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Shared Services in the Higher Education sector
11 Jan 2011
Management briefing and professional training Programmes

Higher Education Institutions are faced with funding cuts. Senior management teams across the sector are looking across all spending areas for cost-reductions whilst students’ expectations will be higher due to their perception of linking increased tuition fees to the overall university experience.

Currently each of the UK’s higher education institutions provides most administrative services in-house; from finance, IT, human resources and administrative services. At the recent Universities UK annual conference David Willetts set out his belief that too many universities try to do too much in-house and that sharing services should be a priority.

The current drive for efficiency savings, together with growing uncertainty over future income and expenditure plans creates a major opportunity for new business development and sees for the first time a willingness in higher education to consider substantive changes.

This inaugural conference explored the opportunities for the strategic development of new models provision and how to capitalise on movements in the sector for greater integration and streamlining of administrative services.

This programme pack contains presentations of key speakers with experience in this area or who understand the policy area. We brought together high level speakers who shared their experience with shared services projects, who have been involved in feasibility studies, who are involved in projects and brought tips to the conference of the opportunities and pitfalls.

Programme
09:00
Presentation 1 – a new age for the higher education sector Speaker: Professor Ian Diamond, Principal and Vice-Chancellor, University of Aberdeen
Summary: Professor Diamond is Chair of the Universities UK Group on Efficiency and previously chair of the Research Councils UK Executive Group. With his experience in shared services he announces that ‘ universities will have to make efficiency savings and quickly as well’. Giving notable examples of shared services: UCAS, JISC and RCUK, he responds to the publication of Sir William Wakeham’s report on financial sustainability and efficiency in full economic costing of research in UK higher education institutions.

09:20
Presentation 2 – the importance and future of shared services: pitfalls, barriers to entry Speaker: Tim Marshall, Chief Executive, JANET (UK)
Summary: Tim Marshall gives a provocative presentation which attempted to shake the higher education sector out of complacency over need for new ways of providing services. He challenges the audience to think ahead, convert the financial challenges of the sector in to opportunities to provide better services which cost less. He offers tips on benchmarking and finding a starting point to research shared services projects, work on a cashflow/business process basis, understanding real costs. Successful shared services means clear leadership, strong governance, a true customer focus, a compelling proposition and value for money.

09:40
Presentation 1 - London sharing! Speaker: Professor Malcolm Gillies, Chair, London Higher and Vice-Chancellor of London Metropolitan University
Summary: Malcolm Gillies is the Chair of London Higher, representing 40 universities in London. He presents a study commissioned by Grant Thornton with some interesting results which look at outsourcing and sharing services. He also gives an example of how the London Purchasing Consortium works. Of course there are worries: VAT, the implementation of EU exemption of VAT and the fear of losing competitiveness.

10:00
Presentation 2- the business case for and against shared services Speaker: Paul Evans, Director of Business Excellence, Liverpool John Moores University
Summary: Individual universities try to do too much for themselves, irrespective of their competence. In consequence, the day-to- day running of businesses they ought not be in takes away resources and attention from the academic core business that they ought to be good at.

10:20
Presentation 3 - best practice examples of collaborative working and shared services Speaker: Nigel Paul, Director of Corporate Services, University of Edinburgh
Summary: According to Nigel Paul, shared services is not an end in itself, it is a means to help deliver business in a better way. You have to be realistic about projects. Shared services and mergers often fail when they don’t achieve the savings expected. Often projects only yield a 10-15 % cost saving. It is therefore important to have a vision, get buy-in and commitment from staff and other stakeholders and embed the projects (on an ongoing basis) in daily business management.

10:40
TOPIC – IT Shared Services: data centres, storage, connectivity Speaker: Peter Tinson, Executive Secretary, Universities and Colleges Information Systems Association (UCISA)
What's on now:
11:00
TOPIC – What skills and knowledge are required to be successful at shared service projects? Speaker: Wim van Vuuren, Programme Manager, Postgraduate Certificate Shared Services, Canterbury Christ Church University and Dominic MacDonald-Wallace, Shared Services Architects Ltd
Summary: An overview of what skills and knowledge are required to run shared services projects smoothly. Examples from local government projects are included.

11:20
TOPIC – early adopters of shared services and cloud computing Speaker: Paul Hopkins, Director, HE Shared Services ltd
Summary: A practical presentation of early adopters of shared services projects with successful examples of universities at home and abroad

11:40
TOPIC – Realising the benefits of shared services (sponsored by Capita Consulting) Speaker: Andy Shenstone, Director of FE and HE, Capita Consulting
Summary: Shared services in HE have, for some time, been held up as a means to secure material gains in efficiency and effectiveness. At a time when budgets are being cut and the resilience and sustainability of the sector is under the spotlight as never before - what are the benefits that universities should be expecting to achieve and how can they be secured?

12:00
TOPIC – delivering value through shared services (sponsored by UPP) Speaker: Sean O’Shea - UPP
12:20
TOPIC – Sharing Legal Services: From Inception to Implementation Speaker: Andrew Young, Director, Aspect Management Ltd & Ralph Weedon, Director, JISC Legal
Summary: This is a case study of how legal services can be shared. An Hefce/JISC funded project

12:40
TOPIC – the power of collaborative procurement Speaker: Andy Davies, Director, London Universities Purchasing Consortium
Summary: LUPC exists for one reason and one reason alone - to generate savings and better value for our Members through the collaborative procurement of goods and services, through both contracts and framework agreements. Through these agreements – all of which are compliant with EU public procurement regulations – our Members purchase a wide range of products and services, from IT, library resources and laboratory equipment to temporary workers and business travel. A case study of how this could be set up.

13:00
TOPIC – What we will do differently next time: Lessons from the front line of sharing services? Speakers: Ken Thomas, Managing Consultant, CMC Partnership (UK ) Ltd & Paul McLintic, Director, Blue Alumni
Case study led, the seminar highlights the learning from a major shared service project in the public sector from inception to the delivery of a working solution for its customers. The speakers reflect on the major contextual, practical and behavioural obstacles to success that needed to be overcome. The lessons and issues from this case study deliver vital messages that all new shared service initiatives need to take on board to improve their chances of success.

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