Social Enterprise and Public Sector Procurement

SOCIAL ENTERPRISE AND PUBLIC SECTOR PROCUREMENT:
Voices from social entrepreneurs and public sector
procurement professionals in the UK
Sarah-Anne Munoz and Heather George
SERC Conference, London South Bank University
June 27th 2008
Introduction
Emerging themes in social enterprise-public sector procurement
research:
• Selling to the public sector as a strategy to increase social
enterprises’ traded income.
• Benefits to social enterprise of selling to the public sector,e.g.
security of contract.
• Delivery of services by social enterprises where public/ private
provision has failed.
• Barriers to social enterprises wishing to sell to the public sector.
• Public sector perceptions of social enterprise.
Methodology
Focus groups:
• Small groups discuss a particular subject.
• Researcher initiated, but participant-led, discussion.
• Snowballing recruitment method, utilising local gatekeepers.
• Theme: Agents for Change – social enterprise and the public
sector
• Participants: 40 social entrepreneurs and 17 public sector staff.
Focus Groups – broad questions
Agents for change – the public sector and social enterprise:
• Who/ what do you think are the current/ potential instigators of
change?
• In particular, what is the role of the social entrepreneur as a
driver for change?
• What types of policy changes could help social enterprises engage
with public sector procurement?
• What are the challenges for social enterprises and the public
sector when trying to develop a procurement relationship? (Think
about barriers and obstacles to change)
• How could communication and networking between different
public sector bodies and social enterprises be increased? Would this
lead to a more mutually-beneficial procurement relationship?
Agents for Change – the Public Sector
The public sector – potential to be a very important agent for
change.
Social enterprise practitioners look to the public sector to review
their procurement processes.
Some individuals within the public sector feel over-whelmed by this
remit.
Agents for Change – the Public Sector
The Public Sector – current strategies for change:
• Simplifying tender documents.
• Attempts to factor social and community benefits into tender
specification.
• Instigation of staff training in sustainability and the writing of
social and environmental clauses.
• Development of on-line guides to procurement.
• Organisation of events to explain procurement process to social
enterprise workers.
Agents for Change – the Public Sector
The Public Sector – priorities for future change:
• Standardisation of procurement practices and processes.
• Foster attitude change amongst staff.
• Promote understanding of procurement processes in the social
enterprise sector.
• Build on the enthusiasm of current ‘key drivers’ of change.
• Greater marketing of help that is currently available for social
enterprises.
• Greater consideration of added value measurement tools.
Agents for Change – Social Enterprise
Social Enterprise Practitioners – valuable agents for change.
Commitment to measuring added value/ benefits.
“Attitude Change” – consortia and clusters
“Culture change” – shift from grant thinking
Barriers to Change (and over-coming them)
• Larger contract size: working in collaboration; sub-contracting.
• Budget cuts and efficiency savings: proving the true value of
social enterprise; proving that social enterprises can meet public
sector objectives.
• EU Procurement Rules: increasing awareness.
• Tenders that don’t meet the standard: helping social enterprises
write professional tenders.
• Lack of understanding of social enterprise within the public sector:
increased training and dissemination of knowledge at all levels.
• Lack of communication: networking and meet-the-buyer events.
• Perception of risk averse culture: strategies for recognising the
value of innovation.
Conclusions
• Public sector and social enterprise can both act as agents for
change.
• Barriers to change require tailored solutions.
• A culture change is called for within both the public and the social
enterprise sectors.
• Social entrepreneurs are looking towards different ways of
working (clusters, consortia).
• The type of change most called for by social entrepreneurs is a
review and adaptation of tendering specifications and processes.
• Future research – understanding perceptions.
THANK YOU
Dr Sarah-Anne Munoz
Researcher
SDRC
01309 678111
[email protected]