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Rennie Grove Peace Hospice Care: Charity Merger Support Case Study

Eastside People

Rennie Grove Peace Hospice Care merged new logo

Merger support to create Rennie Grove Peace Hospice Care

Eastside People Rennie Grove Peace Hospice Care Case Study

Summary

Project: Merger support to create Rennie Grove Peace Hospice Care

Project duration: 1 year

Eastside People team members involved: Merger specialists John Gibbons and John Chadwick, with Tracey O’Keefe as account director

Result: A merger that takes effect on 1st July 2023, enabling an increase in range of services, increase in beneficiary numbers and a stronger voice.

Background

Across the UK there are hundreds of hospices which deliver end-of-life care for hundreds of thousands of people and their families every year. But hospices are facing increasing demand for their services while recovering from the pressures of the Covid-19 pandemic.

In response to these challenges, the sector’s representative organisation, Hospice UK, has urged hospices to work more closely together to maximise their efficiency. Neighbouring Hertfordshire and Buckinghamshire hospices Rennie Grove Hospice Care and Peace Hospice Care, dedicated to providing people in local communities with care, support and advice, were both facing increasing demand for their services. The two organisations already had a history of collaboration, so when the chief executive of Peace Hospice left for a new role in 2020, it was a perfect time for their trustees and senior leaders to start serious discussions about the two organisations’ futures and the potential opportunities of a merger.

Stewart Marks, who was then Chief Executive of Rennie Grove, says: “In 2020 when my organisation started to think about merger very seriously, we knew that we were both in exactly the same situation, both hospice charities worked in patches that were aligned with each other, were collaborating in a number of areas, but also coming up against each other in others. It was absolutely the right time for us to start thinking about our sustainability. We recognised that merger was a question that we should not rule out.”

A working group was formed to explore how the hospices could collaborate and the group focused on the answers to five key topics:

  1. Was there a shared charitable purpose and vision?
  2. Would the merger enable the charities to offer an increased number of services?
  3. Could a merger allow the organisations to access more funding as there would be less competition?
  4. Would having a larger team all working for the same organisation facilitate growth?
  5. Could a merger reduce the amount of duplication?

After a few months, it was agreed that a merger could be a good solution and approval from the trustees was gained. This is when Stewart and his colleagues engaged Eastside People, in particular, because of the team’s well-known expertise in mergers.

We received really good, sage advice from Eastside People.

Stewart Marks, Chief Executive, Rennie Grove, now Chief Executive, Rennie Grove Peace Hospice Care

Rennie Grove Peace Hospice Care Nurses Website Post Rennie Grove Peace Hospice Care Garden Website PostRennie Grove Peace Hospice Care Garden Website Post

Project

The first role for Eastside People was to develop a business case for the merger. Eastside People’s John Chadwick identified the benefits and opportunities of combining operations as well as providing financial projections. This, says Stewart, was an important validation of the preliminary work that the working group had carried out.

After that, the merger process began under the guidance of Eastside People’s John Gibbons. While several of the hospices’ trustees had been involved in mergers before, their backgrounds were corporate. John brought decades of third sector experience, including being involved in around 15 mergers.

John recognised that this merger was likely to be a success at an early stage. “The motivation to merge was very well placed, focusing on the benefits to the service users,” says John. He adds that the strengths of the two organisations complemented one another well, as did the characters of the trustees and senior management teams, which together provided sound leadership.

Mergers can be enormously complicated, and John devised an ‘issues map’ which visually highlighted the dozens of key tasks that had to be tackled, including communications, legal and regulatory approvals, due diligence and the creation of a new board and management structure. An accompanying master schedule and project plan enabled all the necessary jobs to be dealt with.

“John steered us through those early governance decisions and meetings. He then supported the chair and vice chair with the appointment process for the new Chief Executive job,” says Stewart, who was eventually appointed to that role.

“John’s expertise and breadth of operational experience were really important,” says Stewart.

Solution

Now there is a new legal entity called Rennie Grove Peace Hospice Care, and the two original hospices are its members. As the new organisation consolidates, Stewart is looking forward to fresh opportunities.

The new organisation has grown its catchment area of support and through the merger, Rennie Grove Peace Hospice Care will both vastly extend and improve its range of services, enabling more people to access support and receive the very best care while remaining local.

As one larger charity, it will also have a stronger presence and reach, and can harness these benefits to secure more resources to further enhance its services.

“We need to be prepared for the growing population of people needing end-of-life care,” Stewart says. A bigger, more efficient organisation will be able to deliver equality of care across the area, he explains, as well as reaching out to different groups of people who haven’t engaged with the hospices before.

“We received really good, sage advice from Eastside People,” says Stewart. “They drew upon their experience of many mergers and gave lots of options about how to approach different situations.”

As Rennie Grove Peace Hospice Care develops, Stewart knows that he can call upon Eastside People at any time if a new challenge emerges. “The benefit of working with a consultancy like Eastside People is that there is a portfolio of expertise behind your main contact,” he says.

“I know there will always be someone at Eastside People who can offer advice if I pick up the phone.”

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