

C KS2: Expected standard in reading New PI New PI 61.3% 15/16 (Prov.) New PI ENG: 65.6% (Prov.)

C KS2: Expected standard in writing New PI New PI 68.1% 15/16 (Prov.) New PI ENG: 74% (Prov.)

C KS2: Expected standard in maths New PI New PI 70% 15/16 (Prov.) New PI ENG: 71% (Prov.)

C KS4: %age achieving threshold in English and maths New PI New PI Due Q2 15/16 (Prov.) New PI Due Q2

C Permanent exclusions from school 0.18% (2014/15) 0.06% 0.32% 2015/16 ENG: 0.07% (14/15)

C Success rates on Community Learning skills programmes 84.7% (2014/15) 85% 85% 2016 (Proj.) N/A

B Children not allocated a school place 0.49% (Q4 14/15) 0.5% 0.44% Q1 16/17 ENG: 0.4%

B Pupils attending a school judged ‘Good’ or better by Ofsted 84% (Dec 15) 90% 84% Aug 2016 N/A

B Persistent absence rate: Primary schools 4.4% (Aut 14) 5.3% 3.7% Aut-Spr14/15 ENG: 2.1% (14/15)

B Persistent absence rate: Secondary schools 6.9% (Aut 14) 6.9% 11.3% Aut-Spr14/15 ENG: 5.4% (14/15)

B Education Health & Care Plans completed within 20 weeks 15% (2015/16) 80% 59% Jan-Jul 16 55.5% (2015)

B Community Learning: Learners Recruited New PI New PI 1,115 Quarterly New PI N/A

B Risk mitigation activity projected to meet milestones New PI New PI Due Q3 TBD New PI Due Q3


F Projected attainment of savings targets 28.3% (2015/16) 100% 100% Q1 16/17 N/A

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Measure Last Target Current Period Trend BenchmarkP Employees with appraisal for current financial year 2% (2015/16) 95% 60% Q1 16/17 Council: 79%

P Managers scoring average of satisfactory or better in appraisal N/A 90% 100% Q1 16/17 - Council: 99%




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Outcome 5 Children’s Safeguarding


Overall -

Customer 30%

Business 20%

Finance 30%

People 20%

Measure Last Target Current Period Trend BenchmarkC LAC rate per 10,000 – gap to national average (maintain in 16/17) New PI New PI +63.2 Q1 16/17 - ENG: 60 (2015/16)

C LAC – Residential placements within Middlesbrough 76.33% (Q4 15/16) 50% 78.43% Q1 16/17 New PI N/A

C CPP rate per 10,000 – gap to national average (maintain in 16/17) New PI New PI +38.1 Q1 16/17 - ENG: 53.7 (2015/16)

C Children’s safeguarding – demand measure New PI New PI Due Q2 TBD New PI Due Q2

C Rate of proven re-offending by young offenders 1.36 (2014/15) 1.16 1.04 2015/16 ENG: 1.2 (Oct 13- Sep 14)

B LAC cases reviewed within required timescales 67.5% (2015/16) 70% 86.6% Q1 16/17 N/A

B Continuous assessments completed within 45 working days 87.64% (2015/16) 90% 93.41% Q1 16/17 N/A

B Caseload per social worker 19.1 (Q4 15/16) 21 20 Q1 16/17 N/A



F Projected expenditure of revenue budget 100% (Q4 15/16) 100% 102% Q1 16/17 N/A

F Projected attainment of savings targets 86.47% (Q4 15/16) 100% 72% Q1 16/17 N/A






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Outcome 6 Adult Social Care


Overall -

Customer 25%

Business 20%

Finance 35%

People 20%

Measure Last Target Current Period Trend BenchmarkC Service users stating that services have made them feel safe and secure 95% (2014/15) 95% 91% 2015/16 ENG 14/15: 84.5%

C Social care-related quality of life (/24) 20 (2014/15) 20 19.8 2015/16 ENG 14/15: 19.1

C Social Care clients receiving Self-Directed Support 100% (2014/15) 100% 100% 2015/16 N/A

C 65+ year olds still at home 91 days after discharge into reablement / rehab 87.7% (Q4 14/15) 80% 80.56% Q1 16/17 ENG 14/15: 80.7%

C Adult Social Care – demand measure New PI New PI Due Q2 TBD New PI Due Q2

B People in a permanent nursing or residential setting per 100,000 New PI New PI Due Q2 TBD New PI Due Q2

B Permanent admissions to residential / nursing care homes per 100,000 51.02 (Q1 15/16) 50 64.01 Q1 16/17 N/A

B Delayed transfers of care from hospital per 100,000 attributable to ASC 0 (Q4 15/16) 0 0 To May 16 ENG 14/15: 3.7

B %age of reablement episodes achieving identified goals 70.7% (2015/16) 75% 85.71% Q1 16/17 N/A

B % of referrals to ASC achieving agreed outcomes New PI New PI Due Q3 TBD New PI Due Q3



F Projected expenditure of revenue budget 90.6% (2015/16) 100% 97% Q1 16/17 N/A

F Projected expenditure of capital budget 70.4% (2015/16) 100% 100% Q1 16/17 N/A

F Projected attainment of savings targets 79.6% (2015/16) 100% 100% Q1 16/17 N/A




P Sickness absence (days per FTE) 2.6 (2015/16) 1.88 4.59 Q1 16/17 Council: 2.4

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Outcome 7 Environment, Property and Commercial Services


Overall -

Customer 30%

Business 20%

Finance 30%

People 20%

Measure Last Target Current Period Trend BenchmarkC Satisfaction with cleanliness of streets New PI 80% Due Q4 2016/17 TBD N/A

C Satisfaction with waste and recycling collections New PI 80% Due Q4 2016/17 TBD N/A

C Environment Customer Service Promises achieved New PI 90% Due Q2 Quarterly TBD N/A

C Customer satisfaction with commercial space New PI 80% 81% 2014/15 - N/A

C Customer satisfaction with public buildings New PI 80% 79% 2015/16 - N/A

C Staff Satisfaction with office accommodation New PI 80% 61.1% 2015 - N/A

C Average customer rating of support services (/10) New PI 7 7.49 2015 - N/A

B Attendances at Leisure Centres New PI New PI 159,750 Q1 16/17 New PI N/A

B Household waste sent for reuse, recycling and composting (annual projection) 33.7% (2015/16) 35% 35% 2016/17 UK 2014: 45%

B Streets meeting Keep Britain Tidy standards New PI 90% 90.5% Q1 16/17 TBD N/A

B Critical compliance works completed as per schedule (Total) New PI 100% 100% 2015/16 - N/A

B Occupancy rate in commercial portfolio (Commercial) 96% (Q4 15/16) 88% 96% Jun 16 N/A




F Trading performance of commercial services New PI New PI Due Q2 TBD New PI Due Q2



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Measure Last Target Perf. Period Trend BenchmarkP Employees scoring average of satisfactory or better in appraisal 100% (2015/16) 90% 100% Q1 16/17 Council: 99%

P Sickness absence (days per FTE) 100% (2015/16) 1.88 2.28 Q1 16/17 Council: 2.4


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Outcome 8 Finance, Governance and Support


Overall -

Customer 25%

Business 25%

Finance 25%

People 25%

Measure Last Target Current Period Trend BenchmarkC Average customer rating of support services (/10) New PI 7 8.1 2015/16 - N/A

C Elected member satisfaction with support services New PI New PI Due Q4 TBD New PI Due Q4

C Service transactions undertaken via MBC website 12,542 (Q4 15/16) 14,750 15,604 Q1 16/17 N/A

C Housing Benefit – average days to process new claims 20.9 (2015/16) 26 21.8 Q1 16/17 N/A

C Housing Benefit – average days to process changes of circumstances 8.55 (Q4 15/16) 13 16.7 Q1 16/17 N/A

B Council Tax collected 93.58% (2015/16) 28.56% 28.1% Q1 16/17 ENG: 97.1% (2015/16)

B Business Rates collected 99.02% (2015/16) 34.23% 31.2% Q1 16/17 ENG: 98.2% (2015/16)

B Projected achievement of Council Improvement Plan actions on target New PI 100% 100% Q1 16/17 - N/A

B Major programmes and projects projected to complete within target date New PI 100% 80% Q1 16/17 - Council: 74%


F Projected expenditure of revenue budget New PI 100% 103% Q1 16/17 - N/A

F Projected attainment of savings targets New PI 100% 73% Q1 16/17 - N/A

F Projected expenditure of capital budget New PI 100% 59% Q1 16/17 - N/A

F % of Council expenditure on local goods and services New PI New PI Due Q3 TBD New PI Due Q3

P Employees with appraisal for current financial year New PI 95% 68% Q1 16/17 - Council: 79%

P Managers scoring average of satisfactory or better in appraisal New PI 90% 100% Q1 16/17 - Council: 99%

P Employees scoring average of satisfactory or better in appraisal New PI 90% 98% Q1 16/17 - Council: 99%

P Sickness absence (days per FTE) New PI 1.88 0.95 Q1 16/17 - Council: 2.4

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P Employees satisfied with working in their service area New PI 70% 76.5% 2015 - Council: 81%

Appendix 3: Balanced Scorecards 2016/17 – Performance Improvement Plan

OA Issue Impact Action Who When Status

1Four major programmes and projects were projected to overrun at end Q1.

Various, potentially significant, impacts on the Council’s budget gap if not mitigated effectively.

Re-plan and secure change controls to ensure slippage is mitigated.

Assistant Director, Economic Development End Q3 2016/17 On target

2

Households accepted as homeless rose at end Q1.

Personal cost to individuals and families and avoidable costs to public services.

Monitor trends closely with contractor to ensure the correct preventative support is in place. Assistant Director,

Supporting Communities

End Q2 2016/17 On target

Ongoing decline in the numbers of 0-12 year olds using libraries.

Significant impact on child literacy (assuming no alternative resources are being used by children).

Propose changes to library offer to improve performance from 2017/18 onwards.


3

Lack of positive movement in some key population health metrics (e.g. male life expectancy).

Significant impact on quality of life and public sector health and social care budgets.

Develop Adult Prevention Strategy and joint approaches across South Tees to drive improvements in Public Health outcomes.

Assistant Director, Improving Public Health


Continued underperformance on some PH contracted services (e.g. smoking cessation).


4

Continued rise in school exclusions.

Impact on attainment, and associated social implications.

Participate in the development of and support MAP’s plans as appropriate to address these persistent absence and exclusions.

Assistant Director, Learning and Skills End Q4 2016/17 On targetContinued rise in persistent

absence from secondary schools.Schools rated ‘Good’ or better by Ofsted not improving to target.

Develop and implement new model of school improvement support.

Assistant Director, Learning and Skills End Q4 2016/17 On target

5 Continued rise in numbers of Looked After Children.

Significant impact on children, families and the Council’s budget gap if not mitigated effectively.

Develop and implement an ‘asset-based social work’ model with the Outcome Area (Post-Ofsted Improvement Plan).

Assistant Director, Safeguarding and Children’s Care

Actions to end of and beyond 2016/17

On target

6 Rise in rate of admissions tor residential care numbers.

Significant impact on the Council’s budget gap if not mitigated effectively.

Implement revised process for scrutising residential placements / high-cost care packages, including new appointments.

Strategic Director, Adult Social Services End Q3 2016/17 On target

8 In-year collection rates for Council Tax and Business Rates under target at end Q1.

Significant impact on the Council’s budget gap if not mitigated effectively.

Agree remedial actions with service provide (Kier) to minimise uncollected benefits.

Strategic Director of Finance, Governance and Support


HR / Payroll is currently Significant ongoing Re-plan to ensure Go Live date is End Q2 2016/17 On target

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projected not to meet targeted ‘Go Live’ date of 1 April 2017. achieved.

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OA Issue Impact Action Who When Status

All

Sickness absence KPI off target in several Outcome Areas.

Lost productivity for the organisation and personal impacts on employees (particularly in relation to long-term absence).

Initiate a cross-Council task and finish group to review sickness absence processes, propose appropriate amendments and develop a bespoke action plan for each Outcome Area.

Strategic Director of Finance, Governance and Support


Apparent underperformance in several Outcome Areas highlighted in appraisal return.

Employees not receiving an appraisal are not sufficiently directed.

Initiate a cross-Council task and finish group to review the corporate appraisal process and propose appropriate amendments.


NB Actions mitigating financial underperformance are set out in the Revenue and Capital Budget 1st Quarter Review 2016/17 reported to Executive on 6 September 2016.

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Appendix 4: Summary Strategic Risk Register

Risk Outcome Area(s)

Current risk levelProbability Impact Score2

Further public sector austerity as a result of the UK exiting the European Union. 8 3 7 21

Qualifications and skills profile of local labour does not match requirements of current employers and / or potential future investors. 2 4 5 20

Targeted investment within Middlesbrough disproportionately affected by low economic growth (e.g. following Brexit). 1 3 5 15

Individuals and families in need not provided with effective help at appropriately early stage, resulting in social issues and greater downstream costs to public services. 2 3 5 15

Potential for achieving sustainable improvement in local health and wellbeing affected by failure to protect and improve public health. 3 3 5 15

Qualifications and skills profile of school leavers does not allow them to progress to further education, employment or training. 4 3 5 15

Increased risk of harm to children and young people, in particular due to instability caused by Social Care transformation. 5 3 5 15

Reduced outcomes and incurred costs through failure to implement effective strategic and delivery partnerships. 8 3 5 15

Failure to deliver required transformation of services, culture change or savings. All 3 5 15

Failure to respond effectively and efficiently to legislative changes places the Council in breach of statutory duties. All 2 7 14

Financial pressures resulting from the implementation of proposals within the Education Bill. 4 4 3 12

Legal compliance, organisational effectiveness and / or achievement of objectives impacted by failure to operate effective corporate governance framework and associated processes. 8 3 3 9

Reputational damage as a result of a failure to deliver the Council’s contribution to the Mayor’s Vision for Middlesbrough. All 3 3 9

2 Probability is scored from 1 (rare) to 5 (almost certain), impact from 1 (insignificant) to 7 (extreme). Impact can relate to a range of factors including the achievement of priorities, financial losses and reputational damage. The risk score is P x I, with a maximum score of 35.

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