Pacesetter: HMRC's programme to improve business operations, HM Revenue& Customs. 0102969876, 9780102969870. 30 pages. Great Britain: NationalAudit Office

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HM Revenue & Customs' PaceSetter Programme, aimed at streamliningbusiness operations, has improved productivity through new ways of workingand may have contributed to greater staff engagement. However, theNational Audit Office has concluded that the Programme is not yet value formoney because the extent to which efficiency has improved is not clear; andsome key principles of process improvement are not yet being appliedstrategically across the entire organisation and embedded into theDepartment's core processes. PaceSetter, introduced five years ago, isdesigned to help HMRC change the way it works, to deliver more for lessresource. The Department has pioneered the use of process improvementtechniques in central government. Improvements include the redesign ofclaim forms and the standardisation of procedures across offices. TheDepartment estimated that PaceSetter produced productivity improvements,with over 400 million of resource savings and 860 million of tax yield. It is notclear, however, if reported savings represent overall efficiency improvements,in part because of the limited evidence on overall trends in businessperformance. The PaceSetter Programme has had a small positive impact onstaff engagement but overall it is still low. HMRC does not have a fullunderstanding of the costs of PaceSetter. The Department decided to monitoronly certain of the costs excluding the salary costs of its own PaceSetterexperts. NAO analysis shows a more complete assessment of costs brings thetotal spent on PaceSetter from 55 million to at least 115 million between2005-06 and 2010-11.To maximise the benefits of PaceSetter, the Departmentneeds to use the Programme to help it streamline its business operations in amore strategic way.

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