The Audit of Best Value and Community Planning Orkney Islands Council

Prepared for the Accounts Commission June 2008 The Accounts Commission

The Accounts Commission is a statutory, independent body which, through the audit process, assists local authorities in Scotland to achieve the highest standards of financial stewardship and the economic, efficient and effective use of their resources. The Commission has four main responsibilities:

• securing the external audit, including the audit of Best Value and Community Planning

• following up issues of concern identified through the audit, to ensure satisfactory resolutions

• carrying out national performance studies to improve economy, efficiency and effectiveness in local government

• issuing an annual direction to local authorities which sets out the range of performance information they are required to publish.

The Commission secures the audit of 32 councils and 41 joint boards (including police and fire and rescue services). Local authorities spend over £16 billion of public funds a year.

Audit Scotland is a statutory body set up in April 2000 under the Public Finance and Accountability (Scotland) Act 2000. It provides services to the Auditor General for Scotland and the Accounts Commission. Together they ensure that the Scottish Government and public sector bodies in Scotland are held to account for the proper, efficient and effective use of public funds. Orkney Islands Council  Contents

The Audit of Best Value Part 3. How are services Page 2 performing? Page 23 Commission findings Page 4 Statutory performance indicators Page 24 Overall conclusions Page 6 Education Page 25 Part 1. Does the council have clear strategic direction? Community social services Page 9 Page 26

The local context Housing Page 27 Leadership and culture Page 10 Waste management Page 28 Setting a clear direction Page 12 Sustaining communities Page 29 Responding to the community Page 13 Transport Page 30 Openness and accountability Page 14 Part 4. What needs to improve? Page 32 Part 2. Is the council organised to deliver better services? Orkney Islands Council’s improvement Page 15 agenda Page 33 Working with partners Page 16

Managing performance Page 17

Scrutiny Page 18

Managing resources Page 19

Continuous improvement and competitiveness Page 21

Equal opportunities Page 22  The Audit of Best Value The Audit of Best Value 

This report is made by the Controller As Best Value and Community of Audit to the Accounts Commission Planning encompass, all the activities under section 102(1) of the Local of a council it is not realistic to audit Government (Scotland) Act 1973. After everything in depth, so we plan our considering it the Commission may detailed work in two ways: do any or all of the following: • Where possible, we draw on • direct the Controller to carry out the findings of other scrutiny further investigations processes, such as the work carried out by the council’s • hold a hearing external auditors and by inspectorates. These are • state its findings. incorporated in our report.

The Local Government in Scotland Act • We select certain aspects of 2003 introduced new statutory duties the council’s performance for relating to Best Value and Community detailed audit investigation. A wide Planning. The scope of Best Value and range of sources, including the Community Planning is very broad council’s own assessment of its but, in general terms, a successful performance, reports issued by council will: external audit and inspections, and national statutory performance • work with its partners to identify a indicators (SPIs), informs this clear set of priorities that respond selection. to the needs of the community in both the short and longer term The report reflects this selective approach, with detailed commentary • be organised to deliver those on some areas and limited or no priorities coverage in others. While we have made some comparisons with other • meet and clearly demonstrate councils, our overall approach has that it is meeting the community’s focused on performance trends and needs improvement within Orkney Islands Council. The report also reflects the • operate in a way that drives picture available at the time our main continuous improvement in all its audit work was conducted – between activities. September and October 2007.

The challenge for local government is We gratefully acknowledge the to find new ways of working across co-operation and assistance provided services and with other bodies to to the audit team by Orkney Islands achieve the best results for citizens Council, particularly the councillors and service users. The key objectives and officers contacted during the of this audit were to: audit. We would specifically like to thank councillor Stephen Hagan, • assess the extent to which the convener of the council; Alistair Orkney Islands Council is meeting Buchan, the chief executive; and its duties under the Local Gillian Morrison, project manager Government in Scotland Act 2003 (Corporate Change and Development).

• agree planned improvements with the council. These will be reviewed by the council’s external auditor over the next three years.  Commission findings Commission findings 

1. The Commission accepts this report • The community and corporate on the performance of Orkney Islands plans need to be supported by Council’s statutory duty to secure clear action plans with specific, Best Value and to initiate and facilitate measurable targets and the community planning process. milestone dates. The Commission recognises that the report gives a broad picture of • A number of the basic systems the council’s performance based on and processes to support and the work of Audit Scotland and the demonstrate Best Value are not findings of other scrutiny bodies such yet in place. as Inspectorates and that it does not attempt a comprehensive review of 5. The Commission notes that the all service delivery. We acknowledge council carries out benchmarking the co-operation and assistance given with the other islands councils and to the audit process by members and would encourage it to benchmark officers of the council. with a wider range of councils, to enable benefits to be achieved from 2. The Commission recognises the best practice elsewhere in Scotland. challenges faced by Orkney Islands We look forward to receiving an Council arising from its remote and improvement plan with measurable dispersed geography. We acknowledge and achievable outcomes, which will the council’s good leadership and its build on the good work being done by performance in a number of areas, the council. and the innovative approach which it has adopted in response to its circumstances, in particular in its partnership arrangements with NHS Orkney and its joint working with community councils.

3. We particularly welcome:

• the council’s level of self awareness

• its culture of openness

• the extent of community engagement

• the council’s financial planning and sustainability.

4. With regard to areas where the council needs to make progress we would highlight the following:

• The council needs to adopt innovative approaches to building capacity, particularly to support corporate functions.

• There is a need for effective corporate performance management arrangements.  Overall conclusions Overall conclusions 

Orkney Islands Council faces 1. Orkney Islands Council is Scotland’s 4. The council has a range of many challenges arising from its smallest local authority, serving improvement activities in place, remote and dispersed geography. a population of approximately including best value reviews, Its small scale makes it difficult 20,000 people dispersed over 19 responses to audit and inspection to build the capacity to make the of its 70 islands. Its geography and results, and reacting to trends in transformational change needed to demographics are challenging. Social Statutory Performance Indicators fully embed best value processes and economic sustainability feature (SPIs). However, improvement and modernise services. The highly as council priorities. The council activity is not coordinated effectively. council can demonstrate good has a workforce that is rooted in the This significantly limits the council’s performance in a number of key community and is highly motivated ability to demonstrate continuous service areas, including education to improve the quality of life for local improvement in services. The and social work. It is strongly people. However, its small size and council has recently developed focused on the survival of its fragile low budget base make it difficult to an improvement framework to communities and engages well attract and retain appropriately skilled address this but it has not yet been with local community groups. It and experienced staff, particularly to fully implemented. Key elements, provides good leadership to the support corporate development. such as an effective performance Community Planning Partnership management system, have yet to (CPP) and works effectively with a 2. Elected members and senior be initiated and as a result corporate variety of partners. officers are prominent in the performance management is weak. community and the council’s role However, the council has not fully in providing community leadership 5. Elected members need to take a recognised the role of Best Value is strong. The convener and more active role in promoting Best in helping it to achieve its strategic chief executive provide effective Value. They would benefit from aims. Elected members and the leadership for the council and have additional training and support in Best Corporate Management Team a constructive working relationship. Value and in developing their role in (CMT) have a clear commitment Elected members and the CMT are scrutinising performance. They need to the area but have not effectively committed to providing good quality, better performance information to fostered a culture focused on Best responsive services for local people. enable them to carry out this role. Value. As a result, the council However, elected members and CMT Members currently engage well in lacks some of the fundamental need to implement the systems scrutinising policy decisions and in processes to support continuous and processes required to support challenging alternative proposals. This improvement. Best Value to enable the council to process would be strengthened by demonstrate continuous improvement better information on the costs and The council needs to make in service delivery. benefits of alternatives. rapid progress to establish systems to support Best Value. In 3. The council’s strategic vision is 6. The corporate management team particular, corporate performance strongly focused on the sustainability work well together. The team needs management arrangements issues facing its communities and it to focus more on the quality and are weak and this limits the leads the CPP effectively. It works cost-effectiveness of services, and effectiveness of scrutiny and public well with partners in identifying on monitoring the impact of activity performance reporting. Strategic strategic priorities. However, the to deliver strategic priorities. This resource management is under- council and its partners lack clarity will help to promote a performance- developed. about the actions and activities which focused culture and establish the will contribute to the achievement of team’s role in leading Best Value. By promoting and developing strategic goals. The community and a best value culture, supported corporate plans need to be supported 7. The council does not have a by systematic performance by clear action plans with specific, strategic approach to resource management, the council will be measurable targets and milestone management. It is establishing a better placed to ensure it makes dates. This will assist the council more strategic approach to financial the most of limited resources in in allocating resources to priorities management but this is not linked delivering responsive services and will improve transparency and effectively with asset management across its communities. accountability. and service planning. Strategic 

management of information and 9. SPIs show a mixed picture. communications technology (ICT) In 2006/07, 25 SPIs were in the requires further development and top quartile and 21 in the bottom needs to be linked to a vision quartile. Recent inspection reports for service modernisation and of education and social work were workforce planning to underpin the positive and identified many elements development of more flexible and of good practice. Educational user-focused services. The council attainment is high. The council has a faces recruitment and capacity well-developed local housing strategy issues and needs to implement its which focuses on the need to ensure human resources strategy to help an adequate supply of affordable address these issues more effectively. housing. However, it performs less Sickness absence data has been well in its housing landlord service. unreliable for several years, and the Communities Scotland’s inspection council should take urgent action to found the management of the establish accurate information on this. housing service was ‘fair’, while they rated the repairs and homelessness 8. There is evidence of flexible and services as ‘poor’. innovative approaches to providing services and support to remote 10. The council has done much to communities. There is a mixture of support fragile island communities in-house and private sector provision and build the economy of Orkney. of services. For example, grounds and However, there are no mechanisms in building maintenance are carried out place to record, monitor or measure by the private sector and some refuse the effectiveness of this activity in collection is subcontracted to the contributing to its overall strategic private sector. However, the council aims. The council also needs to could do more to increase the level improve transparency by identifying of challenge to existing ways of doing and analysing the costs of supporting things. The council recognises that its various communities. This will best value reviews would benefit from enable elected members to make a greater degree of external challenge more informed choices about the and is exploring more systematic balance between cost, quality and ways of doing this. The council has level of service provision across already demonstrated a willingness communities. to open itself to external challenge, through commissioning consultants to 11. The council is aware of where undertake a review of its base budget there is a need for improvement and and to look at its shared services this is reflected in its improvement agenda with the local NHS and plan. The council now needs to ensure other agencies. that detailed project plans are drawn up for each improvement activity to drive this forward.  Part 1. Does the council have clear strategic direction? 0

Elected members and senior 13. The area’s geography presents Exhibit 1 officers are prominent in the a particular challenge. The council Map of Orkney Islands community and provide strong has responsibility for major harbour community leadership. The operations at Scapa Flow, together council leads the CPP well and with a number of harbours and piers North has worked effectively with the serving its island communities. It also Papa Ronaldsay partners to set clear objectives operates ferry services and works Westray and identify priorities for action. in partnership with service providers Westray The strategic priorities reflect the and the Scottish Government to Sanday major issues facing local people, maintain lifeline air services. These primarily the need to sustain responsibilities present significant Rousay Eday fragile communities, preserve the challenges in addition to the logistical Stronsay Mainland natural and cultural environment problems of providing day-to-day Shapinsay and maintain good transport links. council services to its dispersed Stromness However, the council needs to communities. Kirkwall do more to set out how success Scapa Flow will be measured and articulate a 14. The area has high employment Hoy Flotta clearer picture of what the area and figures, with  per cent of the South services will look like in the future. working age population employed Ronaldsay compared with a figure of 7 per The convener and chief executive cent nationally. This is the second- provide good leadership and highest employment rate in Scotland. work well together. But elected The unemployment rate at three Source: Audit Scotland members and the CMT have per cent is the lowest in Scotland. not clearly demonstrated the While weekly wage levels of £.0 capacity to promote Best Value and are the fourth-lowest in Scotland, Leadership and culture continuous improvement. deprivation levels are generally low. Crime levels in the area are the lowest The convener and the chief executive The CMT needs to further develop in Scotland. provide good leadership for the its corporate and strategic focus. council and have a constructive While senior officers demonstrate 15. People in Orkney have the highest working relationship. They have a clear commitment to the area, life expectancy in Scotland at successfully built a professional they have not been successful in 7. for men and 0. for women. culture within the council and fostering a performance-oriented The area has an ageing population, maintained a focus on corporate culture throughout the organisation. with figures for the increase in priorities, particularly in terms of population numbers by 0 being supporting fragile communities. The The local context the fourth-highest in Scotland for the council leads the CPP well. over- age group. With a projected The most significant contextual seven per cent decline in the working Elected members are focused issues the council faces are age population over the same on delivering services that meet sustaining fragile communities timescale, this presents a challenge in local needs but both they and the and providing services to sparsely providing sustainable services. CMT need to significantly improve populated, remote islands. leadership of Best Value and do Maintaining good transport links is 16. In 00/07, the council’s gross more to establish a performance- also essential to ensure social and cost of services was £00 million oriented culture throughout the economic viability. (Exhibit ) and its net expenditure was organisation. £7 million. The average spend per 12. Orkney Islands Council is the head of population in 00/07 was 17. Orkney has a tradition of electing smallest council in Scotland, serving second-highest at £,0 compared a fully independent council. Around a population of 0,000 (Exhibit ). The with the Scottish average of £,. 0 per cent of the  independent council covers an archipelago of over The council’s band D council tax elected members are new to the 70 islands, of which 9 are inhabited. for 007/0 is £,07, which is the council, having been elected in May The main island – referred to as the second-lowest in Scotland and well 007. The council has an open culture. Mainland – is home to ,00 people, below the Scottish average of £,9. Decision-making at meetings of the mostly living in the two towns of full council and of committees is Kirkwall (7,00) and Stromness (,00). transparent, with debates taking place in meetings open to the public. Part . Does the council have clear strategic direction? 

18. The council provides good Exhibit 2 leadership to the CPP. The convener Gross cost of services 2006/07 (£100 million) of the council demonstrates clear commitment to Community Planning 10% Education (£27.8m) and provides confident leadership to 2% Cultural and Recreation (£5.4m) the partnership steering group, which 5% 27% Community Social Services (£17.6m) he chairs. 2% Police Services (£1.6m) 7% 19. Members operate consensually Fire Services (£1.6m) to deliver strategic projects and to ensure that services are delivered 5% Roads and Transportation (£13.6m) 5% Planning and Development (£2.1m) consistently and in a sustainable 2% manner across the area’s dispersed Environmental Services (£4.6m) communities. However, elected 14% Central Services (£7.3m) member leadership of Best Value has 17% 2% 2% been less evident and the council Corporate and Democratic Costs (£2.0m) needs to address this. The recent Housing Services (£4.6m) induction programme for members Housing Revenue Account (£1.7m) did not specifically include training Harbour Authority (£10.3m) on Best Value. This creates a risk that members may not recognise their role Source: Audit Scotland in leading Best Value. External training on Best Value has subsequently been arranged to address this. 21. The council is organised along executive has successfully fostered traditional lines with committees a professional and committed 20. Relationships between officers for each of the major service areas management team, which operates in and elected members are direct, open (Exhibit ). Committees have limited a cooperative, consensual manner. and professional. The relationship decision-making powers, meaning all is characterised by a high degree major issues are referred to the full 24. The CMT discusses the major of mutual respect. The convener of council for debate and decision. This issues facing the council and pressing the council is held in high regard demonstrates the inclusive culture of operational matters, but it needs to by elected members and officers, the council where all members have address the council’s strategic agenda and fulfils his leadership role well equal access to information and are in a more consistent and structured within both the council and the wider involved in major decisions. manner. There is limited discussion community. He is effective at ensuring of Community Planning at the CMT the views and interests of the 22. The council has a traditional, despite the strategic significance of council and its area are represented function-based management structure Community Planning activity and the nationally. He was recently appointed (Exhibit , overleaf) which is broadly chief executive’s commitment to the to serve a second term as convener. aligned with the political structure. partnership. The convener and chief executive are working well together seeking to 23. The CMT comprises the 25. The council is very responsive ensure the council clearly identifies its chief executive, assistant chief to the findings of audit and strategic objectives. executive and six directors. The chief inspection regimes and uses these

Exhibit 3 Council service areas

Council

Policy and Monitoring Development Education, Environment, Social Services Transportation Resources and Audit Recreation Planning and and Housing and Infrastructure and Cultural Protective Services Services

Source: Orkney Islands Council 

Exhibit 4 Management structure

Chief Executive

Director of Assistant Chief Executive Director of Harbours Development Services Administration Oil Port Operation Economic Development Legal Services Pilotage Transport Corporate Policy Unit General Harbours Planning Personnel Services Marine Environmental Environmental Health and Information Services Services Trading Standards Emergency Planning Museums and Heritage

Director of Community Director of Education Director of Finance Director of Social Services and Recreation and Housing Technical Services Community Care Services School Education Accountancy Corporate Property Criminal Justice Services Library Services Payments Environmental and Children and Families Community Education Revenues Engineering Services Services Orkney College Internal Audit Roads Strategic Services Recreation Services Housing

Source: Orkney Islands Council

as an impetus for improvement. to support them in improving the 28. The council shares its strategic However, the team has not focused strategic focus of the team. The objectives with its Community systematically on performance council could also mitigate the Planning partners and these are set management and has a limited effects of the recruitment difficulties out in the community plan. The CPP’s corporate focus on strategic resource it faces due to its remote location vision and aims for Orkney are shown management. As a result, the and small scale by investing in staff in Exhibit . CMT cannot demonstrate that it is development. effectively leading Best Value. 29. The council is developing a new Setting a clear direction corporate plan, which is due for launch 26. The CMT is now addressing in the spring of 00. The current development and capacity issues The council has established a corporate plan, produced in 00, which it has identified as limiting the vision and high-level priorities reflects the community plan priorities. council’s ability to drive forward Best which closely reflect the major The council’s aims and priorities Value and service modernisation. issues facing local people. In (Exhibit ) clearly reflect local issues, The team has begun the process particular, the council has focused and demonstrate an awareness of of identifying people in its existing on sustaining fragile communities, Best Value. However, the priorities workforce with the skills required preserving the natural and cultural represent a series of aspirational to support it in embedding best environment, and maintaining statements rather than a list of clearly value processes and delivering the good transport links. However, the prioritised and measurable actions. council’s improvement programme. council lacks a clear process for It has also established an extended measuring success and it needs to 30. The lack of measurable targets and management team involving all articulate a clearer picture of what defined priorities has restricted the second-tier managers to increase the the area and services will look like ability of the corporate plan to drive level of engagement with Best Value in the future. This will enable the service improvement and to enable throughout the organisation. council and local people to judge the council to monitor, review and how successful it has been in report progress against its priorities. 27. Members of the CMT would meeting its stated objectives. It is therefore difficult to assess how benefit from leadership development successful the council has been. Part . Does the council have clear strategic direction? 

31. The council has improved support Exhibit 5 for elected members in setting the Orkney 2020 – Our Vision priorities for the new corporate plan. Vision, mission statement, key principles and priority themes These priorities, together with community plan objectives, will Vision form the basis of the new plan. The An Orkney where we all have a place within a caring community, living in a inclusion of more specific actions healthy environment and supported by a thriving economy. and outcome targets will enable the council to focus its resources Mission statement and measure its effectiveness. The To ensure that local organisations work together and with communities to approach to the development of the improve the quality of people’s lives, provide better services, and create a new plan, with the full engagement shared vision for the future to which we can all subscribe. of elected members and widespread community consultation, represents Key principles Priority themes a significant improvement in strategic planning. • Promoting survival • Health and well-being • Promoting sustainability • Housing Responding to the community • Promoting equalities • Transport and travel • Working together • Our environment There is a strong culture of • Working with communities • Our economy community involvement in Orkney • Working to deliver better services • Learning and the council benefits from • Culture being rooted in the community it • Keeping Orkney safe serves. It has consulted widely with its communities on specific Source: Orkney 2020 – Our Vision, Orkney CPP issues but it lacks a systematic and coordinated approach to consultation. The council’s approach to customer service is largely based Exhibit 6 on a traditional model and needs to Corporate Priorities 2005/08 become more flexible. Council priorities: 32. The small population of the Orkney Islands means council members and • Campaign for an equitable financial settlement to secure the resources officers live within, and are highly needed to meet Orkney’s present and future needs. accessible to, the communities • Pursue the development of an integrated transport infrastructure which is they serve. This connection with economically, socially and environmentally sustainable. local needs and issues is evident in strategic plans. The council has a • Promote the diversification of industry in Orkney to achieve dynamic and record of consulting communities sustainable growth in the global market. on specific issues, for example, on • Further develop joined-up public services within the Community Planning transport strategy and with business framework and promote local control of local services. groups on the most effective use of reserve funds for economic • Manage sustainable development of renewable energy while protecting development. Orkney’s natural environment. • Enable the council to attract, develop and retain the staff it needs, 33. However, the council lacks a working to achieve equality of opportunity. systematic and coordinated approach to consultation. It is engaged in a • Support the development of sufficient, suitable and affordable housing. best value review of consultation • Prepare for demographic change through engaging with young people practices across the CPP. This will and anticipating the growing needs of older people. assist in further developing the partnership’s joint community • Progress modernisation of services in pursuit of continuous improvement engagement strategy. This review and in efficiency and best practice. the proposed residents’ survey on the new corporate plan will support a Source: Corporate Strategic Plan 2005-2008, Orkney Islands Council broader approach to consultation. 14

34. The CPP has established a to local communities and assists the are publicly available. The council’s strong approach to consulting the council in providing services across its website contains some useful community. The partnership engaged dispersed area. information about council services but Voluntary Action Orkney to undertake it could be improved to provide easier public consultation to inform the 37. Customer services approaches access to performance information. aims of the new community plan are developing slowly. The council While committee minutes and (published in 2007). The work established a one-stop shop, its agendas have been available on the involved consultation sessions in customer services centre, in 2003. website for some time, the council all island and Orkney mainland However, only a few services has only recently made committee communities. The plan uses illustrative are currently provided from this reports available. The council is examples to show the link between central point in the Kirkwall council currently in the process of redesigning comments from the consultation headquarters: its website to provide better targeted and the aims identified in the plan. information and easier navigation. Communities Scotland assessed • bill payment the consultation process against the 41. The council currently lacks a ‘National Standards for Community • benefits and housing enquiries comprehensive, balanced approach to Engagement’ and found it met all PPR. The council and the CPP report of the criteria, with the exception • application for travel cards progress against their respective plans, of providing feedback from the and a small number of services also consultation to participants. • collection of job application packs report publicly. The council needs to do more to make performance information 35. The council is improving its level of • general advice and information more appropriate and accessible to its engagement with the voluntary sector about the council and services. communities, service users and other and is working well with Voluntary stakeholders. Action Orkney to achieve this. The 38. The council could make better use council engages well with community of this approach to build operational 42. SPI results form the backbone groups, building on the traditionally capacity in other service areas where of the council’s Annual Performance strong level of commitment from local routine activity could be managed Reports. These are available online and communities within Orkney. Community more efficiently through a central point. copies are available at council outlets. councils, local development trusts and Summarised leaflets have been widely community associations are particularly 39. Council services mainly operate distributed via a local newspaper active in their respective communities. on a traditional ‘9 to 5’ basis and insert. These include details of how Elected members are closely involved in some council services close from 1 to to obtain a full copy of the report. The working with these groups. The council 2pm for lunch. Increasing the flexibility council makes good use of the local supports local community groups in of working arrangements, including press and radio to inform people about a range of ways, including financial the use of ICT for remote working, significant issues and projects. support, identifying funding opportunities would assist in making services more for projects and bringing together responsive to users and supporting 43. Some departments publicise different interested parties. There is employment opportunities for people information for specific audiences. a broad range of successful projects in more remote locations. The department of education and across the Islands that have resulted recreation services publishes an from the work of very dedicated Openness and accountability annual Standards and Quality community groups and individuals, with Report, detailing its performance assistance from the council. The council has an open culture, against the Scottish Government’s but public performance reporting five national priorities for Scottish 36. The chief executive’s department (PPR) is underdeveloped. The education. The report also includes provides support to the 20 community council relies heavily on SPIs. performance information, targets and councils in Orkney. Not only are the The local press and radio are the comparative data for the previous community councils an important main reporting conduits between three years which are printed for consultation channel, they also provide the council and the islanders, and distribution to schools, and published a number of local services on behalf the council makes good use of on the council’s website. The council of the council. These include looking the media to publicise significant would benefit from recognising and after local burial grounds, monitoring projects and issues. promoting this example of good and reporting road and drainage practice in performance reporting defects, and monitoring coastal 40. The council has an open and across all its departments. Corporate erosion. This is an innovative approach transparent culture. Decisions are quality standards for PPR should be to joint working to provide services taken in public meetings and papers established and applied consistently across all council departments. 15 Part 2. Is the council organised to deliver better services? 16

The council is working effectively working in maintaining sustainable • Developing local data sharing with a variety of partners to provide public services for Orkney. and standards, which has had good support to its dispersed an initial focus on single shared communities. 45. While the council has taken a assessment for adult care and leading role in Community Planning sharing information for child The council has been slow to it has not dominated the processes. protection. introduce basic systems and The OCPP steering group works processes to support Best Value, well, with good engagement from • Joint best value reviews between and elements of its strategic partners. Strategic working has the council and NHS Orkney on, planning and improvement improved over the past 18 months. for example, assessment and care framework need development. It is There is now better engagement with management services. only beginning to develop effective partners, in particular NHS Orkney performance management and the voluntary sector (through • Jointly provided services with arrangements and has not taken Voluntary Action Orkney). Community NHS Orkney for community a sufficiently strategic approach to Planning has to date been serviced mental health, occupational the management of resources. predominantly by the council but NHS therapy, rapid response care at Orkney is now contributing financial home, assessment and care Scrutiny of service performance resources to assist in taking forward a management, and learning needs to be developed in line number of strands of work. disability services. with improved performance management information. The roles 46. Elected members’ engagement 49. OCPP benefits from the of committees and the full council with Community Planning is varied. co-terminosity of the council and in scrutiny are not clearly defined. Awareness training was provided NHS Orkney. This has helped to as part of the member induction develop a challenging vision for shared The council has recently developed arrangements following the May support services, including finance, an improvement framework to 2007 election, but further work to legal, procurement and ICT. Of the harness and focus improvement heighten members’ understanding proposed joint arrangements, the activity. It needs to assess its of Community Planning could council and NHS Orkney already share capacity for managing and assist in promoting greater levels of communications and emergency delivering its improvement agenda engagement. planning services and have appointed and develop short and medium- a joint head of human resources. term plans accordingly. It also 47. Commitment to Community needs to strengthen its approach Planning is also mixed among 50. The partnership has successfully to best value reviews and develop officers and there is some way to go bid for efficient government funding more systematic approaches to before it is fully embedded within to take forward joint working options appraisal and testing the the council. There is evidence of arrangements. Plans to establish competitiveness of its services. good engagement from a number a programme board and appoint of officers involved in operational a project manager were approved Working with partners activities linked to Community by NHS Orkney and the council in Planning. autumn 2007. An external consultant The council works well with is developing the initial planning for partners. The CPP has set 48. The partnership is founded on this pathfinder project for public a challenging vision for the good joint working between public sector reform. A major challenge will area and for integrated public agencies, the private sector and be building the capacity to support services. However, it is unable community groups. There are many implementation of the project. to demonstrate progress against strong examples of this: its objectives because much of Strategic planning its activity is not systematically • Joint capital projects between The council has recently developed a measured, captured and reported. Orkney Islands Council and strategic planning framework which NHS Orkney for schools and incorporates mechanisms to promote 44. Orkney Community Planning health facilities. continuous improvement. However, Partnership (OCPP) was established the framework is not yet being fully in 2000. The partnership published its • Establishing a common housing applied and some elements remain second community plan in May 2007, application for the council, the local under development. covering the period 2007 to 2020. The housing association and another partners recognise the importance landlord, working towards a 51. In March 2007, the council of Community Planning and joint common housing register. produced a Strategic Planning Framework (SPF) document that Part . Is the council organised to deliver better services? 7

outlines the relationship between Exhibit 7 Community Planning, corporate Orkney’s Strategic Planning Framework planning and service planning (Exhibit 7). Community plan

52. The SPF sets out roles and responsibilities, and provides clear Corporate strategic plan Financial planning accountabilities and timelines for corporate and service planning Legislative drivers SPI results activities. It incorporates mechanisms (eg, equalities) to promote continuous improvement, such as best value reviews, Best value review recommendations Political priorities recommendations from external inspectorates and performance Inspection report recommendations Management priorities management reports. Departmental service plans 53. The framework is not yet fully effective. Performance against strategic objectives is not being Report on departmental Construct balanced systematically monitored and reported, performance to service scorecard and systems for this need to be committees developed and incorporated into the framework. In the absence of this, it is difficult to demonstrate systematically Monitor performance at departmental how the community and corporate management team meetings plans are driving service activity. Source: Strategic Planning Framework, Orkney Islands Council, March 2007 54. The current community and corporate plans lack specific targets and measurable goals 56. The absence of a clear relationship performance information needs that set out what success between corporate and service-level significant development. While will look like. This has made it commitments, in conjunction with there is evidence of existing good difficult to develop performance weak performance management practice within individual services management, monitoring and arrangements, makes it very difficult areas, there is no structured, council- reporting arrangements, and hinders for the council to demonstrate wide performance management the development of appropriate whether individual services and the framework (PMF) to measure and measurable targets in subordinate council collectively are achieving their monitor progress against objectives. plans. The council recognises that the objectives. Performance reporting predominantly development of the new corporate focuses on finance, completion of plan provides an opportunity to Managing performance projects or activities, and SPIs, and address this. there is a lack of comprehensive Corporate performance information on service performance 55. The links between the corporate management arrangements and the achievement of corporate strategic plan and service plans are are weak. This is significantly and service objectives. This weakens weaker than those between the hindering the council in achieving the effectiveness of scrutiny and community plan and the corporate continuous improvement accountability arrangements. strategic plan. While each department and means that scrutiny and produces and uses service plans, accountability arrangements are 58. The council is developing a PMF these have not been integrated into not effective in relation to service based on the ‘balanced scorecard’ the planning framework as set out in performance. The council is in approach. Each department is the council’s SPF. Service plans refer the early stages of developing a developing its own service-specific to the community plan and corporate corporate approach. More needs to scorecards. The council hopes that plan objectives, but do not make clear be done to establish performance this will promote ownership of the links between strategic commitments management and foster a culture process among operational staff, but and service activities. There is little of continuous improvement. the disadvantage of this approach is evidence of specific targets for that progress is variable and there service priorities. 57. The council’s approach to is no consistent corporate standard the management and use of being applied. The council needs 18

to ensure that comprehensive Scrutiny the council’s corporate plans’, but performance measures and specific this does not specifically include measurable targets are identified While elected members are well a reference to service plans or to across the range of its services, and engaged in scrutinising strategic the community plan. The council that the departmental scorecards are decisions and individual projects, needs to clearly set out the lines of clearly linked to strategic objectives. scrutiny of service performance accountability and responsibility for is significantly underdeveloped. the scrutiny of service performance. 59. There is no standard mechanism This can be partly attributed to for monitoring the progress of the absence of good performance 65. Community Planning performance strategic priorities within the information. The roles of is reported to the council annually. evolving PMF. The early service level committees and full council in However, there remains a need scorecards do not reflect community scrutiny need to be more clearly to increase the level of member planning or corporate priorities. defined. Elected members need engagement with Community Across the council, and among both to engage more fully with the Planning and enable more systematic officers and elected members, there development of good-quality scrutiny of the council’s contribution to is a variable level of understanding performance information to Community Planning objectives. and engagement with the balanced support them in driving continuous scorecard approach. The development improvement. 66. The council’s audit committee of a new corporate plan is a good arrangements are in line with opportunity for the council to develop 62. The committee structure is well the Chartered Institute of Public a corporate level balanced scorecard. aligned with the managerial structure, Finance and Accountancy (CIPFA) This would give departmental meaning accountability lines should be good practice guidelines. The scorecards a clearer corporate focus. clear. However, neither the council’s monitoring and audit committee scheme of delegation, nor the council has responsibility for coordinating 60. The council acknowledges the and committee remits, set out clearly the best value regime and a sub- need to improve, but it is not clear that and consistently the respective roles group of the committee (the best it has the capacity to achieve these of committees and the full council in value working group) considers best goals as an urgent priority. The council relation to scrutiny activity. value reviews. The committee is also needs to determine how it will harness responsible for making arrangements the specialist skills, knowledge and 63. The independent nature of for monitoring performance. The experience necessary to establish the council means that there is council should consider whether the and embed effective performance a high level of debate on issues resources available to support this measurement and management and projects of local importance, committee are adequate to progress across the council. It recognises the providing effective scrutiny of these the development of performance need to identify and use internal matters within committees and management within the council. capacity as well as engaging external at full council meetings. Service support for specific tasks. plans are monitored annually, and 67. While members have had access progress on action plans from to training on their scrutiny role, they 61. In developing performance external inspections is reported to would benefit from ongoing support information, the council needs to service committees and the council. to develop their ability to challenge, identify measures of success for its However, with the exception of SPIs, and to ensure they have the specified aim of sustaining fragile service performance is not routinely appropriate information for decision- communities. The council does not or systematically considered at either making. Officers need to provide currently have information about council or committee level. better information to members the costs of supporting its various to support them in their scrutiny communities. It is important that this 64. The scheme of administration is role. In particular, options appraisal information is established across the unclear about where responsibility information needs to be more robust full range of its services and funding lies for monitoring and taking action and fully costed, and performance agreements, to ensure that members on individual service performance information requires significant can make decisions based on full and the precise role of committees development for most services. information about the costs involved in reviewing and approving service and the level and quality of services plans. Only the transportation and provided. Comparative cost analysis infrastructure committee has an would also put the council in a better explicit delegated power for the position to identify the additional costs annual review of service plans, and associated with its geography and this is limited to the roads function. demographics. The full council is responsible for the ‘establishment and review of Part 2. Is the council organised to deliver better services? 19

Managing resources areas for achieving savings and Managing assets reconfiguring services to make more Finance efficient use of resources. Orkney Islands Council does not have a strategic approach to asset The council needs to make further 71. The base budget review raised management. Despite adopting progress in developing a strategic challenging questions for the council a corporate approach to asset approach to financial management, about how it allocates resources, management in 2002, there are a building on the review of its particularly in relation to discretionary number of areas which the council base budget. Budgetary control services. The council needs to build has still not addressed effectively. has improved but accountability on the review by systematically and arrangements for arms’ length fundamentally challenging the level of 75. Orkney Islands Council does not bodies funded by the council need base budgets for each service. currently have a clear and overarching to be strengthened. asset management strategy which 72. The review also highlighted the links to asset plans for services. The 68. Orkney Islands Council had a need to increase the level of challenge council has identified this as a priority general fund surplus of £14 million to accepted ways of doing things, for development in its corporate for the year 2006/07, increasing the and the increasing importance of improvement plan. A considerable cumulative surplus on the general fund options appraisal and best value amount of work still needs to be done to £15.884 million at 31 March 2007. reviews (discussed further below). to ensure that all assets are properly The surplus for the year consisted The outcome of the review should documented and to produce asset mainly of a transfer of the balance on be a key factor in determining the management plans. the Relevant Services Contingency council’s ongoing best value review Fund to the General Fund. programme. 76. The council is working with departments, partners and 69. The Relevant Services 73. The SPIs demonstrate sustained stakeholders to assess the current Contingency Fund holds income from good performance in the percentage use of properties, identify surplus the operator of the Flotta Oil Terminal, of council tax collected; the council assets, and identify ways of improving which was paid to the council during has been ranked first in Scotland for the use of properties. The council the 1970s and 80s. This fund has this indicator for the last three years. cannot currently demonstrate that it regularly been used to support Conversely, the council demonstrates has identified all surplus assets within general service expenditure, at the poor performance in the cost of its asset portfolio. level of £2 million for 2007/08. To collecting council tax and the ensure sustainability and as part of percentage of invoices paid within 77. The council maintains a record its medium-term financial strategy, 30 days. Both indicators have ranked of its assets on two systems: a the council intends to eliminate in the lowest quartile over the last property maintenance database the use of this money in setting a two reporting years. held by technical services, and a balanced budget. fixed asset register maintained 74. The council has a significant by the finance department. The 70. The council is developing a five- financial relationship with a number council does not regularly reconcile year financial strategy which it intends of arms’ length bodies. These include the information held on these two to implement from the 2008/09 Orkney Ferries, Orkney Towage, databases. The absence of regular budget round. The financial strategy and the Pickaquoy Leisure Trust. reconciliations could result in needs to be linked to an overall The council’s appointed auditors inconsistencies in the records held resource management strategy and have highlighted weaknesses in on each database and therefore the integrated with corporate and service governance and accountability potential for misstatement in the planning. To date, the council has arrangements where the council financial statements. The technical taken a largely traditional, incremental provides funds to arms’ length bodies. services department is now working approach to setting its budget. It has The auditors have recommended to implement regular reconciliations faced budgetary pressures in recent that the council ensures it has a between the two databases. years, particularly in social work clear strategy for its involvement (discussed in Part 3 of this report). In with the external bodies it funds, 78. The council’s external auditors response to the pressures identified and that appropriate governance and have raised concerns over the by the council in the 2006/07 budget accountability arrangements exist accounting treatment for common round, it commissioned a base to protect its financial interests and good assets. The council does not budget review across all services. ensure continuity of service. maintain a comprehensive common This identified the compulsory and good asset register, and in many discretionary services provided by cases it could not locate title deeds. the council and highlighted potential The council has allocated funding in 20

the 2007/08 budget to recruit staff Managing people systematic approach to leadership and upgrade asset management development or succession planning; systems to address this. The council has a committed and, basic personnel information workforce but it is not making the systems are not in place. Information and communications most of the skills of its staff. It has technology (ICT) a sound strategy for workforce 85. The council has found recruitment planning and management but an ongoing challenge, particularly The council needs to further this has not been implemented. It in attracting candidates for middle develop its ICT strategy to link needs to improve its management management and professional posts. with a clear vision for service of sickness absence. It has not yet It has found it difficult to attract high modernisation. conducted a full staff attitude survey. response rates to recruitment exercises and many short-listed 79. The council has an Information 82. The council needs to improve the candidates drop out of the process. Services Programme Board which way it manages its staff to ensure Repeated recruitment exercises can meets regularly to match the cycle it makes the most of the available make the cost of filling a post very of the policy and resources sub- skills and experience. The personnel high. Contributing factors include committee to which it reports. The section has been focused on the remote location, remuneration board’s role includes supporting operational activities and delivering pay levels in a small authority, increasing business transformation and providing modernisation arrangements, which house prices and limited employment strategic direction for information were viewed as a priority for the council. opportunities for candidates’ partners. services. The board comprises the As a result, more strategic human chief executive, the assistant chief resource initiatives have not been 86. This is a difficult challenge for the executive and the director of finance delivered. This has added significance council to address and it has taken and housing. The senior membership for the council given the recruitment a number of steps to improve its of this board indicates the council is difficulties it faces. The council has arrangements: aware of the significance of ICT in recognised the need to develop the delivering modernised services. capacity of the personnel function to • It has engaged consultants to address this and is working towards review recruitment advertising 80. The council has had an ICT a shared service arrangement with and has subsequently refreshed strategy in place since 2005. This NHS Orkney. The head of personnel is the approach. would benefit from being refreshed to currently a joint post with the NHS. ensure the strategy supports the new • Together with NHS Orkney, it corporate plan and sets out clearly 83. The SPIs that measure the is piloting an electronic the council’s vision for the impact council’s corporate sickness absence recruitment portal. on services of the proposed joint have been reported as unreliable for a arrangements with the local NHS. number of years due to weaknesses • It has a number of ‘grow your in the systems for collecting the data. own’ schemes where it is 81. The council has selected a set The council needs to address this investing in developing staff to of key performance measures for urgently. The council has policies and meet the needs of roles that are information services to support the procedures in place for managing difficult to fill. council’s development of the balanced absence but these are not applied scorecard approach to performance consistently across all areas. 87. The council needs to be more management. These are based on systematic in its general approach to measures developed by the Society of 84. The council has a well-constructed training and development. Currently, Information Technology Management Human Resource Strategy document, individual managers are responsible (SOCITM). This enables the council produced at the end of 2005, which for undertaking personal development to use national averages published by provides a sound basis for workforce planning. The council is unable to SOCITM as a benchmark to compare planning. However, the strategy demonstrate how consistently, and the performance of the information has not been implemented and how well deployed, staff appraisal service. Recent results of this the council lacks systematic and and development processes are. This exercise have shown the council to be embedded arrangements for a means it cannot assess the impact above the national average on six out number of fundamental workforce of these processes. The absence of of nine indicators. management areas. For example, systematic individual assessment and while there is evidence of good development planning means the practice in services such as education council lacks basic information about and social work, the corporate its staff training and development approach to training and development needs, organisational capacity and is weak and inconsistent; there is no areas for development. Part 2. Is the council organised to deliver better services? 21

88. Joint arrangements with NHS has recognised this in drawing up for service delivery are identified Orkney have recently included its improvement programme and and properly evaluated. The council the appointment of a learning and has used the opportunity to begin has developed a risk-based model development manager, but the to develop a systematic approach to for identifying services for review council lacks a structured approach continuous improvement. Its strategic and is committed to ensuring arms’ to leadership and management planning framework incorporates length scrutiny of best value reviews development. Although the chief processes such as service planning and increasing expertise in options executive has undertaken a and best value reviews to drive and appraisal. performance assessment with embed continuous improvement external challenge, his assessment through all its activities, but elements 95. While the council is making of members of his management of this need further development for continued efforts to ensure robust team has not been undertaken it to be fully effective. These include challenge exists within its best value systematically. performance management and the review process, it would benefit from approach to best value reviews. a greater degree of external challenge 89. The council has not yet undertaken in the form of a ‘critical friend’. This any corporate staff attitude surveys. 92. The council is short of skills would increase the level of challenge and experience to support the to accepted ways of thinking and help Managing risk improvement programme required to to identify more creative solutions. fully address the challenges of Best Risk management is not well Value and service modernisation. It 96. The council has a mixed economy progressed in the council. has begun to identify staff with the in those services which were formerly required skills and experience, and subject to compulsory competitive 90. Following a review in 2006/07, intends to realign responsibilities to tendering (CCT). Grounds and building the local auditors noted that the support and deliver its improvement maintenance are carried out by the council has made limited progress agenda. The council recognises its private sector. In situations where the in implementing risk management capacity issues and has previously council is the main provider of the arrangements. Since the review, the engaged external support to assist in service, such as refuse collection, there council has appointed a company areas such as consultation, reviewing is also an element of subcontracting to assist in the development of risk its base budget and taking forward its to the private sector. The council has management and a risk register. The shared services agenda. It should also identified former CCT activities as an company conducted risk management consider whether it requires external area for best value review to ensure it workshops with key strategic officers support to assist it to deliver its best can demonstrate competitiveness. in August 2007, which enabled the value improvement programme. council to identify its key risks. It 97. Orkney Islands Council has is important that the council builds 93. The council is responsive to consistently benchmarked its on this work to ensure that risk recommendations made by audit and performance against the performance management is embedded within inspection teams, recognising that of Shetland Islands Council and strategic and service planning this represents additional capacity in Comhairle nan Eilean Siar, with mixed processes. identifying improvement actions. It results. The council benchmarks systematically includes audit and financial performance, levels of Continuous improvement and inspection recommendations into funding and SPIs. The council does competitiveness service plans and uses them to inform not regularly benchmark against other its best value review programme. local authorities as these are not The council does not have effective viewed as being comparable. processes in place to support 94. The council has undertaken a continuous improvement. It needs systematic programme of best value 98. Best value reviews provide to develop capacity to take this reviews, beginning in 1998. Reviews evidence that the council has forward. The approach to best conducted under this programme did benchmarked with external bodies, value reviews needs to be more not result in any major changes to the including industry leaders or private challenging. Options appraisal, way in which services are delivered, sector organisations, but the approach benchmarking and market but instead focused on improving to this is not consistent across the testing need to be done more existing ways of doing things. No council. The council should ensure that systematically. political barriers exist to considering an appropriate range of benchmarking all options for service delivery, indicators is systematically included in 91. The council does not currently including outsourcing and partnership best value reviews. have a fully embedded improvement arrangements. A more systematic framework to harness and focus evidence-based approach to options improvement activity. The council appraisal would ensure that all options 22

Equal opportunities 102. In terms of employment, SPIs for the percentage of the highest The council does well in providing paid two per cent and five per cent equal access to services for those of earners among council employees in remote locations. Approaches to that are women consistently rank other equalities issues need to be towards the bottom of the 32 Scottish more fully developed. authorities. In 2006/07, the council ranked 30th and 29th respectively for 99. The council recognises the these indicators. importance of tackling rural deprivation and social exclusion in remote communities which can be significant barriers to equality of opportunity. The community plan and the corporate priorities reflect these issues well.

100. The council has a well-embedded ethos of trying to ensure all of its communities have appropriate access to services. Strategic planning and service provision across all of the departments reflect this commitment. The geography and sparsity of populations mean that the logistics, costs and availability of individuals to provide services can make this difficult. The council makes good use of community capacity to support the provision of some service areas, but could make more use of technology to enhance or make the provision of services to remote areas more cost-effective.

101. In the 2001 census Orkney had the lowest proportion of black and ethnic minority people in Scotland at 0.4 per cent, compared to a national average of two per cent. The council has statutory schemes and policies on race, disability and gender equalities in place, but it recognises that further work is required to improve its response to equalities issues and embed these in service activity. The council is also aware of shifts in its population, such as inward migration of people from accession countries, to which it needs to respond. 23 Part 3. How are services performing? 

Orkney Islands Council provides be made with the national average, ( or below) on  indicators, with good services in a number other local authorities and trends  indicators in the middle quartiles of areas, but some aspects over time. Some caution is required (Exhibit ). of services need significant in interpreting SPIs given the small improvement. SPIs confirm this scale of the council, particularly where 105. Twenty indicators have improved mixed picture. In 00/07,  SPIs percentage measures may be based by at least five per cent since 00/0 were in the top quartile, while  on small numbers. and fourteen have declined by at were in the bottom quartile. least five per cent since 00/0, as 104. In 00/07, Orkney Islands demonstrated in the performance Recent inspection reports of Council was ranked in the upper change in SPIs between 00/0 education and social work have quartile (eight or above out of and 00/07 (Exhibit 9). The ratio of identified many elements of  councils) on  performance improvement to decline is ., just good practice, and educational indicators and was ranked first in ten under the Scottish average of ., and attainment is high. In contrast, indicators. It was in the lowest quartile th out of  local authorities. Communities Scotland‘s inspection rated the management of the housing service as ‘fair’ and the Exhibit 8 repairs and homelessness services Council profile of SPIs 2006/07: Number in each quartile by service area as ‘poor’. Upper Middle Lower No Failure The council has done much quartile quartile quartile service to report/ to achieve its strategic aim of unreliable supporting fragile communities and Adult social work  9  0 0 building the economy of Orkney. It Benefits administration   0 0 0 is also beginning to address the Education and children’s     0 need to better integrate and services update its transport infrastructure. However, there are no mechanisms Corporate management      Cultural and community in place to record, monitor or   0 0  measure the effectiveness of this services strategic activity. Development services 0 0  0 0 Housing    0 0 Statutory performance indicators Protective services 0    0 Overall, Orkney Islands Council’s Roads and lighting  0   0 performance, as measured by Waste management    0 0 SPIs, is a picture of extremes. Total 25 26 21 4 6 In 00/07,  SPIs were in the Scottish average  7  top quartile but  were in the bottom quartile. Areas of good SPI Source: Audit Scotland performance include cultural and community services, and some areas of housing and social work. Areas of weaker performance Exhibit 9 include corporate management, Performance change between 2004/05 and 2006/07 development services, some areas of social work and homelessness. Measures that worsened by: Measures that improved by:

103. Each year local authorities >15% 10-14% 5-9% 5-9% 10-14% >15% are required to report and publish Scotland 7      information about their performance through SPIs specified by the Orkney Islands       Accounts Commission. While

these indicators do not provide Source: Audit Scotland a comprehensive picture of performance across all services, they do allow some comparisons to Part . How are services performing? 

Education • wide range of opportunities national average, with around 0 for pupils to demonstrate per cent having occupancy levels of The council provides a good achievement in areas of sports, 0 per cent or less. There is some education service which is arts, and culture, including the overcapacity in secondary schools producing high attainment levels. right of each pupil to experience but this is difficult to manage due to outdoor education the nature of the school estate and 106. Orkney has a school pupil the low pupil numbers. The council population of just over ,000. There • arrangements for consultation recognises that it must balance are two senior secondary schools, across a wide range of stakeholders school occupancy levels with its located in the main towns of Kirkwall strategic objective of sustaining fragile and Stromness, four junior high • very good provision for continuous communities. The council encourages schools and 7 primary schools. The professional development for wide community use of the school junior high schools provide education teaching and non-teaching staff. estate, recognising school buildings as from nursery up to secondary school a valuable community asset. Of the fourth year. 109. Over the period 00 to 00, council’s 7 primary schools,  are attainment in reading, writing and designated as community schools. 107. The education functions of the mathematics for primary pupils There are examples of joint use of council were inspected by HMIE gradually increased from a very school buildings with the NHS. in 00. The inspectors reported high baseline. Attainment levels in ‘good’ performance in ten of the secondary schools are above that 112. The council is pursuing plans quality indicators, with the remaining of comparator authorities (Scottish to modernise its school estate. The indicator (consultation) deemed ‘very Borders, Highland, Comhairle nan initial business case identified three good’. The inspection concluded: Eilean Siar) and the national average projects, including Kirkwall Grammar ‘Orkney Islands Council demonstrated (Exhibit 0). School, a new primary school in a strong commitment to providing a Stromness and halls of residence at high-quality educational service for 110. HMIE found that the overall Kirkwall. The plans also include options its children and young people. The effectiveness of leadership and for joint working with NHS Orkney. work of education and recreation management in education and Discussions have been ongoing with services was clearly focused on recreation services was ‘good’. The the Scottish Government on how implementing its priorities to promote inspectors also found a performance- to deliver this project. The council social inclusion, lifelong learning and oriented culture which was good at is seeking to deliver these projects the education of the ‘whole person’ securing continuous improvement. through an arms’ length company through the media of sports, arts and model which is being developed by cultural activities’. A follow-up report 111. Occupancy levels in the council’s Comhairle nan Eilean Siar. was issued by HMIE in 007. This primary schools are around the judged progress to be ‘good’ or ‘very good’ in identified improvement areas.

108. The key strengths of the education Exhibit 10 service identified by HMIE were the: Secondary school attainment 2006/07

Orkney Islands Scottish Comparator • approaches taken by the director Attainment and his team to address the Council average authorities’ average demands of providing education Percentage of S roll across Orkney’s widely disperse gaining + awards at 0   island communities level  or better by end of S • leadership demonstrated by the Percentage of S roll director in his commitment to gaining + awards at    improving the quality of pupils’ level  or better by attainment and achievements, end of S supported by a highly regarded Percentage of S roll and industrious directorate team gaining + awards at  9  level  or better by • overall strong performance in end of S attainment

Source: Scottish Executive 26

Community social services an assessment of current and future also identified a number of areas for service needs. This is a positive improvement in the service delivered The council’s social work services step and the council now needs to by the council. The council has were inspected by the Social Work develop better information on the incorporated actions arising from the Inspection Agency (SWIA) in 2006, base costs of meeting assessed inspection into its current service plan. with generally positive results. A need and any additional costs recent inspection of child protection associated with maintaining services 120. SPIs for social services show services produced similar findings for remote and sparsely populated a mixed picture, with the council and an inspection report on the island communities. This will assist performing well on SPIs for criminal council’s criminal justice services in establishing a base budget and in justice, but poorly on some indicators was favourable. Budgetary benchmarking cost and service levels relating to residential and respite pressures have been an issue for with other councils. places. The council ranks 29th and the department and budgetary 32nd respectively on SPIs for ensuite control has improved. 116. The council is working to ensure facilities in residential home places it can provide care at home or in for older people and for other adults. 113. The council faces challenges homely settings to an increasingly It also ranks in the lower quartile for in providing equal access to good ageing population. It has reconfigured respite care provided in residential quality social care to vulnerable and its homecare service following homes or day facilities. disadvantaged people across the a best value review in 2006 and range of social services. It recognises is addressing issues of staff pay 121. The council recognises the need that this is an essential factor in and conditions in line with the to provide additional care home places meeting its corporate objectives of review recommendations. It is also for older people to meet existing and sustaining fragile communities and developing a number of options, anticipated demand. It is looking at promoting social inclusion. together with the NHS, to provide ways of providing and funding future residential care for older people, provision to ensure that people can 114. Budgetary pressures have including additional places for people stay on the Islands, rather than having been an issue for social work in past with dementia, supported housing to be placed on the Scottish mainland. years. Despite significant increases and respite care. The council is responding to the need in budgets over the past seven for more flexible, local-based units years, from £7.3 million in 2000/01 117. The council’s social work services providing a variety of care services, to £12 million in 2007/08, the were inspected by SWIA in 2006 and as demonstrated by developments at department has consistently the report was published in March Kalisgarth (Exhibit 11) and Smiddybrae overspent, due to the demand-led 2007. The inspectors reported: ‘The House, Dounby – a purpose-built facility nature of the service and the absence department was providing good providing residential places for older of a robust approach to budget setting outcomes for most people who use people, including those with dementia, and budgetary control. Budgetary services. The department is generally which also incorporates a GP surgery. control has improved within the well regarded within the community department but there remains scope and contributes to wider community 122. Orkney has a small number for this to be tightened further. Poor issues.’ 1 of children looked after away links between service planning and from home. Most are looked after budgeting are also contributing to 118. SWIA evaluate ten areas under away from home in community overspends. The service experienced their performance inspection model, placements, rather than in an overspend of £120,000 in 2006/07. using a six-point evaluation scale residential accommodation. The This is equivalent to approximately ranging from ‘excellent’ (level 6) to Care Commission inspected the one per cent of its budget of ‘unsatisfactory’ (level 1). The council fostering service in 2006 and made £11 million for the service. The most was awarded a rating of ‘good’ a number of recommendations for significant factor contributing to this (level 4) in eight of the categories improvement. SWIA noted that was the need to finance off-island and ‘adequate’ (level 3) in the progress in implementing these placements for children. The latest remaining two. recommendations had been slow unaudited figures indicate a small due to increased demands placed on under-spend against the 2007/08 119. The inspectorate team found the service caused by a significant budget for the service. evidence of strong leadership within increase in child protection referrals. the department. The inspectors also These referrals have resulted in 115. In light of budgetary pressures, noted that the department was well numbers on the child protection the council commissioned regarded within the council, making a register increasing from 14 in 2005/06 independent consultants to undertake contribution at corporate level. SWIA to 34 in 2006/07.

1 Performance Inspection Orkney Islands Council 2006, Social Work Inspection Agency, March 2007. Part . How are services performing? 7

Exhibit 11 124. The number of looked-after Kalisgarth – a community approach to developing very sheltered housing children is small and educational attainment of looked-after children is The Kalisgarth centre on Westray is an example of effective partnership very good, with 00 per cent of all working, listening and responding to local residents and involving the care leavers obtaining at least one community in delivering a project contributing to the council’s aims of qualification at SCQF level  or above. survival and sustainability. The project started with an ‘Initiative at the This is well above the national Edge’ conference in Westray. ‘Initiative at the Edge’ is supported by the average of  per cent for those Scottish Government and is designed to promote sustainable remote rural children looked after at home and communities. The conference attracted a significant number of delegates 7 per cent for those looked after from a wide variety of organisations. It was set up because local residents away from home. had expressed concern about sustainability and depopulation. One of the issues raised was the need for a facility for the island’s older residents who 125. The council’s criminal justice were in need of care and support. service was inspected by SWIA, which published its report in February The community worked with the council, principally the department of 007. The report concluded that, community social services, to quantify need and to identify the kind of overall, the service was robustly development which would best suit Westray. It was decided that a ‘housing managed and sought to measure its model’ of care was required and Orkney Islands Property Developments performance and improve on it. The Ltd (OIPDL), was invited to build a project which had been designed by the inspectors described the council’s community, the council’s social work department and NHS Orkney, working performance in adhering to national closely together. standards as ‘impressive.’

The community was consulted about the development of the care centre, Housing including the design and layout, and there was a public vote on the design of the stained-glass window. The result was a single roofed structure which The council needs to improve contains five individual properties and a respite facility. It provides care, its housing service. The service up to  hours per day, for those living there and also acts as a centre was subject to inspection by for a range of community activities. The centre offers accommodation for Communities Scotland in 00, younger people with disabilities as well as older people, retaining people in which identified ‘poor’ performance their own community in Westray. in the property maintenance and homelessness services and Those who live at Kalisgarth are tenants of OIPDL, not residents like in a ‘fair’ performance in housing residential care home. Funding for the project came from Communities management. The council has Scotland, which provided a grant to OIPDL, and private borrowing. This a clear action plan to address covered the housing elements. The non-housing elements were paid for by identified weaknesses. The the council. The project is proving very popular and now has a waiting list. council’s local housing strategy The council’s scheme to train local home helps as potential staff won a focuses on the need to ensure runner-up award in the first ever national care accolades. an adequate supply of affordable housing to sustain communities. Source: Orkney Islands Council 126. Supporting the development of sufficient, suitable and affordable housing is identified as a key priority 123. In 007, a joint inspection by the need for the agencies involved for the council. Orkney has a total HMIE and SWIA of multi-agency to improve the way information is housing stock of around 9,900 services to protect children and recorded and shared, and the need properties, of which around 00 are young people in the Orkney Islands to make more use of monitoring owned by the council. The level of Council area identified six key and management information. The owner-occupied properties, at 7 strengths, including prompt action by inspection uses a six-point scale to per cent, is higher than the Scottish professionals in response to concerns rate services ranging from ‘excellent’ average of  per cent. raised about children’s safety and the to ‘unsatisfactory’. The service was ways in which young people were rated ‘very good’ on two indicators 127. The housing service has 7 staff listened to and involved in developing (level ), ‘good’ on eleven (level ) and who are responsible for both the services. The inspectors identified ‘adequate’ on five (level ). strategic housing function and the

 Report on Orkney Islands Criminal Justice Social Work Services, Social Work Inspection Agency, 007. 

council’s landlord service. Gross expenditure on council housing for Exhibit 12 00/07 was £.7 million, which is Results from Communities Scotland inspection of the council’s met from rents and other income. housing service Net expenditure on other housing functions for the same period was Housing management C Fair around £00,000, mainly relating to homelessness services. The council has Property maintenance D Poor fully paid off its capital housing debt. Homelessness service D Poor

128. The council’s housing service Source: Inspection Report, Orkney Islands Council, Communities Scotland, October 2006 was subject to inspection by Communities Scotland in 00 (Exhibit ). The inspection rated housing management as ‘fair’, • Delays in assessing homeless in Orkney. The council’s local housing identifying some strengths but also a applications and inappropriate strategy (LHS) recognises this key number of areas for improvement, a closing of homeless cases. issue and the need for the council small number of which are significant to work in partnership to revitalise weaknesses. The significant • Homeless people are having to the housing stock and provide a weaknesses related to housing stay in temporary accommodation mix of tenures to meet the needs allocations and the lack of effective for very long periods. of communities. In commenting planning, performance management on the LHS, Communities Scotland and reporting. • The council is not making use of recognised the council’s inclusive its own housing or maximising approach to involving partner agencies 129. The council’s property the opportunities from the local in the LHS process through its maintenance service was graded housing association in securing housing development forum, and as ‘poor’ with major areas where permanent accommodation. subgroups. improvement is needed. These included poor performance in 131. The council responded to the Waste management completing repairs on time, a lack of report by producing an action plan tenant involvement in shaping the to address identified weakness. The council is making good repairs service, and the absence of Improvement actions are also progress in achieving the both a clear strategy for developing incorporated into service plans. community plan objective of the service and a robust approach A subsequent inspection of the ‘promoting the waste hierarchy to assessing performance. Demand homelessness service by the Care of reduce, reuse and recycle’. It is on the construction sector in Orkney Commission identified a number implementing a range of initiatives has created difficulties in securing of strengths in the service. Areas and service developments to improved performance from local for development included more improve waste management. repairs contractors and the council systematic approaches to staff training. has been unable to secure additional 134. The council is working well to internal or external capacity. Despite 132. The SPIs relating to housing increase the level of recycling. Since this, it is making some progress, with indicate a mixed picture of 00/0, the proportion of municipal planned improvement actions including performance. The council performs waste collected by the council that combining housing and general well in terms of tenancy changes, rent was recycled has increased from property maintenance functions. arrears and rent management (often . per cent to 7. per cent. This ranking in the top quartile), however, it exceeds the national target of  130. The inspection found performs very poorly in relation to the per cent but is below the national weaknesses in the council’s planning homelessness SPIs. average of . per cent. Kerbside and performance management recycling collection services provide framework for the homelessness 133. The biggest strategic issue facing a fortnightly service in main towns service. Overall, the homelessness the council in terms of its housing and villages, collecting paper and service was assessed as ‘poor’ for function is the need to provide glass. The council also provides a the following reasons: affordable housing to encourage local service for bars, restaurants and hotel people to stay in the area, contributing businesses, collecting glass, cans and • Access to the homeless service to the corporate objective of vegetable oil. is poor. sustaining communities, and to attract people who are seeking employment Part 3. How are services performing? 29

135. The council has low landfill rates Sustaining communities strategy and establishing a shared as the bulk of its waste is shipped to inter-agency database of relevant the Shetland Islands for incineration Sustaining fragile communities performance indicators. at the Greenhead waste-to-energy is a key strategic priority for the plant. It aims to reduce the volume of council and its partners. The council 141. The Islands’ culture and waste sent to Shetland; the councils undertakes a range of activities to historic and archaeological sites are have agreed a minimum of 5,000 support this objective. However, important to both the social vibrancy tonnes per annum as the incineration this activity is not systematically of communities and the economic plant would not be viable below this coordinated, managed and sustainability of the Islands through level. Tonnage shipped increased monitored to ensure resources are tourism and the arts business sector. from 8,545 tonnes in 2001/02 to appropriately targeted and desired The council and the CPP promote 9,982 tonnes in 2006/07, but has outcomes are achieved. the protection and development of decreased recently as the council’s the arts and heritage of Orkney, and waste strategies have started to have 138. Sustainability is an acutely its communities. The community an impact. important issue for the Orkney Islands plan, corporate strategic plan, draft due to the remoteness and sparsity of arts strategy and heritage strategy all 136. In 2006, the Westray many communities. There is a trend relate the value of arts and heritage Development Trust won an Eventful of people moving from the remoter to social and economic prosperity. Scotland award for its initiative using island and rural areas towards the The council reflects the importance of collected cooking oil refined to bio- larger communities on the Orkney the arts and the Islands’ heritage to diesel to fuel its community bus. mainland. Between 1991 and 2001, sustainability in its service structure, The council has encouraged and the population of Orkney’s smaller with arts and heritage placed within assisted this initiative. The council has islands declined by between two the development services team. introduced a green cone scheme to and 36 per cent (2001 Census). reduce the volume of food waste that The council and its partners are 142. The council works closely with requires collection and transportation strongly engaged with tackling Highlands & Islands Enterprise Orkney as general refuse. sustainability issues. (HIE Orkney) on projects and initiatives to promote economic development 137. In 2004/05, the council was 139. The council aims for all and economic diversification. The ranked 29th at £67.65 for the net cost communities to have access to two agencies work well together per property of refuse collection. By the services they require. Many using their different strengths to 2006/07, the council had improved this services, such as homecare or waste best advantage. Joint initiatives cost to £65.80 and is placed 18th of collection, do not compare favourably include the ‘Orkney the Brand’ the 32 authorities. The cost of refuse on cost with other authorities or (OtB) scheme, which has been disposal remains high. In 2004/05, the the private sector, and often there a successful marketing approach council was ranked 30th at £86.12 for are limited alternative providers. The supporting businesses from different the net cost per property for refuse council seeks approaches that are sectors across the islands (Exhibit 13, disposal. In 2006/07, the council is proportionate and practical for the overleaf). still in the lower quartile of authorities provision of services, and supportive and is placed 27th, with an increase of communities. For example, there 143. The council and HIE Orkney to £87.89. The geography, population is an innovative approach to engaging also work closely and successfully spread of the Islands and the cost of community councils in monitoring on supporting major regeneration shipping waste to the Orkney mainland and reporting road maintenance and economic diversification. This and then to the Shetland Islands make requirements and coastal erosion. has included investigating the viability it a particularly costly process. The and promoting the development of a council performs well in relation to 140. The council and its partners container ship transshipment port in street cleanliness and is ranked fourth undertake a wide range of activities Scapa Flow (Exhibit 14, overleaf). Use in Scotland on this indicator. which contribute to maintaining fragile of the Flotta Oil Terminal by the North communities. This includes promoting Sea oil industry is declining and this economic development and will have a significant impact on the publicising the area’s archaeological local economy. The importance of this and cultural heritage. However, development has been recognised by this work is not coordinated or the Scottish Government, which has systematically monitored. The council identified the project as a significant is beginning to develop a more national development in the draft coordinated approach, including National Planning Framework. drawing up a sustainable development 0

Exhibit 13 • Hosting the Northern and Western Orkney the Brand Isles Energy Efficiency Advice Centre, which promotes energy Orkney Enterprise and the council developed a programme of marketing and conservation. promotional projects under the overall banner of Orkney the Brand (OtB). 146. The council has not yet The scheme predominantly promotes and markets Orkney as a location and embedded systematic consideration publicises Orkney businesses through initiatives such as displays at major of environmental impact in its agricultural and consumer shows. Other activities have included encouraging decision-making. There are, however, media visits. The scheme has been well received and widely adopted by at this early stage, some positive local businesses. Industry groups such as Orkney Quality Food & Drink, signs of progress. The community Orkney Craft Industries Association and Orkney Renewable Energy Forum plan has been through a formal are involved in the programme. Strategic Environmental Assessment (SEA) process. Subordinate policies, OtB supports projects which contribute to the development of Orkney as a plans and strategies are also now brand. The overall aim is to promote confidence in the business community required to go through this formal and encourage investment in new business opportunities. The operational process. This will include the new objectives are: corporate strategic plan and local plan. A number of draft strategies have • increase collective marketing, particularly focusing on key growth sectors already been through this process, of food and drink, tourism and jewellery including the draft arts and heritage strategies. A specialist post is in place • further develop joint marketing by Orkney businesses and organisations within the council to take a lead role through press visits, buyer visits and consumer promotions in SEAs. • implement a brand-building programme for Orkney, both locally and internationally; and, external to Orkney Transport • improve the marketing capacity of businesses and trade organisations. The council works well with public In 00, a consultation exercise was undertaken with the business sector and private sector partners to to gauge support and determine the future direction for OtB. Considerable maintain transport links. Lifeline support was expressed by local businesses. Over the past three years, OIC services are operated by sea and HIE Orkney have both contributed £70,000 each annually to the scheme. and air, connecting islands to the In 00/07, this partnership has purchased the company name of ‘Orkney Orkney mainland and connecting the Brand,’ which will assist in ensuring control of this valuable marketing Orkney to mainland Scotland. The tool. An assessment by economic and development consultants estimated council compares relatively well in 00 that the cost-to-benefit ratio of the partners’ investment to the with others on road condition but economy was then :. performance is deteriorating.

Source: Orkney Islands Council, Audit Scotland 147. The council is a member of HITRANS (the Highlands & Islands Regional Transport Authority) and 144. The council has implemented • The highest level of waste works well in partnership with the a number of initiatives to improve diversion from landfill among Scottish Government to ensure lifeline energy efficiency in its own buildings, Scottish authorities. services are maintained and that including physical improvements and people are not disadvantaged from auditing its energy usage. It recently • Developing specific strategies to living in remote island locations. produced a Carbon Management address environmental impact, Strategy to focus on minimising such as biodiversity plans, a 148. The council has direct carbon emissions. It has also offered Carbon Management Strategy, and responsibility for the provision of to share its expertise with NHS an Energy Management Strategy internal ferry and air services between Orkney, which has responded well, for the council’s estate in 007. its islands. This presents unique engaging in a number of schemes. challenges in terms of funding and • Establishing a renewable energy logistics. The ferry service is provided 145. The council is also, with partners, projects fund. by a company that is wholly owned actively promoting environmental by the council. Inter-island air services sustainability in a number of ways: are provided by a private company under a public service obligation contract. The cost of operating internal Part . How are services performing? 

ferry and air services is met by the Exhibit 14 council with the support of specific Scapa Flow Container Transshipment Project grant funding from the Scottish Government. Scapa Flow is a natural deep-water harbour with established marine 149. The internal and external ferry facilities. Since 97, the Flotta Oil Terminal has been receiving up to ten networks are essential in bringing per cent of North Sea oil by pipeline, where it is stabilised then loaded onto supplies to the Islands and exporting tankers. The council and the local economy have benefited greatly from this goods for sale off the Islands, as but the council recognises that oil revenues are set to decrease in coming well as enabling people to travel years. The council is seeking alternative uses for the natural resource of for business and social purposes. Scapa Flow. The air service is necessary to maintain daily access to and from The council is currently working with partner agencies and the private the small, remote islands, which sector to develop Scapa Flow as a container hub. The project has the improves their economic and social potential to generate significant economic activity in Orkney, making use viability. It enables people to travel of existing services such as the towage and pilotage provided for the Flotta with reasonable journey times and Oil Terminal. The aim is to grow the hub business at the same time as oil- contributes to maintaining quality related employment is contracting. of life for those on remote islands. In particular, air transport enables From the start, it was understood that this project would have to be specialist teachers to travel to the undertaken by the private sector. The Crown Estate has expressed interest larger islands. This makes it possible in the possibility of investing in infrastructure, and a willingness to contribute to sustain the junior high schools, to the cost of some of the preparatory studies. Currently two important which make a significant contribution pieces of work are under way, paid for jointly by the council, HIE, and the to the social fabric of the Islands. Crown Estate. The first is a scoping study for the Environmental Impact Assessment (EIA); the second is a major market study, commissioned from 150. The council has drawn up a local experienced shipping consultants, to assess the validity of the concept. transport strategy for 007-0. This recognises the key role of integrated To date, the project has demonstrated partnership between the public transport to support people travelling authorities (the council and HIE) in promoting the project, with private sector between the Islands and the mainland help where possible. There is a clear understanding that the development without over-reliance on cars. The and operation of the terminal have to be undertaken, or at least led, by the number of cars carried on internal private sector, and therefore the public partners are directing their efforts at ferries has grown steadily since 999, attracting private sector interest. although the figure dipped slightly in 00, reflecting that ferry services are Source: Orkney Islands Council, Audit Scotland reaching capacity on some routes.

151. All transport projects require to department benchmarks charges of the network that should be be appraised using guidance issued with commercially operated ports considered for maintenance rising by the then Scottish Executive. and balances this with ensuring wider from . per cent in 00/0 to The council produced a preliminary economic viability, for example, in . per cent in 00/07. appraisal report in 00 which attracting cruise liners to dock in identified a number of options for the area. 154. The council faces difficult supporting its strategic objectives of decisions in prioritisation of its sustaining fragile communities and 153. The road network is a financial resources, and the long-term ensuring social inclusion. fundamental part of the overall management of its road network transport infrastructure of the Islands, features in this. However, if the 152. The council also acts as providing essential links to ferry and decline in the road condition is not harbour authority with responsibility air services. It therefore contributes quickly arrested, the council risks a for maintaining and operating significantly to the sustainability of the rapidly increasing cost to bring the harbours and piers throughout the Islands. The council compares well roads back up to standard. Islands, including the major harbour with other councils on the SPI that undertaking at Scapa Flow oil port. indicates the condition of the road In connection with the oil port, the network, ranking eighth. However, the council operates pilot and towage SPI shows a steady decline over the services, the latter through a wholly past three years, with the percentage owned company. The harbour 32 Part 4. What needs to improve? Part 4. What needs to improve? 33

Orkney Islands Council is making Orkney Islands Council’s improvement agenda good progress with corporate improvement planning and has a • Develop a detailed programme with targets and timescales to support sound track record of responding the council’s improvement agenda. positively and effectively to audit and inspection recommendations. • Work with partners to develop a strategy to address skills gaps through The council displayed a high level a structured training and development programme and by identifying of awareness of the areas that where additional temporary capacity would be appropriate. need to improve. In particular it • Ensure that the new corporate plan contains clear targets and measures recognises that corporate best of success, and is supported by a detailed action plan to support delivery value processes need to be of key objectives. embedded to drive service improvement. The council also • Establish an effective corporate performance management system recognises the need to significantly with measures of cost and quality across the range of council develop corporate performance services, including measures of the cost and impact of sustaining management and strategic fragile communities. resource management. • Develop the role of elected members in leading Best Value, in particular through improving the scrutiny of performance. 155. Continuous improvement in public service and governance • Develop the role of the CMT in providing strategic leadership and lies at the heart of Best Value and monitoring and driving performance improvement. Community Planning. Local authorities • Develop strategic resource management to ensure resources, must develop an improvement culture including: finance, assets, workforce and ICT, are focused on delivering across all service areas. Elected key priorities. members and officers have to focus on policy objectives and the needs of • Increase the level of challenge to existing ways of doing things to service users and communities. They ensure that services provide best value and are designed around the must be driven by a desire to achieve needs of users. the highest possible standards in • With Community Planning partners establish a common set of corporate service delivery. This requires a culture performance management arrangements to establish a monitoring where areas in need of improvement framework for strategic objectives, ensuring that each partner’s are identified and openly discussed, contribution is clearly specified and measured. and in which service performance is constructively challenged.

156. Orkney Islands Council provided 157. The council benefits from having an accurate self-assessment which an open culture, enabling it to identify recognised the need to improve and address areas for improvement. significantly its approach to Best However, it is essential that elected Value. The council has much to do members and the corporate to establish and improve systems to management team lead Best Value support Best Value and to develop more visibly and maintain momentum more customer-focused approaches in implementing the council’s to service delivery. It has a committed improvement agenda. workforce but it needs to do more to identify and harness the skills 158. The best value improvement available to it. It also needs to identify agenda sets out the key areas on and address shortfalls in capacity which the council should focus for delivering its improvement going forward. It is consistent with programme. the council’s self assessment of improvement areas and many of the actions required have already been built into the council’s corporate improvement plan. Orkney Islands Council

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