Where to make efficiencies

The Delivering Efficiency agenda identifies two definitions of efficiency gains, “cashable” and “non-cashable”.

Cashable gains represent the potential to release resources for re-allocation elsewhere. 

Non-cashable gains represent improvement such as increased quality or additional outputs in the service delivered with a given amount of resource. 

The LHC Network provides opportunities for achieving efficiencies in both areas:

Cashable GainsNon Cashable Gains
Price negotiation Technical efficiencies
Price control Resident satisfaction
Specification development Waste recycling
Tendering costs Local employment
Performance monitoring  
Gain sharing