the leading voice for education

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Business LeadershipFacing the challenges(and trying to stay sane!)

Val AndrewASCL Business Leadership Specialist

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From…….

Business Management

Business Leadership

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What are the sector challenges ?• Rising/falling pupil numbers• Improving attainment• Funding constraints• Implementation of NFF in 2017• Teacher recruitment• Conversion to academy – joining a MAT• Curriculum and assessment changes• Accountability measures• Impact of technology• Growing the leadership pipeline

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The challenges SBL/SBM can influence……..• Funding – establishing the link between the money and

the timetable• Collaboration - MAT’s, federations and other alliances of

schools• Pay and conditions • CPD - accessible and relevant • Work/life balance

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Funding pressures

• Pay rises and general inflation - unfunded• Teachers pensions - employer contribution rose

2.38% from September 2015 - unfunded• NI - employer contributions increased by 3.4%

between £5568 and £40040 - unfunded• For academies: reduction of Education Support

Grant (ESG) from £140 to £87 per pupil – (down to zero by 2020)

• Apprenticeships levy – April 2017

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Reality check!

• Between 1998 - 2009 school funding increased by approx. 5% each year

• Between 2010 - 2015 school funding increased by approx. 0.6%

• IFS “ school funding per pupil is likely to fall by about 8% in real terms between 2015 - 2020 “

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National Funding Formula (NFF)• The government will introduce the first ever national funding

formula for schools, high needs and early years……….

• ………..There will be a transitional phase to help smooth the implementation of the new schools formula. ..

£500 million additional core funding to speed up the transition to NFF for those who will gain

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Schools national funding formula

• School funding will be delivered by a national funding formula from 2017/18. Local authorities will distribute funding for the first two years. It will be directly allocated to schools from 2019-20

• 11 of the 14 factors currently used in local formulae, plus a new factor to address in-year pupil growth. The proposal is that this ‘gets funding straight to schools’, is transparent and will remove local variation

• 2nd consultation (imminent) – schools must engage

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Fairness does not mean everybodygetting the same level of funding

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Fairness means …….

• some people get more than others ….

• so everyone gets approximately the same chance

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Schools in financial difficulties

Major issues identified include :-

• Contact ratio too low (target 0.78)• High average teacher costs• High leadership costs• Running uneconomic groups (mainly but not only post-16)• Support staff deployment/Teachers doing support staff jobs• Not strategically planning their finances (doing things on a

year by year basis)• Using reserves (where they have them) badly• Not making difficult decisions • Not making decisions early enough

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Other lessons learntExplore option for greater efficiencies

• Benchmarking• Energy costs – 2nd highest cost after staffing• Procurement processes and tendering• Economies of scale – MATs and federations• Shared services/shared contracts

Necessary – but playing at the margins?

DfE view is that schools are not good at efficiency savings

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The critical outcomeThere used to be a small element of the budget which provided us with choices. This is now being squeezed out of existence !

Going…. Going…. Gone!

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We can’t continue to perpetuate the past

• Which means a step change in management thinking is required – understanding the financial reality

• Sometimes called:-

A paradigm shift

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The paradigm shift =the link between the curriculum and the money…..

• No!:• Yes; Budget reality process Curriculum

compromise

Curriculum Vision process Budget (compromise?)

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Action required….

• Review staffing structure – again? (difficult decisions)• Curriculum options – teach mixed year groups? • Collaborative purchasing/benchmarking• Sensible purchasing - buying resources at Aldi prices

(not Waitrose)• Ensure a common language within SLT – spread

understanding of financial targets • Explore options for serious income generation

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What are the challenges ?• Funding – establishing the link between the money

and the timetable• Collaboration - MAT’s, federations and other

alliances of schools• Pay and conditions • CPD - accessible and relevant ?• Work/life balance

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19% of primary schools are academies

3185 academies

13,580 maintained schools

1% free schools4% single academies13% in a MAT

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66% of secondary schools are academies

2231 academies

1150maintained schools

5% - free schools, UTC’s or studio schools29% - single academies30% - in a MAT

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ASCL Guidance Paper

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What are the challenges ?• Funding – establishing the link between the money

and the timetable• Collaboration - MAT’s, federations and other

alliances of schools• Pay and conditions • CPD - accessible and relevant ?• Work/life balance

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Pay and conditions

For school business leaders and school business managers –

• Increasing diversity of roles• Pay equality?• Ongoing single status issues• Risks within MATs and federations

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What has ASCL been doing ?• 2014 survey and review• New guidance – February 2015• Letter to LA’s and Academy Chains• Commitment to continue campaign• Letter to Nicky Morgan – March 2016• Meeting with Nick Gibb – May 2016• 2nd pay survey launched – May 2016• Summary of outcomes now available• Ongoing discussions with DfE……..

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What are the challenges ?• Funding – establishing the link between the money

and the timetable• Collaboration - MAT’s, federations and other

alliances of schools• Pay and conditions • CPD - accessible and relevant • Work/life balance

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Accessible and relevant CPDCONTEXT:Professional development for business leaders and business managers is changing….

• National College programmes• CIPFA/CIMA/CIPD• Other options

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Accessible and relevant CPD¾What does relevant CPD look like?¾What CPD do you actually NEED?

• Structured courses• Modular programmes• Peer to peer support• Networking

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Skills

Application

Status

Professional status – a concept

SkillsQualificationsExperienceSelf development

ApplicationLeadership and management Statutory responsibilitiesPupil focus

StatusProfessional serviceValuedRespect/Recognition

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The evolution of a profession…

What does the future hold for school business leaders and school business managers?

Generalist or Specialist ?

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My blog …….

“The future of business leadership in our education system:

what will business leadership look like in 2020?”

http://www.ascl.org.uk/news-and-views/blogs.html?author=C81A487D-8346-4C74-95BC510F29A472F5

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What are the challenges ?• Funding – establishing the link between the money

and the timetable• Collaboration - MAT’s, federations and other

alliances of schools• Pay and conditions • CPD - accessible and relevant ?• Work/life balance

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Be careful ……

0

50

100

150

200

250

0 2 4 6 8 10 12 14 16

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its

Arbitrary time units

PRODUCTION DEMAND

must not exceed

PRODUCTION CAPACITY

OR “Houston, we have a problem!”

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Implications for (Business) Leaders ?

• Rethink some approaches• Challenge the status quo – old habits• Accepting closer scrutiny• Exposure of some colleagues….• Ongoing financial pressures = must know true costs• How to survive……..keep your skills fit for purpose

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SMARTER WORKING……staying sane• Be sustainable - do the sums (24 hours x 7 days = 168

hours pw)• Time thieves• Touch and do!• Delegate• Embrace technology• Keep an eye on what’s coming…..horizon scanning• Get grown up help – ASK• Learn to say “No”• 3 little words…… !• Reflect on what you HAVE achieved

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Never forget ..…….

“What you do in a school is to provide an education for the lives of pupils

and not just for the period of office of a Secretary of State”

Sue Kirkham, ASCL Curriculum and Qualifications Specialist 2013

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JOIN ASCL

DON’T PANIC…..

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Whilst the information provided at this event was correct to the

best of the knowledge of the presenters and organisers, neither

ASCL nor Professional Development can accept liability if at a

later date this should prove not to be the case. Nor can they be

held responsible for any errors or any consequences resulting

from its use

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