Trying to grow your care business with a local authority tender? Then make sure you read this blog.
You have won a tender with the local authority and the future of your care company looks bright!!!
Let me explain how tendering could be the worst decision you ever make as local authority contracts have many downsides. In this blog I will talk about one of the primary reasons I will never tender for LA work again. I want you to understand how winning a tender can negatively impact your business and what you can do instead. At the end of the article you will learn what you can do to protect yourself and limit the damage that can happen when working with local authorities.
So why is working with the local authority a bad decision?
The primary reason is the local authority predominantly employs two types of people.
- Really smart one's
- Idiots
This is a massive problem for you as the idiots run your tender. As a company director or registered manager you work hard to build relationships with the ‘Smart employee’s' within social services. This positively impacts your business, however, what happens is this, the smart employees make the idiots look really bad.
To compensate the smart employee is moved to a different department or they get fed up with red tape and bureaucracy they leave quickly. This happens almost every time because it's usually an idiot employee that's in the managerial position who feels threatened and makes the changes.
This leaves you, the care provider trying to manage a contract with people in charge who are unfit for the job. Every time you find a smart employee they leave and you become stuck with an idiot again.
If you haven't tendered yet, you may think I'm trying to be funny but I'm not. Ask around anyone who is on a tender. It's common knowledge amongst care providers that this is true. The idiots don't leave because they lack ambition, they can take as much sick as they want and keep their jobs and pensions. They are surrounded by like minded people so they feel good and can't see what a poor job they are doing.
They are not bad people but they have no idea about working in the real world. Your business and challenges are not their problem, their problem is doing as little work as possible whilst pretending to look busy. This is the whole reason why local authorities are in such a mess. They have annual budgets to spend and they spend regardless of the quality of work. Every penny has to be wasted or budgets get cut.
And this is what you have to work with when servicing a tender, A local authority who doesn't know it's arse from its elbow and idiots as employees.
It Gets Worse!!!
These people are also in charge of your finances. They pay you, (or not pay you as the case may be). There is nothing worse than running a care company and having an idiot in charge of paying you. Your invoices will go missing, they will be rejected for not being stapled correctly, visits will be questioned and they will deny even instructing you to take on the client in the first place.
So how do you manage a contract to be a success?
My advice is to go by a rule I had in my company:
If It's not written down it didn't happen!!
I got so fed up with false promises from social services and late payments I made sure everything was written down. You must record everything and make sure you get names and departments of who you speak to. The idiots within social services will deny everything and blame the provider. It is your job as a provider to remind them of what was agreed.
Never take on a package without written confirmation of what the package requires, how much you will be paid and who will pay. Make sure you have in writing who is instructing you and what the start date is.
Also confirm if there is an end date and write it down.
You don't need anything fancy, your rostering system should allow all information to be recorded. Another smart move is to email everything that has been agreed to all departments before you start any package. Basically record everything you are told and confirm everything.
Now, you might wonder, "How can I protect my business from these challenges when working with local authorities?" Here are a few strategies to consider:
Protecting Your Business When Working with Local Authorities
1. Build relationships with the right people: Despite the issues within the local authority, there are still smart and dedicated employees who want to make a difference. Seek them out and build strong relationships with them. They can be your advocates and help you navigate the complexities of the system. Remember, they too are victims of the system and will appreciate your understanding and support. Just don't get to reliant on them, they will leave very soon.
2. Document everything: As I mentioned earlier, if it's not written down, it didn't happen. Keep detailed records of all communications, agreements, and interactions. This will help you avoid misunderstandings and disputes, and will provide evidence of your compliance with contract requirements.
3. Don't rely solely on local authority work: Diversify your business by seeking clients from various sources, such as private pay, insurance, and other public programs. This will reduce your dependence on local authority contracts and give you more flexibility in managing your business.
4. Stay informed and proactive: Keep up-to-date with changes in local authority policies, procedures, and regulations. Attend meetings, conferences, and training sessions to learn about best practices and new developments. Be proactive in addressing issues and suggesting solutions. This will demonstrate your commitment to quality care and your willingness to work collaboratively with the local authority.
5. Seek support and advocacy: Don't hesitate to reach out to industry associations, advocacy groups, and other resources for assistance and guidance. They can provide valuable information, resources, and support in dealing with local authorities and improving your business operations.
Watch the Video here:
In Conclusion
While working with local authorities can be challenging, it is not impossible. By understanding the problems and pitfalls, and by implementing strategies to protect your business and build strong relationships, you can succeed in this complex and often frustrating environment. Remember, you are not alone, and there are resources and support available to help you along the way.