Strategy Survival Guide

Structuring the thinking - Systems thinhking
In Practice: SU Deprived Areas Project
The Deprived Areas team wanted to examine the dynamics of deprived areas, mapping out the factors
that, when combined, can 'lock' an area into deprivation. The existence of a 'vicious circle' in deprived
areas had been indicated by academic studies and regeneration practitioners and the team wished to
amalgamate the studies and combine them with further research to understand all of the factors
contributing to this vicious circle. The team used evidence from visits to deprived areas, interviews with
regeneration practitioners and academic studies to start building up a picture of the links in the cycle. It
soon became clear that a multiplicity of factors were contributing to the 'cycle of decline', including factors
relating to the operation of the housing market, incentives to work, and social capital. A very complex
influence diagram containing around 40 linked factors was developed.
Less rent
income
Higher incidence
of poverty
More disrepair
“Benefit or neglect
farming” by
private
landlords
Low use of
health
services
Unpopular
neighbourhood.
Empty/cheaper
properties
Debt
problems
More crime
and fear of
crime
Growing exodus
of more educated/
entrepreneurial
residents
Strained
health services
Strained
schools
Poor housing
design (esp
high rise) and
condition
Less social control,
more disturbance,
anti-social behaviour,
vandalism
Less stable, less
committed to area, fewer
community links. Lack of
bonding social capital
Poor mental and
physical health
High drug
use/dealers
Lack of youth
activities
Truancy
Large proportion
of young people
Low level of
basic skills, work
skills and
education
Teen
pregnancy
High worklessness
among residents
Lack of outreach
/community
development
services
Families with little choice move in.
Concentrations of vulnerable residents:
• sick/disabled
• low-skilled
• people with criminal records
• ethnic minorities
• asylum seekers
• substance abusers
• Lone parents
Little motivation
to (formally)
work among
residents
Negative peer culture.
Low bridging social
capital. Low aspirations
Low pay jobs
Few accessible
jobs matching
skills
Social housing
allocation system
Low private & public
sector investment
Historic industrial/
economic legacy
Low rate of enterprise
Employer
discrimination
Low proportion of jobs via
Jobcentre Plus/ Poor JC+
performance
Lack of information about
available jobs in area
Lack of affordable /
convenient childcare
Poor transport access
or high cost
Disincentives from benefits
system - low gains to work
Disincentives from benefits
system - slow processing
Informal economic activity
in area
Reliance on incapacity
benefits, perhaps passed
through generations
Doubled headed arrows blue for clarity
The cycle of decline proved a useful tool in the following ways:
• It illustrated the importance of linking physical regeneration (housing, environment) with
economic, 'work-focused' factors and social factors, with implications for government policy
towards deprived areas.
• It showed where the performance of public services can perpetuate the problems in deprived
areas, and therefore where government can take action immediately.
• It showed how some factors, e.g. poor health. appeared to be mainly an outcome of deprivation,
rather than a driver, with implications for priorities for public expenditure in deprived areas.
• It allowed the team to identify where interventions might be effective in 'breaking' the cycle and
helping areas to regenerate.
Further development of the cycle included analysis of where different drivers might apply to different
types of deprived area, and work to show how successful interventions in the main drivers might create a
'cycle of success'.
Strategy Survival Guide – Strategy Skills
Page 100