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Individualism, Egalitarianism, Hierarchy and Fatalism in London Housing Associations, 1988-2003: a Study of Housing Management and Cultural Change

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Individualism, Egalitarianism, Hierarchy and Fatalism in London Housing Associations, 1988-2003: a Study of Housing Management and Cultural Change Individualism, Egalitarianism, Hierarchy and Fatalism in London Housing Associations, 1988-2003: A Study of Housing Management and Cultural Change A Thesis Submitted for the Degree of Doctor of Philosophy at University College London, February 2006 Tony Manzi UMI Number: U592278 All rights reserved INFORMATION TO ALL USERS The quality of this reproduction is dependent upon the quality of the copy submitted. In the unlikely event that the author did not send a complete manuscript and there are missing pages, these will be noted. Also, if material had to be removed, a note will indicate the deletion. Dissertation Publishing UMI U592278 Published by ProQuest LLC 2013. Copyright in the Dissertation held by the Author. Microform Edition © ProQuest LLC. All rights reserved. This work is protected against unauthorized copying under Title 17, United States Code. ProQuest LLC 789 East Eisenhower Parkway P.O. Box 1346 Ann Arbor, Ml 48106-1346 Individualism, Egalitarianism, Hierarchy and Fatalism in London Housing Associations, 1988-2003: A Study of Housing Management and Cultural Change ABSTRACT This thesis investigates management change in housing associations in London since the Housing Act of 1988. Previous work on housing management has tended to focus on the adoption of new public management principles, assuming that policy from 1988 has resulted in a cultural shift towards individualism. This study makes use of ‘grid-group’ cultural theory to challenge this assumption by tracking all four ‘cultures’ within housing association management: egalitarianism, hierarchalism and fatalism as well as individualism. As a detailed qualitative analysis of the voluntary housing sector, it addresses a neglected field of study within public policy. London provides rich ground for analysis of cultural change in the voluntary housing sector. It has a higher concentration of housing associations than any other UK city, it is where most of the larger housing organisations originated and it is the site of the greatest development activity throughout the period. London housing associations encapsulate all the significant changes in housing management resulting from the reforms of the 1980s. Whilst the study finds evidence of individualistic philosophy, particularly amongst senior housing association managers, it also finds evidence of egalitarianism, hierarchalism and fatalism. Egalitarianism remains as the legacy of housing associations’ historical origins and organisational structures. Hierarchy results from an increasingly dominant role for a small number of large, elite organisations, which become more hierarchical as they grow. Fatalism has emerged as a prevalent ethos amongst front-line staff, reflected and reinforced by the increasingly negative experience of residents. The thesis reveals how, contrary to the expectations of the 1988 Act, an overall shift ‘up-grid’ towards hierarchalism and fatalism emerged as the most significant response. 1 Preface and acknowledgements My interest in the housing association sector began when I was first employed by Notting Hill Housing Trust in the early 1980s. Prior to this time I had been working in a local authority environment (for the London Borough of Hammersmith and Fulham). On taking up employment at Notting Hill I was struck by the expectation that staff should complete a wide range of duties (in comparison to the rigidly structured local authority environment). As a front­ line housing manager, I was involved in housing management, development, benefits advice and raising maintenance orders. This environment provided a stark contrast with local authority duties which were far more precisely laid down. The predominant view amongst local authority staff was that housing associations were well-meaning amateurs, who lacked the ‘professionalism’ of the statutory sector. The late 1980s witnessed a period of considerable change and this patronising view of housing associations was under review. Notting Hill prided itself on its local roots in West London, but was under increasing pressure to develop outside its traditional geographical areas and to undergo structural changes to incorporate more dynamic and innovative management strategies. It occurred to me that this process of cultural change was worthy of greater investigation as these kinds of debates were replicated across a wide range of organisations in the voluntary housing sector. However, there remained very limited academic discussion of the role of housing associations. As local authorities became more strategic, enabling bodies, so housing associations occupied a much greater role in housing provision. Consequently as I began to explore academic questions of housing policy, I was eager to investigate these issues of cultural change in the voluntary housing sector (an area which had to date been very little explored). Completion of this thesis would not have been possible without the guidance and support of many people. 2 First, all of those who gave their time and patience in contributing to the interviews. These were all busy individuals who helped greatly in understanding the processes of change taking place within the housing association sector. They included those working for local authorities, housing associations and other statutory and voluntary agencies. These individuals ranged from Chief Executives to front-line management staff and residents. I learned a great deal from them not only about the content of the questioning, but also about effective interviewing techniques. My colleagues at the University of Westminster helped to stimulate numerous discussions and offered valuable advice about housing policy issues and theoretical questions. In particular Bill Smith Bowers offered much practical assistance. The MA students at the University also helped to shape my ideas and train of thought throughout. My close friend and colleague Keith Jacobs offered advice and assistance throughout the long research and writing process. My collaborations with him in other areas have helped to shape my writing style in countless ways. Helen Margetts has been an invaluable and supportive tutor throughout a long and sometimes painful process. Her practical advice and patience in reading drafts and offering thoughtful comments on the various drafts were offered immense help (not only in writing this thesis but in academic writing as a whole). Lynn Paddock proof read the document and made very helpful grammatical contributions. My parents offered constant support. Sharon Richmond not only offered numerous insights into the practical working relationships between housing associations and local authorities, but encouraged me throughout and finally of course to Olivia for her distinctive contribution. 3 CONTENTS List of tables and figures 1. Overview of the thesis 1.1 Introduction 10 1.1.1 Definitions of the sector 12 1.2 Theoretical framework 17 1.3 The field of analysis: housing management and London housing associations from 1988 to 2003 19 1.4 Methods 23 1.5 Structure of the thesis 24 2. Understanding the housing association sector: the application of cultural theory 2.1 Introduction 27 2.2 Existing accounts of housing management and housing associations 28 2.2.1 Practitioners 32 2.2.2 Historical accounts 35 2.2.3 Managerialist approaches 37 2.2.4 Network theorists 41 2.2.5 Institutionalist accounts 44 2.3 Applying cultural theory 48 2.4 Cultural relationships and organisational change 56 2.5 Overcoming the criticisms of cultural theory 59 2.6 Conclusion 62 3. The foundations of the housing association 'movement’: a cultural and institutional history 3.1 Introduction 65 3.2 The historical neglect of the voluntary housing sector 66 3.3 A cultural history of the sector 67 4 3.3.1 Individualism: a philanthropic sector (1890 to the 1960s) 67 3.3.2 Egalitarianism: a campaigning sector (1960s and 1970s) 75 3.3.3 Hierarchy: housing associations as agents of the State (the 1970s) 83 3.3.4 Fatalism: a residual sector (1980s) 89 3.4 The New Public Management Reforms: the Housing Act 1988 94 3.5 Conclusion 100 4. Swimming with sharks: individualism in housing associations 4.1 Introduction 104 4.2 An individualist approach to organisational design 105 4.3 The individualist ethos since 1988 106 4.4 The drivers towards individualism 107 4.4.1 The discipline of private finance 107 4.4.2 New risk factors 114 4.4.3 The entrepreneurial ethos 118 4.5 The responses to individualism 125 4.5.1 Heroic managerialism: the Chief Executive culture 125 4.5.2 Inter- and intra-organisational conflict 129 4.5.3 Institutional fragmentation: the end of the ‘movement’? 137 4.6 Conclusion 141 5. The need for roots: egalitarianism and housing associations 5.1 Introduction 143 5.2 The pressures towards egalitarianism 145 5.2.1 A low grid sector: the historical legacy 146 5.2.2 The governance structure 153 5.2.3 The strong group: partnership and mutuality 158 5.3 The responses to egalitarianism 162 5.3.1 Organisational conflict 162 5 5.3.2 False expectations 167 5.3.3 Self-destruction? 173 5.4 Conclusion 177 6. The growth game: hierarchy and housing associations 6.1. Introduction 182 6.2. Housing management and the critique of hierarchy 184 6.3. Pressures towards hierarchy in housing associations 186 6.3.1. Regulation and the centralisation of housing policy 187 6.3.2. Size 193 6.3.3. Status and policy influence 200 6.4. The impact of hierarchy 203 6.4.1. Elitism and the premier league 204 6.4.2. The loss of discretion 211 6.4.3. The end of ‘generic’ housingmanagement 217 6.5. Conclusion 222 7. Things can only get worse? Housing management in the front line 7.1. Introduction 225 7.2. The pressures towards fatalism 226 7.2.1. Exogenous (high grid) pressures: government agencies 227 7.2.2. Endogenous (low group) pressures: housing association residents 232 7.2.3 Internal pressures: the nature of the management task 241 7.3 The impact of fatalism 248 7.3.1 Staff futility 249 7.3.2 Relations between staff and residents 255 7.3.3 The resident experience 261 7.4 The positive effects of fatalism? 268 7.5 Conclusion 270 6 8.
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