Contracting for Outcomes

Contracting for outcomes
The WA government, including the Disability Services Commission, (Commission) has
developed procurement practices to provide a stronger focus on achieving the best possible
outcomes with public funds.
The improved contracting approach will provide disability sector organisations the opportunity
to better articulate what they do, why they do it and what difference this makes in the lives of
people using their service, their families and carers.
Appropriate accountability for public monies will still require an understanding of what was
purchased and what was delivered, but will now have the added interest in what difference
this is making.
Establishing outcomes
People with disability, their families and carers who are allocated an individual funding
package will engage with a service provider to develop an individual plan containing the
outcomes they plan to achieve. The plan will identify the desired outcomes, the ways to
achieve them and what supports and services organisation (and others) will provide, how the
plan with be reviewed and how the outcomes will be measured.
At a contract level the Commission will work with service providers to establish relevant
measureable contract outcomes. It is anticipated that the focus on outcomes will encourage
person-centred, flexible, individually tailored approaches.
Definition of outcomes
Outcomes are the difference or differences that services make to individuals and
communities. Outcomes may be identified by evaluating to what extent services have met
defined objectives. This definition can be applied to individuals, services and government.
Government outcome: The impact a Government funded service, in this instance the
Commission, has on the people with disability using that service, eg people with disability
access appropriate services and supports that promote their wellbeing, choice and control
over their lives.
Service outcome: The difference or result the service delivers for individuals, eg learning
new skills. This is the level of reporting outcomes to the Commission that will be required as
part of the contract between the Commission and the service provider.
Individual outcome: The difference or differences for an individual as a result of their
involvement in a service or activity, eg in the planning process the individual may identify that
they have finished school and want something meaningful to do. The individual’s stated
outcome may be adequate training for work. The subsequent outcome could be to obtain
paid work, a volunteering role or to change direction.
Measuring outcomes
The Commission is committed to working with the sector to develop effective contract
outcomes and reporting requirements.
Organisations should, if they haven’t already, develop ways to effectively measure the
achievement, or progress towards, the intended service outcomes. Further work will be
undertaken with service providers during 2013–2014 on the transition to outcome
measurement. There are several ways to measure outcomes and the work with providers
will assist them to select the best method for their organisation and service.
Evaluation
Evaluation remains an important part of the process. The Commission will have ongoing
responsibility for approving a service provider’s proposed outcomes measurement approach
(through contract renewal).
The current quality evaluation process will be further development in 2013-2014 to include
criteria about the quality of individual plans and the achievement of outcomes for individuals.
The type of matters that are likely to be reviewed through the quality evaluations of plans are
that:
 A current support plan is recorded and available for quality review.

The plan is recorded in easy to understand language

The outcomes sought for the person are clearly stated in the plan and are potentially
achievable by the next review date.

The plan is tailored to the individual’s needs and wishes.

The plan outlines the strategies to achieve outcomes and the parties responsible.

Strategies are within the scope of the service provider and are directly related to the
outcome sought.

The plan identifies that the person has been part of the process.
Shared understanding
The Commission is working closely with stakeholders including the Department of Finance to
ensure the procurement changes are less administratively burdensome for all involved.
The Commission, together with National Disability Services WA and WA Individualised
Services (WAIS), are providing information, workshops and support for the sector, to assist
service providers in understanding the requirements for the development of their tenders.
For specific details about the workshops and services on offer please visit their websites:
NDS WA - http://www.nds.org.au/events
WAIS - http://www.waindividualisedservices.org.au/news-and-events/
Further information, support and details can be found on the Commission’s website under
Reform.
Release date: 5 March 2013