The water industry in Melbourne, Australia is owned by the State Government of Victoria
and operates on a comparative competition model. Three retail water companies deliver
water and sewerage services to the people of Melbourne, and although they do not compete
for customers, they do compete on a comparative basis in the areas of customer service and
asset management. This is done within a regulatory framework which provides independent
oversight and measurement of their performance.
This model has driven very significant performance improvements in all business areas,
particularly in customer service delivery. A number of these improvements
resulted from the implementation of innovative solutions to business issues, which have been
identified as a result of customer research.
The development of Yarra Valley Water (YVW) as a truly customer-focused organization
resulted from attention to a number of elements that are fundamental to any
business, as part of a management strategy focussing on customers. Attention to each of
these elements is important to the successful overall performance of the company.
This paper discusses the background to the reforms undertaken in the industry, and how
YVW chose to respond to customer service delivery as part of the ongoing journey towards
service excellence. On the way, the company has been recognized as a service leader by
winning Australian National Customer Service Awards for each of the last three years. Includes figures.