Customer Satisfaction in Government
Using customer feedback to drive service excellence
November 2-3, 1999, Arlington, VA
by Betsy Adams,
Food and Drug Administration
Member, Federal Communicators Network
BAdams@ora.fda.gov
Let me say first that this was one of the best such conferences I've attended. It was sponsored by the GPRA Institute and the International Quality and Productivity Center. There were good speakers and some good and different information - not just the same old, same old.
Chairperson's Opening Statement. -- Dale F. Weeks of the Minnesota Department of Revenue acknowledged that while differences exist between public and private customer satisfaction issues, there are commonalities as well because we're all dealing with people.
Excellence in Customer Satisfaction Initiative. -- NPR's Susan Valaskovic said that while Federal agencies can't self-promote, they are obligated to educate the public. This serves vital public needs and also helps raise public perception of the Federal service. Many parliamentary countries have cabinet posts for customer service. She hopes NPR's legacy will be establishment of a permanent government customer service post. Top management must support customer service efforts: "Culture doesn't change just because there's a report." Customer satisfaction numbers are more than "happiness indicators." They should drive strategic improvement. The government-wide survey/American Customer Satisfaction Index provides external validation of customer service efforts.
Bernie Lubran of the Federal Quality Consulting Group gave background on the government-wide survey, from the Vice President's announcement and President's Management Council support to preparations for announcing results. He described how the University of Michigan revised its private industry model to fit government. What worked well were the team effort and commitment and agencies' understanding of the survey's value for GPRA and budget planning. A lesson learned was that the schedule was too compressed. The current contract provides for 2 years' surveys. He's hopeful that agencies will choose to continue to participate after that time.
The American Customer Satisfaction Index (ACSI): Conception and Use for Al Gore's Initiative. - The University of Michigan's Barbara Everitt Bryant, director of the ACSI, said it was begun in 1991 as a continuation of the quality movement as a means to help quantify satisfaction. The U.S. Postal Service and the IRS have participated from the start, and some state and local agencies take part, but this is the first time for substantial Federal involvement. Private sector scores measure value for quality; the government model reveals trust and loyalty. But there are surprising commonalities. ACSI's value is that it permits weighting of actions to help determine what changes will give greatest results. The High-Impact Agencies included in the survey received indexes ranging from the mid-50s to the mid-80s. The index numbers, while not giving a fine level of detail, point the way to areas for increased emphasis.
Talking & Listening to Customers (TLC): Building a World-Class Complaint System. - Toni Lenane, architect of and spirit of Social Security's customer focus, described SSA's TLC initiative, which helped elevate the agency to its envied position as, indeed, world class. Among the keys to its success have been commitment from the top, inclusion and teamwork from all elements of the agency, and willingness to invite both positive and negative comments. Management is committed to the belief that a satisfied workforce is the key to satisfied customers. SSA will continue to look for ways to improve its system.
Becoming a Customer-Driven Organization. - Greg Mullen and Cathy Kern from the Patent and Trademark Office explained how increased workload and static or decreased resources forced the agency to re-think its processes. The initiative, begun in 1994, included both internal and external customers. To get direction, they held a number of focus groups of patent and trademark applicants. There had been an adversarial relationship between PTO and the applicants. To foster cooperation, PTO pledged itself to standards of courtesy and thoroughness to minimize submission time and make the process more efficient. They formed partnerships with hi-tech industries. They insisted that positive actions emerge from focus group and survey findings. And they established internal measurement systems to ensure that plans and strategies continue to be effective.
It Still Takes Leadership: Helping Management Act on Customer Data. - Consultant Peg Anthony of Macro International discussed how to keep management focused on customer satisfaction. She emphasized the importance of ensuring that improvement targets are meaningful; they should be checked with other elements in the organization to ensure alignment. Specific examples were cited by a co-presenter from the Navy Morale Welfare and Recreation office on how the office turned customer complaints into improvement opportunities by listening to customers and acting on the results.
Survey Data Collection: The Nuts & Bolts. - The Veterans Health Administration's Charles Humble and Mark Meterko discussed the importance of defining the purpose of a survey and provided a format that helps ensure this is well thought out. They then went through the basics of making sure surveys measure results as intended.
Measuring Customer Satisfaction to Improve Services. - The Census Bureau has been measuring customer satisfaction since 1993, says Marketing Service Chief John Kavaliunas. Customers are considered state agencies, depository libraries, and others who order and use Census products. Census has a generic clearance for customer surveys from OMB and an agreement on proceeding with specific surveys under the clearance if not notified otherwise by OMB within a week(!). They have particularly focused on satisfaction with using electronic information. Follow up helps ensure that the agency takes action on the results.
Customer Satisfaction and the United States Post Office. - John Wargo commented on the peculiar position of USPS, which is required to be self-supporting but is also mandated to provide universal service, that includes unprofitable segments. Its customer research must be relevant to emerging customers who rely on new technology. In response, USPS created a new vision and became customer focused. Before, it was inward-focused, driven by efficiency alone because it considered itself a monopoly. In changing its culture, USPS found that customer focus was actually more efficient. To maintain customer loyalty, USPS has to drive to stay relevant. Three tenets are customer focus, run like a business, and listen to the voice of the employee. USPS considers employee satisfaction a leading indicator for customer satisfaction.
Serving the Visitor: Customer Surveys in the National Parks. - Customer satisfaction is a key GPRA goal, says Gary Machlis of the National Park Service. Still, NPS has to say no at times today to preserve park resources for future generations. This is NPS's mandate, but it can present a contradiction. The University of Idaho manages the Visitors Services Project and has conducted 90 brief and in-depth studies since 1988 that include core and customized questions. Park managers make adjustments in park operations based on survey results. Customer surveys are "Jeffersonian"; they represent the voice of the people. Future plans are to post survey results on the Web.
Using Customer Survey Results to Measure the Success of a Performance-Based Organization. - The Office of Student Financial Assistance has been energized for change by former NPR official Greg Woods, and Stephen Blair has been named the new Ambassador for Change. The organization had grown insular. Now it's the first PBO, which gives greater flexibility but also greater risk. Woods reorganized OSFA along customer lines - students, lenders, and schools. This was done through a multi-level task force, active listening, and constant reality checks. Woods believes that in surveys, statistical validity is less important than results that "resonate as the truth."
Performance Excellence and the Enterprise Council. - A government/private industry panel reported on how the U.S. Unemployment Insurance Service and its grantees in the state and local government and private sectors employ sound business and marketing practices to make the program a success. Panelists were Grace Kilbane of the U.S. Unemployment Insurance Service, consultant Sally Hart Peterson, and grantees Mike Lawrence in Pennsylvania and Ross Jackson of Tennessee. The Council promotes use of customer service and continuous improvement in local workforce programs. The group consulted with University of Michigan leaders of the American Customer Satisfaction Index to develop an Enterprise Customer Satisfaction Model, which is used as a management tool. In his remarks, Lawrence said most problems in his programs arise from the system, not the person. He talks to customers, who are area employers, to address their comprehensive needs. He looks to outcomes. In Tennesse, Jackson inherited a program with so many problems it was necessary to tear it down and build it back up from scratch. He focuses on business results: Outcome drive; innovation is NOT optional; continuous improvement; and a reward system aligned with results.
Making the Customer the Focus of Your Improvement Cycle. - The National Security Agency, winner of the President's Quality Award, worked with the Disney Institute to develop a new culture, based on the principle: "It all comes back to people - a special person who provides a special service." Assistant Deputy Director James Newton looked at "care abouts," what people really want, and learned to define benefits in terms of the customer. He listed some myths - customers know best, all customers are important, customers do complain, and customers are number one - that need to be exposed. In a successful organization, for example, employees are number one; employee satisfaction is a leading indicator of customer satisfaction. Bad news is good news because it yields improvement opportunities. The secret ingredient is, "Just Do It!" - accept imperfection, reward those who contribute, and revisit the results.
Employee Involvement in Delighting Customers. - Greg Nicklas and Gina Myers of the Treasury Department's Financial Management Service addressed "Customer Satisfaction Algebra," a set of equations that describe and substantiate the connections among employee involvement, employee satisfaction, and customer satisfaction. They stressed the importance of labor-management partnerships - pre-decisional union involvement in vital issues - to both sectors. Top down management doesn't work anymore. If you don't take care of your internal customers, you can't take care of your external customers.
Moving Past Customer Satisfaction. - Harley Davidson's Dan Snell kicked off his entertaining presentation with a video dramatizing Harley's commitment to being a "life-style company." Harley's vision, "We fulfill dreams," translates into customer loyalty, with more than 95% of customers saying they would repurchase. In its Performance Enhancement Program, all employees, including top managers, have face-to-face time with customers. They work closely with employees and unions to create a sense of family that includes customers, in the HOG (Harley Owners Group) chapters. Some years ago the company was in serious decline and saw that to survive it had to become customer focused. They sponsor events that further breed a family feelings. They operate on the tenets: Your customers behave just like you; there is serious money to be made; set reasonable expectations; be sure that your staff can explain why you do what you do.