Key Performance Indicators for Shared Services. An Occasional Paper produced through the Shared Services Development Network

Transcription

1 Key Performance Indicators for Shared Services An Occasional Paper produced through the Shared Services Development Network 1.0 Introduction All organisations require performance measures for both internal management and external reporting of performance. Indeed it could be argued that because shared services are more akin to a private sector supplier, or Trust, that the agreement of KPIs and subsequent measuring and reporting are more important. The following paper has been produced after a general request to all members for their KPIs and discussion on Thanks are given to the following organisations for responding and sharing their work:- Berkshire Shared Services Birmingham PCSSA Derwent Shared Services East Lancs Financial Services LaSCA Merseycare Mersey Internal Audit Service The paper is in 5 sections: - General discussion about KPIs (2.0); Organisational KPIs (3.0); Service Specific KPIs (4.0); Key Activity Indicators (KAI) (5.0); Limitations of KPIs (6.0). North Staffs Shared Service North Wales BSP North West Internal Audit Services SSP South West London Suffolk Support Services WYCSA 2.0 General Discussion about KPIs What is the purpose of KPIs? The clue is in the word performance!!; To give a perspective of performance of the organisation/service delivered; To highlight areas where there could be a problem; To direct to areas where further detail could be useful; To enable comparisons over time and between organisations. What are the attributes of good KPIs? Measurable with unambiguous means of calculation; Simple to understand; Easy to collect the data for reporting; Low cost and low effort in collection; Move up and down in line with performance (It may be within a range); A combination of hard and soft measures; Appropriate measures eg %, absolute, range. What KPIs are not! Dependent upon customers (they are about the Shared Services performance); Counts of activity (i.e. Key Activity Indicators KAIs); The whole story; A threat.

2 Types of KPIs Organisational KPIs as a balanced scorecard) Service specific KPIs; Dynamic KPIs for a specific purpose which may be time limited. 3.0 Organisational KPIs (an example of a Balanced Scorecard provided by LaSCA) Finance To maintain costs within agreed budget; To demonstrate year on year savings; To make payments to contractor and public at agreed times and with correct amounts including compliance with BPPC; Zero incorrect or delayed payments Cash balances and funding requisitions to comply with NHS banking guidelines; Financial Information, including annual accounts provided, but agreed deadlines. Customers Quarterly SLA meetings administered with all actions completed by agreed timescales; Achievement of at least 95% of KPIs for all work specifications All changes to SLAs through change control within agreed timescales; Performance reporting and information provision by agreed timescales and media; All incidents & complaints resolved within 15 days and lessons learnt. Risk ALE/UoR score increased from previous year. Information Governance Toolkit scores improved and all criteria at least score 2; Action plans developed and implemented for quality audits, environmental audit and data mapping exercises; All internal and external audits recommendations implemented within agreed timescales; At least 80% of Internal Audits to be awarded significant assurance including the head of Internal Audit opinion; Maintenance of a dynamic risk register with actions completed as per the agreed times. Processes/Service Delivery To ensure all procedure notes are reviewed within the last 12 months; Perform regular audits of procedure notes to ensure compliance; To ensure a minimum of 3 staff trained on each procedure to provide adequate cover; Work in progress at month end <10% planned annual activity; To undertake process reviews and demonstrate continuous improvements to services. People/Organisational Development Staff turnover in the range 5-15%; All staff to have objectives agreed by 31.3 and at least one development review; Return to work interviews conducted within 2 days of return to work; Action plan developed by staff from annual staff survey and actions implemented; All staff to be involved in the cascade system of meetings every month; Sickness absence rate to be less than 4%. Governance Draft SLAs completed by 31 December; final SLAs competed by 15 March; Budget and Business Plan agreed prior to 31.3; High quality Board meetings including relevant comprehensive papers sent out 1 week before the meeting; Board Assurance Frameworks reviewed each year with contributions for all board members; At least 75% attendance at Board meetings by the Stakeholder Board member; Positive feedback from the Chair of the host Audit Committee on the Assurances given and that LaSCA has not increased the risk of the PCT.

3 4.0 Service Specific KPIs There are many services that can be provided under shared service arrangements and some are more specific than others. Appendix A captures KPIs specific to each type of service. However, given there are different organisational arrangements, they could well be categorised in a different way. Similarly, the metric or target may be different for different organisations. The important point is that the KPIs are described somewhere and then can be used by organisations as they feel most appropriate. The services described are: - A. Facilities; B. FHS; C. Finance; D. Human Resources; E. Information/IT; F. Internal Audit; G. Payroll; H. Procurement; I. Occupational Health; J. Security 5.0 Key Activity Indicators (KAIs) Organisations often provide information about activity levels but unless these are associated with a target and a unit measure of output, I would challenge that these are not KPIs. They are merely counts of activity (KAIs) and serve only to indicate workload levels and not performance. The following are offered as examples of KAIs:- Number of payments made; No of payslips issued; Number of ophthalmic claims processed; % documents received prior to cut off / submission date; Number of vacancies advertised; Number of records transferred; Number of credit notes received as % of invoices; Actual activity compared to planned activity >< x%; Number of new suppliers added each month; % of invoices processed less than 50; % of invoices processed with no PO; % invoices with first time matches; 6.0 Limitations of KPIs Can all that we need be measured by a KPI? I would suggest not and close this paper with some areas we need to measure and just ask how we could measure these? How includes the definition of what is being reported and the means of collecting that data: - High quality and useful customer review meetings; Customer satisfaction; Responsiveness to queries; Complaints received and resolved. System/Extranet availability (and what if it is due to a network problem?); Actions from self assessments implemented (e.g. IG toolkit, ALE, quality audits, process reviews); H D Peter General Manager - LaSCA

4 Service Specific KPIs Appendix A A. Facilities B. FHS Annual maintenance programme completed; Annual fire check from external assessors; Bi annual fire drills; Responses to requests completed in 2days; 0 reported incidents of unauthorised access to Premises; % of repairs completed on time; Number of emergency calls responded with timeframe; % completion of annual paint programme; 90%+ scores for cleanliness audits; All unwanted fire signals reported to fire advisor. Registration Service 100% Registrations/Deductions/Amendments processed in 3 days; Analysis of reports provided by NHSCfH; All patient assignments completed in 2 days. Medical Records Service Medical Records turnaround in 2 working days; Request for access to medical records actioned in 2 working days; LaSCA to contact Practice Managers for records outstanding over 6 weeks. Flu Vaccination Programme Letters posted on the dates specified by GP practices; Weekly reporting of coverage on Monday relating to data to previous Friday. Breast Screening Service All reports showing women not invited checked and sent to BSU; Requests from BSUs for batch specifications actioned within 2 days. Compliance with SQA timeframe. Cytology Screening Service All invitation letters sent out by 6 weeks before test due date; All negative result letters sent by the day after results received; All positive result letters sent out first M,T or W after receipt of results from lab. Home Oxygen Service No patients to appear on invoice who are not resident within PCT. Medical Payment Service Number of unplanned payments; Number of corrections to payments; Number of payments to wrong payee; Number of corrections to pension contributions; 100% of all certificates received by February to be processed by April; Number of queries for clarification; Record of contributions given to contractors within 10 days of year end.

5 Pharmacy Payment Service All claims received up to 5 working days before payment included in payment; Number of payments for incorrect amount; Number of payments to wrong payee; Number of payments made late. Ophthalmic Payment Service Record number of incorrect payments; Number of unplanned payments; Number of claim forms returned. Dental Payment Service Number of unplanned payments; Number of corrections to payments; Number of payments to wrong payee. Contractor Order Service Clinical waste invoices paid within 30 days; All contractors orders fully satisfied in terms of items requested; All orders to be satisfied within 3 days of receipt; Delivery of orders to contractor within 7 days of receipt at LaSCA. Contractor Distribution Service All communications received 7.30am to 5.30pm Monday to Friday sent within 3 hours; Communications outside these lines to be sent with no unnecessary delays; s to general.net accounts to be responded to within 48 hours. Performer List Service All applications completed subject to CRB clearance and forwarded to PCTs within 6 weeks of receipt; 0 forms returned from CRB due to errors in completion; Daily updates to status of contractor applications to join performers list. Administration of Pharmacy Applications 100% of decisions given within 4 months of application; All parties consulted and pharmacy panel meeting arranged within 17 weeks. Control and Maintenance of the NHAIS System 100% compliance with robust programme of backups and reboots; 100% compliance with programme of validations and verification.

6 C. Finance Cash Management & Financial Reporting All information (as per schedule) sent by 4 th working day of month end; Forecast cash flows to be within 95% of actual payments; Cash requisitions sent 2 days before PCT submission deadline; Month closedown days v 10 day target; Number of manual journals processed; 99% of feeder system updates/ledger monthly rollovers within timetable; Reconciliation of AP control account completed within timetable; Reconciliation of AP account completed within 3 days of GL close; NHS reconciliations for NHS agreements exercise to be completed and faxed to the supplier within DoH timetabled guidelines (Mth 1,4,7 and 10); 100% cash reports issued Monday or nearest working day; 100% FIMS13 reports issued by 11 th working day of month; 100% PCT cash report issued by 15 th working day of month; 100% of aged debt reports issued within 5 th working day of month; 100% of >90 aged debt reports issued within 7 th working day of month; 95% of balance sheet reconciliations completed within 6 working days of timetabled GL close; 95% of year end schedules to prepared to year end timetable No of invoices on hold. Order Purchase Pay 100% compliance with BCPP (i.e. all payments made within 30 days of receipt of invoice); All invoices to have an order bar those on excluded list; Number of payments to wrong payee or for wrong amount; Number of incorrect codings in Ledger requiring journal transfer; Number of duplicate payments; Number of payslips issued; % BACS vs manual cheque/po payments; Scanning and registration of AP invoices within working days; Value of duplicate payments as a % of total payments; PGOs raised as a % of total payments; Invoices to be processed within 5 working days; 95% compliant unauthorised invoice registered within 3 working days; 95% of GRN logged within 1 day of receipt; 95% of compliant invoices received registered within 3 days of receipt; 95% compliant unauthorised invoice registered and sent to budget managers within 3 working days (4 for BHT&BSS); 100% payment runs completed as per agreed service; 100% of vat returns completed by 20 th working day of month. Administration Budget Budget set annually and presented to DoFs in December; Monthly budget variance reports to Managers by 10 th working day; Year end forecasts to be completed from month 5.

7 Debtor Account Administration Number of credit notes raised as % of debtor accounts; Debtor days; % of accounts raised within 10 days of request; 95% of debtors invoices issued within 2 days of request. D. Human Resources % of jobs where staff commenced within 50 days of advert being; % of staff with induction completed in 6 weeks; Use of OH for staff who have recurred loss of time through sickness; All staff to have development review Jan/Feb for following years objectives; All staff to have development review 2 months before incremental date; % staff with completed PDPs All staff to have workplace assessment for their area of work; All staff to have annual H&S training; % staff with ECDL; % staff who have attended mandatory training; Action plan from annual survey developed by staff; Exit interview process completed for all staff who leave; Improved staff survey results. Sickness target below 3% E. Information/IT Routine information presented on Extranet by 10 th working day; Adhoc requests satisfied in 5 days or for more complex requests to have agreed a date of delivery within 5 days; Data on X system refreshed mid and end of the month; Data on www updated within 5 days of change; Access to extranet 24/7; Systems downtime x hours; Helpdesk calls resolved on same day / by day 3 / by day 5; 90% of development requests allocated onto development/reporting programme within 5 working days. F. Internal Audit Draft Audit Plan to Audit Committee by April; 90% of draft audit reports issued within 10 days of end of fieldwork; 100% audits followed up within 6 months; 100% compliance with NHS Internal Audit Standards; 100% compliance with own quality procedures; At least 90% of internal audit recommendations accepted; All audits completed by mid April; HoIA opinions completed by mid April; 100 % satisfaction of Audit Committee; No adverse comments raised by Audit Committee.

8 G. Payroll Monthly validation of sample of payroll records; Bank accounts credited on pay day; Number and % errors due to service provider; General Ledger interface available on agreed date; Number of manual payments/value required due to service provider error; Pension / redundancy quotations given within 20 days from request; Correct payslips % v 99.5% target. H. Procurement Value of potential savings made; % of order lines automatically processed using catalogue; 100% procurement undertaken by Procurement Services; 5% savings on goods/services ordered through Procurement Services. I. Occupational Health Pre-employment screening outcome to HR within 24 hours; Management referral appointments to be offered within 10 working days; Urgent management referral appointments offered within 3 working days; Management referral reports following appointments to be sent to manager/hr within 5 working days; DNAs/deferral letters to be sent to manager within 7 working days. J. Security All smart cards issued within 5 days of receipt of authorised RA01/EPS01; All requests for system access completed within 24 hours of receipt; Compliance with annual programme of security audits; 0 reported incidents of unauthorised access to IT Systems; All security surveys completed by year end.