Kalsi 6 3 06

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Stanford University, CA, USA 3rd June 2006 : 

Stanford University, CA, USA 3rd June 2006 Nirmaljeet Singh Kalsi IAS, BE IIT Roorkee, M.Tech. IIT Delhi Director-cum-Secretary, Department of Information Technology Managing Director, Punjab ICT. Corp. Ltd. Commissioner NRI Affairs, Government of Punjab Challenges of Economic Policy Reforms in Asia The State Level Perspectives & Reforms in the State of Punjab


Punjab: The Gateway to central Asia Location 29’30’’ N to 32’32’’ N latitude and 73’55 E to 76’50 E longitude Opportunities for trade with Central Asia


Punjab: The Basic Profile Gross Domestic Product $17.30 Billion (2004-05), $86.5 Billion at PPP State Govt anticipates growth rate of 6.4% in 2006-07 Primarily an Agricultural Economy in the Past With New investment of over $17 Billion already approved Agriculture - With 1.56 % area contributing >50% to central food pool Strong SME Base - 2,00,000 SMEs, 600 LSI units Source: CMIE, December’05


Punjab : An Economic Overview Source: CMIE, December’05


Punjab leads the country in Infrastructure Punjab offers best quality Infrastructure in the country Source: CMIE


The Punjab Vision

Governments worldwide in the past: 

Governments worldwide in the past If it moves - Tax it. Ronald Reagan If it keeps moving – Regulate it. If it stops – Subsidies it.


Good Governance “The process whereby public institutions conduct public affairs, manage public resources and guarantee the realization of rights and services in a manner essentially free of abuse and corruption, and with due regard for the rule of law.”


Components of Good Governance Source: UNESCAP Good Governance Free Market Education Minimized corruption Generally merit based society Improved delivery of Services


ICTs can help in Implementing all the above components for Good Governance 20% Technology 35% Process Re-engineering 40% Change Management E- Governance 5% Luck

How can we improve Governance? Mathematical Simulation Model for Corruption: 

How can we improve Governance? Mathematical Simulation Model for Corruption To reduce corruption Finish monopoly through multiple service delivery channels Reduce & streamline discretion Introduce accountability - at all levels Reduce authority – Empower lower staff Improve ease and transparency Corruption = (Monopoly + Discretion – Accountability) x Authority Transparency IT & e-Governance can help in all of the above


Focus on promoting and demonstrating the values of Good Governance by divesting non core roles to the private sector. Un-bundle competitive & commercial functions from State’s roles and privatize these Un-bundle the role of Regulator, developer, Executor Work Towards free market environment Shift from Command- control regulated regime to market driven system Focus on engaging stakeholders & making Transparency and Accountability real by ensuring clarity in the functions & responsibilities Implementation of e-procurement Strengthening Institutions to perform State domain roles Law & Order and Justice Basic Infrastructure Development – Municipal/ Rural Development Fund Basic Education & Healthcare Social Security –Social Security Cess Reforms Agenda for Good Governance Re-inventing the Government for Good Governance


Right-sizing the Government Restructuring of Departments in the light of changing realities Improve effectiveness and efficiencies thereby reducing costs Government Process Re-engineering & Administrative Reforms Accelerate Development through alternative models such as PPP Democratic Decentralization Devolution of Responsibilities, Powers and Resources to Local Self Government (Panchayats, Municipal Bodies etc) Involve general public and communities to ensure transparency and quality of service by local bodies Empowerment of Citizens, especially the women, senior citizen & the disadvantaged Creating Citizen Awareness Citizen Charters Ensuring Right to Information Protection of Human Rights Reforms Agenda for Good Governance Re-inventing the Government for Good Governance

Reforms Regarding Institutional Framework & Friendly Regulatory Environment: 

Reforms Regarding Institutional Framework & Friendly Regulatory Environment Punjab Industrial Facilitation Act, 2005 is in place to provide single window service Single point project clearance within a stipulated time frame Special provisions for facilitating mega projects by a committee headed by the Chief Minister Self-certification provided under various labour laws Declaration of key industries as ‘public utility service’ Full flexibility under labour laws to the extent of the State Government’s power Punjab Infrastructure Development Act has special provisions for Public-Private Partnership projects

Scope of Interaction with Government: 

Scope of Interaction with Government Interactions with Government 50 interactions 10 departments 40 interactions 8 departments 120 interactions 20 departments 500+ interactions 100 departments


Citizens Centric Approach Focus on the purpose and on outcomes for citizens and service users Higher Customer Value & Customer Satisfaction Integrated Services under One Roof – Single Point of Contact Alternate Service Delivery Models , Education & Health Sectors. User charges for most of the services for self sustainability Provide Service at Overall Lower Costs to the Citizen & Government Improve Quality of both Service & Delivery through the use of ICT Responsiveness through Defined Service Levels Accountability & Transparency -Well Designed & Documented Processes Reduce monopoly through multiple service delivery channels and Reduce discretion by Reviewing & Standardizing Operating Procedures Confirmed Process Completion Dates Vertically & Horizontally Integrated Services & Databases across Departments Focus on developing the effectiveness, capacity and capability of the governing body / staff Reforms Agenda for Good Governance Re-define Service Delivery


Information Delivery of service Service Centers Monitoring Service Levels are the Drivers

Human Resource Development & Capacity Building: 

Human Resource Development & Capacity Building Pursuing State-wide Capacity Building Initiative in-line with National e-governance Action Plan Capacity = Knowledge + Power Knowledge without Power is ineffective Power without Knowledge is dangerous


STAKEHOLDER EXPECTATIONS e-Governance Roadmap ICT Enablement STAKEHOLDER EXPECTATIONS Policy Framework in the Government Deliver e-Governance

E-Governance Roadmap: 

Policies Defined Core Infrastructure/ Databases Core Applications Departmental Applications IT Policy Strategic IT Action Plans IT Architecture State Technical Standards Security Policy Network policy Resource Acquisition Policy HR Policy Institutional Framework Procedures Video Conf HR- CIOs, Dy CIOs PKI & Digital Signature Database- Citizen, Business, Property Punjab WAN & OFC Departmental LANs Access Infra/ PCs Public Kiosks Internet Data Centre GIS System Integrated Citizen Services- Suwidha Centers NRI Service Web Services On-line Transaction processing Multi Service Citizen ID Smart Card Executive Info System E-mail and VOIP LAN Applications HR Management Treasury & Finance Engg Applications Excise & Taxation Prop Registration ICT Education in Govt. Schools Social Security Panchayats Health Care Land Records Transport Dynamic Web Sites Local Government PSEB Employment Police E-Governance Readiness of Govt of Punjab….. E-Governance Roadmap


Implementation Strategy for Success Think big Vision- Have BIG Picture in Mind Plan, Plan, Plan…… Process Re-engineering Start small Demonstrate proof of concept Gain stakeholders confidence Ensure self-sustainability- Financial & Administrative Grow fast Scalability Sustainable revenue model Percolation of e-Governance through PPP


“Make Government Businesslike” Strategy for Citizen Services CAPTURE the Private Sector Profit Motives Customer orientation Efficiencies Management Practices Financial Resources HR Talent Entrepreneurship While keeping Govt’s Social Responsibility Public orientation Equality and justice Affordability Accountability Objectivity Transparency Ultimately Financial Motive is the Single Biggest Success Driver Treat EG Projects as Infra Projects Build PPP for Individual Projects Private financing wherever possible Govt. financing where necessary Underlying Principle


A Practical Target Year 2020 Year 2010 Outcomes 90% Content & Services online All backend processes online All G2G transactions online Year 2007outcomes Core Applications in place Wide Area Network in place e-Gov Directorate in place Govt.Portal in place Year 2008 Outcomes All G2B & G2C services online Group Applications in place Certification Authority in place 2006 2007


Empowered Committee Under CS Punjab State E-Governance Society Punjab Land Records Society District Sukhmani Society for Citizen Services eGov Projects Ownership Of Project by Individuals/ Depts IT resource Acquisition & Disposal policy Land Records Registration Transport MSC SUWIDHA Sukhmani ICT PUNWAN Pn Facilitative Environment IT Vision Group & Cabinet Sub-Committee on IT Chaired by CM Punjab Infrastructure Development Board Departmental Committee on IT Chaired by Minister Third Party Expertise (Consultants, Best Practices) (eGov Focus) The Organizational Framework Policy level Advice on matters relating to Information Technology Decisions on behalf of the cabinet


The Institutional Structure Strategy Operation Support Programme Project IT Vision Group (ITVG) State Apex Committee (CS) Department of IT ( DoIT ) Project Implementation Unit (PIU) Punjab Infotech Project eGov Mission Team ( PeMT ) Punjab State eGov Society (PSEGS) Department of IT ( DoIT ) SeMT State Government Council (CM) Strategy Operation Support Programme Project IT Vision Group (ITVG) State Apex Committee (CS) Department of IT ( DoIT ) Project Implementation Unit (PIU) DoIT / PICTC Project eGov Mission Team ( PeMT ) Punjab State eGov Society (PSEGS) Department of IT ( DoIT ) SeMT State Government Council (CM)

Worldwide ranking on E-readiness : 

Worldwide ranking on E-readiness Source: EIU/IBM e-readiness ranking 2005

Top ten ranks on key-criteria E-Readiness Index: 

Top ten ranks on key-criteria E-Readiness Index Source: EIU/IBM e-readiness ranking 2005

National e-Governance Plan (NeGP): 

National e-Governance Plan (NeGP) National e-Governance Plan – GoI Attempt at this Transformation: Mission Mode Projects - 26 Core Infrastructure Core Policies Key features of the Strategy include: Centralized Initiative, Decentralized Implementation Focus on Services and Service Levels Identify, Appoint & Empower Mission Leaders Create mechanism for effective Private Sector participation Service delivery through Common Service Centers Think Big, Start Small and Scale Fast

National e-Governance Plan (NeGP) contd..: 

Key features of the Implementation Approach Approval of broad framework & strategy Identification of priority projects by CGAR / NDC at Center / States & local bodies (Mission Mode Projects) Line ministries to take ownership and responsibility for implementing & overseeing projects in their sectors Identify, position , train & empower project leaders with stable tenures National e-Governance Plan (NeGP) contd.. Three Pillars of NeGP envisaged Citizen Service Centers (CSCs) State Wide Area Networks (SWAN) State Data Centers (SDC)

NeGP Framework: 

Industry Initiatives Banking Insurance National ID Central Excise Income Tax DCA 21 Passports/Visa & Immigration Pensions State Government Projects (Sub Programme) Land Records Property Registration Transport Agriculture Municipalities Gram Panchayats Commercial Taxes Treasuries Police Employment Exchange Program Components Central Government Projects EDI e-BIZ Common Service Centers India Portal EG Gateway e-Procurement e-Courts Program Management Structure Apex Committee Core Policies Core Infrastructure Support Infrastructure Awareness & Assessment Organization Structures R&D Integrated Services Technical Assistance HRD & Training NeGP Framework Integrated Projects

Blueprint of India’s eGov Plan – 2005 –2008: 

Blueprint of India’s eGov Plan – 2005 –2008 Core Policies Budget $3225 M


Opportunities under NeGP


e-Architecture for Service Delivery 2500 142 74 18 50 20 10 10

e-Governance Success Stories in Punjab so far & still counting…..: 

e-Governance Success Stories in Punjab so far & still counting…..


SUWIDHA Objective Scope Impact Status More than 20 types, 120 Citizen Services of Deputy Commissioner offices in an Integrated, time bound manner under one roof Services provided in all the 17 DC’s Office and 54 Sub-Divisions on a self sustaining (User Charges) basis. In-house Software by NIC More than 400 Service Windows at District level & SDM Level 1 million transactions per year at District level Likely to be Many times at SDM office level Now Web based Services for NRIs within 6 Months Back end revamp & Re-engineering within 6 months

e-Governance Report Card: 

e-Governance Report Card

SUWIDHA Services: 

SUWIDHA Services


SUWIDHA Architecture

How SUWIDHA is different?: 

How SUWIDHA is different? Was Ranked # 1 at National Level as best Citizen Services project. Uniform Facilitation charges with firm Timelines for the delivery of various services Service to citizen on a nominal charge - Self sustainable business model. Standardized processes/ Appl throughout the state. Business process re-engineering done at application development stage

How SUWIDHA is different?: 

Status is available through Web and phone. Automated & integrated Back-end Processes for speedy delivery of services Easily integrable with Common Service Centers /Village Knowledge Centers Projects M-Governance (Mobile Governance) introduced at some places Delivery of services to citizen by post / Courier on extra payment How SUWIDHA is different?

Excise & Taxation: 

Excise & Taxation Objective Scope Impact Status To bring efficiency in tax collection mechanism & Implement VAT 31 State Barriers, 100 Excise and Taxation Offices, 825 users interconnected for ST assessment & control of tax evasion/leakages Rs. 500 Bn. Import, Rs.300 Bn. Exports. 10 Mn. Transactions/ Yr 158,000 returns every quarter. Rs. 9-11 Bn. Revenue increase this year. Bikri –Kar sewa centers, Web enablement for e-filling of returns To be implemented this year

ICT Education: 

ICT Education Objective Scope Impact Status “ICT Enablement of young Punjab for facing the Global competition in a Knowledge Economy” Introduce ICT education in Government Schools (6th – 12th Class) with IT infrastructure on lease basis, and teachers hired on contract 50,000 PCs, 5422 Schools, 7046 Teachers, 27 Teachers training centers All labs with Broadband/ Dialup Internet Connectivity 1.15 Million students benefited in 2 phases covered Another 0.25 Million to be coved in Phase III by July 2006 State level Microsoft Academy to be in place by June 2006 Microsoft Software + Curricula 27 Training Academies for ICT Training of Subject Teachers

Land Records & Registration of Properties: 

Land Records & Registration of Properties Objective Scope Impact Status To provide Land Records related services through multiple common access infrastructure. 1.3 Mn Copies of record , 0.6 Mn. Ownership change every year To Integrate and computerize all land records & 0.4 Mn. Property Registration (in Punjab on a self sustaining (BOOT) basis Pilot in Jalandhar Extremely successful. Registration turn around time reduced from 3 Days to few hours Stamp revenue increased from Rs. 8 Bn. To Rs. 20 Bn. To be rolled out at 153 delivery channels 72 Sub-Divisions & 81 Sub Tehsils Centers by 2007. Selection of BOOT Operator for Statewide rollout on PPP in progress. Likely to start statewide services in 6 months


Land Management System - Overview LAND MANAGEMENT SYSTEM Forward Integration with Land Records Software and Database Backward Integration with Deed Writer Module

Social Security Services: 

Social Security Services Objective Scope Impact Status Computerization of Social Security Pension Accounts for time bound sanction and disbursement of pension & plugging of leakages To automate disbursement & accounting of Social Security Rs. 3.4 Bn. to 1.12 Mn. beneficiaries in 12500 villages & 134 towns Disbursement from quarterly to monthly Painless reconciliation with banks Easy detection of fraud cases Has been rolled out in all districts Web based grievances and status checking within this year

Motor Vehicle & Transport Services: 

Motor Vehicle & Transport Services Objective Scope Impact Status Provision of hassle free and efficient service delivery mechanism for Transport Dept. services for 4.5 Mn. Vehicles & associated users Computerization of processes related to driving licenses and vehicle registration certificates Selection of BOOT Operator for Statewide rollout on PPP model in Progress Issuance Time for Driving License & Registration Certificate Reduced from 15 days to less than an hour

Common Service Centers on PPP: 

Common Service Centers on PPP Objective Scope Impact Status “Integrated Citizen Services of All the Departments under one roof” (being upgraded to CSCs) Currently utility and information services related to 20 departments being offered on self sustainability model (rationalized user charges) Single Window Service in the locality in conducive environment with committed service levels To be rolled out on CSC model in 2000 rural & 500 urban Centers in 2006-07

Multi Service Smart Cards: 

Multi Service Smart Cards Objective Scope Impact Status “To provide an All-Purpose-Smart-Card to facilitate delivery of Single-Window On-the-Spot Services” Creation of Authenticated Citizen Data Repository after door-to-door collection of citizen data One Time Capture of Data and Usage of Authenticated Database for Delivery of Multiple Services To be rolled out in 2 sub-divisions in 6 months

State Wide Area Network: 

State Wide Area Network Objective Scope Impact Status “Establishment of State-wide Wide Area Network – A Core Infrastructure Component for e-Governance Initiatives” Converged State Wide Network Connecting all the administrative units and line departments from State HQ upto Block Level with Provision for Beyond Block Connectivity Delivery of Data, Voice and Video based G2G & G2C Services across length & breadth of the State (>2500 WAN connections with a project outlay of Rs. 0.86 Bn.) Connectivity upto Block Level within an year

Success factors: 

Success factors Fair deal for all stakeholders Perceived value & completeness of service to the citizen Branding, consistency and Quality of service The citizen experience is the publicity Well defined project structuring with clear ROI Scalability, self-sustainability & quick replicability Simplicity of processes & technology Affordability, ease, friendlinessss Quick action on user feedback Regular reviews at the highest level End-to-End technical assistance & support by Technology Partner


e-Readiness Index of States Kerala, Gujarat, Goa, Delhi Punjab, Haryana West Bangal, Pondicherry Madhya Pradesh West Bangal, Pondicherry Madhya Pradesh Mozoram, J&K, Assam Meghalaya, Uttranchal, Jharkhand Manipur, Tripura, Arunachal Pradesh Bihar, Daman Diu, Nagaland, Lakshadweep Karnataka, Tamil Nadu, AP, Maharastra, Chandigarh


www.doit.gov.in Punjabsewa.gov.in www.punjabinfotech.org Punjab.gov.in THANK YOU Nirmaljeet Singh Kalsi, IAS, MD,Punjab Infotech, Chandigarh Tel. 0172-2604892( Telefax ), 2704717 Residence: # 906, Ministerial Complex, Sector 39-A, Chandigarh Tel.:0172- 2688609 Director-cum-Secretary, Department of Information Technology, Government of Punjab, E-Mail :- [email protected] [email protected] [email protected],gov.in [email protected] ?

Driving the Value Cycle Access- Connectivity - Content: 

Driving the Value Cycle Access- Connectivity - Content TV/ Mobile Value Cycle ICT Value Cycle Equipment Connectivity Applications & Content

ICT Infrastructure is the key: 

ICT Infrastructure is the key Source: NASSCOM (Operational Bandwidth Survey)

Indian ICT Capacity: 

Indian ICT Capacity


Good Governance Focus on the purpose and on outcomes for citizens and service users by Ensuring clarity on the organization's purpose and its intended outcomes for citizens and service users Ensuring high quality service to the users Ensuring value for money for tax payers Focus on effective performance through clearly defined functions and roles by Ensuring clarity in the functions of the governing body Ensuring clarity in the responsibilities of non-executives and the executive, along ensuring execution of the same Ensuring clarity in relationships between governors and the public Focus on promoting and demonstrating the values of good governance by Practicing organizational values Ensuring that the Individual governors’ behavior uphold and exemplify effective governance


Focus on taking informed, transparent decisions and managing risk by Ensuring transparency in decision making Ensuring use of good quality information, advice and support Ensuring use of effective risk management systems and practices Focus on developing the effectiveness, capacity and capability of the governing body by Ensuring right skill sets, knowledge and experience for the members of the governing body for effective and efficient performance Developing the capability of people with governance responsibilities and evaluating their performance, as individuals and as a group Ensuring to strike a balance between continuity and renewal of membership in the governing body Good Governance Focus on engaging stakeholders & making accountability real by Demonstrating clarity in understanding formal and informal accountability relationships Adopting an active and planned approach to dialogue with and accountability to the public Adopting an active and planned approach to responsibility towards the staff Ensuring effective interaction with the institutional stakeholders


State Data Centre Functions Central repository Disaster Recovery Remote Management State Portal External Connectivity Online Delivery of Service Services Revenue (Land Records & Property registration) Transport Utility Electricity Employment DC office (Certificates, Permissions, Licenses, NOC’s etc) Multi-Service Card Excise and Taxation Education and Training Social & Welfare Schemes Industry Agriculture Ex-Servicemen Estimated 7 transactions every second from first 7 services only

Indian Economy An Overview: 

Indian Economy An Overview Economic Growth Sustained economic performance Average since 1991 6.2% 2004-05, 2005-06 7 %, 8% Forecast till 2050 –Goldman Sachs 5 % p.a. Services account for over 50% of GDP, manufacturing 24%, Agri 26% Manufacturing sector grew at 9% in 2004-05 GDP: 780 Billions Trade (2004-05) Exports growth 24% in 2004-05 reaching US$80 billion Imports growth 35% reaching US$106 billion

Indian Economy An Overview: 

Investment - Foreign Investment > US$ 40 billion Foreign Currency Reserves – About $150 Billion Mature Capital Markets - NSE third largest, BSE fifth largest in terms of number of trades, Well developed banking system Youth Power: Over 58 percent of the Indian population is under the age of 20. That is over 564 million people, nearly twice the total population of US Retail Mkt Size: $350 billion growing at 13% per year only 3% is organized retail (global consultancy AT Kearney) Indian Economy An Overview


GDP Growth in NEXT 50 -70 Years Economic Eclipse Projections based on current per capita growth rates of 1.7% for the US, 6.3% for China and 5.6% for India Source: Fortune


India Becomes Economic Superpower India Crosses US in 2055 - is at number 2 India crosses China in 2067 approx. Source: UN and IMF study GDP in USD Bn.

Real GDP Growth in US, Japan, & the BRICs : 

Real GDP Growth in US, Japan, & the BRICs Source: PricewaterhouseCoopers- The World in 2050

Projected real growth in GDP and income per capita: 2005-50 (%pa): 

Projected real growth in GDP and income per capita: 2005-50 (%pa) Source: PricewaterhouseCoopers

Country (indices with US = 100) GDP at market exchange rates in US $ terms GDP in PPP terms 2005: 

Country (indices with US = 100) GDP at market exchange rates in US $ terms GDP in PPP terms 2005 Source: PricewaterhouseCoopers

Qualitative Indicators of Country Suitability : 

Data/IP security Cultural compatibility Political stability Cost Educational system Infrastructure Labour pool Government support Language Qualitative Indicators of Country Suitability Excellent Good Poor Very Good Fair Russia Hungary India Czech Republic Northern Ireland Ireland Poland China Israel South Africa Overall climate Source: Gartner Study’05

Human Resources: 

Human Resources India’s competitive edge - its highly-skilled manpower Over 380 universities (11,200 colleges) 1500 research institutions Over 200,000 engineering graduates Over 300,000 post graduates from non-engineering colleges 2,100,000 other graduates Around 9,000 PhDs Knowledge workers in software industry increased from 56,000 in 1990-91 to 650,000 in 2003; to reach 2 million by 2008 Due to its young demographic profile, India would continue to be surplus in working population for a long-time


Common Issues & Challenges for SMEs Limited reach to the global market Competitiveness from the local industry of other States Competition from China and other Asian countries Inadequate quality standards Use of traditionally low-grade technologies Higher production costs –economy of scales Quality of manpower & Lack of managerial skills Increasing cost of raw materials and other inputs Lack of new technological skills Availability of finances Phasing out of Subsidy regime

The Joint Venture: 

The Joint Venture Punjab e-Marketing JV A Public Private Partnership SME Business Services Ltd.

The Vision : One Point Value Adder: 

The Vision : One Point Value Adder Export Facilitation Services Bank Web Sales & Mktg.. Trade Consultants Quality Consultants SME Business Services Ltd. Payment Facilitation Global Customers Call Center

Enablement of SMEs: 

Leverage information technology to provide a world-class marketing support platform to enable an SME to: Reach international and global markets Market his goods utilizing world-class catalogs and directories prepared as per international standards Catalogue the SMEs products on international search engines Go beyond the Language barriers through multi-publishing in various international trade directories Generate business / export inquiries from around the globe Assist in closures of deals with international buyers Help industry in preparing the necessary paperwork for implementing the deal Provide other trade facilitation services depending upon the initial response of the industry to the project Enable end-to-end B2B electronic transactions using a global technology platform Enablement of SMEs

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