International ERP Deployments: The Catalyst for Government- Citizen Engagement. Vanessa Giacoman-Hernandez & Brian Potts

Transcription

1 International ERP Deployments: The Catalyst for Government- Citizen Engagement Vanessa Giacoman-Hernandez & Brian Potts

2 Agenda About ERP ERP Function and Benefits ERP Success ERP Failures 2

3 Intro What is Enterprise Resource Planning (ERP)?

4 What is ERP? Organization-wide software solution that integrates departments and functions into one system

5 Why ERP? When properly implemented, ERP systems have been proven to: Improve operations, with emphasis in budgeting, reporting, fiscal management Connect digitally with citizens in a meaningful and costeffective way Increasing Return on Citizenship (ROC)

6 ERP Function and Benefits ERP s Function and Benefits, Leveraging ERP in Government, Government Benefits from ERP & How ERP can Help the Government Better Serve its Citizens

7 ERP s Function and Benefits Internal Benefits Organizational effectiveness Faster decisionmaking/responsive Automation/information share Transparency Fiscal accountability Compliance Regulatory requirements

8 ERP s Function and Benefits External Benefits Information dissemination Revolutionizes the way citizens receive/provide information to Governmental bodies Information dissemination changed the world when Alexander Graham Bell invented the telephone Information dissemination and information access will change the world again» Arab Spring used Twitter and Facebook» Unbanked developing nations use mobile phones for banking and bill pay

9 ERP s Function and Benefits External Benefits Citizen engagement: Return on Citizenship Citizen Management: Citizens signup for services online e.g., unemployment insurance Marketing: tourism, economic initiatives Customer Service Support: Citizens receive answers from one centralized help desk Analytics: Understanding how citizen life changes impact use of other services (e.g., unemployed citizens increase in fishing permits) Fraud Prevention: correct services are delivered at the right time Social Media & Transparency Multi-channel, Always On: Citizens can interact with the Government on their schedules

10 Leveraging ERP in Government

11 How can the Government benefit? 1. Even within budget constraints, the Government can manage business aspects of Government more effectively Manage cash, liquidity, and financial risk better Analyze workforce productivity and respond quickly to required staffing changes Create effective reports for quicker decision-making abilities Save through energy management at facilities

12 How can the Government benefit? 2. Automation of Government Compliance ERP software can be programmed so it automatically complies with Government regulation (which in turn makes Government employees comply without extensive training or manual entry/override) 3. Long-term IT Modernization Initiatives 3-5 year IT initiatives to align IT with organizational goals Eliminating legacy IT systems

13 How ERP can Help Government to Better Serve its Citizens City of Redmond, Washington (pop. 52,000) Had software that wasn t the right fit and decided to implement a new ERP solution Worked with City staff to Avoid duplicate effort, leverage staff efforts, and replace manual processes Create a repository for solutions that matched needs Performed strong Organizational Change Management too foster staff buy-in

14 How ERP can Help Government to Better Serve its Citizens City of Richmond, Washington Benefits from ERP system Use workflow as a digital resource, not merely digital paper Achieve operational efficiency faster with increased reliability Respond to change requirements and new citizen demands Provide easy access to needed information

15 How ERP can Help Government Cape Town, South Africa to Better Serve its Citizens Established relationships between senior politicians, senior officials, and IT leadership to catalyze, sponsor, and achieve meaningful and sustainable change Primary points of contact are through local government Local governments lead by example and form how it interacts with citizens, business, other government departments, and other stakeholders IT strategy cuts across all City Departments and city strategies

16 How ERP can Help Government to Better Serve its Citizens Cape Town Realized Financial Benefits $6.1 million CAD p.a. saved by switching from legacy systems $4.1 million CAD p.a. saved by consolidating and standardizing procurement, as well as improved stock holding $2.0 million CAD p.a. saved through natural attrition of staff, reducing duplication on roles, and increased productivity

17 ERP Success Best Practices and Successful Citizen Engagement and ERP Worldwide

18 Best Practices and Successful Citizen Engagement and ERP Worldwide Citizen Engagement: Hurricane Sandy in New Jersey State Government lauded for its responsiveness Several programs for Emergency Preparedness and Response Donation Hot Lines; Citizen Reporting Hot Lines NJ Sandy Transparency Website Demonstrates how federal relief funds are being spent and accounted for

19 Strong economic growth requires deployment of ERP Initiatives Peru has experienced a 6.1% GDP growth during With economic growth comes the need for infrastructure development Water and water sanitation Access to Electricity Roads, highways, airports, mass transit Systems to manage utilities and infrastructure

20 ERP Failures Lessons Learned from ERP Failures

21 Over Budget, Over Time, Underwhelming 62% 60% 58% 56% 54% 52% 50% 48% Cost Overruns Duration Overruns Realizing <50% of Benefits Source: Panorama ERP Reports.

22 Operations at Go-Live 41% Some Interruption 59% Uninterrupted Go-Live Source: Panorama ERP Reports.

23 Difficulty Adjusting to Change 37% Interrupted Uninterrupted 63% Source: Panorama ERP Reports.

24 Lessons Learned from ERP Failures In today s climate, citizens expect the same level of service and responsiveness from corporate and government agencies alike Pressure from citizens from Governments to react quickly and change for the better

25 Lessons Learned from ERP Failures Failure: Obamacare Exchange Website Misalignment between contractor-governmentcitizen Hindered millions of citizens from determining reasonable prices for healthcare eligibility for healthcare subsidies Project was originally scoped up to $93.7 million USD in 2011; project is now approximately $634 million USD. Over four years, Facebook with more than one billion users, spent $600 million USD on its website expenses

26 Lessons Learned from ERP Failures Accountability is a key factor in being able to serve citizens Governments, on a whole, have lacked proactive outreach and innovation around citizens Government lacks competition (no push to be a market leader) Technical resources are scarce in Government Governance is shared between different bodies e.g., city and federal Government relies heavily on external system integrators obtained through proposal processes

27 It must be remembered that there is nothing more difficult to plan, more doubtful of success, nor more dangerous to manage than a new system. For the initiator has the enmity of all who would profit by the preservation of the old institution and merely lukewarm defenders in those who gain by the new ones. - Machiavelli

28 Thank you! Questions? Questions?

29 Insight. Momentum. Results.