OGC Case study
DVLA – Delivering Operational Change through Benefits /
www.ogc.gov.uk
The Driver and Vehicle Licensing Agency (DVLA) has developed its change management to enable ownership of benefits within the operational business areas where the change is delivered. It emphasises that benefits realisation must be an integral part of the overall approach to change management.
The DVLA
The DVLA is an Executive Agency of the Department for Transport (DfT). Its primary purpose is to establish and maintain an accurate record of all those who are entitled to drive various types of vehicles, together with a register of all vehicles entitled to travel on public roads. The registers allow the DVLA to collect vehicle excise duty (VED) or ‘road tax’ effectively and can be used to deliver other government initiatives such as traffic management and reducing carbon emissions.
The DVLA has delivered significant change in recent years including electronic vehicle licensing which allows motorists to buy a tax disc anytime of the day. By the end of 2009/10 over 20 million people chose to use this service - making DVLA one of the biggest online presences in the UK. Law enforcement agencies can also now access the DVLA record online supporting the Police and others in combating crime. So far, over 2 million transactions have been carried out in this way.
Background
The DVLA had significantly enhanced its benefits management capability to support change across the organisation. However some business areas remained unclear about the impact of the change and the benefits that would result from the delivery of new capabilities. Operational managers also felt that change was being ‘done to them’ and had a limited understanding of the collective impact of change.
In 2007, the DVLA introduced a new approach to change management so that the ownership of change and benefits was transitioned to the heart of the operational business. This ‘business led change’ approach has enabled significant change to the process, culture and roles across the DVLA.
www.ogc.gov.uk
DVLA – Delivering Operational Change through Benefits
Business led change
DVLA is an agile organisation responding to the needs of its customers efficiently and effectively. It drives change strategically and is responsive to external demands for change. The Executive Board sets the overall strategic direction of the DVLA including the high-level agenda for change. Individual business areas then identify the changes required to deliver the DVLA’s strategy within their domain. This allows optimal change and ensures that business need and benefits realisation are aligned.
Business led change ensures that change is driven by business areas best positioned to support DVLA’s strategic and operational targets. Benefits are collectively managed across the DVLA to understand the overall impact of change on organisational performance.
Change is sponsored in each business area and is closely aligned to operational performance targets. By using Project and Programme Management (PPM) the DVLA can bring in new capability and also work with suppliers to implement any technical change. The project team, project executive and business areas focus on ensuring that the project scope is ‘fit for purpose’ to deliver the benefits.
Throughout the change lifecycle sponsors report on the impact of the change on their operational targets. This ensures that operational managers are fully engaged and therefore can make decisions that directly impact benefits realisation.
‘End-to-end’ ownership
The DVLA Change Management Team has oversight of the ‘end to end’ change management process. This means that risks and issues relating to change are identified, managed and reported through a single source to the DVLA’s change and operational boards. The team’s responsibilities are to provide:
Change initiation through a formal ‘Gate’ process. Change submissions are developed and presented to a Business Change Forum, made up of the Agency’s Business Change Managers, and subsequently to the Operational Change Board (OCB). The OCB grant approval to proceed based on the contribution of the benefits to DVLA strategy, including operational delivery.
Change management ownership to deliver a consistent approach across DVLA. The team supports projects and business areas to build an understanding of the impact of change and to ensure business readiness. Dedicated Business Integration Managers are assigned to ensure business change is effectively delivered to drive benefits realisation post go live.
A single view of all approved DVLA change to all Agency staff through a dedicated Business Change Management intranet site. Only change captured on this view is approved for further development and resource allocation by the DVLA.
Benefits management Benefits are identified and reviewed at each stage of the change lifecycle. The team also ensures that the impact of change is understood from a benefits perspective. They report monthly to the OCB as well as providing annual reports to the DVLA’s Executive Board.
Post Implementation Reviews (PIRs) which look at the benefits realised and also the lessons learnt from a benefits perspective for all DVLA projects. Owners are assigned to any recommendations made so benefits are maximised (or indeed minimise any negative impact of the change).
Benefits Realisation
‘DVLA now has a single business area with oversight of benefits realisation’
As a result of implementing these changes DVLA now has a single business area with oversight of benefits realisation. The changes also mean that business benefit owners are identified and have a full understanding of the impact of change on the performance of their business area.
Benefits realisation allows DVLA managers to manage their business areas more effectively. They now understand the impact of a change on their ability to deliver against operational targets and how it impacts on accuracy, efficiency and customer service. It has also provided business areas with the support and information to focus their effort where it is most needed. This increases confidence both in delivery capability and the benefits to be realised.
Investment decisions are supported by ‘signed-off’ benefit commitments from the relevant benefit owner. Where necessary, initiatives are stopped due to lack of vision, business ownership or clarity of benefits. Importantly, benefits issues are identified, escalated and resolved during the delivery lifecycle, not just post launch.
Lessons Learnt
‘Culture change is as important to address as process change. Unless behaviours also change the processes will not be successful’.
The implementation of business led change and benefits realisation in DVLA has resulted in many valuable lessons learned as outlined below:
n Any change in approach must be sponsored at Executive Board level and must be clearly understood by all impacted parties.
n Business change and benefits management skills are not always apparent in an organisation and need to be focused in key areas to deliver significant change.
n Regular benefits reporting can provide a real time view of the impact of change on the performance of the organisation
n A consistent change management approach focuses the change effort and minimises duplication in resource and benefits identification.
n All benefits must have a named individual who is prepared to ‘sign-off’ on ownership. This ensures that the benefits are subject to appropriate scrutiny (including how they are measured and tracked) and establishes confidence that the benefits will actually be realised.
n Benefits realisation must become an inherent part of operational management.
– The DVLA ensures that business change managers and benefit owners have personal objectives relating to the delivery of those benefits.
– Benefits realisation has an operational focus supported by PPM
– It is essential to have an on-going commitment and support from all involved, particularly at board level
– Organisational capability has to be developed. It is not enough to explain it once and expect it to become a natural part of an individual’s role.
OGC Case study 3
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