1 DWP Operations Business Plan 2013/14. DWP Operations Business Plan 2013/14

Transcription

1 1 DWP Operations Business Plan 2013/14 DWP Operations Business Plan 2013/14 June 2013

2 2 DWP Operations Business Plan 2013/14 Contents Operations Director General Foreword 3 Our priorities 4 Our story so far 6 Our road ahead 8 Our organisation 10 Our partners 11 Performance Agreement 2013/14 12 Measures and Planning Assumptions for 2013/14 13 Our resources 2013/14 17

3 3 DWP Operations Business Plan 2013/14 Operations Director General Foreword 2013/14 is a key year for Operations we will be helping to deliver the biggest reform of welfare in 60 years whilst continuing to review, improve and deliver our existing services. This document sets out our plans and ambitions for 2013/14 in a way that I hope will be useful and meaningful to everyone in DWP Operations. As we enter 2013/14, the environment in which we now operate, both internally and externally, has changed dramatically and will continue to change. As we continue on our journey to deliver the welfare reforms Universal Credit, Personal Independence Payment, the Benefit Cap and many more - we will implement the new policies alongside new ways of working. Since my appointment in October 2012, I have witnessed a lot of excellent work going on across the operational side of our business. Some of our achievements from 2012/13 are highlighted in this document. I would like to take this opportunity to thank everyone for their contribution and hard work. Whilst celebrating and acknowledging all that we have achieved we cannot afford to stand still. The economic climate means we are going to have to deliver more for less, and service levels need to improve if we are to meet claimant and customer expectations. It is against this background that I have set six key operational principles and goals for 2013/14 which are based around: Service Targets Once and done Real time Digital Quality You can read more about these principles overleaf. We all need to embrace these key principles if we are to become an extraordinary Department. So let s use this year to have a real and sustained focus on driving down our costs and driving up our service levels. I look forward to working with you all to that end. Noel Shanahan Operations Director General

4 4 DWP Operations Business Plan 2013/14 Our priorities Our Business priorities reflect the challenges we must meet to deliver for our claimants and customers, our Ministers, our partners and the Department but equally importantly they enable us to contribute towards the delivery of the Coalition Government s Social Justice agenda to ensure that the most disadvantaged in society are supported to turn their lives around. Our priorities are: Working Age Encouraging work and making work pay. Children and Families Recognising the importance of family in providing the foundation for every child s life. Disability and people with a health condition Enabling disabled people to fulfil their potential and have opportunities to play a full role in society. For retirement Providing a firm foundation and promoting saving. These business priorities are underpinned by the need to drive up the level of service we provide to claimants and customers, and drive down our costs by eradicating waste and inefficiency from our business processes. We will do so by focusing on the following during 2013/14: Service: to put the claimant and customer at the centre of what we do and to improve the service that we offer to them. We all need to be focused on the end to end customer journey and understand how actions in our own business patch can have an impact on interactions with the customer at other stages of the process. Targets: many of our targets do not meet customer expectations, which means we expend significant resources dealing with customers chasing progress or in dealing with their complaints about service levels. Let s aim to meet those customer expectations that means not just meeting our current targets but smashing them by some margin. Once and done: we need to ensure that when we take a new task or transaction from a customer that it gets done in the most efficient and effective way and that it happens accurately with no need for corrections later in the process from other colleagues or from the customer. This requires a strong focus on quality. Real time: we need to design our processes so that wherever possible the task can be completed at the time of initial interaction with the customer, be that on-line, on the phone or face to face. Both Once and done and Real time will improve the customer experience, drive down handovers, and reduce repeat calls all of which will make us more efficient. Digital: let s look to make the on-line customer experience so good that it naturally pulls customers away from the traditional channels of telephony and face to face and that it becomes the customers preferred choice of interaction with the Department. Quality: but there will be little benefit in delivering the above if we do so at the expense of the quality. It makes more sense to take the appropriate amount of time to complete the task and do it once, rather than do it at speed and have to do it twice.

5 5 DWP Operations Business Plan 2013/14 Our Values are our guiding principles for how we will deliver our services and they underpin our commitment to putting claimants and customers first, focusing on not only what we do but how we do it. They are: Achieving the best using our resources efficiently and effectively to ensure high and consistent levels of service. Respecting people treating our claimants and customers and each other with respect. Making a difference supporting, challenging and inspiring others to improve their lives. Looking outwards working with others and constantly getting better at what we do. Our seven Cultural Challenges are our guiding principles for how we will demonstrate our values. They are: Working collaboratively Taking responsibility and being accountable Tolerating risk Encouraging and building trust in our relationships Leading visibly Challenging constructively Facilitating innovation.

6 6 DWP Operations Business Plan 2013/14 Our story so far 2012/13 has been a busy and progressive year for Operations. We have seen several changes within our senior leadership team and we have expanded, welcoming in colleagues from Child Maintenance Group and Universal Credit Directorate. We are now truly one Operations working together with corporate colleagues as One DWP. Throughout a year of significant changes we have continued to maintain our business as usual whilst at the same time introducing a range of new initiatives which form part of our challenging welfare reform agenda. We have changed our approach to many of the huge tasks we undertake... many people are either doing or preparing to do completely different jobs. Whilst we can justifiably be proud of all our achievements last year, I think it is worth taking this opportunity to reflect on some of last year s specific highlights across our business. We improved our service: Increased the volume of visits to the Benefit Advisor Service by 55%. Increased the % of calls answered in our Contact Centres between April 2012 and January 2013 to 85% compared with 82.8% in the year before Separated Attendance Allowance from Disability Living Allowance and transferred it from Benefits Directorate to Pensions Directorate. Extended Tell Us Once service to 358 local authorities Successfully integrated new ways of working in Fraud investigations resulting in 10,850 prosecutions and through these investigations increased the average recoverable overpayments by 14%. Rolled out the two-tier complaints process, putting the focus on resolving complaints as close as possible to the first point of contact. We reduced our costs: Delivered savings of 364 million two years ahead of schedule through our Benefit Integrity work. Increased the number of Jobseekers Allowance claims on-line from 23.7% at the start of the year to 55.2% at the end. Increased the number of State Pension claims on-line from 0.7% at the start of the year to 15.9% at the end. Generated savings of 106 million through Spend to Save activity on benefits paid to pensioners and carers. Reduced the Pension Credit monetary value of error from 3.90% to 2.51% - achieved in part by reducing the outstanding assessed income period and periodic case reviews by 68,000. Achieved, through the freedoms and flexibilities in our operating model, a decrease of 77,500 in the number of people claiming Jobseekers Allowance this year compared to last year.

7 7 DWP Operations Business Plan 2013/14 We contributed to welfare reform: Launched, as part of our delivery of the Help and Support for Separated Families(HSSF) Programme, a distributable web application called Sorting out separation and completed round one of the Innovation Fund with seven successful projects selected. Launched a new statutory child maintenance scheme on a pathfinder basis in December Introduced contribution based Employment Support Allowance (ESA) time limiting for those in the work related activity group. related activity group introduced. Introduced Industrial Injuries Disablement Benefit rationalisation. Progressed Incapacity Benefit Reassessment. Introduced changes to ESA and Jobseekers Allowance conditionality, sanctions and hardship payments. Introduced error penalties. Progressed Lone Parent Obligations. And as part of the day job we: Paid over 35 billion to nearly 9 million working age and disabled claimants whilst improving the speed and accuracy of our service and improving productivity. Responded to the Cyprus crisis by issuing 12,000 letters to customers in 5 hours, provided emergency telephone service within 24 hours, established an emergency payment office in the Foreign and Commonwealth office in Cyprus within 2 days and performed 12,000 account transactions in one day to ensure customers had their payments. Stewarded delivery of Housing Benefit and Council Tax Benefit totalling over 23 billion. Delivered over 150,000 facilitated training days through Operational Learning. Introduced regular Ask the Expert events to build capability in frontline skills. Successfully implemented the Universal Jobmatch platform. Introduced a single system for delivering change across Operations to ensure all changes result in improved customer service and/or better ways of working. Launched the Bright Ideas portal with over 55% of our people now registered and in excess of 6,500 ideas submitted, demonstrating a culture with a shared ownership of the services we provide. Launched the Youth Contract flexibly and secured month on month falls in the number of young people, aged 18-24, claiming Jobseekers Allowance. Underpinning all of these achievements is our can do culture. In these times of austerity, Operations has been expected to do even more for less. We have changed the way we do things to drive out inefficiency which in turn has enabled us to continue to improve our services to claimants and customers despite the financial challenges. Last year was in many ways a foundation year for 2013/14 where our priority will be to continue improving the end to end journey of all claimants and customers. Last year was always going to be about preparation for the year of change that we have ahead, but I don t think anyone could have predicted the journey we have been on and where we are now compared with 12 months ago.

8 8 DWP Operations Business Plan 2013/14 Our road ahead Ministers are entrusting all of us in DWP to deliver the biggest welfare changes for 60 years as individuals we should welcome the opportunity to be involved in something so significant. Robert Devereux Permanent Secretary In 2012/13 Operations successfully delivered some of the early welfare reforms In 2013/14 we will continue to build on this experience to deliver some of the most significant welfare reforms: Universal Credit (UC) Personal Independence Payment Social Fund Reforms Benefit Cap Child Maintenance Reform Appeals Reform Single Fraud Investigation Service At the heart of the reforms is Universal Credit. It will replace many of our income-related benefits and for the first time we will continue to support our claimants whilst in work to ensure that work pays. A huge amount of effort has gone into preparations for UC and Operations has been actively involved in designing the new processes. Universal Credit will bring new and improved ways of working for Operations better technology supporting on-line claiming and automation where possible. Operations will work collaboratively with colleagues in HMRC and in local authorities, who also have a key role in the delivery of UC. Network Services Directorate began taking new claims to Personal Independence payment from April 13. Benefits Directorate will work with external assessment providers to ensure a fairer and more transparent process to ensure that support is targeted to those who face the greatest barriers in society. The Social Fund Reforms enabled us to redeploy staff on priority areas of our business: Decision Making and Appeals, front facing Jobcentre roles and Short Term Benefit Advances all will support the successful delivery of UC. The Benefit Cap was introduced in April 13 and will initially be taken forward by local authorities supported by Belfast Benefit Centre. Our Work Services Directorate will give those affected all the support they need to find work. In the long term it will be administered as part of UC. 2013/14 will be a momentous year for the Child Maintenance Group too. As well as continuing to improve existing schemes, they will continue to ramp up intake onto the Child Maintenance 2012 scheme. They will continue to support and encourage separated families to play an active role in the lives of their children. By the end of 2013 we will be well on the way to providing a child maintenance system that meets the expectations of parents, taxpayers and the Government but which more importantly will enable us to lift more children out of poverty. Appeals Reform will improve customer services and reduce the unnecessary demand on HM Courts and Tribunal Service (HMCTS). Initially it will affect only PIP cases and will see Operations being given the opportunity to reconsider their decision in

9 9 DWP Operations Business Plan 2013/14 every disputed case known as mandatory reconsideration. In addition claimants will lodge their appeals directly with HMCTS and Operations will have time limits for responding directly to HMCTS when an appeal is lodged. Preparations for the safe landing of the Single Tier Pension and Pension Credit Plus will continue throughout 2013/14 and Pensions Directorate will continue to actively promote Automatic Enrolment, encouraging customers to make financial plans for their retirement. Contracted Customer Services will extend the coverage of the Tell Us Once Service and seek approval for the expansion of the service. In addition they will work with external providers to improve our medical assessment services. Operational Excellence will provide a range of key services to support the delivery of our business priorities, significantly improving the claimant and customer journey and reducing inefficiencies in our everyday processes. This will include the management of risk, provision of expert advice and learning, and designing, assuring and delivering change. In addition, Operational Excellence will improve the National Insurance Number allocation process by reducing the customer journey to under 15 days. Reducing fraud and error remains paramount. In 2013 our fraud colleagues will work with HMRC and local authorities to set up a Single Fraud Investigation service, continuing to investigate suspicions of fraud and referring for prosecution where appropriate. Continuing to deliver and improve our day to day business in 2013/14 whilst also implementing the reform initiatives gives Operations an opportunity to make a real difference to the lives of many people. It will be a challenge but one Operations will meet. The changes will affect everyone in Operations in one way or another but ultimately they will reshape the way Operations does its business and for our people they will bring developmental opportunities, improved job satisfaction and a more focused sense of purpose. I believe we can be the very best in Government and that is my challenge to you.

10 10 DWP Operations Business Plan 2013/14 Our organisation We will work across organisational boundaries to deliver results and enhance the customer journey at every opportunity. We will deliver our business through 8 Directorates reporting to one Operations Director General: Work Services Benefits Network Services Contracted Customer Services Pensions Universal Credit Operational Excellence Child Maintenance Group Whilst each Directorate has their own specific purpose to fulfil, they also have a responsibility to work across organisational boundaries to ensure that together we continue to enhance the customer experience and provide a seamless service to all our claimants and customers. Driving cross-operational engagement will be the One Service networks (OSNs). The OSNs, made up of representatives from each of the DWP operational Directorates, will continue to have a vital role in 2013/14 to work As One to tackle cross-operational issues and drive customer service. OSNs will ensure that the customer remains at the centre of all our delivery by reviewing the service offered within their network and to understand root causes of issues. They will drive real and measurable improvements which will not only benefit the customer but help us work more efficiently and reduce costs. Collectively we must all put ourselves in the position of our customers and claimants, ensuring that we recognise the impact on them of everything we do regardless of where we sit within the organisation. This will enable us to tailor our services to meet the needs of individuals whilst fully implementing the once in a lifetime reforms which we have been tasked to do. We have to undertake all of this in a challenging financial environment. We have an obligation to the tax payer to deliver the most efficient operation possible and to make the most of all the money invested in us. Ultimately we must all continue to strive to deliver an extraordinary service to all our customers and claimants the first time and every time, with each of us taking responsibility for making our services better.

11 11 DWP Operations Business Plan 2013/14 Our partners Operations relies on a number of external partners to support the delivery of our core business. A large proportion of our expenditure funds this external provision and therefore it is vital that we outline clear expectations and work closely with our suppliers to drive down costs whilst improving outcomes. We will ensure that robust performance management achieves the very best outcomes at the very best costs. In order to deliver our challenging agenda, Operations will also continue to work closely with, and be supported by, its internal partners. Departmental and Business Strategy Directorate Provide Operations with a voice to ensure operational perspective is core to strategy Encouraging, harnessing and delivering ideas for continuous improvement Ensuring that all proposed changes are deliverable HR Business Partners Work with Operations as a strategic partner to improve business performance and delivery by improving capability, performance and engagement Identify and implement talent and resourcing strategies to deliver the right people at the right place at the right time Help plan and support organisational and cultural change Finance and Commercial Directorate Support Operations by providing advice and support to drive business outcomes that represent value for money and to live within budget Support Operations to use management information to drive performance improvements Information Technology Directorate Manage the demand for IT services from Operations into IT and, working in collaboration with IT Directors, ensures that IT performance meets customer expectations, agreed service levels and targets

12 12 DWP Operations Business Plan 2013/14 Performance Agreement 2013/14. Operations has an opportunity to make a real difference to the lives of many people. This year the We have started to make good progress on our priority of putting our customers and claimants at the heart of what we do. Performance Agreement has been structured to more specifically focus on the people that we serve. Our Performance Agreement places an emphasis on 5 priority outcomes: Encouraging work and making work pay In 2013/14 we will: Deliver Universal Credit Pathfinder and begin national roll out Deliver Post-Work Programme support to move long-term unemployed claimants back into work Deliver effective day to day labour market policies Support every claimant facing disadvantage to move towards work Enabling disabled people to fulfil their potential and have opportunities to plan a full role in society In 2013/14 we will: Implement Personal Independence payments Provide financial support to cover the additional costs of disability Deliver specialist employment support to help disabled people move into and stay in work Providing a firm foundation and promoting saving for retirement In 2013/13 we will: Implement State Pension Reform to introduce Single Tier Pension Deliver effective day to day administration of State Pension and Pension Credit Help people to make provision for their retirement Recognising the importance of family in providing the foundation of every child s life In 2013/14 we will: Deliver a revised child maintenance system Deliver support for separated and separating families to help them work together in the best interests of their children Improving services to the public by delivering value for money and reducing fraud and error In 2013/14 we will: Enhance our digital services and aim to make on-line services our customers channel of choice Deliver the Fraud and Error Change Programme to reduce the amount of benefit overpaid Our Performance Agreement is underpinned by a set of measures based on planning assumptions. These are available on the next four pages

13 13 DWP Operations Business Plan 2013/14 Measures and Planning assumptions for 2013/14 Contact: Measures Accessibility - Telephony Percentage of Queued Calls Answered (PCA) (Working Age) Percentage of calls blocked (Working Age) Percentage of Queued Calls Answered (PCA) (Pensions/CAU) Percentage of calls blocked (Pensions/CAU) Percentage of Queued Disability Helpline Calls Answered Percentage of calls blocked (Disability Helpline) Percentage of Queued UC calls answered Percentage of calls blocked (UC) Quality/resolution First Call Resolution (working age) Quality of interventions (working age) Percentage of call-backs within one hour Percentage of call-backs within 3 hours Accessibility - Online % Customers using JSA Online % State Pension Online UC - Volume and/or % of online claims UC - Proportion of claims that drop out of the online process DWP Visiting - Quality of forms completed to a processable standard Planning Assumption 2013/14 90% Not more than1% 93% Not more than1% 90% Not more than 0.5% 90% Not more than 1 80% 89% 98% 95% 80% by September % by March 2014

14 14 DWP Operations Business Plan 2013/14 Payment Gateway: Measures Timeliness JSA - %age cleared in 16 days ESA - %age cleared in 16 days IS - %age cleared in 13 days DLA (Adult) - %age cleared in 40 days (Q1 only) DLA (Child) - %age cleared in 40 days PIP - %age cleared in X days PC - % outstanding over 41 days AA - % outstanding over 48 days CA - % outstanding over 45 days Pensions Conversions - % outstanding over 15 days ESA, PIP end-to-end clearance time Decision Making and Appeals - timeliness UC - %age ready for payment in X days Planning Assumption 2013/14 90% 85% 90% 78% 79% Not more than 16% Not more than 3.5% Not more than 0.2% Not more than 12% Further investigation required to confirm what time-band and AACT information can be robustly obtained Further investigation required to confirm what time-band and AACT information can be robustly obtained Accuracy* Working age benefits - National Checking Team - % monetary value overpaid in processing Working to develop measures similar to Pensions for JSA, ESA and IS PC and SP - % monetary value overpaid in claims processing PC 2.58% / SP 0.17% PIP - % monetary value overpaid in claims processing AA, CA interim measure % claims processed accurately review in-year for alignment to monetary value AA 94%CA 99% (Provisional pending MVE alignment discussions) DLA *MVE measures will be revisited in year, based on improved methodology and alignment across benefits where appropriate.

15 15 DWP Operations Business Plan 2013/14 Progress in the Labour Market: Measures Off-benefit Jobseeker s Allowance off-flow rate (13, 26, 39 and 52 weeks) Jobseekers off-flow rate (208 weeks) Employment Support Allowance off-flow rate(65 weeks) Income Support off-flow rate (52 weeks) Work Programme - Time off Benefit Percentage of Jobseeker s Allowance off-flows into employment Percentage of Employment Support Allowance off-flows into employment Real Time Earnings measure Work Programme - Job Outcomes Work Choice - Job Outcomes ESF for families with multiple problems Controlling Costs: Measures FIS FIS Value for Money Measure (total overpayments/total costs) Customer Compliance Customer Compliance Productivity measure Customer Compliance MVA Planning Assumption 2013/ % 72.5% 82.5% 88.5% 99% 52% 43% Exceeding the AME Threshold within the year No Planning Assumption No Planning Assumption UC measure to be developed Greater than minimum performance level 55% supported job outcomes 30% unsupported job outcomes Planning Assumption 2013/ Average annual figure of 65 interviews per CCO per month. Performance expected to increase throughout year and be reported against monthly profile 11.6m

16 16 DWP Operations Business Plan 2013/14 Child Maintenance Group: Measures Child Maintenance Children Benefiting from 1993/2003 statutory schemes Children Benefiting from Family Based Assessments (following contact with options) Collections and arrangements 1993/2003 statutory scheme Cases contributing towards Liability 1993/2003 Schemes CMG Cost per collected CMG Cost per child benefiting Planning Assumption 2013/14 830,000 1,190 million 83%

17 17 DWP Operations Business Plan 2013/14 Our resources 2013/14 Department Expenditure Limits (DEL) Allocation 2013/14 1,400.0m 1,200.0m 1,000.0m 800.0m 600.0m 400.0m 200.0m 0.0m Work Services Benefits Network Services Contracted Customer Services Operational Excellence Pensions Child Maintenance Group DG Support/ other costs n Staff costs n Non-staff costs NB: Universal Credit allocations and staffing data not available at time of publication.

18 18 DWP Operations Business Plan 2013/14 DEL Allocation 2013/14 Total = 4,779.8m Full Time Equivalent (FTE) 31/03/14 Total = 75,255 n Work Services 1,249.9m n Benefits 721.3m n Network Services 154.6m n Contracted Customer Services 1,374.2m n Operational Excellence 827.9m n Pensions 149.5m n Child Maintenance Group 244.3m n DG Support/other costs 58.1m n Universal Credit 0m n Work Services 33,491 n Benefits 17,126 n Network Services 5,686 n Contracted Customer Services 408 n Operational Excellence 5,480 n Pensions 6,022 n Child Maintenance Group 7,035 n DG Support 7 n Universal Credit 0 NB: Figures subject to rounding and Universal Credit allocations and staffing data not available at time of publication.