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Branch Support Programme
Steering Group Meeting — Friday 6" June 2014
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Agenda ©
Programme Overview
Programme Governance
+ Link into Transformation Committee
* Role of Steering Group and working group — sign off Terms of Reference
Overall Programme Status
* High level milestone plan
Work Stream Status
Risks and Issues
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Branch Support Programme - Overview
Purpose
The purpose of the Branch Support Programme (BSP) is to improve the effectiveness and efficiency of the
support we provide to our subpostmasters and operators in the running of their Post Offices from an
operational and engagement perspective.
Business Case
+ Spend £8.678m (£4.678m exceptional £4m VR)
+ Payback £3.2 years
KPIs
+ Reduce operating costs by £3m pa
+ Spmr suspensions less than 60 pa
+ Agent debt reduced by £1m pa
+ NBSC call volumes reduced by 25%
+ Satisfaction with on-line training modules 95%
+ Audit losses over £10k reduced by 50%
Agent Engagement Survey Index will be tracked to assess impact
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Post Office Limited Governance Structure
‘Remuneration Commitee “Aust Risk & Complionce Comitioe
{stent 3mectgs pony). fetlent& masangs por esr)
moctngs
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Nominations Committee ‘Pensions Commitee
(Zor mecings por yea) {et toas mecangs por yar)
( (or 3 mecnigs por yea) )
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Branch Support Transformation Programme Time
Programme Summary - To improve the support we provide to subpostmasters Coie Seen Tove Es Cost_
and operators in the running of their Post Offices from the moment they jain to Sen ee eet eh zorg I -benetit
the point where they leave the business. eocales “complete by Merc Quality
Performance (Benefits) IPerioa + Full Programme II Sustomers, Colleagues and Third Party Engagement
Target raped c ‘Wlst hare no drect mpacton customers, the actvty witin the work
Pesce oUol rac) I Atal I Tracy I Forecast II Ictoams shoudhave a positve mpact onthe customer experence. Thereducton nI
Subpostmaster suspens.ons has meant a contnatyof servic n areas where the branch
{2emeee come 5m _I15/16 tye) may provouslyhave boon closed de fo sourcng and ranserng toa temporary
umber of spme suspensions [8 II eopa I__I} Isubpostmaster
Redvetion in agent net debt 20% im _[1sine tt year
satsiaction wih training II II Faiear I) Foteaques Arumbar of agency branches, Grown branches and Blakemore (mulipa
Rediction in call to NOSC 25%] Fullyear””]I Ipartnen nave signedup to partcpate n one regutory complance prototype testing
[Reduction in >E10k shortages 50% I Fullyear II ICoteagues contre to be engaged n indvdual work steam actviy, Large exerese
Lnderiacen with wide range of stkaholders fo understand TF requrements for branch
[Bru Up 1) ues Cae nding agreed by FOLC() 7 vequtenens or GFaysien I (M&W tok
aeedwm stkeckters nd nt apgoach agree wh (2) On ne requry conpanee aig
prttype ten but wih super and on racktrestng wit users wl 1h Je (4) Bueau2ndreceet I I FThird Palos Postwve Teadback Vom NFSP conference regaraing work he Programme
fronsoctcn sped andpasedta Fu for bul an testg (6) Top branch cetactn NBSCprecess I} x dong to make mprovements. Workshop wih NFSP i planned for end Junelarly sly
loud wih ranch Supp ean to understand Programme werkstreams more deal and dentfy areas where the
INFSP can add spectic va. Attending NFSP regonal meting in une! Jy.
Risks Delivery Plan RAG status (Time) ‘Ontine
ao ee
— Enosiaimpia
ad Goss_I(Gross)I (Gross) =e launched
IThe majority of operating cost )Manage the resource plan wilh HR to ensure HORIce Regulatory —
fexcaneanenseere I y I, I y frowmungeyeetormancns II [Roieca I [Imuretea I] comoence
fesusoninvesouce Risto I lex avthower CR mayreeio suspension one
=o
—=s = = ala a /
Performance
In terms of detail regarding the suspensions:
£61,631.30 audit shortage - no admissions - no repayment and queries over Company operating Franchise
Operator arrested and bailed re theft of customers wallet within branch
Subpmr hospitalised and on life support - branch closed since 09/04/14 and defunded 01/05/14
£31,409.32 audit shortage - Subpmr admitted misuse of £30k to support retail business
SPMR arrested and bailed, loss of £26,394.26 made up of incident loss, cheque fraud and what appears to be a rolling loss -
Police investigation continues following robbery at branch. Assistant has been arrested and admitted to staging an incident
and cheque fraud - he has been detained
SPMR £85.06 over at audit, evidence of the Subpostmaster reintroducing a large amount of cash and there was also a large
discrepancy in the cash declaration made on the 28th May. Inconsistencies in explanations provided by the SPMR and on
assessment of the information available the risk to POL funds for further investigation be conducted while the SPMR remained
in post was too high.
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Roles and responsibilities of groups
Steering Group meeting
+ Understand progress against the milestone plan,
costs, benefits and quality of the Programme and
report this to Transformation Committee
+ Ratify milestone changes if necessary
+ Understand risks and issues of delivery of the
Programme and ensure actions proposed by work
streams will be adequate to mitigate those risks
+ Make decisions on deliverables as required by the
Work Stream meeting
+ Challenge each other and respective teams who are
responsible for delivering certain areas of the
Programme
. Ensure Programme is administered in line with Post
Office governance standards and controls are in place
Attendees: Kevin Gitiand, Paul Brown, Michae! Larkin, lan Kennedy, Bxian Deveney,
Dave Hulbert, Hamy Clerke, Angela Var-den Bogerd, Gayle Peacock
Working Group meeting
+ Formal up-date on progress with each work stream
+ Manage interdependencies between each work stream
+ Identify risks and issues associated with delivery of
milestones and benefits, proposing mitigating actions
+ Agree proposals and make decisions regarding
deliverables to present to the Steering Group
+ Agree on which issues need to be escalated to
Steering Group
Attendees: Pam Heap, Drew McBride, Creig Tuthil/ Lin Norbury, Sarah Malone, Jule
Tomas, Ann Miler, Clare Langley, Amanda Stevens, Kendra Dickinson, Red Ismay,
Doug Brown, Andy Hayward, Michael Brown, Andy Hot, Kari Oliver, Andy Garner,
Richard WeavertJenathan Knox. Georgina Blair. Angela Van-den Bogerd, Gayle
Peacock, A ar, Pater PrerMils, Dave lreiand
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Milestone Plan
ActivityWork I Owner Benefits/Metric
stream associated
Pre-appointment Craig TuthilfLin £30k per annum taunt Je i. ps
Norbury resource saving Steamine supporting interview process
Training Sarah Malone/Julie £450k saving mee tan cahine leon cae -
Thomas 95% satisfaction te onsine platform
Communications Richard Weaver Ay t21nch branch communication researen
eee cee eae ne
‘Agent engagement survey launched
Operational ‘Amanda Stevens £635k NBSC A. vey crm
Support £640k FSC Dates for revising call categorisation into NBSC, call 137988 Ops
£530k Network review, review of FSC teams and Network Services to II Suppor eress
Services be identified and agreed H
Physical Support Pam Heap £250k audit admin B Cemtratsation of aut admin ees aac
£100k audit review A tesncred
T Peer BYECa 7 WSS eS Ty es
A. Bierch profie options scoped, agreed and buld starts
A Bureau duplicate receipt launched Revised cheque rem process
Leavers Craig TuthiLin £m net debt A BeFs0d contractual breach policy aunched
Norbury 50% spmr suspensions
On-tine Gayle Peacock £51k joiners (14/15) A. Petotype weady for testing
Regulatory £135k additionally after New joiners process leunched
Compliance full migration Being migiation of remaining network
HORIce Gayle Peacock 50% reduction in audit JQ) _ Launch of HORIce pilot
shortages > £10k
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Workstream status
Pre-appointment High level plan and benefits identified
“End-state” vision agreed by group
Potential options for improved web-
application process scoped
‘Synergies with NT electronic business
plan identified
Training “End-state" vision agreed by group
‘Activities identified to deliver business
benefit with high level milestones
Identified
‘Communications
High level plan and milestones agreed
with work stream group
+ Analysis undertaken on costs associated
with *corrective” communications
Operational Support “End-state" vision agreed with group
High level list of required activities
Identified
Analysis done on NBSC call types to
initiate areas for root-cause analysis. Top
3 areas are *mails’, “stock” and
“telephone numbers” driving in 25% of
calls
Input into branch profile too!
Improvement plans created with NBSC
‘and FSC to tackle “quick wins” in bau
+ Agree lower level plan detall == +
with specific business owners
Understand electronic
business plan in more detail
Progress improved on-line
‘application process
Business plan review on 13
June
+ Work stream meeting planning
session on 17" June
‘Agree lower level plan to
progress to end state
‘Agree lower level plan to
progress to end state
Agree lower level plan to
progress to end state and to
deliver business case benefits
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Workstream status
Physical support
Leavers
On-line Regulatory
Compliance Training
+ Options for supporting 2020 strategy
identified
Revised way of logging audit results
currently being tested after FSA training
Agreement reached with Risk and
Compliance on suggested alternatives
for compliance audits
Branch profile requirements identified
with business stakeholders
‘Suggested approach discussed with NT
and IT architecture
Bureau 2"! receipt transaction scripted
and passed to Fujitsu for build
Revised cheque rem process identified
Revised suspension process already
implemented with supporting policy
change
Recognition process to be scoped
‘Supplier currently progressing build of
prototype
Users identified for involved in testing
‘Arrange meeting with key
stakeholders to review the
compliance audit process
Track benefits of revising audit
logging process and identify
how this translates into longer
term FSA resource plan
‘Agree plan for delivering
branch profile tool
Get ATOS to complete formal
assessment of options
Policy PIR to be undertaken
Review of plan with work
stream group
Test prototypes
‘Agree short, medium and long
term plan
June/July deployment of
revised audit logging
21% July for model office
testing for bureau receipt
wie 9! June for CRM meeting
Work stream meeting
scheduled for 1% July
‘Saba BUPA demo on 9" June
EMC prototype demo on 11!
June
prototype + Testing for users 16 June
+ Saba providing ORBIT prototype for
testing
HORIce + CR and purchase order raised with + Impact assessment to be + 10 June is re-planned date
Fujistu returned by Fuitsu
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Risks and Issues
ESE ees I ene a
Fujitsu and internal POL
Pian to be produced by IT mapping
IT teams do not have areas for change, priorities and resource
resource to deliver required. Plan for escalations within
Programme changes Fujistu need to be made available to
which is significantly ‘stakeholders
impacting on delivery
date
Majority of savings costs 16 Plan to be created across Programme Drew
pete Ciera Eoce Cy
people/resource savings, identified. Vacancies to be sourced on Amanda
Pecan Caeser sie Ii
pool ise redcien
Other pressures on time 12 ‘Steering group to review area Programme 13!" June 2014
creating ety i Set@eesees = I 2Sayers
mobilise work streams ensure priorities are clearly
communicated
cubpostnastors and 12 lnvohement toughen anne buld_AngelatGayle
operators don't embrace and testing of solutions. Planned phases
everest datas ey
metic
Reduction in spmr 12 Number of suspensions, reasons and Craig/Rod
‘suspensions increases impact on overall debt being monitored.
net debt figure HORIce will enable earlier intervention.
HORIce may not be tool 9 Requirements fully scoped with experts Gayle
lorena fear tn ea beeed io ocnlee dl
faudhnon-confomence acy
gy
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