Modernising the Public Administration A Study on Italy

Edwin LauHead of Public Governance ReviewsPublic Governance & Territorial Development Directorate

Una riforma per la crescitaInnovazione, Modernizzazione e Produttività nella PA

28 October 2010

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• Reforming the Italian Public Administration

• Public Sector Modernisation and Renewal

• Innovation and Digitalisation to Ensure Quality Services for Citizens and Businesses

• Simplification, Voice and Customer Care

• Potential Macroeconomic Dividends of Public Administration Reform

• OECD Public Governance Reviews

Overview

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Reforming the Italian Public Administration

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• Contexto Abandonment of managerial responsibilitieso Co-opting of evaluation processo Malfunctioning public sector: high absenteeism, increasing

expenditure, low customer satisfaction and citizen trust

• Approach: “make the system work”o Political and administrative accountabilityo Focus on productivity and growtho Alignment of incentives and performanceo Embedding governance principles

• Governance of PA Reform Programmeo Reform Delivery Unito Web portal

• Charter of Duties

A systemic approach to changing expectations

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Principles and tools of Italian PA reform

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Public Sector Modernisation and

Renewal

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Improving civil service performance

• Performance management

o OIV: Implementation assistance

o CIVIT: Standards and methodologies

o Transparency Portal

• Managers as public employers

• HR development

o Recruitment

o Training & knowledge sharing

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0,6

0,8

1,0

1,2

1,4

1,6

June July

Aug

ust

Sep

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Oct

ober

Nov

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Dec

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Janu

ary

Febr

uary

Mar

ch

Apr

il

May

Pre Law 133/081° year L 133/082° year L 133/083° year L 133/08

Sickness absences per capita in the public sector: the impact of Law 133/2008

Notes: Estimate related to the public administration as a whole, with the exception of school, university, public security and fire-fighters divisions. Pre-Law 133/08: June 2007-May 2008; first year of enforcement of the law: June 2008-May 2009; second year of enforcement of the law: June 2009-May 2010; third year of enforcement of the law: June 2010.

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Innovation and Digitalisation to Ensure Quality

Services for Citizens and Businesses

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Sectorial Objectives Territorial Objectives Objective 1: School Objective 15: Registry Office Objective 2: University Objective 16: Territorial Data Objective 3: Justice Objective 17: Services Charter Objective 4: Health Objective 18: Broadband services Objective 5: Businesses

Objective 6: Security and Civil liberties

Objective 7: Foreign Affairs Objective 8: Environment System Objectives Objective 9: Tourism Objective 10: Cultural Heritage Objective 19: Transparency and efficiency of the PA Objective 11: Youth, Equal opportunities and Social affairs Objective 20: Dematerialization Objective 12: Mobility Objective 21: Public connectivity system Objective 13: Infrastructure Objective 22: Citizen-PA Relationship Objective 14: Agriculture Objective 23: Innovation Know-how Transfer Objective 24: Computer and Network Security

International Objectives Special Projects Objective 25: e-governance for development Expo Shanghai 2010 Objective 26: Internet Governance Arsenale – Integrated environmental System Objective 27: OECD and EU cooperation Arsenale – Centre for the Restoration of Contemporary Art Multimedia virtual Guide

A whole-of-government approach to e-government

Italy’s e-Gov 2012 Plan

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Simplification, Voice and Customer Care

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Sector Estimated Costs Reduction Plan Savings

Labour and Welfare

10 billion

CompletedAll interventions

have been implemented

4.8 billion48%

Fire prevention 1.4 billionCompletedMonitoring

526 million 37%

Landscape 621 millionCompletedMonitoring

166 million27%

Privacy 2.2 billion In progress -

Environment 3.4 billion In progress -

Public procurement

1.2 billion In progress -

Total 18.8 billion In progress 5.5 billion

Burden reduction plans and savings per sector for SMEs

130 20 40 60 80 100 120 140 160

Complicated language and forms

Uncertain waiting times

Too little information about servicesand compliance

Difficulty in identifying the accountableauthority

Nondescript

Too long waitings

Complicated procedures

Too many authorities to be contacted

Too many and unnecessarycompliance

Request for information alreadyavailable within the administration

Poor use of Internet and newcommunication technologies

Online consultation results: Administrative simplification issues

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• Access to information

o Friendly Line (Linea Amica)

o Service level standards: Guidelines for the Definition of Quality Standards of Public Services

• Public participation:

o Show Your Face (Mettiamoci la faccia)

o Civic Evaluation

• Possibility of Redress:

o Rights and procedure for class action

o User choice: Friendly Networks (Reti Amiche)

Putting Citizens First

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Potential Macroeconomic

Dividends of Public Administration

Reform

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Structure of production costs, 2008

0%10%20%30%40%50%60%70%80%90%100%

Consumption of fixed capitalCosts of goods and services used or financed by general governmentCompensation of employees

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Reforms

Lever 1: decrease deficits &

debts

Lever 2: increase

government productivity

Lever 3: reduce costs for citizens &

businesses

Lever 4: improve

governance

Transparency and integrity X

Performance evaluation X X X X

Meritocracy and rewards X

Managerial responsibility X X

Disciplinary sanctions X X

Collective bargaining X

E-Government (innovation & digitalisation)

X X X X

Certified e-mail X X X

Friendly Networks X X

Friendly Line X X

Show Your Face X X

Smart Inclusion X X

Potential macroeconomic impacts

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OECD Public Governance Reviews

OECD Public Governance Reviews

• A comprehensive, whole-of-government assessment of the public administration and governance arrangementso Policy coherence, prioritisation, implementation, outcomeso Aligning structures and incentiveso Both central and sub-national level

• Each review tailored to individual country requirementso Account taken of cultural dimensions and PA specificities and

context, ambitions and objectiveso Case studies can be undertaken in sectors of specific interest

• Recommendations and actions draw from an international comparative perspectiveo Relevant international/OECD countrieso Look at both best-practice and also potential issues to avoid 19

The Case for Reform Moving from a building block to a comprehensive approach