Reducing Costs … An Introduction to Collaboration

Collaborative Communities hosted an event in April to introduce the benefits of collaboration and the advantages of increased buying power to Third Sector organisations. With public spending cuts on the horizon there is increased competition for volunteers, supporters and funding. Collaborative Communities can provide advice and support to organisations in this current economic climate. One answer to the challenge is to explore the possibilities of collaboration.

There are a variety of approaches to working together involving different levels of formality, commitment and costs. From informal networks to partnerships through to mergers, organisations can collaborate on a wide range of aspects including, purchasing, procurement, back office services and lobbying. The potential benefits include effective use of resources, improving the consistency of services, developing new revenue streams, greater bargaining power, a stronger voice and building trust and confidence within the Third Sector. When contemplating collaboration important things to consider are whether the organisations share similar values, culture, objectives and interests. Expectations on both sides must be managed, so that neither organisation feels they have lost control of their organisation. Collaborative Communities can help facilitate and support this process.

Recent examples of successful collaboration include bassac and Development Trusts Association, Charity Bank and Investing for Good, Help the Aged and Age Concern and the Swansea Charity Partnership.

At the event in April, The Charities Buying Group, Utility Aid and Third Sector Telecoms presented on how their companies can reduce costs to Third Sector organisations.

The Charities Buying Group provide free dedicated buying advice and purchasing services to the Third Sector, offering a wide range of buying agreements, to help make better use of spend by utilising their buying power. The CBG will review organisations current buying practices and make recommendations on how they can reduce spend. Their services are available on a free of charge basis to all Third Sector organisations irrespective of size, therefore allowing smaller organisations to reap the benefits of buying power. www.charitiesbuyinggroup.com

Utility Aid is the official energy partner of the Charities Buying Group. It was founded in 2002 with the mission of saving charities time and money spent on the procurement of electricity and gas contracts. They provide customers with effective and sustainable solutions to their energy needs and encourage and help customers to set standards for achievement through modern forms of cost effective monitoring & targeting schemes. www.utility-aid.co.uk

3rd Sector Telecom is a specialist provider of all aspects of telecommunications to charities and not for profit organisations. They supply a wide range of services - voice, data, mobile, inbound, VOIP and hosted telephony services, all on one bill. They provide impartial free advice, good customer service and competitive rates on the market, saving organisations time and money. www.3rdsectortelecom.com

The Collaborative Communities team are available to discuss these ideas further with organisations and facilitate bringing together groups with similar remits and those who could come together to jointly apply for funding.