disruptive egov
DESCRIPTION
Open Source and Collaborative development could make a huge difference in Back Office state eGovernment systems like Tax/ Revenue, ERP, etc.. This presentation covers the general ideasTRANSCRIPT
Government Back Office
SystemsThe high cost of success and failure
State Back-Office Systems
Since in Hawaii our Tax/ Revenue system needs to be replaced, I’ll focus on those. But this really applies to most government back-office systems.
• Big
• Expensive
• Clunky
• Horrible
• Get disruptive
Big
• There are no small tax systems
• 500K > State Populations > 37M
• Subsystems:• Intake: Mail, electronic, payments• Inquiry (Customer Service, Research)• Collections• Audit• Refunds• Licensing• Accounting• Imaging• Archives
Expensive
• Four primary vendors have 75% of the business
• Some states grow their own.
• The cost between a failure and a success is not that different!
Expensive
• Upfront costs are enormous • Between $25 and $100 million
• Annual Support is Staggering• $2 - $10 million
Expensive: Cost per year!
0 1 2 3 4 5 6 7$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
Tax System Projects
Clunky
• Based on old technology by definition
• Lifecycle is 12 years
• Project today starts with 6 year old tech
• User interface style even older
Horrible
• In the last 12 years 5 states have sued the vendor over the system delivered.
• Others (like HI) have opted to tread onward.
Crap! What now?
• So the vendors charge a bazillion $
• The solutions can cause more problems than they solve.
• It can’t be that hard to do!
Examples of Other Disruptive Systems
• Cashiering Systems• Paper and drawer• Adding Machines – with audit ribbon• Computer aided• Networked (NEC)• PC Based• Cell Phone Based (Square)
Examples of Other Disruptive Systems
• Data Storage• Stone• Paper• Images (Cold Storage Systems)
• Photoelectric• Magnetic• Optical
• Data• Ledger• Computer data structures
• Cloud
Examples of Other Disruptive Systems
• Publishing• Printing Press• Offset Printing• Software based design• Ink-jet and laser printing• Print on demand services• Costco…
Why Not Open Source It?
1. Execute an RFI for the perfect Integrated Tax System.
2. Create a contest for an Open Source Integrated Tax Solution leveraging the RFI!
3. Set awards of $1M, $500K and $300K to the top three.
4. Contract or use state IT to manage the contest, evaluate and host the system
$3M could do a lot!
• We could afford two tax systems and choose features from the best one!
• State owns the code and opens the source to other states/ nations.
• World Peace follows. (possible over optimism)
Other Systems Too
This approach could work for much more!
• Election system back-ends
• Enterprise Resource Planning
• Legislative Data Systems
• More..
Resources
• http://radar.oreilly.com/2013/03/github-government-bureaucat-open-source.html
• http://linuxuser32.wordpress.com/2008/12/30/what-if-public-sector-software-systems-were-open-source
• http://thenextweb.com/insider/2013/01/12/the-norwegian-ministry-of-finance-may-open-source-cash-registers-to-prevent-tax-fraud/
• http://www.propublica.org/article/how-the-maker-of-turbotax-fought-free-simple-tax-filing
More
• This deck is incomplete.. The actual plan pending.
• Lets change the world!
• Follow up with [email protected]