Service Transformation in the Public Sectorimage.guardian.co.uk/sys-files/Society/documents/... · transformation of shared services in front and back-office systems; and greater

Service Transformation in the Public Sector

SUMMARY• Oracle has theproducts andexperience to helporganisationstransform theircustomer services

• Oracle products:

• Can securelyimplement cross-Government identitymanagement andinformation sharing

• Support cost-effectivecontact and channelmanagement

• Promote thecreation and use of customer insight to enhanceservice provision

Overview

The Transformational Government Strategy sets out three key goals: the

transformation of public services designed around the citizen and business; the

transformation of shared services in front and back-office systems; and greater

professionalism in IT management and delivery. Perhaps the most important of

these is the transformation of public services, as set out in Sir David Varney’s

Report of December 2006.

Oracle has the capability to support public sector transformation by providing

world class customer relationship systems, integrating front and back-office

systems and enabling pan-public sector strategies, including identity

management, secure information sharing and maximisation of the

information asset.

THE KEY ELEMENTS OF SERVICE TRANSFORMATION

Implementing Transformational Government, including the recommendations in Sir David Varney’sReport, is high on the agenda for those public sector organisations that provide services to citizens and businesses. Now is the time to:

• Ensure that real customer insight is driving service design

• Challenge delivery models to reduce duplication and non-value-adding customer contact

• Optimise channel management to make use of cheaper digital channels where appropriate

• Bring performance of web, contact centre and face-to-face services into line with best practicestandards and benchmarks

Fundamental to achieving transformation is a cross-government approach to aid identification ofcustomers – both as citizens and businesses. Without this, there cannot be reliable sharing of customerinformation, or effective delivery of truly joined-up services.

Making improved citizen information available to government contact centres is only part of the story.Many contact centres in the public sector are too small to be operated cost-effectively. The quality ofservice they provide, such as one-call fulfillment, is often below the level routinely achieved in theprivate sector. Better systems are needed to enable the desired step-change in performance.

In addition to a pan-government identity strategy, Varney also highlighted the need to maximise cross-government customer insight and to rationalise and professionalise service channels to helpdeliver sustainable service transformation and value to the tax payer.

Identity and Information Management

Varney has acknowledged identity management as being the ‘front end’ of service transformation. The vision for 2010 is for citizens and businesses to have a single identity to underpin all their dealingswith government through a secure, robust and trusted approach that enables wide access to joined-upservices throughout all stages of life. The ultimate aim is for a common registration system – birth todeath, migration to emigration – underpinned by secure, identity management processes that maintainthe core identity data. The trust of citizens and businesses is crucial to the sustainability of a cross-government strategy and Varney therefore recommends that the government’s data sharing policydistinguishes what identity data should be shared.

EVOLUTION FROM ORGANISATION-CENTRIC GOVERNMENT...

Multiple Touch Points

Unsynchronised Channels

Programme FocusedDepartments

Inconsistent BusinessProcesses

Duplicated & InconsistentCustomer Data

Unaligned Employees

Siloed ApplicationsCitizen orBusiness

Oracle and Service Transformation in the Public Sector

Customer Insight

Delivering citizen and business centric public services must start with an understanding of citizen andbusiness needs. The Report highlights the value of insight in understanding the customer andrecommends the appointment of Contact Directors to create and exploit insight as a strategic asset.

Varney recognises the role of the Customer Insight Forum. He recommends that their work continueswith a focus on the pan-government customer information asset, which provide a ‘holistic view’ of the citizen and business needs as opposed to interpreting requirements at a single point of contact or transaction.

Contact and Service Channel Management

Many of the recommendations contained within the Varney Report are based around contact and interaction with the citizen or business and the channels through which contact and services are delivered.

The recommendations can be broadly grouped into the rationalisation, performance and optimisationof contact and service channels. Rationalisation of contact centres and web sites will not only simplifyand improve the service to the customer, but will release significant efficiency savings providing valueto the tax payer. Varney also advocates the use of a single non-emergency number that has been widelyadopted in the United States and argues for the establishment of performance indicators to measureboth the cost and effective delivery of services.

There are a variety of channels, both traditional (face-to-face, contact centres) and e-service channels(web, mobile etc.), that the Government can use to interact with customers and to deliver services.However, these multiple channels should be underpinned by a single process that offers an integratedservice. Varney recommends a pan-government channel strategy based on ‘channel optimisation’ todeliver services that are intuitive, easy to use and simple to deploy.

Integrated Multi-channelStrategy

Customer-Focused Best Practices & Services

Synchronised BusinessIntelligence and Analytics

Single View of theCustomer

Employee Alignment

Process and DataIntegration

...TO CUSTOMER DRIVEN GOVERNMENT

Citizen orBusiness


ORACLE CAN HELP YOU IMPLEMENT SERVICE TRANSFORMATION

Implementing the recommendations of the Varney Report presents a huge challenge for all public sectororganisations. It is important to take a consistent approach and work effectively in partnership withother public sector bodies and the Government’s strategic IT suppliers.

Oracle’s technology and applications are designed to work together to support front and back-officetransformations. Our consulting services and extensive partner network will help you gain maximumvalue from our software and make the most of the changes you need to introduce.

Oracle has a wide range of products that address various aspects of the Varney Report. These include:

Oracle Identity Management allows enterprises to manage the end-to-end lifecycle of user identitiesacross all enterprise resources, both within and beyond the firewall. Oracle solutions interoperate withall major systems to ensure enterprise-wide security for all your applications.

Oracle Master Data Management enables information to be sychronised across multiple systems to get an accurate, consistent 360-degree view of the customer data and provide a real-time, consistent,single source of truth, for highest data quality.

Oracle Business Intelligence & Analytics includes a comprehensive analytical customer relationshipsolution that provides organisations with an up-to-date overview of customer service effectiveness. By spanning real-time and historical data and providing pre-built and ad-hoc analytic reports, the application delivers complete customer insight and improves overall customer satisfaction.

Oracle Customer Relationship Management helps organisations deliver quicker, better and moreefficient customer service and provides insight to the right person at the right time, leading to faster,better informed decisions. It also provides an integrated view of performance and usage across allservice channels enabling organisations to optimise their channel management.

Oracle Mobile Solutions connect mobile service professionals with accurate, up-to-date information.Deployed over wireless phones, pagers, laptops and handheld computers, it gives mobile staffcomplete access to customer information, corporate knowledge bases and much more.

Oracle Fusion Middleware provides a foundation infrastructure to complement existing applications andlegacy systems that enables integration, secure information sharing, web services and multi agency working.

Further detail as to how Oracle products can be used to support an organisation’s servicetransformation can be found in the brochure inserts.

WORLD-CLASS PUBLIC SERVICES THAT USE ORACLE

As the Report recognised, there are admirable examples within the UK and around the world withinpublic services that deploy technology in imaginative ways to enable excellence to be achieved.

In the UK, the Pension Service ‘an Oracle customer’ is widely acknowledged as one of the best technology-enabled services, with well-balanced use of telephone and web channels. A leading example of a single non emergency implementation using Oracle Siebel solutionsis New York City 311 - visit: http://www.nyc.gov/html/doitt/html/about/about_311.shtml

Customers’ expectations of public services are changing, with an increasing

comparison to services delivered by the private sector. New digital technologies

offer new, cheaper, faster self service options for service delivery that are used

widely in the private sector. Varney recommends some guiding principles so

that a certain standard can be expected with every contact, irrespective of the

channel used. His recommendations can be broadly grouped into those around

improving the performance of each contact, rationalising and simplifying

the number of contact points and optimising the use of channels to deliver

cost-effective as well as quality services. Oracle is the leading supplier of

Customer Relationship Management solutions that enable both private and

public sector organisations to deliver a top class service.

CONTACT MANAGEMENT IN THE PUBLIC SECTOR

Citizens and businesses judge the quality of public services they receive with each contact and willcompare the ease of access and the level of service offered by the private sector. A key challenge ofthe Government is to deliver a consistently high quality of service across all public sector bodiesirrespective of the channel used.

There is wide variation of service delivery across the public sector and the Varney Report putsforward a number of recommendations based around performance to improve the service provided.These include the adoption of best practice guiding principles and the use of benchmarking. Withsimplification, standardisation, sharing of best practice and accreditation of contact centres, Varneysuggests that performance improvements would reduce costs by 25% as well as improve the levelof service provided. The Pension Service, an Oracle customer, is cited within the Report as anexemple for first call resolution, whereby 45% of callers applying for State Pension or PensionCredit on the telephone had their needs assessed and their application dealt with in ‘one-touch’.

With 750 contact centres and hundreds of web sites in use in the public sector, additional,significant savings can be made through the rationalisation and adoption of a shared serviceculture. Oracle’s software supports sharing of all kinds and our experience with shared services bothwithin the public and the private sector gives us unrivalled credentials to support the government’smove to front office shared services.

There are a number of examples such as Staffordshire Connects, an Oracle customer, where ‘front-office’ shared services has not only enabled significant savings to be made, but has also increasedcustomer satisfaction levels and enabled out-of-hours services to be provided.

SUMMARY• Delivery ofgovernment servicesacross multiplechannels ofcommunication

• Comprehensiveknowledgemanagement toolsthat enable rapidresolution ofproblems andinformation requests

• Secure collaborationand informationsharing amongstmultiple departmentsand agencies

• Real timeintegration of dataacross systemsenabling front andback-office integration

Contact and Channel Management


Varney also recommended the rationalisation of help lines and use of a single non-emergencynumber, as used within the United States. New York 311 - New York’s single non emergency numberproject - brought together 40 different call centres, 14 pages of phone numbers and a host of helplines from dozens of different agencies into a single service centre and one memorable phonenumber. The service provides a single point of contact for 8 million residents for all non emergencycity services. The call centre is open 24 hours a day, 365 days a year and provides a service in morethan 170 languages.

There are a number of different channels that can be used to interact with citizens and businessesand to deliver services. A good channel strategy should provide accessibility to services and offerthe flexibility that modern day consumers have come to expect. Whilst recognising that citizenshave differing needs, it should be acknowledged that certain services may be more suited to specifictypes of contact channel. There is a need therefore, to understand what the customer preferences are,what the different channels can offer and the cost of service delivery across each of these channels.

A co-ordinated channel strategy should focus on offering an integrated service with multiplechannels around a single process, thus removing duplication and easing integration into the back-office systems to enable real efficiencies to be gained. Channel optimisation should focus on driving customers to use the most cost effective and relevant channel for a specific service.

A COMPLETE SOLUTION FOR CONTACT AND SERVICE CHANNELMANAGEMENT

Oracle has been recognised as a leader within contact centre and service solutions and providecomprehensive Customer Relationship Management solutions that enable organisations to offereffective and efficient services to their constituents across multiple channels of communication. The applications provide optimal resource deployment, speedy issue resolution, one-and-donerequest handling and powerful tracking and analytics capabilities.

Communicate Effectively with Citizens and Businesses Oracle’s consolidated constituent service system ensures that government agencies are effectivelycommunicating and serving their citizens and businesses and providing quick, seamless access to government services and information. Traditional channels (such as face-to-face and contactcentres) and e-service channels (web, mobile phone, digital TV) are supported as part of anintegrated channel management offering.

Provide Knowledge Management & Information to Resolve CallsOracle’s use of guided call scripts and embedded processes with a comprehensive solution andknowledge base enable call agents and self service users to resolve calls at first contact.

Measure Effectiveness and Increase Accountability Oracle’s analytical capabilities enable government agencies to measure performance and increaseaccountability for service provision. The solutions provide visibility into operations which helpofficials to identify and target areas for improvement.

Route Incidents & Requests to Appropriate DepartmentsIncidents and requests for services can be routed, resolved or escalated by single or multi-agencysupport. Integrated mobile technologies can be used to provide more flexible and productive use of available resources.

Provide Comprehensive Case ManagementOracle’s comprehensive case management facility enables more complex cases to be initiated andmanaged through the same application, providing a seamless service to the citizen and business.

Increase Awareness Through Targeted Outreach Segmentation and campaign targeting facilities are provided to enable the identification of targetpopulations, design and execution of outreach campaigns and increased awareness of local orcentral initiatives.

ADDITIONAL INFORMATION

Additional product information can be obtained from:

http://www.oracle.com/applications/customer-relationship-management

Additional information on Oracle’s response to the Varney Report can be obtained from:

[email protected]


© 2007, Oracle. All rights reserved.Oracle, JD Edwards, PeopleSoft andSiebel are registered trademarks of Oracle Corporation and/or its affiliates.Other names may be trademarks of their respective owners.

The Varney Report recognises that true service transformation delivered by

sustained efficiencies and improved service delivery is dependent on a greater

focus on the management and governance of the ‘Government’s Information

Asset’. Varney identified customer insight and information around citizens and

businesses as the key to engaging customers and developing services based

around their needs. Customer insight requires a unified, reconciled single view

of high quality customer data. Oracle’s customer insight strategy is based

around establishing a foundation for information excellence to provide high

quality customer data on which to develop a customer centric business.

THE VALUE OF CUSTOMER INSIGHT

Customer insight is one of the key requirements for transforming service delivery and isfundamental to the delivery of customer centric services. The qualified understanding of customerbehaviour can be used to deliver an enhanced, personalised service. Customer insight drives theright behaviour and can be used to remove a contact that has no value and can ensure that onlyservices that are relevant and easy to use are provided. Customer insight is valuable in the planningand prioritisation of services and the allocation of resources.

Customer insight can help to:

• identify and understand the customer

• identify and map their relationships with other public sector bodies

• manage the relationship and maximise interactions with the customer

• raise awareness of their current and future needs

• identify use of, and preference for, different service channels and communication methods

• provide a single, holistic view of the customer across government

This requires centralised, master customer identity, active data quality management, synchronisationwith multiple data sources and an easy-to-use facility to visualise and analyse all customer information.

SUMMARY• Customer insight is key to deliveringcustomer centricservices within thepublic sector

• It requires both a business and an informationtechnology strategythat goes beyond a traditional CRMsolution

• Oracle provides aworld class CustomerInsight Solutiondelivering significantbenefits

Customer Insight


As highlighted by Varney, there are many examples where the private sector has gained significantvalue from customer insight.

Oracle has been helping companies to gain benefit from their customer insight to deliver aproactive customer service. BT Retail implemented customer intelligence to 400 users in 3 monthsand increased contact data quality by 20% which led to the quote below:

“What a joy… I can see everything now”,D A N N Y M C L A U G H I N

BT Retail Major Business.

ORACLE’S CUSTOMER INSIGHT SOLUTION

Oracle’s Master Data Management and Customer Intelligence facilities provide a complete customerinsight solution that delivers integrated customer data management with reporting and analysiscapabilities. It enables organisations to know their customers, improve data quality, utilise customerinsight during all customer interactions, comply with privacy and regulatory requirements andreduce data management costs.

Integrated, End-to-End SolutionOracle’s comprehensive solution provides thenecessary platform/foundation, analyticaltools for the delivery of customerinformation. The components are fullyintegrated which means the customerdoesn’t need to spend the time, moneyand resources to integrate customerand analytic data.

Pre-Defined Data ModelOracle’s architecture includes acustomer master repository thatconsolidates and synchronises alldisparate customer data across multiplesources. Once consolidated, cleancustomer data is then integrated withother measurement data to form thefoundation for key business indicators anduser-defined metrics. Data quality is assured bydata cleansing, de-duplication, enhanced andsynchronisation across all operational systems.

OpenThe components adhere to industry standards and are built in a modular fashion so that they can co-exist and integrate with existing legacy systems.

Quick and Easy to DeployOracle’s integrated, modular and open design allows the customer to pick only the functionalityneeded for the initial requirements, then add functionality as required over time. All the efforts and resources can then be focused on the business aspects of customer insight.

“Using Oracle’sCustomer InsightSolutions allows us to determine whichproducts should beoffered to a customerbased on sophisticatedanalysis of thatcustomer’s profile. As a result, eachcustomer gets less butmore clearly targetedoffers.”

Sharon SibigtrothManaging Directorof AXA Financial

“With advancedbusiness intelligencecapabilities, we takeour commitment tothe customer to thenext level designingservices andprogrammes thatprovide the greatest value.”

Ann ArdizzoneManaging Directorof MarketingProgrammes, Alaska Airlines

“Oracle’s CustomerInsight Solutionshelped us realisemeasurable businessbenefits in numerousareas, includingimproving our averagecustomer responsetime by 27%, leadingto a 30% improvementin customersatisfaction.”

Darryl CarrollDirector of Salesand Marketing,HoneywellAerospace


Additional product information can be obtained from:http://www.oracle.com/applications/performance-managementand http://www.oracle.com/master-data-managementAdditional information on Oracle’s response to the Varney Report can be obtained from:[email protected]


Customer Intelligence & Analytics

CustomerInsight

OperationalSystems

SpecialistSystems


The Varney Report recognises identity management as the ‘front end’ of

delivering better public services and that a common approach across

Government to identity management can act as the cornerstone to service

transformation. Varney’s goal is to have a single identity for citizens and

businesses for all their dealings with the Government, which is managed by a

common registration system. A clear policy on the sharing of identity

information is crucial to gaining public acceptance of such a scheme. Oracle’s

comprehensive identity management solutions provide facilities to manage the

allocation and maintenance of unique citizen and business identifiers as well as

providing facilities to manage the security of the data and the identity of those

who are accessing it.

THE NEED FOR IDENTITY MANAGEMENT

Within a year, the average citizen will need to prove their identity to the Government at least 11times. The Home Office alone has 20 verification procedures and 25 unique numbers. There issubstantial scope for efficiency savings by reducing the number of databases holding and managingbasic personal information, and the number of identity management systems. Varney highlightedthe need to shift focus away from the transactional view of a customer, to a more ‘holistic’, pan-public sector view of the citizen or business. The customer would then have a single identity forall their dealings with public services which would be used by the Government to provide a moreefficient and joined-up service based around common ‘themes’ or life events such as births anddeaths. A common registration system would be central to providing a change of circumstanceservice, a key recommendation of the Varney Report, where the onus is on the Government to join-up the service by sharing change of circumstance data between the different government bodies.

Adoption of standard processes to check and verify individuals and their relationships is only part of a successful identity management strategy. It is vital that customers have trust in any pan-government strategy and that information shared about a person’s identity respects theirprivacy. Identity management must therefore extend to managing the identity and authentication of individuals accessing personal data dependent on their role and purpose of access. There is need for a robust system that enables secure sharing of data between partner institutions andensures that the services of one organisation can be delivered by another.

SUMMARY• Identitymanagement iscentral to servicetransformation andthe joining up ofservices

• An identitymanagement strategyneeds to identify boththe customer andthose who wish toaccess their records

• Oracle provides acomprehensivesolution for allaspects of identitymanagement

Identity and Information Management


A COMPLETE SOLUTION FOR IDENTITY MANAGEMENT

To date, identity management has been treated as a separate management solution to be bolted onto applications after they have been deployed. This is changing. Oracle is leading a new phase inidentity management whereby identities are managed within applications as part of the businessprocess, whilst preserving the benefits of a centralised identity management system. Oracle believesthat identity management should be application-centric, integrated out of the box with existingapplications, readily deployed for new applications and architected for a future service-orientatedarchitecture (SOA) environment. In a SOA environment identity management will be delivered as are-usable service, so it can be used by any application across an organisation delivering significantbusiness efficiencies, enhanced security and lower administrative and development costs.

Oracle’s best-in–class identity management suite is a complete set of products that addresses allaspects of identity management:

Oracle Directory Services Oracle offers the highly scalable Oracle Internet Directory implemented on the Oracle Database.The Oracle Virtual Directory provides a consolidated LDAP view of directory information frommultiple sources, whether the sources are other LDAP directories, databases or web serviceswithout the need to hold information centrally.

Identity AdministrationIdentity administration helps reduce security risk by governing how digital identities, groups andorganisations are created, maintained and leveraged throughout an organisation. It does so byproviding a simple, controlled means to change user, role, group and organisation information thatdynamically affects access privileges.

Authentication, Authorisation and Single Sign-On Web access controls improve security by managing who has access to what information and when.Single sign–on delivers dramatic cost savings by reducing the time spent with thousands of users,whether customers or employees, addressing password re-set and update issues.

Federated Identity Federated identity management provides a means to link internal employees to external portals, or external constituents and customers to internal portals, without the burden of managing theiridentity and credential information in both places. This drastically reduces the costs and complexityof managing partners’ users.

User ProvisioningUser provisioning automates the tedious process of adding, updating and deleting users frommultiple applications and directories. As roles, rules and policies evolve, the rights and attributes of users can change – and a workflow-controlled, automated provisioning process can significantlyimprove the efficiency of managing those changes.

Web Services ManagementIn Service Oriented Architecture, web services expose business applications and information to the internet for use by customers, partners and employees. A robust, secure framework is critical for managing access control, monitoring and auditing of these services.



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Documents

Service Transformation in the Public Sectorimage.guardian.co.uk/sys-files/Society/documents/... · transformation of shared services in front and back-office systems; and greater