EMPLOYMENT RELATED SUPPORT SERVICES FRAMEWORK AGREEMENT MINI COMPETITIONS FOR THE PROVISION OF THE WORK PROGRAMME

Invitation to Tender Form

Tender Round title: Organisation Name: Lot: Contract Package Area (CPA):

The Work Programme Ingeus UK Limited 9 CPA 5 North East

PART 1: ORGANISATION DETAILS

[1.1] Your response to Part 1 is for information purposes only. If any of this information has changed since the Framework Agreement application stage, please state this within the table below including a short explanation as to why. If you cannot provide any of the information below please explain this within the table. DWP will not be responsible for contacting anyone other than the persons named in this part of your form. If any of this information changes during the bidding period you must inform DWP of the changes by email to: WORK.PROGITTCLARIFICATION@DWP.GSI.GOV.UK Name of the Legal Entity in whose name this tender is submitted and with whom DWP will contract: Trading Name (if different from above): Company Registration Number: Company Registered address: Head Office Address, if different: Ingeus UK Limited Ingeus UK Limited (referred to in bid as Ingeus-Deloitte) 4320853 29 Ludgate Hill London EC4M 7JE The Registry 3 Royal Mint Court London EC3N 4QN Ingeus UK Limited 799246858 www.ingeus.co.uk

VAT Registration Number: Website Address (if any):

Name, address and company registration number 1) Ingeus Ltd of parent company, where applicable: GPO Box 3208 Brisbane Queensland Australia, Registration number ABN 46 010 948 731 2) Deloitte LLP 2 New Street Square London EC4A 3BZ Name and Job Title of main contact: Address: [REDACTED] Director of Business Development The Registry 3 Royal Mint Court London EC3N 4QN [REDACTED], [REDACTED],

Telephone no: Mobile telephone no:

Fax no: E-mail address: Alternative contact Name and Job Title: Address (if different from above): Telephone no: Mobile telephone no: Contact e-mail:

[REDACTED], [REDACTED], [REDACTED], Chief Operating Officer [REDACTED], [REDACTED], [REDACTED],

PART 2: TENDERER DECLARATION

[2.1] You must complete this Declaration by Tenderer. Failure to include this declaration may result in your bid being disqualified. To: The Secretary of State for Work and Pensions

For the benefit of the Department for Work and Pensions, we hereby warrant and undertake as follows: 1. We have examined, read, understand and accept in full the proposed Contract documents and all other documents and Annexes provided with this declaration and the clarifications issued during the Invitation to Tender period. 2. We have completed and submitted all information required in the Invitation to Tender Form in the format and order required. 3. We confirm the information set out in our response is complete and accurate to the best of our knowledge and belief. 4. We hereby acknowledge and agree that we have read, understand and accept the Work Programme Call-Off Terms and Conditions, the Work Programme Specification and the draft Order Form. [REDACTED] Scanned Signature: Date: Name: Job Title: 12/02/11 [REDACTED], Chief Executive Officer, Ingeus UK Limited Ingeus UK Ltd

Duly authorised to sign Tenders on behalf of:

Name of Organisation: Ingeus UK Limited

PART 3: THE WORK PROGRAMME CALL-OFF CONTRACT TERMS AND CONDITIONS - ALTERNATIVE AND/OR ADDITIONAL CLAUSES
[3.1] 3.1 The terms and conditions of The Work Programme will be the Standard Call-Off Terms and Conditions (set out in Schedule 4 of your Framework Agreement), as modified by The Work Programme service requirements (The Work Programme Additional Requirements). The Work Programme Additional Requirements are set out in the Call-Off Terms and Conditions for The Work Programme which is supplied with your Invitation to Tender. A document highlighting the modifications made to the Standard Call-Off Terms and Conditions to reflect The Work Programme Additional Requirements is also supplied with your Invitation to Tender; for ease of identification, the changes made since the draft version issued on 8 December 2010 are shown in boxes within the document. Any proposed amendments to The Work Programme Additional Requirement must be detailed by completing the section below, giving full details of the clause(s) you wish to amend and your proposed amendments. DWP will consider proposed amendments strictly on their merits. Please note that you may only propose amendments to The Work Programme Additional Requirements; proposed amendments to the Standard Call-Off Contract Terms and Conditions will not be considered.

3.2

3.3

Comments on The Work Programme Additional Requirements: MINI COMPETITION ADDITIONAL REQUIREMENTS (For Framework Supplier Comments only) No. of the clause(s) you Proposed amendment with proposed wording wish to amend Clause 2.13.7 (Performance We are content with the performance improvement Improvement Process) process specified, and would welcome further clarification from the Department regarding presumed management escalation prior to termination. Clause 3.1.10 (Fees and Payment) Could the Department confirm that the grossing-up provisions in clause 3.1.10 relate to those checks carried out under clause 3.1.9, and also provide some clarification on what opportunity there may be for a Prime Contractor to submit additional evidence as part of this process? Could the Department clarify that any breach of clause 6.1.9 would be treated the same as other breaches, for the purposes of determining whether or not it is material?

Clause 6.1.9 (Transfer and Sub-Contracting)

Clause 7.1.1(k) (Liability, Indemnity and Insurance)

We would like to propose an amendment to this provision to introduce a liability cap, in line with the other liability caps in the contract.

Clause 8.8 (Business Continuity)

We would welcome an opportunity to discuss with the Department how management escalation processes would operate, prior to the Department choosing to exercise its rights under 8.8.4.

Other than those provisions identified above, Ingeus UK Limited confirms that it has reviewed the Call-Off Terms and Conditions for The Work Programme and agrees in principle to each of their provisions.

Name: Scanned Signature: Position: Telephone No: Date:

[REDACTED], [REDACTED], CEO Ingeus UK Limited [REDACTED], 12/02/11

DWP reserves the right to amend any provisions of The Work Programme Additional Requirements at any time during the mini-competition procurement exercise.

PART 4:

SERVICE REQUIREMENT

NOTE: MINIMUM SCORE APPLIES TO ALL QUESTIONS THAT ATTRACT A SCORE WITHIN THIS SECTION. BIDS SCORING 2 OR LESS ON ANY QUESTION WITHIN THIS SECTION WILL BE REMOVED FROM THE COMPETITION. PLEASE NOTE SCORES ATTAINED IN THIS SECTION MAY ALSO BE USED IN A TIE-BREAK SITUATION WHERE APPROPRIATE.

[4.1] Customer Journey - Process Please submit a process map showing the proposed end to end customer journey(s) and attach the process map as Annex 1. This should include a detailed supporting description of the customer journey(s) specific to this CPA. Your response must describe how you will ensure the customer journey is tailored to meet the specific needs and barriers of individual customers, and include the customer requirements defined in the Specification. Please note your response to this question will not be scored but will act as a reference point for the scoring of questions 4.1a and 4.1b Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to five sides of A4. Note: Format requirement and page limit does not apply to the process map which you must insert as Annex 1.

4.1 Ingeus-Deloittes Every Day Counts delivery model will provide every Work Programme customer in the North East with a tailored and intensive package of support, designed to quickly address complex barriers to work and provide a fast and effective route to sustained employment. Every Day Counts will harness the knowledge and expertise of a range of local providers and will prioritise high levels of intensive activity to increase speed to placement. Every Day Counts is designed for all customer groups including those on Job Seekers Allowance (JSA), Employment Support Allowance (ESA), Incapacity Benefit (IB) and Income Support (IS). The intensity of support and choice of interventions will be tailored to each customers individual needs. Appropriate levels of mandatory activity will apply to key steps and JSA customers will experience increasing conditionality throughout the programme. All customers, but particularly those in receipt of ESA, IB and IS, will receive holistic support to address their constraints to employment which may include poor health and caring commitments. Our core model has been adapted to meet the particular requirements of customers in the North East and will be used by our supply chain across the entire region. Every Day Counts incorporates four specially developed stages: Diagnostics, Intensive Support, Skills Plus and Breakthrough. On entering employment, customers will automatically graduate to the Careers Academy, where they will receive a tailored package of support to help them remain in employment and build a sustainable career path. Each Stage of Every Day Counts will be underpinned by: the personal support of an Employment Advisor (EA); intensive job-searching activities with automated vacancy notification; tailored employer engagement; work placements; a range of skills options; practical face-to-face assistance from specialists in our Health & Wellbeing service; advice and support on issues such as debt and substance misuse from our Accessible Community Experts (ACE) Network; and access to our innovative online job-search and matching support tool, Invisage. Every Stage on the programme is focused towards the work outcome and customers will be encouraged to find employment at the earliest suitable opportunity. Transitions between Stages will be marked by a Review and Refresh appointment at which the customer and EA will assess progress and identify next steps. Customer Referrals Our dedicated PRaP team will process all Work Programme referrals from Jobcentre Plus (JCP). They will ensure that customers are contacted within 24 hours of being accepted via PRaP and will aim to set up an appointment with an EA within five working days of referral. Our team of Outreach Advisors (OAs) will conduct community outreach to local childrens centres, schools, GP surgeries and health centres to engage IB customers who have not yet transferred to ESA, and those in receipt of IS, including lone parents with children under five. OAs will be trained in engagement techniques and will build trust and rapport with customers who may not otherwise access a mainstream employment service. They will also liaise with local Jobcentre Plus (JCP) sites to oversee the smooth processing of referrals, and troubleshoot any issues. They will provide JCP staff with materials to promote the benefits of our Work Programme service and help engage voluntary customers, particularly those claiming IS and IB. Stage 1 - Diagnostics (weeks 1 to 4) Prior to their first appointment, customers will be sent a Welcome Pack that includes: travel directions; a Pledge Card detailing our minimum service standards; ESF guidelines; and a Rights and Responsibilities leaflet. To maximise speed to placement we will undertake thorough diagnostics with every customer to identify their barriers to employment and ensure they are actively engaged. At their first appointment, each customer will be introduced to their EA. They will then be given one-to-one support from

4.1 (continued) their EA to complete our AWARE online self-diagnosis tool (designed to assess confidence and motivation levels) and, where relevant, our Health Assessment, to assess functional, vocational and psychosocial workplace capabilities (building on ESA customers Work Capability Assessment reports). The customer and EA will formulate an Action Plan based on: the customers employment history; skills; literacy and numeracy levels; job goals; and personal circumstances. The Action Plan will be reviewed and updated at least once every eight weeks throughout the programme to ensure our support adapts to the customers changing needs. Diagnostics will be underpinned by jobsearching activity from day one and customers ready to enter employment will be given a mock interview as a priority and immediately matched to a suitable vacancy. During Diagnostics, all customers will attend our induction session to gain an overview of our programme, the support available, and health and safety practices. Diagnostics may take up to four weeks for customers with multiple and severe barriers to employment, such as those who have been claiming IB for more than five years. Customers identified as having low basic skills may be fast-tracked to Stage 3 and then may return to Stage 2 if required. All other customers will progress to Stage 2. Stage 2 - Intensive Support (weeks 5 to 16) During this Stage customers will undertake intensive activity to either: fast-track them to employment (Boost); enter self-employment (Enterprise); receive holistic support to address their psychosocial barriers to work (Engage); or improve their health and wellbeing in preparation for work (Steps to Work). A full list of Intensive Support interventions is available in Annex 1. At the start of stage 2, customers will enter into one of the following 12 week modules based on the outcome of their Diagnostic stage: Boost a high intensity and high frequency approach to job searching which helps customers to improve the quality, quantity and effectiveness of their job seeking activities to enable them to move into sustainable work at the earliest opportunity. We expect the majority of JSA 18-24 and 25+ customers to access Boost, as well as those from other groups who are immediately ready to access work. We have designed the interventions within Boost to meet their specific needs. Key activities include: immediate matching to local employer vacancies sourced through our Employer Services Team (EST) and promoted to customers by our cutting edge ADAPT recruitment software; access to local labour market summaries, identifying growth industries and the skills required to work in these areas; Employer Routeways (consisting of vocational training and guaranteed interviews); interview skill workshops and mock interviews; help with speculative applications; basic skills support; advice on updating and improving CVs and cover letters; IT training workshops to support the effective undertaking effective online applications and the use of our customer IT portal Invisage; and reverse marketing (where EAs proactively market customers to prospective employers). 18-24 year old customers will also be referred to our Step Ahead two week motivational course. Enterprise a comprehensive package of support for customers wishing to pursue selfemployment. This will be delivered by self-employment specialists InBiz who will work alongside local agencies such as the Chambers of Commerce, the Local Enterprise Partnerships (LEPs), and One North Easts Enterprise Programme to provide one-to-one support with business planning, and group workshops on book-keeping, tax advice and marketing strategies. Additional support will be provided by Ingeus-Deloitte including access to funding and mentoring services. Customers will have the option of test trading their business for up to 26 weeks and extending Enterprise into Stage 3. We expect selfemployment to be a suitable outcome for a range of customer groups, including those on JSA and ESA, IS and IB groups who require greater flexibility in their work to

4.1 (continued) accommodate their health condition and/or caring commitments. Engage provides holistic support to tackle multiple and complex barriers to ensure hardest to help customers are able to move into employment. Interventions are based on: psychosocial solutions such as Cognitive Behavioural Therapy (CBT) based workshops; peer mentoring; techniques to address low levels of motivation and selfesteem (common in customers from areas of severe deprivation and intergenerational worklessness such as Easington which is the seventh most deprived district in the UK); raising aspirations; encouraging customers to travel to areas of higher employment (such as Newcastle and Gateshead); and addressing specific barriers to work including debt, substance misuse and low skills levels. Customers accessing Engage will include JSA Early Access customers who have more complex barriers to work such as criminal records or substance misuse, and IS and IB groups who require more specialist support to access employment. Interventions for IS and IB groups will include confidence building and career planning sessions. Lone parents will receive support from specialist EAs who have expert knowledge and will advise on in-work benefits, childcare options and flexible and part-time job opportunities. All customers will receive support to identify transferable skills and develop confidence and specialist partners such as Citizens Advice will be invited to deliver services from our sites to help customers with issues such as debt and housing. Throughout Engage, customers will be provided with intensive job-search and vacancy matching support through one-to-one and group-based activities to maintain a consistent focus on securing employment. Steps to Work In the North East, 8.9% of working age inhabitants are claiming IB/ESA, the highest of any region in England, with Middlesbrough and Durham being two of the worst affected areas. To help address this, we have specifically designed our Steps to Work module for ESA Flow and ESA volunteers, ESA ex-IB and IB customers in the region who, due to their health condition, have been out of the labour market for two or more years. Customers on this module will receive advice from trained health professionals on managing health conditions and support from EAs (trained to work with customers with a health condition/disability) who will source work placements which help customers make the transition into employment. Steps to Work will help with pain management, improving mobility and tackling root causes of depression in order to enter employment. A specialist Health Advisor will meet customers on a regular basis to provide one-to-one employment support and refer them to services offered through our Accessible Community Expert (ACE) Network and Health & Wellbeing service (both described below). Activities will focus on developing a step-by-step back to employment plan. We will undertake active engagement of these customers, particularly those in voluntary groups to ensure they remain on the programme. When ready to undertake more intensive job seeking activity customers can move to another Stage. Customers will continue on Steps to Work (throughout subsequent stages if necessary) until they are ready for work, and transition points will be marked by regular Review and Refresh appointments. Stage 3 Skills Plus (weeks 17 to 52) The purpose of Stage 3 is to address customers vocational skills needs and/or lack of recent work experience, and to build on job-search skills developed in the previous two Stages. Customers identified as having poor basic skills will be fast-tracked to this Stage following Diagnostics. During this Stage, every customer will participate in an 18 week sector-specific vocational training course and/or tailored work placement. The Vocational Routeway will be supplemented by job-search activity and one-to-one support will be provided by their EA throughout the rest of the stage. Customers will choose from a range of Vocational Routeways provided by subcontractors that are experienced in delivering training and apprenticeships and who have close employer links. These providers include

4.1 (continued) BTCV, Sencia, NECA and Newcastle Futures. Vocational Routeways have been informed by our work with employers operating in the local area, including Arriva, to take into account local skills gaps, particularly at Foundation and Level 1 and 2, in key business sectors in the region including chemicals, healthcare, energy and automotive. One-to-one job-search activities will underpin this stage throughout. Stage 4 Breakthrough (weeks 53 to 104) Stage 4 is designed to provide additional support and increased conditionality for those who are still searching for work after a year on the programme. Customers will be introduced to a group of peers who will meet at least once a week to support one another with job-search activities and maintain focus. At each weekly meeting (led by a Group Facilitator) customers will jointly review progress and plan activities for the next seven days. Our Placement Broker Team and subcontractors will utilise their employer links and those with local volunteer bureaux to source a tailored six month community work placement (mandatory for JSA customers) that fits with each customers job goal. During Stage 4, continued support will be provided by the ACE Network and EAs to tackle barriers to employment and address the reasons why customers have not entered employment. If customers reach the end of the programme without finding work, they will have a Final Interview with their EA and together they will plan the next three months job-searching activity and complete a final Action Plan which will be shared with JCP. In-Work Support - the Careers Academy When customers secure work, they will automatically gain membership of the Careers Academy which provides comprehensive in-work support and career development advice. Prior to and during their first six months in employment customers will be supported by their designated EA. Before starting work, the customer and the EA will work together to draw up an in-work Action Plan and undertake the necessary preparatory activities including completing Working Tax Credits and Housing Benefit forms, sourcing childcare and arranging travel passes. All customers will be encouraged to attend our Flying Start workshop to find out about the in-work benefits available to them and to get advice on managing their first few weeks in work, and the common issues that may arise. Through the Careers Academy customers will have access to the following support: 1) In-Work Support (delivered through our customer contact centre) - where Customer Support Co-ordinators will provide support six days a week for customers via a freephone telephone number, text and email. Staff will proactively contact in-work customers and will provide immediate responses to incoming requests for support on issues such as budget management and in-work benefits. Customers in the JSA Early Access, ESA Flow and ESA Volunteers, Ex-IB, IB and IS groups will all be tracked more intensively, as their higher support needs may make it more likely that they fall out of work. Customers needing more specialised attention will immediately have their case elevated for a same day response from Specialist Support. 2) Specialist Support - where specialist In-Work Advisors provide advice over the phone and in person on complex issues such as amending child maintenance payments and in-work dispute resolution. They will refer customers to community based experts where appropriate, such as local tax professionals and housing advisors. After six months in employment, customers will be referred to an Information Advice and Guidance qualified team of in-work Advisors who will offer a telephone based appointment to advise customers on progression opportunities and further training 3) Rapid Response Team (RRT) any customer who is likely to or who has already

4.1 (continued) fallen out of work will be referred immediately to the local RRT who will work closely with our Employer Services Team to source viable alternative employment as quickly as possible. Any customer who does not re-enter employment within four weeks will return to the core programme. 4) Online support customers will have online support through Invisage, our customer portal, which provides in-work advice and access to online learning modules. Cross Programme Services - Throughout Every Day Counts, customers will be able to access the following services when appropriate: Health and Wellbeing - Our integrated Health & Wellbeing service will be delivered by our team of Specialist Health Advisors and incorporates CBT based interventions, workshops (e.g. Relaxation Techniques and Healthy Eating) and weekly walking groups. One-to-one counselling and support is also available. Health & Wellbeing interventions will be offered to all customer groups, in recognition of the fact that many disadvantaged customers experience poor health regardless of their benefit type. Invisage - Our online customer portal Invisage enables customers to job-search independently from any of our sites, at home or in an internet caf. Customers will be provided with a personal Invisage account, training in how to make the most of its functions, and support for those with limited IT skills. Key features include: intelligent jobscraping software which filters suitable job vacancies from multiple websites; a portal that enables customers to submit applications to local employers; Working In...podcasts which give insights into working in particular industries; and a suite of online training packages. We will use phone calls, emails and text messages to contact customers, send reminders and notify them of job vacancies. Skills Hub Our offices in Newcastle, Middlesbrough and Sunderland will act as Skills Hubs for the region. We will design a range of Employer Routeways to meet the needs of the local economy, particularly in local growth sectors such as manufacturing (in particular car manufacturing in Sunderland); logistics (for access to vacancies in local distribution centres such as Tesco (Middlesbrough) and Asda (Washington)); and customer service (for the large number of local call centres, e.g. EDF and T-Mobile in Sunderland). Customers will be able to access our 120,000 per annum Skills Fund to undertake short vocational training that can be applied in the local labour market. Courses and qualifications will be delivered by City of Sunderland College and may include COSHH, CSCS, and Portable Appliance Testing. Customers will also be offered a variety of learndirect online training packages at each core delivery site, through our Job Stations. These packages include Every Day Maths Skills, Word 2007 and Manual Handling. The ACE Network - A pool of third sector providers who will work from core delivery sites to offer specialist support that each customer can access whilst undertaking job-search activities. These include our subcontractors e.g. Phoenix Futures (substance misuse counselling) and Citizens Advice (debt and financial advice) and a wide range of local referral partners who will be invited for deliver from our premises, e.g. The Womens Health Advice Centre and Homestart Teeside. The ACE Network will support all customers - particularly those with multiple and severe barriers to employment such as those in the JSA Early Access, IB, IS and ESA ex-IB groups. Employer Focused Delivery - A dedicated Employer Services Team will be embedded within our delivery sites and will source thousands of priority access vacancies each year from local employers. In addition to generating bulk vacancies, they will focus on engaging with employers to source part time opportunities for customers who require greater flexibility in the workplace, such as lone parents and carers. They will also work with employers to accommodate customers with health conditions and broker Access to Work funding for workplace adjustments. Our strong links with employers will enable us to stay up-to-date with the changing skills landscape over the lifetime of the contract.

[4.1a] Customer Journey - Rationale Please describe in detail: your rationale for your proposed Customer Journey(s) detailed above in 4.1 within this CPA; and

the benefits to the individual customer groups of this approach.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to four sides of A4.

4.1a Our Every Day Counts customer journey brings together the experience and highest performing practices from Ingeus 21 years experience in delivering welfare-towork contracts, with that of Deloittes expertise in designing delivery models, such as for the Learning and Skills Council for the North East. Every Day Counts is based on the fact that speed to placement is key the longer a customer is out of work, the harder it is to return. It also applies theories of positive psychology in motivating customers to achieve goals through structured activity. Our model has been designed to meet the needs of JSA and ESA/IB customers in the North East with the in-built flexibility to provide each customer with a tailored journey. The model brings together proven techniques as well as innovative new features designed specifically for the Work Programme. Every Day Counts is underpinned by a six month research project undertaken by Ingeus and Deloittes Operations Excellence Practice. The project combined an analysis of Ingeus existing operating models, in the UK, Europe and Australia, input from 200 frontline staff, a study of over 100,000 Ingeus customer records and feedback from over 500 customers through focus groups and surveys. The Ingeus Centre for Policy and Research (ICPR) also looked at why customers sustain in, or fall out, of work. In the North East we conducted consultations with local providers and stakeholders to tailor our core delivery model to reflect key local objectives. Our priorities for the North East are: to raise skills levels; promote enterprise and self-employment; and improve health and wellbeing. We have tailored our customer journey accordingly, embedding the following key principles throughout Every Day Counts: Every Day Counts - Our research demonstrated that customers must undertake meaningful activity every day in order to best progress towards employment. Customers with lower levels of activity tend to drift whilst those who are set structured activity in between appointments are substantially more likely to enter employment. For customers who are furthest from work, including those from areas of second generation worklessness such as Sunderland and Easington, the key is that activity should be focused on constant progress towards work. Effective engagement is critical to ensuring customers keep progressing, particularly those from voluntary groups. Immediate engagement - Reducing the time from customer referral to programme start is key to maximising speed to placement. The importance of immediate engagement is supported by Australian DEEWR (Australian public employment service) research that demonstrates the negative effect of longer lag times between referral and first appointment. We will therefore aim to ensure that first appointments are conducted within five days of each customers PRaP referral. Integrated health support Our experience of helping over 19,000 ESA and IB customers into work shows us that they benefit from employability and health services that are combined to create a coherent package of support. Every Day Counts offers an in-house Steps to Work module and Health & Wellbeing service that provides customers with access to trained health professionals who will support ESA and IB groups in managing their health conditions. Consultation with [REDACTED], from NHS North East indicated that this should be a particular priority in the North East where the rate of ESA/IB claims is a third above the national average. Holistic support - Our analysis and experience shows that over 50% of long-term unemployed customers, including those on health benefits, experience multiple barriers to employment. These customers are unlikely to enter the workplace without holistic support to meet their needs. Although all Work Programme customers will face at least one significant barrier to employment, we expect the JSA Early Access, JSA ex-IB, ESA ex-IB and IB customer groups to have particularly acute constraints. These may include poor mental health, substance misuse, caring commitments; lack of qualifications and/or low levels of motivation and self esteem. We have therefore designed Every Day Counts as

4.1a (continued) a one-stop-shop whereby customers can access a range of specialist support alongside employability support. This will be provided by our Accessible Community Experts (ACE) who will work with customers to tackle the issues they face. IS customers will be supported by specialist Advisors with expertise in helping customers to find alternative caring arrangements and part time employment opportunities. Personalised support - Our research found that central to every customers journey back to work is a consistent relationship with an Employment Advisor (EA). All customer groups demonstrate a greater ability to effect positive change and an increased chance of sustaining in employment if they have developed a trust based relationship with their EA. This is principally because EAs are able to encourage customers to access different interventions and deliver challenging messages. Furthermore, we found that EAs who specialise in a particular customer group perform better than generalist EAs. For example, we witnessed a 20% performance uplift on our Employment Zone contracts when we introduced specialist lone parent Advisors. We will therefore have specialist EAs to work with the following customer groups: those on health benefits; lone parents; and the hardest to help (more than three years out of work and experiencing multiple disadvantages). Fresh momentum for changing needs - Ingeus delivery experience in Australia on our Job Services contract has proven that customers are more likely to move into employment with regular changes of activity. Additionally, evidence from New Deal (ND) delivery in the UK has shown that job outcome rates increase by 35% around transitions between different stages of the programme. This is due to the fresh ideas and changes in momentum that transition points create. Therefore, all modules in Every Day Counts are time limited. Also, at the end of every Stage there will be a Review & Refresh appointment, where the customer and EA assess progress and set fresh objectives. Employer-focused delivery - Since the expansion of our Employer Services Team (EST) into all the areas we serve in the UK, performance has improved by over 20% as we are able to match customers immediately with local vacancies using our ADAPT recruitment software. Our EST will work with local employers across the region to source vacancies, to which Work Programme customers will enjoy priority access. We expect this feature to be particularly effective with JSA customer groups who require immediate matching to suitable vacancies. Building on Deloittes regional Practice relationships, our EST will engage with local businesses to understand how we can help fulfil their skills and recruitment needs. The team will be supported by Deloittes regional Practice which will continue to support SMEs and market our service through existing links with employers including PD Ports, Southern Cross and Arriva. We will provide training opportunities and develop Employer Routeways to match local demands and will support customers further from the labour market to access these opportunities. Rationale for each stage of the Customer Journey Stage One Diagnostics (identifying appropriate interventions): Thorough and engaging diagnostics are critical in identifying targeted interventions for each customer and need to be underpinned by job-search from day one. They help to provide a personalised journey back to employment and increase customer engagement. Our Flexible New Deal (FND) delivery demonstrates that high quality diagnostics at the beginning of the customer journey increase conversion rates by over 5% in the first four weeks of the programme. Performance on subsequent stages also improves. All the elements of the Diagnostics Stage, such as the AWARE online tool, are custom-built to help form a total picture of every customers support needs. Stage Two Intensive Support (maintaining high activity levels throughout): Our experience from FND and ESF tells us that programmes with high levels of activity will deliver the strongest job outcome performance. Our Performance Analysis Team looked at the number of appointments attended during the first two months on our FND

4.1a (continued) programme and overall impact on conversion rates. Conversion rates were 20% higher throughout the programme for customers who had attended more than three appointments per week during the first two months. Both Boost and Engage therefore develop intensive activity and job-searching habits early on in the customer journey and are key to effectively engaging customers, particularly those in voluntary groups. We expect Boost to be particularly suitable for JSA customers, who will undertake high levels of activity to facilitate a quick return to employment. To address psychosocial and lifestyle barriers early in the programme, the Engage stream provides specialist Cognitive Behavioural Therapy (CBT) support. This will be particularly effective for the JSA Early Access, JSA ex-IB, IB and IS customer groups who are further from the workplace. Our Enterprise module has been designed to stimulate entrepreneurship and drive up levels of self-employment, particularly in areas of low job creation and/or seasonal unemployment such as north Northumberland. Increasing the below average rates of business start ups and survivals is a priority for the Local Enterprise Partnerships and other bodies in the region and we will link our services with established local initiatives such as TEDCO (Tyneside Economic Development Company) to enhance our delivery. Stage Three Skills Plus (skills, training and work experience): Skills North East has highlighted the importance of developing the employability skills of long term unemployed people as one of the ways of improving employment and productivity rates in the region. The Skills Plus stage will therefore provide customers with a tailored programme of vocational training, work experience and advice on working in particular sectors to help them improve their skills, identify transferrable skills and prepare for specific vacancies. We, and our subcontractors, will offer Routeways in growing sectors including logistics, customer service (retail), automotives and energy. Customers will also have access to a variety of learndirect online training packages to address skills needs and our Skills Fund to undertake a qualification, both of which will be available throughout the programme. Stage Four Breakthrough (combining work placements and peer support): The design of Breakthrough is based on evidence from our ND and FND contracts that mandatory/fixed activity elements increase job outcome performance. We see spikes in job entries before and during full time activity elements for both mandatory and voluntary customer groups. Breakthrough therefore incorporates a six month work placement (sourced through our Placement Broker Team) which is mandatory for JSA customers and encouraged for all others. The peer support element on our Gateway to Work (G2W) model has also proven effective at positively changing ingrained attitudes and behaviours. Our approach is designed to help customers build on the job-search and vocational skills developed during the previous Stages to make the final step into employment. Customers within the ESA, IB and IS groups will be matched to a work placement that meets their specific requirements including accessibility if they have a disability, and proximity to home if they have caring commitments. Careers Academy (ongoing personal support and career development): ICPRs Sustainability Project discovered that for 81% of sustained job outcomes the following key elements existed - the right job fit, appropriate support in the first three months and appropriate attitudes. The Careers Academy has therefore been designed with the objectives of providing meaningful support through the transition phase, assistance with progressing in the work place, and support with developing appropriate in-work attitudes. Our IAG qualified Advisors will help customers plan the necessary steps to realise their career aspirations. All customers will require some level of workplace assistance, but we expect that the JSA Early Access, ESA Flow and ESA Volunteer, IS and IB customers will receive a more intensive service due to higher levels of support needs. We will continue to support customers for an extended period of time and for as long as is necessary.

4.1a (continued) Benefits to individual customer groups - We recognise that certain customer groups in the North East require specific types of support and have tailored Every Day Counts accordingly: Customers with low skills levels Our delivery model for the North East is strongly focused on skills development as nearly 15% of people in the region have no qualifications (20% above the national average). In addition to Vocational Routeways (described above) all customers will have the opportunity to undertake vocational qualifications paid for by our Skills Fund. We will refer customers to external Skills Funding Agency provision when appropriate and we will offer all customers 3,500 free online learning modules in a range of subjects through our partnership with learndirect. All skills provision will be targeted at key vocational sectors such as customer service/call centres, manufacturing and logistics to help match customers to local jobs opportunities. Customers with complex barriers In the North East, almost a quarter of all households are workless. We know from our delivery experience that those living in communities with high concentrations of worklessness typically face multiple disadvantages including substance misuse, offending and poor health (such as industrial illness). To help address these issues, we have built support options into our delivery model including: Steps to Work; one-to-one support from an EA; an in-house Health & Wellbeing service, and onsite access to our ACE network of specialists to address lifestyle issues such as debt, substance misuse and offending. We expect these services to be accessed by many customers from the JSA Early Access, JSA ex-IB, ESA Support Group and IB groups. Young People At 30.8%, youth unemployment in the North East is the highest of any region (against a national average of 27.9%). JSA 18-24 customers often suffer from low skills levels, lack of aspiration and narrow travel horizons (exacerbated in areas of generational worklessness). To address these issues, we will deliver a Step Ahead programme for young people (at the beginning of Boost and Engage) which is modelled on our current G2W course and our 13 week Community Taskforce group work package, to help young people set goals, develop positive attitudes and behaviours and improve their motivation. Through our subcontractor and employer relationships we will source apprenticeships for young people in local growth sectors. Families, including Parents & Carers To address the needs of customers in areas such as South Tyneside, where the rate of lone parent claimants is 41% higher than the national average, lone parents will be supported by specialist Advisors who only work with this customer group. To facilitate access to our services by lone parents and those with caring responsibilities, we will ensure all appointments, workshops, training courses and work experience placements are timetabled around caring commitments. Advisors and our EST will identify and develop part-time job opportunities. Over 50s - Ingeus has supported over 4,000 50+ customers into work, and has consulted with the Age and Employment Network (TAEN) and Open Age to ensure our services are suitable for older customers. All EAs will be trained using TAEN materials including the Understanding Older Adults and Overcoming Barriers to Work and Learning action guide. This includes advice on how to conduct skills transfer analyses and sourcing employment opportunities with age positive local employers. We will also link our services with local projects such as the Over 50s Mentoring programme in South Durham. Customers in rural areas Customers in some rural parts of the North East (e.g. north Northumbria) experience barriers to work such as limited public transport, a lack of support services and seasonal employment patterns. To address this, we will support individuals to secure permanent employment by balancing a portfolio of seasonal jobs. This model is already used by Ingeus on contracts in the Borders of Scotland. E.g. some customers work in agriculture during the peak season, in holiday parks for the summer, and then in retail positions or for Royal Mail over the Christmas period. We will also provide outreach services for those customers living in the most remote rural areas.

[4.1b] Service Requirement DWP expect all customers to receive a minimum level of service. Please clearly define:

Your minimum service delivery levels for all customers within this CPA; Your rationale that supports your approach: How it addresses the needs by customer groups.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to two sides of A4.

4.1b Ingeus has an outstanding reputation for providing a high standard of customer service in its welfare-to-work provision. In our recent Customer Satisfaction Survey, 83.2% of customers described the service they received at Ingeus as Excellent or Very Good. Ofsted commented in their 2010 inspection of our Pathways to Work provision, participants feel safe, well supported and they are able to raise matters of concern with staff. Relationships between participants and staff are excellent with high levels of mutual respect. For the Work Programme in the North East, we have agreed exacting minimum service levels that will apply across our whole supply chain to drive strong performance and customer satisfaction. These service levels are outlined in our Customer Pledge which will be displayed prominently in all delivery sites. Performance against these minimum service levels will be measured for every subcontractor and Ingeus delivery site and will be shared with our customers at their initial appointment. Our Pledge contains five commitments that all customers can expect and others that have been designed to meet the needs of particular customer groups. Ingeus-Deloitte is committed to providing service excellence with integrity. Customers on the Work Programme with Ingeus-Deloitte will be entitled to expect: 1) A flexible service that is convenient and accessible. As a minimum this will include: convenient office locations across the North East which are close to public transport links; a freephone telephone number to contact us; internet access at all delivery sites; outreach services for those who cannot reach our premises; flexible appointment times for customers with family or caring commitments; and programme literature available in community languages. Rationale: Our experience has shown that motivation and customer engagement increases significantly when offices are conveniently located and access to Advisors is made easy. This leads to more frequent attendance, higher levels of job-search activity and better outcomes for customers, especially for those with disabilities and/or mobility issues. This will be important for all customer groups, but especially for ESA and IB customers. Providing a flexible service will be crucial in the North East where nearly one third of the population lives in a rural area where public transport options are limited. We also expect flexibility of service to be particularly important for customers in the Incapacity Benefit (IB) and Income Support (IS) groups. 2) A personalised package of support that is tailored to individual needs. This will include: a tailored CV, cover letter and benefit calculation (completed within the first four weeks of the programme); a personally-tailored Action Plan outlining the support we will provide; a designated Employment Advisor (EA); access to support at least once every two weeks for the duration of the programme; and a choice of over 70 interventions such as tailored pre-employment routeways and specialist health and wellbeing advice. Rationale: Our experience indicates that to meet the needs of a diverse customer group, it is essential to provide a service that is tailored to the unique personal circumstances and needs of each customer. This will be particularly important in the North East which features high numbers of customers from deprived areas and workless households, many of whom will have multiple barriers to work including health. As a result, these customers are all likely to have higher support needs and will require greater personalisation. 3) A professional Careers Academy and in-work service which will help customers develop and progress in the workplace. This will include: ongoing support from an EA to help manage the transition into employment; an in-work benefits calculation; a freephone in-work helpline; online advice through Invisage and careers guidance from an Information Advice and Guidance qualified in-work Advisor. Rationale: The Ingeus Centre for Policy & Researchs sustainability study supported the findings of the Joseph Rowntree Foundation and the Centre for Social Justice that two of the key conditions that enable sustainable employment are support during the transition

4.1b (continued) from benefits to employment and jobs that offer rewarding prospects. Our minimum service levels will ensure all customers receive help in managing the transition to employment and careers advice to develop sustainable careers. This support will also help customers move out of in-work poverty which is a particular issue in the North East where residents have the lowest gross household income per head of any region in England. 4) Priority access to exclusive job vacancies and labour market information Vacancies will be displayed in reception, on electronic job boards and will be promoted by EAs through our ADAPT recruitment software. Customers will be supplied with up-to-date accurate information about the relevance of their skills in the local labour market. Rationale: Customers who have been out of work for a prolonged period can find the gap on their CV to be a disadvantage. We will help them to overcome this by providing priority access to vacancies, and our Employer Services Team will work with Deloittes Practice in the North East to access the vacancies of thousands of local employers. 5) Treating customers with respect at all times and enabling them to be active participants in setting their own goals Customers will be empowered to take control of their journey back to work and determine the best course of action at every stage. We will provide easily accessible information on rights and responsibilities and a widely advertised feedback procedure. All feedback will receive a response within one week. Rationale: This approach is essential to providing a service that supports high levels of motivation and engagement amongst customers and provides us with critical information to support performance improvement. In addition to these core service levels, we are committed to meeting the needs of customer groups in the North East that have specific requirements. Therefore we have designed a set of minimum service levels for the following customer groups: Customers with skills needs An issue in many parts of the region e.g. Easington, where 21.9% of residents have no qualifications compared to 12% nationally. Each of our selected providers has demonstrated the ability to address local skills needs. We will provide access to a range of Vocational Routeways to help customers develop the skills to succeed in their chosen career and/or identify transferrable skills and (through our Skills Hub) online learning packages and vocational qualifications. Customers with complex barriers including health (ESA, ESA and JSA ex-IB and IB group) The proportion of residents in the region with a long term health condition is the highest of any English region. To help address these barriers, we will grant priority access to our Health & Wellbeing Service delivered by trained professionals. Interventions will include Coping with Pain and Healthy Living workshops and referrals to our ACE Network of specialist providers including Phoenix Futures (substance misuse). Customers with family and or caring responsibilities (all customers, but particularly those in the IS group) To support this customer group we will provide information about local childcare provision, flexible appointment times to fit around family commitments, advice on part-time and flexible working and work placements for those who have a significant gap on their CV due to caring responsibilities. Young people (all customers but particularly those in the JSA 18-24 group) High levels of youth unemployment are an issue across the region, and in particular in rural areas such as Northumberland, where 18-24 year olds account for 31.3% of JSA claimants. To help raise the aspirations and attainment of this customer group, we will provide careers guidance support from a trained professional, our Step Ahead motivational programme and support to access apprenticeships.

PART 5:

SUPPLY CHAIN MANAGEMENT

[5.1] Delivery Strategy Please describe in detail your delivery structure for all elements of the Work Programme provision across this CPA and explain why you consider your delivery strategy to be the best approach for customers in this CPA. You should clearly state how you intend to work with your sub-contractors and how you will ensure the needs of all your customers, including the hardest to help, are fully addressed from within your supply chain including voluntary sector organisations where appropriate. Please also complete:

Annex 2 to show the structure to be put in place within the supply chain to deliver the Work Programme provision in terms of overall percentage of delivery, specialism and geographical coverage; and Annex 3 (Sub-contractor Declaration) for your proposed sub-contractors as appropriate.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to three sides of A4.

5.1 The design of our delivery structure has been informed by the findings of a six-month regional research project which involved: meetings with 35 prospective subcontractors; 3 consultation events with third sector partners on our North East Partner Network; discussions with delivery partners and stakeholder contacts in the region; labour market analysis undertaken by Deloitte economists; and consultation with Deloittes regional Practice. Our research highlighted that the North East is a particularly diverse region the main towns and cities here account for more than 80% of the regions population. By contrast, almost two thirds of the region is rural, where challenges include a lack of fulltime opportunities and transport issues. Barriers to employment commonly faced by customers in this region include poor health and transport, and low aspirations resulting from intergenerational worklessness and lack of opportunity. Our strategy for the region draws on Ingeus experience of delivery in geographically comparable areas, such as South Scotland which also includes large urban areas such as Edinburgh and rural areas including the Borders. We concluded that a successful delivery strategy for the North East should include the following features as a minimum: Utilisation of experienced Lead Providers and local specialists to enable us to deliver high performance from day one; Comprehensive geographical coverage across the region - particularly important in Northumberland and County Durham where customer volumes are dispersed over large geographical areas; Specialist support for customers with multiple barriers to work, particularly in wards with high levels of deprivation e.g. Grangetown and South Bank in Redcar and Cleveland; A focus on aligning customers skills with employers needs to address skills gaps and low educational attainment in the region; and A commitment to job creation and driving up levels of entrepreneurship. Summary of delivery strategy Ingeus-Deloitte will act as Prime Contractor and will drive the overall performance of the provision across the region. We will also be embedded in the area and deliver as Lead Provider across Tyne and Wear and in South Northumberland. We will be supported by three other highly experienced Lead Providers: Learning Choices (Central and North Northumberland); BTCV (County Durham); and Triage (Tees Valley). Lead Providers will deliver all core elements of the Every Day Counts model: Diagnostics, Intensive Support, Skills Plus, Breakthrough and in-work support using the Careers Academy model as well as health and well-being interventions. Ingeus-Deloitte and our Lead Providers will share vacancies across the sub-region, will all have access to Ingeus-Deloittes Labour Market Portal and will also be supported by two further types of subcontractors: ACE (Accessible Community Experts) Network - The ACE Network enables all Lead Providers to draw on the expertise of specialist subcontractors and referral partners such as Phoenix Futures to support customers with complex barriers to work. ACE Network members will work from the premises of all Lead Providers so that customers receive a convenient and holistic service. Vocational Routeway Providers - Our 11 Vocational Routeway providers, including Resources North East (Tyneside) and NECA (Newcastle) will assist us to address skills shortages in the North East. They will provide tailored Routeways for customers by offering vocational training, work placements and basic skills and ESOL support. We have selected providers who offer Routeways in growth industries such as energy, healthcare and customer service. Rationale for supply chain design Key to our strategy is a rigorous approach to supply chain selection. Ingeus-Deloitte conducted a wide-reaching selection process over a four month period. We received more

5.1 (continued) than 100 Expressions of Interest in the North East. Existing and potential subcontractors were assessed against criteria covering performance, capacity, quality standards and innovation. We also considered how and where Ingeus-Deloittes in-house delivery could be best utilised. The information below outlines the rationale for inclusion of each of our Lead Providers: Ingeus-Deloitte Tyne and Wear and South Northumberland We will directly deliver services in Tyne and Wear by drawing on our delivery experience in areas with similar characteristics. Ingeus has a proven track record of successful delivery in areas of high customer concentration and deprivation. For example, through the delivery of four Employment Zones in Birmingham, Brent and Haringey, Southwark and Nottingham, we have helped more than 16,500 long-term unemployed people into work from some of the most deprived wards in the country. This means we are expertly placed to support customers in this predominately urban part of the region. Triage Tees Valley Ingeus-Deloitte has developed a successful working relationship with Triage through our FND contract in Scotland (where Triage act as a subcontractor to Ingeus) and through collaborative working on our Pathways to Work contracts in neighbouring areas. We have chosen to extend this partnership into the North East from the adjacent area of Southern Scotland which has many similar characteristics. For more than 13 years, Triage has successfully delivered welfare-to-work programmes, in urban and rural Scotland. Triage is currently the highest performing UK provider on Pathways to Work. As a result, Triage is ideally placed to deliver services to JSA customers and those in receipt of ESA/IB. Learning Choices Central and South Northumberland Learning Choices is a leading provider of welfare-to-work services in Northumberland and is headquartered in the county. They have been delivering DWP and ESF employability programmes in area for more than 11 years. We have selected Learning Choices based on their local knowledge, which includes an excellent understanding of the needs of local customers, including those with a health condition/disability and those with complex barriers such as substance misuse and offending behaviour. Its staff have particular expertise in working with young people, through the delivery of New Deal Gateway to Work, which will be invaluable in an area where 18-24 year old unemployment rates are 12% higher than the national average. BTCV County Durham BTCV has over 25 years experience of supporting disadvantaged customers, including those with a health condition/disability, through the delivery of PSL New Deal, ESF, Work Preparation and Community Task Force contracts. BTCV has been delivering New Deal as a prime provider in County Durham which has led to highly effective working relationships with local stakeholders and employers. This locally embedded charity has also developed an excellent understanding of the needs of local customers and means of engaging, particularly those in rural parts of the county. BTCV is also able to provide environmental volunteering and training opportunities as part of its Vocational Routeways offer. Similarly rigorous criteria were used to select members of the ACE Network and our Vocational Routeway providers. Members of our ACE Network were required to demonstrate experience of meeting the needs of hardest to help customers in this region and each of our Vocational Routeway providers was required to demonstrate a track record of providing high-quality skills support services. Why our delivery strategy is the best approach for customers in the North East Our strategy provides a unique combination of experience and expertise to address issues at a local level and to meet the needs of all customers across the North East. The

5.1 (continued) key strengths of our strategy are: Convenient geographical coverage By utilising the existing infrastructure of BTCV and Learning Choices, together with Triage and Ingeus-Deloittes new premises, we will be able to provide full geographical coverage across the region from 16 fixed premises and a minimum of 16 outreach sites. Members of our ACE Network of specialist providers will also deliver services from these premises, thereby affording customers convenient and coherent access to a wide range of services from the same location. This will be particularly important in north Northumberland and the west of County Durham where public transport options are limited. Our approach will encourage frequent attendance for all customer groups but will be particularly important for IS customers who may have caring responsibilities and those on IB or ESA who may have mobility issues. Combining local knowledge and international best practice Our delivery strategy for the North East combines Ingeus-Deloittes knowledge of delivering best practice welfareto-work services in seven countries; a proven partnership with one of the UKs highestperforming providers (Triage); and the local expertise of two of the regions leading employability providers (Learning Choices and BTCV). We will share best practice through regular networking events to ensure that delivery in all parts of the North East benefits from this unique combination of expertise. Supply chain management informed by frontline delivery experience IngeusDeloitte will be both a Lead Provider and manager of the supply chain. This gives us a unique ability to share best practice, adopt continuous improvement techniques and enable our providers to benefit from the insight and techniques leveraged from Ingeus experience. Promoting enterprise and self employment To address low levels of job creation in the North East, and to help counter the effect of the 50,000 planned public sector redundancies, we will offer a dedicated Enterprise stream which will support customers to set up successful small businesses. Our delivery structure for the region therefore includes a specialist self-employment provider (InBiz) to promote and support enterprise. Drawing on the expertise of specialist and third sector providers The ACE Network enables us to complement the work of all Lead Providers with expertise from small and third sector providers to meet the specific needs of customers with complex barriers to work. This will be particularly important for JSA ex-IB and Early Access, ESA ex-IB, IS and IB customers who are likely to have the highest support needs. Addressing local skills needs We have selected Lead Providers and 11 Vocational Routeway providers to help us improve the basic and vocational skills of our customers. Each of our selected providers has demonstrated the ability to address local skills needs. For example, Sunderland City College will deliver courses including Health and Safety and Entry Level Certificate in Mechanisms to meet car manufacturing employer need in Sunderland. This provision will be of particular relevance for JSA 18-24 customers who are likely to have the greatest skills needs. Working with subcontractors (including the voluntary sector) in the North East As the Prime Contractor, Ingeus-Deloitte will co-ordinate the strategy outlined above to encourage joined-up working and to drive consistent performance. We will: co-ordinate coherent employer and stakeholder engagement strategies; provide each subcontractor with access to a range of key corporate services; share best practice through quarterly networking forums; and drive continuous improvement through robust contract management throughout the lifetime of the contract. To ensure we harness the expertise provided by third sector providers, we have established a Third Sector Advisory Panel which brings together leading national and local charities along with our Chief Executive Officer. This will be chaired by the head of Deloittes Third Sector Practice, [REDACTED], and will include the CEOs of Papworth Trust, ACEVO, Barnardos, Forth Sector and Mind.

[5.2] Management Structure Please provide: a description of the proposed management structure and how the required management skills and expertise, including working with local stakeholders, have been identified and will be delivered. You should also include a description of associated responsibilities and reporting lines ; a description of how you will work with the management teams of any supply chain organisations and key delivery partners; and explain why your management structure is appropriate for the Work Programme within this CPA;

Please include an organisation chart (attach as Annex 4) showing the proposed management structure for the Work Programme for this CPA.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to three sides of A4. Note: Format requirement and page limit does not apply to the organisation chart(s) which you must insert as Annex 4.

5.2 Our management structure for the North East combines local supply chain capability and knowledge of local stakeholders with centralised resources focused on supporting delivery. The structure is based on Ingeus experience of successful delivery of multiple Flexible New Deal and Pathways to Work contracts. Our experienced Human Resources Team, in partnership with our recruitment advisor Alexander Mann Solutions (AMS), has developed detailed competency-based job descriptions to identify internal and external candidates for all roles and we will identify key members of the existing management team who will transfer to the region to lead on Work Programme delivery. Proposed management structure, skills and reporting lines Local staff Our Director for the North East (DNE), [REDACTED],, has more than three years management experience with Ingeus and previously worked in operational management and partnership roles with Jobcentre Plus. She will be responsible for all Ingeus and subcontractor performance across the region and she will provide strategic leadership, develop and maintain senior stakeholder relationships develop cocommissioning proposals and work with JCP, key local employers, the 12 local authorities and the two regional LEPs to reach full potential in education, skills and employment to ensure that delivery meets local needs. [REDACTED], has a good understanding of stakeholder issues, experience of leading service delivery and a track record of working with stakeholders. As DNE she will report to the Chief Operating Officer (COO). [REDACTED], will also work closely with Deloittes Local Public Service Partner, [REDACTED], who has 18 years local experience and close relationships with some of Deloittes largest clients. The management of Ingeus-Deloittes direct delivery in the region will be undertaken by two Operations Managers (OMs). They will report to the DNE and will attend Quarterly Performance Reviews with the DNE. OMs will be responsible for ensuring all performance and budgetary targets are met, leading their teams to deliver a quality and contractually compliant service, tailoring our delivery model to respond to local needs, and developing effective working practices with stakeholder staff and local partners. OMs will be skilled in leadership, operational performance management, communication, stakeholder management and staff development. They will demonstrate an understanding of and commitment to resolving local issues including how best to support customers from workless households and effective delivery solutions for areas of entrenched intergenerational unemployment and deprivation such as the Parkfield and Portrack and Tilery wards in Stockton. Our two OMs will be supported by six Deputy Operations Managers (DOMs), one of whom will have designated responsibility for each delivery site. They will directly manage front line staff through a structured performance support system. DOMs will have exceptional management skills and an understanding of effective ways to work with local customers including those with drug and alcohol dependency and low-levels of basic skills. The OMs and DOMs will also be responsible for maintaining effective relationships with local non-contracted providers such as local authorities, education, probation, health, housing, and community mental health teams. We will relocate a number of mangers from our existing pool of OMs and DOMs to bring expertise in our model and approaches. Each CPA subcontractor will be allocated a locally based Contract Manager (CM) or Senior Contract Manager who will provide subcontractors with regular support and manage performance against a range of KPIs. Each subcontractors management team will be responsible for the management of their frontline delivery staff. CMs will conduct monthly progress meetings and formal Quarterly Review Meetings (QRMs) to set performance targets, review performance against KPIs and update the subcontractors Development Plan (agreeing action points to achieve continuous improvement). There will

5.2 (continued) be a number of other local interfaces with our subcontractors - for example, practical advice and support to managers and frontline delivery staff by our OMs and DOMs in the CPA. Managing relationships with local employers will be critical for the CPA. Managers from our Employer Services Team will work in the North East and coordinate closely with their opposite numbers in our subcontracted Lead Providers. Centrally based staff (which support local teams) Our Chief Executive Officer (CEO), [REDACTED], has over 20 years senior management experience with a track record of senior stakeholder engagement and delivering complex programmes in the public and private sectors. He is responsible for setting overall objectives, developing strategies for delivery and maintaining key high level, stakeholder relationships throughout the life of the contract. Our COO, [REDACTED],, reports to the CEO and is responsible for driving UK wide standards and high performance of the Work Programme and all other contracts. [REDACTED], is highly experienced in the management of welfare-to-work provision and has an exceptional track record of performance delivery and improvement. The Head of In-Work Support will report directly to the COO and will liaise closely with the DNE to ensure that the service meets the needs of customers in the region. Our Supply Chain Team (described below) will be led by our Commercial Director (CD), [REDACTED],, who also reports to our CEO. [REDACTED], is responsible for our supply chain strategy and the performance of our subcontractors across all contracts. [REDACTED], has managed large and complex supply chains in a number of roles, including at Serco and other large suppliers to the public sector and brings extensive legal and financial expertise to our leadership team. Our centrally located corporate functions include Performance Management, Quality and Performance, IT, HR, and Learning and Development. How we will work with our supply chain and delivery partners Ingeus recognises its role in deepening the welfare-to-work supply chain in the UK. Our approach is to balance high performance expectations with support for building capability. In passing on risk to suppliers we will consider their differing abilities to shoulder it. We will help specialist providers to understand how well their interventions move customers closer to work and hence to improve their offerings. Page 6 of Annex 4 summarises key interfaces between Ingeus, subcontractors and stakeholders. Supply chain Pages 7-9 of Annex 4 show the detailed interfaces between Ingeus and each Lead Provider in the CPA. Day to day interactions with our subcontractors in the CPA will be led by the regional Supply Chain Team of Contract Managers and Senior Contract Managers. They will be supported by our national Head of Contract Management (HCM), [REDACTED],, who reports to the CD and will set and review performance benchmarks for subcontractors, maintain relationships with key suppliers and attend the Quarterly Performance Reviews of Lead Providers who are failing to achieve performance objectives. [REDACTED], has ten years experience of in the welfare-to-work industry of which five have been spent managing supply chains. Our Head of Partnership Development (HPD), [REDACTED],, also reports to the CD. She is responsible for leading our subcontractor management teams through implementation and providing appropriate support - particularly to smaller and third sector organisations. [REDACTED], has over seven years experience in partnership and contract management in the skills and welfare-to-work sectors. All managers in our supply chain will be provided with support from experienced managers across our corporate functions (outlined above). Delivery Partners The DNE will be the main point of contact for JCPs Director for the North East and other senior regional stakeholders such as the Employment Manager at the Tyne and Wear City Region. The OMs will be the key contact for local delivery

5.2 (continued) partners in Ingeus-Deloitte delivery areas and will meet quarterly with each manager. The DNE and the OM will also meet with the three JCP District Managers quarterly or as required. Subcontractor managers will be responsible for working with partners and stakeholders in their locality to support their delivery. Why our management structure is appropriate for this CPA Robust organisation design process Deloittes organisation design experts aided the design of our structures by: consulting with staff and management in Ingeus and our providers in the region; sharing best practice from Ingeus international operations; and using template role profiles from Deloitte engagements in comparable organisations. Our HR Director has developed competency-based job descriptions to identify staff for all roles and AMS has already appointed an Account Manager in the region to identify suitable candidates for management vacancies. All members of our senior management team are already in post and their proven skills will be integral to driving the successful delivery of the Work Programme in this region. Management roles within the region will be filled by experienced Ingeus-Deloitte staff and new personnel who meet our requirements. Combining proven structures with innovation Our proposed structure is based on Ingeus existing management structures, which have already resulted in high quality delivery and performance levels exceeding targets on our ESF and New Deal contracts. We have taken the best of what works today, but have included new elements (such as the dedicated in-work support team to manage the Careers Academy and the new Continuous Improvement Team) to meet the requirements and expectations of the Work Programme. All of our subcontractors have a proven track record of successfully managing welfare-to-work provision. Each will be delivering from existing sites where management infrastructure is already in place and successful working relationships are established. This will enable strong leadership and performance from day one of delivery. Locally focused delivery resource is supported by appropriate national capabilities All managers and staff from the DNE down will work within the region and will have, or develop, an in depth understanding of the local labour market, communities, customer needs and support services. We will build upon the established management teams of our Lead Providers who have local delivery experience. Local managers will be supported by our corporate teams who will work across CPAs to facilitate consistency of delivery, drive performance and innovation and support our supply chain as required. Clear roles, responsibilities and interfaces All roles in our proposed structures are clear and do not overlap with other roles. They all have specific responsibilities and accountabilities which are clearly aligned at each level in our organisation with counterparts in our supply chain and key stakeholders to ensure effective joint working. Practitioner approach to contract management The balance between subcontracted and in-house delivery enables us to utilise our direct delivery experience to support the development of our suppliers capability, rather than take a narrow contract management approach. We will work closely with our supply chain by holding best practice sharing forums, setting up buddying schemes between organisations and encouraging joined up employer engagement activity. We will also encourage our experienced providers to share their delivery best practices with the supply chain. Developing capacity We will continue to develop the strength and depth of our management capability in the CPA. Our Management and Leadership programme will enable frontline delivery staff to develop the skills to take on management positions as they emerge. More than 50% of Ingeus-Deloittes managers were appointed having attended the course. Existing managers will continue to develop their skills through secondment opportunities to Deloitte and best practice-sharing events for managers in our supply chain. This will help to build a team of people with the requisite skills to maintain performance over the term of the contract.

[5.3] Management of Delivery Please clearly describe: How you and your supply chain will manage and monitor the quality of delivery of the Work Programme to ensure that the whole provision within this CPA is of a consistently high standard and meets your minimum service levels;

Your approach to performance improvement activities for your supply chain as a whole, outlining how you and your supply chain will act on the findings of any monitoring activity including the resolution of issues from within your own supply chain, partners or other bodies.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to three sides of A4.

5.3 Ingeus-Deloitte has a track record of delivering outstanding performance across complex supply chains. Ingeus has eight years experience in the UK of delivering 40 contracts and managing over 65 subcontractors and Deloittes award winning Supply Chain Practice has helped more than 400 businesses make supply chain improvements on programmes such as the 2012 Olympics. Our Delivery Management Framework (DMF) sets out performance and quality objectives, monitoring and evaluating activities, performance improvement approaches and remedial measures for our supply chain to enable continued achievement over the term of the contract. The Director for the North East (DNE), [REDACTED], will be accountable for applying the DMF across the region. The DMF has four key elements of activity: KPIs (Key Performance Indicators), monitoring, evaluation, and management and performance improvement. Our management processes are Matrix accredited and in line with the Merlin Standard. KPIs - We have set exacting targets based on our enhanced delivery model and these will be increased year on year. KPIs are set out on a performance dashboard for all members of the supply chain, in particular our three Lead Providers. We will set KPIs using the QPARM methodology. Key indicators for each component are outlined below: Quality: customer satisfaction, equality of outcome measures; Performance: job outcomes, sustainability, referral-to-start ratios; Assurance: compliance with contractual requirements, maintenance of accurate records, compliance with appropriate legislation (e.g. safeguarding); Responsiveness: process improvement, knowledge sharing, cost management, milestone adherence; and Management: performance reporting, communications, risk management. Monitoring Central to our approach to managing delivery will be to gather a set of performance and management information and qualitative feedback. We will collect this through four sources: reports from our market leading ADAPT Management Information (MI) system; monthly analysis of key MI trends prepared by the Performance Analysis Team; quarterly audit reports; and feedback from customers, JCP, employers and other stakeholders. MI system The ADAPT MI system is used by 90% of the worlds largest recruitment agencies and will enable us to capture all key customer data including personal details, progress made and outcomes. It features a comprehensive and flexible range of MI reports which will provide frontline delivery staff and managers with instantaneous information to identify customer attendance rates, performance rates by customer group and the types and regularity of customer activities. These will be used by Employment Advisors to monitor the progress of individual customers and by managers to analyse the performance of individual Advisors and delivery sites, as well as outcomes according to customer group. ADAPTs reporting software will be available across our supply chain. Monthly reporting Detailed monthly reports will be produced for all Operations Managers (Ingeus-Deloitte and Lead Providers) involved in delivery in the CPA, including those of our subcontractors, by our Performance Analysis Team. The reports will provide analysis of key performance deliverables including customer starts, job and sustained outcomes and leavers, broken down by individual delivery sites. These will be presented in a user-friendly format and will enable Operations Managers to identify key trends. Compliance and Audit Reports Our Quality Performance (QP) Team will conduct quarterly spot checks and annual or bi-annual (depending on risk level) audits of IngeusDeloitte and subcontractor delivery sites. The resulting report will be used to allocate a risk level to each delivery site. Audits will focus on the compliance of our delivery substantive checks will be made on all customer paperwork and electronic records to ensure adherence to our Minimum Service Levels and contractual requirements

5.3 (continued) A deeper audit will be conducted with sites whose audits generate a variance of greater than 5%. Customer and stakeholder feedback Feedback on our customers experiences will be collected through suggestion boxes, our customer portal Invisage, a formal complaints process, an annual survey and quarterly focus groups. Feedback from JCP, other stakeholders and employers will be collected by our local management team and Employer Services Team. All feedback will be passed to our Continuous Improvement Team for further analysis. The complaints process will be managed for our whole supply chain by Ingeus-Deloitte. Evaluation Data will be evaluated against each subcontractor delivery site and staff member to assess performance against KPIs. Management (Ingeus-Deloitte) and Contract Management Teams (subcontractors) will check that targets are being met weekly. For example, we will be able to identify the percentage of customers who have had action plans, CVs and benefits calculations completed within their first four weeks of the programme (as outlined in our minimum service levels) as well as the details of any who have not. Each subcontractor, delivery site and member of staff will be rated against their KPIs on a quarterly basis as gold (exceeding objectives), green (meeting objectives), amber (below required levels) or red (well below required levels). Managers and Contract Managers will explore underlying reasons for any poor performance by examining individual efficiency rates, engagement rates, caseload numbers and the performance of particular cohorts. All MI will feed into our UK Performance Portal which contains a balanced score-card to benchmark each contracts performance. Our Continuous Improvement Team will analyse all customer feedback and complaints across our supply chain and report key findings quarterly for management teams. Management and performance improvement Our DMF outlines clear roles, responsibilities and review points to ensure that we act on the findings of our monitoring and evaluation activities. This will enable us to drive consistent performance and act on any cases of underperformance. Ingeus-Deloitte - All frontline staff will have monthly progress and formal Quarterly Performance Reviews with their Deputy Operations Manager (DOM) to review performance against targets and examine areas for development. They will be encouraged to take up options from our Support Menu of developmental activities and training. These options include: observations and feedback on the quality of interactions; buddying schemes; caseload reviews; and activity plans. Staff will be expected to achieve green performance every quarter as a minimum. If performance is classed as red for one quarter or amber for two then our Performance Support Process (PSP) will be triggered and a Performance Improvement Plan drawn up. More frequent review meetings will take place and staff will be expected to take up options from our Support Menu. If their performance does not reach green or gold for a further two quarters, remedial action will be taken which may result in dismissal. These same principles will be applied when managing the performance of delivery sites. In each case, the DOM will have progress and Quarterly Performance Reviews with their Operations Manager who in turn will have the same with the DNE. All managers will review their operation informally on a weekly basis as a minimum. DOMs will incorporate actions resulting from the meetings into a Development Plan. Trends across delivery sites will be addressed and sites which underperform for two or more quarters will be moved onto the PSP. Additional support will be directed to these including training for staff; more frequent senior management input; and the implementation of best-practice methodologies from high-performing sites. Subcontractors - All subcontractors in the CPA will be responsible for managing the performance of their staff to achieve performance and quality targets. Each of our Lead Providers has provided evidence of their performance management systems as part of

5.3 (continued) our supplier selection. Each subcontractor will have a designated IngeusDeloitte Contract Manager who will hold monthly progress reviews and formal Quarterly Performance Reviews in addition to providing ongoing hands-on support. Subcontractors will be issued with a copy of our DMF which outlines our PSP and the improvement interventions available through our Support Menu. Subcontractors whose performance is classed as amber for two quarters or red for one will be moved onto the PSP. Together with their Contract Manager, they will update their Development Plan to incorporate interventions from our Support Menu. These will include (for staff and managers): buddying schemes; additional training; activity plans; observations; access to Deloittes Leadership Course; additional resource from Ingeus-Deloittes corporate functions; and more regular meetings with the Contract Manager. If there is no improvement within a six month period, after consulting with JCP, referrals may be reduced or a termination of contract notice served. Our Head of Contract Management will be responsible for ensuring that the management of subcontractors adheres to the DWP Code of Conduct and Merlin Standard at all times. Continuous Improvement Activities We have set ourselves stretching targets to improve performance on the Work Programme throughout its duration, which will be achieved using proven continuous improvement methodologies and pioneering new approaches. Each subcontractor, member of Ingeus-Deloitte staff and delivery site will have a Development Plan which will be updated on a quarterly basis to identify performance improvement actions. In addition, the following innovations will reinforce our approach to continuous improvement: Splash Customised software will enable Ingeus-Deloitte staff and subcontractors to contribute new ideas and to comment on others that have been suggested. The most effective ideas will be agreed and implemented every six months. Innovation Fund This is designed to enable members of our supply chain to bid for funding to enact new and innovative ideas that will enhance performance. Competitions will be advertised, calling for proposals for ideas that will improve our service for customers, especially those who are hardest to help. Osiris Our pioneering software will enable us to measure the impact of each type of intervention for each customer group. This will enable us to expand interventions that are successful and eliminate those that are not. Innovation Forum All members of our supply chain will be invited to attend a biannual national forum to discuss innovative ideas developed locally and share best practice. These will be hosted at Deloittes ground breaking iZone centre. This will be led by our new Continuous Improvement Team which has been introduced to drive innovation and significant performance improvement over the life of the contract. Resolving issues within our supply chain, partners or other bodies Ingeus-Deloitte has an excellent reputation for collaborative supply chain management and we receive consistently good feedback from our suppliers. In our 2010 subcontractor survey, [REDACTED], at Action for Blind People says Ingeus as a prime contractor are simply first class. The team of staff I work with are consistently efficient, responsive and supportive. We will actively seek feedback from subcontractors and partners through annual surveys and regular provider forums. If a subcontractor has a particular concern, they can use our dispute resolution process. Parties should first raise their concerns with their designated point of contact. If this does not reach a satisfactory conclusion, they should write to our DNE who will respond within seven days. If it is still not resolved then our CEO will meet with the relevant parties. If no resolution can be found, the issue will be referred to an external mediator. Material issues raised by other bodies will be escalated to the DNE.

[5.4] Delivery Locations Provide details of the key delivery locations and explain how you and your supply chain will achieve full geographical coverage of provision for the delivery of the Work Programme within this CPA; and

Detail what you have taken into account in terms of the needs of the customer groups in determining this approach.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to four sides of A4.

5.4 Ingeus-Deloitte and our supply chain will provide comprehensive coverage across the North East from 16 core delivery sites and a minimum of 16 community outreach locations. Our strategy for delivery locations in the North East is based on the findings of a six month research project into the needs of customers in the area, which included: consultation with local stakeholders; consideration of providers existing infrastructure; JCP analysis of the region; public transport travel times; and a property search, led by Drivers Jonas Deloitte, one of the largest real estate advisory companies in Europe. Our strategy is designed to provide convenient access for all customers, particularly in areas of deprivation, and to promote frequent attendance and high activity levels. Ease of access will be a particular priority for IS customers with caring responsibilities and ESA and IB customers, some of whom will have mobility issues. Our locations have been selected using the following principles: (i) Accessibility we should limit customer journey times to promote frequent attendance; (ii) Close to commercial hubs which provide readily available job vacancies; (iii) Capacity to accommodate our Accessible Community Experts (ACE) Network of specialist providers to provide customers with a joined-up service. The majority of services will be provided from the premises of Ingeus-Deloitte and our three Lead Providers Triage, BTCV and Learning Choices. For customers who have difficulty accessing one our sites we will have outreach sites in 16 community locations. Through our partnership with learndirect we have access to more than 40 sites in the North East and could deliver outreach services from any one of them. Our core sites and outreach locations are illustrated on the map below. Full delivery addresses are listed in Annex 2. Seven of our 16 delivery sites are in established locations and Ingeus-Deloitte and Triage will open new offices in a further nine locations across the region. Both organisations have a proven track-record of opening new high-specification offices to tight timeframes.

5.4 (continued) For example, within a four month timeframe, Ingeus Property and Facilities Team secured, fitted out and equipped 12 new offices and supported subcontractors, including Triage, to set up in new areas to provide full coverage across two FND contract package areas from day one of delivery. Northumberland - Northumberland includes concentrations of population in the South and substantial rural areas further North and West. It is the most sparsely populated county in England, and features areas of isolated deprivation and limited public transport options. Coverage across Northumberland will be provided by a new Ingeus-Deloitte office in Ashington, by Learning Choices from two established sites in Alnwick and Berwick and through outreach where appropriate. Berwick (Referrals from Berwick JCP.) Learning Choices established site will support customers in the far North of the CPA. It is located less than a five minutes walk from the train station and Marygate, where numerous shops and businesses are located. Alnwick (Referrals from Alnwick JCP.) Learning Choices Alnwick office is located in the town centre and is served by buses from Widdrington, Amble, Warkworth, and Alnmouth. Ashington (Referrals from Morpeth, Blyth, Cramlington and Bedlington JCPs.) IngeusDeloittes new Ashington offices will support clients on the North Sea coast including areas such as Newbiggin-by-the-Sea. We have identified premises in the centre of Ashington, four minutes from the bus station. It is also a short drive from employers at Wansbeck Business Park, North Seaton Industrial Estate and NREC in Blyth. Outreach Learning Choices has expertise in rural delivery and will provide outreach services from six community venues across Northumberland including Powburn and Elsdon. Ingeus-Deloitte will deliver outreach services in Prudhoe and Blyth (from Learning Choices sites) and in Morpeth (through a co-location arrangement with Northumberland County Council). Tyne and Wear - This area features significant customer concentrations in Gateshead, Newcastle, Sunderland, North Shields and South Shields. There are also excellent transport links from other significant towns such as Washington, Blaydon and Jarrow. Although the area includes 51% of expected referrals in the area, it can be served using five Ingeus-Deloitte offices. Each office will offer a wide range of support services, delivered by our ACE network of specialist partners, to help customers facing multiple, complex barriers to work. North Shields (Referrals from North Shields, Whitley Bay, Westmoor and Wallsend JCPs.) We have identified premises in the centre of North Shields which will serve customers from across North Tyneside. It is situated less than ten minutes walk from North Shields Metro station and close to bus stops which serve, amongst other places, Whitley Bay and Newcastle upon Tyne. South Shields (Referrals from South Shield and Jarrow JCPs.) Our South Tyneside will be situated in the centre of South Shields. The site is less than 100 metres from South Shields Metro station and less than 50 metres from Keppel Street bus station. This makes the office accessible from Jarrow and Hebburn, areas characterised by high unemployment rates and in the 5% most deprived areas in the country. Newcastle (Referrals from Newcastle West, Newcastle East, Newcastle City, Newburn, Wallsend and Westmoor JCPs.) We have identified premises in Newcastle City Centre which are easily accessed by public transport, being situated within a ten minute walk of Newcastle train station, three minutes walk from Monument metro station, adjacent to Eldon Square bus station and three minutes walk from Haymaket bus station and Metro station. The office is located in the centre of a major commercial hub, (adjacent to Eldon Square Shopping Centre, the UKs largest city shopping centre, where a high proportion of job opportunities exist.

5.4 (continued) Gateshead (Referrals from Gateshead, Felling and Blaydon JCPs.) Our office is situated 5 minutes from the centre of Gateshead and is a five minute walk from Gateshead Stadium Station. This provides direct access to job opportunities including vacancies at the MetroCentre Europes largest shopping and leisure complex. The offices proximity to the Felling bypass provides easy access to the Teem Valley Trading Estate and neighbouring industrial areas. Sunderland (Referrals from Sunderland, Seaham, Washington, Southwick and Houghton-le-Spring JCPs.) The office is located in the centre of Sunderland within three minutes walk of Sunderland rail and Metro stations. The office is also a short journey from call centres in Docksford, Nissan in Washington and a number of industrial parks. Outreach Ingeus-Deloitte will deliver outreach services to customers with mobility issues from learndirect sites in Hexham, Blaydon and Washington. County Durham - Our Lead Provider BTCV will deliver the Work Programme to customers across County Durham. Given the low population density and dispersed nature of County Durhams towns and villages, BTCV will deliver services from five existing, permanent sites. Each office will take referrals from JCP offices in the same town, making our services accessible for the majority of customers. Consett (Referrals from Consett JCP.) The office is served by more than 25 bus routes including those going to Durham, Newcastle and Sunderland. It is also proximate to job opportunities at International Cuisine, Derwent Valley Foods and the new Tesco Superstore (due to open later this year). Chester-le-Street (Referrals from Chester-le-Street and Stanley JCPs.): The office is situated opposite Chester-le-Street train station and a short walk from numerous bus stops which serve areas such as Newcastle, Sunderland and Durham. It is also close to job opportunities at Chester-le-Street hospital. Durham (Referrals from Durham JCP.) Durham is the commercial hub of the county providing job opportunities for local customers. BTCVs Durham office is located seven minutes walk from Durham train station and seven minutes walk from Durham bus station which is serviced by 30 local bus routes. The office is close to the Gilesgate area of Durham, which is ranked as one of the 10% most deprived SOAs in the country. Peterlee (Referrals from Peterlee JCP.) The office is located in the centre of the town close to over forty bus routes servicing the neighbouring areas on the coastal corridor such as Easington and Wingate. Job opportunities in Peterlee are provided by local call centres, Walkers crisps and business on the nearby industrial estates. Bishop Auckland (Referrals from Newton Aycliffe, Bishop Auckland, Crook and Spenymoor JCPs.) BTCVs office is located next to Bishop Auckland bus station. The majority of people living in Bishop Auckland live in the urban town centre making this office accessible for the majority of customers in the area within twenty minutes. The Tees Valley - For customers in the Tees Valley, our Lead Provider Triage will deliver employability services from new premises in Darlington, Middlesbrough and Hartlepool. Good public transport links to neighbouring towns including Stockton, Redcar and Cleveland, make these site accessible for the vast majority of customers. Triage will offer a wide range of services from these sites including support for housing, debt and childcare. This integrated approach will be particularly important for the162,000 people) in the Tees Valley who live in the 10% most deprived areas in the UK and who typically face multiple, complex barriers to work. Darlington (Referrals from Darlington JCP.) The office is located in the centre of the town, seven minutes walk from both Darlington and North Road rail stations. 70 bus routes pass through the town over 90% of Darlington residents live within a short bus journey of the town.

5.4 (continued) Hartlepool (Referrals from Harltepool JCP.) It is located in the centre of the town, close to over forty five bus routes servicing the neighbouring areas of Middleton and Owten Manor as well as areas with greater concentrations of jobs such as Middlesbrough. Middlesbrough (Referrals from Middlesbrough, Middlesbrough Central, Stockton on Tees, Thornaby, Redcar, Eston, Guisborough, Billingham and Loftus JCPs.) We have identified premises which are easily accessed by public transport, being situated in the centre of the city, within a ten minute walk of Middlesbrough train station, and five minutes walk from the bus station. The office is also located in the centre of a major commercial hub with Cleveland shopping centre adjacent to the office. Outreach Delivery in this area will be supported by outreach from Redcar, Guisborough, Thornaby on Tees and Loftus for customers unable to attend core premises. Meeting the needs of all customer groups Our strategy is designed to meet the needs of all customers and clear minimum standards have been set to ensure their experience is positive. All premises must, as a minimum, include: a range of free, readily available job-search facilities, with computers with fast broadband access, faxes, phones, trade journals and newspapers; training rooms; private rooms for confidential discussions; space to host staff from referral partners and ACE Network; and disabled access. All existing premises deliver similar services to the Work Programme and are thus suitably equipped. New sites will be fitted out according to our exacting standards that are used in more than 80 locations across seven countries. We have also considered the needs of customer groups with specific requirements: Customers with complex barriers to work The range of specialist services provided by our ACE Network will be co-located from the premises of Ingeus and our three Lead Providers. This service will allow customers to access services conveniently from one site, and will encourage joined-up working between supply chain members. This will be particularly important for customers in the JSA Early Access and ex-IB and IB groups who are likely to be furthest from the labour market. Customers with health conditions and/or disabilities While all premises will be accessible for customers with disabilities, much of the region is rural and this provides challenges in terms of accessibility. To address this we will hold appointments closer to home through outreach or home visits. Customers will also have access to Invisage, our on-line portal which enables job-search to be conducted from home or community facilities. We expect these services to be largely used by customers in the ESA flow, ESA volunteer, ESA ex-IB, IB and IS groups. Parents and customers with caring responsibilities We will encourage parents to attend our provision by offering secure, child-friendly areas in each office. Staff will work in partnership with the nearest Sure Start Childrens Centre or a similar childcare facility to make it easier for parents to access our wide-ranging services. To support customers with caring responsibilities, we will invite a regular presence from Social Services to advise on local carer support services. Continuous Improvement Our premises strategy will be continuously reviewed to ensure that it meets the needs of all customer groups throughout the lifetime of the contract. Drivers Jonas Deloitte will provide support on managing our property strategy, including advice on sourcing new premises and making adjustments for specific customer groups. We will seek to co-locate services with other stakeholders to provide joined up services for customers and already have an agreement with Northumberland County Council to deliver services from their one-stop shop.

[5.5] Volume Fluctuations and Customer Group Changes Describe how you and your Supply Chain will maintain service delivery in the event of fluctuations in numbers of customers and changes to the customer groups referred including potential alterations resulting from changes to the welfare regime referred to you (see Future Services Schedule). Your response should include the following: How you will maintain minimum performance levels; How you will manage expanding/contracting business as a result of Market Shift or economic factors without an adverse effect on service delivery.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to two side of A4.

5.5 The Work Programme is likely to be characterised by significant fluctuations in customer volumes and changes in customer groups caused by factors including: economic circumstances; redundancies; the migration of Incapacity Benefit customers to JSA and ESA; market share shift; and the introduction of additional customer groups e.g. ex-offenders. Ingeus has significant experience in managing fluctuations and changes to customer groups. For example lone parents were introduced as a new customer group onto our New Deal and Employment Zone contracts and volumes on our Pathways to Work contracts have varied by more than 75% over the contract term. For the Work Programme in the North East, we will liaise with JCP, as well as conducting our own analysis, to estimate likely short and long term changes to customer groups and volumes. We have built flexibility into our delivery approach which will enable us to effectively manage significant volume fluctuations. Mechanisms for planning and anticipating changes to customer volumes Our Director of Operations for the North East (DNE), [REDACTED], will be responsible for anticipating volume fluctuations and customer group changes in this region throughout the lifetime of the contract. Each quarter she will forecast customer flows for the year ahead and highlight any implications, particularly on staffing levels. This process will be informed by: evaluation of Management Information prepared by our Performance Analysis Team (including anticipated referral numbers by contract, JCP district and each individual JCP office as well as referral by ethnic group, customer group, duration of unemployment and age); analysis undertaken by the Ingeus Centre for Policy and Research into the effects of policy changes (e.g. the move to Universal Credit); data from Ingeus Labour Market Portal; research undertaken by Deloitte economists into claimant counts and prevailing international, national and local economic and labour market trends; and high-level discussions with key stakeholders such as JCP. Findings will be collated in a quarterly report and disseminated across our supply chain to enable managers to plan ahead. Maintaining minimum service levels in response to short term fluctuations The forecast profiles produced by our DNE will be used to enable us to maintain minimum service levels in response to short-term fluctuations by flexing the appropriate staff, property and supply chain resources that will be required: Staff Ingeus-Deloitte and members of our supply chain will use profile forecasts to plan recruitment activity. We, and our three Lead Providers (Learning Choices, BTCV and Triage), will conduct rolling recruitment activity throughout the life of the contract to ensure we have sufficient staffing levels at all times. This activity will be increased if customer flows are forecast to rise, and will be stopped if flows are expected to fall. For IngeusDeloitte this process will be managed by leading global recruitment services provider Alexander Mann Solutions (AMS). Their approach is to maintain a pool of pre-vetted candidates that can be called upon to enter the final stage of the recruitment process at short notice, thereby offering us complete flexibility. AMS services will also be available to our Lead Providers who will have very similar recruitment requirements. To provide shortterm solutions in the event of sharp increases in volumes for example, as a result of redundancies (47,000 public sector redundancies are expected across the North East over the next four years), we are able to second Deloitte staff on a temporary basis. Deloitte staff could be in post within one week as Employment Advisors or to provide additional management resource. We have already placed Deloitte staff in operational roles, on six month secondment programmes, demonstrating our ability to respond rapidly to short term resource needs using Deloitte staff. All subcontractors will be able to consult with Deloittes Workforce Planning Team to ensure that their recruitment plans are appropriate for the anticipated flows. Property To enable us to manage fluctuations, Ingeus-Deloittes delivery premises

5.5 (continued) have been designed to accommodate customer flows in excess of the peak volumes anticipated by the DWP. In addition, we have in-principle agreements with all members of our supply chain to co-locate from each others premises when required. For example, Economic Solutions has more than 50 delivery sites that are not proposed as core Work Programme delivery premises but can be utilised when necessary. Ingeus Head of Property and Facilities will also maintain a comprehensive database of serviced premises in each sub-region which can be ready for use within two weeks. Supply chain There are 60 preferred suppliers on Ingeus-Deloittes Partner Network for the North East, 18 of which have been selected to support our Work Programme delivery. Therefore, another 42 members of the Network, with whom we have an established relationship, would be able to take on additional flows at short notice, if necessary. We will not only be able to bring in a new provider if there is a significant increase in customer flows, but also if there is a change in the composition of the customer group. In cases of falling volumes we will re-distribute customer volumes across our supply chain to ensure that delivery remains viable for all subcontractors. Managing expanding/contracting volumes in the longer term Ingeus and Deloitte formed a joint venture (JV) to enhance Ingeus frontline delivery capability using Deloittes substantial financial and operational capacity. This JV is well placed to manage longer term changes to customer volumes through: Managing supply chain capacity As a provider on DWPs Framework Agreement, we have developed a long-term strategy to develop the capacity of our supply chain and other service providers in the region. We have established a Partner Network of 64 preferred suppliers with whom we communicate regularly through networking events and a monthly newsletter. Regular opportunities to join the Network will be advertised to expand its capacity. To address long-term increases in customer volumes we will run mini-competitions to source members of the Network to take on flows or work with new customer groups. Where appropriate, we will discuss using Ingeus-Deloittes financial strength to help subcontractors with capital requirements to manage increased volumes. Portfolio diversification Ingeus-Deloittes growth strategy for the next five years includes plans to expand into new areas including skills, working with offenders and careers guidance. Our Partner Network includes many organisations such as Stockton Riverside College and DISC with expertise in these areas and with whom we anticipate working. This growth strategy will ensure that we, and members of our supply chain, are not dependent on Work Programme revenue streams and are therefore able to manage long-term reductions in customer volumes. Properties Our commercial property agent Drivers Jonas Deloitte (DJD) are one of the UKs leading property firms and have already identified all of our proposed Work Programme premises. If increasing customer volumes require us to source one or more additional permanent delivery sites, we will commission DJD to do this. If customer volumes fall, we expect to be able to make use of any excess resource by securing new business through our diversification agenda. Delivery Model Design To enable us to respond to changing customer groups (either through the introduction of new groups or shifts in the balance of benefit types), we have a clear delivery model design process which is managed by our Continuous Improvement Team. When a change in customer groups is identified, the team will conduct research, using international best-practice from Ingeus delivery in seven countries and Deloittes extensive experience of programme design. Solutions may involve the introduction of new programme features such as additional group activities or online tools. In other cases specialist expertise may be required, in which case we will commission services through the Partner Network which includes specialists in areas such as substance misuse and mental health.

[5.6] Managing the Customer Experience Please describe: How you will evaluate and monitor the quality of the Work Programme provision to ensure that it meets the needs of individual customers;

What procedures will be in place for handling complaints as well as feedback from customers of their experiences on the programme; and

how you will act on any findings.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to two sides of A4.

5.6 Ingeus-Deloitte is committed to ensuring that every customer on the Work Programme in the North East receives a high quality service that meets their needs. Our commitment is reflected in our Customer Pledge, which incorporates our minimum service levels. Our Customer Pledge will be displayed in all Work Programme delivery sites (including subcontractors) across the CPA to enable all customers to see the standards of service they are entitled to expect. To ensure we meet the needs of all individual customers throughout the duration of the programme, we have identified a clear two-stage process for monitoring service standards, dealing effectively with any complaints and identifying actions that will enhance the customer experience. Stage One Gather evidence and monitor Ingeus-Deloitte and our supply chain will utilise a range of mechanisms to gather evidence that will enable us to assess the quality of service that all customers receive: Customer feedback This is the most important method of monitoring service levels and we will therefore adopt a pro-active approach to obtaining feedback from all customers throughout their time on the programme. Customers will be encouraged to make comments or suggestions at any time in person, through a suggestions box, through our customer web portal Invisage, by telephone or by email. We will also actively seek customers feedback through workshop evaluation forms and an online customer survey which is accessible through Invisage and can be completed by the customer at any time. Review and Refresh appointments will be held at the end of every Stage in the programme, during which customers will be asked to comment on how well the service is meeting their individual needs. We will also commission an independent annual audit of customer service across all delivery sites which will ask customers to rate their satisfaction with different elements of our service. Stakeholder feedback On an annual basis we will ask all key stakeholders, including subcontractors and referral partners, to complete a feedback survey on their perceptions and experiences of our service. In particular, we will seek feedback from organisations that are able to advocate on behalf of customers who are less likely or less able to participate in Ingeus-Deloittes feedback processes e.g. those with mental health issues or learning disabilities. All local stakeholders will also have a designated point of contact at Ingeus-Deloitte (or in our supply chain) to facilitate ongoing feedback at any time. We have also established a national Third Sector Advisory Panel (made up of the Chief Executives of a number of major and smaller not-for-profit and charitable organisations e.g. Mind and ACEVO) which will meet twice a year to advise Ingeus-Deloitte on issues including how to meet the needs of customers who are hardest to help. Regular feedback on performance from JCP will be sought in accordance with an agreed schedule. Monthly Management Information (MI) reporting Ingeus and all subcontractors will use our ADAPT MI system to capture key customer data including appointments, progress made and outcomes and to produce management reports that will enable us to monitor performance against our minimum service levels. Frontline delivery staff and managers will be able to produce instantaneous reports from the system to monitor the progress of individual customers and the performance of individual Advisors. Data in our MI system will be reviewed by our Head of Performance Analysis on a monthly basis. Data analytics Our pioneering Osiris software has been designed to measure the effectiveness of each type of intervention for each customer group. Using sophisticated algorithms and statistical techniques to analyse all previous customer records, we will be able to evaluate the impact of interventions and advise customers about which are most likely to work for them based on their personal profiles. Procedures for handling complaints We are committed to ensuring that all customers receive a high quality of service.

5.6 (continued) However, if an individual has a complaint about any aspect of the service, we have procedures in place to ensure that we respond effectively and learn from any breaches in service standards. Our Four Step complaints procedure will apply across Ingeus and all subcontractors. It will be publicised on our website, on prominently displayed posters throughout our delivery sites, and in welcome packs given to all customers when they join the programme. It will describe an escalation process informing customers of how they can make the complaint, who will deal with it and the timescales involved at each stage. Customers who wish to make a complaint will be asked to do so, in the first instance, with their Employment Advisor who will try to resolve the issue immediately. If the Advisor is unable to provide a response, or if the customer is not satisfied with the response given, it will be escalated to Step Two of the process which will be dealt with by the Operations Manager (or Contract Manager for subcontractors). The Operations Manager / Contract Manager will meet with the customer and provide written confirmation of the outcome of the meeting within five working days. If the customer is not happy with the response they will be given the option to escalate the complaint to Step Three of the process. This will be dealt with by Director for the North East (DNE) who will investigate the matter and confirm the outcome in a written response within a further ten working days. At Step Four of the process, a customers complaint will be escalated to Ingeus Chief Executive Officer who will provide a written response within ten working days. At this point, customers will be informed that they have reached the end of our internal complaints procedure and we will send all relevant details onto the Independent Case Examiner for mediation and, if necessary, investigation. Our internal audit team will be the point of contact for the Independent Case Examiner and will support them as appropriate to achieve a resolution. Stage Two Evaluation, Action and Review The results of our monitoring activities, including a summary of all complaints, will be reviewed on a quarterly basis at all levels to ensure that we continue to enhance the quality of the customer experience throughout the lifetime of the contract. This will start at the level of each delivery site, where the Deputy Operations Manager (or equivalent in the case of subcontractors) will evaluate and summarise MI data and customer feedback. This will be discussed at Quarterly Review Meetings with Operations Managers or Contract Managers in the case of subcontractors. Areas for improvement will be identified and clear, time-bound actions will be agreed to address them. Actions could include designing additional interventions or providing additional job-search facilities. These actions will be input into an operational Development Plan which will also identify clear review points and methods of evaluation to ensure that actions are followed up in full. On a quarterly basis the DNE will review all operational Development Plans to identify trends across the CPA including any patterns of complaint. These will be fed into a contract Development Plan with performance improvement actions which could include sourcing additional subcontractors to meet the needs of specific customer groups, or re-training staff to cover any areas of weakness. At a national level, Ingeus-Deloittes Continuous Improvement Team will be responsible for analysing trends across all of our operations. Having identified an area for improvement they will design solutions, using methods such as staff or customer focus groups and researching best-practice methods. They will then put forward a proposed solution which will be reviewed by Ingeus-Deloittes Chief Operating Officer and all Regional Directors. If they are agreed, they will first be piloted in one or more delivery sites, before being rolled out nationally if successful

PART 6:

RESOURCES

[6.1] Staff Resources Staffing Numbers, Job Titles and Roles Please provide: Details of the number of staff, shown as full time equivalents, you and your supply chain propose to employ to manage and deliver the Work Programme for this CPA. You should include a description of why you consider this staffing level is appropriate for this CPA at contract start date, together with details as to how you will manage the staffing levels as customer volumes rise and fall over the lifetime of the contract. This should include a description in detail of the number of staff to be drawn from current resources, those to be recruited by both your organisation and any supply chain organisations involved. Please provide details of how you have identified the skills required by staff in your organisation, and that of any sub-contractors, to deliver the service you have proposed at Section 4. You should describe how you propose to acquire staff with these skills or provide the appropriate training to ensure that these skills are available to commence delivery of the service on the date you have proposed. A resource plan should be provided (attach as Annex 5) showing how staffing, by full time equivalent and job title/role, will be allocated across this CPA and a description of the job roles of staff shown in Annex 5.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to five sides of A4. Note: Format requirement and page limit does not apply to the resource plan which you must insert as Annex 5.

6.1 [REDACTED],

[6.2] Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) Please refer to the Provision Specification and Supporting Information before completing the following TUPE questions. [6.2a] TUPE Managing the Transfer Please detail your plans and those of any Sub-contractors for managing TUPE transfers which will/may result from this Work Programme contract. Your response should include: measures you propose to take under Regulation 13 of the TUPE regulations, (including any proposals to seek agreement to change terms and conditions of employment or any redundancies for organisational, technical or economic reasons over the life of the Contract), to enable you to meet their statutory requirements; how you propose to communicate with transferring staff prior and immediately after the transfer date; an outline of your plan of activity to transfer in staff; how you propose to work with existing employers to ensure a smooth transfer of staff; and details of how you plan to ensure that any Sub-contractors will fulfil the requirements of TUPE Regulations and any relevant Codes and Statements of Practice.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to two sides of A4.

6.2a Measures we will take under Regulation 13 - In line with Regulation 13, we will adopt four key principles during the TUPE process, as well as other measures set out below. We will: Ensure clear and transparent processes are embedded throughout implementation and contract delivery - allowing the smooth transfer of staff to and from Ingeus-Deloitte and our supply chain; Present any options for agreeing to changed terms and conditions clearly and objectively to transferring staff to help them make informed choices; Monitor the compliance of all members of our supply chain with TUPE legislation including the Code of Practice on Workforce Matters, A Fair Deal for Staff Pensions and all other relevant codes of practice; and Seek to avoid redundancies by committing that redundancies will only occur in material economic, technical or organisational circumstances. Our high-level plan of activity for working with existing employers to transfer staff In preparation for the likely transfer of staff under TUPE we have already conducted an assessment of potential liabilities using figures provided by DWP. We have consulted with members of our supply chain to forecast the implications for each organisation and received written confirmation that they are committed to meeting their obligations. In addition, our pension adviser, Capital Management Solutions, has identified pension schemes that are broadly comparable with those from the public sector, should this be required. Our plans for managing the transfer of staff under TUPE are outlined in a detailed plan, produced in consultation with Deloittes Human Capital Practice. Our plan has three key phases (pre, during and post transfer): Pre-transfer Immediately after preferred bidder status, we will establish a TUPE steering committee, to be chaired by the Ingeus-Deloitte HR Director and include representatives from Deloittes Human Capital and Pensions Practices. The Committee will meet on a fortnightly basis throughout the transfer period. Our HR Director will have overall responsibility for Ingeus-Deloitte and our supply chain, meeting all relevant codes of practices. Within a week of contract award we will establish contact with all existing employers and provide them with a point of contact in our HR Team. Using information gathered from existing employers and our supply chain we will conduct a more detailed assessment of TUPE liabilities, including the potential liabilities for each of our Lead Providers (to whom we expect transfers to apply). We will provide all members of our supply chain with our TUPE toolkit, which includes a Guide to TUPE Information Pack. Within three weeks of contract award we will draw up individual TUPE Transition Plans (TTP) with all of our regional Lead Providers in consultation with transferring providers. During transfer - Following notification of the names of individuals who may fall under TUPE, we will work with transferring employers to establish Consultation Groups for each. We will aim to set these Groups up within two weeks of contract award, and they will meet on a fortnightly basis to review progress on the TTP and gather feedback from affected staff. Each group will include elected employee representatives (including trade union representatives if appropriate); the existing employer; an Ingeus-Deloitte HR Manager; HR officers for the other prime provider in the CPA; and nominated representatives from each of our subcontractors. Each affected member of staff will be invited to a one-to-one meeting with their designated Ingeus-Deloitte HR Manager to discuss their current details of employment, and give them the opportunity to ask questions about the TUPE process. Representatives will also be provided with information about our delivery model, job descriptions and locations of our operational sites. In each case, all transferees will be asked to specify their preferred role and location. Where there are more individuals with appropriate skills for a role than the number of such roles in our delivery model, we will conduct a fair and open selection process and offer unsuccessful candidates alternative

6.2a (continued) roles (with appropriate retraining) and investigate appropriate roles with our subcontractors. In addition, a Pre-Start Orientation will offer transferees the opportunity to visit an Ingeus-Deloitte site before their transfer to address any anxiety prior to their start. Post-transfer - Ingeus and Deloittes previous experience of large scale TUPE transfers and organisational change has demonstrated that change management is critical to the successful transfer of staff. All new staff will therefore attend formal training on our Service Delivery model, core delivery skills, Quality Standards and Performance Management approach. We will also implement a Cultural Integration Programme, delivered over the first two months post-transfer, that has been designed to integrate all new transferees into Ingeus-Deloitte through a range of informal and formal social events including: welcome groups; peer group meetings; active mentoring programmes; and social evenings. Transferring staff will also be able to access a designated TUPE helpline and webpage for to help address frequently asked questions and other common issues. How we will communicate with staff and work with existing employers We have developed a robust communications plan to ensure that affected staff are informed and consulted with at all stages of the process. This plan includes: Presentations to all members of staff (held jointly with the transferring employer) within four weeks of contract award informing them of: their legal obligations and rights; the date of transfer; the consultation process; and measures it is envisaged the transferee will take. Non-affected staff members will be invited to attend the initial presentation we conduct with all potential transferees to ensure all those involved understand TUPE and its implications for colleagues; A commitment to communicating via trade union representatives as requested; A TUPE helpline and a dedicated Ingeus-Deloitte point of contact for all transferees to enable rapid responses to all queries; Formal fortnightly communications delivered via the Deloitte Consultation Group, including the distribution of meeting minutes to all affected members of staff; Working with existing employers by appointing elected representatives to the IngeusDeloitte Consultation Group, demonstrating our commitment to providing consistent messages to all affected and non-affected staff; and A TUPE Q&A log which will offer employees the opportunity to email queries to a dedicated email address, the answers to which will be distributed to all elected representatives for further distribution. How we will monitor subcontractors compliance with TUPE requirements All subcontractors complete a Partnership Information Form which asks suppliers to set out their experience of handling TUPE transferees. We have followed this with a formal Risk Assessment. Ingeus-Deloitte has only agreed formal contracting arrangements with subcontractors who have confirmed they will adhere to TUPE regulations. In addition, all subcontracting prices have included an allowance for likely pension liabilities, estimated using information provided by DWP. Each subcontractor will be assisted by the Consultation Group in drawing up a TTP, against which progress will be reviewed by Ingeus-Deloittes HR Team and the Contract Management Team on a fortnightly basis. The TTP will include: how each subcontractor will consult with affected members of staff; their plans to meet the Code of Practice on Workforce Matters; and how they will engage with trade unions or other staff representatives in accordance with TUPE regulations 5 and 6. In addition, Ingeus-Deloittes legal advisors will provide legal advice on TUPE to our supply chain. All members of our supply chain will also have access to the pension scheme(s) identified by our pension advisers (Capital Management Solutions) as being broadly comparable to those accessed by individuals transferring from public sector schemes. We will also share information we have been given by contracting authorities and/or incumbent providers about members of staff that are expected to fall under TUPE.

[6.2b] TUPE Managing the Transfer Please supply details of what lessons you and any of your Sub-contractors have learned from TUPE transfers and/or major organisational change which will influence how you would handle similar issues in the context of this Work Programme contract including details of how it influences how you would manage any transfer/change which may arise as a result of this Work Programme contract. Please describe what aspects of TUPE you consider will be relevant to this procurement. Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to one side of A4.

6.2b To date, Ingeus has successfully managed the TUPE transfers of more than 1,600 staff to across a variety of different contracts. We have used this experience, Deloittes expertise in managing TUPE and major organisational change, and the experience of our Lead Providers, to design our TUPE processes for the Work Programme. Key lessons learned include: Consult early with all staff members on the scope of TUPE. TUPE consultations on Ingeus Flexible New Deal (FND) contract in South Scotland took longer than anticipated, which led to potential transferees receiving mis-information from their existing pre-TUPE employers. To ensure this does not happen on the Work Programme we will: liaise with affected organisations at the earliest opportunity; deliver presentations to affected staff; consult with Trade Union representatives (if appropriate); communicate on a regular basis with each elected employee representative to provide updates and answer queries; conduct one-to-one meetings with affected staff; undertake skills/job matching; and provide a pre-start orientation day. Collaborate with the other incoming Prime to disseminate key messages. Upon notification of contract award (for FND in Leicestershire, Northamptonshire and Nottinghamshire) Ingeus collaborated with Working Links (the other Prime) to disseminate information to potential transferees. This meant all potential transferees received consistent messages which facilitated a smooth transfer process. For the Work Programme, immediately following contract award, we will invite a representative from the other incoming Prime to attend our Consultation Group to agree clear messages to be disseminated to potential transferees. Enrol all transferees in a Cultural Integration Programme (CIP). After the large-scale TUPE transfer of 1,500 staff from Andersen to Deloitte, a comprehensive review identified cultural integration as the key success criterion. Recognising this, we have developed a robust Change Management Framework which incorporates structured communications, an integration strategy and evaluation mechanisms. Our CIP for the Work Programme will include: welcome events; peer group meetings; mentoring programmes; training in our systems and performance management processes and access to a designated TUPE helpline. Informal social events will also help new employees integrate in a less formal environment. The success of this approach is reflected through Ingeus FND employee feedback 100% of TUPE transferees wrote that they were satisfied with the support they received and more than 80% responded that they were extremely happy. Support members of our supply chain through the TUPE process. Previous experience confirms the importance of providing advice and support to our subcontractors (in particular smaller organisations) throughout the TUPE process. For the Work Programme we will: co-ordinate the sharing of information between existing employers and our supply chain; obtain independent legal advice which can be used to produce common interpretations of TUPE legislation; manage the high-level process of consultation with affected members of staff; assist our subcontractors with the identification of appropriate pension schemes for incoming staff; and monitor our subcontractors adherence to their legal obligations and relevant statements of practice. Commit dedicated resource, governance and programme management processes. This is critical to managing large scale TUPE transfers in a complex environment Relevant aspects of TUPE - Based on advice from our lawyers and Deloittes Pensions Practice, we consider that many aspects of TUPE will be relevant to this procurement, notably: (i) potential TUPE transferees from existing providers where Ingeus were to win contracts will need to be identified; (ii) the requirement to inform and consult must be met in full including employee liability information; (iii) there will be specific issues related to the transfer of employees from the public sector, including but not limited to, public sector terms and conditions, pension requirements for GAD certification and redundancy payment requirements.

PART 7:

STAKEHOLDER ENGAGEMENT]

[7.1] Local Stakeholders Please describe in detail how, in relation to this CPA you and your supply chain will engage with key local stakeholders including smaller and voluntary sector organisations to ensure effective on-going relationships with them throughout the life of the contract. Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to three sides of A4.

7.1 Ingeus-Deloittes Stakeholder Engagement Strategy for the North East has been drawn up in consultation with Deloittes Local Public Services Partner in the region, [REDACTED], Deloitte has a comprehensive understanding of the regional landscape through more than thirty years of working with a range of public and private sector clients including all 12 of the local authorities, North East Strategic Health Authority and One North East (the RDA). Our strategy also draws on our consultations with local stakeholders and our Lead Providers (BTCV and Learning Choices) established stakeholder relationships in County Durham and Northumberland. Our research highlighted that there is a well-established network of stakeholders in the North East with a history of collaborative working to achieve shared objectives on health, skills and employment. In particular the Regional Employment and Skills Framework has been identified as an example of best practice in partnership working. Our approach will be to work with key partners (such as the two LEPs, 12 local authorities, Jobcentre Plus and a range of smaller and third sector providers) and other local stakeholders, throughout the life of the contract, to address low skills; develop a culture of enterprise and entrepreneurism; join up health and employment outcomes to help customers improve their prospects in both; and work together to tackle transport and seasonal barriers to employment. Ingeus-Deloittes Director for the North East (DNE), [REDACTED],, will lead on the execution and evolution of our strategy, with support from Deloittes regional Practice and Ingeus-Deloittes Operations Managers in the region. Each of our Lead Providers will be involved in the ongoing design of our strategy and will be required to engage and work with stakeholders in their local area. The principle mechanisms for engaging stakeholders in the region have been incorporated into our strategy and are set out below: Regional Advisory Board (RAB) This will be hosted by Ingeus and our Lead Providers and will meet on a quarterly basis to: discuss performance and activity reports; provide updates on local service provision; share best practice of meeting delivery challenges; review labour market trends and ensure that we are developing appropriate skills sets in each part of the region; and explore opportunities to join up services through co-location, matched funding and/or cross referral arrangements. The RAB will consist of senior personnel from major stakeholders across Northumberland, Tyne and Wear, County Durham and Tees Valley to ensure we take into account the interests of all parts of this region. Invitations to join the Advisory Board will be made to, amongst others, JCP Director for the North East, the Tyne and Wear City Region, Tees Valley Unlimited and the regional CBI branch. We will work with local stakeholders to ensure that the RAB is aligned with other local partnership structures. Stakeholder Network This has been established to encourage engagement at a more local level and to facilitate regular communication between Ingeus-Deloitte and a wide range of local stakeholders. The opportunity to join the Network will be widely advertised and we have already engaged with more than 45 stakeholders in the region, to whom we will promote membership of the Network. All members will be invited to sign up to the Stakeholder Charter, which provides a clear statement of intent that outlines the ways in which we will seek to work with stakeholders in this region including the co-location and joining up of services to meet shared objectives. Local stakeholders that have already signed up include Northumberland County Council and Sunderland College. We will also host local forums which will provide an opportunity for stakeholders to share best practice and inform our Work Programme delivery. Our approach to engagement with key stakeholders Based on Ingeus UK welfare-to-work delivery experience and Deloittes knowledge of the region, we have identified seven key local stakeholder groups and have set out below

7.1 (continued) how Ingeus and our Lead Providers will work with each one. Local Enterprise Partnerships (LEPs) and North East Economic Partnership (NEEP) Two LEPs have been approved in the North East (Tees Valley Unlimited covering the Tees Valley and Tyne and Wear City Region covering Durham, Northumberland and the Tyne and Wear) that will be supported by the regional NEEP. Priorities for the LEPs include co-ordinating support services for jobless residents and promoting enterprise. We have ensured that our delivery model and strategy for this region is in line with their priorities and will explore joint working practices following contract award. For example, we will set aside a proportion of our Work Programme budget to invest in innovative pilot programmes (that will be commissioned in consultation with the LEPs) and will work with the LEPs and the Chamber of Commerce to develop our Enterprise programme, through which we aim to assist 5% of Work Programme customers into self-employment. We will invite representatives from the LEPs to join our RAB to identify practical ways of supporting the LEPs propositions throughout the life of the contract. [REDACTED], from Business Investment at Tees Valley Unlimited, has expressed his enthusiasm for jointworking in the future. Jobcentre Plus - Our DNE, [REDACTED], will engage with the three local JCP District Managers and the JCP Director for the North East, [REDACTED], to: provide a smooth transition for customers starting and completing the Work Programme; identify additional JCP provision that complements our delivery; share performance data; and combine our employer partnerships to create more job opportunities for our customers. Our Operations Managers will attend regular Provider Engagement Meetings with JCP to maintain clear communication lines, share information on new employment initiatives and local labour market changes, disseminate best practice and pre-empt volume fluctuations. Our Lead Providers, Learning Choices and BTCV, already liaise with frontline JCP staff on a regular basis to facilitate customer transitions and will continue to do so. We will offer JCP the opportunity to locate delivery staff in our premises and will work from their premises if required. This approach has worked well on our delivery of Pathways to Work and is being piloted by JCP in the Redcar and Cleveland. We will keep all JCP staff updated on our services and successes through quarterly newsletters. Local Authorities (LAs) The 12 LAs will be key stakeholders in enabling us to align our delivery with local capacity and priorities and we will engage with each individually. We will work with LAs to: understand local customer needs; facilitate access to housing support, childcare information and benefits administration; share customer data (through Hanlon if appropriate); explore opportunities to co-commission and co-design new programmes; and create local delivery agreements with a council or group of councils such as co-locating. Building on Deloittes relationships with each of the local authorities, we have already conducted extensive consultations with LAs in the region regarding Work Programme partnership working. For example, three LAs, including Gateshead City Council, will be directly involved in our Work Programme delivery as Vocational Routeway Providers. Following consultation with [REDACTED], from Northumberland County Council, we have agree to co-locate from their premises to help join up service delivery with other local authority functions (e.g. housing and childcare) and to work with their Rural Employability Board to help tackle rural poverty. We will also offer our support to LAs as they prepare for up to 9,000 redundancies. This worked to great effect in Nottingham where we worked closely with Greater Nottingham Partnership and Nottingham City Council to design and deliver a specific package of employability support for the 2,000 council staff expected to be made redundant. Smaller and voluntary sector organisations There are nearly 5,000 charities in the North East which, between them, play a vital role in supporting economic and community development. We will work closely with smaller and voluntary sector organisations as members of our supply chain and referral partners that provide complementary services.

7.1 (continued) Over 50% of our proposed supply chain is from the third sector including Sencia and BTCV. Additional organisations will be involved in the delivery of our Work Programme contract through existing relationships with our Lead Providers and a further 25 smaller and VCS organisations are members of our Partner Network in the North East. We will consult with Voluntary Organisations Network North East to understand how the third sector can best add value to our delivery. At least one member of our Advisory Board will be from a third sector organisation and our national Third Sector Advisory Panel will advise us on issues such as capacity-building support, effective working between the private and third sectors, and how the third sector can deliver most value. Health Providers Following consultation with [REDACTED], from NHS North East, we understand that key local health priorities include: targeting areas with high levels of IB/ESA claimants such as Durham; improving mental health in the workplace; and training employers to identify and manage workplace health. To help achieve these aims we will work with health providers to deliver an embedded Health & Wellbeing service to all customers, before and after they enter employment, and to ensure customers with a health condition receive a joined-up service. To facilitate engagement with health providers, we will leverage Deloittes existing relationships with the North East Strategic Health Authority, the 12 PCTs and the ten NHS Foundation Trusts. We will: invite health partners such as the local PCTs, Community Mental Health, Drug and Alcohol and Improving Access to Psychological Therapies (IAPT) Teams to work alongside our Accessible Community Expert (ACE) network in our sites; seek to co-locate our services within our health partners premises; and look to co-commission Fit for Work Services to help people with a health issue stay in, or return to, work more quickly. We will also support NHS Teesside in the delivery of its equivalent service. Skills Partners - Our knowledge of the skills landscape in this region is informed by: Deloittes 30 years experience of working in partnership with local skills providers through the design and delivery of its Employability Initiative; and Deloittes understanding of the skills needs of local employers obtained through its relationships with local businesses, the CBI and the Chamber of Commerce. To design Vocational Routeways and training that will enable customers to gain new skills and progress in work, tackling low pay, no pay cycles, we have taken into account employers skills needs in each part of the region and have consulted with LAs, the City Region and our supply chain. E.g. in Tees Valley skills required to meet growth industry demands include manual handling (logistics) and production skills (digital media). To help meet these demands, we have subcontracted with 11 skills partners to deliver Vocational Routeways providing customers with training and work experience opportunities in emerging and growth sectors in their local area. Customers will also have the opportunity to undertake vocational qualifications paid for by our Skills Fund and delivered by local colleges such as City of Sunderland College and the soon to open National Skills Academy training centre at Gateshead College. Subcontractors Ingeus-Deloitte has created a Partner Network of 60 preferred providers in the North East to enable us to engage with the local provider base. Members of the Partner Network were identified following a rigorous selection process in response to more than 90 applications. Members receive monthly newsletters providing subcontractor case studies, policy updates, Ingeus-Deloitte performance figures and forthcoming tender opportunities. They will also be invited to regular networking events where they will be able to share best practice and contribute to our approach to delivery. In addition they will be able to access our online interactive Partner Network Portal. Via the Portal, frontline staff will be able to share tips on how to motivate customers and the best sources of local job vacancies; Employer Account Managers will ensure that employer engagement activity is co-ordinated across the CPA to provide a single employer offer; and Managers will share details of strategic and delivery partnerships and best practice on performance management across our supply chain.

[7.2] Employers Please describe in detail how you and your supply chain will actively engage with employers to develop proposals that accurately reflect local needs and describe how you will work collaboratively with employers on an ongoing basis to secure job outcomes for customers attending the Work Programme in this CPA. Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to three sides of A4.

7.2 Ingeus-Deloittes comprehensive Employer Engagement Strategy (EES) will enable us to build and develop relationships with employers in the North East to shape our services according to their needs, and work with them to place customers into sustainable jobs. Deloitte has been working in the North East for more than 100 years, during which time it has built effective relationships with over 185 major private and public sector employers, over 150 owner managed businesses and major business support organisations such as the CBI and the North East Chamber of Commerce. Deloittes understanding of the needs or employers in the North East combined with Ingeus experience of providing marketleading services to employers locally and nationally has informed our Employer Engagement Strategy (EES). Core features of the EES include: Targeted engagement of employers in established, growing sectors and emerging industries. These currently include: low carbon (whole region); new and renewable energy (Tyne and Wear and Northumberland); software (Sunderland and Newcastle); digital media (Tees Valley); and automotives (Tyne and Wear); A co-ordinated approach to employer engagement in partnership with JCP and our supply chain to provide employers with a joined-up service and create the best outcomes for individuals and the North East economy; The Employer Network provides employers with free, professional recruitment services, economic updates provided by Deloittes Chief Economist and regular consultation forums to help develop proposals that meet local needs; Tailored training packages to provide customers with the skills that local employers require in each part of the region, with a particular focus on employability skills, highlighted as an area for focus by Skills North East, and manufacturing and fabrication skills which will be in demand when the older workforce retires; A market leading in-work support offer to enhance employers job retention rates and provide sustainable employment for our customers; described to us by Rachel Murphy from One North East as a particular issue amongst low skilled workers; and SME Business Mentoring Scheme local Deloitte staff volunteers will provide business advice and mentoring to SMEs located in areas of deprivation. (Deloittes regional Practice has been working together with regional stakeholders to support local SMEs to improve start up and survival rates for many years.) Ingeus-Deloittes Head of Employer Partnerships (HEP) for the North East will develop and implement our EES across our supply chain to ensure that we provide a joined-up offer to employers and benefit from each others expertise and employer contacts. The HEP will also liaise with JCP employer engagement teams to ensure our engagement activity is aligned. Our HEP will manage a regional Employer Services Team (EST) consisting of eight Employer Account Managers that will support employers within specific sectors. Each of our Lead Providers has an established employer services team and BTCV and Learning Choices will build on existing employer links in their delivery areas. To ensure employers have access to a wide pool of suitable candidates, all vacancies sourced by Ingeus-Deloitte or a member of our supply chain will be shared on our industry-leading database, ADAPT, which is used by 90% of the worlds leading recruitment companies. Our local EST will be supported by: Ingeus National EST - responsible for brokering relationships at a national level with large employers. They have accounts with more than 100 employers including the Royal Mail, Wilkinsons and Care UK who all have a presence in the region. The EST will leverage its established relationships to source vacancies for our regional teams. Deloittes Practice for the North East is already actively engaging with employers to support Work Programme delivery. Led by Local Public Services Partner [REDACTED], Deloitte will leverage these and other relationships with local employers to target our engagement activities on employers who are likely to create significant opportunities for our customers

7.2 (continued) such as Nissan and Greggs. Engaging with employers to develop local proposals Our EES outlines frequent engagement activities with employers to help us develop proposals that meet their needs and generate opportunities for our customers including: Employer Network We have a network of employers in the North East who will work with us to ensure our delivery objectives remain aligned with local requirements. To grow this, we will target the employers most likely to create sustainable jobs in the next five years including automotives (Nissan and TRW in Sunderland) and renewable energy (NAREC has recently secured an additional 30 million funding in Blyth and Clipper Windpower is building a blade manufacturing facility on the Tyne). Our Employer Services Teams and Deloittes local Practice will promote the benefits of joining the Employer Network which include: regionally hosted networking events hosted in Deloitte offices across the CPA; access to Deloittes industry seminars; free training on issues such as staff retention and workforce development; access to our Invisage employer portal which includes e-training modules and the opportunity to advertise vacancies; and free subscription to Deloittes Insights Service which includes regular economic updates. Ingeus-Deloitte is already actively engaging with employers to support our Work Programme delivery. E.g. NAC Group and Nissan are keen to work with us as to recruit up to 50% of the 2,000 staff Nissan will require in the next 18 months. Consultations at quarterly network forums will ensure we understand which organisations are planning to recruit in the near future; how our service to employers could be improved; and any local skills shortages they have identified. Employers will also have opportunities to provide us with feedback on our service through a designated Account Manager and an annual employer survey. Strategic Bodies We will consult with employer representative organisations as a means of understanding the views of a wide range of employers. This will be achieved through existing relationships such as Deloittes membership of the North East Chamber of Commerce and CBI. Our Director for the North East will be responsible for identifying similar relationships among our supply chain and developing new links to ensure broad consultation. Our Advisory Board for the North East will consist of senior representatives from local stakeholders, and will advise Ingeus-Deloitte to ensure that our delivery incorporates local requirements. In turn, we will sit on relevant boards and will work closely with bodies such as the local authorities, two LEPs and the Employment and Skills Boards to develop an integrated employer offer. Ingeus-Deloitte has used its combined experience and the findings from our consultations to design a comprehensive employer services offer which includes: 1. Vocational Routeways Customised Routeways will address specific skills shortages and develop opportunities in growth sectors. These will be developed alongside members of the Employer Network and will incorporate vocational training sourced through our local skills providers. Consultation with [REDACTED], (Assistant Regional Director, CBI North East) highlighted the low-carbon, energy and creative digital industries as being areas of potential growth. We will therefore seek to develop Routeways in these sectors. The design of Routeways draws on Deloittes experience of designing employability courses, which are currently delivered at 34 FE institutions in England including Stockton Riverside College, and Ingeus experience of running industry-standard training courses for employers such as Wilkinsons and Travelodge. 2. Rapid response Employers who inform us that they are expanding will be offered a rapid response service to provide them with suitable candidates at short notice. We will undertake bulk CV sifting, screening activity and training for large numbers of customers within appropriate timeframes. This will be particularly relevant when new developments emerge such as the Hitachi contract to build train carriages (decision expected shortly)

7.2 (continued) and Mitsubishis wind turbine project. Our approach has proved successful with a number of employers including Sainsbury which has employed more than 500 of our customers since 2006. 3. Tailored offer for SMEs - SMEs are critical to the growth of the local and national economy. Over 75% of Ingeus job outcomes are with an SME and 90% of local businesses fall within this category. Our consultation activity indicates that the top three things SMEs would like support with are promoting online vacancy advertisements, being able to access personal support with HR issues when required, and help with CV sifting. We have incorporated specific interventions for SMEs into our EES such as Deloitte volunteers who will provide periodic advice to support local SMEs to expand. Working collaboratively with employers to secure sustainable job outcomes Employers will be able to access a wide range of services that will meet their recruitment needs and therefore secure job outcomes for our customers. They will be able to choose from a menu of options including: A professional, responsive and free recruitment service Any employer who contacts us can expect to be allocated a designated Account Manager, who specialises in their particular sector, within 24 hours. Employer vacancies will be immediately promoted to customers across our supply chain through our online portal Invisage, and employers can expect a suitable shortlist of candidates within 72 hours. The Account Manager will be the employers consistent point of contact and will support all recruitment activity. The speed and flexibility of our service is designed to make Ingeus-Deloitte the recruitment provider of choice and give our customers priority access to vacancies. Funded training Building on key regional priorities (as outlined by Skills North East) to develop adult workforce skills and matching skills provision to employer demand. We will work with employers to fund pre-work and in-work qualifications and Routeways in growth areas. Employer Portal Network members can access our portal through Invisage, our interactive online resource. This will enable them to: upload job specifications and podcasts; register vacancies and track progress; use skills matching and candidate sifting software; access local labour market analysis; download advice on issues such as reducing absenteeism; and undertake e-training modules. It will also include links to useful local labour market resources such as the Hanlon labour market portal and the two Local Enterprise Partnership websites and Deloittes research and insight resources. Workplace support Employers will be offered a free in-work support service to enhance their staff retention and support sustainable outcomes for our customers. Our Account Managers will work with the employer and customer to: resolve issues in adapting to the new workplace; identify training to address skills gaps; and source Access to Work funding for customers with disabilities. For example, after placing 30 customers at Royal Mail, an Ingeus Account Manager attended Royal Mails office one day a week to provide support with three-way reviews and advice on in-work benefits. This resulted in a 100% sustainability rate for Ingeus customers. To support the wellbeing of customers we place into work, we also have a suite of training materials (developed through the delivery of our Fit for Work contracts), to support management teams in identifying and responding to the signs of stress. These will be made available to all employers. Creating opportunities for the hardest to help We will help employers to adapt their recruitment and work place practices to make them more accessible for underrepresented groups such as people with disabilities, lone parents or people from ethnic minority groups. We provided this service to Ocado, who we helped to develop flexible working practices that helped attract more women into their delivery driver roles.

PART 8: CONTRACT PERFORMANCE

[8.1] Performance Job Outcomes Using worksheet C. Outcome Volumes provided in the Pricing Proposal document, please detail your expected performance in this CPA and provide comment on how this compares to the national benchmark levels detailed at paragraph A4.18 of the Work Programme Specification. Your response must address individual customer groups separately and differentiate between job starts/outcomes and sustained job outcomes. Please note your response to this question shall not be scored but will be used to inform the evaluation of your response to question 8.1a Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to two sides of A4.

8.1 The table below outlines Ingeus-Deloittes performance offer represented as percentage conversion rates of job outcomes in the year, compared to referrals in the same year. It also illustrates the percentage point uplift that this represents against DWPs minimum performance expectations for core customer groups (ESA flow, JSA 1824 and JSA 25+) and against the illustrative figures (plus10%) provided by DWP for all other customer groups (excluding IB/IS). As highlighted in the table, our performance offer is above these minimum performance levels for each year of the contract for each customer group. JSA 18-24 % uplift JSA 25+ % uplift ESA Flow % uplift JSA early access % uplift JSA ex-IB % uplift ESA ex-IB % uplift ESA volunteer s % uplift Year 1 5.52% 0.02 5.50% 0.00 5.52% 0.02 7.02% 1.52 3.30% 1.10 2.21% 1.11 11.45% 0.45 Year 2 33.02% 0.02 29.75% 2.25 16.56% 0.006 28.18% 11.68 14.56% 3.56 9.29% 3.79 29.68% 2.18 Year 3 45.11% 1.11 40.16% 7.16 20.32% 3.82 36.61% 14.61 20.10% 9.10 13.18% 7.68 46.18% 2.18 Year 4 45.09% 1.09 41.26% 8.26 21.11% 4.61 37.26% 15.26 61.91% 17.91 31.66% 15.16 77.07% 0.07 Year 5 46.21% 2.21 40.69% 7.69 21.17% 4.67 37.21% 15.21 18.48% 1.98 163.44% 64.44 56.84% 1.84 Year 6 36.44% 3.44 31.76% 4.26 14.74% 3.74 25.32% 14.32 1.94% 0.84 28.88% 12.38 31.58% 4.08 Year 7 12.00% 1.00 9.20% 3.70 3.80% 0.00 5.71% 3.51 0.00 1.73% 0.63 10.54% 5.04

These performance figures were produced using a model constructed exclusively for the Work Programme, but drawing on Ingeus experience of modelling performance on 40 welfare-to-work programmes. The model is built around cohorts of customers who are identified according to the month they start the programme and the customer group to which they belong. A conversion rate (from referrals to jobs) has been identified for each cohort along with the length of time it will, on average, take them to find work. The table below outlines the average number of sustained payments that we expect to be able to claim for each customer who qualifies for a job outcome payment. These figures build on the job outcome table outlined above and include assumptions about the sustainability of first jobs and an assessment of our ability to help people re-enter employment if they fall out. Customer group JSA 18-24 JSA 25+ JSA early access JSA ex-IB ESA volunteers ESA flow ESA ex-IB Average number of weeks qualifying for sustainment payments (per job outcome) 43.6 43.2 58.8 57.6 59.2 58 70

8.1 (Continued) Income Support and Incapacity Benefit customers The table below outlines Ingeus-Deloittes performance offer for customers claiming Incapacity Benefit (IB) or Income Support (IS), who will be referred under the European Social Fund element. Our offer is represented as a percentage conversion rate from referrals to job outcomes (as defined in the specification). Included in the table is the percentage point uplift that this represents when compared to the non-intervention level for ESA volunteer customers. This group has been used as a benchmark as it most closely resembles the IB/IS group both groups participate on a voluntary basis and both are expected to feature significant proportions of customers with complex barriers to work. The information in the table highlights that we will be achieving a significant uplift which demonstrates our commitment to achieving a step change in performance. Customer Group Income support and Incapacity Benefit % uplift Year 1 7.2% 3.8% Year 2 37.2% 9.7% Year 3 83.7% 39.7%

Our performance offer for sustained outcomes (outlined in the table above) for IB/IS customers represents an average of 9.12 sustained payments claimed for each customer. This represents an average of 49.48 weeks in employment (including 13 weeks job outcome qualifying period) per customer who starts work. The performance offer for IB/IS customers has been developed using the same proven modelling techniques used for the other seven customer groups as well as the unique characteristics of this customer group. A full explanation of the rationale for our performance offer can be found in the answer to question 8.1a. Customer group IB/IS Average number of weeks qualifying for sustainment payments (per job outcome) 36.48

[8.1a] Performance - Rationale Please provide your rationale for your expected Job Outcome Performance levels, by individual customer groups as detailed in 8.1. Explain the activities and support that will be introduced to help secure the achievement of these performance levels together with any other best practice evidence to support your proposed performance. Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to four sides of A4.

8.1a The Ingeus-Deloitte Joint Venture provides a new and unique combination of expertise to deliver an uplift in performance throughout every year of our Work Programme delivery. It combines Ingeus experience of helping more than 150,000 unemployed people into work in seven countries, with Deloittes expertise in employer services, supply chain management, programme management and continuous improvement. Our performance offer and our pioneering Every Day Counts delivery model reflect our commitment to achieving a step change in performance. They are informed by in-depth analysis and research undertaken over the past 12 months including: An assessment of the key features of the Work Programme specification that will enable an improvement in performance; A six month Operational Model Design and Innovation (OMDI) project undertaken with over 200 frontline delivery staff and Deloittes Operations Excellence Team to identify the most effective methodologies in our current operations; Analysis of performance on existing UK welfare-to-work contracts; Detailed labour market reports undertaken by Deloitte economists in partnership with Oxford Economics, a leading global forecasting practice; Analysis of the features of high performing international employment programmes; An assessment of the performance uplift we can expect to achieve through our systems of continuous improvement and innovation. The results of this analysis indicate that a significant uplift in performance (against DWPs baseline figures) can be achieved in the following three ways: (i) utilising performanceenabling features of the Work Programme specification; (ii) identifying best practice methodologies, enhancing them and implementing them consistently; and (iii) adopting market-leading methods of continuous improvement that will drive ongoing innovation and performance improvement throughout the lifetime of the contract. How the Work Programme design will enable higher levels of performance We have identified four elements of the Work Programme specification which we will leverage to achieve strong performance. Firstly, JSA customers aged 18-24 and those facing particular disadvantage (e.g. ex-offenders and people who are homeless) will be referred to the Work Programme earlier than has been the case on other provision. Our analysis of JSA off-flow rates and performance on current programmes, such as Employment Zones and FND, demonstrate that customers are on average 10% more likely to find work when referred early. Secondly, we expect a 15% performance uplift as a result of the increase in the maximum length of the customer journey to two years. Thirdly, the ESA ex-IB and ESA flow customer groups will be closer to work than those currently referred to Pathways to Work as they have been identified as likely to be fit for work within three to six months. We expect that this will increase conversion ratios by 20% when compared to existing provision. Finally, increased maximum revenues of up to 14,000 for some customer groups will enable us to target the highest levels of investment in those who are hardest to help. In addition to these programme design elements, we have identified ten features of our Every Day Counts model that will drive performance improvement. Each feature combines proven methodologies with new innovations for the Work Programme. We have identified the proportion of our overall uplift that we expect each to contribute (included in brackets and expressed as a percentage). Best practice and innovation - all customer groups Sequential delivery (14%): Evidence from Ingeus New Deal (ND) and FND contracts in the UK demonstrates that segmented delivery models (those with stages and clear transition points for customers), achieve on average, 15% higher performance than those with no changes of activity. We identified spikes in performance immediately before

8.1a (continued) customers finish one module and within the first few weeks of the next. This is due to the additional momentum that is created when customers commence and finish activities. Our Every Day Counts model therefore features four sequential stages, separated by Review & Refresh appointments to provide constant pace and purpose. A market leading employer offer (20%): Since 2007, Ingeus has supported over 20,000 customers into vacancies sourced by our Employer Services Team. We provide every employer who recruits our customers with tailored packages of support for major through to micro businesses with a promise that we will help to generate savings off their bottom line. Our Employer Services function has enabled us to achieve a 22% uplift in outcomes across all our sites. This offer has been enhanced for the Work Programme to include the following innovations: a market-leading job matching I.T. system - ADAPT; the extensive employer contacts provided by Deloittes Practice for the North East; a unique business support offer for SMEs; and the Employer Network which will facilitate consultation with employers and drive continuous improvement of our employer offer. The Careers Academy and Rapid Response service (16%): Ingeus Centre for Policy and Research conducted a sustainability survey using over 100,000 customer records, customer focus groups and interviews with frontline Advisors. It identified that for 81% of sustainable outcomes the following conditions existed: the right job fit and pay; personalised support in managing the transition back to work; and appropriate customer attitudes and behaviour. They also found that specialist in-work Advisors help achieve sustainability rates of over 85%, compared to 75%, when generalist Advisors are used. The Ingeus-Deloitte Careers Academy will build on the findings of this research by providing an enhanced package of in-work support which focuses on developing customers in-work skills and supporting them through the transition from benefits to employment. Our new Rapid Response service will immediately target any customer who is in danger of, or who has already, fallen out of work to find an alternative, thereby further increasing sustainable outcomes. We also recognise that certain customers may have a portfolio or succession of jobs reflecting seasonal conditions and availability in local markets. Managing this will be a key part of our approach to achieving sustained outcomes with these groups. The ACE Network (15%): Our innovative Accessible Community Expert Network will provide specialist support and targeted interventions for customers who are hardest-tohelp. They will work from the same sites as our Employment Advisors to provide a joined up and holistic service and provide advice on key issues that customers face including debt, substance misuse and homelessness. This will enable us to provide targeted investment to customers with the most severe barriers (particularly the JSA Early Access and ex-IB customer groups) into employment. Responding to local needs (15%): Evidence from Ingeus existing delivery indicates that performance is highest when our delivery is joined up with other local provision. For example, performance on our City and East London Pathways to Work programme increased after we developed referral relationships with the local Improving Access to Psychological Therapies programme and the introduction of our Working English programme which was run in partnership with Tower Hamlets Primary Care Trust. We have therefore developed a pioneering approach to stakeholder engagement which includes a Regional Advisory Board and Stakeholder Network to encourage joined-up delivery. Best practice and innovation - Jobseekers Allowance customers Intensive activity (8% JSA customers): Ingeus delivery experience has demonstrated the importance of high levels of activity from day one. Analysis of our FND contracts highlighted a 20% increase in conversion rates for customers who attended most frequently in the first month of the programme. Every Day Counts therefore incorporates

8.1a (continued) intensive levels of activity within each core stage and from day one. Increasing conditionality 7% JSA customers): Cohort analysis of FND customers highlights that increasing levels of mandatory activity, such as the MWRA, helps to boost job outcomes by up to 5% within each three month stage when compared to similar programmes such as Employment Zones (EZs) which feature less structured activity. Our Work Programme delivery will include increasing levels of mandatory activity for JSA customers, culminating in mandatory full-time six month work placements for those who have been on the programme for more than a year without finding work. Structured activity for young people (5% JSA customers): 18-24 year old JSA customers on our New Deal and Community Task Force (CTF) programmes have job outcome rates 70% higher than the same customer group on our EZ contracts. Our analysis suggests that this differential can be attributed to the fact that younger customers respond more positively to structured and group based activity. New Deal incorporates two week Gateway to Work programme and CTF provides a three month mandatory work placement. Additionally, our Suburbs of Hope contract in France provides training and employment support to over 10,500 16 to 25 year olds, 61% of whom enter employment against a national average of 39% on similar programmes. Young people accessing our Work Programme delivery will be able to choose from a range of options designed around their needs including: work placements to help customers understand the requirements of different jobs; and Step Ahead, a two-week engagement and goal setting course. Best practice and innovation - Employment Support Allowance customers Effective engagement (8% ESA customers): Our six Pathways to Work and two NDDP contracts have supported over 19,000 ESA and IB customers into employment. This experience has shown us that effective initial engagement is essential. Many IB and ESA customers do not initially feel able to look for work, and as such need to be carefully supported to make the transition to job seeking activity. The introduction of a dedicated Customer Engagement Advisor role for this purpose, on our Pathways contracts helped increase our conversion rates of starts to jobs by 77%. The Steps to Work module in our delivery model, builds on this experience by offering a intensive one-to-one support and innovative new group activities to help customers engage in looking for work. Integrated health and employability services (12%): Ingeus runs two of the top four performing Pathways contracts (out of 34) in the UK and our in-house health services, consisting of embedded Psychologists and Physiotherapists, are critical to supporting ESA customers into employment. Every Work Programme delivery site will feature an updated Health & Wellbeing service which includes proven interventions (e.g. Healthy Eating and Dealing with Stress workshops) as well as new features including a range of on-line resources through our online customer portal Invisage. Innovations that will drive continuous improvement - In addition we have developed a pioneering approach to continuous improvement that will enable us to drive efficiencies and performance improvement throughout the lifetime of the contract. Key features are: Advanced analytics: Our bespoke Osiris data analytics software will track the effectiveness of each type of intervention for each customer group. This will assist Advisors in identifying the most appropriate intervention for each customer. It will also enable our managers to evolve and improve our service delivery. Supply chain optimisation: Deloittes Supply Chain Practice will utilise methodologies used to enhance the performance of over 100 complex supply chains, including that of the London 2012 Olympic Games, to optimise the performance of our Work Programme subcontractors. This includes adopting our proven QPARM approach which looks at quality, performance, assurance, responsiveness and management. Continuous Improvement Team (CIT): Our CIT is tasked with key performance improvement activity. CIT will conduct monthly balanced score card analysis to identify

8.1a (continued) underperforming customer groups and will routinely collect evidence on the efficacy of particular interventions. Our Innovation Team will manage a fund to pilot innovative projects that pioneer new, more effective ways of working. Customers claiming Income Support (IS) and Incapacity Benefit (IB) Our performance offer for this customer group draws on the analysis outlined above, and has been updated to take into account specific considerations that apply to this group: performance with IB and IS customers on existing welfare-to-work programmes; core elements of our Every Day Counts model that will benefit this customer group; and tailored features of our model that have been designed for these customers. The resulting performance offer, in common with those for other groups, reflects our commitment to achieving levels of performance which are higher than DWPs minimum expectations. Elements of our Every Day Counts Model of most benefit to IB and IS customers are: the ACE Network of specialist providers; the focus on engagement offered through our Steps to Work module; targeted outreach; and our integrated Health & Wellbeing service. Each of these elements is designed for customers with significant barriers to work, including health. They will therefore be suitable for IB and IS claimants, many of whom have been out of work for a considerable period of time. Our performance offer is also supported by the following features which are specifically designed to meet the needs of this customer group: Effective outreach Many of the customers in this group have been out of work for a considerable period of time and do not engage with mainstream employment services. For example, the average length of a claim for IB is more than eight years and after two years on the benefit, they are more likely to die or retire than find work. Ingeus experience of delivering voluntary programmes for hardest to help groups (e.g. DWP ESF contracts in London and Working Neighbourhoods Fund programmes in Birmingham) indicates that the most successful method of engagement is community-based outreach. For example our outreach programme for the London Development Agency successfully engaged 1,000 economically inactive customers from many of the most deprived parts of London and exceeded our performance targets for BME and Lone Parent customers. We will therefore employ Outreach Advisors to develop partnerships with local support services that already work with the target customer groups. Through these links our Outreach Advisors will promote the benefits of returning to work directly to customers and encourage them to join our programme. Across the North East we already work closely with a range of outreach partners including GP surgeries, childrens centres, community mental health teams and social services. Specialist support 22% of all lone parents in the UK are unemployed but say they want to work (Labour Force Survey, ONS 2010), with most citing their lack of knowledge about affordable childcare as a major barrier. A similar situation exists for carers who are often unsure of the financial and practical support available to them. We will therefore establish links with family information services and social service departments for each local authority in the CPA to ensure customers have the support they need to return to work. Promoting flexible working - Research by the Ingeus Centre for Policy Research, The Princess Royal Trust for Carers and the Employers Forum on Disabilities indicates that lone parents, carers and people with disabilities are more likely to return to work if flexible working options are available. This will also apply to customers who are in education and claiming IS. Our Employer Services team will therefore work with employers to demonstrate the business case for offering flexible working. We successfully adopted this approach when working with Ocado who initiated flexible shift patterns for driver roles to encourage a more diverse workforce. This resulted in an increase in the number of women they employed and a reduction in their staff turnover rates.

PART 9:

IMPLEMENTATION

NOTE: MINIMUM SCORE APPLIES TO ALL QUESTIONS WITHIN THIS SECTION. BIDS SCORING 2 OR LESS ON ANY QUESTION WITHIN THIS SECTION WILL BE REMOVED FROM THE COMPETITION. PLEASE NOTE SCORES ATTAINED IN THIS SECTION MAY ALSO BE USED IN A TIE-BREAK SITUATION WHERE APPROPRIATE.

[9.1] Implementation Plan Please provide: an Implementation Plan for the Work Programme in this CPA clearly stating the date on which you are proposing to commence delivery of the service. The plan, which must be in the form of a Gantt chart (insert as Annex 6), must include the key activities required to put provision into place by the service commencement date. It must include key milestones, timescales for activities including start and end dates and who is responsible for each activity including the expected start date for delivery. It will also show the critical path and interdependencies.

A narrative to expand on the implementation plan which must identify and address all the key risks, including the impact of winning multiple Work Programme contracts and how these shall be mitigated.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to two sides of A4. Note: Format requirement and page limit does not apply to the Gantt chart which you must insert as Annex 6.

9.1 Ingeus-Deloittes key strengths in implementation include: having implemented 40 UK welfare-to-work programmes, including six Pathways to Work contracts; an experienced Programme Director who led Ingeus through the successful implementation of two FND contracts; the ability to call on resources from Deloittes 100 strong Programme Leadership Practice, with its experience of supporting major programmes such as The Access to Finance Programme including the regional JEREMIE investment funds, Taking Sectors Forward and Sunderland City Software; and the existing infrastructure of our Lead Providers who, between them, employ more than 500 people from more than 31 delivery sites in the North East. Implementation Plan, structure and governance Our Implementation Plan, shown in the Gantt chart at Annex 6, was drawn up by our Programme Management Office (PMO), with input and assurance from Deloittes Programme Leadership Practice. It has been assessed as viable by senior operational staff and each of our corporate heads and endorsed by the Directors of the Joint Venture. It is designed for us to commence delivery of the Work Programme on 27 June 2011. The plan is based on the following key dependencies: supplier guidance issued 31 March; announcement of preferred bidder status 15 April; and contract award 6 May. The Implementation Plan is structured around operational, functional and change management workstreams, grouped into two major phases: Preparation (ID 2 - 106 on the Gantt) and Implementation (ID 116 732 on the Gantt). Preparation activities are those that will be undertaken prior to announcement of preferred bidder status to enable swift implementation and include I.T. systems design, property searches and advertising job vacancies through our recruitment partners Alexander Mann Solutions (AMS). Implementation activities include those that will be undertaken upon notification of preferred bidder status e.g. negotiating heads of terms on properties and finalising terms with subcontractors, and those that will be dependent on contract signing such as issuing formal job offers and signing contracts with subcontractors. Implementation of all Ingeus-Deloitte Work Programme contracts will be led by our Programme Director, [REDACTED], who will chair a Programme Board made up of all departmental heads, Chief Operating Officer and Ingeus CEO. We have designed our implementation planning in anticipation of multiple contract awards: implementation activity across different regions will be managed by a centralised Implementation Team (led by our Programme Director) and local activities, including the engagement of key stakeholders and employers will be project led by our Director for the North East, [REDACTED], with support from our Project Manager for the North East, [REDACTED], Central and local implementation teams will be supported by expert practitioners from Deloittes Programme Leadership Practice. This structure is key to implementing in multiple CPAs in parallel and will enable the Project Manager to assure local progress. It will also enable the Programme Board to have a broad understanding of progress and interdependencies and to be able to quickly resolve critical issues across all CPAs or within the North East. The critical path is shown in red on the Gantt chart and is predicated on the dates for preferred bidder status, issuing of provider guidance and contract signing being met. The path runs through recruitment activity for staff required on day one of delivery, and then moves through mobilisation of our subcontractors. Key Risks Subcontractors (Task ID 84-97 Preparation and 449-523 Implementation) Risk That one or more of our Lead Providers (Triage, BTCV or Learning Choices) are not ready to deliver on time. Mitigations We have made substantive checks on each Lead Provider BTCV and

9.1 (continued) Learning Choices have existing infrastructure, require minimal recruitment activity and have a track record of implementing new contracts on time. Triage, an existing FND subcontractors in Scotland previously opened new offices and recruited additional staff on time for day one delivery of our FND contract. We will support our Lead Providers throughout the implementation phase. Contingencies Commit additional Ingeus-Deloitte resources to implementation; replace the subcontractor with another member of our Partner Network (we have identified contingency providers to cover each Lead Provider); temporarily deliver the provision ourselves; or adjust customer flows to other subcontractors. Premises and fit out (Task ID 58-74 Preparation and 260-308 Implementation) Risk That the nine (out of 16) new premises are not ready by contract commencement. Mitigations A highly experienced Property and Facilities Team with a track record of opening fully fitted out offices to tight timeframes, including 11 offices in under four months for FND phase one delivery; and the support of our property consultants, Drivers Jonas Deloitte. We have already identified suitable premises for each key location. Contingencies We have agreements in-principle with all members of our supply chain and a number of stakeholders to use their premises (which provides coverage across the whole CPA). The Property and Facilities Team retains a database of suitable, serviced local offices and can arrange for staff to operate out of a serviced office in two weeks. Human Resources (Task ID 75-83 Preparation and 309-448 Implementation) Risk That insufficient, high-calibre, trained staff are ready for day one of delivery. Mitigations An HR Team that has led significant recruitment projects, including sourcing 270 staff for six Pathways to Work contracts, and managed TUPE transfers from over ten organisations; and dedicated support from AMS, a recruitment company that recruits more than 50,000 people annually and is already identifying a pool of suitable candidates. Contingencies Second additional staff from Deloittes Practice into frontline and management roles. We have already successfully seconded Deloitte staff into operational roles. We will also be able to utilise our existing relationships with recruitment agencies such as Crone Corkhill and Hays to provide temporary staff at short notice. IT (Task ID 45-57 Preparation and 189-259 Implementation) Risk That adequate IT infrastructure is not in place due to delay in installation/delivery of equipment or failure to meet IT security requirements. Mitigation - An IT Team with a track record of delivering all previous IT requirements on time, including full DWP security accreditation on time for FND phase one. They will be supplemented by experts from Deloittes 1,000 strong Technology Practice. Contingencies ADSL with hub, mobile phones for staff and encrypted laptops with 3G wireless Internet connections can all be installed at short notice with permanent solutions being applied later. Winning multiple Work Programme contracts Risk That delivery and leadership resources are stretched too thinly to address implementation issues as they arise. Mitigation The Ingeus-Deloitte Joint Venture has been formed to deliver multiple Work Programme contracts. Our Implementation Plans have been designed as an integrated Programme and we have the resource, expertise and financial capacity to fully implement and deliver any combination of contracts on time. To mitigate the risks associated with winning multiple contracts, we will draw on Deloittes considerable resources in supply chain management, programme management and property services at short notice. We will be able to deploy resources from specialist practices within 48 hours as and when required. Further mitigation strategies include: a well structured Governance model with clearly identified leads for each CPA and each functional area; a experienced Programme Director with support from Deloittes Programme Leadership Capability; and the IngeusDeloitte Programme Board, of the most senior members, to make clear, rapid decisions.

9.2

Contingency Arrangements

Please describe: how your proposals for delivery of services within this CPA will be put in place without adversely affecting your organisations or your Sub-contractors ability to deliver existing and recently won contracts as well as other contracts you are bidding for.

in detail your contingency plan for maintaining the entire scope of your proposal within your bid should members of your supply chain withdraw prior to commencement of delivery of this contract.

Insert your response in the pre-set, shaded space of the following pages. Your response MUST be limited to two sides of A4.

9.2 Implementing multiple Work Programme contracts whilst maintaining performance on other provision The Ingeus-Deloitte joint venture is a key part of the business strategies of both Ingeus Ltd. and Deloitte LLP, reflected in the fact that the Managing Director of Ingeus and the Chief Executive of Deloitte both sit on the Joint Venture Board. We have planned for significant growth over the next two years including the implementation of multiple Work Programme contracts and diversification into areas of adjacent space such as working with offenders, skills provision and careers guidance. In planning for growth, Deloittes Organisation Design Practice have conducted a review of all governance structures, resource requirements and departmental capabilities to ensure they are equipped to manage the planned growth. We have also identified four key areas of focus that will enable us to implement multiple Work Programme contracts while maintaining and improving performance on other provision: Clear governance structures Each Work Programme contract will have its own Implementation Plan which will be managed by a Project Manager for each region (in this case the Project Manager for the North East, [REDACTED], to enable a focus on local activities. These plans will be incorporated into an overall Implementation Plan which will be managed by our Programme Director. He will chair a fortnightly Programme Board attended by other project management staff and key heads of departments. The group will monitor progress against the Implementation Plan and direct resources to departments/contracts as required. This structure will provide dedicated resources for each region and the ability to direct central resources where they are needed. Strict separation of responsibilities - Strict separations will be adopted between members of staff involved in implementation and those working on existing operations. Key frontline members of staff on existing contracts such as Operations Managers will not be involved in implementation activities and will focus on the performance of existing contracts. Implementation activities will be conducted by staff from corporate support functions and practitioners from Deloittes Programme Leadership practice. Each contract being implemented will have its own Project Manager to ensure appropriate attention is given to each. Using this method we managed to increase performance on our existing Pathways by at the same time as implementing two FND contracts. Responsive resourcing - To manage the spike in resources required to implement multiple contracts (without impacting on existing provision) we will draw on the substantial resources of Deloittes Supply Chain, Programme Leadership, IT and Human Capital practices. Deloitte has 1,700 practitioners in these fields, approximately 25% of whom are available for new assignments at any one time. They can be deployed within 48 hours to support our implementation. Deloittes regional practice is located in Newcastle and able to provide additional project management and supply chain support when required. This will enable us to resource the implementation of multiple Work Programme contracts without having to draw on staff from existing contracts and therefore mitigate the impact on them. Supply chain capacity Our supply chain for the North East has been designed to mitigate any adverse impact of winning multiple contracts. Two of our three Lead Providers are well established in this CPA and will be able to draw on resources from contracts that will be replaced by the Work Programme (ND for both Learning Choices and BTCV), enabling them to transfer staff and premises directly across rather than drawing on other contracts. Triage has modelled to win multiple contracts (Scotland and the North East) and we have confirmed that it has the capacity and capability to

9.2 manage this growth. Triage will use existing infrastructure in Scotland and has carefully planned resource needs for implementation and delivery in the North East. Maintaining our supply chain in the event of subcontractor withdrawal Ingeus-Deloitte has developed a Partner Network of more than 60 preferred suppliers in the North East to provide a robust and responsive supply chain. The opportunity to join the Network was advertised widely and attracted more than 1,000 expressions of interest, more than 200 of which were in the North East. Providers were assessed against core criteria including performance, track record, quality and innovation. The result is a pool of pre-vetted suppliers with whom we have established relationships offering a breadth of expertise including job brokerage, skills provision, substance misuse support and specialist mental health services. This deep pool of preferred suppliers can be mobilised at short notice and provide a robust set of contingencies in the event of any subcontractor withdrawing. We will maintain the Network throughout the term of the contract to ensure we have back-up suppliers for every year of delivery. Our supply chain for the Work Programme was selected from our Partner Network according to strict criteria which included the ability to implement new contracts to tight timescales and to manage the opportunity for growth through sustainable business models. These steps were taken to limit the likelihood of their withdrawal prior to contract commencement. However, we have planned for this possibility, in particular by focusing on our three Lead Providers Triage, Learning Choices and BTCV. They will provide approximately 41% of our Work Programme delivery between them and therefore represent the greatest risk to continuity of service. Should they withdraw, Ingeus-Deloittes Implementation Programme Board will immediately hold a contingency meeting to evaluate the options set out in our Business Continuity Plan and determine the best course of remedial action. We are able to mitigate the impact of subcontractor withdrawal through the following range of contingency options: Negotiate with the withdrawing subcontractor - Our Head of Partnership Development will immediately hold discussions to ascertain the reasons for withdrawal. Depending on the reasons for withdrawal we will discuss further support that could be offered to make delivery viable for them. This could include additional support from our HR Team in managing TUPE transfers, or assistance in funding working capital requirements. Contingency providers - We have identified contingency suppliers from our Partner Network to cover each of our Lead Providers in the case of their withdrawal. Contingency providers have been identified based on existing staff and premises required to deliver services at short notice. For example, In the highly unlikely event that Learning Choices withdraws, Northumberland Council will be able to take over Learning Choices role in Northumberland. In each case in-principle agreements have been signed by proposed contingency providers. Introduction of a new subcontractor - Our Partner Network comprises 60 pre-selected members across the North East that can be accessed at short notice. All members of the Network have passed a rigorous selection process and offer a diverse range of capabilities including end-to-end employability services, skills and training provision and specialist support for particular customer groups. Members of the Network will be invited to submit immediate proposals through mini competitions which will be assessed by our Head of Partnership development to identify any viable solutions. Deliver ourselves - As a delivery organisation as well as a Prime Contractor, we have the ability to take on additional provision. This was one of the strategies we adopted when the Wise Group withdrew from our supply chain during the implementation of our FND contract in southern Scotland. We took on a large proportion of their customer volumes, opened an extra six offices and recruited an additional 28 staff.