Outline Project Business Case

Document Version Control
Version Number	Reason for Change	Author	Date
0.1	First draft	Abigail Burns	10/8/23
0.2	Reviewed with Working Group	Abigail Burns	13/11/23
0.3	Updates following review by Sponsor/Programme Manager and Finance Director	Abigail Burns	15/11/23
0.4	Update following QA	Abigail Burns	20/11/23

Project Overview
Project Name:	Library Management System Procurement
Project Reference:	4021	Document Author:	Abigail Burns
Project Sponsor:	Hazel Smith	Project Manager:	Abigail Burns
Programme: (this project is part of):
Directorate / Service Area:	Community Development/Culture, Leisure, Archives and Libraries	Programme Manager:	Kieran Jones
Senior User (Service Lead):	Melanie Fowler	Senior Supplier:	Lorena Phillips/Jemma Gotts

1 Project Background

Library services are a statutory service delivered by North Yorkshire Council.

The Council Plan for North Yorkshire has made a commitment to:

· Building on North Yorkshires capital, strong local economy, and resilient communities by providing access to information, education and leisure opportunities.

· Enhance people's skills knowledge and confidence by offering a range of learning resources

· Strengthening the organisation by improving efficiency, effectiveness, and quality of service delivery through the use of modern technology

The library service and the use of a Library Management System has a clear role in supporting the Council Plan in these areas.

The current LMS contract has been in place since 2015.

The service was remodelled in 2017 to include much greater involvement from volunteers, who deliver services from 31 community libraries and assist with service delivery at 5 hybrid and 6 core libraries using the current web based LMS system. The service has one mobile library that visits 20 rural locations. 

North Yorkshire covers almost two million acres and geographically is the largest county in England and Wales.  The county includes the towns of Harrogate, Selby, Skipton, Richmond and Scarborough, as well as the city of Ripon and the county town of Northallerton.

The current LMS contract is with Educational Software Solutions (ESS). This contract has been in place since 2015 originally with Capita and transferred following the system being sold to ESS in 2020, so using the full 7 years term.  To avoid additional pressures on capacity during the LGR implementation period a further 2-year extension, with optional 3^rd year, was agreed and approved in 2022 via a direct award through the KCS Software Products & Associated Services 2 Framework Y20011.  The anticipated timeline indicates that a new contract needs to be in place by September 2024 to allow for implementation so would mean utilising the optional 3^rd year of the current extension contract with an end date of 31 March 2025 with a 90-day notice period.

This project will ensure that the Library Management System complies with the Public Contracts Regulations 2015.

Since ESS have provided the system both performance and the level of support have significantly declined and negotiations on the extension proved difficult with what were seen as unreasonable demands around risk and liability.   In addition, although the existing system meets the minimum requirements there has been no development to recognise changes in user expectations of a modern library service as highlighted when attending a recent Suppliers Showcase.

The system provides management of stock (purchasing, catalogue) and borrower records (membership), transactions (issues, returns, renewals and reservations), and manages related finance payments (fees and charges).  It is also the front-facing public side of the service (public web-based catalogue) and supports self-service including account management and notifications. The LMS also links to other systems and applications including the PC booking system, self-service kiosks, the North Yorkshire Library App, an automated stock management system, a marketing system, online resources and digital library. The LMS manages circa 3.5m transactions per annum and 1.2m data records (stock and borrowers). Removal of any one of these transactions/tasks would require replacing with manual paper-based systems resulting in significantly increased costs.  In addition, it would no longer be possible to offer self-serve access resulting in reputational damage and potentially significant impact on use of the service.

The biggest change in the market is that there are now a number of suppliers able to provide a system to meet these requirements for our volunteer-based delivery model in contrast to there being only two in 2015.

Peer review shows that there is likely to be little if any cost saving but equally that there would not be any significant increase in revenue costs if moving to a new supplier, however an updated fit for purpose system could potentially lead to increased use through improved access so reducing cost per user.  There is also potential to save the costs of the add-on systems that have had to be purchased as they have not been offered by the current supplier for example the marketing module which is circa £9k per annum.

2 Objectives

· Ensure business continuity to have a Library Management System in place by 1/4/25.

· Deliver a technical solution to better meet the changing and future demands of the customer.

· Deliver a solution to meet community and customer requirements to support the Council Plan priorities.  

3 Benefits

Benefit Description	Benefit Measure	Cashable Yes/No
Ability to improve and develop services	Customer experience measured through key performance indicators: Active Users per 1000 pop Total book issues Virtual Visits per 1000 pop Road maps from Suppliers have been identified for ongoing and future development to meet performance and quality of service measures Potential savings to reduce the need for double keying £19,000	Yes
Reduction in cost to add on systems with a move to a new supplier	Potential cashable saving should the new supplier be able to offer marketing module for example. Between £0k to £10K	Yes
Have an events management module within LMS	Increased ability to sell and promote tickets for events Income generation currently unknown Supports Council Plan re strengthening and improving the efficiency and quality of service	No
Ability to develop T&C’s that support the NYC Library Service	Fair terms and conditions that satisfy supplier and NYC. Compliant with the Public Contracts Regulations 2015. Avoidance of ICO fines and or claims by individuals	No

4 Assumptions

· There is an assumption that the procurement will be able to be delivered within the current financial envelope

· That resources required will be available when needed

· That one system will be able to provide all requirements

· Suppliers are happy to accept NYC terms and conditions

· There is sufficient interest from the market

· Data migration will run smoothly and securely

5 Options Appraisal

Description of Option		Benefits	Risks	Likely Impact on NYCC Carbon Emissions	Costs – these are likely to be high-level estimated at OBC stage
1	Do Nothing	Known system No Training required	Contract has ended Not able to extend any further	Neutral	Continue at £54,000 pa
2	Regional Consortium	Potential reduction in cost Shared risk	Timescales too tight as Consortium is not yet in a position to make any changes. Long implementation. Increased number of stakeholders Reduction in ability to have a service that works for NYC customer base and service delivery model.	Decrease	Unknown
3	Identified Procurement Frameworks	No need for Open tender process	No current existing framework that met needs for Library Management System	Neutral	Unknown
4	Retain and Improve	Mostly known system Minimal training required	Time required to build is extensive Sufficient resource not available	Neutral	Unknown
5	Open Market	Wide selection of suppliers Potential reduction in cost Improved user experience for staff and customers. Increased likelihood of meeting requirements. Likely improved functionality and capability. Compliant with Public Contracts Regulations 2015	Potential increase in costs Training requirements may be complex New and unknown system	Neutral	Between £33,000 and £70,000 for running costs. One off implementation costs between £20,000 and £55,000. Identified through Discovery Days.

EVALUATION CRITERIA

A full options appraisal has been undertaken with the service, Procurement, Solutions Architects and Business Change. The above 5 options were identified and following review Option 5 was agreed as the recommendation for moving forwards. Please see link to Options Appraisal here.

6 Recommended Option(s) – To Further Explore

Option 5 is the preferred route for the replacement of the current Library Management System. Option 5 (Open Market).

The main reasons are:

· Current solution has had very limited development over the length of the contract and there is no roadmap for the future.  

· Opportunity to move to a fully cloud-based system.

Options 1-4 have been discounted as the ability to continue with the current contract is not an option due to the contract having come to an end and all extensions having been utilised, no suitable frameworks exist and the ability to retain and reuse has been discounted due to resource and capability to build. See below slide from the Solutions Review Board (6/11/23).

Option	Reason Rejected
Regional Consortium – (teaming up with Yorkshire & Humber authorities to have a joint LMS solution)	Timescales are too tight as the Consortium are not yet in a position to make any changes. We need to ensure we have enough time for implementation given the large number of staff and volunteers who need training and our service delivery model.
G-Cloud 13, CCS & ESPO Frameworks	Not all suppliers at the Discovery Days were on each Framework. ESPO – tight timescales, not been renewed.
Re-use a system we already use at County Hall	No current existing system available.
Build our own bespoke system	Not enough time or resource to create a system which will hit our must have capabilities. Re-use, buy, build.

7 Project Scope

For the recommended option(s) what is in scope and any exclusions (Out of Scope e.g. anything the project does not cover, will not be doing, anything which is not funded). 

In-Scope	Out of Scope
Procurement of a digital solution to manage: Circulation/Cataloguing/Stock Management/Ordering/System Administration/Reporting	Restructuring of libraries/staffing
Finance integration	Purchase of new devices for example Tablets, kiosk equipment etc
Interoperability
Training on new system
Roll out to staff and volunteers in council libraries/community libraries

8 Project Milestones

For the recommended option(s), indicate any important dates associated with the project, including any required by dates (e.g., when the project must be completed, procurement timescales).

Milestone/Activity	Anticipated Month/Yr.	Why is this key?
Gateway 1	December 2023	Agreement to move to Invitation to Tender
SCAM matrix complete	November	To be able to understand the solution and capabilities required for the proposed solution
OBC reviewed at Check & Challenge	November 2023	To ensure Senior Transformation leads are aware of the ask
OBC reviewed at Change Design Group	November 2023	To ensure Transformation grp are informed and aware of the proposed change
OBC approved by Directorate	November 2023	Board/Directorate are aware of the stage gate and ready to take on the next phase.
OBC approved by Management Board	November 2023	To ensure Management board are aware and agree the move to procurement option. No longer required as of 22/11/23.
Executive Sign Off (Exec Member and Corp Director key decision)	December 2023	Agreement from Executive Member and Corporate Director to move to a procurement option
Gateway 2	April 2024	Gateway 2 documents to ensure agreement to move to “Invite to Tender”
ITT	April 2024	Agree documents and specification that will form the documentation for procurement of a new LMS
FBC approvals complete	June 2024	Agreement to move to the provider identified through the procurement process
Gateway 3	July 2024	Agreement to award contract
Award contract	August 2024	Inform supplier of success at tender
Signing of Contract	August 2024	New supplier agrees to the terms and conditions
Commence Mobilisation	September 2024	To ensure that all resources are in place to ensure implementation is completed
Contract End Date	March 2025	Can no longer extend current contract past 31/3/25. Notice of 90 days will have to be given to the current supplier and will be given by the 31/12/24.
Go-Live	April 2025	New contract to be ready for Go Live1/4/2025
Closure Approved	June 2025	Confirmation that system is implemented correctly and is working with all transfers to the Business Agreed.

9 Project Resources

For the recommended option(s), will the project require resources from any of the following areas for Definition?   

Area Hover on headings to see further description	Yes / No / Unsure	Brief description of work required (PM will produce detailed Resource Plan following approval of OBC)
	Definition (Production FBC)
Technology	Yes	Ensure interoperability and management of any system procured
HR & Training	Yes	Support to develop online training in the use of a new system
Finance	Yes	Ensure financial templates are correct and costs appropriately documented. Technical Finance to be involved to ensure integration to the finance systems.
Procurement	Yes	Support procurement of a new system
Legal	Yes	Review the contract for the new system procured
Risk & Insurance	No
Communications	Yes	Update links on the intranet and internet and wider info re any changes to the library system both internal and external
Business Change	Yes	Mapping AS IS/TO BE, Benefits development, support around capabilities
Project Management	Yes	To provide assurance and guidance to ensure the process is given appropriate Project Management structure
Property	No
Business Support	Yes	Exchequer Services in relating to testing of payments
External Expertise	Yes	From the chosen supplier to ensure implementation will be managed smoothly.
Customer Resolution Centre	Yes	To provide the customer viewpoint
Directorate Team(s)	Yes	To provide support with testing when we commence implementation.
Other	Select

If you have answered ‘yes’ to any of the above the allocated Project Manager will discuss resource estimates with the relevant resource manager.  A list of resource managers can be found here.

10 Consultation / Engagement

For the recommended option(s), is there a requirement for consultation or engagement with external stakeholders?  If so, when is this required (month/year or quarter/year)? 

Consultation / Engagement	Yes / No / Maybe	Month / Year (est)
Internal Staff Engagement	Yes	November 2024
Public Consultation	No
External Engagement	Yes	February 2025

11 Risks and Issues

For the recommended option(s), are there any risks or issues that are apparent at this stage that the project teams need to be aware of including the risk if the project is not delivered?

Risk or Issue	Description & Consequence	Likelihood H/M/L	Impact H/M/L
Risk	There is a risk that we will not be able to provide training in a timely manner to reach circa 1600 staff and volunteers. If training is not rolled out appropriately then people will not engage with the use of the system and therefore, we may see the system underutilised.	Medium	Medium
Risk	There is a risk that we will not be able to confirm appropriate resources due to capacity of teams. Without the correct resources the project may not be able to move forward and will impact the longer-term risk around time frames.	Medium	Low
Risk	There is a risk that communications are not timely or appropriate If staff, volunteers and customers of the service are not aware of the changes then we run the risk of not taking people along with us on the journey of developing/procuring a new system.	Medium	Medium
Risk	There is a risk that we could lose volunteers with a change in a Library Management System. Community Libraries may close. Staffed libraries service may be compromised if they have to go and support the community Library due to loss of volunteers.	Medium	Medium
Risk	There is a risk that we will not be able to create integration with other suppliers that link to Library Services. Without integration the system will impact other systems that supply service to the Library Service.	Medium	Medium
Risk	There is a risk that data migration will not be done in a timely manner. Without the data migration we will not have an up-to-date management of borrower/stock records or a test system to use.	Medium	Medium
Risk	There is a risk that we will not be able to integrate the LMS to the back-office finance function. If no integration can be achieved, we will not be able to manage and follow the finances.	Medium	Medium
Risk	There is a risk that testing is not robust or complete. Without decent testing we will not be confident that the system will support the requirements of the service or work to a customer’s satisfaction.	Medium	Medium
Risk	There is a risk that we do not have a large enough pool of suppliers interested in tendering for the LMS contract. That there is a small pool to choose form as to what system will be available to provide or tender for the service.	Medium	Low
Risk	There is a risk that we will not be able to implement the new system in the time frame identified. If we are unable to implement the new system in the time frame identified we run the risk of not having a workable system or a part working system or may need to negotiate a month by month extension with the current supplier.	Medium	Medium
Risk	There is a risk that not all of the requirements and capabilities are understood. Without the full understanding of the relevant capabilities and requirements potentially we will not have a system that we can integrate or meets the requirements of the service.	Low	Low
Risk	There is a risk that we do not have a sufficient budget to purchase and implement a new LMS system. Without the correct budget we may not be able to purchase a system that supports the library service.	Low	Medium

12 Dependencies / Links

There is a dependency with the technical finance work to ensure that integrations are fully understood for the connections and interoperability for the system purchased with the accounts receivable and accounts payable systems.  As captured on the 15/8/23 on the dependencies log.

Does this project have a link to any of the following areas?

Will this project have an impact or opportunities on any of the following areas?

· Stronger Communities – Will the project involve supporting communities to take a greater role in the provision of services?

· Partnership, Commercial and Alternative Delivery Methods – Will the project generate income or profit through sales OR there is a competitive element where the Council will be in competition with other external companies OR the project will enable the Council to do either of the above?  Will the project involve working with others to provide new ways of delivering services?  For example, this could include partnership working with other councils or public authorities.

· Customer – Will the project involve changes to the way in which customer’s access and/or receive services, for example, online access to services, greater use of the customer contact centre or changes to physical access points.

· Property – Will the project have an impact on requirements for, and the use of, the property estate?

· Organisational Development – Will the project require changes to organisational structure and roles, skill sets and knowledge requirements and/or behaviour and culture change?

· Health & Integration – Will the project have an impact on any joint working or interface with health partners

· Modern Council - Will the project have an impact on New Ways of Working?

Area	Yes/No	Comments
Stronger Communities	Yes	Many of the Libraries in North Yorkshire are already run and managed by volunteers
Commercial	No
Customer	No	Customers should not see a change to how they are able to access the service. The new LMS will be procured at a like for like level as a base line.
Property	No
Organisational Development	No
Health & Integration	No
Modern Council	No

13 Stakeholder Management and Communications

Key stakeholders have been identified and captured using the stakeholder mapping documentation here.

Key stakeholders have been identified for the board and the working group. A further communications plan will be completed as it is understood which system is successful through procurement tender.

14 Equality Impact Assessment (EIA)

Please find attached the Equality Impact Assessment screening toolhere. The screening tool has determined that a full Equality Impact Assessment will be needed going forwards. Any change to the Library Management System must ensure that it is user friendly and accessible by users, staff and volunteers who run and use the library service.  

15 Data Protection Impact Assessment (DPIA)

A Data Protection Impact Assessment screening tool has been undertaken and it has been agreed to move to a full data Protection Impact Assessment.

Please find the Data Protection Impact Assessment screening tool here.

16 Other Implications

A climate change impact assessment screening tool has also been undertaken and agreed that there are no current changes from the current system and therefore we will not move to a full Climate Change Impact Assessment. Please see attached the Climate Change screening tool here.

17 Summary of Savings and Costs

Please find attached the high level costs associated with the procurement of the library Management System here
Prior to the Solutions Review Board the LMS board undertook a piece of resource work and identified the teams required and length of time needed to provide and implement the Library Management System.

18 Funding

State the funding source for the initial implementation and for any ongoing costs, for the recommended option(s) e.g. licence costs.

Estimated implementation costs and budget allocation		Funding Source
	Amount Required (£)	Service (£)	Corporate (£)	Other (£)
Implementation of service from Corporate	40,000 one off cost		40,000
Service Costs	54,000 per annum	54,000

19 Approvals

Ensure the appropriate approvals are in place for the project to proceed.

Comments	Signed	Date
Programme Manager
Kieran Jones		14/11/23
Project Sponsor
Hazel Smith		14/11/23
Directorate Assistant Director Resources
Paul Foster		15/11/2023