Foreword
No-one could have predicted the challenges we have faced over the last year.
Throughout our initial year of operation, we tried to balance those who need immediate help and support as well as those businesses and communities creating opportunities for the future. We have also started to make some bold decisions on key strategic partnerships as well as taking forward important work to develop a long term ambition for the future of our region.
I think we can all be proud of what we have achieved since we were established on 1 April 2020. All of us know there is also much more both we and you can and will do, and this Operating Plan sets out our priorities for the year ahead – making clear where we intend to make a difference working in partnership with businesses, communities and those who are active across the South of Scotland. Our team has grown to over 80 incredible people and our collective vision remains true ‘to establish the South as the centre of opportunity, innovation and growth.’
Now, more than ever, we need to continue to deliver upon our core values of being bold, striving, inclusive and responsible and we will do so working with everyone in the South with all our hearts.
We continue to strive to develop the leadership role we need to have for all of us as a voice for the South.
We have, and will continue to engage with, businesses and communities who so far have helped us follow our journey, and created the achievements that have formed the basis for the announcements we have made and without whom would have not allowed us to have the momentum, drive and ambition we have all brought to our region.
While we have made some big investments, we would never want to lose sight of the smaller scale and other support which is equally as important. In many cases that small amount of help or support leads to an impact far greater than would be imagined, so is something we are proud of and we will continue to make sure we do.
We, on our own, or in many cases with our partners continue to build important relationships with stakeholders - locally, nationally and indeed internationally - to maximise the potential of our area both today and in the future, and make sure we do what is best for the South.
Showcasing the South of Scotland and the people, businesses, and communities that drive it is key; which is why getting those messages and stories - not just of those we help - but others as well is critical, and we firmly believe that this can support the region as it comes out of this pandemic and look towards a positive future.
This includes enabling entrepreneurship, supporting our young people, creating jobs, attracting businesses to set up here, encouraging innovation, working with communities, rolling out Fair Work and supporting and promoting the wonderful environment and landscape we live in.
Underpinning all we do will be a focus on enabling a Just Transition to Net Zero, achieved by reducing the amount of greenhouse gases and enhancing our natural assets to store existing carbon, as Scotland moves to significantly reduce its emissions by 2030 and net zero emissions by 2045. In the year when Scotland hosts the international COP26 conference in Glasgow in November, we are determined to use this as a catalyst to create a legacy of positive action in the South of Scotland.
Our aim has always been to become the development agency that the South of Scotland has always wanted and not just a funding agency and I think our first year has shown that in practice.
To do that we must continue to be seen as an Agency which is flexible, adaptable and skilled in also providing support and expertise of all kinds to anyone who may need it to achieve their objectives. The people of the South of Scotland wanted us to be different and not here to do what might be ‘expected’ or has been done traditionally, but more to always consider individual situations and solutions as well as seeing the bigger picture.
Our message to everyone remains – come and talk to us.
We are very proud of our achievements to date but are firmly focused on the future and our ongoing plans to listen, be innovative, different and deliver for the South of Scotland.
We look forward to the year ahead and truly believe that ‘Success Starts Here’ in the South of Scotland.
)
Professor Russel Griggs OBE
Chair, South of Scotland Enterprise
)
Jane Morrison-Ross
Chief Executive, South of Scotland Enterprise
for the South, by the South and in the South
)
launched and successfully established SOSE as a new agency in the midst of a global pandemic
)
grown our staff count to 85 - increasing our capacity and capabilities to help more businesses and communities across the South of Scotland
)
helped influence the award of a total of c.£14.6m to 455 businesses in the South through Scottish Government COVID-19 funds
)
provided tailored one to one advice and support to over 700 businesses, communities and projects, aiding them to innovate, strengthen and grow.
)
established 5 of our own funds:
- awarding c.£11.7m to 172 organisations
- helping sustain 88 businesses preparing them for recovery;
- safeguarding or creating 3,700 jobs; and
- investing £8.9m in capital assets and projects.
)
provided the leadership and vital support needed, working closely with the region’s two councils, to establish the South of Scotland Regional Economic Partnership (REP)
)
played a lead role in directly supporting the development of the South of Scotland’s first ever Regional Economic Strategy
)
published ‘Have Your Say’ - a framework making clear how we will engage the people who live, work and operate across the South of Scotland
)
provided a voice for and championed the South’s interests, responding to 10 national consultations on a range of topics important to the South
)
led in better understanding a number of significant regional opportunities, including the work of the South of Scotland Energy Transition Group and our Natural Capital measurement approach.
)
led by example in being a ‘fair’ employer, engaging with, supporting and empowering our staff to drive positive change across the South of Scotland, in the face of adversity
If you want to read or print out our full Operating Plan, you can download it now.
If you wish to access the Operating Plan in a different format, please contact us.
You can print this page as well.
Our Southern Star
Over the past year SOSE has, working closely with Dumfries and Galloway and Scottish Borders Councils, provided the leadership and vital support needed to establish the South of Scotland Regional Economic Partnership (REP). The REP brings together a wide range of organisations, sectors and groups who are based in, or work across the South of Scotland, around a shared ambition to secure and enable inclusive and sustainable economic growth across the region.
The REP’s immediate focus is on producing the region’s first ever Regional Economic Strategy (RES), which will set out a clear and long-term vision for the future economic direction of the South of Scotland – our ‘Southern Star’ for all to aim towards.
Development of the strategy has built on the significant work undertaken in the lead up to the formation of SOSE. Extensive additional, inclusive and wide-reaching engagement also took place between February and April, ensuring that those who live, work and operate across the South of Scotland have been able to have their say on what the longer-term priorities for the region should be.
Early engagement findings have reaffirmed that the South has competitive advantages owing to its strategic location in the centre of the UK; the quality of environment and natural assets; sectoral strengths in agriculture, forestry, manufacturing and human health; and that the region possesses a strong sense of identity and community pride.
Looking to the future, there are obvious economic opportunities associated with:
• our natural assets in supporting the just transition to net zero, the green economy and for outdoor recreation and tourism;
• green energy and the roll out of infrastructure, products and services needed to decarbonise our homes, working practices and travel – with the region well placed to lead the way;
• the regions cultural wealth and creative vibrancy;
• creating a stronger care economy; and
• digitalisation.
The biggest headline challenges remain that the region needs to retain and attract more working-age people and the transport challenges created by our rurality.
Consultation on the draft Regional Economic Strategy will take place over Summer 2021, with a final version published later in the year. Once in place, the strategy will help shape the actions of individual partners, ensuring greater co-ordination of resources and capabilities
Arriving at Our Priorities for 2021/22
Our activities are underpinned by the South of Scotland Enterprise Act 2019, that recognises to realise the full potential of the South of Scotland, our actions need to be directed across a wide range of activities. Applying a collaborative and place-based approach to develop our region, we are:
• Supporting business and community development and streamlining their route to funding, markets and success;
• Showcasing the South of Scotland and the people and businesses that drive it;
• Building and enhancing relationships with businesses and communities and providing access to specialist services and advice; and
• Taking forward our leadership role amplifying the voice of the South.
Our interim annual strategic guidance letter from the Scottish Government emphasises that SOSE needs to be responsive in the face of changing circumstances as we recover from COVID-19, ensuring a strong focus on business and community resilience. Our recovery is to be led by green growth and the promotion of fairness and wellbeing.
The Scottish Government expects us to invest and develop longer term opportunities and to:
• Work collaboratively with the Enterprise and Skills Strategic Board to ensure the needs of the South of Scotland are fully realised;
• Develop strategic supply chains to leverage public sector procurement, as part of a broader commitment to Community Wealth Building;
• Play a leading role in taking forward the Borderlands Inclusive Growth Deal;
• Facilitate the South of Scotland response to the opportunities provided by the United Nations COP26 climate summit taking place in Glasgow in November 2021.
In setting our priorities, we are also focused on the themes emerging from Regional Economic Strategy and direction from the SOSE Board to ensure that we remain flexible and collaborative in our approach to deliver the best outcomes for the South of Scotland.
Developing Our Offer
Whilst our primary focus in our first year was to support our region to respond to and recover from COVID-19, we also started to think about our offer for the future. We established relationships with key Team South of Scotland partners and national agencies and providers to progress joint initiatives on the ground and ensure that our service delivery complements existing support. We also supported businesses and communities to plan for the future, creating a strong pipeline of future activity in the region.
This year we will continue to develop our offer through initiating new services, support and funding focused on addressing the needs and issues
of our region and delivering inclusive economic recovery and growth for the South. We will also focus on building our expertise and increasing
awareness across the region of what we offer through a place-based approach to service delivery, which is responsive to our rural geography and
dispersed population and business base, and continuing to collaborate on key regional initiatives.
| What we will focus on: | What we will do: | How we will enable this: |
| • Developing and expanding our service offer for businesses, social enterprises, communities and initiatives / projects to deliver inclusive economic recovery and growth for our region | • Continue to offer individual support, tailored to clients’ needs, issues and opportunities • Develop our range of support, services and funding to complement and avoid duplicating other locally or nationally available support or funding • Communicate our offer to partners, businesses and communities to aid a better understanding of our role and the value we can bring • Work collaboratively with Scottish Development International (SDI) and other partners to proactively support all businesses within the South who have international ambitions, in keeping with Scotland’s export growth plan |
• Pilot new services, support and funding • Work with national partners and industry bodies to ensure that national support and resources are accessible and are reflective of rural needs • Developing working approaches that underpin a client focused service |
| • Developing a place-based approach to service delivery | • Explore how to best offer a place-based approach to service delivery in the post-COVID-19 ‘new normal’ and implement this model • Target support to places where it is needed most • Be more visible to those organisations who are looking for our support • Support Team South of Scotland partners to deliver their place planning work |
• Work with partners to understand the places most in need of support and to maximise the impact of our services and funding in local places • Build on and strengthen partnership working with Team South of Scotland partners • Going to our clients - meeting businesses, social enterprises, communities and partners when safe to do so |
| • Building our client-focused team and expertise so we can support the businesses, social enterprises, communities and initiatives / projects across the region throughout their journey from starting up to established organisations |
• Integrate Scottish Borders’ Business Gateway services into our service delivery to support entrepreneurial activity • Continue to recruit and develop our team of client focused professionals so we can offer specialist advice to clients at whatever stage of development they need it • Promote and support the take up of new practices that support a Just Transition to Net Zero; embed Fair Work; and embrace innovation and digitalisation |
• Constantly review and develop our skills, knowledge and services so that they meet the needs of our clients and region • Build the capability and tools of our client-focused team to be able to support businesses and communities with key national priorities like the Just Transition to Net Zero and Fair Work |
| • Collaborating with partners, organisations and industry bodies to deliver key national, regional and locally focused programmes and projects | • Be an active stakeholder in the Borderlands Inclusive Growth Deal projects and programmes to maximise the benefits for the South of Scotland • Support the Advanced Innovative Manufacturing Service to help businesses to make the most of these facilities to develop innovative manufacturing techniques and new products • Secure national opportunities to promote digital utilisation and improve infrastructure • Develop our understanding, engagement and action in key thematic areas for the South of Scotland such as tourism, creative industries, energy and construction supply chains, transport, housing and learning and skills |
• Support Borderlands partners on key projects and programmes • Identify opportunities to connect our business clients to the Advanced Innovative Manufacturing Service to maximise potential for each business • Develop our relationships with key networks and partnerships to understand where SOSE can best add value and unlock opportunities • Being active with National partners to promote the South of Scotland and secure opportunities |
Whilst our immediate focus will remain aiding economic recovery, we are increasingly looking to the future and
actively developing our long term strategic response to strengthening our economy and communities. In doing so
we will continue to engage with people, communities, businesses and partners across and active within the South
of Scotland, to establish a clear and shared set of priorities. We will step up to lead change and be proactive in
influencing others to accelerate the realisation of a stronger, greener and fairer South of Scotland.
| What we will focus on | What we will do | How we will enable this |
| • Continuing to develop our strategic thinking, vision and priorities • Providing leadership to develop a shared agreement about the opportunities, challenges and priorities for growing a stronger, greener and fairer South of Scotland • Developing an appropriate, useful and accessible evidence base for the South of Scotland to inform decision making • Becoming a net zero organisation that supports a just transition • Taking forward Fair Work • Using our influence to: - Shape national and local policies for the benefit of the region - Ensure the South of Scotland gets a fair share of investment and resources from all sources - Raise the profile of the region and its ambitions - Increase awareness of SOSE and our mission to drive change in the South of Scotland |
• Develop our strategic Action Plan ensuring alignment with the South of Scotland Regional Economic Strategy (RES) • Enhance and diversify our methods of communication with businesses, communities and individuals – extending our reach across the South of Scotland • Explore the best structures for engagement, including the possibility of setting up a Business Panel and open data portal • Seek strategic opportunities to shape the policies, plans and programmes of others, particularly the Scottish Government • Respond to key consultations and policy developments, advocating for the South • Use COP26 as a catalyst to raise awareness and accelerate the region’s journey, and our own, to a Just Transition to Net Zero |
• Engage with businesses and communities to hear their views on what matters most • Publish our Action Plan, considering consultation outcomes and national direction, to set our priorities for the next 3 years • Agree our performance framework to measure and assess our progress • Actively address key issues and opportunities around: - Community Wealth Building to promote fairness and wellbeing - Green job creation - Understanding the value of the region’s Natural Capital and establishing a baseline - Better understanding rural innovation • Provide project management capacity and communications expertise to support the development and launch of the RES • Undertake Climate and Carbon Literacy training for all Board and staff members |
| Working with partners to: • Develop skills and learning opportunities for all, meeting the skills needs of employers • Collaboratively develop a regional response to the Just Transition to Net Zero, to enable us to meet the challenge of the climate emergency • Maximise the opportunities of our Natural Capital assets • Understand the impact of national and regional partnerships, strategies and plans on the South of Scotland and continue to foster a coordinated Team South of Scotland approach/response |
• Support the development and launch of the RES • Actively contribute to the Convention of the South of Scotland (COSS) and the Regional Economic Partnership (REP), working with partner organisations to reach agreement on key issues and priorities • Continue to work with UK and Scottish Governments and partner agencies on key investments, such as Borderlands Inclusive Growth Deal, Edinburgh and South East Scotland City Region Deal, EU structural fund replacements, and on a bid for the establishment of a South of Scotland Green Port • Support the work of the Education and Skills Strategic Coordination Group and the implementation of the South of Scotland Regional Skills Investment Plan (RSIP), including any refresh |
• Support the implementation, monitoring and reporting of the recommendations in the South of Scotland Energy Transition Group’s ‘Powering Change’ report • Collaboratively develop and deliver a regional public awareness campaign for the Just Transition to Net Zero • Enhance skills and career pathways to create opportunities to retain and attract young people • Improve access to education, skills and training • Grow and develop the region’s workforce • Develop new and strengthened relationships with Scottish and UK Government and partner agencies |
Investment Priorities – Already Committed 2021/22
We continue to focus on recovering from COVID-19 in 2021/22, and while many of the programmes we have committed to date have this as their focus, others are very much focused on longer-term developments. Our staff represent an investment in the South of Scotland economy throughthe help they bring to businesses and our communities.
| What we have invested in | Investment and value (£) |
| Committed Programmes | (£6.6m) |
| Operations Team | Operational resources costs related to service delivery (£4.1m)* |
| Organisation Running Costs (excluding Operations Team) | Resource costs for delivery including estates and staff (£4.9m) |
| Collaborative Partnerships | Collaborations with other strategic public body partners to deliver essential transactional services relating to finance, HR and IT (£0.8m) |
*Expected staff budget by end of March 2022.
Investment Priorities – Future Programmes 2021/22
While we continue to focus on recovering from COVID-19 in 2021/22, we will also take opportunities to focus our resources on creating and investing in opportunities which act to sustain and strengthen our economy, businesses and communities for the longer-term. Our funding is arranged through a range of different funds and these will be invested flexibly to support strong and innovative ideas.
| Future investments | Investment and Value |
| Revenue Programmes | 4.3m |
| Capital Programmes | 8.2m |
| Economic Loan Recovery Funds | 5.0m |
Our approach to funding. We will:
• invest in areas which will have the biggest impact
• be bold and innovative in our thinking
• develop robust business cases with a focus on Fair Work and the Just Transition to Net Zero
• be open to a greater share of risk
• work with key partners to support the implementation of, and add value to, regional investment priorities such as Borderlands Inclusive Growth Deal and Edinburgh & South East Scotland City Region Deal
Developing Our Action Plan
Legislation requires SOSE to publish an Action Plan setting out in detail how it intends to achieve its twin aims of “furthering the sustainable economic and social development of the south of Scotland” and “improving the amenity and environment of the south of Scotland”.
Given the immediacy of the need to support businesses through the pandemic, the decision was made to defer production of our first Action Plan by a year to March 2022. This also allowed us to embrace the opportunity to align with the emerging Regional Economic Strategy (RES) and our strategic planning cycle with our Enterprise and Skills Board partners.
Continuing the work underway to develop our future ambitions for our region, we will – with extensive consultation across the South of Scotland – work on our Action Plan which will define our longer-term priorities over the next four to five years. The Plan will guide our future focus and investments across all we have been established to do to meet our aims, making sure we play our part in building a fairer, greener and stronger Scotland. It will outline the steps we plan to take to realise the vision at the heart of the Regional Economic Strategy.
To develop our Action Plan, we want to hear what you, the people of the South of Scotland have to say about how we achieve our aims. To this end, we will be consulting widely with you over the autumn of this year – seeking to be as inclusive as possible. We want you to get involved and help shape the future direction of SOSE as an organisation and the South of Scotland as a region. Following consultation, we aim to publish our Action Plan by the end of March 2022.
Measuring Success
SOSE are required, as an executive Non-Departmental Public Body, to produce performance, accountability reports and financial statements which will be published later in 2021 detailing our performance and sustainability report and financial spend for 2020/21. Progress against the priorities set out in this year’s Operating Plan will therefore be reported in next year’s Annual Report.
Our collaborative working with Scottish Government and partner agencies continues to develop a consistent monitoring framework that can compare activity across Scotland. However, SOSE has a wider remit than the other development agencies and we will be considering our activities through the lens of sustainable development, looking at economic, environmental and social impacts and enhancing the intersections of these areas.
We are actively developing a performance measurement framework that will allow us to:
• assess the short and medium term impacts of our work;
• establish indicators to demonstrate that we are achieving those impacts; and
• create an effective mechanism for capturing the required data across the organisation.
This work will be led by our new Insights Team who will be tasked to create a suite of indicators that reflect the needs and ambitions of the South of Scotland. The team will also lead on the analysis of wider intelligence and undertake research to ensure we are always reflecting the needs of those who live, work and operate across our region.
An increasingly important area of work is around natural capital, as our beautiful and diverse natural assets present a real opportunity to bring inward investment and enhance the daily lives of our businesses, communities and visitors. Effective management of these assets is critical to address the two acknowledged issues of biodiversity loss and climate change. We have commissioned work to create a natural capital measurement approach, which will feed into our performance measurement framework and allow us to assess changes in our resource base so we can take appropriate action for enhancement.
We will continue to regularly report on our progress towards our priorities throughout the year via our website and social media, providing transparency and enabling accountability in all that we do.