Curtain

MITIE: benefiting the housing sector

Filed Under Country Curtain | Posted on January 12, 2008

At a time when theres a high in demand for affordable homes, how do service providers such as MITIE benefit the housing sector? As Southern Housing discovers, recruiting from the very communities they are working in can make a huge difference.

The sharp rise in UK house prices over recent years relative to income has heightened interest

in housing affordability. This, coupled with an increase in single person households, low income families, the unemployed and families in need of welfare development, has led to an all time high in demand for affordable homes, creating both the need for investment and better management of existing housing stock.

Even though the UKs social housing providers own and manage a combined housing stock of more than five million properties, the housing boom of the last decade has fuelled property prices beyond the reach of many in what is a growing populace.

Circa 40,000 more affordable homes are required in England each year (housing corporation: unlocking the door delivering more homes from the comprehensive spending review 2007), and with tenants demanding the quality accommodation that they rightly deserve, changes to the sector can potentially affect a huge percentage of the UKs population. Its not surprising, then, that social housing is high on governments agenda as well as that of organisations like MITIE, one of the UKs leading support services companies that delivers facilities, engineering and property services.

MITIE has been at the front of the social housing sector for the last 20 years, partnering with local authorities, arms length management organisations, housing associations and other registered social landlords. In that time, MITIEs profile has grown considerably, and the company has firmly established itself as one of the strongest performing partners to the sector.

There is no substitute for the sort of experience MITIE has gained through its many years at the forefront of social housing. During this time the company has achieved unrivalled know-how in helping to make improvements happen, in ways that are sustaining.

communities through growth and change. So how do providers such as MITIE benefit the social housing sector, aside from making tangible improvements through projects such as the Decent Homes programme? Bill Robson, Managing Director of MITIEs property services division, explains that companies can also make a difference by recruiting from the very communities that they are working in:

The sector has changed remarkably over the last 20 years. Many aspects have altered, from the ways that housing providers operate, the budgets available to them and the number of LSVTs and mergers that have taken place, through to the rising number of affordable homes needed.

He continues: The Hills report has identified a significant link between people dependent on social housing and worklessness. As a company that works closely with the UKs social housing providers, we do our very best to encourage prosperity among the communities we are working in; creating jobs for local people, bringing investment to neighbourhoods and by procuring goods and services locally.

We think of it as %26lsquo;demand creating its own supply, where a little rise in spending can lead to an even greater incr ease in the prosperity of the local economy. We employ local people in construction jobs so they can improve their own neighbourhoods, and this has numerous benefits for all parties.

MITIE puts its energy into supporting communities where improvement is most needed, working with partners to create better places that have a huge impact on where people live. Its focus is on raising standards of living by improving housing and urban spaces so that whole neighbourhoods benefit from the positive social outcomes that this brings.

The company also recognises that to make neighbourhoods really work, entrepreneurial spirit is to be encouraged, especially in areas of high unemployment. Entrepreneurialism is central to the culture of MITIE (Management Incentive Through Investment Equity), and continues to be pivotal to our growth and success today.

MITIE also recognises that creating better futures is about equipping young people with sustainable skills and long-term opportunities, which is why MITIE has set up seven Skills Centres in schools throughout the UK, with the eighth centre opening later this year. The centres are used by the schools to teach BTEC in Construction and the Built Environment at certificate and diploma levels, each being nationally recognised qualifications in construction.

As well as converting classrooms into practical teaching spaces, MITIE has provided students with tools, equipment and uniforms to help them to achieve qualifications that will stand them in good stead.

As well as understanding the importance of education in creating sustainable communities,

MITIEs work with social housing providers is helping to create communities that are neighbourly and where wellbeing and prosperity thrives. So much so that the National Housing Federation has recognised MITIEs achievements by allowing the company to be the first %26lsquo;for profit organisation to sign up to iN Business for neighbourhoods, which is a long-term change programme to promote better homes and neighbourhood services. Both organisations have committed to work closely to ensure decent homes are surrounded by decent neighbourhoods.

In Business for neighbourhoods encourages housing associations and organisations like MITIE that work closely with them, to commit to supporting neighbourhoods; putting residents and

communities at the heart of everything they do and promoting excellence in service delivery.

Robson explains that for MITIE, social housing is not only about providing a locally based Decent Homes and maintenance service for tenants. Its also about creating jobs, helping social enterprise and focusing on the little things that really make a difference, like scheduling maintenance work to timed appointments. Its a simple thing but one thats very important. We now organise repairs around tenants, so our service is more convenient to them, he adds.

MITIEs approach is one which is fully integrated, recognising that some customers prefer to work with organisations that specialise in their sector. Social housing providers are one such customer and MITIEs property services division has structured its business to ensure their needs are met.

The companys aim is to bring about longterm relationships to create improvement in efficiency, to eliminate waste and to engender business partnerships where trust and achieving mutual objectives are paramount.

MITIE works with social housing providers which have a combined housing stock of over 800,000 homes. Its contracts range from carrying out responsive maintenance for Milton Keynes Council, Decent Homes installations on behalf of Poole Housing Partnership, Southampton City Council and Magna Housing Association, and painting homes for Dudley Metropolitan Borough Council, to providing a repair and maintenance service for Birmingham City Council, the largest registered social landlord in England.

In fact, MITIE works with over 150 social housing providers throughout the country and completes some 500,000 repairs per year. Last year it painted circa 50,000 properties, reinstated 12,000 homes and modernised approximately 20,000 dwellings via Decent Homes programmes - and the numbers are continuing to grow.

In addition, MITIE has led the way in pioneering the next generation of partnering agreements within the sector. The new approach delivers a more efficient and cost certain method for completing maintenance and for reinstating void properties and the results have been tremendous.

The project is a five year partnering agreement with Milton Keynes Council and HBS, the councils service delivery partner. The contract includes bringing approximately 1,200 empty properties up to a lettable standard and completing circa 40,000 responsive repairs each year for a housing stock of some 12,000 homes, which are spread across a large geographic area.

A %26lsquo;Systems Thinking approach has been the catalyst in achieving a more sophisticated service for housing maintenance and improvement works.

Robson explains: Our capability is now directed at completing the work rather than on achieving traditional KPIs or targets. Equally, by agreeing an annual budget and profit margin beforehand, we have created the right conditions and the right behaviour to deliver improved efficiencies in our work. Through this new culture, our efforts are focused exclusively on activities that are more beneficial to tenants rather than on tasks that add no value.

An 18% increase in productivity for responsive repairs has been achieved this being considerably higher than Gershons recommended efficiency gains of 2.5% per year for local authorities. And, because productivity has further improved, the additional capacity created in MITIEs resources means that 20 more repairs per day are now completed on the contract.

By accurately measuring the real end to end time taken to complete each request for repair (from the tenants initial phone call to the last tradesmen completing the work and the repair remaining fixed) MITIE aligns continuous improvement with what matters most; peoples wellbeing and the very purpose of social housing - to create decent and thriving communities.

Working as a team alongside other private companies, community groups and professionals, MITIEs work with the UKs social housing providers is not only creating some of the best and most innovative practice out there, it is also helping to create better futures; a society of sustainable communities that are neighbourly and where wellbeing and prosperity thrives.

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