You are on page 1of 13

City of Hamilton

Ontario Works Organization and Process Review

FINAL REPORT

March 22, 2016

SHS CONSULTING
POLICY * RESE RCH * COMMUNITY DEVELOPMENT
1.0 EXECUTIVE SUMMARY
Purpose of Review
The purpose of this review was to conduct a structure and process review that will result in the
development and implementation of a sustainable organization structure, streamlined business processes
and relevant resource alignment that will provide cost effective and efficient quality services while being
responsive to the needs of Hamilton s diverse Ontario Works, Ontario Disability and low-income clients
and families.

Methodology
The overall research methodology was guided by three core questions, which were developed and
finalized in collaboration with the City of Hamilton Project Team:

What is the optimal sustainable organizational structure that will provide cost effective and efficient
quality services, while being responsive to the needs of OW clients?
How can the business processes be streamlined so that they deliver cost effective and efficient quality
services, while bein responsive to the needs of OW clients?
What is the best alignment of resources that will help Hamilton OW to achieve a sustainable
or anizational structure and streamlined business processes?

Additionally, in terms of implementation, a fourth question was incorporated into the methodolo y:

What are the obstacles or challenges to Implementing the suggested changes (as identified in
response to the three questions above)

A multi-pronged approach was employed to conduct qualitative and quantitative research and analysis in
support of the review objectives. Methods included document review, program data analysis, review of
comparators and a multi-stakeholder engagement strategy. The latter was a critical source of
information, validation and consultation throughout the review process.

Almost 650 individuals were engaged in this study s consultation process. Internal stakeholders included
Senior Leadership (2), Project Team (5), Directors (5)1, Managers (19), Supervisors (6), Team Leads (7) and
Frontline Staff (176), while external stakeholders included Union Representatives (2), OW Clients (385),
Internal Partners (2), Community Partners (21 organizations), Ministry of Community and Social Services
(1), Comparator Municipalities (4) and four (4) other municipalities with identified effective practices.
Members of the City's Implementation Team (3) for this study have also been consulted closely. Further
detail on the methodology and limitations is contained in the full report.

1 Four Directors of divisions directly involved in the deli ery of Ontario Works; including current and former
Directors of the Benefit Eligibility Division. _ _

City of Hamilton
Ontario Works Organizat on and Process Review
Preliminary Recommendations for Discussion
SHSCONSUTOG
Overview of Hamilton Ontario Works
The City of Hamilton is one of the Consolidated Municipal Service Managers (CMSM or Service
Manager ) of Ontario Works. As such, it is responsible for administering the program in accordance with
the provincial legislation and directives, while also structurin and delivering the program in a way that
meets local needs.

Purpose of the Program


The intent of the Ontario Works program, as communicated in the Directives, is to help people in
temporary financial need find sustainable employment and achieve self-reliance through the provision of
effective, integrated employment services and financial assistance. Building on the intent of the
program, Hamilton Ontario Works defined its approach to program delivery in its previous Operational
Plan as follows: We deliver the Ontario Works program using a person-centred approach. We are
accountable and supportive in providing integrated employment and financial assistance to those in
need, while they obtain sustainable employment and other income supports."

Client Profile
Given the intent of the program, Hamilton Ontario Works serves low-income people, includin the
homeless, formerly homeless and those at risk of homelessness, and people likely to be suffering, or who
are at risk of suffering, the poor health, social and economic outcomes associated with earning low, or no,
income. In an effort to better understand the profile and needs of Hamilton s Ontario Works caseload,
the review researched the local context and summarized available caseload data. Highlights of Hamilton s
current caseload demographics are included below.

Most common benefit unit served are singles; both males (37.5%) and females (20.4%).

Males outnumber females as part ofthe Addictions Services Initiative (ASI) caseload, and ASI
participants are more likely than non-ASI OW participants to be single.2

Hamilton Ontario works also serves a small proportion of couples, although almost 8% of their
caseload mix is comprised of couples with dependents (children or adults).

84% of dependents served are children under the age of 18 years, although no data is available
on how many ofthe children are less than school age and whose parent(s) may, therefore, be
deferred from participating in employment assistance activities.

Roughly three-quarters of Hamilton's current Ontario Works caseload are Canadian-born.

56% of current cases have completed high school and almost one-quarter have completed some
form of post-secondary education, su gesting that the current caseload is fairly employable,
despite what internal stakeholders noted, through the consultation process, about client
complexity.

Between one-third and 40% of Ontario Works beneficiaries are deferred from seeking
employment, and this number increased considerably between 2013 and 2014, though the
reason is unknown.

2 ASI Service Plan 2015-2016, Pg. 13

City of Hamilton
Ontario Works Or nization and Process Review
MSCONSULTINC.
Preliminary Recommendations for Discussion
Hamilton Ontario Works Current Structure
The Ontario Works program begins with client intake and ends with a client s exit to employment or
alternate source of financial support. Avariety of supports and referrals can be offered to ensure a
client s progression along the continuum towards employment and financial independence. The core
function of this process is case management, although a variety of other functions exist to promote and
protect the integrity of the program. Service Managers are given the flexibility to structure the Ontario
Works process (and service offerings) to meet local needs as long as provincial legislation is satisfied.

In Hamilton, four Divisions are directly involved in the delivery of Ontario Works, with two sharing the
primary responsibility for program administration:

1. Employment & Income Support is responsible for financial assistance case management, (offered
in three different locations), and delivering employment services, (primarily offered at the Career
Development Centre).
2. Benefit Eligibility is responsible for Special Supports, Family Support and the range of functions
required to maintain the integrity of the program, such as eligibility reviews and financial
recoveries. These functions are defined by the Ontario Works Act, 1997 and correspondin Policy
Directives.
3. Children's and Home Mana ement Services offers the Learning, Earning and Parenting (LEAP)
Program, wh ch provides support to young parents who are accessing Ontario Works,
4. Housing Services provides case management support to homeless individuals accessing Ontario
Works.

Over 30% of the Ontario Works Administration full-time employees (FTEs) are located in Benef t Eligibility,
and almost 60% in Employment & Income Support. The remainder are split between Housing Services (9
FTEs) and Children's and Home Management Services (5.5 FTEs), as well as a variety of other areas of the
City that play smaller roles in administering the program, such as: Public Health Ser ices (3 FTEs),
Neighbourhood & Community Initiatives (2.3 FTEs), Public Works (0.72 FTE) and Community and
Emergency Services Administration (5.4 FTEs).

In all, 347.92 FTEs comprise the Ontario Works staffing complement in Hamilton in 2015, broken down by
funding envelope as follows:

Funding Envelope # FTEs


Ontario Works Administration 305.92
Temporary Staff/Contingency Positions 30.00
Addiction Services Initiative 12.00

Assessment of Current Structure and


Processes
In keeping with the key questions identified at the outset of the review, the following criteria were used
to assess the current structure and to formulate options for the revised organizational structure of

City of Hamilton
Ontario Works Organization and Process Review
Preliminary Recommendations for Discussion
SHSCOHSULTINS
Hamilton Ontario Works: sustainability; streamlined / efficient business processes; relevant resource
alignment; and, quality services for clients and families. These criteria are described below:

Sustainability
In this review, sustainability has been defined in terms of the financial sustainability of the staffing
structure and the sustainability of workloads. In light of changes in the Ontario Works policy and
operating environment that are in progress or anticipated, sustainability has also been defined in terms of
adaptability to change.

The consulting team has found that the current structure is not sustainable in terms of its staffing cost,
exposure to risk, and workload pressures at various levels of the organization. As well, the current
structure has made it difficult to adapt the delivery of case management. This is due to the fact that case
management is currently organized in silos, which has contributed to an imbalance in caseload
distribution between Generalist and Specialized Case Managers, as well as disconnecting, rather than
integrating, the financial and employment assistance components if this work.

Streamlined / Efficient Business Processes


The review examined the efficiency of client service by analyzing performance on various time-based
metrics that may be tracked by a Service Manager, as well as the use of technology or automation.
Feedback from clients through the survey and focus groups with Ontario Works staff and community
partners also provided useful information. The review also considered the ability of staff to efficiently
perform tasks to which they are assigned as part of the assessment of the overall efficiency of program
operations.

The consulting team found that business processes had not been mapped until preparations were made
for the implementation of the new Social Assistance Management System (SAMS). Staff consultations
found that the process maps, and work instructions, that were developed to guide frontline staff in
performing their work during the transition to SAMS were not always helpful, leading them to improvise
or seek additional help in many cases. This suggests that business processes have largely evolved
organically over time, in response to changes in the structure, which the review found to be functioning
less than optimally. r .

and, hence, reduce the number of file transfers, while helping to more clearly define where the roles and
responsibilities of different staff and units should start and end. There is an over-reliance on paper-based
files and record-keeping, and there are likely opportunities to leverage technology to improve the
efficiency of operations and client service. Certain processes like intake-verification could benefit from a
Lean Six Sigma review.

Relevant Resource Alignment


The core function of Ontario Works is case management, which involves two key responsibilities:
determining and monitoring eligibility, and ongoing case management. The latter includes managing
participation in employment assistance activities for the majority of clients who are not deferred from
seeking employment. In examining resource alignment, the review considered whether resources were
appropriately aligned to support the delivery of this core function, as well as whether or not the
alignment of resources is effective in meeting the current and evolving needs of clients and the program s

City of Hamilton
Ontario Works Organization and Process Review
Preliminary Recommendations for Discussion
$H$ CONSUIXiNCf
targets and outcomes. Although the program does not currently have its own vision3, mission or values -
making it difficult to assess the alignment of resources to the vision - it does have a core purpose, as
articulated in its Operational Plan, which emphasizes delivering person-centred service and has been
taken into account as part of the consulting team s assessment.

To achieve an alignment of resources that is more effective in supportin the core purpose and outcomes
of Ontario Works,
, which are secondary functions, toward employment-focused
case management, at the frontline, is required. r
i , and better integrating these functions as part of case
management teams, as well as re-focusing Case Managers work away from data input (especially at
intake) toward actually serving clients and managing their participation.

issues being escalated up the hierarchy; the dilution of accountability that results from shared decision
making, and a culture of consultation ; different leadership styles; and, communication challenges,
including lack of consistent messaging, from the top-down.

Quality Services for Clients, Families


For the purposes of this review, quality is seen as a function of the manner in which a service is delivered
(i.e. customer service); the accessibility and convenience of service; whether or not clients' individual
and/or family needs are met (to the extent possible); and, the timeliness of service delivery. A client's
degree of satisfaction with their experience is an indicator of service quality, which surveys are often used
to measure. This review took into account each of these factors, to the extent possible, as part of the
assessment of Hamilton's current structure of Ontario Works. The consulting team found, through the
client survey, that one-third of clients indicated service could be improved. Staff, on the other hand,
voiced concerns that too many issues relating to client cases are being escalated up the hierarchy and
Case Managers decisions, which are informed by legislated requirements, are being overturned by
Managers in the interest of good customer service, as defined by Hamilton's own standards.

Similarly, it has been the understanding of most staff that under the customer service standards, Case
Managers are required to see, if not actually meet, clients who arrive very late for their appointments.
Case Managers voiced concern that allowing these practices to continue hinders, rather than helps,
clients in their goal towards employment due to the fact that they are not held accountable as, for
example, an employer would require. Case Managers felt that the customer service standards as well as

3 The Province has created a vision for Ontario Works, which Service Managers strive to realize. This is: To achieve
improved employment outcomes for Ontario Wor s participants by increasing individual employability with the goal
of sustainable employment and increased financial independence. However, a provincial vision does not, and
should not, preclude a Service Manager, such as the City of Hamilton, from determining its own vision for Ontario
Works, in terms of the approach to service delivery or impact the program is seeking to make in the local
community.

City of Hamilton
Ontario Works Organization and Process Review
8H$rc5eU(.TING
Preiiminary Recommendations for Discussion
I
the City s Corporate Culture Pillar initiative, in particular the sensational service' pillar, have been used to
justify serving clients who have not held up their obligations under the Ontario Works program.

SAMS has directly, and negatively, impacted the client experience, particularly at verification
appointments. However, the review found that SAMS has served to exacerbate existing issues within the
organization as much, or more, than it has created new ones. For instance, as evidenced by program
statistics maintained from January 2013 through October 2014 (pre-SAMS), the average length of stay on
the caseload increased steadily through that period from 27.2 months to 30.1 months. As of December
2013, almost 60% of benefit units had been receiving assistance for more than 12 months; with 4,755 of
those benefit units having been on the caseload for over two years, including over 1,500 that had been
receiving benefits for four years or more (i.e. since December 2009). This suggests that, Hamilton Ontario
Works is serving as a longer-term solution to the needs of low-income people, rather than the temporary
solution to short-term financial need that the program is intended to provide. In turn, this indicates that
the program was not performing optimally even before the implementation of SAMS.

Although many factors contribute to benefit units' length of stay on the OW caseload, this trend does
point to the need to build a stronger employment-focus among Case Managers; rather than focusing on
intake and administering financial assistance benefits. This trend also suggests that clients may not be
receiving referrals to supports proportionate to their type and level of need, or barriers to employment,
which should be a cornerstone of person-centred service and participation management. Staff confirmed
through the consultation process that referrals have been especially low during the transition to SAMS.

Recommendations
The recommendations resulting from this report are listed below with a brief rationale. The full report
provides more detail on the rationale for each recommendation.

Organizational Structure
i.

Rationale: This change will help ensure consistency in vision, leadership and communication from
the top-down; clarify the organizational hierarchy; expedite decision-making and planning
processes at the senior ranks; improve the alignment of resources and eliminating competition;
and, importantly, unify staff in the Ontario Works program through increasing collaboration
between staff teams that are currently disjointed in the structure.

2. Develop Division Vision and Strategic Plan: It is recommended that the Director lead a visioning and
strategic planning exercise that will engage all staff and be the foundation of a new strategic plan for
the unified Ontario Works Division.

Rationale: This recommendation addresses the strong consensus among internal stakeholder
groups that Hamilton Ontario Works needs a vision that clearly articulates the impact that is to be
achieved and what person-centred delivery of service means. Similarly, a strategic plan that is
lin ed to other City plans and the province's direction would become the key reference document
for decision-making in terms of resources, programming and streamlining business processes.

City of Hamilton
Ontario Works Organization and Process Review
SMSCONSUITOG
Preliminary Recommendations for Discussion
3. Build Capacity for Strategic Management and Policy Advice: ; _
r i i and that their role focus on
providing strategic advice and support in order to improve the capacity for strategic management,
evidence-based decision-making and continuous improvement in Ontario Works, and supporting
change management.

Rationale: This recommendation addresses the need to improve capacity in the areas identified
above by : : strategic planning, policy research,
caseload and demographic analysis, performance measurement, program review and evaluation,
and budgeting.

5. Re-Define Case Management: it is recommended that the role and responsibilities of a Case Manager
be redefined in the revised structure to incorporate a stronger focus on employment, including client
needs assessments, referrals and on oing management of participation to ensure that the intensity
of case management, and supports provided, are proportionate to each client s type and level of
need.

Rationale: The review found that the redefinition should include a job evaluation that will strive to
achieve more manageable workloads for generalist Case Managers and teams, :
Additionally, a Case
Manager s primary responsibilities should not stop at determining eligibility and administering
benefits; rather, the focus should be on verifying eligibility and assessing needs, understanding
barriers and goals, having an in-depth discussion about employment with clients and managing
ongoing participation, including ensuring clients are accessing supports that will ensure their
shortest route to self-sufficiency. Case Management teams should all have the capacity, in terms of
knowledge, skill-set, tools and time, to provide progressive case management support, and to scale
up or pare down the intensity of support as a client s needs evolve. The redefinition of case
management should be done in the context of the program's new vision, mission and values and
the outcomes of various business process reviews described elsewhere in this report, and what the
results of these exercises mean for the structure and business processes that will underpin
integrated case management going forward.

6. Update Approach to Intake-Verification: It is recommended that the revised case management


process include a separation of the data entry and administrative tasks associated with SAMS from
the progressive case management and client service that should be Case Managers' primary
responsibilities.

Rationale: Some of the tasks associated with SAMS have created significant stress for Case
Managers in the current structure and taken time away from the progressive case management,

C ty of Hamilton
Ontar o Works Organization and Process Review
SHSeOHSULT S.
Preliminary Recommendations for Discussion
including needs assessment and referral; and client service functions that should be Case
Managers primary responsibilities. The number of days between intake and the determination of
eligibility regularly double the Province s performance target (4 days). While this trend is not
unique to Hamilton, it does suggest that there is room to improve the efficiency of the Intake-
Verification process, which may be suitable for a Lean Six Sigma process review, the results of
which would help to further clarify the roles and responsibilities of staff members involved.

Rationale: This change is recommended to break down siloes and create collaboration between
frontline staff who are currently disconnected in the structure; ensure that each case management
team possesses the background and experience required to successfully manage diverse caseloads;
and, ensure the adaptability and resiliency of the revised organizational structure.

This recommendation should be supported by a review of the records management structure /


protocol and by improving the use of technology, which are also being recommended as next
steps. In order to provide the management team, and Ontario Works offices, with broad
administrative support,

City of Hamilton
Ontario Works Organization and Process Review
Preliminary Recommendations for Discussion
SHSCONSWOWG
realigning staffin resources to case management to balance workloads / caseloads (anticipated
that new structure will achieve generalist caseload ratio of 96 and specialized caseload of 65);
integrating financial and employment assistance and specialized and generalist case
management support, within case management teams;
building capacity for evidence-based decision-making, strategic thinking and continuous
improvement at the level of the Director;
increasing the capacity for building and maintaining partnerships both internally and externally;
improving the use of technology across the organization to increase the efficiency of operations
and client service

i i
i

City of Hamilton
Ontario Works Organization and Process Rev ew
SHS CONSULTING Preliminar Recommendations for Discussion
A number of barriers to change exist within the organization that the Change Management Plan would
need to account for, including: a negative workplace culture, limiting human resource practices and union
rules, the time-consuming nature of implementing and emerging through this level of change, and
needing to anticipate provincial policy changes that may also impact implementation.

Business Processes
The review also examined, at a high level, how business processes can be streamlined so that they deliver
cost effective and efficient quality services while being responsive to the needs of OW clients. Potential
areas for improvement in business processes were identified through an analysis of how Ontario Works is
structured and resourced in Hamilton, relative both to the components of the process explained by the
Ontario Works Directives and the approaches taken by other Service Managers. While senior
management will ultimately decide on the implementation plan, the consulting team suggests that some
of the recommended business process reviews outlined below could happen any time; in fact, some could
include preliminary research activities that support the recommended visioning process, particularly in
terms of its role in redefining case management.

1. Better Utilize Technology to Increase Efficiency and Improve Client Service: It is recommended that
Hamilton Ontario Works assign staff to technology-related projects aimed at improving the efficiency
and effectiveness of Ontario Works, and helping to modernize the service delivery model.
Rationale: Some comparators have developed work-around solutions for the deficiencies, or
inefficiencies, of SAMS; such as Toronto s scheduling tool that Hamilton and Niagara use. Others
have also introduced technology to improve the efficiency of client service. Hamilton Ontario
Works staff identified other potential efficiencies relate to client communication, client self-service

City of Hamilton
Ontario Works Organization and Process Review
Preliminary Recommendations for Discussion
SHS CONSUtTING
IB

options and an improved information system that bridges the range of tools currently available to
staff.

2. Reassess Records Management: It is recommended that Hamilton Ontario Works investigate the
potential of centralizing its filing systems and

3. Consider Additional Ways to Improve the Client Path: It is recommended that a detailed analysis of
the client path through the revised structure of Ontario Works be completed as part of the planning
process.

Rationale: This recommendation is being made in view of the significant changes proposed to the
structure and process of Hamilton Ontario Works, and the need to maintain a client focus in
making changes. As well, the review found that the Hamilton Ontario Works process could be
improved from the perspective of one-third of clients surveyed, which must be carefully considered
in the review of business processes associated with frontline service delivery.

4. Review Career Development Centre (CDC) and Pursue Partnerships and Collaboration: It is
recommended that a comprehensive review of the CDC be undertaken to determine the City s
return-on-investment and to investigate alternative future for the CDC, as a community asset.

Rationale: Employment services provided by the CDC go beyond what is required by provincial
legislation and most comparator municipalities have not assumed this role. There are differing
views among staff on what role the CDC should play in Hamilton's employment sector, given the
number of other employment services agencies that may provide similar services. In addition,
some stakeholders questioned whether some programs provide a sufficient return-on-investment,
given low enrollment despite significant investment of City resources. There are also a number of
agencies in the broader employment sector that would be willing to partner with Ontario Works for
the delivery of employment services, although internal stakeholders cautioned that the City would
want to ensure the services offered through any kind of alternative service delivery arrangement
would provide the same quality, person-centred service that staff believe is provided by the CDC
and is needed by Ontario Works clients. These findings point to the need for an in-depth review of
the CDC, taking into account the findings of this review, including the identification of effective
practices among comparators and the opportunity to explore the CDC's potential to be better
leveraged or re-purposed by the City as a community asset, such as a service hub.

5. Re-E amine Service Delivery Locations and Approach: It is recommended that the service delivery
locations, and capacity for community presence and partnerships / collaborations, be studied in
greater detail. It is further recommended that opportunities to consolidate offices be reviewed in
conjunction with an assessment of the feasibility of increased community presence in terms of the
cost, impacts on client service and staff, technology needs and privacy / confidentiality of available
options.

Rationale: The review identified benefits of centralizing staff, including to support collaboration
within and between teams and to help facilitate increased presence of Case Managers in the
community. However, a number of potential risks, such as decreased effectiveness of the client
experience, were also raised. This review identifies the specific aspects of the location of services
requiring further examination (e.g. demographic profile of clients, caseloads per location).

City of Hamilton
Ontario Works Organization and Process Revie
SBS CONSULTING Preliminar Recommendations for D scussion
17

6. Undertake Review of Special Supports Unit: It is recommended that a full review of Special Supports
be undertaken, as had been planned for in the previous Operational Plan for Hamilton Ontario Works.

Rationale: The review would be beneficial to determine the return-on-investment of the


discretionary benefits funded in Hamilton; evaluate the Affordable Transit Pass program;
determine how the staffing complement, and processes, might be impacted by anticipated
provincial policy changes relating to the consolidation of certain benefits; further investigate
potential redundancies with Purchasing; explore the potential for alternate service delivery of
certain functions; and, determine whether and how much work could be reallocated internally, to
case management teams and/or other divisions.

7. Build Better Capacity for Needs Assessment: It is recommended that Hamilton Ontario Works
strengthen its capacity to assess client needs and barriers to employment, including assessing needs
through the Verification meeting and tracking clients progress through subsequent communications
and meetings.

Rationale: The review found that a more robust assessment process and tool is necessary to ensure
clients are receiving services that are appropriate and proportionate to their level of need, and that
they are progressing toward employment and self-sufficiency. There is also a need to track and
analyze caseload demographics in order to be able to improve and adapt the service model.

8. Improve Internal Partner Collaborations: It is recommended that existing collaborations with internal
partners, such as Customer Service, Economic Development and Neighbourhood & Community
Initiatives, be strengthened and opportunities created to improve the working relationship with
internal services such as purchasin , human resources, legal services and information technolo y

Rationale: The review found that while a number of other City Divisions receive funding under the
Ontario Works contract, there is room for improvement to achieve meaningful, working
partnerships. Neighbourhood & Community Initiatives, with employment goals articulated under
the Neighbourhood Action Strategy, and Customer Service, with its roles in facilitating citizens
improved access to services via the call centre and online, have each identified opportunities to
explore further collaboration. ~ c - . . i. .

. .. Managers identified that while their work is largely centred on corporate priorities and
administrative tasks in the current structure, rather than program strategy or people mana ement,
they have encountered challenges in seeking support from internal services such as purchasing or
legal services whose expertise would be of benefit.

City of Hamilton
Ontario Works Organization and Process Review
Preliminary Recommendations for Discussion
SHSCONSULTINC

You might also like