Source · Select Committees · Public Accounts Committee
Recommendation 19
19
Accepted
DWP's extensive Service Modernisation Programme faces significant delivery and cultural change risks
Conclusion
DWP recognises that significant parts of its services remain largely unmodernised. Its Service Modernisation Programme is an 11-year organisation-wide programme, estimated to cost £312.1 million and running from 2022–23 to 2032–33, which is seeking to deliver benefits for customers, staff and taxpayers.38 However, the scale and complexity of the programme means delivery involves significant risk. DWP’s 2023 accounting officer assessment highlighted the challenges of managing multiple interdependencies; the scale and nature of the desired change; and achieving the necessary cultural change. DWP considers this cultural change is critical to realising the programme’s benefits.39
Government Response Summary
The government acknowledges the importance of cultural change for successful service modernisation, stating it is already fostering this shift through enhanced behaviours, monitoring progress via People Survey indicators, using a Risk Management Framework, and developing a Service Maturity Framework and Change Management Community of Practice.
Government Response
Accepted
HM Government
Accepted
4.1 The government agrees with the Committee’s recommendation. Recommendation implemented 4.2 The department recognises that successful service modernisation requires long-term, genuine systemic and organisational culture change. It is fostering a cultural shift by enhancing behaviours, skills, and support to deliver high-quality customer experiences, promoting innovative solutions that improve outcomes and public service delivery. 4.3 The department monitors progress using various tools. It tracks performance against People Survey indicators to assess positive culture change. For example, it monitors perceptions of change management and innovation driven by customer experience. Improvements were made in 2024, with results above the Civil Service benchmark. 4.4 Equipping staff to adapt is crucial for culture change. The department utilises wider colleague insight to monitor and act on feedback. Its Customer Experience research also ensures that direct feedback from customers is heard and used to inform improvements to customer services. 4.5 The department’s change programmes adhere to a Risk Management Framework, recognising and managing risks related to cultural change. For instance, a key risk identified by the Service Modernisation Programme (SMP) is the potential failure to achieve necessary behavioural changes to land change successfully. This risk is mitigated by the provision of change champions within modernisation areas who facilitate two-way communication between programmes and front-line staff. 4.6 The SMP has also developed a Service Maturity Framework for services in its scope, which is a key performance measurement and assesses maturity levels in areas such as culture and leadership, identifying gaps to focus on. 4.7 Additionally, initiatives like the Change Management Community of Practice, co-chaired by SMP, support cultural change across the department by driving change management improvements and supporting colleagues throughout its change community.