CRITICAL SUCCESS FACTORS IN THE PUBLIC SECTOR FOR CONTINOUS IMPROVEMENT               Students Name Course April 15, 2016       Table of Contents 1       Abstract. 3 2       Introduction. 3 2.1        Continuous Improvement (CI). 4 2.2        Reasons and Benefits of Continuous Improvement. 5 2.3        Importance of the Public Sector and Differences with the Private Sector. 6 2.4        Critical Success Factors (CSFs). 7 3       Methodology. 8 3.1        Data Collection. 8 3.2        Data Analysis. 8 3.3        Barriers in Implementing CI Strategies in the Public Sector. 11 4       Results and Discussion. 11 5       Further Research. 13 6       Bibliography. 13                    

1           Abstract 

            The Public sector plays a crucial role in a countries economy. It provides goods and services that are otherwise deemed not beneficial for private companies. One of the biggest problems experienced by the public sector is its continuous improvement so that it can meet customer expectations. Quality service is an important tenet for customer satisfaction. Therefore, there is a need for continuous improvement by determining the critical success factors in the public sector. Research has identified the there are certain factors in the manufacturing industry that are not incorporated into the service and public sectors that are critical for success and vice versa. This paper will test the hypothesis that continuous improvement of critical success factors is essential in the public sector for quality service delivery to customers. The paper will evaluate various literature classified in manufacturing service and public industry and identify the critical success factors that are shared among all the sectors and classify their importance for effective service delivery. The study concludes that the public sector requires to be customer centric by continuously improving a corporate quality structure that will survive different governments. Lastly there is need for in-depth research on critical success factors that will assist to create a Continuous improvement model that would address all issues in the public sector.

2           Introduction 

            The term Quality improvement is now as synonymous as profit or turnover. Sometimes quality systems are not always as triumphant as they are set out to be. Leseure et al 2004 did a research on quality systems and practices and concluded that some firms in the UK fell behind other countries in the adoption of practices that would improve performance in those organizations but did not provide sufficient reasons for such a finding. Most public sector companies have emulated quality improvement tools from companies in the private sector but with differing success levels. For quality improvement, the essence is continuous improvement. The hypothesis to be evaluated is; critical success factors are essential for continuous improvement in the public sector just as they are in the service and manufacturing sectors. This paper will evaluate the critical success factors that are necessary for continuous improvement with a special focus on the public sector. The essay will begin with an outline of continuous improvement proposals and a summary of the public sector in the UK which will be followed by a literature review of the same, and will conclude with a discussion of the results.

2.1         Continuous Improvement (CI) 

Continuous improvement can basically be defined as a cautious and continuous change which focuses on improving the efficiency of an organization so that it can meet its objectives. Improvement can be through strategies that focus on business performance, customer and supplier relationships, and employee satisfaction. All these areas need continuous improvement so that the business can get better with time.  Continuous improvement can be translated to mean sustained improvement that aims at removing waste in all processes and systems without the need for extensive capital investments (Bhuiyan and Baghel 2005). It only requires teamwork from everyone in the organization. It can also be referenced to mean a continuous improvement of a firm’s performance. Many authors concluded that for a company to experience continuous improvement they must include their employees and also be able to beat their competitors by being highly innovative (Hyland et al 2000: Bessant et al 1994). Another scholar described continuous improvement as the improvement of company practices through a systematic and organized process of cumulative change of prevailing practices (Boer et al 2000). All these definitions emphasize on the importance of incremental change in processes and systems in an organized manner that will be easily translated by customers.

2.2         Reasons and Benefits of Continuous Improvement

            Most business websites define their goal as being the provision of quality services at reduced costs. But the definition of quality evolves with time as technology, processes and methods change. Companies in all sectors need to think of ways that will surpass customer expectations every time otherwise their competitors will. Continuous improvement helps companies to concentrate on the needs of today that will eventually advance the needs of tomorrow. Continuous improvement will mainly focus on enhancing processes instead of product or service modification. This will in the end improve the cost and reliability of the organizations service provision.             Organizations in both the public and service sector are faced with resource limitations. Nevertheless, competition in the market has increased together with regulations that govern different sectors. These regulations are subject to changing times and what was done in the past cannot be acceptable in the future. Customers expect companies to continuously improve and demand increased levels of quality. Therefore, firms cannot remain stagnant in a competitive environment and hope to satisfy customer requirements.             The benefits of continuous improvement are numerous. Bessant et. Al (1994) denoted that systems and process improvement requires low level of investments since it depends on the employees’ ideas. Additionally, continuous improvement benefits workers by providing a conducive workplace, increased satisfaction, and the boosting of a company’s overall returns (Woods 1997). Martichenko (2004) illustrated that organizations that do not continuously improve their processes or systems will be heading towards a destructive trend that involves layoffs and restructuring. These events are reactionary and hence do not solve the underlying issues which in the end will affect customers’ perception on the organizations culture and success. Other benefits include the increase in employee commitment, an improved performance of the organization, waste and cost reduction, and an improvement in customer satisfaction.

2.3         Importance of the Public Sector and Differences with the Private Sector

The public sector is a business area that is government controlled by either national or state governments. These firms deliver goods and services that are primarily provided by the national and local governments. The size of the public sector varies depending on the host’s company’s prescribed economic system. The public sector usually provides merit and public goods. These include education, defence, transportation, public utilities, fire emergency services, and healthcare among others. Public enterprises are mainly not profit-oriented and can be segmented into governmental and non-governmental firms (Dewhurst et al 1999). The fundamental differences between the public and private sector are blurred. This overlap differs between countries and also local authorities. For instance, in England the city of London is the only one left to privatise the bus services. Additionally, there is continuous movement of firms from the public to the private sector. This movement can be d...