Digital Self-Service in the Public Sector Survey Report 2015
Introduction The public sector faces a combination of shrinking budgets, rising costs and increased demand. Delivering self-service is becoming an essential cornerstone of digital transformation necessary to improve customer service while addressing budget deficits. Digital Self-Service in the Public Sector 2015 is the largest survey of its kind in the UK, with 355 senior managers from 256 public sector organisations taking part. Devised and conducted by GOSS Interactive, it reveals organisations approaches to self-service, the benefits they are already achieving, and their plans to accelerate digital self-service in the coming months and years. As well as examining the survey results, this report offers a checklist of recommendations for organisations considering digital self-service implementations and highlights four cases studies showing how other public sector organisations have delivered rapid ROI from self-service. Survey highlights The survey revealed three important developments: 1. The move to self-service has accelerated 310% GROWTH OF SELF-SERVICE OVER NEXT THREE YEARS Two-thirds of respondents say they plan to have 50% or more of services delivered by self-service in three years time, compared to just one-tenth of respondents with more than 50% self-service today. 2. Self-service to address budget deficits 1.42m SAVING IN NEXT 12 MONTHS On average, public sector organisations expect to save 1.42 million each in the next 12 months by delivering services through digital self-service and over 8.74 million each over the next three years. 92% RECOGNISE IMPORTANCE OF ASSISTED SERVICE 3. Assisted service is a vital part of any self-service project Nearly all (92%) respondents recognise that providing assisted service is very important or important for delivering services to digitally excluded customers as part of a self-service initiative. Page 2 : Digital Self-Service in the Public Sector 2015 GOSS Interactive
The budget deficit challenge and the self-service opportunity Over the next five years, the public sector faces some huge challenges. A growing and aging population will put additional pressure on services pressure that must be met with significantly reduced budgets. A combination of funding cuts and cost increases will create a growing gap between local authorities income and expenditure. According to forecasts from the Local Government Association, the funding gap will grow at an average of 2.1 billion a year, adding up to 10 billion by 2020. That equates to an average local authority budget deficit of 23 million over a five year period. The widening budget deficit Source: Future Funding Outlook 2015, Local Government Association These same budget pressures are being faced across the public sector, including Central Government, NHS, Police and Fire Services, Non-Governmental Public Bodies and Housing Associations. As well as financial pressures, public sector organisations must keep up with the demands of a population accustomed to conducting transactions and finding information online and via mobile devices. Even today, analysis of GOSS clients web traffic shows that upwards of 40% of transactions take place outside of office hours, and that figure will certainly increase. Public Sector self-service savings 8.74m SAVING OVER 3 YEARS To meet these challenges, digital self-service is no longer optional it s essential. Currently, however, although 25-30% of the population visit local authority websites, only 5-10% use them to conduct self-service transactions. 1.42m 2015/16 2.91m 2016/17 4.41m 2017/18 Our survey shows that this picture is about to change dramatically. Recognising that self-service, with assisted service for those who need it, offers a fast way to realise cost savings, public sector organisations plan to accelerate and broaden the scope of digital self-service over the next few years. The survey revealed that organisations each expect to save an average of 1.42 million from self-service in the next 12 months, with 12% expecting to save 3 million or more. It s clear there is a powerful incentive to shift to self-service for organisations facing the prospect of huge budget deficits or service closures. 1 Future Funding Outlook 2015, Local Government Association, July 2014: www.local.gov.uk GOSS Interactive Digital Self-Service in the Public Sector 2015 : Page 3
Survey results The survey offers an insight into how public sector organisations are approaching digital self-service, the benefits they re achieving, and their plans for the future. The following sections examine the key findings. 1. Self-service strategies are developing fast Across the public sector, a great deal of effort has gone into delivering digital self-service solutions. The next 12 months will be a critical time, with many organisations planning to significantly increase self-service to address budget deficits and improve service delivery. To this end, public sector organisations are working hard to deliver an integrated, end-to-end approach to digital in general and self-service in particular. When asked about the terminology they use to describe the digital transformation underway throughout the sector, Self-Service was the most popular term used, with 176 responses, followed by Channel Shift (142), and Customer Portal (134). Meanwhile, Digital by Default (120), Digital by Choice (109) and Digital First (6) are used less frequently to describe this important strategy. More than half (56%) of respondents said their organisation already has a self-service strategy in place. It seems likely that this proportion will increase rapidly as the need to close the budget gap becomes increasingly urgent. Where self-service strategies are in place, the majority (62%) form part of the organisation s customer contact strategy (33%) or its digital strategy (29%). Self-service is part of a Channel Shift strategy in 6% of respondents organisations, and in 5% it has its own strategy area. Page 4 : Digital Self-Service in the Public Sector 2015 GOSS Interactive
2. Self-service will grow rapidly over the next three years To date, many public sector organisations have delivered self-service as point solutions for a few distinct services. However, the situation is set to change very quickly as public sector leaders look for a strategic, organisation-wide, approach to address the painful combination of large budget cuts, cost increases and increasing customer expectations. When asked what proportion of services are currently available today as self-service, the largest group stated from 11%-24%. However, it is clear from this survey that self-service is a key strategy and organisations are expecting considerable growth, with two-thirds of respondents saying that 50%-100% of services will be self-service in three years time. Key areas where self-service would have the biggest impact in Local Government are shown below. All public sector organisations stated they plan to deliver self-service. For instance, Housing Associations can deliver property maintenance, payments and enquiries digitally, Healthcare organisations can deliver MyAccount functionality for patients to check appointments and test results. GOSS Interactive Digital Self-Service in the Public Sector 2015 : Page 5
3. The benefits of self-service are clear The projected rapid move to self-service shows that the benefits of this approach are clearly acknowledged throughout the public sector. Our survey revealed wide recognition of these benefits among the respondents. The majority (77%) believe customers are the main beneficiaries, but 23% say their organisation or their staff stand to benefit most from taking a self-service approach. A number of key benefits of self-service for organisations and their staff were cited by respondents. As expected, cost reductions topped the list of organisational benefits, with 227 responses. Two of the key factors behind reducing costs came next, with fewer manual processes (217 responses) and reducing avoidable contact (192) seen as important gains from a self-service approach. Respondents identified a number of important customer benefits. Accessing services outside of office hours was seen as the biggest customer benefit, with 231 responses. The value to customers of finding information more easily (204 responses) and accessing services on the move (181) were also recognised. Survey respondents highlighted the importance of having a personalised customer portal (206 responses), a mobile website with great content (193) and a desktop website with great content (165). Both of these last two areas can be addressed with a responsive website. Page 6 : Digital Self-Service in the Public Sector 2015 GOSS Interactive
4. A rapid move to self-service requires greater integration, improved processes and better forms To ensure it can happen in a short timeframe, the expected surge in self-service will require improvements in a number of areas. Respondents recognised that accelerating self-service will rely on fully integrated systems (214 responses), mapping and improving business processes (175) and better online forms (165). In terms of the services needed to help organisations move to self-service quickly, respondents said process improvement services (194 responses), leadership engagement (148) and channel improvements, such as user-centred design (141) are most important. Integration To accelerate the full integration of systems, respondents highlighted the need for better knowledge and skills (162 responses), shared integration projects with other similar organisations (115) and a dedicated integration specialist or team (104). Business Process Management (BPM) Public sector organisations agree that they need to optimise their business processes in order to drive selfservice. However, they also acknowledge that they need help to achieve this, with training and knowledge (144 responses) and shared projects (98) seen as key elements of accelerating BPM, along with access to BPM tools (107). Integrating BPM with service delivery tools was also seen as an important factor by 88 respondents. Forms Improvements to online forms, and making them work on mobile, are essential to ensure customers see self-service as the channel of choice. Integration with back-office systems (202 responses) is seen as a critical factor in making forms better for customers. Usability is also vital; improving designs so that they are easier to complete (192) and improving forms operation on mobile devices (178) were both cited as important factors. GOSS Interactive Digital Self-Service in the Public Sector 2015 : Page 7
5. Assisted service is vital to achieve digital inclusion While the goal is to get as many customers as possible to use self-service, there will always be some who cannot, whether because of ability, lack of internet access or lack of digital skills. In fact, the most recent figures from the Office for National Statistics show that 84% of households in Great Britain have access to the internet. For the remaining 16% of households, accessing digital channels may be difficult or impossible. Assisted service allows staff in call centres, walk-in centres and in the field to use the self-service platform on behalf of customers, helping eliminate digital exclusion and ensuring there is a single platform for all customers. For those unable to use digital channels, assisted service can provide essential support, and a stepping stone to entering the digital world. It can also act as a long-term solution for customers with more complex needs. The overwhelming majority (92%) of survey respondents rated assisted service as very important or important, demonstrating a strong commitment to digital inclusion. 6. A solid business case is vital for success Many public sector organisations already have, or are developing, strong business cases for self-service, but there remains work to be done. Nearly three-quarters (72%) of respondents say they either have a business case in place or plan to create one in the next year. The importance of the sector-wide move to self-service can be seen in respondents intentions for reviewing their position, with 39% planning to review within six months and a further 29 % planning a review within a year. 2 Internet Access Households and Individuals 2014, Office for National Statistics, August 2014: www.ons.gov.uk Page 8 : Digital Self-Service in the Public Sector 2015 GOSS Interactive
Recommendations In line with the survey s findings, and based on our experience of successful public sector self-service projects, we offer eight recommendations. 1. Use self-service as a powerful weapon in the battle against budget deficits As we show in the case studies on the following page, self-service offers a fast way to reduce costs, improve service delivery and free up budget to focus on core services. 2. Put digital inclusion at the heart of your strategy Any self-service strategy must address the issue of digital inclusion. More than 6 million adults in the UK have never used the internet, and public sector bodies have a duty to address their needs and the needs of those without the skills or capacity to use digital channels. Assisted service can help customers shift on to digital channels over time, where appropriate, while providing a single service platform rather than having digital and non-digital service siloes. 3. Gather the data before you begin Without baseline data on current transactions, self-service strategies will be flawed and progress cannot be measured. Data gathering is critical to establish where you are, identify where you want to get to, and assess whether your self-service project achieves its expected benefits. 4. Take a more strategic approach For those organisations planning to move from 5% self-service today to 75% or more in the next three years, a coherent strategy is needed. Ensure there is strategic ownership at board level of the self-service programme, but be sure to include input from all departments. It is only with a data-driven business case based on fast ROI that organisations can get away from incremental changes and make the huge leap necessary to achieve their goals. 5. Visualise your organisation 10 years from now Self-service is one step on a long journey to becoming a digital council of the future. In 10 years time, today s younger people will be the main population, bringing with them all the expectations of digital natives. Budgets will also have been significantly reduced, creating additional pressures on service delivery. When you can visualise what your organisation will look like in 10 years, the next step is to start building a platform today that will support you to get there. 6. Start with the customer and with usability in mind To be successful, self-service must be the channel of choice for your customers, which means that above all it must be easy to use. A simple, intuitive experience is essential to encourage engagement from customers with all levels of digital skills. It s also important that information is easy to find and transactions are fast and easy to complete. 7. Integration is the key to smart self-service By integrating self-service with business processes and back-end systems, you can create online forms that are more interactive and intelligent, with auto-complete features and the ability to give customers smart recommendations about services or further information they may need. 8. The benefits may be clear, but they must be communicated As with any big change, marketing is an essential component of any self-service project. Internally, the cultural change must be managed effectively and staff who may not have the relevant experience or skills need to be encouraged to start thinking digitally. Externally, customers must be made aware of the move to self-service and of the benefits they ll get highlighting how it will make it quicker, easier and more convenient to find what they need. 3 Internet Access Quarterly Update, Q1 2014, Office for National Statistics, May 2014: www.ons.gov.uk GOSS Interactive Digital Self-Service in the Public Sector 2015 : Page 9
Case studies South Tyneside Council achieves ROI in less than two months South Tyneside Council implemented self-service for customers to quickly and easily find information about bin collections, reducing calls to customer service from 48,000 per year to just 14,400 a 70% reduction. The lower call volumes saved the council more than 55,000 on this single project in the first year of operation and the project paid for itself in less than two months. Wolverhampton City Council targets savings of 1.3 million By delivering a range of services through selfservice the Council expects to achieve targets of saving 1.3m in customer service by 2016/17, while improving the experience of 240,000 potential users. One example, tip permit requests, has seen over 180 monthly requests, removed manual administration tasks, improved recycling centre vehicle management and delivered a 24/7 service with SMS reminders for customers. Return on investment has been achieved in less than two months. The mobile site itself I find excellent well laid out and very clean and easy to use. Socitm Better Connected 2015 reviewer Colchester Borough Councils makes savings of 300K Colchester Borough Council worked in partnership with GOSS to maximise their Channel Shift potential by developing and delivering a Channel Shift strategy and new website. We have already achieved a 56% improvement in online engagement after launching a new top task website. It helped us realise 300k of savings last year and we re on budget for 400k savings this year. Mandy Jones, Customer Demand and Research Manager, Colchester Borough Council North Yorkshire County Council reduces phone calls by 25% Keeping customers on digital channels is a vital part of North Yorkshire s long-term strategy, but the imminent arrival of the Tour de France in 2014, where a neighbouring council had seen an increase of over 20,000 calls in a few days, created additional urgency. By implementing LiveChat to complement its self-service capabilities, rather than experiencing the anticipated spike in phone calls, the council actually reduced calls by 25%, keeping customers in-channel to lower costs and improve customer satisfaction. GOSS LiveChat is hosted, it s easy to pick up and use and it s really cost-effective. We are seeing a direct reduction in people shifting to the telephone from the website so we are keeping people in-channel. Malcolm Hill, CSC Implementation Officer, North Yorkshire County Council Page 10 : Digital Self-Service in the Public Sector 2015 GOSS Interactive
Participating organisations 5 Boroughs Partnership NHS Foundation Trust Aberdeenshire Council Aneurin Bevan University Health Board Angus Council Architecture and Design Scotland Ards and North Down District Council Argyll and Bute Council Arun District Council Ashford and St Peter s Hospitals NHS Foundation Trust Barking, Havering and Redbridge University Hospitals NHS Trust Barts Health NHS Trust Basingstoke and Deane Borough Council Bassetlaw District Council BBC Bedfordshire Fire and Rescue Service Birmingham City Council Bolton Council Borough of Poole Bournemouth Borough Council Bracknell Forest Borough Council Bradford Teaching Hospitals NHS Foundation Trust Brighton and Hove City Council Buckinghamshire County Council Burnley Borough Council Cambridgeshire County Council Care Quality Commission Carmarthenshire County Council Centro Charnwood Borough Council Cheshire East Council Cheshire West and Chester Council Chesterfield Borough Council Chichester District Council Citizens Advice City and County of Swansea City of London Corporation City of York Council Cornwall Council Council for the Curriculum, Examinations and Assessment Crawley Borough Council Creative Scotland Cumbria County Council Department for Business, Innovation and Skills Department for Communities and Local Government Department for Education Department for Work and Pensions Department of Agriculture and Rural Development Department of Enterprise, Trade and Investment Department of Finance and Personnel Northern Ireland Derby City Council Derbyshire Fire and Rescue Service Derbyshire Healthcare NHS Foundation Trust Devon County Council Doncaster and Bassetlaw Hospitals NHS Foundation Trust Doncaster Metropolitan Borough Council Dorset County Council Dumfries and Galloway Council DVLA East Ayrshire Council East Dunbartonshire Council East Hampshire District Council East Lothian District Council East Sussex Healthcare NHS Trust Eden District Council Education Funding Agency Education Scotland Enfield Council Environment Agency Epping Forest District Council Equality Commission for Northern Ireland Erewash Borough Council e-skills UK Essex County Council Exeter City Council Family Mosaic Fermanagh and Omagh District Council Fife Council Financial Conduct Authority Gateshead Council Gedling Borough Council Glasgow City Council Gloucester City Council Gloucestershire Constabulary Gloucestershire Hospitals NHS Foundation Trust Greater Manchester West Mental Health NHS Foundation Trust Gwynedd Council Hambleton District Council Harborough District Council Harrogate and District NHS Foundation Trust Health and Safety Executive Hertfordshire Community NHS Trust Hertfordshire County Council Hertfordshire Fire and Rescue Service Higher Education Funding Council for England Highways England HM Passport Office Home Office Homes for Haringey House of Commons Hull City Council Humberside, Lincolnshire and North Yorkshire Community Rehabilitation Company Hyndburn Borough Council Intellectual Property Office James Paget University Hospitals NHS Foundation Trust Kent and Medway NHS and Social Care Partnership Trust Kent County Council Lake District National Park Authority London Borough of Hammersmith and Fulham London Borough of Tower Hamlets Leeds and York Partnership NHS Foundation Trust Leeds City Council Leicester City Council Leicestershire Partnership NHS Trust Lewes District Council Lisburn and Castlereagh District Council Liverpool City Council Livin Housing Association London Borough of Barnet London Borough of Croydon London Borough of Havering London Borough of Hounslow Maidstone Borough Council Manchester City Council Mendip District Council Mid Devon District Council Merlin Housing Society Merthyr Valleys Homes Met Office Mid and East Antrim Borough Council Mid Suffolk District Council National College for Teaching and Leadership National Library of Scotland National Savings and Investments Natural History Museum NEL Commissioning Support Unit Newcastle Under Lyme Borough Council Nexus Housing Nottinghamshire Health Informatics Service NHS 24 NHS Education for Scotland NHS Grampian NHS Supply Chain Norfolk County Council North Ayrshire Council North East Lincolnshire Council North East London NHS Foundation Trust North Essex Partnership NHS Foundation Trust North Hertfordshire Homes north Lanarkshire council North Lincolnshire Council North Somerset Council North Warwickshire Borough Council Northampton Borough Council Northamptonshire County Council Northern Health and Social Care Trust Northern Ireland Executive Northern Ireland Practice and Education Council for Nursing and Midwifery Northern Ireland Tourist Board Northumberland County Council Northumbria Community Rehabilitation Company Norwich City Council Nottingham City Council Office of the Public Guardian Office of the Qualifications and Examinations Regulator One Vision Housing Organisation Oxfordshire County Council Paradigm Housing Group Parliamentary and Health Service Ombudsman Passenger Focus Peaks and Plains Housing Trust Peterborough and Stamford Hospitals NHS Foundation Trust Peterborough City Council Planning Inspectorate Plymouth City Council Poole Hospital NHS Foundation Trust Portsmouth City Council Portsmouth Hospitals NHS Trust Preston City Council Public Health Wales Quality Meat Scotland Rugby Borough Council Redcar and Cleveland Borough Council Renfrewshire Council Ribble Valley Borough Council Richmondshire District Council Rother District Council Royal Borough of Kingston Upon Thames Royal Commission on the Ancient and Historical Monuments of Wales Rugby Borough Council Salford Royal NHS Foundation Trust Scarborough Borough Council Scotland Excel Scottish Borders Council Scottish Legal Aid Board Scottish Qualifications Authority Scottish Water Sea Fish Industry Authority Sedgemoor District Council Selby District Council Sheffield City Council Sheffield Health and Social Care NHS Foundation Trust Shepway District Council Shetland Islands Council Slough Borough Council Solent NHS Trust Solihull Metropolitan Borough Council Somerset County Council South Lakeland District Council South Staffordshire and Shropshire Healthcare NHS Foundation Trust South Tyneside NHS Foundation Trust Southwark Council States of Guernsey Stockport NHS Foundation Trust Stockton On Tees Borough Council Student Loans Company Ltd Suffolk County Council Surrey County Council Tamworth Borough Council Taworth Borough Council Tendring District Council Tewkesbury Borough Council The Insolvency Service The Pensions Regulator The Scottish Government The Sheffield Children s NHS Foundation Trust The Supreme Court The United Kingdom Hydrographic Office Thurrock Council Torfaen Council Torridge District Council Tourism Ireland Traffic Commissioner Trafford Council Trent and Dove Housing Two Rivers Housing UCAS UK Anti-Doping UK Visas and Immigration University College London Hospitals NHS Foundation Trust Uttlesford District Council Vale of Glamorgan Council Victoria and Albert Museum Wakefield Council Wales Community Rehabilitation Company Warrington Borough Council West Dorset District Council West Dunbartonshire Council West London Mental Health NHS Trust West Lothian Community Health and Care Partnership West Lothian Council West Norfolk Council Wheatley Group Wigan Council Wilton Park Agency Wirral Borough Council Wirral Community NHS Trust Worcestershire County Council Wrexham County Borough Council Wychavon District Council Wye Valley NHS Trust Wyre Council York Teaching Hospitals NHS Foundation Trust Yorkshire Ambulance Service NHS Trust Your Housing Group GOSS Interactive Digital Self-Service in the Public Sector 2015 : Page 11
Self-Service Platform www.gossinteractive.com/platform Organisations need to deliver services in a digital world that s increasingly mobile-first. To speed up your journey, GOSS have developed the ultimate Self-Service Platform for delivering multi-channel customer service. This allows customers to transact with your organisation digitally on all devices, encouraging channel shift and digital take-up. Delivering Amazon-Like Services The GOSS Self-Service Platform helps you to deliver your services on all devices as well as provide assisted service to enhance your off-line channels. The Self-Service Platform works on all digital devices, mobile, tablet and web, for convenient access to services 24/7/365, anonymously or with a simple sign-on for personalised requests. Self-Service Platform All the forms, business process management, workflow and integrations are included in the GOSS Self-Service Platform. Usage data is visualised within a series of intuitive dashboards. Re-keying is removed and information accuracy is improved as the customer enters their own data and submits it directly to the back-office workflow. The Self-Service Platform lets organisations make efficiency savings by improving front and backoffice performance. Staff can track and complete service requests in one place, integrated with other systems as required. Staff and customers can easily see where each request is within the process. www.gossinteractive.com/platform