Social Care
5 case studies
Social care systems that operate with decentralised capability and outcome-linked funding demonstrate how PSC principles apply beyond finance to human services. These models prove that high capability and low fragility can coexist.
Theory Connection: Social care case studies show the surprising result that decoupling (Δ) increases alignment (Λ). Buurtzorg's autonomous teams have better outcomes AND lower costs because eliminating management hierarchy removes extraction. Social outcomes contracts prove capital can recycle through outcome achievement.
Aboriginal Community Controlled Health Organisations
ACCHOs are primary health services governed and operated by Aboriginal communities for Aboriginal communities. Starting with the first service in Redfern (1971), the sector has grown to 140+ organisations delivering culturally safe healthcare across Australia. Community control means Aboriginal people determine priorities, employ Aboriginal staff, and deliver holistic care addressing social determinants. ACCHOs demonstrate that community governance creates better health outcomes for marginalised populations than mainstream services.
- 140+ community-controlled services
- Aboriginal governance and employment
- Culturally safe care model
Buurtzorg
Buurtzorg ('neighbourhood care') revolutionised Dutch home healthcare by eliminating management hierarchy. Self-managing teams of 10-12 nurses have full autonomy over scheduling, care decisions, and administration. The result: 40% lower costs, higher patient satisfaction, and happier nurses. The model proves a counterintuitive point: decoupling from management hierarchy (Δ) actually increases alignment (Λ) because nurses can respond directly to patient needs. It's PSC applied to organisational architecture.
- Self-managing teams of 10-12 nurses
- No management hierarchy
- 40% lower costs than traditional care
Kids Company
Kids Company supported 36,000 vulnerable children in London under charismatic founder Camila Batmanghelidjh. Despite £42M in government funding and celebrity backing, it collapsed in 2015 within days of a final £3M grant. Investigations revealed chronic overspending, governance failures, and complete dependency on founder's relationships. Kids Company shows that charismatic leadership without structural governance creates extreme fragility—when the founder faltered, the entire system collapsed.
- 36,000 children supported (claimed)
- £42M government funding received
- Charismatic founder-dependent
Peterborough Social Impact Bond
The Peterborough SIB was the world's first social impact bond, targeting prisoner reoffending. Investors funded rehabilitation services; if reoffending fell, government paid returns. Results were mixed: reoffending fell 9% vs control (triggering partial payment), but the program was terminated early when government launched a national scheme. The Peterborough SIB proved the concept but revealed challenges: complex measurement, political interference, and questions about whether market mechanisms suit social problems.
- World's first social impact bond
- Target: reduce prisoner reoffending
- 9% reduction vs control group