Next generation e-government: G-Cloud and beyond

Next Generation e-Government:
The Cloud and Beyond
Oleg Petrov, Program Coordinator, e-Development Thematic Group, Global ICT Department, The World Bank
E-Government Summit
Hong Kong, 8 October 2010

Outline
The E-Gov Story: from Computerization to e-Transformation
Key Aspects of e-Gov 2.0
Latest Technology Trends Shaping the Future
Focus on G-Cloud
World Bank’s Support for e-Government

E-Government Vision: Leveraging ICT to Transform Service Delivery
Some good news:
India: E-services reduced bribe-payments
Source: Survey of e-government projects in India, IC4D 2009
Ghana: Customs clearances went from 2 -3 weeks to 1-2 days with a 50% increase in revenue after applying IT systems.
Korea: Investment of $80 million in e-procurement generated $2.7 billion in annual savings
3

But: ICT investments are also risky
Partial Failures 50%
Successes 15%
Total Failures 35%
e-Government initiatives in
Developing Countries
Guardian headline: “£2bn cost of government’s IT blunders”
The Economist : “Although hopes have been high and the investment has been huge, so far the results have mostly been disappointing…”
Gartner Research :“On an average, $8 out of every $10 spent in IT is “dead money” – not contributing directly to business change and growth”.
Risks are high, though a lot learnt since the early days
Key lesson: Smarter IT spending needed
Source:
Richard Heeks. 2003. “Most e-Government-for-Development Projects Fail: How Can Risks be Reduced?”. IDPM i-Government Working Paper no. 14

Old Model: e-Government 1.0 High Costs – Limited Results
E-Gov 1.0 = Informatization:
Computerizing the “Brick and Mortar” (industrial age) government
Technology/supply/vendor-driven
Ignoring or reinforcing organizational silos
Limited back-end integration and sharing of data, infrastructure and services
Limited process re-engineering that does not leverage the full power of ICT
Limited change management
Limited participation of the citizens and private sector

Project to develop Budget and Public Expenditure Management System in a West African country
Funded by the World Bank, implemented by the Government -- US$30 million
Incorporated 32 Ministries in 10 Regions and across 140 Districts
However, not integrated with the rest of the government and now being scrapped
A new IFMIS system is now being implemented at a cost of US$54 million.
6
Recent Example from Africa: Silos Don’t Work

We can implement post-facto interoperability, but we get a “Spaghetti of interdependencies” among Government applications. Difficult to maintain.
7

Move to a situation in which technology allows you to share services and infrastructure

Sharing Services and Infrastructure
Shared e-Gov Services:Think Modular

Service-Oriented Architecture
Services: Before
Services: After

New Model: e-Government 2.0Maximizing Transformational Impact of ICT
E-Gov 2.0 = eTransformation– next-generation model of ICT-enabled govt transformation into open, participatory, citizen-driven and highly integrated government:
Breaking down organizational silos, creating horizontal, whole-of-govt structures, standards, communities and practice groups
Comprehensive back-end integration and sharing corporate services and systems
Comprehensive process re-engineering that leverages fully the power of ICT (rethinking government in the information age)
Comprehensive change management (“the human factor”)
Active participation (co-creation) of the citizens in policy and decision-making and service design and delivery (Open Government paradigm)
Government letting go and empowering innovation and public-private partnerships (Government as a Platform paradigm)

Key Aspects of e-Gov 2.0
Citizen-centric and driven approach (focus on the demand side, using Web 2.0, open data): USA, UK, Australia, New Zealand, Canada
Sharing infrastructure and services, including via Cloud Computing: UK, US, Singapore, Australia, Canada, Korea, Japan, Denmark, New Zealand
Whole-of-government perspective: Singapore, US, UK, Australia, Canada
Maximum openness, transparency, and accountability: US, UK, Canada
Public-private partnerships: US, India, Ghana, Czech Republic, Estonia
e-Inclusion-for-all & Multi-channel delivery of services, especially via mobile phones, also call centers, single window centers and web portals: Canada, Brazil, Australia, Korea, UK, Singapore, India
Change management and e-leadership from the very top of Government with the growing role of CIOs as key enablers and empowering civil servants to act as change agents: US, UK, Australia, Singapore, Canada, Estonia, Moldova, Sri Lanka, Rwanda, Korea
Process re-engineering/admin reform before automation: UK, USA, Canada, Singapore, Estonia
Secure identification: Belgium, Portugal, Estonia, Malaysia, Pakistan
12

Shaping the Future: Latest Trends
Cloud computing
UK, USA, Japan, New Zealand, Singapore, Thailand, Moldova
Open Data Initiatives
UK, US, Australia, NZ
Government Apps Stores
USA, UK
Mobile service deliverySingapore, Estonia, Philippines, Rwanda, Kenya, India
5. Context Aware Services

The CLOUD

Gartner: Cloud Computing is at the Peak of Inflated Expectations

Open Data: USA

Open Data: UK

Government Apps Store: USA

Government Apps Store: UK

Mobile phones are the single largest delivery platform in the world
Governance
&
Social Development
Business Registry
Collateral Registry
Largest Ever
Delivery Platform
> 4 Billion Mobile Phones
e-Customs
Civil Registry
e-Taxation
Land Registry
Motor Vehicles Registry
Credit Rating

Future is Mobile
4.8 billion mobiles
176.1 million connections added in the first quarter of 2010
Nearly 60 million mobile subscriptions being added a month
160 percent increase in mobile data traffic over the past year
2.4 times faster growth in mobile broadband than fixed broadband data traffic
By 2014, more than 400 million of the world's Internet users could access the network solely through a mobile connection
Source: Wireless Intelligence, Q1 Quarterly World Review and ITU, Measuring the Information Society, 2010; Cisco Visual Networking Index Forecast, 2010.

Percentage increase in GDP with every 10% increase in ICT penetration
Source: World Bank, ICT4D 2009 report

80
67.0
Mobile
70
60
50
Per 100 inhabitants
40
30
25.9
Internet users
20
17.8
Fixed
10
9.5
Mobile broadband
Fixed broadband
7.1
0
98
02
04
05
06
07
08
09
99
2000
01
03
Source: ITU, Measuring the Information Society, 2010
Explosive Growth of Mobile Phones

Rapid Growth in Global Mobile Data Traffic
Exabytes per month
Source: Cisco VNI Global Mobile Data Traffic, 2010

Next in Services: Context Aware Services
Anywhere, anytime, any device
Future is mobile
Open standards
Modular development of applications (aka Service Oriented Development of Applications or SODA)
Business analytics
Sensor technologies
Source: adapted from ITU, 2010

What is cloud computing?Different definitions in scope and content

Cloud computing delivery models
Software as a Service (SaaS)
The capability provided to the consumer is the use of the provider’s applications running on a cloud infrastructure and accessible from various client devices through a thin-client interface such as a web browser
Platform as a Service (PaaS)
The capability provided to the consumer is deployment onto the cloud infrastructure consumer-created applications using programming languages and tools supported by the provider
Infrastructure as a Service (IaaS)
The capability provided to the consumer is the provision of processing, storage, networks, and other fundamental computing resources where the consumer is able to deploy and run arbitrary software, which can include operating systems and applications

NIST: Cloud Computing Deployment Models
Private cloud
The cloud infrastructure is operated solely for an organization
Community cloud
The cloud infrastructure is shared by several organizations and supports a specific community that has shared concerns
Hybrid cloud
The cloud infrastructure is a composition of two or more clouds (private, community, or public) that remain unique entities but are bound together by standardized or proprietary technology that enables data and application portability
Public cloud
The cloud infrastructure is made available to the general public or a large industry group
+
…….
+
…

Government expenditure on ICT is large and growing
According to Gartner:
worldwide central government IT spending is to grow by 4 per cent in 2010 tomore than $244bn
total local government worldwide ICT spend will grow to more than $179bn
combined, the ICT spend is expected to exceed $423bn
Source – www.data.worldbank.org

Key Benefits of G-Clouds

Country Examples:USA
In September 2009, the Federal Government’s Cloud Computing Initiative was announced, GSA serving as a provisioning hub for Government Cloud
Apps.gov was established as a “cloud computing storefront”
About a half of US governmental agencies use some cloud computing technologies
By 2014, over $1 billion of the federal IT budget would be devoted to cloud computing
By moving to a cloud service, GSA now pays an annual total of $650,000 for USA.gov and all associated costs, a costs savings of $1.7 million, or 72 percent
Defense Information System Agency estimates about $15 million in cost savings
The migration to the Cloud could save Washington D.C. City Government 48% on e-mail expenditures and the City of Los Angeles 23.6 %

Country Examples: UK’s G-Cloud
The G-Cloud program is a key part of the new Public Sector ICT Strategy
All G-Cloud services will be delivered to the future ‘Common Desktop’ which will include both desk based and mobile devices
The G-Cloud will be a combination of the private cloud and trusted elements of public clouds
- The G-Cloud Program is expected to deliver the following savings:
£300 million per annum (by 2015) by consolidating data centres in use across the Public Sector against estimated current spend in the order of £5bn; and
£500 million per annum (by 2020) against an estimated current spend in the order of £5bn, through faster and more effective procurement of infrastructure and services through the Applications Store for Government (ASG).

Country Examples: Japan
Kasumigaseki Cloud
The KC is part of Digital Japan Creation Project
Developing the KC in stages by 2015
The Ministry of Interior and Communication is responsible
The KC will enable various ministries to collaborate, integrate and consolidate hardware and create platforms for shared functions
Existing back office systems, such as payroll, accounting, and personnel management, will be virtualized and hosted in the private cloud. Some front office systems, such as electronic procurement, will be virtualized to a public cloud
- The KC will use green technology to help cut costs. The data centers will be built in cold regions, will use wind and solar power, will run on DC power, and may be placed underground where temperatures are stable

Country Examples: South Korea
- Korea’s Communications Commission has announced commitment of over $500 million to the development of Korean cloud computing facilities
In June, the Ministry of Knowledge Economy announced plans to develop technology linking mobile and cloud computing, at a cost of 274.5 billion Won ($230.7 million)
South Korea is moving 17 critical applications to the Government Cloud
The Government’s aim is to stimulate the development of the Korean cloud computing market
A further benefit is that government agencies can use the onshore cloud capabilities to reduce in-house ICT costs – overcoming the reluctance of agencies to use offshore clouds
The goal is reportedly to capture 10 per cent of the global cloud services market by 2014 and to halve the cost of operating the public sector’s ICT infrastructure

Country Examples: Australia
The Australian Bureau of Statistics implemented its own private cloud with the potential to host the 2016 eCensus thus avoiding a $9 million outsourcing contract
During its transformation the ABS went from more than 300 physical servers to 70 which are now hosting around 1500 virtual machines
The ABS had 30 people managing server infrastructure before implementing private cloud and today they have seven

Country Examples: SAR Hong Kong
the Government cloud strategy is still under preparation
in the initial phase to use some kind of private cloud to support government capabilities
Office of Government Chief Information Officer as potential cloud supplier to government departments
Hong Kong government will use cloud computing to:
facilitate internal collaboration
facilitate communication within the government, government-citizen and government-businesses
facilitate information management - record keeping for instance
human resource management services

Moldova Cloud: First World Bank G-Cloud Project
M-Cloud first WB Government Cloud project
Internal (private/community) government cloud, defined as a multitenant, dynamically provisioned and optimized infrastructure, with some public cloud elements
Will initially be a Mini-cloud, and will incorporate a Mobile applications platform
Will target three categories
i) government ministries, SOEs, departments and agencies
(ii) SME engaged in the development and delivery of IT services
(iii) universities for research and development

About Us: Strategic Themes
Focus on 3 inter-related strategic themes…
The introduction of information and communication technologies to improve the delivery of public and private services.
ACCESS
TRANSFORMATION
INNOVATION
The use of information and communication technologies in transforming traditional sectors and creating innovative new sectors.

About us: What we do…
Sector reform: Bank active in 105 countries in last 10 years, infoDev’s regulatory toolkit and Open Access research
PPPs for backbone infrastructure: IFC-led EASSy Project (22 countries, 30 operators, 4 other DFIs) in Africa – Bank-led Regional Communications Infrastructure Program (RCIP)
Wireless: IFC financing have so far contributed to 225 million mobile subs
Infrastructure: IFC financing for Shared towers (Turkey and Brazil); Bank support for rural infrastructure (India, Sri Lanka);
New broadband solutions: WiMax (Ukraine, Uruguay), Cameroon / Central Africa (Pipeline), West Africa (Electricity Transmission), Broadband wireless (Afghanistan)
ACCESS
Banking the unbanked: IFC support to m-banking -WIZZIT (South Africa), Digicel in Caribbean, Millicom; infoDev’s m-banking knowledge map and research
e-Government: Bank support in Vietnam, Ghana, Mongolia, Kenya; IFC support to Sonda (Chile), IBS (Russia), Meteksan (Turkey), Chinasoft; infoDev’segovernment toolkit
e-Health: Investing in cellular-based health systems, Voxiva (Africa – LAC), health data management
Education: IFC support to Socket Works (Nigeria), new Bank-led ICT Skills development Initiative, infoDev’s ICT in education toolkit in partnership with UNESCO
Partnerships and Knowledge: M-Banking Conference (GSM Assoc., DfID, CGAP), Industry Partnerships, e-Transform Initiative, e-Development Thematic Group
TRANSFORMATION
Suporting the growth of IT/IT enabled service industry: Bank’s support in Ghana, Mexico, Kenya, Sri Lanka; infoDev’s research on ITES industry and IT parks
Cellular Distribution Facility: IFC- financed working capital facility program offering local banks creditline to cellular distributors to buy bulk airtime aimed for retail market
Supporting the development of an ICT-Enabled innovation network: Leveraging infoDev’s business incubator initiative, which provides financing and TA to over 150 incubators for 9000 MSME businesses in 75 countries
Supporting the development of holistic ICT policy frameworks: Increasingly developing countries are recognizing the linkage between innovation and economic development and GICT is working with several countries
Creating systems of innovations: DFID Low Carbon Innovation Centers, clean energy innovation centers (with ESMAP and the Bank's Energy Sector)
INNOVATION

STRATEGIC FOCUS
POTENTIAL APPLICATIONS
BANK PROJECT EXAMPLES
Records Management systems - HR Management Systems, online job listings- e-Pensions Administration
SRI LANKA: e-Sri Lanka Program; (US$ 53 mil): Creation of a ‘single window’ for gov services; inter-connected government agencies for improved productivity
Administrative
Management
Treasury systems to improve fiscal control - e-Procurement for checks on govt. purchasing- e-Taxation for efficient revenue collection
CHILE: Public Expenditure Management Project, ($23 Mil) improve transparency of public finance via a modern and integrated IFMIS
Accountability
e-Gov portal for 24/7 service delivery- e-services to reduce exploitation, official discretion - e-democracy to empower citizens
GUATEMALA: GT TAX ADMIN. TAL, ($28 Mil): Computerized tax collection sytem to improve convenience to citizens and accuracy in revenue collection
Citizen-centric
Governance
Court MIS, e-case filing to expedite processes- Legal systems for judges- Public awareness via online case data
EL SALVADOR: Judicial Modernization Project; ($ 24 mil) automates case management programs, and provides e-learning for judicial employees
Law & Justice
Examples of WB e-Gov Investments

The World Bank’s Standalone ICT/eGov Projects
Kenya. US$157 million for pro-competitive regional communications infrastructure, regional policy harmonization, enabling environment, e-Government applications. Several phases, from 3 – 25 countries.
Vietnam. US$96 million for implementation of the National ICT Strategy, enterprise architecture, e-applications, capacity building.
Mexico. US$80M for IT-enabled services industry development.
Romania. US$60 million for developing e-Government, Broadband and Knowledge Economy.
Ghana. US$57M for e-Government and IT-enabled Service Industry.
Sri Lanka. US$53M for developing e-Government, Broadband, IT industry and e-society.
Organization of Eastern Caribbean States. US$7 million for regional e-Government applications that use economies of scale.
Rwanda. US$10 million for Government reengineering, e-Government applications, and rural access.
Moldova. US$15 million for e-Transformation program (G-Cloud, Mobile apps, Apps store, e-procurement and open data)

E-Transform Initiative
OPPORTUNITY
WHAT ARE WE TRYING TO ACHIEVE?
Average number of trips saved by citizens to government offices due to e-services in India
Accelerate ICT-enabled government transformation
Build Government capacity to manage IT projects, help Governments spend their IT dollars more efficiently
Showcase best practice
Connect practitioners with implementers & experts
Technical assistance for project design and enabling environment
Finance firms willing to competitively partner with govts: PPP models
eTransform Video on Youtube: http://www.youtube.com/watch?v=rrRIAcvC-Ks
Waiting time saved for citizens at government offices due to e-services in India
Source: Survey of e-government projects in India, IC4D 2009

Beyond the traditional Bank’s business model

Access to Global Expertise: e-Transform High-Level Experts Group
Members :
The e-Transform High-Level Experts Group provides senior leaders in government transformation with insightful advice and knowledge that comes from world-class leaders in the field of ICT and government e-transformation
This unique group aims at implementing new breakthrough initiatives and efficient processes and services within nominated countries, through targeted advisory work, shared knowledge base and tools/resources that demonstrate the value of proven approaches to government transformation
John Suffolk (Government CIO, UK)
Andrea Di Maio (VP Research Gartner)
Corinne Charette (CIO Canada)
Stephen Fletcher (President NASCIO, USA)
ArvoOtt (Director, eGovernance Academy, Estonia)
James Kang (Government CIO, IDA Singapore)
Francisco Garcia Moran (Director General, European Commission)
R.Chandrasekhar (Secretary Department of IT, India)

Arvo Ott,
E-Gov, Estonia
John Suffolk,
CIO, UK
Francisco Garcia-Moran, EU
Andrea di Maio,
Gartner
Corinne Charette, CIO, Canada
R. Chandrashekhar,
Secretary, India
High Level Expert Group
Stephen Fletcher
President, NASCIO
James Kang, CIO, Singapore
Deepak Bhatia
World Bank
Jane Treadwell
World Bank
Randeep Sudan
World Bank

e-Transform in Moldova
4 consultations with global experts culminating in the Aug 12 eTransformation Leadership Roundtable
With participation of Robert Zoellick, the President of the World Bank Group, Prime Minister VladFilat, most Cabinet Ministers and Deputy Ministers
Panelists:

Mr. John Suffolk, Government CIO, Cabinet Office, UK
H.E. Mart Laar, Former Prime Minister of Estonia, Member of the Estonian Parliament
Mr. Andrea Di Maio, Vice President and distinguished analyst, Gartner Research
Mr. Chin Siong Seah, CEO, IDA International, Singapore
Mr. Anthony Townsend, Director of Technology Development, Institute for the Future, USA

e-Development Thematic Group: Global Knowledge Sharing and Policy Dialogue
Global virtual forum for knowledge sharing and learning on the use of ICT in development
A global community of practice since 2000 with over 3000 members and over 200 learning events delivered to date
Innovative use of Twitter, Facebook, LinkedIn, videoconferencing, webcasting and webinar tools
Website: www.worldbank.org/edevelopment
We invite new partners
and members! Join us!
edevelopment@worldbank.org

Thank you!
Oleg Petrov, Program Coordinator,
e-Development Thematic Group,
Global ICT Department, World Bank/IFC
opetrov@worldbank.org

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Next generation e-government: G-Cloud and beyond

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