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Why cloud
computing and IT
use in the emerging
markets will change
global ebusiness and
egovernment
About me:

*   31 years old, educated as a sociologist and I
    have been and entrepreneur since I was 19



*   Former Head of Division for Danish IT-
    infrastructure and implementation division in
    Danish Government


*   I have been responsible for some of the
    largest and most complex eGovernment
    programmes in the world


*   Just started Porta after quitting government
    (last day at work was Friday)
Denmark:
   Social-liberal
                              5 million
   government
                              people


Nr. 1 in the world in
                           250.000 small
eGovernment readiness
(economist, UN)            companies


           Public healthcare,
           education, university etc.
In Denmark we have a

HUGE problem
one million (a 1/5 of all
danes) work in the publice
sector and a third of these
go on pension within the
next 15 years!
What we tried:

*   Reduce paperload so we could rationalize
    processes



*   Modernize company administration and
    increase government buying effiency


*   Force all Danish companies to use electronic
    invoicing (removing 15 million paper invoices
    pr. year)


*   Spending more than 2b € pr. year to get
    better it-systems
Electronic Invoicing programme:

*   Started in 2005 by law, it became illegal to
    pay a paper invoice for public sector



*   Requiring that 250.000 or 70% of all Danish
    companies used electronic invoicing when
    trading with government


*   Estimating that government would save more
    than 1b € per year



*   And improve tax coverage, transparency and
    efficiency
It did not work…
The companies were
not using electronic
invocing, many of the
expensive it-projects
failed and we could
not prove the effects!
We needed to reboot our thinking:

*   Offer real incentives for companies to use the
    software instead of just forcing them



*   Build lightweight IT that is fast and cheap to
    roll-out in government


*   Make sure cost is not a barrier for small
    companies



*   Build solutions within the constraints of what
    the users can actually do
What happened when we tried that:


  1800
  1600
  1400
  1200
  1000
  800
  600
  400
  200
     0



     Today more than 60.000 companies online
            and 4.000 joining pr. month
Results: Companies are
happy, they save money,
government saves time
and increase tax coverage
while spending less than
before on IT (the project is
now spread to 15 EU countries)
So is the Danish
example an isolated
situation, only
relevant in a small
cold corner of the
world? (-5 degrees celcius
when I left)
The world:
Global trade is reaching
smaller and smaller actors
6 out of 10 people now have cell phones
The mobile network here is faster
than the one I have at home
The future growth of technology
adoption is in the emerging markets
Cloud computing
might be the new
cell networks
But

*     We cant afford not doing something to
      include small business in the new global
      online trade

*     Existing IT-solutions are not dealing with the
      new reality (expensive, cumbersome, closed)


*     Lack of resources is a real barrier for
      adoption in emerging markets and small
      business all over the world


*     10% of the worlds trees are cut down to
      create paper for invoices
Solution? The Danish
case shows us it is
about engineering
within the resources of
those participating in
processes - not the
highest denominator
How constraints is shaping IT



   Cloud      Gov 2.0                             Cellphone
    Twitter                                       sale of
                            Mobile trust          farmer          Open-
                            networks              products        source


                                       Mobile             Lanka
              Open-source              payments           Gate
              eGovernment
Learning from our
experience in Denmark
and EU and believing the
the future of IT usage is
shaped by emerging
markets we started
Porta: Easy, social and
free global ebusiness
http://portaopen.net

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eAsia 2009 presentation

  • 1. Why cloud computing and IT use in the emerging markets will change global ebusiness and egovernment
  • 2. About me: * 31 years old, educated as a sociologist and I have been and entrepreneur since I was 19 * Former Head of Division for Danish IT- infrastructure and implementation division in Danish Government * I have been responsible for some of the largest and most complex eGovernment programmes in the world * Just started Porta after quitting government (last day at work was Friday)
  • 3. Denmark: Social-liberal 5 million government people Nr. 1 in the world in 250.000 small eGovernment readiness (economist, UN) companies Public healthcare, education, university etc.
  • 4. In Denmark we have a HUGE problem one million (a 1/5 of all danes) work in the publice sector and a third of these go on pension within the next 15 years!
  • 5. What we tried: * Reduce paperload so we could rationalize processes * Modernize company administration and increase government buying effiency * Force all Danish companies to use electronic invoicing (removing 15 million paper invoices pr. year) * Spending more than 2b € pr. year to get better it-systems
  • 6. Electronic Invoicing programme: * Started in 2005 by law, it became illegal to pay a paper invoice for public sector * Requiring that 250.000 or 70% of all Danish companies used electronic invoicing when trading with government * Estimating that government would save more than 1b € per year * And improve tax coverage, transparency and efficiency
  • 7.
  • 8. It did not work… The companies were not using electronic invocing, many of the expensive it-projects failed and we could not prove the effects!
  • 9. We needed to reboot our thinking: * Offer real incentives for companies to use the software instead of just forcing them * Build lightweight IT that is fast and cheap to roll-out in government * Make sure cost is not a barrier for small companies * Build solutions within the constraints of what the users can actually do
  • 10. What happened when we tried that: 1800 1600 1400 1200 1000 800 600 400 200 0 Today more than 60.000 companies online and 4.000 joining pr. month
  • 11. Results: Companies are happy, they save money, government saves time and increase tax coverage while spending less than before on IT (the project is now spread to 15 EU countries)
  • 12. So is the Danish example an isolated situation, only relevant in a small cold corner of the world? (-5 degrees celcius when I left)
  • 13. The world: Global trade is reaching smaller and smaller actors 6 out of 10 people now have cell phones The mobile network here is faster than the one I have at home The future growth of technology adoption is in the emerging markets Cloud computing might be the new cell networks
  • 14. But * We cant afford not doing something to include small business in the new global online trade * Existing IT-solutions are not dealing with the new reality (expensive, cumbersome, closed) * Lack of resources is a real barrier for adoption in emerging markets and small business all over the world * 10% of the worlds trees are cut down to create paper for invoices
  • 15. Solution? The Danish case shows us it is about engineering within the resources of those participating in processes - not the highest denominator
  • 16. How constraints is shaping IT Cloud Gov 2.0 Cellphone Twitter sale of Mobile trust farmer Open- networks products source Mobile Lanka Open-source payments Gate eGovernment
  • 17. Learning from our experience in Denmark and EU and believing the the future of IT usage is shaped by emerging markets we started Porta: Easy, social and free global ebusiness

Editor's Notes

  1. A typical IBM project implementation of this size costs between 5-20M €, other three l
  2. A typical IBM project implementation of this size costs between 5-20M €, other three l
  3. A typical IBM project implementation of this size costs between 5-20M €, other three l
  4. A typical IBM project implementation of this size costs between 5-20M €, other three l
  5. A typical IBM project implementation of this size costs between 5-20M €, other three l
  6. A typical IBM project implementation of this size costs between 5-20M €, other three l