introduction

The key feature of the current year has been that we have increased our productivity and improved our timeliness, despite the inevitable disruption caused by the introduction in June 2001 of our new unified case-handling system and the accompanying changes in our work processes needed for N2. For 2002/03 our focus will be on making further improvements to the quality and timeliness of our service.

• increase in productivity
  An increase in productivity to 4.1 cases per case-handler each week. This represents an overall 25% increase in productivity over the three years 2000/01 to 2002/03 – from 3.3 cases per case-handler each week in 2000/01 to a planned 4.1 figure next year.
  
  
• increase in closures
  Despite the reduction in the number of case-handlers, the improvement in productivity results in an increase in closures from 38,500 to 40,000.
  
  
• improvements in timeliness
  An improvement in the timeliness targets for 2002/03 – 75% of cases should be completed within six months of the date when we formally accepted them as ‘cases’ – at present our target is 70% of cases. We will also aim to close 100% of cases within
  12 months and will report to the board all cases which exceed this target. It is important to emphasise that the length of time it takes to close a case often depends on the speed with which customers and firms respond to our enquiries.
  
  
• reduction in work in progress
  As part of the drive to improve quality, it is critical to reduce the amount of work in progress to a lower level. This allows us to improve timeliness and document management. The base budget assumes a ‘work in progress’ figure of 11,700 by March 2003. This represents a 2,500 fall on the estimated March 2002 figure of 14,200.
  
  
• a step-up in internal service-quality standards
  The drive for increased productivity and the introduction of new processes has led to some inevitable ‘frayed edges’ in terms of internal quality benchmarks. From the beginning of the next financial year, we intend to introduce formal internal quality measurements, with audit checks on decisions and process.

• higher growth in new complaints
  If new complaints rise by 10% to 41,500, our assumption is that case closures will be 43,500, compared with the base assumption of 40,000.
• a reduction in new complaints
  If new complaints fall by 10% to 34,000, our assumption is – given the work in progress at the beginning of the year – that case closures will be 38,000.

*Productivity is defined as the number of cases closed per case-handler each week

The current and proposed timeliness targets for the three scenarios, together with the year-end levels of work in progress, are set out below.

*Estimated