1 / 15

Value for Money (VFM)

Value for Money (VFM). Linda Levin. What does VFM mean to you?. The 3 ‘E’s. Economy Price paid for what goes into providing a service e.g. Salaries, buildings, computers, contracts, supplies Efficiency A measure of productivity How much you get out in relation to what you put in

jeremy-good
Télécharger la présentation

Value for Money (VFM)

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Value for Money (VFM) Linda Levin

  2. What does VFM mean to you?

  3. The 3 ‘E’s • Economy • Price paid for what goes into providing a service e.g. Salaries, buildings, computers, contracts, supplies • Efficiency • A measure of productivity • How much you get out in relation to what you put in • Effectiveness • A measure of the impact achieved • Qualitative or quantitative or both

  4. Relationship between the 3 ‘E’s

  5. Achieving best possible results by making the best use of resources available.

  6. VFM is.... ....The optimum balance between all three ‘E’s • Relatively low costs • High productivity • Successful outcomes e.g. Improved performance, reduced costs, increased customer satisfaction, reduced service failures and waste

  7. Comprehensive Spending Review – the proposed cuts • VFM taking on even greater importance • Anticipated reduction in funding as a result of: • Benefit cuts (& increasing cost of living)– potential impact on customers’ ability to pay rent due • Supporting People funding cuts – impact on support services for vulnerable people? • Increasing costs – VAT increasing to 20% on supplies and services bought in

  8. Four ways of achieving efficiency • Reduce inputs (level of resources) for the same results • Reduce prices (cost of resources) for same results • Improve results using the same resources • Increase inputs (resources) for proportionate increase in results

  9. TSA VFM Standard Specific expectations Demonstrate to tenants: How expenditure is prioritised How VFM is secured and tested Future plans and priorities for achieving VFM Tenant influence services and resultant charges Required outcomes • Comprehensive approach to VFM across all services and national standards • Include details of VFM approach and how commitments will be achieved in annual report

  10. Exercise • Please see void process handout • What changes would you recommend to improve VFM? • What outcomes/outputs would you expect as a result?

  11. Comparing costs and performance • Does your landlord know the costs of all services provided and activities undertaken? • Are costs and performance compared with other housing organisations? • Benchmarking arrangements – how does your landlord compare with the top performers? What could your landlord do to become a top performer?

  12. Comparing costs and performance...cont’d • Advantages of benchmarking: • Provides an insight • Useful starting point in examining VFM • But handle information with care – differences in costs and performance may be explained by: • Different local context e.g. Areas of high ASB/crime likely to have higher costs for ASB services

  13. Comparing costs and performance...cont’d • High or low spend on particular services may be in response to tenants’ feedback e.g. Higher standard of communal services and security required by an organisation’s tenants • You need to consider spend and outputs/outcomes when comparing

  14. Thank you for listening...any final questions? Linda Levin Email: linda@tenantadvisor.net Mobile: 07967 342436

More Related