President & Secretary Meeting · Ensure product and service we procure is fit-for-purpose Leverage buying power to reduce costs Standardise products and services to achieve consistent

President & Secretary MeetingMenzies Room, Castle Hill

25 February 2020

Welcome & Devotion

Anglicare Procurement

Property Management

Finance – Budget Overview

Resident Survey Results

Agenda

April Falls

April Falls: Stay Strong, Stay SafeSharon Butler

• 25% of people in their 60’s & 40% of people in their 70’s suffer at least one fall each year.

• 1 in 2 women and 1 in 4 men aged over 60 will suffer an osteoporotic fracture in their life-time.

• The annual incidence of osteoporotic fractures in women is greater than the combined incidence of heart attack, stroke and breast cancer

P&S Presentation | February 20204

Falls- An ugly word- Some Statistics


SHARON BUTLER 25TH FEBRUARY 2020

Stay Strong – Exercises for

the Body – aerobic and

strengthening exercises

Stay Safe- look at your

environment

Engage your minds


Strength Training (sit to stands, weights, pushups)

• At least 2x week

• Start low and work up and have a days rest in

between.

Get a clearance from your GP and get an assessment

from a Physio or Exercise Physiologist beforehand

Wroblewski, A et al


Moving Right to Stay Upright- Walking with various

activities

“ If all the over 55’s got walking , we could save almost $2 billion in health costs

each year ”

“ Any activity is good for health” Dr Ewald University of Newcastle

Walking an extra 4,300 steps a

day is equivalent to about 40-

60 minutes of walking which

could include walking to the

shops, playing bowls etc.


At Anglicare

Have a morning tea- ask your Retirement Living Manager/

Coordinator and Registered Nurse- what’s the plan?

• Invite a speaker or speakers

• Have a walkathon

• Have an Expo- some stalls at the event- shoe stalls,

food stalls that promote good eating e.g. Meals on

Wheels, Occupational therapy goods

• Anglicare is supplying some Orange T-shirts to exercise

and walk , bags, pens.

• Posters with some positive ideas

Stay Strong- A Strong Body ( Physical Strength

A Strong Mind ( Mental Health

A Strong Spirit ( Keeping Connected/

Pastoral Care)

Stay Safe


Any Questions

Anglicare ProcurementShehan Michael


O U R C O M M I T M E N T

DRIVE COST DOWN WITHOUT COMPROMISING ON QUALITY

SERVE WITH C H R I S T IN MIND

ADHERE TO MAINTAINING TRANSPARENCYSTRICT CONFIDENTIALITY WHILE

D E M O N S T R A T E G O O D S T E W A R D S H I P

PROCUREETHICALLY PRODUCED AND ENVIRONMENTALLY

EVERYTHING WE DO ISAT ALL TIMES FIT FOR PURPOSE

ACHIEVE SUSTAINABLE OUTCOMES IN WHAT WE DO

FRIENDLY GOODS AND SERVICES

COLLABORATION WITH STRONG STAKEHOLDER ENGAGEMENT


What is the role of procurement?

The Procurement Team is responsible for sourcing goods and services on behalf of the organisation, for the organisation.

We partner with suppliers and the organisation to:

➢ Ensure product and service we procure is fit-for-purpose

➢ Leverage buying power to reduce costs

➢ Standardise products and services to achieve consistent outcomes for our clients

➢ Provide a service that is purpose-driven, effective, efficient


Procurement at a glance


Procurement Models

Combination of central and decentralized purchasing

Budgets managed -combined

Policy and Strategy set Centrally

Stakeholders have a critical role

Key elements of Procurement is Centre led

Self serve option

Hybrid Model

Centre led –Customer centric

Organisationspurchasing Activity is carried out centrally

Budgets managed centrally

Policy and Strategy set Centrally

Full Centralisation

Organisationspurchasing activity is carried out by business units

Budgets managed by business units

No Policy

No Strategy

Full Decentralisation


5 Stage Process

1. NEEDS IDENTIFICATION

& ANALYSIS

2. SUPPLY MARKET

PROFILING

3. MARKET ENGAGEMENT

STRATEGY -DEVELOP

4. MARKET ENGAGEMENT

STRATEGY -EXECUTE

5. CONTRACT IMPLEMENTATION

& VENDOR PERFORMANCE MANAGEMENT


Procurement Policy

Provides the business a self serve option to procure products and services from our suppliers.

These suppliers are categorised as Tier 1 and Tier 2.

Tier 1 – Have gone through a Procurement process and has been market tested – Must be used if listed under a specific supply category.

Tier 2 – Suppliers recommended by business units through a central feed back tool, they have not been market tested.


Preferred Supplier Register

The plan identifies a staged process for tenders and contract renewals undertaken at Anglicare.

Procurement team works together with key departments or business units for this review.

Some related to Retirement living

➢ Waste management

➢ Energy

➢ Cleaning services

➢ Repairs and maintenance


Two year procurement plan

Questions

Long Term Asset ManagementDavid Strong

The Revised Retirement Villages Act Regulations speak of asset management plans.

Section 2(a): Long Term Asset Management

• What are they?

• What is their purpose?

• How does it work / assessment process?

• What does this mean for residents?

• Difference between Capital replacement and R&M (including examples)

• Who is responsible for payment?


Long Term Asset Management

o Also known as AMP (Asset Management Plan)

o Data capture tool on information for all assets (Fire, A/C, internal and external fabrics)

o Captures critical information such estimated life span, criticality, cost to replace.

o Typically over a 7 – 10 year period.

o Industry best practice. Multiple suppliers in the market – Anglicare working with Web FM.

o Currently in consultation phase (Greiner Review - Inquiry into the NSW Retirement Village Sector)

NB: Not an asset register


What is Long Term Asset Management (LTAM)?

o Finance modelling / budgeting tool.

o Understanding areas of future risk / exposure


What is the purpose of LTAM/AMP Management?

How does a LTAM/AMP work? What is the process?

o Development of the database – Complete

o Annual assessment of all assets – noting changes of risks / criticality / costs

o Generating budget tools / reports

o Better reporting analysis / comparison across sites

o Allocation of budgets / activations of re-development


What does this mean for residents?


What is the difference between Capital Replacement & R&M?

Capital Replacemento End of life replacement

o Beyond economical repair (parts no longer available)

o Typically Anglicare funded

Capital Maintenance (R&M) o Reactive maintenance (tripped circuit breaker, leaking tap, lights no working)

o Preventative maintenance (Monthly servicing of A/C, annual testing of TMZ)

o Planned maintenance (painting of handrails, repair concrete pathway)

o Typically resident funded





Caddens

Lemongrove RL

Oran Park RL

Rooty Hill RL

St Lukes RL

St Stephens

The Ponds

0

50000

100000

150000

200000

250000

300000

350000

400000

2019/202020/21

2021/222022/23

2023/242024/25

2025/262026/27

2027/282028/29

Caddens Lemongrove RL Oran Park RL Rooty Hill RL St Lukes RL St Stephens The Ponds

Property Management


Property Management

Section 2(b): Property Management

How to communicate property concerns? • Village Management

• Dedicated support team – see chart

Archibus. (CMMS)• Computerised Maintenance Management System

• Continuous improvement programs

• New Pink / Green slip trial

• Contractor Management compliance (KPI)

• Work request escalations


Property Management Team

Head of Property

Management

Central Region

Regional Building Manager

Building Management

Team

SW Region


Building Management

Team

NW Region


Building Management

Team

Support Office

Management Team

Property Service Desk

Questions?

Village Budgets –An overviewBrett Jones, Commercial Manager

• February 2020 – Development and review

• March 2020 – Finalisation and printing

• April 2020 – Distribution

• May 2020 – Presentation


Village Budget Timetable

Key Components

• Salaries and Wages

• General Services – incl. utilities, garbage

• Maintenance

• Insurance

• Administration

• Resident Fee

Budget Development

Calculated

• Village Manager and General Manager

• Experience + rate change

• Plan + experience

• Property & Liability Insurance

• Allocation based on various factors

• Historically CPI, unless additional services


• 3 components – insurance rate, reinstatement valuation and other charges

• Rate and other charges neutral in 2020

• Values are reassessed every 3 years – 1/3 each year

• Insurance rates reflect market experience – storms and fires

• Valuations driven by costs, not market value

• Competitive process


Property Insurance


Property Insurance Rates

• Two main steps:

1. Determine support costs that are village related

2. Allocate village related costs between villages

• Includes only village operational costs

• Average FY20 budget was 9.0% of village expenditure


Administration

Component

• Management services

• Computer services & support

• Payroll & other human services

• Accounting & financial services

• Maintenance management

Admin. Allocated Between Villages

Allocated by number of:

• Units

• Computers

• Staff

• Units

• R&M (Value)


• Sinking fund for irregular but large maintenance costs

• Funded through surpluses – ‘time of plenty’

• Guided by long-term asset management plan

• Interest paid if invested for a fixed period


Capital Works Fund

• New requirement that villages vote for the auditor

• Will affect the 2021 audit

• Can be appointed for 1-3 years

• Anglicare proposed auditor for 2021 is Ernst & Young (EY)

• Major accounting/audit firm with strong Not For Profit experience


Audit of Accounts

Questions

The 2019 Retirement Living SurveyJohn Bellamy

1. This is a new survey designed in collaboration with management and residents using a focus group approach

2. Survey was conducted from mid November to Christmas

3. Deployed across the 22 sites

4. 1,784 responded, overall response rate 58% (a range of 37% to 96%)

5. Margin of error calculated – 9 villages with low statistical reliability


Methodology

2. DEMOGRAPHICS


Demographic Results

Villages with the oldest

cohort of respondents – Mary

Andrews, Woolooware

Shores, Warrina

Villages with youngest

cohort of respondents –

The Ponds, Oran Park and

Woodberry


Demographic Results

Female, 65%

Male, 35%

Other, 0%

Gender, All Respondents, 2019

Aboriginal, 1%

Non-Aboriginal, 99%

Indigenous Status, All Respondents, 2019



Demographic Results

Villages with newest

cohort of respondents

–Rooty Hill, The

Ponds, Caddens

Villages with the longest

length of residence cohort

of respondents –

Woolooware Shores, Oran

Park, Goodwin


Demographic Results

Villages with those residents

who drive the most –

Warriewood Brook, Oran

Park, Caddens, The Ponds,

Warrina

Villages with those

residents who drive the

least – Goodwin (74%

never drive), Lemongrove,

St Johns


Demographic Results

Villages with those

residents requiring the

least assistance – The

Ponds, Woodberry, Rooty

Hill and Caddens

Villages with those

residents requiring the

most assistance – Mary

Andrews, Lemongrove,

St Davids

2. SATISFACTION


Satisfaction – Value for Money


Satisfaction – Overall


Satisfaction – Would I move here again

4. CONCLUSION


Where to from here

Managers will use this data

to identify and initiate service improvements

using a CQI log

Use of data across

villages for strategic planning

Replication of what is going

well in villages with

very high scores

Posters to provide

feedback to individual Villages

Reprise the survey in 2020


Documents

President & Secretary Meeting · Ensure product and service we procure is fit-for-purpose Leverage buying power to reduce costs Standardise products and services to achieve consistent