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Annual Conference and Social Housing Exhibition 18 – 20 September 2013 www.housing.org.uk
Annual Conference and Social Housing Exhibition
18 – 20 September 2013
www.housing.org.uk
www.housing.org.uk
SP7: The future of housing
Speakers: Mark Henderson Chief Executive, Home Group Paul Tennant Chief Executive, Orbit Group Chair: Ruth Davison Director of Campaigns and Neighbourhoods, National Housing Federation
The Future of Housing Thursday 19th September 2013
Audit Committee Nominations & Remunerations Committee
Action Committee
Housing Operations Board (activities include)
Rented housing for general needs
Shared ownership and leasehold properties for sale
Neighbourhood management
Stonham Board
Provision of care and support services to our clients
Home Scotland Board
Home’s housing
activities in Scotland
Live Smart @ Home Board
Housing for market rent/ sale
Home Group Developments Board Housing for
outright market sale
Copeland Homes Board
Delivery of our promises under the Copeland stock transfer (Cumbria)
Nashayman Board
Housing transferred from the former Nashayman Housing Association (Yorkshire)
Rayners Lane Estate Committee Resident involvement in regenerating the Rayner’s Lane Estate, Harrow (London)
Action Committee
Decisions needing consideration between Board meetings
Action Committee
Decisions needing consideration between Board meetings
Area Committees (4)
Dumfries & Galloway, Dundee, Edinburgh & Fife, Glasgow,
Action Committee
Decisions needing consideration between Board meetings
Home Board
Defines Home’s mission and values
Responsible for Home’s Governance
Sets Home’s overall strategy & priorities
Approves Home’s overall budget
Monitors Group wide performance
Considers major project/scheme approvals
Home (Parent) Board
Divisional Boards
Subsidiary Boards
Audit Committee
Governance Committee
Charitable Parent
Charitable Subsidiary
HOME GROUP LIMITED
(Charitable Industrial & Provident Society, Registered Provider)
Live Smart @ Home
(Non-Charitable Company)
Home Group
Developments Limited
(Non-Charitable Company)
Home Scotland (Charitable Industrial & Provident Society, Registered Provider)
Non-Charitable Subsidiary
©Laborant / Shutterstock.com
PORTER 5 FORCES ANALYSIS (WITH THE ADDITION OF COMPLEMENTORS): HOUSING (CUSTOMER SERVICES AND DEVELOPMENT)
Threat of New Entrants Overall, the threat of new entrants to the market is low – in part due to high barriers to entry and in part (possibly) because the current economies of the sector do not make it an attractive proposition. The exceptions to this are for affordable and some social development in parts of the south east, and the future development of market rent/ sales activity where market conditions mean that they may be more attractive to new entrants.
Bargaining Power of Customers
The bargaining power of customers is also low overall, although collectively they have power to trigger inspections. The bargaining power of home ownership and market rent customers is high as they have more alternative options open to them.
Bargaining Power of Suppliers
The bargaining power of suppliers (the government/ HCA as suppliers of funding) is high as is that of banks who provide loan finance. However, the bargaining power of others such as contractors etc is low.
Threat of Substitute Products
The threat of substitute products is low. Housing is a necessity product so there is a low threat of substitution for different products. There is also currently a low threat of substitution of social/ affordable housing for other housing types (ownership, market rent etc) as there are limited affordable alternatives for our customers. Clearly though, the higher an ‘affordable’ rent is in comparison to market rent, the higher the ability and likelihood of substitution.
Complementors
The influence of complementors (Government, local authorities and regulators) is high – they drive national funding and policies, local procedures (nomination rights) and have the power of closure or merger in extremis.
Competitor Rivalry
Although Home lacks a clear competitor advantage or consistent offer, the threat of competitor rivalry from existing competitors is fairly low – largely as social/ affordable housing does not currently operate as a competitive market. Currently, customers are not able to switch providers while remaining in the same property in the way that they can with, say utilities companies.
©Laborant / Shutterstock.com
Mark Henderson Chief Executive
Home Group
Tel: +44 (0)191 290 7863
E-Mail: [email protected]
Web: www.homegroup.org.uk
Twitter: @homegroup or @MarkGHenderson
