Supplement: A Review of the Literature

Supplement: Case Studies

5. Implement

Effective implementation is an essential component of innovation. Without efficient, effective and timely implementation, inspirational and forward looking ideas will not be transformed into new processes, products, services or methods of delivery.

. Innovation IMPLEMENT_02.eps

Elements of the implement phase of the innovation process are outlined in this section of the Guide.

Successful implementation requires sufficient consideration of major implementation risks such as: an overly optimistic view about practical aspects of a roll-out, especially timing; loss of service delivery continuity during the transition; and an inability to correct unforeseen problems that arise. Approaches to managing these risks include: phased implementation; access to appropriate resources and skills; and the timely escalation of problems and solutions.

5.1 Prepare an implementation strategy

Implementation strategies describe the practical steps needed to translate new ideas and approaches into on-the-ground outcomes. The elements covered in an implementation strategy should reflect the features and expectations associated with the initiative. For example, where implementation risks are seen as low, careful attention to the practical constraints to effective implementation and the use of appropriate project management tools will normally suffice.

An innovative idea is only as good as its implementation

However, as an initiative increases in complexity it will be necessary to consider implementation risks and mitigation treatments along with more formal timetables and milestones. For large and high risk projects, stage gate review processes can help ensure that the initiative remains on track, is going to meet its objectives, and that additional expenditure is not incurred unless satisfactory progress is achieved. Implementation strategies and associated plans for major innovations may require clearance by the Cabinet Implementation Unit (CIU) in the Department of the Prime Minister and Cabinet. Quarterly reporting to the CIU on implementation progress and achievement of outputs and outcomes is likely to be required until a high level of success is achieved.

Implementation strategies are likely to work best when informed by expert and practitioner experience and expertise and client/stakeholder consultation. Implementation will also be facilitated by communication strategies which are designed to achieve broad understanding of, feedback on, and support for, the initiative. Such strategies are best developed through early consultation and agreement with client/stakeholders, including ministers where appropriate, to obtain a clear understanding of roles, responsibilities, mechanisms and timing.

It is important to delineate between the objectives of an initiative, and the means, activities and processes required to deliver it. Once a clear distinction has been made between desired outcomes and processes, it will be easier to focus on those characteristics concerning effectiveness (outcomes) and those concerning efficiency (processes). Where the initiative is one program of several programs aggregating to serve a common high level objective, a key question for effectiveness will be ‘what are the relationships with other, similar or complementary, programs both within the department, other agencies and other jurisdictions’? In some cases, streamlining similar programs may allow for greater flexibility in determining how the program(s) are delivered. This may also assist citizens in accessing services that best meet their perceived needs.

Ensuring appropriate data collection and monitoring arrangements are put in place at the implementation stage will mean that later review and evaluation processes are informed by actual experience.

Manage innovation risks: phased implementation

A phased approach may be required

When planning for implementation, the timelines for achieving critical milestones need to be based on the best possible understanding of the time it is likely to take for inputs/resources to be put in place, new processes to become operational, and intermediate and longer-run outcomes to be demonstrated. If the innovation is breaking new ground, it may be appropriate to divide the implementation phase into manageable stages: the stage including a transition period; the stage at which intermediate results may be available and can provide an early indication of effectiveness; and the more mature stage when longer-run outcomes will be clearer.

Phased implementation

On assuming a new regulatory role under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006, the Australian Transaction Reports and Analysis Centre (AUSTRAC) developed a phased implementation strategy based on 34 identified projects covering customer facing, supervisory, workload and organisational growth and capacity building issues. This approach underpinned the full implementation of the legislation over a two year period. Development of close working relationships with industry and public interest groups has been a fundamental element of AUSTRAC’s activity. [See Appendix A.3 for more detail.]

5.2 Consider transitional arrangements

In some cases implementation may need to include a strategy to facilitate the transition from the status quo to new or changed arrangements.

Be ready for bumps in the road

Depending upon the nature, scale and complexity of the innovation, implementation could have short-term negative, as well as positive, effects on customers. To ensure continuity of service delivery during a period of change, transitional objectives that could be monitored include: minimal downturn in performance; minimal disruption to customers; minimal complaints; and the achievement of early results. During transition it may be appropriate to provide two-way feedback mechanisms for customers and stakeholders to quickly address transitional issues requiring attention.

Where circumstances require the very quick implementation of a sensitive initiative, an implementation plan should be worked through closely with ministers and their offices as this is the period when risks may be greatest and parliamentary, media and community interest highest.

Manage innovation risks: access to appropriate resources and skills

The successful implementation of a new process, product, service or method of delivery will often involve internal organisational change. In particular, it is important to consider the skills required by those staff implementing the initiative. Where required, transition planning should identify, consider, and have solutions for the requirements relating to changes in structures, skills and systems in the implementing organisation.

Change management

The Child Support Agency (CSA) managed significant changes in functions across teams and sites to meet changing resource requirements resulting from the progressive introduction over two years of the new Child Support Scheme from 1 July 2006. The CSA approach involved using transition teams for registration and for information about the new scheme and business-as-usual teams for dealing with existing customers. Changes to administrative processes were also required to meet the needs of customers.

5.3 Monitor the transition

Take corrective action when needed

It is good practice to set out implementation objectives in advance as this allows stakeholders to judge whether performance meets expectations. Monitoring and reporting arrangements should be commensurate with the risks and allow agency managers and external stakeholders to understand whether implementation milestones, targets, and objectives are being achieved. Where monitoring indicates that progress is not on target or unexpected issues have arisen, early corrective action can bring projects back on track or lead to changes that may more effectively achieve objectives. In extreme cases, monitoring may suggest that an entirely new direction may be more appropriate. It is important that in all cases implementation issues be followed up so as to minimise any misallocation of resources and maximise achievement of objectives.

Manage innovation risks: timely escalation of problems and solutions

Monitoring and reporting arrangements may need to be more extensive and regular in the early stages of implementation and through the transition period when risks are likely to be higher. As an innovation proceeds through the implementation path and experience is gained, monitoring and reporting arrangements can be refined.

Where significant implementation problems arise, it is important that analysis of the issues and possible solutions are promptly escalated through the agency’s governance arrangements for higher level consideration and action. Where appropriate, the responsible minister should be informed and involved. This process is captured in the often-quoted ‘no surprises rule’ and is illustrative of a supportive culture that wants to hear the bad news as well as the good news, and to hear it sooner rather than later.

Responding to implementation difficulties

The roll-out of the imports module of the Customs and Border Protection Integrated Cargo System (ICS) in October 2005 resulted in unexpected, severe short-term disruption to the movement of sea cargo as many customs brokers and freight forwarders had difficulties interacting with the new system. The issue quickly escalated to Ministerial level with a roundtable group established to discuss implementation issues, and an industry action group to focus on release of cargo. The Chief Executive Officer subsequently commissioned an independent review of the ICS, which found that there had been a number of deficiencies in implementation but the ICS provided a sound base for the future. The review made several recommendations for how the ICS could be leveraged to make improvements in the imports supply chain, which were all accepted and implemented.

5.4 Key lessons

The key considerations in the implementation phase, depending on the circumstances, are:

ensure that sufficient attention is given to the practical constraints to effective implementation, including the resources required to meet timeliness expectations. For complex cases, this may require an implementation strategy;
ensure ministers’ views and needs are well-understood and ministers are kept informed of progress and any difficulties that may arise;
consider the need for a transition plan, particularly where there is likely to be a significant impact on policy settings, service delivery or the regulatory environment; and
monitor the transition process to ensure that the initiative is rolling out as planned and any unexpected issues are promptly dealt with.

Previous: 4. Develop options and solutions

Next: 6. Check and evaluate