sharing services across government kieku finland state treasury
DESCRIPTION
Presentation by Mikko Kangaspunta at Overheidscongres about Public Shared Services: Sharing Services across Government to improve quality and reduce costs.TRANSCRIPT
Sharing Services across Government to improve quality and reduce costs
Experience from Kieku-programme 13.10.2010
Mikko Kangaspunta
Contents
• State Treasury in Brief
• Kieku backround
• How we standardised processes
• Government service centres in Finland
• Common application (Kieku)
• What have we learned (until now)?
2
Treasury in brief
• Developer and provider of internal corporate services for central government in partnership with government offices and agencies:
- financial and personnel administration processes and data systems, government shared IT services, fiscal administration
- pensions and accident compensations for government employees, support for activities to maintain work ability
• Services for private citizens and companies:
- compensation for military injury and criminal damage, guarantees and interest subsidies for home loans, exemption decisions, government yield bonds
• 600 employees
• operates under Ministry of Finance
3
4
Drivers for moving to more efficient support services
Financial and personneladministration
Retiring population and competition for workforce
Economic framework and productivity expectations
Evolving management and emerging information
needs
Development of technologies
and service models
Impact of regionalisation
Expectations on Electronic Administration
and self-service
The foundation stones
• New integrated application technology
5
• Creation of shared service centres
• Standardisation of processes and policies
Kieku-Schedule
2009 2010 2011 20122008 2013
Take care of data-conversions and interfaces
Ongoing services
Roll outs (other administrative sectors)
Arrange support and maintenance
2kk
Roll outs (Ministry of the
Interior)Build up global templete and pilots
Build up hosting services
Skills management roll outs
StateTreasury
Academy/Border Guard
Ministry ofInterior
Other Ministries
How we standardised processes
7
How we standardised
Processes in Finance and
HR
Automation and IT-
systems
Customers and
Service centre
8
9
Level of Standardisation
• First wave pioneers 1.1.2008 • Customers of service centres:
44% of bureaux when full time person years in bureaus is used as reference value
• Degree of process standardisation (phase 1):47% in personnel administration 57% in financial administration
• Today• 90% of total number bureaus as a customer• 13-30% improvement in productivity
• Target• 100% standardisation (phase 2) and 100 % customership• 40% improvement in productivity
Government service centres in Finland
11
Cost/benefit analysis Customer and job satisfaction surveys Service contract templates Pricing modelsFollow-up of monitoring of productivity Acquisition of training services
Finnish states service centre (as one agency)was established in beginning of 2010- 800 employees in six cities
Service Centre create consistency in service quality and cost improvement
Service Centre Locations
12
Turku
Hämeenlinna
Joensuu, Head Office
Kuopio
Mikkeli
Pori
Common Application (Kieku)
13
Kieku – new system for government financial and HR administration
• standardized processes• shared data system• standardized data structures
New system for financial and HR administration
• 70 000 public servants• about 3000 professional users
Throughout central government
• supplier Logica• roll-outs 2010-2014
State Treasury’s Kieku IT Programme
What Kieku enables?•increase
efficiency of government financial and HR administration
•support service centre model
•create basis for division of functions between office and service centre
•introduce flexibility in resourcing
•enable consistent quality of service
Uniform and streamlined processes
•aids development as financial and HR administration professional
Based on globally used technology
•fewer errors
•emphasizes ownership of information
Enters information once and where it is
created
•self-service facility when required
•public servant and superior have direct access to required information
Kieku portal
Lessons Learned
16
Lessons Learned - in general
• Start with the end in mind
• Senior Leadership is essential
• Take care of Communication
• Build up Partnerships
• Be prepared this is totally different from anything you have done before
17
Lessons learned - in practise 1(2)
• Master data: pay enough attention
- Who owns structures, content, rights to update data?
- Kieku is master for personnel and vendor data
- Office/substance systems are masters for customer data
• Team of players involved: who ”drives”?
- Who is the ”solution provider”/integrator?
- What are responsibilities?
• Plan dependencies on other systems , projects and changes carefully
- Have ”plan B’s”
18
Lessons learned - in practice 2(2)
• One technology (e.g. SAP) would have been easier to deal with
- Challenging integration between SAP and Logica components
- But SAP has no solution for Finnish government payroll
• Supporting different collective bargaining contracts
• One centralised system has its own challenges
- How to guarantee future performance and continuation?
- Organization structures, codes etc. are more than complex
• Civil servant may have contract with more than one office
19
Meet the programme objectives
Commonality
Productivity
Skills Service andquality
The common Kieku IT-system enables increased productivity by simplifying and automating financial and HR administration processes
Common operating processes with clearly defined roles and responsibilities enable efficient knowledge sharing and ensure high-quality financial and HR administration processes and information.
The Kieku IT-system enables harmonized services provision and continuous improvement based on the shared services model as well as supports the agencies core operations and information needs.
