The UK government provides some of its services through Exective Agencies which are managed like private businesses but have to meet targets set by the Secretary of State and Ministers of State. The Driving Standards Agency (DSA) is one of these agencies, responsible for setting and operating driving tests. The following information is extracted from the 2003–04 annual report and accounts.

DSA Key Ministerial Priorities 2003–04 Road safety l Contribute to casualty reductions by delivering all tests fairly and consistently l Deliver a national programme of Arrive Alive presentations for 16–19 year olds l Active involvement in EU policy development l Increase take up of Pass Plus Scheme l Improve the quality of candidates by promoting a learning agenda l Deliver improved theory and practical tests associated with the new European standards in 2003 Customer service l Provide an internet booking service for practical tests l Achieve 90% satisfaction with theory and practical test candidates l Deliver an annual average practical car waiting time of 6 weeks l Improve business customer satisfaction including ADIs above the baseline of 65%
l Increase the number of ADI check tests conducted from around 7,000 to 8,500 People l Recruit and train adequate resources to ensure that customer service standards are delivered l Progress towards achieving a fair reward for staff l Continue a five year rolling programme of training and development for existing examiner and administrative staff Business improvement l Deliver value for money by keeping fee increases within the cumulative Retail Price Index target whilst improving customer service l Prepare for contract renewal for IT and theory test services l Reduce sick absence to below 2002–03 levels The report provides quantified evidence of achievement of targets. Two targets not achieved in 2003/04 were:

The Finance section includes the following information:
Actual capital expenditure was £6.8 million compared with a plan of £11.7 million. The balance has been carried forward to 2004 and represents ADLI [Automatic Driving Licence Issue] project delays and certain test centre improvements.
The target return on capital employed was achieved with an outturn for 2003–04 of minus 2.6%, against a cumulative target of 6% annual return on capital employed over the period April 1997 to March 2007.

Discussion points 1 What view might customers take of the achievements against the Ministerial targets?
2 What is the link between delay in capital projects and achieving a target return on capital employed?

Transcribed Image Text:

National average practical car test waiting time Business customer satisfaction 2001-02 6.8 weeks 65% 2002-03 7.8 weeks 64% 2003-04 9.6 weeks 40%