Corporate business planning update

Report: 6
Date: 28 February 2008
By: the Director Strategy and Modernisation

Summary

The business plan submission to the Mayor was agreed by the Metropolitan Police Authority and the MPS Management Board in November 2007. The business plan is now in the process of being completed to form the Policing London Business Plan 2008-11, including the critical performance areas and targets that will be used to monitor delivery of the corporate objectives during 2008/09.

This report outlines progress in developing the performance challenge for 2008/09, including the current draft proposals for the critical performance areas and target setting process and provides the latest draft of the plan for comment by the Authority.

A. Recommendation

That:

1. members note progress on the work regarding the performance challenge for 2008/09 including the critical performance areas and target setting process; and

2. members provide feedback on the developing Policing London Business Plan

B. Supporting information

1. The Policing London Business Plan 2008-11 has been evolving as part of the integrated business and financial planning process throughout the year.

2. Members have been involved in this developing document throughout this time. In particular, they have:

Undertaken informal scrutiny of developing proposals through an overview group.
Approved high-level budget and planning information at joint Finance/Planning, Performance and Review (PPR) Committee and full Authority in September 2007.
Approved the full draft business and budget plan submission to Mayor in November 2007.

3. Members will note that the draft Business Plan, shown at Appendix 1, does not look appreciably different to the document that members have already approved, as the two critical pieces of work that are needed to finalise the plan are the performance framework and the budget – both of which are still under development.
Home Office police planning regulations

4. The Home Office has recently released new police planning regulations that take effect for the 2008-11 Policing London Business Plan. The main points to note are that:

they are broadly similar to the policing plan regulations that we have been working to for the last few years (1996 and 1998 regulations);
there are some additional requirements regarding police collaboration and protective services; and
there is additional emphasis on productivity, resources and efficiency.

5. Guidance has only just received the guidance the plan may not cover some of the areas as thoroughly as the Home Office might expect (e.g. collaboration and protective services) but we will include some narrative on current activity.

6. Notwithstanding this, the MPS’ direction of travel is entirely consistent with the Home Office guidance, particularly with regard to the emphasis on productivity and efficiency.

The 2008/09-performance challenge

7. The MPA have been involved in the development of the performance framework and have contributed to, and approved, key stages of the process. The CPAs went to PPRC in December and to an extraordinary meeting on 9 January 2008. Feedback from this meeting led to changes being made to the CPAs. The key changes were:

Within the CPA of ‘reduce serious youth violence’, the MPA requested that the MPS look at including a measure around reducing the victimisation of young people as well as offenders.
The CPA ‘disrupt more criminal networks’ includes a measure relating to the number of assets recovered. The MPA felt that this should also include the value of assets.
The sanction detection rate for supply of Class ‘A’ drugs should include both the rate and the number of sanction detections. (Note that this is now ‘trafficking’ of class A - which includes supply, possession with intent to supply, importation, manufacture and cultivation).

8. The draft targets for the CPAs were included on the paper that went to PPRC on 14 February. At this meeting, the MPS was asked for additional information regarding the rationale for the targets set which is included at Appendix 2.

9. It is important to acknowledge that this has been a very challenging year with regard to developing a performance framework – caused by changes to the Government’s performance framework, very late in the planning cycle, and the introduction of APACS – which is still subject to change, with a number of issues as yet unresolved.

10. Note also, that targets are very much indicative at this stage, as until the end-of-year performance is known and APACS is concluded, targets cannot be finalised.

The 2008/09 target setting process

11. In order to ensure consistency in target setting at the corporate and local level, the following principles are being adopted:

target setting will be locally driven (e.g. BOCU led in concert with CDRP partners with the corporate target being the aggregate of the BOCU targets), unless there is compelling evidence to suggest otherwise, for example:
performance analysis at a corporate level indicates that there is a need to improve overall performance
a corporate target has been agreed by Management Board/MPA as a result of a particular strategy
a target has been imposed by an external stakeholder.
Where an indicator is part of a PSA and included in the national set but not chosen as a priority in the LAA, TP will determine the minimum standard required.
Targets will be negotiated in partnership with, and approved by, the MPA.

12. The draft target proposals for the CPAs are included within the Business Plan (Appendix 1 - Business Plan, pages 6-10 with full list at Appendix C).

TP’s variable target setting process

13. In broad terms TP have applied the same methodology this year as was used in previous planning processes- in that wherever possible target proposals have been 'variable'; appropriate within the local context; and the result of 'bottom-up' process. This approach is not only in line with the Government’s guidance around the new PSAs, but it also has a proven track record for delivering bespoke BOCU targets that are both realistic and achievable.

14. BOCUs have arrived at their draft proposals as a result of consultation with key partners, at both CDRP and LSP levels. Although LAA targets have yet to be fully defined, Borough Commanders have been better informed than ever about how the MPS and LSP (LAA) processes are intended to mesh together, and will have taken account of both the internal (MPS) and external (LSP, GOL, Whitehall) pressures when proposing their particular MPS/LSP targets.

15. TPHQ are managing the process to ensure that the aggregate targets arising from the variable target setting process will result in an improving corporate target in line with Home Office guidelines.

16. TP’s variable target setting process is explained more fully at Appendix 3.

Outstanding issues relating to the 2008/09 performance challenge

17. Members will be aware that the 2008/09 performance challenge has had to be developed in an uncertain environment, where the Government’s new Assessments of Policing and Community Safety (APACS) measures are still in the process of being confirmed. The MPS has attempted to use APACS for its CPAs as far as is appropriate to ensure that the number of measures the Organisation has to focus on are minimised. As a result there are a number of outstanding issues that are in the process of being resolved. In particular:

The MPS is in the process of ensuring that each of the CPAs proposed is able to be baselined, and where this is not possible, proxy measures will be considered (e.g. the CPA ‘deal with local concerns’ – see note on Appendix 2)
The APACS measure ‘most serious violence rate’ is unable to be baselined as a result of the Government’s change in definition relating to GBH and assault with injury (a couple of options exist to ensure the MPS has some baseline data that are currently being considered).
The MPS is awaiting a decision regarding whether CS spray/stun guns will be removed from the definition of gun-enabled crime within APACS.
The MPS is in the process of ensuring that as far as is practical, the reporting format for APACS measures used by the MPS is consistent with that reported by the Home Office and HMIC.
MPA involvement

18. The MPS/MPA’s performance development process is complicated by the assessment framework that the Government is in the process of implementing for the 2008-11 planning period. This includes APACS, Public Service Agreements (PSAs) and LAAs that will be agreed with Local Strategic Partnerships (LSPs). This is a shift in emphasis from central government, from targets set at a corporate level to locally agreed priorities and targets with some associated funding.

19. As a result of this shift in emphasis, MPA members have been advised to become members of their local strategic partners to ensure they are involved in the local target setting process. In addition, BOCU Commanders have been instructed to ensure that they engage with their link members throughout the variable target setting process.

20. The MPS have attempted to ascertain which MPA link members are also members of their LSP. The MPS and MPA have contacted MPA members and have received responses from 11 people. It is clear from these responses that levels of engagement with LSPs varies considerably across the MPS. From the information obtained, it appears that 6 BOCUS have MPA link membership of their LSPs at Board level, but there is also a range of engagement at sub-group level across the MPS.

21. In addition, the MPS is endeavouring to keep members informed as the new process takes shape and starts to be implemented. For instance:

The MPS and MPA jointly agreed the target setting principles in paragraph 3 and 2008/09 target setting process outlined in paragraph 16.
The Strategic Planning team presented a comprehensive planning and performance document to the December 2007 PPRC that outlined how the corporate, local and Government assessment frameworks have been aligned.
TP have emailed updates to members on the TP variable target setting and LAA processes.
MPA officers are involved in the corporate and TP planning processes, attending fortnightly meetings and will also be involved in the variable target setting Star Chamber exercise to agree the proposed targets.

Future key dates

22. The key forthcoming meetings and dates in relation to the development of the Policing London Business Plan 2008-11 are as follows:

4 March 2008 – Final agreement by Management Board to CPAs and targets.
27 March 2008 – MPA full Authority consideration of draft Policing London Business Plan, including proposed final targets.
31 March 2008 – Policing London Business Plan published.

Moving forward

23. The Business Plan, as drafted, also begins to indicate where the MPS wants to go in the future to embed a robust governance framework that will the assist MPS in:

Taking informed and transparent decisions.
Being accountable.
Demonstrating values and good governance through high standards.
Achieving common purpose with clearly defined roles and functions.

24. The aim is to embed an appropriate planning and performance process within this robust corporate governance framework. This will allow:

The centre to develop appropriate standards, in consultation with business groups, provide appropriate guidance and support and hold the business groups to account for delivery.
Business groups to take ownership of activities for which they are responsible.
Information to be compiled through the business planning process in a way that allows emerging issues and cross-service dependencies to be identified and managed.

C. Race and equality impact

1. There are no specific equality and diversity issues regarding the overview provided in this paper. Where the setting of a particular CPA and related target will have diversity implications (e.g. the proposal to use as a CPA the comparison of satisfaction for white users and users from minority ethnic groups with respect to the overall service provided), these will be considered in full when setting a challenging yet realistic target.

2. Equalities impact assessment (EIAs) are in the process of being completed for each of the corporate objectives.

D. Financial implications

1. The Authority, through the Finance Committee, has been kept informed of changes to the draft 2008/09 budget since its submission to the Mayor in November. The main changes can be summarised as follows:

Changes to the draft 2008/09 budget
	2008/09 £000	2009/10 £000	2010/11 £000
Net revenue expenditure (as per budget submission) Employer’s pension contribution SCD – new pro-active teams to Tackle guns, gangs, organised crime and Trident operations (28 posts) CO – reinstatement of TSG(7) and Traffic (9) posts OS – deletion of CCC 1% vacancy factor TP – full roll out of ‘No witness, no justice’ programme NI employer contributions Corporate budgets (1) MPA growth Savings to be identified to meet Mayor’s budget guidance	2,593.8	2,692.7	2,776.0
	-4.3	-4.3	-4.3
	+2.0	+2.0	+2.0
	+1.2	+1.2	+1.2
	+0.6	+0.6	+0.6
	+1.2	+1.2	+1.2
	-5.0	-5.0	-5.0
	+5.0	+5.0	+5.0
	+0.5	+0.5	+0.5
	–	-40.5	-64.1
Revised net revenue expenditure	2,595.0	2,653.4	2,713.1

Note (1) announcement of change made at the end of the budget process. Savings to be held in corporate budgets pending decisions on use of released resources.

2. Work is currently underway to finalise the detailed budget for inclusion in the final version of the Policing London Business Plan 2008-11. In addition, to the adjustments listed above the final budget will reflect the latest information on specific Government grants.

E. Background papers

Business Plan Submission to the Mayor November 2007

F. Contact details

Report author: Angela Emery, Strategic Planning

For more information contact:

MPA general: 020 7202 0202
Media enquiries: 020 7202 0217/18