The Vale of Glamorgan Council
Cabinet Meeting: 22 June, 2015
Report of the Leader
Senior Management Restructure - Development Services and Visible Services and Housing Directorates
Purpose of the Report
1. To request that Cabinet considers and approves revised senior management arrangements for services within the Development Services and the Visible Services and Housing Directorates and to refer relevant matters for approval by Council.
1. That Cabinet approves the revised senior management arrangements as set out in paragraphs 16 to 25 of this report and including the deletion of posts as referred to in Appendix D
and the creation of posts as set out in Appendix E
2. To approve the grading of all posts as set out in Appendix E with the exception of posts referred to in recommendation 3 below.
3. That the grades of posts for the new post of Director of Environment and Housing Services and Head of Regeneration and Planning as set out in Appendix E are referred for approval by Council on 24 June 2015.
4. The subject to 1 to 3 above, Cabinet approve arrangements for the progression of the appointment and assimilation arrangements as set out in paragraphs 28 to 36.
5. That subject to 1 to 3 above, Cabinet refer any consequential changes to the Council's Constitution for approval at the Council meeting in September.
6. That recommendations 1 to 5 above be dealt with under Article 13.09 of the Council's Constitution (Urgent Decision Procedure).
Reasons for the Recommendations
1. To ensure sustainable senior management arrangements for services within the Development Services and the Visible Services and Housing Directorates following the appointment of the former Director as Managing Director from 1st May 2015.
2. As 1 above
3. To ensure compliance with the requirements of the Local Authorities (Standing Orders) (Wales) Regulations 2014.
4. As 1 above
5. To ensure provision of appropriate delegations as a consequence of the proposals within this report.
6. To ensure the grading decisions can be approved by Council on the 24 June 2015, the progression of the assimilation arrangements and ultimately the putting in place of sustainable management arrangements (as set out in 1 above) as soon as possible.
2. Members will be aware that the appointment of the Director of Development Services as Managing Director from 1 May 2015 presented an opportunity to review the structure of that Directorate and the management of the associated services.
3. As an interim measure, the Director of Visible Services and Housing was asked to manage the Directorate of Development Services alongside his current duties with effect from 1 May 2015. This was approved by Cabinet on 27 April 2015 pending a review and the consideration of longer term and more substantive proposals.
4. The review has now taken place over the last 6 weeks and proposals have been framed in consultation with all affected staff, the recognised trade unions, the Corporate Management Team and all Group Leaders.
5. The proposals in this report have been put together on the basis of the following principles and imperatives for change:-
The need to build resilience and capacity in areas within Development Services which have been subject to reducing employee numbers and increasing workloads.
The particular need to build strategic capacity and increase focus in relation to the Council's regeneration priorities.
The need to build in greater capacity at Head of Service level within the Visible Services and Housing Directorate to support the Director on both operational and strategic issues and priorities.
The need to exploit operational and strategic synergies across the Development Services and Visible Services and Housing Directorates and improve service efficiency.
The need to provide management oversight of the newly created Shared Regulatory Services function from 1 May 2015 and as part of the Council's "host" employment responsibilities.
The continuing need to respond to current financial challenges and contribute to savings targets for 2015/16.
7. A copy of the current management structure across the two Directorates is given at Appendix A.
8. A number of options were considered as part of the review and having regard to the issues and principles as set out above. A summary of such options is set out in the following paragraphs.
Option 1: Retention of the post of Director of Development Services
9. This would have been included the replacement of the position of the Director of Development Services on a "like for like" basis. The option would have had the advantage of structural continuity, the minimisation of disruption and uncertainty and could have been progressed relatively quickly.
10. The option would, however have missed the opportunity to exploit the synergies that exist between the Development Services and Visible Services and Housing Directorates and particularly in areas such as highway engineering and development, transport management and policy and parks and leisure management.
11. The option would have also not helped to respond to concerns about resilience and management capacity in the two directorates and particularly in relation to the required focus on regeneration priorities and the taking forward of other strategic initiatives.
Option 2: Merging of two Directorates
12. This option would have resulted in the merging of the Development Services and the Visible Services and Housing Directorates, the reduction of Director posts from two to one and the rationalisation of management capacity under the single Director post.
13. The option would have seen the creation of a single Directorate bringing together a range of policy based, statutory and operational functions previously contained within the two former Directorates and including:-
Housing and Building Services
Visible Services (waste management, cleansing, traffic and highway maintenance, parks and grounds maintenance and fleet/garage services
Shared Regulatory Services
Planning and Transportation Services (development and building control, planning and transport policy, regeneration, economic development and countryside services
Other various business support functions.
14. An organisational chart setting out this option and the associated management structure is given in Appendix B.
15. Whilst the option was structurally attractive it was felt that, on balance the merged directorate would have been too wide ranging and would not necessarily have assisted in managing the capacity of individuals or teams. Members will be aware of the need to address capacity in order to respond effectively to regeneration and planning priorities and take forward cross directorate strategic issues.
Option 3: Expanding the Directorate of Visible Services and Housing
16. The third option would involve the widening of the remit of the Visible Services and Housing Directorate to include those Development Service functions where specific links and synergies exist (e.g. highway development, leisure and transportation).
17. The role of Director of Development Services Director would be deleted but replaced with a Head of Service (as in option 2) to manage the regeneration and planning agenda but reporting directly to the Managing Director.
18. As in option 2 this would allow for a reduction in the number of Director posts (from two to one) and the rationalisation of management arrangements to exploit the service synergies, add additional management capacity and build resilience.
19. Unlike option 2, however it is felt that this option would provide a better balance of management across the range of functions, a logical differentiation between services and help to retain the focus on regeneration and planning priorities and other corporate initiatives such as the integrated transport agenda.
20. Having considered all options Members are asked to consider and approve option 3.
The proposal in detail
21. The main senior management implications of option 3 are as set out below:
Under this proposal, the Director of Development Services post would not be replaced and would be deleted from the establishment.
The Director role will be replaced with a new post of Head of Regeneration and Planning with a narrower port-folio and reporting to directly to the Managing Director.
Two Operational Managers would report to the new Head of Service. This will include an Operational Manager (Development Management) and an Operational Manager (Regeneration).
The role of Operational Manager (Development Management) would manage the statutory land use planning services of Development Control and Building Control alongside Planning Policy and Conservation and Design.
The role of Operational Manager (Regeneration) would manage areas within the remit of the current Operational Manager (Economic Projects and Countryside) alongside the additional areas of Tourism and Arts Development.
The Business Support Unit previously serving the Directorate would now serve the residual services within the remit of the new Head of Regeneration and Planning. The Project Management Officers (within the PMU) would also report directly to the new Head of Regeneration and Planning and continue to provide a cross cutting project management service.
The post of Director of Visible Services and Housing would be reframed as Director of Environment and Housing Services to include responsibility for Housing and Building Services, Visible Services but also the areas of Shared Regulatory Services, Leisure Management, Transportation and Transport Policy and Highway Development. The post would also take overall responsibility for the development of integrated passenger transport alongside the wider management of fleet and garage services.
The capacity issues raised as a result of the transfer of responsibilities would be mitigated by the creation of a new post of Head of Visible Services and Transport reporting directly to the Director of Environment and Housing Services. The postholder would take responsibility for those operational areas relating to Waste Management and Cleansing, Parks, Grounds Maintenance, Leisure Services, Traffic and Highway Development, Transport Policy and Integrated Passenger Transport.
Three Operational Managers would report to the Head of Visible Services and Transport. This would include the current Operational Manager (Waste Management and Cleansing), Operational Manager (Leisure Services) and Operational Manager (Highways and Engineering). The Operational Manager (Leisure Services) would manage the alignment of services between the Parks and Grounds Maintenance Service and Leisure services (including play and sports development) and the (Operational Manager) Highways and Engineering, the alignment of Traffic and Highways services with Highway Development.
The Head of Housing & Building Services and Head of Shared Regulatory Services would report to the newly designated post of Director of Environment and Housing Services but would be otherwise unaffected.
22. An organisational chart setting out option 3 and the revised management structure is given in Appendix C.
23. The list of current posts affected under option 3 is set out in Appendix D and the list of new posts is set out in Appendix E. If approved, the restructuring process will see the reduction of affected Chief Officer posts from eight to seven.
24. The grades shown for the proposed new posts at Appendix E have been determined following evaluation through the HAY Group evaluation methodology.
25. A copy of the proposed job descriptions and person specifications for all the relevant posts is given in Appendix F.
Feedback from consultation process
26. As indicated above, the senior management restructure proposals have been subject to a consultation process with the trade unions and all affected employees in accordance with the Council's managing change process and Avoiding Redundancy Policy. The process took place between the 15 May and the 14 June 2015.
27. The proposals have been refined to take on board certain comments and suggestions raised throughout the consultation exercise. Where this has not been the case the reason has been recorded and appropriate feedback given. A summary of all feedback received together with the responses to such feedback are set out in Appendix G.
28. Subject to consideration of the issues as raised in this report, it is now recommended that progress is made in taking forward the revised senior management structure and as refined through the consultation process.
29. It is suggested that the new structure if approved takes effect from 1st September 2015. This will allow time for the appointments process to commence and where appropriate and possible, appointments to be made.
30. Members will appreciate the need to progress these arrangements as soon as possible given the breadth of the management responsibilities across the two affected directorates and the need to ensure appropriate management capacity.
31. The arrangements approved by Cabinet on the 27th April 2015 were put in place as an interim measure only and, for the reasons set out in this report (see paragraph 15) are not felt to be sustainable in the medium to long term.
32. It is for the above reason that Members are asked to deal with the recommendations in this report under Article 13.09 of the Council's Constitution (Urgent Decision Procedure).
33. In accordance with the Council's constitution, appointment to the Director and Heads of Service post will need to be determined by the Senior Management Appointments Committee. This will be dealt with in accordance with the Council's Avoiding Redundancy procedures and the normal recruitment processes as is appropriate.
34. It is proposed that all other appointments are managed by the Managing Director with the support of the Head of Human Resources under similar procedural requirements.
35. The position of any manager displaced as a result of the assimilation and selection process will be managed in accordance with Avoiding Redundancy procedure and referred, if necessary to the Early Retirement/Redundancy Committee.
36. A further report will be submitted to Council in September 2015 to confirm changes to the Council's constitution as a consequence of the revised senior management arrangements including any necessary changes to the scheme of delegations.
Resource Implications (Financial and Employment)
37. The proposals within this report will see a reduction in the number of Chief Officer posts from eight to seven and a planned expenditure reduction of £70k p.a.
Sustainability and Climate Change Implications
38. There are no sustainability and climate change implications arising from this report.
Legal Implications (to Include Human Rights Implications)
39. The Local Authorities (Standing Orders) (Wales) Regulations 2014 require the Full Council to determine or approve changes to the salaries of officers designated as Chief Officers within the definition of the Local Government and Housing Act 1989.
40. The proposed posts of Director of Environment and Housing Services and Head of Regeneration and Planning would both fall within the above definition. Both postholders will report directly to the Council's Head of Paid Service and as a consequence would meet the provisions of Section 7(a) of the above Act.
Crime and Disorder Implications
41. There are no crime and disorder implications directly arising from this report.
Equal Opportunities Implications (to include Weues)
42. Any selection process resulting from the proposals in this report will be managed in accordance with the Council's equality proofed recruitment and selection policy, avoiding redundancy provisions and the requirements of the Local Authorities (Standing Orders) (Wales) Regulations 2014.
43. The proposals within this report have been designed to ensure the provision of effective senior management arrangements.
Policy Framework and Budget
44. The issues within this report are largely a matter for determination by Cabinet except for the determination of grades as set out in recommendation 3 which will need approval of Full Council on the 24 June 2015.
Consultation (including Ward Member Consultation)
45. The proposals within this report have been discussed with all Group Leaders, the Corporate Management Team, Senior Managers in both the Development Services Directorate and the Visible Services and Housing Directorate and the recognised trade unions.
Relevant Scrutiny Committee
46. Corporate Resources, Economy & Environment, Housing & Public Protection.
47. Report to Cabinet on 27 April 2015.
48. Report to Council on 17 December 2015
Rob Thomas, Managing Director
Corporate Management Team
Head of Human Resources
Senior Managers - Development Services Directorate
Senior Managers - Visible Services and Housing Directorate