Presentation on the economics and practicalities of digital delivery and channel shift. Delivered to Capita National Conference in Feb 2011

1. Digital by Default Gerald Power Digital Delivery Team Capita Conference Feb 2011 Transforming Contact Centres

3. 1. Digital by Default Still saying it…. Still true….

5. Its about getting to the point where you really are using the technology to its best effect.... ....and really changing expectations and behaviour.

7. Why Do IT?

14. Its Hard Work The savings and improvements won’t just ‘happen’ you have to work hard to realise the benefits from ‘Digital’

15. 2. Demand Management: The benefits are pretty obvious, digital should be cheaper, quicker and ‘better’. But, in reality it can be tricky…. People and channels have inertia in their behaviour, the shift has to be managed.

16. The desired end state is intuitively obvious Telephony Web F 2 F Post ‘ Back Office’ More online and automated services Fewer postal contacts Fewer face to face contacts & higher value Potentially the same number of telephony contacts, but delivering higher value ‘one stop’ services Much smaller ‘back office’

17. The desired contact flow is intuitively obvious Telephony Web F 2 F Post Fewer postal contacts Fewer face to face contacts & higher value Potentially the same number of telephony contacts, but delivering higher value ‘one stop’ services

18. But, Channels behave differently in the way volume affects their cost…. … and tracking costs can be tricky.

19. Assumes 30p/min Tel, £1/min F2F, £2.8M mean website cost for Central Government FY09/10 9.5M Tel min 3M F2F min Channel Cost vs. Volume: A Simple Model

20. businesslink.gov.uk (£2.15p) direct.gov.uk (18p) hmrc.gov.uk (11p) Cost per Visit UK Central Government Websites, June 2010 COI

21. businesslink.gov.uk (£2.15p) direct.gov.uk (18p) hmrc.gov.uk (11p) UK Central Government Websites, June 2010 COI Cost per Visit

22. UK Central Government Websites, June 2010 COI defra.gov.uk (2p) uktradeinvest.gov.uk (£11.78p) transportdirect.info (33p) Cost per Visit

23. Visits are not outcomes…. and tracking outcomes is something public sector websites are not yet good at.

25. Move the Contact Volumes Telephony Web F 2 F Post Signpost Signpost Deliver! Signpost

27. The internet is a paragon of virtue in terms of recycling and re-use of basic tools to save costs.

30. 3.Targets, Metrics? There is a clear need for metrics and management information, but I see these as being internal and peer to peer. Transparency and efficiency may be the drivers, but the details of how you achieve the necessary changes in your organisations will fall to you.