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Enc C REPORT to the TRUST BOARD of DIRECTORS' MEETING Enc C REPORT TO THE TRUST BOARD OF DIRECTORS’ MEETING HELD IN PUBLIC ON 23 FEBRUARY 2016 REPORT FROM THE CHIEF EXECUTIVE PREPARED FOR THE TRUST BOARD Trust objectives supported by this paper The report supports the achievement of all the Trust’s Objectives Link to Board Assurance Framework The paper brings to the attention of the Board significant items relating to the environment within which the Trust is operating, both external and internal. The paper underpins the identification / mitigation of all strategic risks. Purpose of the paper To present to the Trust Board of Directors an update from the Chief Executive. Summary of key points The report provides an update for the Board on: • Major capital build project • Junior doctors’ industrial action • Lord Carter review – final report and recommendations • NHS Improvement publish ‘Implementing the Forward View’ • Process to appoint a new Trust Chair • Feedback from back to the floor visits Board Action required The Board are requested to note information contained in this report relating to key issues of concern to the Trust and information received by the Trust. Author: Simon Morritt, Chief Executive FOR INFORMATION Report from the Chief Executive February 2016 1. MAJOR CAPITAL BUILD PROJECT Steady progress has been made on site since my last report, and final finishes are being installed in phase one. Simons have unfortunately lost time on construction of the service yard roof due to high winds during January, resulting in the crane having to be shut down. Building work to connect the new wing to the existing Outpatient block is complete the final connections will be installed during Phase 3. The fixings for the centrepiece of the new atrium, the play tower, have arrived on site and are being secured in readiness for the play tower to be fully installed. A draft management agreement for the Durham Road Car Park has been supplied by the University setting out the terms under which the 100 spaces allocated to the Trust will operate. This has been circulated within the Trust to ensure that the proposals are workable before they are to be submitted to the Trust Board for agreement. The opening of the Durham Road Car Park has been delayed, we anticipate the University to formally issue confirmation of an opening date shortly. The Royal Bank of Scotland has issued a draft agreement for the installation of an ATM within the new build; agreement in principle was given by the Project Board in February subject to the final detailed negotiations. 2. JUNIOR DOCTORS’ INDUSTRIAL ACTION On the 10 February, 2016, Junior Doctors in England took part in industrial action as part of the on-going dispute the government over contractual reform. The action took the form of a 24 hour strike with only emergency cover being provided. As with previous episodes of industrial action, the Trust’s emergency planning arrangements ensured that appropriate arrangements were in place to minimise the disruption to patients. The Trust had to cancel 33 out-patient appointments and 18 elective surgical procedures. Following the day of industrial action, the Secretary of State for Health, Jeremy Hunt announced that negotiations with the British Medical Association (BMA) could not be progressed further and he would therefore be imposing a new contract for junior doctors. The new contract would be phased in from August 2016. The BMA are currently consulting their members to determine their next course of action and have indicated that further industrial action is possible. 3. LORD CARTER REVIEW – FINAL REPORT AND RECOMMENDATIONS The final report and recommendations from the Carter Review were published on 05 February. Lord Carter has made 15 recommendations aimed at saving the NHS £5bn a year by 2020. As set out below the scope of these recommendations cover almost every aspect of spending in the hospital sector - from clinical, workforce management and hospital pharmacy, to procurement and imaging services. Their broad theme is improved and standardised use of data to identify and drive out unnecessary expenditure. The report’s 15 recommendations, in headline format, are: 1. NHS Improvement to develop a national people strategy by October 2016; 2. NHS Improvement to develop and implement measures for analysing staff deployment during 2016; 3. Trust plans by April 2017 to ensure hospital pharmacies achieve their benchmarks; 4. Ensure pathology and imaging departments achieve benchmarks by April 2017; 5. Trusts to report procurement information monthly to NHS Improvement from April 2016; 6. Achieve targets agreed by NHS Improvement for estates management by April 2017; 7. Trust administration costs to be below 7 per cent of their income by April 2018; 8. NHS Improvement and NHS England to set best practice standards for all specialties by April 2016; 9. Key digital systems fully integrated and in use by October 2018; 10. Strategies for trusts to ensure patient care is focused equally on recovery and how they can leave hospital to be developed; 11. Identify opportunities for collaboration across health economies; 12. NHS Improvement to develop the ‘model hospital’; 13. A single integrated performance framework developed by NHS Improvement by July 2016; 14. All acute trusts to prepare to implement these recommendations to timetable; and 15. National bodies engage with trusts to develop efficiency timescales. The report which can be accessed at: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/499229/Opera tional_productivity_A.pdf The Chief Finance Officer will bring an assessment of how the Trust sits against these recommendations to the Board through its Committee structure. 4. NHS IMPROVEMENT PUBLISHES ‘IMPLEMENTING THE FORWARD VIEW: SUPPORTING PROVIDERS TO DELIVER’ NHS Improvement has published a ‘road map’ to articulate the provider sector’s contribution to delivering the Five Year Forward View. This documents sets out the key priorities for delivering high quality healthcare this year and beyond. The roadmap: • outlines the challenges and changes ahead; • describes a coherent set of activities for NHS providers in the coming years; • shows how providers across the country are beginning to deliver these; and • outlines the support providers can expect from NHS Improvement. It can be accessed at: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/499664/Summ ary_provider_roadmap_11feb.pdf NHS Providers has issued an ‘on the day briefing’ which is appended to my report and includes a section-based summary, details of the new NHS Improvement Executive Team announced on 11 February and NHS Providers’ view of these developments. 5. PROCESS TO APPOINT A NEW TRUST CHAIR The current Trust Chair, Nick Jeffrey, is approaching the end of his final term of office and will step down from the Board at the end of August 2016. The appointment of the Chair is the responsibility of the Council of Governors and the recruitment process is being led by the Council of Governors’ Remuneration and Recruitment Committee. An exercise is currently taking place to seek stakeholder input into the person specification and job description for this role A timetable for the recruitment process has been drawn up which sets out the timing of the search process to allow a recommendation around the appointment of a preferred candidate to be made to the July meeting of the Council of Governors. The full Council of Governors and Board of Directors will be kept routinely apprised of progress being made by the Governor subcommittee in recruiting to this crucially important Trust leadership position. 6. FEEBACK FROM BACK TO THE FLOOR VISITS The programme of back to the floor visits for the Board of Directors has continued with the following having taken place: On the 29 January, Patricia Mitchell, Non-Executive Director visited the Bed Managers and Ward M2. On the 3 February, Patricia joined the Junior Doctors Patient Safety Induction. On the 3 February, Sally Shearer, Director of Nursing and Quality visited the Microbiology and Infection Control department and also took part in a Hand Hygiene Audit. On the 16 February, Sally visited the Community Safeguarding Team and on the 17 February visited Ward S1. On the 18 February, Sally Shearer took part in a Cleanliness Audit on Ward S3. Directors taking part in these events will be invited to feed their observations into the Board meeting. Other Directors who have visited departments across the Trust will also be invited to feed these activities into the meeting. Simon Morritt February 2016 NHS Improvement’s Executive Team Jim Mackey – Chief Executive Jim became Chief Executive of Monitor and the NHS Trust Development Authority and Chief Executive Designate of NHS Improvement on 1 November 2015. Jim is a qualified accountant who joined the NHS in 1990. His previous roles have included: Chief Executive of Northumbria Healthcare NHS Foundation Trust Interim Chief Executive of Northumberland Care Trust Chief Operating Officer of Northumbria Healthcare NHS Trust Regional Director of Finance at the Regional Health Authority Deputy Chief Executive of Northumbria Healthcare NHS Trust Director of Finance at North Tyneside Healthcare NHS Trust He has a keen interest in quality of care, especially patient and family experience and has participated in a number of reviews and national projects, including the Dalton Review in 2014. Bob Alexander – Executive Director of Resources/Deputy Chief Executive Bob is currently Deputy Chief Executive of NHS Improvement and was Chief Executive of NHS TDA. Before this, he served as Director of Finance at the TDA. Prior to joining the TDA, Bob was the Finance Director of NHS South of England and the Director of NHS Finance at the Department of Health from 2007. There he led on NHS financial policy and performance as well as being responsible for the national tariff programme and finance issues underpinning the Health Reform Programme. Bob was a Strategic Health Authority (SHA) Finance Director from 2002 to 2007, first with Kent and Medway SHA then with South East Coast SHA.
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