BT - Class 6 - PPT

Business Transformation
/
Business Process Reengineering
October - December, 2016
FORE School of Management

Prof Raman Sethi & Vineeta Kumar

October December 2016
AGENDA
E-Gov
E-Gov & BPR GPR
Different models
IPO
PSEB
CSC
E-District
e-procurement
IGRS
CUSTOMS
INCOME TAX
MISSION
CONVERGENCE
VAT
MILITARY
HOSPITAL
CCTNS
Land Records
Learning
Categories of Government Services:




The services of the government

classified into information and transaction services:
Information Services
Includes those services that solely provide information to
customers and does not involve processing of any
transactions or documents.
Information services have relatively simple back-office
operations and can be easily be e-Government-enabled
Transaction Services
Transactional Services: includes those services where
customers require specific actions to be taken by the
department.
Transactional services mandate a higher degree of customer
interaction and more complex delivery operations than
informational services.
e-Governance
The application of Information and Communications
Technology to government functioning in order to create
Simple, Moral, Accountable, Responsive and Transparent
(SMART) governance.
Use of information technology to bring public services to
the doorsteps of citizens and businesses.
The types of services possible through e-Governance can
be broadly classified into three categories providing information,
improving processing efficiency and
facilitating transactions.

e-Governance Vs e-Government
e-Governance deals with the whole spectrum of the relationship and
networks within government regarding the usage and application of ICT
E-Governance is the development, deployment and enforcement of the
policies, laws and regulations necessary to support the functioning of a
Knowledge Society as well as of e-Government.
Whereas
e-Government is a narrower discipline dealing with the development of
online government services to the citizen and businesses such as e-tax,
e-transportation, e-procurement, e-participation amongst others.
E-Government is the transformation of internal and external public
sector relationships, through Information and Communications
Technology (ICT) in order to optimize government service delivery and
citizen participation.

e-Governance - The traditional approach

IT enablement of existing processes, without much change to
the underlying processes. Thus IT enablement initiatives
included:
Automation of existing processes through the use of IT
Making services of the department available online
(Providing e-forms for submission of applications, File
Management System etc)
the process remains the same, but is carried out electronically.
The advantages of this approach included easier
implementation with minimal legal changes, easier status
updates, real time Management Information Systems (MIS),
anytime / anywhere service etc.

10
e-Governance - The traditional approach

But IT enablement alone cannot bring in dramatic improvements
in government functioning.
Many of the government processes may be inefficient and
obsolete.
Most of the processes were defined long back (in many cases,
in pre-independence era) with the scenario at that time as the
backdrop.
The constraints which were present at that time, are no longer
present or can be overcome through the use of IT.
In many cases, processes were defined with compliance in
mind, rather than enhanced citizen service.
Thus re-engineering the process through GPR and process
redesign allows leveraging the benefits of IT rather than just
replicating existing processes.
11
NEGP
The National e-Governance Plan of Indian

Government seeks to lay the foundation and
provide the impetus for long-term growth of
e-Governance within the country.
"Make all Government services accessible to
the common man in his locality, through
common service delivery outlets and ensure
efficiency, transparency & reliability of such
services at affordable costs to realise the basic
needs of the common man."
12
NeGP
Provisioning of
Hardware
software
networking
Process re-engineering
Change management
Implementation Strategy, Approach and Methodology
Common Support Infrastructure

Governance
Centralised Initiative, Decentralised Implementation
Public-Private Partnerships (PPP)
Integrative Elements
Programme Approach at the National and State levels
Facilitator role of DEITY
Ownership of Ministries
13
NeGP - MMP
an individual project within the National e-Governance
Plan (NeGP) that focuses on one aspect of electronic
governance, such as banking, land records or
commercial taxes etc.
"mission mode" implies that projects have clearly
defined objectives, scopes, and implementation
timelines and milestones, as well as measurable
outcomes and service levels.
NeGP comprises 31 mission mode projects (MMPs),
which are further classified as state, central or
integrated projects. Each state government can also
define five MMPs specific to its individual needs.
14
NeGP - MMP
Central MMPs
State MMPs
Integrated MMPs
Banking
Agriculture
CSC
Central Excise & Customs
Commercial Taxes
e-Biz
Income Tax (IT)
eDistrict
e-Courts
Insurance
Employment Exchange
e-Procurement
MCA21
Land Records(NLRMP)
EDI For eTrade
Passport
Municipalities
National e-governance
Service Delivery Gateway
Pension
Police(CCTNS)
India Portal

15
eGovernance
Comprehensive e-Governance reforms cover the process, preparedness
and the technology; and the people.
Introduction of e-Governance needs process engineering as the first step.
Unless the processes and procedures and even structures of government
are reengineered, e-Governance projects cannot succeed.
Technology comes second, only after the processes have been
re-engineered.
In order to make the reforms sustainable the people in the concerned
departments/ agencies have to internalize the change.
This is also one of the reasons why e-Governance projects succeed at the
pilot level but when up-scaled they become unsustainable.
- Mere introduction of IT is not an end in itself

16
Symptoms of Poor Governance

Air of Mystification about procedures
Long Queues at delivery points
Multiple Visits to Government Offices
Pillar-to-Post
Outcome is in Suspense
OK or NOT OK !
Gatekeepers at every turn

Poor Quality of Service
Service is a Mercy - not a Right
Too many Intermediaries, Shortcuts
17
Symptoms of Poor Processes

1. Extensive information exchange, data redundancy
and re-keying
2. Huge inventory, buffers and other assets
3. Too many Controls and Checks
4. Rework, Iteration & Duplication of work
5. Complexity, Exceptions & Special cases

18
Goals of BPR
1. Customer Friendliness
Meeting customer requirements closely

Providing convenience
2. Effectiveness
Outcome-based approach
Gaining loyalty of customers
Image and branding
3. Efficiency
Cost
Time
Effort
19
Attributes of Customer-friendly Services

1.
2.
3.
4.
5.
Simple
Need-based
Certainty
Speed
Convenience
Place
Time
Channel
6. Equitable
7. Responsive
8. Customer-centric
9. Quality of Service
10.Cost-effective
11.Accessible
12.Assisted
20
Government Process Re-engineering

necessary condition for the realization of the benefits of
e-Governance.
The importance of process redesign to facilitate and
ensure best practices
While deployment of IT solutions increases the efficiency
of operations, it will not necessarily deliver the best
results unless the processes are reconfigured.
There is always a threat that replacement of manual
processes by machine based processes will only lead to
automated waste.
Process re-engineering ensures that the processes are
redesigned to make them most effective and deliver the
maximum value to the government, its employees and the
citizens.
21
Government Process Re-engineering - features

Innovativeness: It should come up with solutions rather
than replicating the manual system.
Transformation: It should bring about a drastic
improvement in the quality of services provided.
Rationalization of forms and data requirements: Very
often the information asked for in the application is rarely
used or is already available with the Government.
Efficient usage of data: the information sought is available
in the government domain. Hence asking for the same is a
redundant activity.
In a Government Process Reengineering, one has to
differentiate between a government rule and a procedure.
Very often it is seen that procedures can be completely
Prof Raman
Vineeta Kumar
revamped through the
useSethi
of&IT.
22
Government Process Re-engineering - Challenges

Government agencies are subject to greater political
executive management and oversight.
Election cycles and administration changes also affect
reengineering efforts.
Legislation, taxpayer accountability, competition for
funding and resources, as well as partnerships with
international, state, and local governments will continue
to challenge government agencies.
Risk-taking ability
Government cannot choose its customers.
It is perceived by the staff entrusted with re-engineering
that their jobs are under threat from the transformation.
23
Government Process Re-engineering - Drivers

Service Orientation: Re-orientation of government
processes with focus on citizens expectations and
delivering services to his satisfaction.
Streamlining: The processes between provider
(government) and customer (citizen, businesses,
employees) need to be reduced leading to faster delivery
of services.
Standardization: Similar type of work should be done in
the same way.
Information Management: Government Information is a
strategic resource and should be managed effectively
throughout its life cycle (capture, store, process, apply,
exchange and reuse).
24
Government Process Re-engineering - Options

Redesign existing processes - this is where existing processes are
revisited to improve performance. This may also include ceasing parts
of processes
Fundamentally reworking the way a process is executed - here the
process tasks and steps may remain largely the same but how and
where the process is executed may be changed
Replaced completely - here the focus is just on gathering existing
performance measures, considering migration issues and capturing
experience to avoid problems being replicated in the replacement
process
Remove the process - if a process is to be removed or replaced, the
focus may be on the overall process performance measures to show
the impact of the removal and the boundaries or connections to other
processes which have to be changed
Outsource the process - here the process mapping may need to be at
a lower level of detail to ensure that all nuances of the current
process are captured.
25
Government Process Re-engineering - Drivers

Partnerships: Government processes need to be oriented in
such a manner, so as to facilitate partnerships among all
stakeholders including private sector agencies.
Enabling Technology: Information and communication
technologies should be used for redesigning government
processes as well as for delivery of government services.
Continuous Improvement of Services: The design of
government processes should incorporate performance
standards and evaluation mechanism to enable continuous
improvement of government services.
Monitoring and Evaluation: Monitoring of e-Governance
projects should be done by the implementing organization in
the manner similar to project monitoring for large
infrastructure projects.
26
Guiding Principles
Focus to change from Consumer to Customer

Identify data as a corporate resource
Eliminate duplication & redundancy
Capture data where it is generated
Information should be a single version of the truth
Subsume sub tasks into a major task
Appropriate levels of education, training & hand holding
Preimplementation mindset preparation must be done
Understand & address Fear of Technology & Change

27
Guiding Principles
e-Government should not be considered as a business
goal or objective by itself rather, it is a means to achieve
business goals or objectives.
Accordingly, e-Government objectives should be
established along two dimensions
Adding benefits to the customers and
Adding benefits to the organisation itself.

28
Guiding Principles
Governance objectives should flow from e-Governance
vision.
e-Government should not be considered as a business
goal or objective by itself rather, it is a means to achieve
business goals or objectives.
Accordingly, e-Government objectives should be
established along two dimensions
Adding benefits to the customers and
Adding benefits to the organisation itself.
The most effective business objectives are often
generated from your existing business strategy and eGovernment business objectives are usually driven by
global reach, customer self-service and effective
information sharing.
29
Many Approaches
IT led BPR
Physical BPR
PPP Models
New Institutions
Customer & IT centric BPR
New Regimes

30
Inspector General of Registration & Commissioner

of Stamp (NON-MMP)

31
Important Services-IGRS
Record Keeping
Revision of Circle Rates
Registration of Deeds
Market Valuation
Sale of Stamp papers
Services covered in
BPD
Issuance of Encumbrance
Certificate/Non
Encumbrance Certificates
Issuance of marriage
certificate
32
Deficit Stamp Duty
Issuance of Certified
copies
Caveats/Charges Logging
and Release
Right To Information(RTI)
2010 Wipro Ltd - Confidential
Inspection & Search
IGRS Objectives
To develop a simple, speedy & reliable registration
process
To build consistency in existing department processes
Provide transparency in the valuation of the properties

Automate all the back office functions in Sub Registrar
Offices
33
2009
Wipro
Ltd Ltd
- Confidential
2010
Wipro
- Confidential
IGRS - Scope of Work

Procure, Setup, Operation and Maintenance of the following:
Software development
Data Centre Setup
Disaster Recovery Site Setup
Bandwidth
Infrastructure in Office(Hardware)
Office Site Preparation(Renovation/Civil Works,
Networking etc.)
Others(Training, Manpower etc)
34
IGRS - PPP Model

The PPP Vendor will execute the
Project according to the Scope
of Work defined in previous
section
IGRS doesnt incur any Capital

Cost
IGRS doesnt incur any Operating
Cost
PPP Vendor will provide for the

complete Capital Cost
IGRS will be responsible for

providing rent free space with
PPP Vendor will provide for the

complete Operating Cost
basic infrastructure
PPP Vendor will be Compensated

EXCLUSIVELY through the
proceeds of the Computer
Charges to be levied by the
department
35
PPP Model
Cost Sharing Estimates
Total Project Cost
CAPEX
PPP Vendor
Contribution
337
OPEX (5 Years)
IGRS Contribution
244
PPP Vendor
Contribution
93
IGRS Contribution
0
Estimated Transaction Volumes over 5 years

3500000
3000000
2500000
2380441
2499463
2624436
2755658
2893441
2000000
Transaction Volumes
1500000
1000000
500000
0
FY 2011-12
36
FY 2012 - 13
FY 2013 - 14
FY 2014-15
FY 2015-16
Salient Features
S.No.
37
Description
Values
Project Duration
5 years
Total Project Cost
337 Crores
Capex
244 Crores
Opex
93 Crores
Proposed Computer Charges
Rs. 375
Breakeven Point
3 Years
Pay-back period (IRR)
18.19 %
CCTNS (MMP)
NO BPR

38
CCTNS
Crime and Criminal Tracking Network & Systems (CCTNS) is a plan scheme conceived in the
light of experience of a non-plan scheme namely - Common Integrated Police Application
(CIPA).
CCTNS is a Mission Mode Project under the National e-Governance Plan of Govt of India.
CCTNS aims at creating a comprehensive and integrated system for enhancing the efficiency
and effectiveness of policing through adopting of principle of e-Governance and creation of a
nationwide networking infrastructure for evolution of IT-enabled-state-of-the-art tracking
system around 'Investigation of crime and detection of criminals'.

39
CCTNS
An allocation of Rs. 2000 crores has been made for CCTNS Project.
Cabinet Committee on Economic Affairs (CCEA) has approved the project on 19.06.2009.
Under the CCTNS Project, approx. 14,000 Police Stations throughout the country has been
proposed to be automated beside 6000 higher offices in police hierarchy e.g. Circles, SubDivisions, Districts, Range, Zones, Police Headquarters, SCRBx including scientific and
technical organizations having databases required for providing assistance and information
for investigation and other purposes.

40
Objectives of CCTNS
Make the Police functioning citizen friendly and more transparent by automating the
functioning of Police Stations.
Improve delivery of citizen-centric services through effective usage of ICT.
Provide the Investigating Officers of the Civil Police with tools, technology and
information to facilitate investigation of crime and detection of criminals.
Improve Police functioning in various other areas such as Law and Order, Traffic
Management etc.
Facilitate Interaction and sharing of Information among Police Stations, Districts, State/UT
headquarters and other Police Agencies.
Assist senior Police Officers in better management of Police Force
Keep track of the progress of Cases, including in Courts
Reduce manual and redundant Records keeping

41
Components of CCTNS
CCTNS application (core application software that would be provided by MHA/NCRB to all
states and its configuration, customization,
enhancement and deployment at the state level)
Hardware (PCs, peripherals, etc.)
Communication infrastructure
Data Center
Specialized infrastructure and solutions
Capacity Building and Handholding
Digitization of historical records

42
CCTNS - States
These are to be done in 2 phases.

Phase I pilot of 2 districts & the data center.
Phase II the rest of the state.
Hence, payments were mile stone bases and could be released
5 states were advanced and could implement their existing packages with linkages to CAS.
- Tamil Nadu, Karnataka, Andra, Gujarat & Goa
In terms of value:
AP 200 crores
UP, Maharashtra 150-200
Bihar 70
Naga land, Goa 10
Haryana, Karnataks <50
Smaller ones 3-4

All states have 2 consultants:
CPMU: Central program management unit who finalises the vendor & signs the contract
SPMU: takes over & over sees the project
The consultants are: Deloitte, PwC, GT, Accenture, E & Y, MIT, Delhi
The evaluation criteria is QCBS 50:50, with a minimum 70% pass in the technical
43

44
CCTNS

45
COMMON SERVICE CENTRES

46
CSC
The CSC is a strategic cornerstone of the NeGP, approved by the Government in
May 2006
The CSCs would provide high quality and cost-effective video, voice and data
content and services
A highlight of the CSCs is that it will offer web-enabled e-governance services in
rural areas
In addition to the universe of G2C services, the CSC Guidelines envisage a wide
variety of content and services that could be offered as listed below:
Agriculture Services (Agriculture, Horticulture, Sericulture, Animal Husbandry,
Fisheries, Veterinary)
Education & Training Services (School, College, Vocational Education,
Employment, etc.)
Application forms, certificates
Health Services (Telemedicine, Health Check-ups, Medicines)
Rural Banking & Insurance Services (Micro-credit, Loans, Insurance)
Entertainment Services (Movies, Television)
Utility Services (Bill Payments, Online bookings)
Commercial Services (DTP, Printing, Internet Browsing, Village level BPO).
47
CSC
133847 as on 31st March, 2014

48
CSC
Connectivity an issue
Back end services not available initially
SCA expected VLE to share the burden of the cost
Mainly used as Video parlours and social networking sites
SCA to leverage the government tag
Revenue predictions had no basis
E-district now available
Mobile recharge & Certificate Issue main source of income
Financial inclusion taking off
Vayam has over 5000 CSCs in UP

49
CSC
The PPP model of the CSC scheme envisages a 3-tier structure consisting of the
CSC operator (called Village Level Entrepreneur or VLE); the Service Centre
Agency (SCA), that will be responsible for a division of 500-1000 CSCs; and a
State Designated Agency (SDA) identified by the State Government responsible
for managing the implementation in the entire State.
Financial model: Viability gap funding from the government
Could be positive or zero or (in rare cases - negative)
The Bidding for CSC was unrealistic ( bidding 0/200/300 Rs. In 2010)

50
E-procurement (MMP)

51
E-Procurement (APTS)
Maintenance of IT infrastructure for the eprocurement system
Operation and Maintenance of the eprocurement system
System training for government users and
Suppliers
Helpdesk services
Revenue model: 20% of the tender processing
fee
Drastic change from earlier vendor where
revenue came into vendor account & GoAP
would be given 25% at the vendors discretion
Many months of lobbying & court case
52
E-District

53
E-district
Power Sector Overview
A State Mission Mode Project under the National e-Governance

Plan.
The project aims to target high volume services currently not
covered by any MMP under NeGP and undertake backend
computerization to e-enable the delivery of these services
through Common Service Centers.
Districts are the primary delivery channels for government
administration which deliver a large number of services to the
citizens; therefore e-governance can significantly improve
government service delivery.
E-district is defined as delivering more than 75% of the services
of Collectorate electronically
54
E-district

55
E-district

56
E-district
Streamlining of the front end, channels of delivery, service

components and the To-Be process will ensure a comprehensive
service delivery mechanism for a more efficient delivery of services
to the citizens.
It will improve the efficiency of the service delivery at the
departmental level but also aid and assist in monitoring and
reporting of the services.
front end has been envisaged to provide a single window service
delivery channel for the citizen from where the citizen can request
for a service and also receive the deliverable duly signed by the
respective authority.
To facilitate Anytime Anywhere accessibility and to ensure
convenience to the citizen, two delivery channels have been
proposed
Online / Web Based
Service Delivery Centers (Common Service Center, BDO, Tehsil
Office etc.) Prof Raman Sethi & Vineeta Kumar
57
58
58
Mission
Convergence
www.vayamtech.com
www.vayamtech.com

October 17, 2016
Vision of Mission Convergence

To provide social justice in the best coordinated way to ensure that the underprivileged
and the poor regularly receive welfare services for both sustainable growth
and eradication of poverty through convergence of organizing, joining forces, facilitating
and making communities voices heard effectively.
Project Overview
The Conceptual View of Mission Convergence Project

59
Project Scope Departments involved
60
DRC
GRC
Education
DRC
GRC
DRC
GRC
Health
Food &
Civil
Supplies
Welfare of
SC/ST/OBC/
Minorities
Social
Labour
Woman &
DRC
Child
GRC
Development
Welfare
DRC
GRC
Urban
Development
DRC
GRC

Proposed System Utilization

61
Where to go????
Health
Labour
Confusions Galore for the

common person
Education
Urban Dev.
SC/ST
Food &
Civil
Supply
Social
Welfare
Women &
Child
Development
62
Where to go????
Confusions Galore for the
common person
Labour
Health
Education
Urban Dev.
SC/ST
Food &
Civil
Supply
Social
Welfare

Women &
Child
Development
63
CONVERGENCE : OUR DEFINING

STRATEGY
POLICY
INFORMATION
SECTORS
SCHEMES
CONVERGENCE
PROCESSES AND
PROCEDURES

ADMINISTRATIVE
RESOURCES
DATABASE
Bridging the digital divide
Imparting IT skills to community

workers
Deployment of ICT infrastructure
Digitization of records of over 5
million vulnerable
Dynamic Database
Appropriate MIS for all
stakeholders

65
IMPLEMENTATION & ADMINISTRATIVE STRUCTURE

66
An Example of BPR

67
Land Records in India

Existing System (AS IS)
Legacy of British System
Land Records created mainly for Land Revenue
Based on Presumptive Ownership of land parcels

Managed by multiple departments
Title
Survey
Registration
Local Government
Processes & services, mostly manual

Citizens have to visit several offices & wait for months for title changes
68
Existing System Land Transactions
Buyer &
Seller
Registration of
deeds
Complete
Documents
Cannot verify
ownership
Verify
documents
and register
Submit
Appln.
Pay fees
Buyer &
Seller
Buyer gets proof

of transaction
Land Title Office

Buyer
Complete
application
Submit
Appln for
Mutation.
Verify and
change
records
Buyer
Buyer gets
ownership
records
Buyer
Buyer gets
boundary
info.
Land Surveyor
Buyer
Complete
appl.
Submit
Appln for
Sub-division
Sub-divide
the parcel
and change
records

69
International Best Practices in

Land Records Management
a. New Zealand
Land Information Online
b. Canada
Land Title & Survey Authority
c. Singapore
Singapore Land Authority
d. Australia
Land Victoria
70
Vision of BPR Integrated Land Information

71
Conclusion
BPR is about Radical Redesign of business
processes
BPR brings Efficiency, Effectiveness & Customerfriendliness
BPR needs adoption of a structured methodology
Top management commitment & Change
Management are critical to success
72
Focus to change from Consumer to Customer

Identify data as a corporate resource
Eliminate duplication & redundancy
Capture data where it is generated
Information should be a single version of the truth
Subsume sub tasks into a major task
Appropriate levels of education, training & hand holding
Preimplementation mindset preparation must be done
Understand & address Fear of Technology & Change
Communication facilitates cooperation
Timeframes must be adhered to retain the excitement,
interest and currency of the initiative
Lessons
Change Management & BPR must be a part of every IT
73
implementation

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Business Transformation

FORE School of Management

Prof Raman Sethi & Vineeta Kumar

Categories of Government Services:

Prof Raman Sethi & Vineeta Kumar

Prof Raman Sethi & Vineeta Kumar

Prof Raman Sethi & Vineeta Kumar

Prof Raman Sethi & Vineeta Kumar

The services of the government

Prof Raman Sethi & Vineeta Kumar

Prof Raman Sethi & Vineeta Kumar

e-Governance - The traditional approach

Prof Raman Sethi & Vineeta Kumar

e-Governance - The traditional approach

The National e-Governance Plan of Indian

Common Support Infrastructure

Central Excise & Customs

Income Tax (IT)

EDI For eTrade

Prof Raman Sethi & Vineeta Kumar

- Mere introduction of IT is not an end in itself

Symptoms of Poor Governance

Gatekeepers at every turn

Symptoms of Poor Processes

Prof Raman Sethi & Vineeta Kumar

Meeting customer requirements closely

Attributes of Customer-friendly Services

Government Process Re-engineering

Government Process Re-engineering - features

Government Process Re-engineering - Challenges

Government Process Re-engineering - Drivers

Government Process Re-engineering - Options

Government Process Re-engineering - Drivers

Focus to change from Consumer to Customer

Prof Raman Sethi & Vineeta Kumar

Prof Raman Sethi & Vineeta Kumar

Prof Raman Sethi & Vineeta Kumar

Inspector General of Registration & Commissioner

Prof Raman Sethi & Vineeta Kumar

Revision of Circle Rates

Sale of Stamp papers

Deficit Stamp Duty

2010 Wipro Ltd - Confidential

Inspection & Search

Provide transparency in the valuation of the properties

IGRS - Scope of Work

2010 Wipro Ltd - Confidential

IGRS - PPP Model

IGRS doesnt incur any Capital

PPP Vendor will provide for the

IGRS will be responsible for

PPP Vendor will provide for the

PPP Vendor will be Compensated

2010 Wipro Ltd - Confidential

Estimated Transaction Volumes over 5 years

2010 Wipro Ltd - Confidential

Total Project Cost

Proposed Computer Charges

Pay-back period (IRR)

2010 Wipro Ltd - Confidential

Prof Raman Sethi & Vineeta Kumar

Prof Raman Sethi & Vineeta Kumar

Prof Raman Sethi & Vineeta Kumar