Hyde Quality Standard – Changing the way Hyde modernises

homes

Hyde - Property Services

Director of Property Services

James Shaw

Contract Manager

Jon Willis

Aims of this Masterclass

• Overview of Hyde

• The journey we’ve been on

• The Hyde Quality Standard:

- Why

- What

- How

- Benefits

• Opportunity to ask questions

Hyde fast facts

Key figures:

• Hyde Housing Association

was founded in 1967

• Annual turnover: £351m

• Assets: £3bn

• Homes: 51,000

• Residents: 105,000

• Staff: 1,300

Our social purpose Hyde is a social business – the profit we make is used to build more homes for those left behind by the market Our Vision A great home for everyone Our Mission To provide more people with a roof over their head so they can make a home

Hyde – Future

• Over the next three years, we aim to build more than 1,500 homes a year;

raise customer satisfaction with repairs; be the employer of choice in the

housing sector and generate £31m of profit annually

• Continual Growth and Delivery of Excellent Services – Making us the

Housing Association of First Choice

• To become nationally recognised as a Lead Organisation for Housing

Services

Hyde – Before

Audit Commission short

notice inspection in 2010

– adverse findings and

was the catalyst for major

transformation:

One Hyde One Vision

Change Programme 2010

- 2013

Hyde – Before

• Property Services had 7 operating business units across the South East

• Differing T&C’s – stock transfers

• Differing standards in each business unit

• Lack of consistency/silo working in terms of policy and procedures

• Over 500 contractors across the Group

• Mixed performance and lack of consistent scrutiny

Hyde – Successful transformation 2013

• Property Services moved from 7 operating business units across the South

East into one centralised directorate

• New Group contractors appointed on long-term contracts

• New staffing structure with 1 Property Services team

• New Group-wide policies and procedures

• Consistent KPIs across the Group

• Standardised contract management

• The basics in place but further improvement required……..

The start of the journey towards HQS

• Traditional OJEU tender award for Internal Works Package –

Oct 2013

• 4 Year Term + 4 Year Extension

• Keepmoat Regeneration – London, Peterborough & Kent

• Hyde Property Services (HPS), our DLO – South Coast

• After successful delivery in year 1 – Hyde wanted to move

delivery to the next level

Move to Open Book

• Successful delivery under original contract agreement

• Move towards a higher, more inclusive, less administrative programme

• Contract Variation – Oct 2015

• Our goal to offer ‘Unpresented Choices’ at inclusive market rates

Demand Led Replacement (DLR) As part of our Asset Management Strategy we developed a common sense approach and

DLR was born:

• Moves away from traditional programmes, geographical areas and lifecycles of

investment making smarter use of investment funding

• Deliver of improvements in areas and locations where need is greatest

• Move towards replacement driven by condition, and serviceable remaining life

• Works are identified following a request to inspect a property and not just an age trigger

• Initiative significantly reduces wastage by replacing only when required

• Agile working practices introduced for contractors

DLR Referral Process

• Repair vs Replacement - Value of works estimated in excess of

£1,000

• Prevents Responses Contractor from developing unapproved

replacement programmes.

• Driven by responsive repairs teams

• Responsive Surveyor submits request with details and images

to DLR referral in box

• Contract Manager reviews & approves

Hyde Quality Standard (HQS)

• Following pressure to be more efficient and get more for less, we reviewed

our traditional Planned Maintenance Delivery Models based on life cycles

and developed the Hyde Quality Standard

• The standard is a real game-changer in relationship management, giving

residents unprecedented choice when their homes are being modernised

• The standard involves residents fully in the replacement of their

bathrooms, kitchens, giving them wider choice and allowing them to pay to

upgrade certain items or to supply their own, fitted at no extra cost

• The standard is an innovation, cleverly designed to provide Residents with

a wide range of choice at no extra cost to the organisation

Hyde Quality Standard (continued)

• We wanted our residents to have the same level of choice and quality of

kitchen and bathrooms as a homeowner in the private sector

• We looked at what we were providing and set ourselves the challenge of

offering the best in class but at the same price

• We receive credits for any materials not used from our contractors through

our open book approach

• Clear commitment from us to our residents in providing long term

investment in our properties

Programme Generation

• We don’t have a programme / we do have a programme? –

Property pool

• Move from in House surveys to Contractor inspections at no

extra cost – validation surveys

• Photographs and surveys

• Review and deliver

• Resident Liaison Officer provided by contractor

Exclusion Checks

We look to deliver targeted investment in properties where good tenancies

have been maintained.

Modernisation will not take place if:

1. There is an outstanding Notice of Seeking Possession

2. There are outstanding rent arrears

3. There is an outstanding right to buy or right to acquire application

4. Access to the property for the purpose of undertaking essential

maintenance, including compliance checks (gas) has not been given

5. The property is being assessed for disposal

Exclusion Checks (continued)

Modernisation will not take place if:

6. Where a replacement component is needed as a result of resident

neglect or damage. We will recharge residents for the cost of these items

7. On the basis of antisocial behaviour, either a relevant order or

suspended Ground 2 or 14 possession order is in force, or an application

is pending before any court

The only exception to these criteria is if work is needed because of a health

and safety issue

HQS Choice Brochures

HQS – How the choices work

1. High level base specifications

Residents add their personal touch at no cost, with a wide choice of fixtures

and fittings available, kitchen worktops (with mason mitres) and bathroom

taps, tiles

2. Adding that personal touch - Co-specification

Residents supply their own items or materials, such as tiles, taps, kitchen

sinks and bathroom suites – all installed at no cost to them. For instance:

Wall tiles, paint, taps, extractor fans, blinds

HQS – How the choices work (continued)

3. The chance to enhance - Right to upgrade

Residents pay for higher specification options, including whirlpool baths,

heated towel rails and full height wall tiling, saving the cost to Hyde of what

was going to be fitted

Kitchen - Tall larder units, wine racks, chrome sockets, under-unit lights

Bathrooms - Whirlpool baths, vanity units, heated towel rails

HQS Kitchens

HQS Kitchens

HQS Bathrooms

HQS Video

HQS - Benefits to date

• Offers unprecedented levels of choice for residents

• Reduction in void turnaround, costs and number of recorded new voids

• Properties are now seen as more desirable than others

• 2000 residents have benefited from HQS to date

• Rental income has increased where previously arrears were present

• Clear evidence of residents taking great pride in their new installations has

contributed to a reduction in routine repairs

• Embraces our partnership approach with contractors

HQS Savings and Efficiencies

• Savings resulting from move to Open book rates - £ 580k pa

• Shared savings resulting from Open Book Audits - £ 30k pa

• Material Savings resulting from HQS Choices - £12k pa

• Savings made from DLR assessments - £277.5 k pa

• Savings made from DLR approach - £1m

• Recovery of arrears from tenancy checks - £ 100k pa

• Voids – average reduction in void costs of around £500 per property

representing a predicted 10 year saving of £500k

Overall financial savings to Hyde: £2M pa

HQS Hallmark moments

HQS – The next stage

HQS has now been introduced with our

window and door replacement programmes

• A wider and improved selection of door

and window styles, furniture and glazing

• Choices include alternative door and frame

colour, varied patterns, glass styles,

handles and letter box designs

• Right to upgrade choices

Awards , Compliments & Resident Satisfaction

Finalists – NHMF – Best Customer Impact Awards

2016 and 2017

Finalists – UKHA – Outstanding Approach to

Repairs & Maintenance 2017

Independent resident satisfaction of 4.5 out of 5 -

residents are extremely happy with their new

installation and the service provided

What our residents say

“When we had our new kitchen installed, we decided to supply our own tiles and some

appliances, which were installed at no charge. My new kitchen is amazing – I’m really

happy with it.”

Maxine Robson, Hyde resident, Orpington

“HQS gives you what you want, not what they want you to have.”

John O’Leary, Chair of Hyde’s London Resident Assurance Group

“We now have a kitchen to be jealous of - just ask the neighbours!”

Hyde resident

Press & Media

• CIH article

• TPAS Awards - Proud of

working partnership

with @Keepmoatgroup,

helping to deliver Hyde

Quality Standard through

award-winning apprentice

scheme Kick-start

Social Media

Digital Inclusion

• Encouraging residents to interact with us online

• HQS webpage

• Hyde App

• Contractor portals

• Our aim is to move the entire

process online: from approval

to design and installation

• Twitter: @HydeHousing

• Facebook: www.facebook.com/HydeGroup

HQS – To Recap

• HQS is a real game-changer in relationship management, giving residents

unprecedented choice when their homes are being modernised

• The standard involves residents fully in the replacement of their

bathrooms, kitchens, giving them wider choice and allowing them to pay to

upgrade certain items or to supply their own, fitted at no extra cost

• It is a unique process

• We have made significant savings along the way

Discussion / Question and Answers

Thank you

James Shaw

Director of Property Services

Jon Willis

Contract Manager

020 3207 7683

jon.willis@hyde-housing.co.uk www.hyde-housing.co.uk