In the state of North Carolina, a network of 128 License Plate Agencies (LPAs) are vital community hubs for vehicle titling and registration services, serving as critical points of communication between citizens and the Department of Motor Vehicles (DMV). These LPAs offer diverse services ranging from title work and registration to wildlife services and commercial vehicle in different parts of North Carolina and are indispensable due to NCDMV's continued use of paper titles. However, the efficient operation of these LPAs while maintaining exceptional customer service has been a challenge. The current compensation model, governed by NCGS 20-63(h), rewards LPAs with payments per transaction, inadvertently incentivizing faster transactions over quality of service.
The overarching goal of this study is to enhance customer service quality and optimize transactional efficiency within LPAs by designing innovative tiered compensation models leveraging data-driven approaches. This research goal is driven by three core needs: enhancing customer service, ensuring the financial sustainability of LPAs, and aligning with the evolving technological landscape of digital services while preserving the crucial role of LPAs in our communities. This goal will be achieved through five tasks: (a) reviewing compensation models, (b) assessing stakeholder needs through data collection and conducting data-driven analyses of current LPA operations, (c) developing innovative compensation models with contract terms and incentives and performing detailed cost-benefit analysis, (d) conducting case studies and feedback for validation, and (d) facilitating technology transfer.
The project's impact is threefold: first, it aims to reshape LPAs' service delivery approach, prioritizing customer satisfaction and financial sustainability. Second, it integrates insights from diverse fields, including compensation models, queuing theory, and multi-stakeholder analysis, into designing tier-specific compensation models. Lastly, the project is immediately relevant, given the rising customer complaints, reduced compensations, and the shift towards online services. The project is highly significant and time-critical for the state, as it will provide insights for improving LPA functions through stakeholder analysis and data-driven approaches. This, in turn, will inform future contracts and policy decisions, potentially serving as a model for other states. The anticipated research products include comprehensive reports, documentation of proposed compensation models, stakeholder insights, guidelines on benefit and cost evaluation of proposed models, and knowledge dissemination materials, all geared toward improving LPAs' operations and customer service. These products along with preliminary implementation plan will enable NCDOT and NCDMV to ensure financial sustainability for LPAs, adapt to evolving technological landscape, and ultimately deliver great customer service (NCDOT's Goal #2).
