E-Government: Ten Lessons Learned from the Best Global Programs

Perspective Dr. Rainer Bernnat Andrew Johnstone-Burt Dr. Wolfgang Zink Dr. Frank Thomé E-Government Ten Lessons Learned from the Best Global Programs Contact Information Beirut London New York Ramez Shehadi Greg Baxter Gil Irwin Partner Partner Partner +961-1-985-655 +44-20-7393-3795 +1-212-551-6548 ramez.shehadi@booz.com greg.baxter@booz.com gil.irwin@booz.com Berlin Andrew Johnstone-Burt Paris Dr. Frank Thomé Partner Pierre Péladeau Senior Associate +44-20-7393-3216 Partner +49-30-88705-895 andrew.johnstone-burt@booz.com +33-1-44-34-3074 frank.thome@booz.com pierre.peladeau@booz.com Madrid Copenhagen David Suarez São Paulo Torsten Moe Partner Ivan De Souza Partner +34-91-411-8457 Senior Partner +45-3318-70-02 david.suarez@booz.com +55-11-5501-6368 torsten.moe@booz.com ivan.desouza@booz.com Milan Delhi Pietro Candela Sydney Suvojoy Sengupta Partner Peter Burns Partner +39-02-72-50-91 Partner +44-20-7393-3314 pietro.candela@booz.com +61-2-9321-1974 suvojoy.sengupta@booz.com peter.burns@booz.com Moscow Frankfurt Dr. Steffen Leistner Dr. Rainer Bernnat Partner Partner +7-985-368-7888 +49-69-97167-0 steffen.leistner@booz.com rainer.bernnat@booz.com Munich Hong Kong Dr. Wolfgang Zink Edward Tse Principal Senior Partner +49-89-54525-517 +852-3650-6100 wolfgang.zink@booz.com edward.tse@booz.com Booz & Company EXECUTIVE E-government systems have become prevalent in all parts of the globe, but not all are created equal. Many are limited in SUMMARY scope and missing the types of comprehensive, multichannel approaches necessary for a successful e-government program. In some cases, finances are an issue, and in other cases, the thought of managing an all-encompassing e-government pro- gram is daunting, especially to newly developing countries. But, ironically, by trying to minimize expenses and manage- ment problems, a government can end up wasting money and resources on a system that doesn’t deliver the services needed by the people and businesses in the country and hence fos- ters more inefficiency. If the government instead focuses on creating a full-fledged e-government system, the subsequent gains from streamlining bureaucracy and increasing citizen satisfaction will more than make up for any difficulties and costs brought on by the project. In this Perspective, we offer 10 important lessons—derived from successful e-government programs around the world—that can serve as an implementa- tion guide for a positive outcome. Booz & Company 1 KEY HIGHLIGHTS E-GOVERNMENT In 1993, then U.S. Vice President Al Gore proposed a vast web of advanced • E-government systems have MEANS GOOD public and private communications become prevalent around the GOVERNMENT networks and interactive services that would link everyday Americans with world and are now an accepted their government (and one another) standard of good government. on a seamless information superhigh- • E-government systems that fail way. Now, almost 20 years later, this usually are not comprehensive vision has been realized in virtually or sufficiently multichannel and every part of the world in dozens and do not take advantage of tech- dozens of thriving e-government sys- nological scale. tems. While some people questioned the value of Gore’s idea at the time, • Although perhaps motivated few do now. Indeed, e-government— by hopes of cost gains and which, viewed broadly, involves increased efficiency for residents, using Web portals, mobile applica- businesses, and the government, tions, kiosks, interactive TV, and an unsuccessful e-government other digital technologies to provide system becomes a cost driver, transparent, efficient, and inexpensive satisfactory to no one. interactions with government agen- • Taken together, 10 major lessons cies by individuals, businesses, or from the most successful other government departments—has e-government programs around in a short period of time become an the world can be a powerful accepted paradigm of good, modern guide for any new e-government government and increasingly has an implementation. impact on investment decisions and even where companies choose to establish new operations. 2 Booz & Company The top 20 countries on the U.N.’s But although the importance of unwieldy cost drivers that satisfy no 2010 E-Government Index are mostly e-government is clear, many attempts one and hence lack acceptance and high-income nations, which is not to implement it fall short of antici- usage. surprising, since they are best able to pated outcomes. That typically hap- create an environment for active citizen pens for a single reason: The system is Mistakes are made precisely because engagement. Furthermore, the U.N. not sufficiently comprehensive. Some many governments don’t heed—or index itself is weighted toward a strong governments, fearful of doing too perhaps don’t know—the key aspects telecommunications infrastructure and much and not being able to manage a of successful e-government programs. excellent development of human capi- full-fledged e-government system well Leveraging Booz & Company’s tal through education and other types enough, implement only small-scale, extensive experience in developing of training. Both of these attributes somewhat uncoordinated activities. and managing e-government ventures, require substantial resources spent over Though valuable, these limited and we have derived a series of 10 major a long period of time. Nonetheless, isolated applications fail to produce lessons from thriving e-government some developing countries are over- the desired efficiency precisely because programs around the world that can coming these obstacles and closing they are not end-to-end and do not serve as a road map for a successful in on higher-income nations. For take advantage of technological scale e-government implementation. example, in two years Bahrain has by blending databases, networks, climbed from 42nd to 13th place on architecture, and interfaces. In other Lesson 1: Ensure clear senior leader the U.N. index on the wings of a new words, many would-be large-scale sponsorship and strategic aims e-government campaign that empha- e-government programs fray into a In virtually all cases, successful e-gov- sizes citizen engagement and electronic motley group of unfinished Internet ernment programs depend on strong services delivery. Given the ubiquity “construction sites.” And though support from the very top ranks of and rapidly falling prices of mobile the e-government initiative may be the government. For example, one of technology, it is likely that tapping initially inspired by innovation, mod- the earliest e-government programs into cellular communications could ernization, cost gains, and improved was started in Australia in 1998, an enable emerging countries to close the relationships between residents and effort spearheaded by then Prime e-government gap between themselves their government, these minimalist Minister John Howard, who set a goal and more developed nations. approaches become expensive and of having all services online.