e-gov & Information Society of Korea - Strategies and Best Practices -

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1 e-gov & Information Society of Korea - Strategies and Best Practices - 3 May 2011 Hyeon-Kon(HyKon) Kim Executive Director, National IT Policy Division NIA, National Information Society Agency, Korea

2 Table of Contents 1 Journey of e-nation & e-government 2 Current Status & Evaluation 3 Success Factors & Lessons 4 5 Best Practices of e-gov & e-nation Future of e-gov & Information Society 6 Challenges & Strategies for Future Success 2/40

3 Uruguay and Korea KOREA URUGUAY 3/40

4 Dream 2000 in 1965 Dream Comes to Reality! 4/40

5 Presidents, IT Supporters: No Exceptions Park Chunghee (1963~1979) Targeting IT industry TDX project R&D infrastructure Kim, Young-Sam (1993~1998) Information Superhighway CDMA service Informatization framework Chun Doo-Hwan (1980~1988) TDX success National Basic Information System Project Kim, Dae Jung (1998~2003) Targeting IT sector again Internet & Broadband e-government Rho, Tae-Woo (1988~1993) CDMA standard Telecom service privatization Roh, Moo-hyun (2003~Present ) e-government for Gov Reform u-korea Lee, Myung-bak (2008~Present ) Presidential IT Strategy Committee Smart Work 5/40

6 Brief History of Korea s IT Policy Basic Infra Internet IT Service Ubiquitous Smart TDX & telephone National Basic Information System Semiconductor CDMA Public support IT Framework Act MIC & IT Fund Internet Broadband Mobile Economic Crisis and IT Investment e-government integration Internet Biz Cyber community IT dependent economy u-korea Vision IT productivity Services industry Smart Work Strategy IT Utilization Smart Korea Vision 6/40

7 IT Diffusion and Social Change National Basic Info System( 87~ 96) IT Policy & Its Outcome: Information Society of Korea IT Promotion Act( 95) Korea Info Infra( 95~ ) InfoSociety Plan( 96~ 00) Cyber Korea 21( 99~ 02) e-korea Vision 2006( 02~ 06) Broadband IT Korea 2007( 03~ 07) IT839 Strategy u-korea Masterplan( ) IT Korea Masterplan( ) PC 10M Internet Broadband Telephone NatioanlDB KII Internet Banking Subsciber 10M (Resident..) Masterplan User 10M 10M 10M PC: 30M Internet: 37M Broadband: 16M Mobile: 50M ebanking: 59M estock: 59% esign: 22M /40 Digital Opportunity Index (DOI): World Number 1!, ITU, UN e-government Development Index: 1 st out of 192 countries Korea is like a Big Lab leading digital age, Eric Schumidt, Google

8 IT Diffusion and Social Change: ebanking Internet banking has changed banking business itself! 50 (%) 40 O ffline Co unter (Internet Banking) CD/ATM Internet B anking Telebanking ' ' ' Number of transactions 8/40

9 IT Diffusion: Future Forecasting in Internet Users 44.7% 71.9% More than 95%? Portable PC Sales High Speed Internet Users(World) Telematics-equipped Car(World) BcN Subscribers DTV Digital Home Intelligent Robot Wireless Broadband(WiBro) 9/ %(1999) 24.4% 36.3%(2008) 13.1M 179.5M 430M - 4% 35% (100% in Korea) - 2M 20M - 2.9M 1 DTV/Household - 1,300 10M(2007) Robot/Household - 0.7(2006) 8.85M Surprisingly Almost Done!

10 Our Journey: for e-nation and e-government Phase 1: Basic Infrastructure & Digitization ( ) National Basic Information Systems (DB & Network on Resident, Land & Buildings, Education, Banking, ) Phase 2: Process Informatization ( ) Informatization of Departmental Government Services Phase 3: Integration & Cross-Agency Projects (2001-Present) Integration of Key Government Processes & Public Services Key Enablers for Government Reform Phase 1 Digitize Government Records (Database Building) Phase 2 The Use of IT across Government Bureaus Phase 3 Integrating Major Government Processes into a Single Service 10/40

11 e-government 11 Priority Initiatives: Quality Public Service Transparent and Efficient Government Government Portal(G4C) Social Insurance Service Home Tax Service (HTS) National Finance Information System G2C National Education Information System Personnel Policy Support Local Administration System G2G G2B Enhance Business Environment National e-procurement System Advanced Infra e-documentation Digital Signature & e-seal Gov t Information Systems Consolidation 11/40

12 e-government Roadmap, 31 Projects: Service Integrated Contact Point Unique Function Dept1 Dept2 Dept3 Dept3 Dept4 City/Province Shared Use of Information Integrated System Dept1 Dept2 Dept3 Dept4 DeptN Municipality City/Province Municipality Common Process HR Financial Audit HR Financial Audit HR Financial Audit HR Financial Audit HR Financial Audit HR System Financial System Audit System Common Platform System N/W System N/W System N/W System N/W System N/W Integrated IT Environment E-Government Network 12/40

13 New Vision: IT Korea Masterplan National Vision Advanced Nation Standing Tall in the International Arena Vision for Informatization Advanced Knowledge Information Society of Creativity and Trust Objective Efficient Government Citizen Life Enriched by Digital Technology Trustworthy Information Society Creative Soft Power Advanced Digital Convergence Infrastructure Strategy Government-led informatization Disconnected & fragmented Focused on positive aspects Expansion-focused policies Public-Private collaborative governance Seamless and converged informatization Active response to adverse effects of informatization Utilization-focused services for users 13/40

14 Where are we now?: e-government Evaluation Web Presence Two-way Interaction Integration & Transformation Online Transaction Ranked 15th(2002)» 5th(2006)» 1st(2010) out of 192 Countries Source: UN, Benchmarking e-government, /40

15 Success Factor1: IT Policy Framework Legal Framework Enabling System Framework Act on Informatization Promotion (FAIP), Electronic Government Act, Organizational Arrangement Leadership Informatization Promotion Committee & Subcommittees,1996- Presidential e-government Committee, Presidential Information Society Committee, Implementation Framework Action Target Departmental IT Action Plan (annual) and Evaluation, Broadband IT Korea Vision 2007 IT 839 Strategy 2004, u-korea Masterplan 2006 e-government Roadmap , IT Korea Masterplan /40 Funding Mechanism Central Budget Informatization Promotion Fund -> ICT Promotion Fund: $1B Central Fund for e-government (lump-sum): $100M-$300M

16 Success Factor2: High Demand Infrastructure Breaking Year when New Technology Demand Dominates the Old 1999 Mobile Phone >Fixed Phone 2003 MP3 Market > Music Disc Market 2004 Internet Banking >CD/ATM Use Digital TV >Analog TV Wireless Internet >Wired Internet Portable PC >Desktop PC Internet Use >TV Watching Korean People: Early Adopter of IT, PpalyPpaly Spirit 16/40

17 e-gov Evaluation From the World Achieving the World Class e-government International Awards Model Case Selection International Certification KISS : UN Public Service Award ( 07) HTS : OECD e-tax Best Practice ( 06) KIPOnet : WIPO IT Standard ( 06) Invil : World e-gov Forum Award ( 06) OPPP : Online Politics Trophy Top10 ( 06) UNIPASS : ISO 9001, ( 06) KONEPS : WCIT Global Excellence Award ( 06) utradehub : World Advanced in APEC Report ( 06) KONEPS : UN/CEFACT Int l Standard ( 05) 17/40

18 Best Practice: e-procurement: NaraJangteo (NationalMarket) All bidding procedures are now processed online in a one-stop process Online bidding: 92%, Online purchase of goods: 99.6% (2005) A Single System for both 116,183 private companies and 28,149 government agencies Paper-based, manually-handled procurement works raised the necessity to improve efficiency and transparency Enhanced Efficiency Information on all public biddings One-time registration for bidding for all agencies and bidding documents submitted online Yearly saving of US$ 3 Billion, bidding time reduced from 0.5 days to 1 minute Glass-like Transparency 18/40 Bidding and contract information open Open & Real-time checking of procurement processing Reduced face-to-face meeting by work procedure automation Awarded UN Public Service Award (PSA) in 2003 Recognized as an international standard by UN/CEFACT in 2005 Awarded the Global Excellence Award of the public sector in WCIT 2006

19 Best Practice: Information Sharing for Better Services Key administrative information related to people s daily lives is computerized - Residence registration, real-estate, vehicle, employment, etc. Administrative Information Database 98% of major administrative information already in database Increased Convenience Prompt administrative services provided in tax notice, certificate issuance, report, and statistics Improved Efficiency One-stop service with information sharing among administrative entities Prompt and accurate administrative processing 19/40

20 Best Practice: Education Network & e-learning: NEIS To foster IT-literate manpower and improve educational environment: - computer labs and computer related curriculums at elementary & secondary schools - computerization of library system, academic resources & educational administration Administrative Information Database 10M-50M communication-network supplied to all 10,400 elementary and secondary schools (100%) 1 PC per 5 students e-learning Over 8,000 kinds of educational contents(ex. Edunet) available for citizens e-learning popular at school Efficient Education Administration Online processing of educational affairs Online issuance of documents (ex. Diploma) 20/40

21 Best Practice: e-customs: UNI-PASS World s top-level custom administration being achieved through processinnovation and informatization since Export/import declaration, in-port, freight management, drawback, etc. Time reduction Export: more than 1 day within 2 minutes Import: 2.5 hours 1.5 hours United Nations Conference on Trade and Development (UNCTAD) recommends 4 hours Passenger flow acceleration to advanced level 40 minutes (2003) 15 minutes (2010) International Civil Aviation Organization (ICAO) recommends 45 minutes Awarded WCO Trophy 2006 The World s first 100% electronic declaration system for exports and imports (96% and 90% in US and Japan, respectively) 21/40

22 Best Practice: Patent Online: KIPOnet Patent administration online including application, examination, certificate service, etc. Service available 24 hours, 365 days Both domestically and internationally Real-time processing information provided Online Processing System for PCT World s 1st to establish online processing system for PCT Online issuance of certifications patent charge refund PCT online application Authentication Center World s 1st to exchange online documents with WIPO In 2005, WIPO joined hands with Korea in developing a system for worldwide use PCT : Patent Cooperation Treaty KIPOnet will save US$ 1 Billion every year WIPO : World Intellectual Property Organization 22/40

23 Best Practice: Home Tax System: HTS Tax payers can manage any tax-related business via Internet or mobile phones - More than 80% of tax filing, 60% of certificate issuance are processed online Taxpayers participation increased Tax deduction incentive for online tax returns Productivity and transparency improved Monotonous work and failures in manual handling decreased Face-to-face contacts between taxpayers and officials decreased Citizen-oriented service provided Services diversified in tax returns, payment, notice, certificate issuance, etc. Mobile services on notice, or status information 23/40

24 Best Practice: Government Portal: GovService24 Number of documents and visits have decreased through online civil service - Civil information inquiry, petition & application, document inquiry and issuance, etc. Civil information inquiry and application Online information services for up to 5,000 kinds of inquiries Online application: 410 kinds (2005) 592 kinds (2007) - Online business registration, tax payment and its certificates, factory registration, etc. Online document inquiry and issuance Issuance: 8 kinds (2005) 34 kinds (2007) 24/40

25 Best Practice: Integrated Government IT Center Separately managed information systems in the whole government departments have been consolidated by establishing two Integrated Government IT Centers, as real-time interchangeable dual backup services Seamless & flawless operation Enhanced capability of infringement management IGIT Center Dual system for natural disaster relief Common services governmentwide 25/40

26 Best Practice: ASP or Rent IT for SMEs Cloud Computing Services for 3 Million SMEs, started already in 2002 Target: 1 Million (33%) of SMEs by 2008, Monthly Fee 30 US$ No of Users (company) 700, , ,000 ASP Service Increase 577, , , , , , , , , , , ,327 67,256 15, , , Time 26/40

27 27/40 Best Practice Worldwide: Centrelink, Australia

28 28/40 Best Practice Worldwide: NHS, National Health Service, UK

29 29/40 Best Practice Worldwide: e-gov Action Plans & Targets, Singapore

30 Paradigm Shift: ICT & Value Creation Value ICT Development ICT 30/40

31 Paradigm Shift: toward Smart Society Information society Smart Society Feature of future society Diffusion of Smart Technology Virtual reality, Intelligent Prosumer, Bio-economy Changes toward Smart Value Dream Society, High concept/high touch Increase in social vulnerability Information security and privacy 31/40

32 Paradigm Shift: New Direction Single Unit System Convergence of system technologies Government led policy Public-Private Cooperative Governance CONVERGENCE COMMUNICATION Change in Technological Environment Change in Policy Environment creation accumulation of information Knowledge utilization & value creation Focusing on growth and individuals communitycentric CREATIVITY TRUST Change in Information Environment Change in Social Environment 32/40

33 IT, A Core Engine for Smart Innovation: Everlasting Role in the Future IT will be a driving force that fundamentally changes national and social systems, leading mega trends of future economy and society IT will be a core mean to proactively deal with uncertainty and crisis in the future Speed, Convergence Ensure Economic growth Proactive globalization Network Two-way IT potential Intelligent Transcend time and space Enhanced Human resources Expand social capital Advanced social welfare 33/40

34 Next-Generation e-government: Future Image As-Is To-Be Fragmented Services Shared Services Provider-oriented services Coordination among government agencies Partial automation of administrative work tasks Automation of government services Electronic Services Ubiquitous Services Internet-centered, fragmented service channels Standardized simple services for the public Service channels using portable electronic devices Individually-customized intelligent services Functional Services Citizen-centric Services Function-oriented agency services Services centered around the central government User - oriented services Integrated services linked with local governments 34/40

35 Next-Generation e-government: Smart Gov Customized service for every citizen, and my own government Two-way government that evolves through communication with citizens User Change As-Is Approach Government-set rules (limitation on service hours, designated public office) To-Be (Smart GOV) My rules (24 hour service, regardless of region, diversify media) Citizen Usage of public offices Visit several times (office or thru internet) Summit same document for several times 1-time visit Simultaneously perform related service To receive benefit (such as social welfare and aid) Need eligibility proof or application by citizen Government verifies eligibility before providing aid Service type Workplace Customer-oriented service (general) Office (PC base) Individual-oriented service (customized) Regardless of location (Smart work or mobile service) Public officer Working at site Way of working (disaster/safety, etc) Record at office (headquarter) Recovery afterwards Record/manage at site in real-time Prevention & forecast Communication with citizens Run communication counter Reflection to policy Way of communication Combined counter (transmit/distribute to the relevant agency) Statistical/comprehensive reflection One-way (Citizen Government) Consolidated counter /direct registration Selective direct reflectiton Two-way (Reply on result of reflection on policy) 35/40

36 e-gov Evolution: toward igov & sgov mgovernment Mobile igovernment Intelligent egovernment Electronic or tgovernment Digital TV sgovernment Smart 36/40

37 Final Goal of e-gov: Delete e and Move e! The final goal of egov, OECD Delete e from egovernment Principles of egov, Dubai Move e from the front to the back egovernment Government Excellence 37/40

38 Strategies for Success: Basic IT Policy Vision & Target Setting IT Infrastructure Human Infrastructure Priority Programs Top-level Leadership Funding Mechanism 38/40

39 39/40 Strategies for Success: More Issues

40 Strategies for Success: Business-Oriented e-government Quantity Smarter Government Quantity Quality Use Satisfaction Easy/Convenient Offline/Online Value Creation Business-focused All Stakeholders Daily Activity Business -Oriented Not Just Technology-Oriented! Never Changing Principle! Quality Use Satisfaction Easy/Convenient Offline/Online Value Creation Business-focused All Stakeholders Daily Activity 40/40 Transparency/Responsiveness User Trust Kim s 12 Conditions for e-gov Success Transparency/Responsiveness User Trust

41 e-gov & Information Society of Korea - Strategies and Best Practices - Thank You

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