VEHICLE CERTIFICATION AGENCY - VCA BUSINESS PLAN 2012 - 13 ppt

VCA Business Plan 2012-13 1 VEHICLE CERTIFICATION AGENCY VCA BUSINESS PLAN 2012 - 13 Eastgate Office Centre Eastgate Road BRISTOL BS5 6XX Telephone: 0117 951 5151 Facsimile: 0117 952 4103 Web site: www.dft.gov.uk/vca e-mail: enquiries@vca.gov.uk Crown copyright 2012 VCA Business Plan 2012-13 2 This page is deliberately left blank VCA Business Plan 2012-13 3 VCA BUSINESS PLAN 2012 – 13 CONTENTS PAGE NO. Foreword from the Chief Executive of VCA Introduction and Summary Strategic Outcomes Strategic Direction and Developments Progression in 2011-12 The European and UK Domestic Regulatory Climate Evidence and Research Data and Information Assurance Estates Sustainability Workforce Diversity Business Development Performance Measures 2012-2013 Risks to Achieving the Plan Glossary Annex I – Financial and Resourcing Forecasts 4 5 7 8 9 10 11 12 13 13 13 14 14 15 16 17 18 VCA VISION Delivering a Safe Environment VCA Business Plan 2012-13 4 FOREWORD FROM THE CHIEF EXECUTIVE OF VCA Welcome to the Vehicle Certification Agency (VCA) Business Plan for 2012-13. This sets out our goals and objectives for the year, and builds on the successes of the Agency over the past few years. VCA is a service provider to the Automotive Industry, operating in one of the most competitive and fast moving sectors internationally. Our core Product and Systems certification activities deliver a unique service to the industry. We plan to build on the demand for our services during this new financial year by making efficiency improvements, providing better services to our customers and delivering to the DfT objectives on economic growth, improving road safety and environmental performance. The ECWVTA Recast Framework Directive is continuing its roll-out, and VCA is working with colleagues from DfT and VOSA, and Trade Bodies, to communicate effectively about the impact on differing categories of vehicles. This is bringing in new customers to VCA, especially in the UK, assisting the industry to develop and manufacture world class products. VCA is continuing to invest in new Information Communications Technology (ICT) and operating systems, to deliver improved efficiencies in the Agency, to deliver a better service to customers and to improve access to information through e-channels. This requires an upgrade in the Agency ICT infrastructure, with higher capacity channels and hardware, and will deliver access internationally to our clients through secure portals. The work we do for Government, mainly enforcement activities, for BIS, DEFRA and DfT will be reduced in 2012-13, reflecting the squeeze on Departmental budgets, as part of the Government’s commitment to tackle the economic deficit. The Agency will continue to seek and deliver efficiency savings on these programmes to deliver the best outcomes. Activities for the DfT in the field of the certification of the packaging of Dangerous Goods are expected to continue at a similar level in 2012-13, and we will be participating in some research activities in this area with partners, supporting the European Commission to improve the safety of the transportation of Dangerous Goods. We will be investing in new services to support the improvement in vehicle safety, like ISO 26262 Functional Safety, recognising the increasing complexity of electronic systems and controls in vehicles. The automotive industry is becoming evermore global, and our international presence has been a key factor in the recent growth of the Agency. The South American markets have developed rapidly in recent years, and have become a key sector for many of our customers. Therefore the Agency is planning to establish a local presence in this region. The quality of our service has underpinned our delivery, and we need to continually invest in improving our standards. Our Ministerial outcomes will focus on improving systems, quality of service, and efficiency of delivery. We will continue to improve value for money and quality for our customers, and systems and operations for our staff, and thus we are looking forward to another successful year for the Agency. Paul Markwick Chief Executive VCA Business Plan 2012-13 5 INTRODUCTION AND SUMMARY • The Vehicle Certification Agency (VCA) is an Executive Agency of the Department for Transport (DfT), part of the Motoring Services Directorate, comprising the 5 DfT Agencies responsible for Drivers and Vehicles, through which VCA receives its corporate Sponsorship. • VCA takes its policy lead from the DfT centre, and in 2012-13 the main lead will be the new International Vehicle Standards Division (IVS), part of the Environment and International Directorate. The policy lead for the Dangerous Goods activities is the Dangerous Goods Division (DGD). VCA chairs the Vehicle Technology Forum, working with DfT policy leads, other DfT Agencies and the Chief Scientific Advisors Unit. This forum shares knowledge, understanding and experience of emerging Vehicle Technologies. • As the UK Type Approval Authority for new on and off-road vehicles, systems and components, VCA is responsible for approving that these have been designed and constructed to meet internationally agreed standards of safety, security and environmental protection. As a consequence of this VCA provides data to the public as well as other DfT Agencies. • VCA is also the administrator and operator of the scheme for the approval of packages for the carriage of dangerous goods in the UK. Each mode of transport has its own set of International Regulations but all use packaging as defined in the United Nations (UN) recommendations for the transport of dangerous goods. The requirements for approved packaging are put into effect by separate Statutory Instruments. • VCA also operates, on behalf of the DfT, Business Innovation and Skills (BIS) and the Department for Environment, Food and Rural Affairs (DEFRA), as the nominated enforcement body for a number of Statutory Instruments arising from European directives, such as gaseous emissions of non road mobile machinery, replacement catalytic converters, end-of-life vehicles, the noise emissions from equipment designed for outdoor use, the environmentally friendly disposal of Waste Electrical and Electronic Equipment (WEEE) and waste batteries and accumulators. • VCA supports DfT Street Works Division in providing a certification service to local authorities who wish to implement bus lane and parking enforcement camera systems. • In addition to statutory work VCA provides a range of Management System Certification (MSC) services to the automotive industry supporting the ongoing compliance to the Type Approval requirements and regulations. These allow the automotive industry to demonstrate that they have the systems in place, not only to ensure the quality of their products, but also to minimise the impact on the environment from the manufacturing and design processes. • The VCA published database of CO 2 emissions from passenger cars underpins the graduated Vehicle Excise Duty (VED) and Company Car tax schemes. The VCA “carfueldata” website continues to be popular with consumers, supporting the Government’s strategic drive towards the reduction in CO 2 emissions. The tools are now available through the Direct.gov and Business Link platforms VCA Business Plan 2012-13 6 STRATEGIC OUTCOMES The purpose of VCA is to deliver DfT policy in respect of new vehicle, systems and components Product Certification. The VCA strategic outcomes are described as: - Improved Road Safety • By ensuring through vehicle Type Approval schemes, support and information provided to manufacturers, that new vehicles, systems and components are designed and manufactured to the appropriate national, European and international road safety standards. • By working with DfT and BIS policy colleagues, so that VCA’s operational experience helps their formulation of future standards and schemes plus developing VCA capabilities and expertise and exploring the potential safety benefits of emerging automotive technologies. • By testing safety critical vehicle systems and components available in the UK marketplace and the safety of adapted vehicles like Wheelchair Accessible Vehicles for personal use. • By issuing Vehicle Special Orders (VSOs) to those vehicles that do not fit within the recognised approval schemes, but can demonstrate adherence to the safety and environmental requirements of the DfT. Ahead of the London Olympics, it is anticipated that VCA will issue VSOs to a small number of vehicles supporting the event. Reduced Impact on Climate Change and the Environment. • By enforcing European Directives for road vehicles on gaseous emissions and noise. • By publishing CO 2 and fuel consumption data for cars and vans on Direct.gov and Business Link web sites to improve awareness. • By ensuring through vehicle Type Approval schemes systems and components are designed and consistently manufactured to appropriate environmental protection and crime prevention standards. • By ensuring that containers used for carrying dangerous goods conform to international standards and providing an information service about the standards for industry. • By enforcement activities including Non Road Mobile Machinery (NRMM) gaseous emissions standards, noise standards for equipment used outdoors, distributor obligations under the WEEE legislation, the distributor and producer obligations under the waste batteries and accumulators legislation, limits on the use of heavy metals in new vehicles and standards for replacement catalytic converters. • By providing Environmental Management Systems (e.g. ISO 14001, EMAS) training, 3 rd party auditing and standards certification services to industry. Transformed, Customer Focussed, Convenient, e-Enabled Services • Providing modern and efficient digital services consistent with the DfT channel approach and the “digital by default” direction of travel set out in the Government’s Spending Review and re-affirmed in the 2012 Budget Statement. . VCA Business Plan 2012-13 7 • By continuing to develop VCA’s understanding of and readiness for the use of computer simulation in place of physical Type Approval testing, in parallel with the development of European Union (EU) legislation. Continuing to deliver the forward plan developed from the VCA/IVS project completed during 2007-08. Support IVS in the development of UK policy on this subject. • By improving access for automotive and component manufacturers to VCA products and services through its global presence and updating available e-channels on a regular basis to make available the latest information in a customer friendly manner. • By the development and implementation of customer accessible web enabled MSC and Type Approval systems. • Continuing to support the implementation of the Recast Framework Directive (RFD) for European Union Whole Vehicle Type Approval (EWVTA). Developing efficient processes and systems to assist UK manufacturers to obtain approval and delivering Conformity of Production (CoP) in a cost-effective manner. Sustained Provision of High Quality, Efficient, Secure Data and Data Systems • By ensuring that we have well developed and tested business continuity plans. • By continuing investment in ICT infrastructure, • By upgrading remote access facilities to provide better access to data while maintaining data security integrity. • Ensuring that business processes and systems are regularly audited and improvements promptly actioned. Greater Efficiency, Better Value for Money • By achieving efficiency savings of £150,000, whilst investing in the VCA infrastructure and skills, through realising the efficiencies generated from the introduction of the new operating systems including GeMS for MSC, GeAR for Type Approval, and our Case Management system for Enforcement • Meeting the financial target as set by the Secretary of State to deliver a £150,000 surplus on a full cost basis in 2012-13. • By maintaining our financial performance across all major Type Approval areas and improving it in MSC in a difficult and uncertain global economic climate so that MSC operation makes a positive contribution to the Agency financial targets. • By full engagement in DfT/Government Procurement Service (GPS) in particular car hire, hotel and other travel costs, and ICT purchases. • By continuing to increase the productive utilisation of all staff across the Agency, building on the improvements achieved in the past 5 years, to achieve 68% by 2012-13, from a baseline of 56% in 2005-06. • Changes to the structure of VCA’s fee regulations should result in more efficient charging and use of VCA’s services. VCA Business Plan 2012-13 8 STRATEGIC DIRECTION AND DEVELOPMENTS • VCA has made significant progress along the direction established in its 10 Year Business Vision over the past 7 years, and has delivered the growth and efficiency savings, 3 years ahead of plan. VCA recently revisited this to reflect the changes in the business environment, and the learning established to date. • VCA has increased and maintained revenues through improving customer satisfaction, delivering new activities as well as offering new regional facilities over the last 5 years in China, India, Australia and Italy. Changes are underway to improve our organisation in Korea, and VCA is planning to investigate improving the offering in South America, supporting the growing needs of the European Industry in this rapidly developing region. • Following the expansion of VCA into new territories and new core services such as dangerous goods packaging, the need was identified in 2007-08 to invest in and to develop an integrated Agency wide management information system. A comprehensive review of the Agency data needs and operating systems was conducted, and an integrated programme of improvements was planned. Significant progress has been made and an implementation plan is currently being produced, the 2012-13 costs of which are included within this plan. • With the increasing complexity of electronic systems and controls in vehicles, assurance of the Functional Safety of these systems is becoming more important. The international standard, ISO 26262 is designed to give assurance, and VCA is developing expertise in this area to support the drive for increased safety and compliance. • Type Approval fees and charges remain unchanged since October 2006, as efficiency and value for money improvements have been delivered. Changes to VCA’s infrastructure, particularly in ICT and its resilience, have improved the effectiveness of VCA’s operations and further improved customer service, • VCA will continue to develop new tools and techniques to train its staff in the EWVTA RFD. VCA will also progress the development of new systems and tools to assist existing and new manufacturers in compliance with the revised Type Approval requirements. Development of the Compliant Management Service (CMS) will continue and will include a ‘customer portal’ to allow on-line access to data. • We will continue to develop and improve MSC’s Global e-Management System (GeMS) and TAMS, to improve cost, quality and delivery across the VCA international offices. • VCA plans to increase its understanding of developing sciences and technologies. In all our work – product certification, systems certification and enforcement, as customers expect VCA staff to be at the forefront of knowledge in their subject for both established and prospective technologies. VCA Business Plan 2012-13 9 PROGRESSION IN 2011-12 VCA has made considerable progress in a number of key areas towards its strategic direction and outcomes, the highlights being:- • VCA China continues to grow, delivering a significant contribution to revenues. Additional local engineers have been recruited and are training to ensure we are ready for further anticipated growth as Chinese car makers seek approval to EU requirements as part of an expected export push into Europe during 2012-13. • VCA Italy continues to grow, delivering an important contribution to our European operations. • VCA India has continued to nurture new clients within a culture where long term relationships are so important, setting the foundations to provide certification services as the automotive industry pushes into exports. This is beginning to reap benefits as the client base starts to grow with particular success in the component sector such as lamps, mirrors and tyres. Local engineers have now reached a level where they are making a positive contribution. • As in previous years VCA hosted a very successful Dangerous Goods Conference in the West Midlands, supported by DfT Dangerous Goods Division, related approval and enforcement bodies which was well attended by representatives of the industry. • Since its launch in October 2010, the CMS tool is helping to facilitate effective management of the Type Approval process by manufacturers, especially SMEs affected by the RFD. The product provides a robust mechanism to support compliance with regulatory requirements. Continued investment is required to build the functionality for global applications. VCA Business Plan 2012-13 10 THE EUROPEAN AND UK DOMESTIC REGULATORY CLIMATE Developments in European (EU) and international (UN) legislation are expected to continue at unreduced pace during 2012-13, with EU legislation increasingly calling up UN legislation for technical requirements. • Mandatory EU “whole vehicle” type approval (EWVTA) will apply from the following dates: Existing Types of category M1 special purpose vehicles 29 April 2012 Existing Types of incomplete and complete vehicles of category N2, N3, 01, 02, 03, 04 29 October 2012 New Types of Special Purpose Vehicles N1, N2, N3, M2, M3, O1, O2, O3 & O4 29 October 2012 New Types of category N2, N3 completed vehicles 29 October 2012 • The UN is developing an international “whole vehicle” approval scheme, and VCA will support IVS Division in those discussions • The EU’s General Safety Regulation 661/2009 will generate several significant changes to EU Type Approval legislation: o 50 separate technical Directives will be repealed; o 61 UN Regulations will be made mandatory for EWVTA; o New requirements will be introduced for tyre rolling resistance and rolling noise, tyre pressure monitoring systems, advanced emergency braking systems, gear shift indicators, electronic stability control systems, lane departure warning systems. The EU’s General Safety Regulation took effect on 1 November 2011 with new technical requirements and implementing measures becoming mandatory thereafter. It was intended to deliver a simplification of legislation but in practice the Regulation and its implementing measures are proving to be very complex and difficult to apply. VCA has taken a leading role in Chairing the Type Approval Authorities Meeting Sub-Group which is charged with clarifying the practical implementation of the Regulation. • EU Regulations apply automatically in the UK as a matter of EU law, albeit that the UK may have to make domestic provision for enforcement or market surveillance. Conversely, EU Directives need to be transposed to UK domestic law. New EU legislative measures expected in 2012-13 are: Directive/Regulation Subject Matter BUS, CAR, TRAILER & HGV FRAMEWORK Annexes I, III, IV, VIII and IX to Directive 2007/46/EC Adaptation of text for better regulation. Commission Regulation Masses & Dimensions Masses & Dimensions Commission Regulation on Vehicle Noise Sound Levels Regulation 715/2007 and 692/2008 Amendments* Light Duty Emissions Regulation 595/2011 and 582/2011 Amendments Heavy Duty Emissions Draft Regulation on Fuel Economy Meters General Safety/ Fuel Economy Meters Commission Regulation GSI General Safety / Gear Shift Indicators Commission Regulation mandating UN Regulations 30, 54, 64 and 117 General Safety / UNECE Regulations Draft Regulation on LDWS General Safety / Lane Departure Warning Systems Draft Regulation on AEBS General Safety / Advanced Emergency Braking Systems MOTORCYCLE FRAMEWORK Revised Framework Regulation on Approval and Revised Motorcycle Framework [...]... Cut carbon emissions from agency buildings and business use of vehicles by 31 March 2 013, compared to VCA Business Plan 201 2-1 3 15 92% 1% of VCA test reports 2% of external Technical Service test reports 99% 100% 31 March 2 013 90% 3 out of 3 at 85% 15% at 31 March 2 013 a 2009/10 baseline Ensure efficient deployment of staff within business plan complement set for 31 March 2012 196 FTE’s Ensure the... professionals, and the consequent wage inflation • VCA s control and risk management is continuously improving to counter the risks inherent in the financial forecasts The VCA Audit Committee chaired by a Non-Executive director reviews the risks identified by the Agency regularly and reports on the governance process VCA Business Plan 201 2-1 3 16 VCA Business Plan 201 2-1 3 17 GLOSSARY BIS CESG CIO CMS CoP CRM DEFRA... professionals As at 1 March 2012, VCA has 9 unfilled vacancies and recruitment campaigns are currently underway for 8 of these The remaining vacancy, in Central Services, is likely to be carried forward to 201 2-1 3 Note that should there be a significant VCA Business Plan 201 2-1 3 13 increase in workload due to client demand, then VCA will need to review staffing levels accordingly DIVERSITY • VCA values and utilises... • 201 2-1 3 proposals for VCA Enforcement activities include: o o o Non-Road Mobile Machinery Enforcement; Safety critical vehicle systems and components in the UK marketplace; Replacement Catalysts; VCA Business Plan 201 2-1 3 14 Provision of fuel consumption and CO2 information in promotional literature; Tyre Noise; and Tyre labelling WEEE/Batteries and Accumulators o o o o VCA PERFORMANCE MEASURES 201 2-2 013. .. systems, energy harvesting and fuel cells are all VCA Business Plan 201 2-1 3 11 o • being developed for vehicle applications and non-automotive use Electricity generation and storage are one of the key enablers of hybrid vehicles which are seen as a way to meet the emissions and environmental legislative and societal challenges Other emerging technologies VCA will look at the horizon of scientific and... and risk management throughout the Agency • VCA has identified all information assets, and appointed owners The information asset owners are responsible for implementing the recommendations of the data handling review and are required to review their risks quarterly and provide written assurance reports to the Agency SIRO annually VCA Business Plan 201 2-1 3 12 ESTATES VCA leases its headquarters building... 2011 the Agency recorded a Staff Engagement score of 69%, maintaining our place in the Civil Service high performing sector, in the top 7 of all surveyed organisations BUSINESS DEVELOPMENT VCA s Business Development will continue to build on its existing customer base, and concentrate on coordinating business development activities between all VCA offices worldwide The key objectives for 201 2-1 3 are... action plan We are currently on target to achieve a 25% saving in greenhouse gas estate emissions by March 2015 VCA has established an active SD Focus Group which raises awareness of SD issues within the Agency and plays a lead role in taking forward initiatives WORKFORCE • VCA plans to increase the staffing level during 201 2-1 3, reflecting the increasing demand for our services, with revenues planned... Whole Vehicle Type Approval) Sustainable Development Senior Information Risk Officer Small and Medium Sized Enterprises Type Approval VCA Type Approval Management System Department for Transport – International Vehicle Standards Division United Nations United Nations Economic Commission for Europe United Nations Economic and Social Committee Vehicle Excise Duty Vehicle and Operator Services Agency Vehicle. .. area of KM VCA sees KM as an enabler for continuous business improvement and is keen to learn and share in the best practice available within government VCA will develop mechanisms to capture assess and share its knowledge It will also continue to work with the agencies and the rest of DfT on Knowledge management activities DATA AND INFORMATION ASSURANCE • VCA operates in a Business to Business environment . VCA Business Plan 201 2-1 3 1 VEHICLE CERTIFICATION AGENCY VCA BUSINESS PLAN 2012 - 13 Eastgate. www.dft.gov.uk /vca e-mail: enquiries @vca. gov.uk Crown copyright 2012 VCA Business Plan 201 2-1 3 2 This page is deliberately left blank VCA Business Plan