IBM Introduces a New Approach for Transforming Social Programs

Canberra, AUSTRALIA, 8 August 2012 – IBM today announced the IBM Cram Research Institute’s release of ‘RightServicing’, an industry based research report identifying the characteristics of a new business model for social program transformation. The new approach is being put forward to assist Australia’s federal, state and territory governments in the design of the National Disability Insurance Scheme (NDIS).

The IBM Cram Research Institute (ICRI) is part of the company’s Smarter Cities Technology Centre at IBM’s Research & Development Lab in Dublin, Ireland. Its mission is to foster the development of best practice service delivery models helping social program management organisations increase the social and economic potential for people and their families. The Institute is committed to undertaking and commissioning research with social enterprises, not-for-profits, academia and social program management organisations.

RightServicing consists of a set of guiding principles the National Disability Transition Agency can use to expedite the detailed design process for the NDIS in collaboration with the Disability Sector to achieve effective social outcomes at a reasonable cost of administration.

The release of the RightServicing report coincides with the focus on Australia’s National Disability Insurance Scheme – the most significant social reform to strengthen the social safety net in Australia since the introduction of Medicare. The Productivity commission states that the current disability support system is underfunded, unfair, fragmented, and inefficient, and gives the 410,000 Australians with a disability little choice and no certainty of access to appropriate supports.

“We believe RightServicing provides the basis for a new business model to guide the next wave of social program transformation through the NDIS. It offers a new perspective for social organisations to develop programs and deliver services to achieve better social outcomes at a lower cost,” explains Mr Brian Lee-Archer, Director of the IBM Cram Research Institute and the author of this Report.

The traditional approach to social program management is often based on a ‘one size fits all’ approach when dealing with large segments of the population. This has delivered success with governments in Australia generally performing well when delivering social support.

“However, there is considerable room for improvement in reducing levels of over servicing and under servicing which are inherent within the traditional approach. This can be avoided when designing the NDIS to arrive at the right level of service according to an individual’s or communities’ needs,” said Mr Lee-Archer.

The Report argues an approach underpinned by RightServicing guidelines will address disadvantage (under servicing) through increased personalised support based on a better understanding of segmentation, complexity and risk. RightServicing also addresses the problem of over servicing through the automation of low risk, straightforward and simple interactions. Where appropriate this includes enabling a self-managed approach for people and/or their carers who are able and prefer to manage their affairs.

RightServicing is defined through nine interrelated characteristics:

1. Segmenting: Grouping people together with similar needs and wants.

2. Fast-tracking: Getting through the system with the minimum of fuss.

3. Addressing Complexity: Complexity of people’s circumstances is everywhere and must be recognised.

4. Managing Risk: Dynamic and focused at better service and compliance.

5. Accessing: How people access and consume the social system.

6. Automating: Technology to eliminate manual processing and reduce process cycle times and reduce cost.

7. Predicting: Early intervention to stop social disadvantage - prevention is better than cure.

8. Micro Programs: New and innovative social program solutions to achieve desired outcomes and address complex problems.

9. Leveraging the Ecosystem: Collaboration and sharing with other agencies and stakeholders.

The report found there were no organisations worldwide that used the nine characteristics in a systemic way to transform their programs and services, despite examples of good practice for one or more of the characteristics within an organisation, which included human services agencies in Australia. The nine RightServicing characteristics should be at the forefront of the consultation process between the Federal Government, the states and territories as they engage with the Disability Sector in designing the roll-out of the NDIS trial sites in 2013.

The report presents an analysis from a series of interviews, workshops and presentations conducted during 2011 and early 2012 with a broad cross section of experts from social program management organisations and multi-lateral agencies operating in the sector.

Organisations consulted during the study included the Centre for Social Impact, University of New South Wales, Department of Human Services, Victoria, Worksafe British Columbia, European Institute of Social Security, European Social Network, Inter-American Conference on Social Security (CISS), International Social Security Association, and the Ministry of Social Development, New Zealand.

The Report is available today via:
http://www.curamresearchinstitute.com/sites/default/files/documents/RightServicing.pdf

To learn more about Cram software, please contact your IBM representative or visit: www.ibm.com.