Presentation to TCHC Board of Directors Directors Service Manager - - PowerPoint PPT Presentation
Presentation to TCHC Board of Directors Directors Service Manager Assessment Rob Cressman, City of Toronto Ian Smith, OCG Consulting Caryl Arundel, OCG Consulting July 28, 2015 Overview of Presentation 1. Context 2. OCG
Service Manager Assessment Rob Cressman, City of Toronto Ian Smith, OCG Consulting Caryl Arundel, OCG Consulting July 28, 2015
and maintenance of Shareholder Directions. For City-owned corporations, such as TCHC, Council as the Shareholder approves Shareholder Directions to the Boards
City Council-approved Shareholder Directions set out specific requirements for each corporation with respect to mandate, governance, program management, reporting and accountability mechanisms, and board structure. The City as the Shareholder also holds an Annual General Meeting in which Council, as the Shareholder, considers a corporation's annual report and financial statements.
administering social housing Components of review:
financial management, administrative procedures,
maintenance management asset management
Performance is measured against requirements set out in the Housing Services Act (HSA), Operating agreement and City Guidelines.
Review and assess the expectations, requirements and alignment of TCHC with:
Housing Services Act Shareholder Direction Operating Agreement
Review and assess current organizational capacity and resource allocation of TCHC in light of the above and strategic plan and business
Review and assess the working relationship between the City and TCHC Focus on the future expectations and capacity of TCHC Work in collaboration with TCHC in completing the assessment
– TCHC overview and environmental influences – Key issues and recommendations
Part Two: Technical Report
– Organizational and operational context
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– Organizational and operational context – Detailed analysis – Appendices
– Mandate – Relationship with City – Organizational Capacity – Organizational Resource
The Assessment also included a detailed review of TCHC’s strategic
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The Assessment also included a detailed review of TCHC’s strategic
planning process and the Asset Management and Resident & Community Services divisions
Focus on existing mandate and organization and relationship to the City
and other key stakeholders. It did not include:
– An assessment of alternative governance or financial models – A review of existing subsidiary corporations – A detailed financial audit or standard operational review – A review of the physical state of the buildings or the requirements to
bring them to a state of good repair
– Review of various documents including TCHC’s existing
strategic plan and corporate goals, applicable legislation, and the Shareholder Direction and Operating Agreement
– Interviews and focus groups with TCHC staff, Board members,
City staff, Office of the Commissioner of Housing Equity, and
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City staff, Office of the Commissioner of Housing Equity, and tenant representatives (between January – March 2015)
– Comparative analysis of other large housing providers
Ongoing input and communication with:
– Project Reference Group – City Staff Team: Shelter, Support & Housing and City
Managers’ Office
– Presentations to senior staff at the City and at TCHC
direction in terms of its focus, priorities and operations
TCHC has various strengths it can build on, such as staff
dedication and commitment and a history of tenant engagement, to better serve its tenants However, there are issues and challenges that need to be
14 However, there are issues and challenges that need to be
addressed if TCHC is to efficiently and effectively meet its service expectations and requirements
ISSUE: A broad, permissive mandate is clearly set out in the Shareholder Direction but TCHC has been increasingly challenged to address priorities consistent with its mandate and
defined functions as a social housing landlord and are not adequately resourced.
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15 The broad permissive mandate requires that TCHC set clear
by the Shareholder.
Mandate (business activities) includes some activities that are not
consistent with rental social housing landlord mandate.
Increasing directions and add-on expectations from City take
attention, time and resources from mandated priorities.
1. TCHC should engage the City as Shareholder and Service Manager in a process to establish and agree on clear priorities, service expectations and funding required to deliver on the defined core mandate. 2. TCHC and the City should work together to develop a process to communicate and confirm any additional “informal” add-on
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directions from the City. This process should include the review
implications and requirements of these informal directions and provide for the negotiation of additional funding if required.
ISSUE: There is a lack of attention to the management of the relationships between the City and TCHC which leads to confusion and limited collaboration on shared City/TCHC issues and interests.
Multiple and complex relationships are evolving:
– Shareholder 17
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– Shareholder – Service Manager – City Council – Mayor and Councillors – City programs and services – City administration
1. The City should coordinate its roles as Shareholder and Service Manager and confirm its expectations of TCHC as part of an effort to more actively manage the relationship. In addition, TCHC needs to communicate the conditions it considers important for a successful and strong relationship. 2. The City as Service Manager should use the tools and processes,
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2. The City as Service Manager should use the tools and processes, including dedicated staff liaison, reviews and revisions to the Operating Agreement, to more actively develop and manage the service relationship with TCHC. 3. TCHC and the City as Service Manager should continue to proactively identify opportunities for partnerships and collaborations, especially in areas that may reduce costs or benefit tenants.
ISSUE: TCHC does not have sufficient organizational capacity and resources to deliver on the permissive mandate and expectations defined in the Operating Agreement and Shareholder Direction.
TCHC does not have sufficient capacity to deliver on both mandate
and expectations:
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– Need greater clarity on role, responsibilities, expectations – Confirmed service standards – Inadequate and out-dated technology – Improvements required in human resource systems and
processes
– Broad span of control of CEO – Limited comparative data to manage performance
Organizational Structure 1. TCHC should confirm and communicate Corporate and Division roles and responsibilities and ensure that any
the overall corporate structure.
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2. TCHC should review and consider consolidating similar administrative and/or operating functions that reduce the span
priorities and stakeholder relationships. 3. TCHC should update its technology and management systems, including the automated collection of data, to better plan and manage service delivery.
Organizational Resources 1. TCHC should conduct a detailed review of existing services and service levels, including the delineation of core and non-core services, and confirm the resourcing and funding requirements to deliver the approved services. 2. TCHC should develop HR policies, processes and systems that
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2. TCHC should develop HR policies, processes and systems that enable the timely filling of vacant positions. This should include the introduction of organization-wide succession planning, staff development and performance management systems with a particular focus on the key operating areas.
Asset Management 1. TCHC should confirm and communicate the overall roles and responsibilities of the Asset Management Division, including the role, responsibilities, accountabilities and authorities of the Operating Unit Managers, in light of the overall corporate structure. 2. TCHC should investigate the opportunities to streamline the hiring process focusing on critical areas in Asset Management as a first
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process focusing on critical areas in Asset Management as a first priority. 3. TCHC should develop an operations manual that outlines and confirm the policies, procedures, programs, service standards and processes to guide and support ongoing service delivery, staff training, succession and performance development. This manual should also be used ensure that there are consistent service standards and customer service processes in all properties directly managed and affiliated with TCHC. In addition, TCHC should develop a training program that supports the rollout and ongoing use
4.
TCHC should review and increase the co-ordination of all service agreements, including clarifying expectations with regard to the level, type and scope of support that is required and confirming the accountabilities of the agencies providing support. 5. TCHC should clarify and communicate the roles, responsibilities, accountabilities and authorities between Asset Management and
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affordable housing. 6. TCHC should continue to take actions to enhance staff safety and reduce risk (also applies to Resident & Community Services). Resident & Community Services 1. TCHC should clarify and communicate, internally and externally, the roles and responsibilities for each unit in the Resident and Community Services Division within the context of the overall Division roles and responsibilities and the overall corporate structure.
ISSUE: TCHC has been challenged in the recent past by lack of consistent governance and leadership and steps need to be taken to allow and support the Board to effectively direct and
Board is defined, structured and appointed by Shareholder. Has made progress to strengthen governance despite leadership
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24 Has made progress to strengthen governance despite leadership
turnover, accountability reviews, and challenges related to controversial issues.
Need to be supported to provide leadership, oversight and
stewardship through policies and practices, and develop a clearer relationship with Shareholder.
1. TCHC and the City should review and confirm the formal relationship between the Board of Directors and the City as
to further develop the relationship through annual Board- Shareholder meetings and through greater Shareholder input into TCHC's strategic planning and priority setting processes.
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2. The City as Shareholder and TCHC should support effective Board practices and processes in overseeing the affairs, activities and performance of TCHC, and confirm the expectations and duties of individual board members, as part of the board orientation process. 3. The City as Shareholder should use good governance practices including staggered terms for citizen appointments and a skills and experience matrix to support the recruitment of new members.
corporate and division plans and budgets throughout the
monitoring and evaluation of performance and are directly linked to individual performance management systems.
Updated corporate goals and objectives have been cascaded in the
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26 Updated corporate goals and objectives have been cascaded in the
setting process and are supported by ongoing measurement an reporting
Potential improvements include:
– Better integrate and communicate corporate and division plans
and budgets
– Continue the development of the performance management
program including comparison to other housing providers
TCHC should continue with the development and implementation of its strategic/business planning process that includes integration with the budget process, improved performance measures and targets and the communication of corporate and divisional plans and priorities throughout the organization. 2. TCHC should continue the development of the performance management program, drawing on external experience as appropriate, 27
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management program, drawing on external experience as appropriate, while ensuring alignment between corporate and divisional measures and targets and individual performance management systems. 3. TCHC in collaboration with the City should:
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Explore ways in which TCHC’s performance measures and analysis from comparators could better inform the City in its roles as Service Manager and Shareholder; and
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Pursue comparisons to large housing providers outside Ontario on key measures such as overall resource levels, performance measures, tenant satisfaction, and facility condition to better inform, plan and manage TCHC’s ongoing operations.
ISSUE: TCHC struggles to meet its “state of good repair” mandate and is under pressure to deliver effective minor capital and preventative maintenance programs to preserve the physical assets and as well as to respond to tenant needs and expectations within its existing operating budget. There is insufficient capital funding to sustain and renew TCHC’s existing social housing portfolio.
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existing social housing portfolio.
Systemic funding issues. TCHC resources are also stressed by the
funding formula, add-on mandate, utility cost increases, range of services provided, inadequate systems, and non-discretionary pressure on resources.
Base plus inflation - no direct connection between Service
Manager funding and TCHC priorities.
Opportunities through partnerships and revenues from other
sources.
1. TCHC and the City as Shareholder and Service Manager should review the funding formula in light of current funding pressures, formal and informal add-on mandates, service priorities and defined services and service levels. Specific recommendations include:
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Consider practices in other jurisdictions including benchmarking
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Continue to review operating and capital requirements together
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Continue to review operating and capital requirements together rather than separately 2. TCHC should continue to identify opportunities to reduce costs through partnerships with the City and other organizations. 3. TCHC should continue to pursue opportunities to increase income from existing and new sources of revenue (e.g., naming rights or sponsorships)
ISSUE: Relationships are not developed and managed effectively to deliver on the goal of high quality and responsive service to TCHC tenants.
While tenant engagement is mandated in the Shareholder
Direction, it seems to have been overshadowed by operating
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tenants in developing a more robust process.
Need for more proactive identification and systematic management
support tenants and for broader community impact.
1. TCHC should ensure that tenants are engaged in the redesign of the new tenant engagement system and that their input is considered in the redesign process. 2. TCHC should work proactively and collaboratively with the City, community partners, the private sector and other key stakeholders, on initiatives that support TCHC priorities and/or
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stakeholders, on initiatives that support TCHC priorities and/or will bring additional resources or supports to TCHC communities. 3. The City as Shareholder should engage TCHC where appropriate in initiatives that address the various needs of tenants and further the support and development of TCHC communities.