This is our monthly policy briefing for November 2020. Each week we gather all the news, commentary and events from across the sector, then tie it all together each month. If you would like to get this in your inbox each week you can sign up to Tiny Letter.
GO Lab
NewsGO Lab and Ecorys launch Global Systematic Review on Outcomes-Based Contracting The GO Lab and Ecorys have partnered to undertake a global systematic review to explore whether, when, and where (and if possible, how) outcomes-based contracting approaches deliver improved impact when compared to more conventional funding arrangements. To steer the study and ensure it produces the insights and outputs that are of most value to policy makers, the review team are also establishing a Policy Advisory Group - for more details, click the link above. GO Lab/Ecorys
OpinionConfronting citizens: how can we make “citizen participation” meaningful? In this blog, Nigel Ball explores the variations in the types of citizen participation in public services, and considers what they might mean for the distribution of power between actors. He examines two frameworks for understanding participation – as a mechanism of holding decision-makers to account, or as variations along the dimensions of whose interests citizens favour, and who sets the terms of participation. While each of these frameworks are useful for conceptualising the different ways in which citizen participation might operate in theory, they tell social service leaders little about how to go about it in practice. GO Lab
Case study Atmah SIB, Abu Dhabi Abu Dhabi's Atmah SIB is the first social impact bond in the Gulf region. It provides education, vocational training and employment support to a small cohort of students with cognitive impairments. This case study, developed by Dr Chih Hoong Sin, Director of Social Investment at Traverse and Knowledge Partner to Ma’an, explores the details of the SIB. It also highlights broader insights from the project, including its ambition to build capacity for social outcomes in Abu Dhabi, and its attempt to influence systemic change beyond the project itself. GO Lab
Opinion Social Value According to the British Standards Institution: A Response Earlier this year, the GO Lab responded to a consultation on the BSI's effort to codify social value. In this blog, Ruby Dickson outlines the four broad recommendations raised in that response: 1) Delineate between different concepts of social value, avoiding using interchangeably with "wellbeing". 2) Identify particular outputs/outcomes as separate from ultimate impact/value. 3) Reword the policy on data collection, including placing greater emphasis on transparency and broadening the scope to "collect evidence". 4) Examine the use of economic valuation methods. A final version of the standard is expected from the BSI soon. GO Lab
Outcomes-based contracting, impact bonds and impact investing
Opinion Rediscovering Fixed Amount Awards This article suggests that an existing form of US federal government grant, the fixed amount award, is not being used to its full potential. Unlike traditional grants, fixed amount awards are payment-by-results instruments, making payments upon achieving pre-negotiated milestones. They can be used as standalone PbR grants, or as part of a more complex financing mechanism. The authors suggest a range of measures to speed up their widespread adoption, including taking a collaborative approach, being clear about milestones, and anticipating change. SSIR
Opinion Setting up a social impact bond? Here's how to avoid the pitfalls This article suggests five rules for avoiding the pitfalls of SIBs: 1. Well-defined, measurable outcomes. 2. Producing robust evidence that results are likely to be achieved. 3. Understanding the risk appetite of stakeholders. 4. Building a strong alliance between parties. 5. Understanding the costs. Pioneers Post
NewsLaunch of MCM social impact investment Last month saw the launch of a new education and mental health social impact bond in Australia. The 'Living Learning' service aims to address barriers for young people who are disengaged from school and living with mental illness. It is financed through the Victorian State Government's Partnerships Addressing Disadvantage social impact investing programme. Latitude
NewsImpact investing to support families, children and young people in Finland A new social impact bond, due to launch in early 2021 in four Finnish municipalities, seeks to proactively address challenges faced by children, young people and families. The SIB is expected to run for ten years, with the broad aim of increasing wellbeing and reducing the costs of services and the need for unemployment benefits. Specific target outcomes vary by municipality, but include reduced use of children's services, graduating secondary education, and participation in employment or full-time study at the age of 25. Ministry of Economic Affairs and Employment of Finland
News EIB and Italian Ministry of Justice join forces to promote social inclusion of convicts through a social impact bond The European Investment Bank have reached an agreement with the Italian Ministry of Justice to explore the use of innovative financing models, such as social impact bonds. The EIB will undertake a feasibility study on the launch of a SIB focused on reducing the reoffending rates of ex-convicts and facilitating their reintegration into society. The agreement is limited to the Lombardy Region, but aims to develop a blueprint that can be adopted at a larger scale. European Commission
NewsUK social impact investment market now worth more than £5 billion The UK social investment market grew to £5.1 billion in 2019, a 20% increase on the previous year and up from £830 million in 2011. Most of this growth has come through alternatives to traditional bank lending, including social property funds (42% of the social investment market) and venture investing in innovative solutions to social challenges. Big Society Capital
Complexity in public services: learning and partnerships
Research New development: Responding to complexity in public services—the human learning systems approach (Open Access) This article discusses the merits and potential of the emerging 'Human Learning Systems' (HLS) approach to the funding, commissioning, and managing of public services as an alternative to New Public Management approaches. The authors suggest an HLS approach may provide a more constructive way to engage with complexity that helps organisations, practitioners and service users to work together more effectively. Public Money & Management
Opinion Why the One City model works Bristol, a city in the southwest of England, has developed a partnership-based approach to governance, involving representation from all sectors of society, key institutions and community groups in its decision-making process. In 2016, it adopted One City Approach, to articulate long-term priorities and make commit to collaborative action to achieve them. Facilitated by the City Office, these partnerships have already seen some successes - including increasing numbers of foster carers, tackling period poverty, and responding to Covid-19. However, getting all sections of the community to fully buy-in to the scheme remains a challenge. Apolitical
OpinionThe power of partnerships: how one Australian town beat COVID-19 This article examines the response of Colac, a town in Australia, to the Covid-19 pandemic. As it became clear that State authorities would be focused on bigger cities, a Community Leadership Group including businesses, the local health service and the Council was formed to respond. The Group have identified a number of key lessons based on their community-led approach to responding to the pandemic, and there is hope that they can build on this partnership to effectively address wider issues in the town beyond the Covid crisis. Centre for Public Impact
Opinion A different approach to improvement in Oxford City Council As part of the Upstream Collaborative, Oxford City Council has been examining learning pods as a way of reframing measurement as a tool for learning rather than control. The approach pairs council staff who don't normally work together to reflect on their experiences and learning over the past week, followed by a group discussion to bring together insights across different pods, which are used to inform decision making about how to adapt and improve moving forward. Early sessions identified a range of challenges and opportunities to act on, and those involved were all keen to continue participating in future. Public Sector Executive
OpinionFive insights for innovative systems change The Drive partnership aims to tackle domestic abuse in the UK, working at both a local and national level to change the behaviour of perpetrators. This article highlights five insights from for policymakers and practitioners trying to develop more effective responses to intractable social problems: start with a problem and stay focused on solving it, show that change is possible, link the local and national, get the relationships right, and tell as well as show. Apolitical
Levelling up and responsible business
ReportThe State of the State 2020-21 Based on a national survey and interviews with 40 public sectors, this report focuses on the impact of the Covid-19 pandemic on both the public sector and the public it serves. Among a range of insights, it suggests that views on what levelling up should mean vary by region, and highlights local job opportunities (or a lack thereof) as the public's biggest cause of dissatisfaction. Reform/Deloitte
OpinionThe Dangerous Allure of Win-Win Strategies In this article, the authors push back against business-led "win-win" solutions to social and environmental challenges that claim business can simultaneously advance both profit and purpose. They argue that these strategies lack empirical evidence to support them, and their pursuit can lead to harmful consequences, impeding systemic solutions and hindering corporate action. As a result, they suggest we ought to critically analyse new strategies, particularly if they promise pain-free solutions, and focus on proven interventions (which may involve some sacrifice), such as government regulation. Not all agree, though: check out the comments for a response by a proponent of one of the "win-win" strategies discussed in the article. SSIR