Leveraging Social Value in Your Bids

The UK has implemented several measures to promote social value in public sector procurement and commissioning:

The Public Services (Social Value) Act 2013 requires public authorities in England and Wales to consider how the services they commission and procure might improve the economic, social, and environmental well-being of the relevant area. The aim of the act is to ensure public money is used to create wider benefits for communities beyond the direct delivery of services.

The government further strengthened its commitment to social value by announcing in 2018 that central government would explicitly evaluate social value when awarding major contracts. This led to the development of the Social Value Model, which provides a consistent approach for departments and suppliers.

The Social Value Model includes:

- A minimum 10% weighting for social value in the evaluation of bids.

- A focus on qualitative responses from bidders rather than volumes, ensuring that smaller suppliers can compete effectively.

- A series of priority themes and policy outcomes that are important for government commercial activities.

In addition to the government's model, the National Social Value Taskforce has developed the National TOMs (Themes, Outcomes, and Measures) Framework. This provides a standardised approach to measuring and reporting social value.

The emphasis on social value in public procurement is designed to make limited resources go further while maintaining service quality and breadth. It encourages the public sector to use procurement as a tool for achieving wider financial and non-financial outcomes, including improving the wellbeing of individuals, communities, and the environment.

Data from organisations such as the Social Value Portal (https://www.socialvalueportal.com) indicate that companies excelling in social value are twice as likely to win public sector contracts. By effectively measuring, managing and reporting on social value, you can provide evidence of your wider impact which can significantly boost your bid scores.  Read on for some tips on how to do this as part of your organisational and bidding strategy.

Defining Social Value in the Context of Bidding

Social value refers to the additional benefits that a project or service can deliver to the community and society at large. In the context of public sector bidding, this covers a range of positive outcomes, such as creating employment opportunities, supporting local businesses, promoting environmental sustainability, and enhancing community well-being.

When defining social value for your bids, it is essential to align your initiatives with the priorities of the contracting authority. This may include addressing local socio-economic challenges, supporting disadvantaged groups, addressing inequalities, or contributing to environmental goals. By demonstrating a clear understanding of the authority's social value objectives, you can tailor your proposals to meet their specific needs and expectations.

Incorporating Social Value Initiatives into Your Proposals

Incorporating social value into your bids requires a strategic approach. Start by conducting thorough research to understand the social value priorities of the contracting authority and the community it serves. This will help you identify relevant initiatives that align with their goals.

Next, develop a comprehensive social value strategy outlining the specific initiatives you will implement as part of the contract. This could include offering apprenticeships and training programmes, sourcing materials or services from local suppliers, implementing green practices to reduce carbon emissions, or supporting community projects. Ensure that your initiatives are realistic, measurable, and directly linked to the outcomes the authority seeks to achieve.

When writing your proposal, clearly describe how your social value initiatives will deliver tangible benefits. Use concrete examples and case studies from previous projects to illustrate your track record in delivering social value. Highlight any partnerships with local organisations, charities, or social enterprises that can enhance your ability to achieve these outcomes.

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Researching local social value priorities

To understand the social value priorities of a contracting authority and the community it serves in the UK public sector you can conduct research as follows:

Firstly, review the contracting authority's Social Value Statement if available. This provides direct insight into the authority's specific priorities.

Secondly, examine the authority's key corporate strategies and plans. Social value priorities are often integrated into business plans, industrial strategies, and climate emergency programmes or reported against as part of annual reports. These documents typically highlight the main areas of focus for the community.

Thirdly, consult the authority's Social Value Framework if one exists. This can offer concrete guidance on the authority's expectations.

Review the National TOMs (Themes, Outcomes and Measures) framework, which many public sector organisations use to structure their social value approach.

If possible, engage directly with the contracting authority and local stakeholders. Many authorities encourage pre-procurement consultation to better understand local needs and priorities. This direct engagement can provide valuable insights into the specific challenges and opportunities within the community.

It's also vital to review the tender documentation carefully. Contracting authorities are required to consider social value at the pre-procurement stage and should outline their priorities within the tender. Look for specific social value criteria and weightings in the evaluation process.

Finally, consider broader government priorities and policies. The UK government has defined social value through a series of priority themes and policy outcomes that are important to deliver through commercial activities. These include COVID-19 recovery, tackling economic inequality, fighting climate change, equal opportunity, and wellbeing. Understanding these overarching priorities can help align your approach with national objectives.

The UK’s new government has placed a strong emphasis on addressing mental ill-health across the UK. When responding to social value tender questions, you should consider including mental health initiatives that align with this national priority, such as workplace wellbeing programmes or community support services. These efforts can demonstrate a commitment to improving public health outcomes and contribute to the government's broader mental health agenda.

Through undertaking this research, you can improve your understanding of the social value priorities most relevant to the contracting authority and the community it serves, enabling you to tailor your proposals effectively.

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Measuring and Demonstrating Social Impact

A vital part of your social value bid response is to describe how you will measure and demonstrate the impact of the initiatives you are describing.  This not only strengthens your proposal but also builds credibility and trust with the contracting authority.

Start by establishing clear metrics and key performance indicators (KPIs) to track the progress and impact of your social value initiatives. These could include the number of jobs created, the amount of money spent with local suppliers, reductions in carbon emissions, or the number of community projects supported. Ensure that your metrics are aligned with the authority's social value priorities and can capture both quantitative and qualitative outcomes.

For example, imagine you are bidding to provide a new service across a county. You commit to create 20 new jobs and 5 apprenticeships across the contract term. This is a quantitative measure, because it gives the number of jobs and apprenticeships you will create.  You could also measure the number of hours of training provided to new employees or apprentices, or the reduction in unemployment benefit (in £s) claimed because of previously unemployed people entering employment.

Qualitative outcomes could include improved self-esteem and confidence among newly employed individuals.  Enhanced skills and career prospects for apprentices, or improved family relationships due to stable employment.Quantitative measures provide concrete, comparable data, while qualitative measures offer insights into the less tangible but equally important impacts on individuals and communities.  A combination of both provides a comprehensive picture of the social value you have created through your actions.

If you can provide evidence where similar measures have been delivered and worked well elsewhere, you should include these here, as this will strengthen the validity of your suggested measures.

Monitoring and reporting

Regularly monitor and report on your social value performance throughout the contract. Provide detailed updates and evidence of the positive impact your initiatives are having. This could include testimonials from beneficiaries, case studies, and data-driven reports.

By demonstrating a proactive approach to measuring and reporting social impact, you can build a strong case for the value you bring to the community.

Scared by social value responses? Need help to decide your social value strategy and how to articulate your impact in bids. We can help. Ocean City Bids is a professional bid agency based in the UK, covering all industries and with extensive experience and expertise in healthcare, social care, recruitment, life sciences and telecoms.  We provide a range of services to support your business to bid for contracts, and to win. Contact us on bid@oceancitybids.co.uk for a friendly, informal discussion about your bidding needs. www.oceancitybids.co.uk