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Carers shun profit ethic

Childcare providers from the private sector are more comfortable than their voluntary sector counterparts with taking a business approach to running their settings, according to a study published by the Depart- ment for Education and Skills. The study, based on research carried out in August and September 2002 by the Institute for Policy Studies in Education at London Metropolitan University, found there was an 'identifiable cultural resistance to the application of business principles' among childcarers generally, with voluntary sector providers tending to consider themselves as making an altruistic contribution to communities.
Childcare providers from the private sector are more comfortable than their voluntary sector counterparts with taking a business approach to running their settings, according to a study published by the Depart- ment for Education and Skills.

The study, based on research carried out in August and September 2002 by the Institute for Policy Studies in Education at London Metropolitan University, found there was an 'identifiable cultural resistance to the application of business principles' among childcarers generally, with voluntary sector providers tending to consider themselves as making an altruistic contribution to communities.

The research focused on the impact of business support officers funded by the Dfes from April 2001 and appointed by local authorities to help partnerships meet targets for childcare expansion and sustainability.

A report of the findings, entitled Developing the Business Skills of Childcare Professionals: An Evaluation of the Business Support Programmes, said the language used to persuade providers of the importance of developing their financial management skills is critically important.

While providers were keen to develop their organisational and management abilities, and identify strategies to safeguard the sustainability of their provision, they were 'repelled by terminology that appears to emphasise profit and business concerns above the welfare and education of children'.

One childminder interviewed by researchers said, 'We don't want some businessman from the commercial world coming in and telling us we have to do things his way. We pride ourselves on providing a professional care service and that would be under threat. Seeing kids as commodities is just not a priority for us.'

The report also draws a distinction between managers who owned or ran a single nursery, and the proprietors and operational managers of nursery chains. Those working for chains had considerably greater business skills and confidence.

Managers of single-site nurseries were in a double bind, as they had many of the same needs and concerns as their voluntary-sector counterparts, but tended to distance themselves from local childcare partnerships, and want to remain insular as a way of protecting competitiveness. They also felt partnerships saw voluntary providers as having the greatest need, and offered them training and support as a priority, a view borne out by interviews with partnerships.

The researchers also identified a general 'training fatigue' among providers, who felt overwhelmed by increasing statutory demands, including inspections, the Foundation Stage Curriculum, health and safety requirements, ratios and staff development.

A recently-launched training programme aimed at childcarers and business support officers in England is being delivered by A4e, a provider of training, employment and business solutions. For more information see www.surestart.gov.uk/support4 business or call 0800 294 2904.

The report is available at www.dfes.gov.uk.