# Presentation: 053811

## Trends In Customer Satisfaction with the U.S. Federal Government – Findings of the ACSI

- David VanAmburg and Forrest Morgeson
- ACSI, National Quality Research Center
- Ross School of Business, University of Michigan

**Washington, D.C., December 15, 2006**

## Snapshot of ACSI

- Established in 1994, the only standardized measure of customer satisfaction in the U.S. economy, covering 200 companies in 43 industries - roughly one-third of the total U.S. economy.
- A quarterly measure of the national economy’s health; complementary to measures such as GDP, PCE, CPI, productivity and unemployment.
- More than 100 segments of departments/agencies of the U.S. Federal Government measured on an annual basis.
- Results from all surveys are published quarterly in various media and on the ACSI website at _www.theacsi.org_

## ACSI National, Sector, and Industry Scores:Q4 2005 – Q3 2006

- 75	Hotels
- 77	Limited-ServiceRestaurants

- 63	Newspapers
- 73	Motion Pictures
- 69	Broadcasting TV News
- 74 Software
- 70	Fixed LineTelephone Service
- 66	Wireless TelephoneService
- 63	Cable & Satellite TV

- 72 	EnergyUtilities

- 74	Supermarkets
- 69	Gasoline Stations
- 75	Department &Discount Stores
- 74	Specialty Retail Stores
- 76	Health & Personal Care Stores

- 75	Banks
- 75	Life Insurance
- 68	Health
- 	Insurance
- 78	Property &
-       Casualty
-       Insurance

- 65	Airlines
- 71	U.S.Postal Service
- 83	ExpressDelivery

- 62.7	Local Government
**72.3****	****Federal ****Government**

**Accommodation &**
**Food Services**
**75.8**

**Information**
**68.6**

**Utilities**
**72.4**

**Finance &****Insurance**
**73.9**

**Transportation &****Warehousing**
**72.3**

**Public****Administration/**
**Government**
**65.8**

- 81 Retail
- 78	Auctions
- 76	Brokerage
- 77  Travel

**E-Commerce**
**79.6**

- 74	Hospitals

**Health Care & ****Social Assistance**
**74.1**

**ACSI**
**74.4**

**Manufacturing/****Durable Goods**
**80.1**

**E-Business**
**76.5**

- 77	Personal Computers
- 80	Electronics(TV/VCR/DVD)
- 81	Major Appliances
- 81	Automobiles& Light
-       Vehicles
- 70 Cellular Telephones

- 73	News &Information
- 76	Portals
- 79	Search
-       Engines

**Manufacturing/****Nondurable Goods**
**82.3**

- 83	Food Manufacturing
- 83	Pet Food
- 84	Soft Drinks
- 82	Breweries
- 78	Cigarettes
- 80	Apparel
- 76	Athletic Shoes
- 84	Personal Care& CleaningProducts

**Retail Trade**
**72.4**

## Why Measure Satisfactionwith Government?

**Raise citizen trust in government **
**Hold agencies accountable for results **
**Improve program operating performance**
**Balanced measures for Senior Executives**

## Citizen-Centered Government – History

**Government Performance & Results Act (GPRA) (1993)**
**Executive Order 12862, “Setting Customer Service Standards” (1993)**
**President’s Management Agenda, “Getting to Green” (2001)**
**E-Government Act (2002)**
**   ****Has more than a decade of performance-based initiatives focusing, in part, on greater accountability of government to its customer base – U.S. citizens – made a difference?  **

## ACSI METHODOLOGY

## ACSI Methodology

**Customer satisfaction (ACSI) is embedded in a system of cause and effect relationships**
**Measures are general enough to be comparable across agencies, companies**
**ACSI is measured using multiple indicators**
**Objective:  Explain desired outcomes**

## The Basic ACSI Model for Government

**Customer**
**Complaints**

**Citizen Trust**

**Customer **
**Satisfaction**
**(ACSI)**

**Perceived**
**Quality**

**Customer **
**Expectations**

## Enhanced ACSI Model for Government (Typical)

**Customer**
**Complaints**

**Citizen Trust**

**Customer **
**Satisfaction**
**(ACSI)**

**Perceived**
**Quality**

**Customer **
**Expectations**

**Enhanced ACSI Model for Government (Typical)**

**Customer**
**Service**

**Information**

**Process**

**Confidence**
**Recommend**

**Courtesy**
**Professionalism**

**Clarity**
**Usefulness**

**Ease/Accessibility**
**Timeliness**

## What Agencies Receive(Hypothetical Example)

**Customer**
**Complaints**

**Citizen Trust**

**Customer **
**Satisfaction**
**(ACSI)**

**Perceived**
**Quality**

**Customer **
**Expectations**

**What Agencies Receive****(Hypothetical Example)**

**Customer**
**Service**

**Information**

**Process**

**Confidence**
**Recommend**

**Courtesy**
**Professionalism**

**Clarity**
**Usefulness**

**Ease/Accessibility**
**Timeliness**

**72**

**73**

**80**

**70**

**78**

**72**

**76**

**15%**

**80**

**80**

**75**

**70**

**78**

**65**

**74**

**77**

**Scores on 0-100 scale – How is the agency performing?**

## What Agencies Receive(Hypothetical Example)

**Customer**
**Complaints**

**Citizen Trust**

**Customer **
**Satisfaction**
**(ACSI)**

**Perceived**
**Quality**

**Customer **
**Expectations**

**What Agencies Receive****(Hypothetical Example)**

**Customer**
**Service**

**Information**

**Process**

**Confidence**
**Recommend**

**Courtesy**
**Professionalism**

**Clarity**
**Usefulness**

**Ease/Accessibility**
**Timeliness**

**72**

**73**

**80**

**70**

**78**

**72**

**76**

**15%**

**2.1**

**0.5**

**1.3**

**0.4**

**3.5**

**0.1**

**-2.1**

**4.0**

**0.6**

**80**

**80**

**75**

**70**

**78**

**65**

**74**

**77**

**Scores on 0-100 scale – How is the agency performing?**
**Impacts assume 5 point change – What are the best leverage points?**

## How Agencies Utilize ACSI Data

**Test results against current assumptions**
**Reexamine improvement plans and strategy**
**Report results to Congress, employees, and customers**
**Design and conduct more detailed drill-down surveys on low-performing areas**
**Identify strategic benchmarking partners; identify/adopt “best practices”**

## 2006 DETAILED ACSI RESULTS

**FOR THE**
**U.S. FEDERAL GOVERNMENT**

## Government Satisfaction ReachesAll-Time ACSI High

- Aggregate Customer Satisfaction with
- Federal Government, 1999-2006*

- *0-100 Scale

## Government Still Lags Private Sectorbut Keeping Pace with Its Improvement

- National ACSI

- Federal Government

**+5.4% from 1999**

**+3.2% from 1999**

## Government Compared with Private Sector –Nearly Equal to Private Services

- 74.4

- 81.1

- 72.7

- 72.3

## 2006 Ranges of Scores forDifferent Agency Types

**73**

**52**

**68**

**58**

**57**

**82**

**88**

**70**

**75**

**85**

**55**

**87**

## Social Security and Medicare – Trending Down

- Social Security

- Medicare

## VA Hospital Experience Improving, LeadsPrivate Sector by Wide Margin

- Hospital Industry

- VHA Inpatient

- VHA Outpatient

## IRS Finding: e-Filers Vastly More Satisfied

- fewer errors, quicker problem resolution
- earlier refunds, easy status tracking

## Number of e-filers nearly triples in 8 years

**Number of e-filers nearly triples in 8 years**

*“**We realize we have more work to do, but the survey is just one more indication that the IRS reorganization and its emphasis on customer service are paying off. The satisfaction with IRS e-file won ́t surprise any taxpayer who has used it. When they try it, they like it. It is fast, accurate and dependable.”** - Charles O. Rossotti, IRS commissioner, December 17, 2001*

**IRS: More e-Filers**

## IRS: Improved Individual Tax Filing Experience

**IRS hears the voice of the customer...**
-  Commitment to customer service
-  Increased awareness and usage of e-filing

**Customer Satisfaction Up 14 Points**

- All Individual Tax Filers

## Customers Expect Less of GovernmentThan of Private Sector

**2006 Comparison of Expectations and Quality**

## Customer Service Statistically Flat

- 86

- 85

## Government Efficiency Improves

- 78

- 75

**Access to Services, Timeliness of Delivery Hit All-Time Highs**

## Next Steps: 2007 and Beyond

**Re-measure 2006 participants**
**Expansion with new agencies/segments signing up for measurement in early 2007**
**Continue to grow e-Gov measurement**
**For more information see:**
**	**_**www.theacsi.org**_

_**www.fcg.gov**_