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Technology and the Next Generation Government

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Technology can deliver a far greater impact at far lower cost than ever before, and it's not just a single trend-like broadband- that is delivering the goods. Certainly, the advent of pervasive goods, …

Technology can deliver a far greater impact at far lower cost than ever before, and it's not just a single trend-like broadband- that is delivering the goods. Certainly, the advent of pervasive goods, ultra-fast, IP-based networks have completely changed computing as we know it.

Technology only has value if it is put into production. Guiding your community from a 19th-century mindset into this new approach is a challenge, and it will take time. But we can really reduce the steps down to a few key elements:
1. Take stock of your assets
2. Break through ”bottom-line thinking.”
3. Identify one big, meaningful, audacious policy goal that will affect the whole community.
4. Pitch your project to decision makers.

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  • 1. a s t r at eg y paper fr o m Economic Game Changer: Powering the Next Generation Government
  • 2. Economic Game Changer: Powering the Next Generation Government The Economy of the and the biggest incentive packages.2 It speed — seemingly ready to hit the road Future – Today seems that Tracy is right — the ”whale as soon as someone offers them a The City of Cedar Park, Texas, is tired hunting” model of economic development better deal. of living in the shadow of its bigger and is past its prime. ”In the 19th and 20th centuries, cities more well-known neighbor, Austin. The State of Connecticut is one represented a cluster of jobs and a cluster So much so that City Councilman Don example that shows how the old model of people. That’s where the factories Tracy has sought out an entirely new, is not sustainable. In 1998, Connecticut were and hence where the jobs were,” 21st-century economic model to power provided $60 million in tax breaks, grants says Tracy. ”In the 21st century, we are his city’s remarkable growth. Cedar and other incentives to pharmaceuticals seeing a disaggregation of the workforce. Park isn’t content to feed on the scraps giant Pfizer to keep research labs open Yes, people still work for big corporations, from Austin’s table; rather, it intends in the cities of Groton and New London. but individuals now have more freedom to leapfrog the larger technopolis to In 2009, Pfizer announced that it would to choose where they work,” says Tracy. its south.1 shut down the New London facility. The ”The traditional business incubator model ”I like to describe the old model of Hartford Courant noted that the number is still out there, but it has really failed.”4 economic development as ‘whale hunting,’ of Pfizer employees living in the state Councilman Tracy sees the future in while what we are looking to do is more fell below the level that it had been at in attracting tomorrow’s virtual workers like ‘gardening,’” says Tracy. By ”whale the 1990s, before the state began pro- through a combination of incentives that hunting,” Tracy is referring to the well- viding such whale-hunting incentives.3 target the individual instead of a mas- worn game of luring large factories to a All around the world, advanced factories sive Fortune 500 corporation. According town by offering the fattest tax breaks are opening and closing with lightning to Tracy, ”’Gardening’ is about creating The New Rules of the Old Economic Developement New Economic Competitiveness Game for Governments Economic Engine … Factory Teleworker Growth Strategy … Incentives to large corporations Individual quality of life: schools, arts, coffee shops, culture and fun Essential Infrastructure … Proximity to raw materials, High-speed Internet access, electricity and railroads and industrial space skilled workers Markets … Local Global Technology … Limited Limitless Networks … Slow, non-existent Fast, ubiquitous Quality of Life … Secondary concern Primary concern32 Economic Game Changer
  • 3. an environment in which entrepreneur- see technology as the critical infrastruc- at work for decades, pushing processingship and innovation can be fostered ture for job formation. For example: power to nosebleed heights. Combined… a community like ours could create • The Province of Nova Scotia, Canada, with fast networks, we can now deliverregional telecommuting centers that used rural broadband to open new the distributed computing reality thatprovide reduced overhead for the markets to local businesses. More people dreamed of in the 1960s. Socialbusiness and a better quality of life for at: http://www.gov.ns.ca/econ/ media, bring-your-own-device initiatives,the individual.” broadband/connect/success. and the data deluge have mixed and Williamson County, Texas, of which • The City of Chattanooga, Tenn., has combined with these other trends to openCedar Park is a part, was ranked as the attracted jobs and employers with a a door to truly revolutionary improvementninth fastest-growing county in the next-generation high-speed network. for our cities, states and nations.nation by Money magazine and is a More at: http://www.wbir.com/rss/ But if we are to capture these benefitsperfect place to adopt this innovative article/197475/2/Chattanooga-fiber- — to realize the full potential impact ofnew strategy.5 The growth in the county attracts-Knoxville-business. technology — government needs to lookis largely among educated knowledge • The UK national government beyond the bottom line and certainlyworkers, which are exactly the right type announced that ”every community beyond the confines of the IT budgetof target for this strategy. The city added in the UK will gain access to super- itself. Technology isn’t just about theon to its already present coffee shops fast broadband by 2015.” More sticker price, and it’s not even about Total(noted by Tracy as essential for any tele- at: http://www.bbc.co.uk/news/ Cost of Ownership (TCO). We have to goworking community) with a multi-pur- technology-11922424. further into the full lifecycle of systems topose event arena, minor league hockey understand their true and lasting impact.team, concerts and live performance arts Technology Enables the New For example, how in the world didevents like Cirque du Soleil. Economic Model the City of Midland, Texas — with only One entrepreneurial startup All of this discussion about the new 103,000 residents — save an impres-attracted to Cedar Park seems to prove economic model begs the question: What sive $1.2 million a year by reforming justthe model’s effectiveness. Interactive has changed to make this all possible? one program? What led them to applyMotion Studios, led by networking Why can’t the old model work anymore? next-generation, IP-based technologyentrepreneurs Mike Lee and Carmichael In a word, the answer is technology. to traffic management and save almostSimon, intends to pair ”best in class Networks, computing, data, social media, $12 per resident, per year, on an ongo-high-end video collaboration services you name it. Waves of separate trends ing basis? If every government agency,(telepresence) with high-end exclusive are converging to fundamentally change city, county and state in America couldworld class movement trainers (dance, the way human beings go to work. replicate these results we might justmartial arts, fitness).” CTO Mike Lee Today’s technology can deliver a far overcome the budget challenges that sosays that the service will allow con- greater impact at a far lower cost than many jurisdictions are currently facing.7sumers to ”reach out and train with ever before, and it’s not just a single trendthe legends of the movement industry — like broadband — that is delivering the Understanding Technology’sfrom the comforts of their living room goods. Certainly, the advent of pervasive, Total Economic Impact (TEI)through the magic of telepresence.”6 ultra-fast, IP-based networks has com- When we talk about the cost of Other cities, states and entire nations pletely changed computing as we know technology, we are typically referringare adopting the same strategy. Many it. But Moore’s Law has also been quietly to the ”sticker price,” or the up-front 3
  • 4. implementation costs. We therefore tend CIO Vision Maturity Model: ”What is your job?” to focus on the most concrete — albeit ”I build a smarter, more interconnected world.” the most incomplete — portion of the (global impact) total financial picture. While we usually take the totality of project implementa- tion costs into consideration, we often forget to factor in long-term maintenance ”I drive economic growth and development.” and support, as well as the business (community-wide benefits) functions and activities that need to go along with it for communications, change management and long-term shepherd- ”I support the frontline agencies.” ing of programs. Rarely do the long-term (Enterprise improvement) benefits, realized over the full lifecycle of the program, enter into our financial evaluations. Many times in government ”I manage the IT budget.” decision-making, even the TCO or the (Internal Improvement) Total Economic Value (TEV) of a system is not taken into consideration during the evaluation process. Thinking only about the ”sticker price” is astronomically higher with all of that number of different trends that have been of technology isn’t just incomplete: it mowing and maintenance. Likewise, our studied separately in technology that are literally shortchanges the future. Without projects should be measured not just in not only advancing quickly, but are con- a concept of TEI, a clear picture of the cost- terms of how many servers, routers and verging to create a whole new generation side of the equation is not being identified, wires we’ve installed, but also in terms of tools, capabilities and outcomes. measured or managed. of statistics such as improved student Initial costs are only one part of achievement, better quality of medical Advanced, IP-Based Networks the bottom line. To understand the TEI care, reduction in the number of people are a Game Changer of technology, there is also a top line who need to tap into our organization’s Advanced IP-based networks have to consider. That means that we need social safety net, improvements in getting been a game-changer for years but to understand the program-level people back to work or better safety of their use has really exploded recently. benefits that are to be achieved outside law enforcement officers in emergency According to a new research study, the of the IT shop, across the community situations. We need to think about how use of video applications is expected at large. TEI is really about moving the technology can be a lever in impact- to quadruple all IP traffic by 2014.8 needle far beyond internal IT goals. It ing these overall community outcomes Cloud-based technology and virtualiza- isn’t just about operating IT better, but — and the ways in which we can use tion have enabled organizations to tap about doing things that improve citizen technology to achieve better leverage for into resources far beyond the borders outcomes and help achieve the larger government as a whole. of their own buildings. In fact, CIO objectives of government. Magazine estimates that in 2012, To put it simply, consider a school The Four Components 70 percent of organizations will use that is building a new sports field. The of Change enterprise cloud technology.9 up-front costs of artificial turf are sub- We mentioned earlier that this was While this technological adoption stantial, but the long-term cost of grass a new world of technology. There are a by government may end up being a bit54 Economic Game Changer
  • 5. slower than in the private sector, it is government worker, citizen and member Surfing the Data Tsunamistill an enormous change. And in recent of the community can be connected from to the Cloudyears we have seen the convergence almost anywhere. At the same time, there has beenof different types of networks over the a literal explosion in the amount ofubiquitous IP, known as everything Bring Your Own Device (BYOD) is electronic data created, communicatedover IP. While perhaps behind a bit in Here … For Better and For Worse and stored around the world. Expertsadoption, government technologists Recent years have seen a new trend have termed this the ”data tsunami” orunderstood the IT demand curve better emerge, namely the concept of ”Bring the ”data deluge.” A recent IDC studythan most and pushed for the adoption Your Own Device.” This is due to the rapid reported that the world’s output of digitalof IPv6 to accommodate the multiplicity expansion of consumer technology that data is more than doubling every twoof devices and need for greater flexibility seems to have turned the whole country years. It’s estimated that 2011 saw thein naming, identifying, securing and into gadget freaks. creation of 1.8 zettabytes (ZB).10managing IP-enabled devices. By Electronic gadgets are no longer the It’s almost mind-boggling to thinkconnecting so many endpoints in so exclusive province of the geek subculture about how big 1.8 zettabytes is. Amany places at such a high speed, a that so many of us joined in the 1970s, zettabyte is equal to a billion terabytes.whole new generation of applications 80s and 90s. It seems now that practically Now that’s a hard number to put inand services are possible. everyone in the modern workplace has perspective, especially when you con- Networks are also becoming much some sort of smart device on their person sider that from the beginning of recordedmore interoperable in general. IP net- at all times. That could be a smartphone, human history through the year 1999,works have really become borderless a tablet, an eReader or some other type the entire data output of the human racein a true sense. They have comprehen- of device. But increasingly, the users we totaled 12 exabytes. One exabyte is equalsive, standardized architectures which serve are bringing their own devices to to the information that would be storedincorporate routing, switching, mobil- work. They’re even bringing their own in 100,000 Libraries of Congress. In otherity and security to ensure that every network connections to work. words, automated systems around the world — and the human users connected to them — created more digital data inEmergence of New Possibilities and Applications 2011 alone than in the entire history of the human race up until 1999. That rate of data creation, storage and manage- ment is only increasing.11 Ultrafast, IP-based Networks Everywhere Social Media Changes the Social Media Landscape of Interaction Data Tsunami Social media has emerged, and it is Bring-Your-Own-Device both creating new information and simul- taneously helping us to make sense of all of it. Human beings are engaging in these borderless networks with this enormous deluge of data, and they’re using much more powerful devices supported by advances in Moore’s Law to connect with each other in totally new ways. 5
  • 6. For example, Facebook.com has gone The building includes a next-generation in traffic volume. As the city began to from an Internet startup to having more IP-network of its own that serves as a grow, traffic management was becoming than 800 million active users. More than platform for the sustainable structure. a high-profile problem. The technology half of those users log in to Facebook The system collects data from the building used by the city to manage the traffic every day. The average user has 130 to understand energy consumption and system was inflexible and at the end of friends. In fact, most government agencies other factors in real-time to inform better its life. Two separate systems were in have already established a beachhead on consumption patterns. Building operations place to manage all of the traffic lights for the social Web and are expanding their systems can literally connect to a cloud- fixed time intervals based on models of presences rapidly. within-the-walls to share data and better peak inbound and outbound traffic flows. optimize the facility. Not only does this save Since the system was old and outdated, The Proof Points: Apps that money for the building’s managers — it replacement parts were scarce.17 Are Already Happening also has a positive environmental impact.14 The city undertook an innovative It’s easy to get lost in the bits and program to completely revamp the bytes of technology and miss the big State of New Mexico: traffic management system with new picture. In the end, technology is all Clouds Rolling In technology. The first part of the new about improving human performance. The State of New Mexico started solution was to create a pervasive wire- It’s about making the time, effort, with the goal of reducing internal IT costs, less network that allowed traffic lights thought and creativity of one human but went much further in its quest for and traffic control devices to communi- being reach farther, do more and have a leading-edge unified computing infra- cate together on a machine-to-machine a bigger impact than ever before. structure. In a $6 million project, New network, sharing the same information Mexico has sought to modernize its across the city. This enabled the city U.S. Federal Bureau of 35-year-old data center with new technol- to change the system from many Investigation: Environmental ogy and capacity.15 New Mexico plans to separated players into an organized, Sustainability consolidate seven racks of old email serv- streamlined orchestra.18 When the Chicago Office of the FBI ers into 1.25 racks, saving floor space in Gary Saunders, transportation man- needed to renovate its building, it looked the process. The old servers cost $43,000 ager for the City of Midland, has estimated beyond the bottom line — towards per year to operate. According to Michael that Midland will be able to reduce the environmental sustainability and making Martinez, director or enterprise operations amount of time that the city spends a global impact. The FBI and its partners for the New Mexico Department of IT, the troubleshooting and resolving problems by looked to the U.S. Green Building Council’s new email servers will cost only $6,000 at least 30 percent.19 Saunders says that Leadership in Energy and Environmental per annum to run. Since that 86 percent the new system delivered a 27 percent Design (LEED) standard for guidance. savings results from dramatic reduction reduction in total delays per vehicle, an This objective certification methodology in power consumption, the benefits go 18 percent reduction in the total stops per sets out goals in a number of key areas: way beyond the bottom line. Reduced vehicle and a 10 percent reduction in total sustainable sites, water efficiency, energy power means reduced carbon emissions fuel consumption. This adds up to $1.2 and atmosphere, materials and resources and fossil fuel consumption — two goals million of annual savings on four major and indoor environmental quality.12 that support the community at large.16 areas alone, assuming average vehicular The federal facility became the first volume. That’s a savings of almost $12 building in the world to earn a coveted Midland, Texas: Directing Traffic a year for each and every resident that ”Platinum” designation under the LEED to the Future lives in Midland. The downtown area even standard, and was one of only 16 LEED Midland, Texas, is home to 103,000 got 95 percent wireless coverage at no Platinum projects anywhere in the world.13 people. In 2007, the city noticed a spike additional cost.2076 Economic Game Changer
  • 7. What’s Next for You? businesses? What does it mean to this adds up to a whole new world of In the end, technology only has value the community? technology — and a whole new world ofif it is put into production. Guiding your 4. Pitch your project to decision- economic impact. community from a 19th-century mindset makers. No person ever succeedsinto this new approach is a challenge, and on his or her own. For your projectit will take time. But we can really reduce to be accomplished, you will need Recommended Readingthe steps down to a few key elements: solid executive support and a team • Transforming American Governance:1. Take stock of your assets. What do that can execute on your vision. Rebooting the Public Square you have going for you already? What Don’t bemoan your lack of resources (Transformational Trends in Governance are your gaps? Entrepreneurially — go get them! and Democracy) minded government officials are Considering the TEI of technology www.amazon.com/Transforming- American-Governance-Rebooting- experts at ”doing more with less.” means that our case workers can visit Transformational/dp/0765627701 It’s important to first assess your more families to protect more children existing capabilities. and keep them out of harm’s way. It • ”Cutting the Cost of Government: Uniting2. Break through ”bottom-line thinking.” means that our law enforcement agents Finance and Technology for Innovation,” Lose the focus on short-term IT can process investigations faster, get Center for Digital Government costs and embrace a bigger picture higher conviction rates and keep the www.govtech.com/library/papers/ Cutting-the-Cost-of-Government-Uniting- framework like TEI. More importantly, streets of their communities safer. It Finance-and-Technology-for-Innovation.html educate your organization on why means that our schools can tap into that matters. real-time data about student perfor- • ”Cloud First, Cloud Fast: Recommendations3. Identify one big, meaningful, auda- mance to make rapid course corrections for Innovation, Leadership and Job Creation,” cious policy goal that will affect in instruction long before a student Tech America Foundation the whole community.21 This must ever fails a course. And it means that www.techamericafoundation.org/ content/wp-content/uploads/2011/02/ go beyond the IT budget. The goal together state and local governments CLOUD2_Report_Cloud_First_Cloud Fast_ needs to be big. How will you attract and the U.S. federal government can Recommendations_for_Innovation_ jobs? How will the change bring more adequately defend the homeland Leadership_and_Job_Creation.pdf new employers or help start new and our critical infrastructure. All ofEndnotes1. Center for Digital Government Interview with Cedar Park City 12. U.S. Green Building Council, ”Hot to Achieve Certification,” 2011. Councilman Don Tracy, January 6, 2012. 13. ”Chicago FBI Building Earns LEED Platinum Certification,” Environmental2. Ibid. Leader, January 7, 2009.3. Ed Silverman, ”Pfizer, Tax Incentives And Jobs: Worth The Price?,” 14. ”FBI Chicago Regional Office Transforms into Intelligent Building for Pharmalot, February, 2011. Environmental Efficiency and Sustainability,” Case Study, Cisco, USAA,4. Center for Digital Government Interview with Cedar Park City and EFT Energy. Councilman Don Tracy, January 6, 2012. 15. Rutrell Yasin, ”Private cloud expected to lift New Mexico’s IT efficiency,”5. ”Fastest growing U.S. counties,” CNNMoney, June 21, 2010. Government Computer News, September 28, 2010.6. Center for Digital Government Interview with Mike Lee, January 11, 2012. 16. Ibid.7. ”City Automates Traffic Management and Gains Unlimited New 17. ”City Automates Traffic Management and Gains Unlimited New Possibilities,” Cisco, 2008. Possibilities,” Cisco, 2008.8. Cisco Visual Networking Index 18. Ibid.9. ”State of the CIO Report,” CIO Magazine, January 1, 2011. 19. Ibid.10. ”‘Digital Universe’ to Add 1.8 Zettabytes in 2011,” Rich Miller, Data 20. Ibid. Center Knowledge, June 29, 2011. 21. This particular step is inspired by that perennial classic of business11. ”Saving Money in Servers and Storage,” Don Pearson, Government literature, Built to Last. Technology Webinar, December 13, 2010. 7
  • 8. Cisco is the worldwide leader in networking that transforms how people connect, communicate, and collaborate.Learn more at www.cisco.com.The Center for Digital Government, a division of e.Republic, is a national research and advisory institute on information technology policies andbest practices in state and local government. Through its diverse and dynamic programs and services, the Center provides public and privatesector leaders with decision support, knowledge and opportunities to help them effectively incorporate new technologies in the 21st century.www.centerdigitalgov.comAcknowledgements: John Miri is Editor-in-Chief at the Center for Digital Government. After a successful career as a private sector software executive, Miri was appointed by the Texas Governor to the top regulatory board overseeing statewide electronic govern- ment. He went on to lead transformational projects for two successive Texas State Chief Technology Officers and has become an advisor and close confidant to leading state and local government CIOs around the nation. As the former Director of E-Government and Web Services for the State of Texas, Miri led the state to breakthrough results of 829 online services, 83 million citizen financial transactions, and $5 billion in online revenue. He helped found three web-based technologycompanies that leveraged Web 2.0 and cloud computing to achieve dramatic results for clients in the commercial markets. Miri has been apassionate advocate of next generation Internet technologies for more than a decade and is a nationally recognized speaker and author ongovernment technology. © 2012 e.Republic. All rights reserved.