Centrelink is exploring new methods to deliver services to the Australian public. The basis for this is to provide higher quality, effective services which meet the needs of the community, clients and government. These new services are viewed as an extension to existing services and not a replacement. This will provide a wider range of choice to the Government's community of users so that people can choose the method that is most appropriate to their needs. This strategy also aims to achieve the Prime Minister's commitment that all appropriate Government services will be available on-line by the year 2001.

We appreciate that the various methods available for the provision of services will receive different reactions dependent on individual points of view and experiences. To ensure that we meet the needs of the community at large we have been conducting a number of customer surveys, customer focus groups and consultation with privacy and consumer representatives. This enables us to better gauge the view of the community and interested groups as to how we can provide better quality services. Centrelink is working to increase the ease with which customers can access Government services and a key strategy for this is to provide the widest possible range of access options for customers.

Another key strategy for improving customer access to Government services is Centrelink's life events approach. An underlying principle is that people will not be expected to know the names of various products or services to which they might be entitled. A person simply describes their circumstances and in return receives a personalised service offer. The life events approach increases the accessibility of services by removing much of the complexity of government for the community.

Centrelink continues to participate in trials to enable us to further develop and test solutions to wider access issues. To this end we welcome any approach to us from relevant bodies and look forward to working with them in determining a solution which enables access for all the services Centrelink delivers.

Centrelink is working with partners and third parties to identify suitable platforms and infrastructure upon which to deliver services. This has a specific focus on technology which is either currently deployed in the community or can be easily deployed in the community and specifically in regions which are not currently well serviced by technology. For example, in April 1999 the Disability and Carers Customer Segment Team and the Innovations Theme Team participated in consultations with Blind Citizens Australia concerning the introduction of information kiosks and Telstra's Multi Media Pay Phones on a trial basis.

Centrelink has also been running a number of education programmes at a local level, many of these specifically target a customer segment such as older Australians. Such programmes are essential to ensure that all Australians feel comfortable using technology and develop the confidence and skills to adequately use the options available.

Centrelink aims to have the widest possible range of access options available to customers and this includes an ongoing commitment to maintaining access through its physical offices and telephone services, as well as opening up access channels based on new and emerging technologies.

Centrelink has moved forward to offer increased choice in the manner in which customers can access services. In doing this, Centrelink recognises the diversity of its customers and their needs, skills and experiences and offers a range of service options which allows customers to choose what suits them best.

Centrelink Call currently receives more than 20 million calls each year through 22 call centres. Almost as soon as call centres were introduced by Centrelink, customer acceptance of this mode of access was overwhelming and created demand beyond the organisation's immediate capacity to manage. A significant proportion of almost all customer segments show a preference for conducting business with Centrelink using the phone. At the present time 80 per cent of new customers make their initial contact with Centrelink through Centrelink Call. In addition, 98 per cent of our customers currently have access to the telephone and 88 per cent have access to a phone that is suitable for Integrated Voice Response (IVR).

Centrelink Call is often the first point of contact for Centrelink's older customers and customers with disabilities through our Retirement Services line (phone 13 2300) and our Disability, Sickness and Carers (DSC) line (phone 13 2717). The DSC line was established in April 1999 as a result of feedback from customers through a variety of channels. By having dedicated lines for older customers and customers with disabilities we have virtually eliminated waiting times, except in the busiest periods.

A feature of Centrelink Call services is ease of access. Customers are welcomed to Centrelink by a recorded message, however there is minimal messaging and little or no action required by the caller in order to be connected to a Customer Service Officer. Customers with disabilities who call Centrelink on one of three numbers (132300, 131305, 132850, 131021) can make a selection in the Interactive Voice Response Unit and are automatically transferred to the Disability, Sickness and Carers queue. They are presented with a message, as the call is being transferred, advising of the new 13 2717 number to call in future. Customers who call the Retirement Services line also hear a welcoming message and are then asked to hold while the call is automatically transferred to a Customer Services Officer.

Customers with hearing or speech impairments also have access to Disability, Sickness and Carers Customer Service Officers via the 1800 810 586 TTY facilities which meet demand across all time zones of Australia.

Centrelink Call also has the Centrelink Multilingual Service, which provides call centre services to customers in 20 languages.

Centrelink observes the Australian Standard for the use of IVRs and this includes the facility for customers to always have the option of speaking to a human operator or to default to an operator if they do not make a menu selection. Automated services follow the same principle although, outside of normal business hours this feature may not be available and customers may be asked to call again during business hours when a human operator will be available or leave a message (phone number, name, etc.) for a later call back.

It is also important to note that there are no IVR prompts that require a caller to respond within a particular time period, so that customers with disabilities that may result in slower response times, are not disadvantaged.

Centrelink has recently taken steps to substantially upgrade its Call Centre technology to improve access to Centrelink and customer self service through automation of some call centre enquiries via an improved telephony infrastructure. In the short term, a number of common call centre enquiries have been identified as being suitable for automation and customer self service. In the longer term, this infrastructure will support new and emerging facilities which are described later. These automated services will increase customer access while also freeing up Centrelink resources for other enquiries which need to be conducted on a person to person basis, and add value to the customer experience with Centrelink. This strategy is generally consistent with that identified in the HREOC Issues Paper for a growing number of industry and the public sector organisations who see call centre automation as a means of providing cost efficient, enhanced services.

Some limited automated services are currently being pilot tested with a restricted group of customers. National rollout of the first official automated services is planned for mid-2000 and will allow customers to access information about recent and next payments. Subsequent new services will include the ability to obtain statements of eligibility for Centrelink payments used for claiming concessions, duplicate copies of health care and other identification cards, etc. Taken together, these services represent a significant number of current enquiries each day to Centrelink staff.

It should be noted that these service improvements are directed equitably to all Centrelink customers. However, it is clear that some customer groups may find these services more convenient than others and are able to take advantage of features like extended hours of availability, no waiting in queues to speak to a telephone operator, avoid need to travel to an office, etc. It is in this context that we believe that many older Australians and those with disabilities will particularly appreciate automated services.

It is also important to point out that automated services are to be made available as an additional service option and not to replace existing personal services with a Centrelink Customer Service Officer in a Call Centre or face to face in a Customer Service Centre - the choice of servicing method remains as a decision for the customer to make. Specific contact numbers for different customer segments such as Retirement Services for older Australians and Disability, Sickness and Carers services, will also remain.

Implementation of automated services is being accompanied by a program of customer consultation, focus group workshops, pilot testing, and Post Implementation Reviews and this includes testing the views of older customers and customers with disabilities. On-going formal surveys of customers about their experiences with Centrelink services occur regularly.

Call centre automation should not be seen in isolation from other emerging electronic channels such as Internet and Kiosk access which are being developed by Centrelink in parallel with call centre automation to increase even further the range of service options available to customers. It may be that these channels may be the preferred option over phone based services for particular categories of customers although the phone remains the most widely available electronic access for the majority of Centrelink customers at this time.

Centrelink has numerous agents located across rural and regional Australia to provide additional points of access to Centrelink services. Centrelink is working to deploy Internet PCs in agent premises in order to improve technology access to all customer segments. In addition, a small, but growing number of community organisations have been established which aim to develop Internet access and provide computer training for older people. Centrelink officers liaise with such groups to publicise Centrelink's own Web Site and to obtain feedback on how the site could be made more useful to the older community.

Centrelink maintains a text only version of its Web Site to enable access by those who are visually impaired and who rely on special software such as text browsers to access information from the Web.

Translated information is already provided on the Centrelink Internet. While, in January and February next year Centrelink will run trials of accelerated electronic application forms in non-English languages and electronic lodgment of fortnightly payment continuation forms in Vietnamese.

Centrelink recognises that the usability of technology is an essential criteria in developing new forms of electronic service delivery. We have developed considerable expertise in how products and services should be designed to achieve this and have implemented the Hiser methodology to support this. The Hiser Element Toolkit is a user-centred design approach and involves users at each stage of the service development process.

There is an extensive amount of research, information and knowledge about usability including Universal Design, Principles and Guidelines. Centrelink is aware of the progress made by the Trace R&D Center, the Advisory Notes issued by HREOC and the Web Accessibility Guidelines.

• A key component of Centrelink's new Service Delivery Model is that Centrelink recognises that our customers have different needs, expectations and preferences. We will tailor services to best suit the individual customer by taking into account:

0. an individual's personal capabilities;

0. an individual's needs, expectations and preferences; and

0. the critical points in life being faced by the customer.

One of the key strategies for achieving tailored solutions is the recent introduction of Centrelink's one to one style of service. Using this model, each customer has an allocated Customer Service Officer who is responsible for managing the ongoing relationship between Centrelink and the customer. An important aspect of this ongoing relationship is the tailoring of access options for each customer that are the most suitable and appropriate for that customer. In doing this Customer Service Officers are able to draw on the services of specialists such as Multicultural Service Officers. This will ensure that Centrelink provides the most appropriate service for our older customers and those with disabilities.

Centrelink has been involved in Telstra's trial of their new Multimedia Payphone technology. Involvement in these trials and pilots allows us to further explore usability aspects and gain valuable customer feedback to continually monitor community needs and expectations.

Telstra are working on a range of wider access issues and have contracted Julia Schofield Consultants (JSC) to work with them on user interface design and to identify how to deliver services to the wider community. It is worth noting that Dr Julia Schofield is an expert in the field of designing customer interfaces, especially for those who may have some difficulty in accessing services delivered electronically including people with vision impairments as well as the aged and people from non-English speaking backgrounds. Centrelink is also working with Telstra on these wider access aspects and potential solutions will be trialled when available. For example, the payphones are being trialled to provide some Centrelink information in eight languages.

Centrelink continues to monitor demand for new services through links with various customer organisations and peak financial industry bodies (noting that, in the latter case, this may reflect industry needs rather than those of our mutual customers).

At both the national and local level, Centrelink has established a relationship with the Australian Banking Association (ABA), to assist our mutual aged customers in the use of new banking technology. For example, Centrelink offices around the country hosted "Banking and Seniors" seminars on the International Day of Older Persons in October 1999. At many of these seminars, representatives from the local banks, or those appointed by the ABA, gave talks and demonstrations on EFTPOS and ATMs.

In addition, the Disability Customer Service Reference Group has been established to provide advice to Centrelink on all aspects of services to customers who have, or care for a person who has, an illness or disability. Membership of the Reference Group includes representatives from peak disability and carer organisations including the National Caucus of Disability Consumer Organisations, the Deaf Education Network, the Royal Blind Society, the Head Injury Council of Australia, the National Ethnic Disability Alliance and ACROD, as well as representatives from Centrelink and its client Departments. The Reference Group meets three times a year and provides feedback on, and suggests ways to improve:

0. customer service in Centrelink's implementation of new and existing government policies;

0. the practices and the quality of service provided by Centrelink staff; and

0. the impact on customers of the assessment processes employed by Centrelink in determining eligibility.

In order to meet the needs and preferences of customers with disabilities, the Disability and Carers and the Retirement Customer Segment Teams currently provides Centrelink information products in alternative formats. These formats include PDF files, ASCII discs and audio tapes. Centrelink material can also be translated into Braille upon request.

• It is also important to note that the Social Security Administration Bill 1999 provides a number of features that will enhance the ability of Centrelink to deliver entitlements under the Social Security Act 1991 more effectively over a wider range of access channels. One provision of the Bill provides a regulation making power that can be used to permit activities undertaken in relation to social security matters to be undertaken in new ways, utilising new and emerging technologies.
• For Centrelink services delivered under other legislation, the Attorney-General's Electronic Transactions Bill 1999 is expected to provide the basis for exploring delivery of Government services through new and emerging technologies.
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Whether Centrelink will succeed in delivering services electronically will depend on the access, willingness and capacity of customers to use new and emerging technologies. Customers' take up rates for new service delivery channels will also hinge on the quality of the experience that Centrelink has to offer and the number of other functions they are able to perform using similar access channels, such as banking and shopping.

Historically Australians have been quick adopters of technological advances, however Australian Bureau of Statistics research shows that although the growth in home computer ownership and Internet access has been increasing rapidly in Australia, only 37.2 per cent of households owned or were paying for a computer and 35.8 per cent of households used a computer once or more a week. There also remain significant issues with respect to community access to technology. Public libraries generally provide access to technology, but these locations are not necessarily the most appropriate for many people in the community.

In addition, those with access to the Internet are disproportionately people and families in higher income brackets, as well as those with higher education. Centrelink's customer segments which are likely to use the Internet first are students and families (in addition to intermediaries such as financial advisors and agents). This means Centrelink faces significant challenges in supporting customers who wish to use digital access modes, as its customer base will generally be the last to have access. Staff, such as Multicultural Service Officers, already help customers to use touchscreens through personalised and group coaching.

The type of business being transacted by Centrelink's customers will have a significant impact on the locational issues for access options. Although more research needs to be undertaken, there is an expectation that customers will not use technologies such as kiosks or multimedia payphones in public places to complete complex business such as lodging claims and entering sensitive personal information. In comparison, the widespread introduction of web TV in private homes will increase access for most Australians to the Internet. Critical dates for web TV are 2002 for early roll-out and 2008 when the current analogue broadcast system will cease. As a result it is arguable that customer purchase of personal computers for home use will not exceed recent levels, as people realise that for the significantly lower cost of a set top box they could have access to the most widely sought after communications and computing functions, including the Internet and email.

• A major issue for people who are unfamiliar with technology is the provision of opportunities to learn about the technology. Therefore, access to computers and other technology is required in areas that older Australians or people with disabilities can get to, where they feel supported and comfortable, and where they have others around them to ask for assistance - such as local government facilities, senior citizens clubs, or support organisations for people with disabilities, accommodation sites or centres for older Australians or people with disabilities. Government surplus computers and related devices would make it cheaper to set up access points in these places. Experience in industry shows that the extent to which customer support is required is a significant issue.
• To ensure that all groups in society are able to take advantage of the benefits of Electronic Service Delivery (ESD), it is essential that service providers develop technology which is easy to use. However, the cost of training and maintenance, may still be significant and must be taken into account by service providers.

The introduction of new ESD channels will not be at the expense of removing choice for customers who prefer to use more traditional service delivery options such as face to face and call centres, irrespective of the reason for the choice. Centrelink is exploring innovative ways of using ESD channels to facilitate service delivery via agents, intermediaries and third parties.

Older customers still overwhelmingly prefer to conduct their business with Centrelink in person or over the phone. Centrelink's retired customers also express the highest level of satisfaction with Centrelink's services of all Centrelink's customers. The aged are the least likely amongst Centrelink's customers to adopt new technologies, such as the use of the Internet or smart cards. In fact, while 27 per cent of all Centrelink customers have Internet access, only 7 per cent of Centrelink's Retirement customers have access to the Internet. Of these Retirement customers, 86 per cent accessed the Internet at home.

In relation to Centrelink Disability customers, 21 per cent have access to the Internet. Of these customers, 80 per cent accessed the Internet at home.

Of the customers surveyed in May 1999, 54 per cent preferred to deal with Centrelink in person, 39 per cent over the phone and only two per cent via the Internet.

0. Of the Disability customers surveyed, 68 per cent preferred to deal with Centrelink in person, 22 per cent over the phone and only one per cent via the Internet and one per cent via a touch screen; and

0. Of the Retirement customers surveyed 59 per cent preferred to deal with Centrelink in person, 33 per cent over the phone and only one per cent via the Internet.

Many people retiring today have some experience with advanced technology, therefore future retirees may expect that at least their more straightforward transactions with Centrelink should be conducted via electronic means.

During 1998 and 1999 a series of Value Creation Workshops was held by Centrelink with customers with specific types of disabilities (sight or hearing impairments and physical disabilities), carers and intermediaries who contact Centrelink on behalf of people with disabilities. The purpose of the workshops was to obtain feedback on the extent and quality of Centrelink services, particularly in regard to access issues.

Included in these workshops was a question asking customers with disabilities and carers about their preference for doing the majority of their business over the Internet. On a scale of 1 (very low degree) to 9 (very high degree), the average responses from all groups except people who are deaf or have a hearing impairment was low (generally an average score of less than three). The preferred methods of doing business with Centrelink, and the total scores for each option, were (in priority order):

0. Visiting the local Customer Service Centre (166);

0. Telephoning the specific Disability, Sickness and Carer 13 number (134);

0. Telephoning a known Centrelink staff member (118);

0. Using a fax from home (8 - all were customers with hearing impairments);

0. Using the Internet from home (7 - all were carers);

0. Through regular visits from Centrelink staff (5 - all were carers); and

0. Using the Internet from a local terminal (0).

From this information it is clear that personal contact or telephone contact are by far the methods preferred by this customer groups for doing business with Centrelink, and that use of the Internet rates very low. Value Creation Workshops held with retired customers provided similar results.

Any ESD strategy needs to take into account the different characteristics of customers and provide options so that customers can choose their preferred method of service delivery.

New technology tends to require skills such as sight (touchscreen material), sound (telephone), communication (telephone), literacy (touchscreen material), confidence in dealing with the bureaucracy (telephones), confidence in dealing with alien systems (touchscreens/IVRs) and so on, which if lacking in a conventional or non-technology based customer interaction, would present a barrier to customer service access.

It is stating the obvious that a person who has a sight impairment or is unable read in English or their own language will not be able to use touchscreens. Similarly, a person with a hearing problem or a lack of English communication skills will not be able to access or use standard English language call centre arrangements, however efficient and responsive these may become. People who lack confidence in dealing with bureaucracies, may not feel confident about directly dealing with those bureaucracies over the phone or in the conditions of anonymity provided by various forms of electronic servicing.

On the other hand, telephone services will assist those who cannot physically get to an office due to distance or disability. Electronic servicing also has the potential to proliferate service points to anyone with an Internet connection or access to a touchscreen - this is important for frail aged and others who have trouble travelling longer distances. Technology is non-discriminatory in terms of race, gender, age and other determinants of prejudice.

Some people prefer face to face services, particularly if they have documents in hand which help them tell their story. Others prefer the anonymity, speed and after-hours option which some forms of technology offer them. It remains to be seen whether as older people become used to using technology that they develop a preference for it.

The primary demographic issue affecting the delivery of electronic services by Centrelink to older Australians is the size of the target population. People aged 65 and over make up 12.3 per cent of the total population (around 2.34 million), with a further 8.9 per cent in the 55-64 age group. Of that population, 80 per cent receive an Age Pension, or similar government retirement benefit. This proportion may rise next year, as more people qualify for a part pension because of the changes to the pension cut-out points resulting from the GST compensation package. By 2030, the proportion of people aged 65 and over is expected to have grown to around 18 per cent.

In October 1999, 590,666 Centrelink customers were in receipt of Disability Support Pension.

It is important to note that a significant, if minor, proportion of the business older people transact with Centrelink is conducted on their behalf by intermediaries, particularly nominees and professionals such as financial planners, accountants and solicitors.

The acceptance of new technologies by intermediaries, and their interest in using electronic services, is much higher than amongst the customers themselves. For example, almost half (44 per cent) of the intermediaries interviewed in 1997 claimed to be comfortable dealing with Centrelink via the Internet.

However, the kind of services intermediaries require continues to be fairly limited. In the survey quoted here, the service demanded by 67 per cent of intermediaries was the ability to view information about entitlements generally, not information about a particular customer's circumstances. The second most desirable service (48 per cent) was having the ability to lodge forms electronically.

• For older Australians or people with a disability who live in rural or remote areas problems with accessing technology are compounded by lack of cabling to some areas, no telecommunication facilities, prohibitive cost of using the technology, for example, due to STD rates and no local Internet servers. There may also be seasonal factors - such as floods or fires - that stop existing connections for periods of time. Sometimes the quality of the telephone lines is so poor that data transmission is inherently unreliable.

Centrelink's service delivery strategy for older customers and people with a disability will continue to place a high emphasis on face-to-face or telephone contact, in line with their expressed preferences. Centrelink will also need to ensure that the costs involved in maintaining a range of access options for such a huge customer base do not escalate, and are balanced by the savings generated from such developments. While there are major potential savings compared to traditional face to face services provided 'across the counter', the upfront investment costs of ensuring scaleability of technology and responsiveness to demand are considerable. Moreover, one of the most significant costs, in wider industry experience, is in supporting customers in their understanding and use of new technologies.

Funding is critical to adequately addressing wide access issues. Funding must be made available to address:

0. Customer research;

0. Provision of new technology;

0. Education (of customers, staff, intermediaries, the wider community etc.); and

0. Research into the issues and piloting of potential solutions.

Centrelink is rapidly implementing the first elements of its call centre automation strategy, this is a complex and expensive undertaking and availability of full-scale automated services will not occur overnight. Nevertheless we have a vision which will see many services added incrementally over the next few years in line with outcomes from a continuing process of customer consultation.

Centrelink's strategy for the development of electronic services and the enhancement of access to such services for older customers, customers with a disability and intermediaries is based on a number of policy criteria, including:

0. balancing emerging opportunities for new ways of doing business with the need to maintain in person contact for specific transactions. This frequently applies in the case of customers with complex financial or personal arrangements. Centrelink is also likely to maintain in person contact for new customers, and for customers requiring a managed outcome in their transition to, or during, retirement;

0. matching new forms of service delivery with existing or developing capabilities amongst customers (rather than attempting to "socially engineer" acceptance of new technologies);

0. recognising that customers have very different levels of equipment or access;

0. ensuring that new developments protect and enhance the outcomes set for Centrelink by its Client Departments and the Government. In other words, new forms of electronic service delivery also entail various levels of risk to the integrity of programs Centrelink runs on behalf of those Departments which may, or may not, be acceptable to those agencies;

0. establishing the priority to be given to the development of electronic services for these customers in the context of managing the demand for electronic services from other customer groups and responding to the requirements of the Electronic Transactions Bill; and consequently,

0. securing the resources for such facilities amongst all the priorities established for Centrelink by the Government and its Client Departments.