Technology Enabled GovernanceOpportunities

Rama Vedashree

About NASSCOM

• Policy Advocacy – Partnership with the Government

• Industry Development – Research, Events, Forums, Market development

• Enabling Environment – Entrepreneurship, Innovation, Resource building, Security

initiatives, Infrastructure

• Global Trade Development – Policy advocacy, Market development, International

Partnership, WTO/Bilateral engagements

• Sustainability - CSR initiatives, Gender inclusivity, Driving Inclusive Growth, Green IT

Initiatives

Represents IT, BPM, Products, ER&D Industry

Over 1,300 members – Includes Indian firms, MNCs and GIC units

IT-BPM industry – the India story

• Direct – 3 million, Indirect – 9.5 million• Women – >30 per cent of workforce• Foreign nationals – >100,000

Catalysing business transformation for global clients; Start-ups creating innovative solutions

From USD 100 million in FY1992 to USD 108 billion in FY2013

• ~8 per cent of GDP• 23-25 per cent of exports• ~7 per cent of FDI share

• 52 per cent share of global sourcing market• Large pool of IT-BPM firms – 5,000+

Strong growth in industry revenues

Contributing to economy

Large private sector employer

Leader in the global sourcing landscape

Emerging as an innovation hub

• A truly global industry

• Mission critical in nature

• Ever changing technology environment

• Skill based industry

• Young industry: average age 26-27

• Constantly evolving value proposition

• Best practices –HR, quality, security

A UNIQUE INDUSTRY

Source: NASSCOM

IT Services BPM Engineering R&D

Internet & eCommerce

Software Products

• ADM• Infrastructure

outsourcing• Integration• Software

testing• OSPD• IT strategy &

consulting

Services portfolio continually expanding

• Customer support

• Transaction processing

• Knowledge, legal services

• Data management

• Analytics

• CAD/CAM• Embedded

design• Design and

R&D• Product

engineering

• Enterprise solutions

• Platforms• Apps• SAAS• B2C products

• eCommerceplatforms

• Online marketing

• Social media technology and solutions

• Content and search

Only country in the world with the capability to provide complete end to end services in IT, BPM, Products and ER&D

Source: NASSCOM

World’s largest talent base for IT-BPM services

• Direct employment: ~3 millionIndirectly: ~9.5 million

• Foreign nationals employed: > 100,000Women employees: ~30 per cent(800,000+)

• Employee growth supplemented by non linear model

• World’s largest talent pool: ~ 4.7 milliongraduates and post graduates

• Faster role progression and development, structured training programs

• Sustained investment in training, in-house universities, affiliations with academia

Direct Employment ’000 nos*

670

2,964

E: Estimate* Excluding hardwareSource: NASSCOM

CAGR16%

Domestic market at 14.1 per cent growth

589674

148167

180

205

FY2012 FY2013EIT Services BPM S/W products

918

1,04714.1%

IT-BPM Domestic revenues*INR billion •Domestic: Y-o-Y growth 14.1 per cent, fastest

growing IT market in the world

•Services: Managed services, unified communications, collaborative applications, integration of core enterprise applications

•Key Enablers:• Mobile apps, cloud environment ,SMB out

reach• Government accelerating economic reforms, • IT seen as a critical enabler for inclusive

growth and transformation• Internet, eCommerce firms driving adoption

E: Estimate* Excluding HardwareSource: NASSCOM

LinkedIn users:18 million

(Second largest user base after US)

75 per cent of netizens

<35 years of age

Social network users:>70 million

Facebook users:65 million

(Third largest country on Facebook)

Online retail:>37 million

unique visitors

(3 of 5 online Indians visit online retail sites;growth of 43 per cent)

Households with internet access:

29 million

Mobile subscribers:890.6 million

Mobile internet users:87.1 million (est.)

Telecom subscribers:921.47 million

(Second largest in the world after China)

Broadband subscribers:14.88 million

Online Indians:>120 million

(Third largest after US and China)

PC installed base: 25 million

Internet subscribers:24 million

Internet users:150 million (est.)

India’s Connected consumers - key domestic driver

Source: comScore, IAMAI, IMRB, socialbakers.com, TRAI, NASSCOM

8

• Customary regulatory compliances by RBI, TRAI, SEBI, etc.

• MCA‐21, GST

• Number of technology graduates and post graduates passing out in India is growing at more than 25 per cent

• Over 74 million active internet users in India

• Indian companies are expanding globally

• Business processes are maturing

• Increasing customer focus leading to rise  in BPO services

• NeGP1 (e.g. UID)• NME‐ICT2• RAPDRP3• Automation of public distribution system

• National Knowledge Network

The growing aspiration of Indian enterprises, rising awareness and government initiatives are some of the key drivers for IT‐BPO adoption in India

Key Drivers for IT-BPO

Adoption

Regulatory Factors

Aspiring Indian

Enterprises

Aggressive IT Investments by Central & State Governments

Huge “Native to IT” Population

Base

Emergence of New

Delivery/Business Models and

Disruptive Technologies

Aggressive Focus by Service

Providers

• Managed services• BOO, BOOT Model• Outcome based

projects• Mobility solutions• Social networking • Cloud computing

Note: 1National e-governance plan; 2National Mission of Education through Information and Communication Technology; 3Restructured Accelerated Power Development and Reform ProgrammeSource: Zinnov Analysis

• Focus on India as a primary market

• India-specific research & development

• Low cost/customized products for the Indian market

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• District panchayats: 540• Village panchayats: 2,32,000• Intermediate panchayats: 6,096• Municipalities and corporations in 423 class I cities and others

• The total number of state/UT governments: 35• The number of departments vary for different governments

• Central ministries: 49• Central departments.: 51• Independent departments: 6

The Indian Government is a three‐tier organization with central, state and district level administration

Source: Zinnov Analysis

Central Government

State/UT Government

Rural LSGI (Local Self‐Governing 

Institute)

Structure of Indian Government

Government Large Enterprises Micro, Small & Medium Enterprises Consumers

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The government expects to improve internal efficiency and provide better services to more citizens with the help of IT

Source: Zinnov Analysis

Improve Internal Efficiency

Faster and effective implementation of policy reforms and public grievances

Help in increasing revenue collection, both at state and central level

Enable efficient public distribution system and reduce pilferages in the value chain

IncreaseReach

Access to better healthcare and education to the masses

Financial inclusion of the unbanked population

Help provide relevant information to all the citizens across locations

Government Large Enterprises Micro, Small & Medium Enterprises Consumers

IT Expectations of the government

Provide Better Services

Enable a single window for all government related interactions

Enable faster and safer transactions performed by citizens, businesses and government

Faster response to RTI petition and improve transparency in related functions

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The IT adoption initiatives of the government have gained momentum enabled by various technologies like smart cards, RFIDs, biometrics, etc.

Note: 1Integrated Information System for Food Grains Management; 2Food Corporation of India; 3Radio Frequency IdentificationSource: News Articles; Zinnov Analysis

Trends in IT Adoption by

the government

Government shared IT infrastructure

Increasing need of Custom Application

Development

Maturing SLAs with the

increased adoption of managed services

Single window system for integrated

services deliveryEmerging new

technologies like cloud computing, open source and mobility solutions

Increasing use of technologies like

GIS, RFID3, GPS, biometrics, smart card, etc.

Industry Overview Growth Drivers Key Challenges IT Market Size Value chain Key IT trends Case Study Future Outlook

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Contribution Of Private Players in eGov

•Citizen services Projects•Development of portals and websites•Complex networking/backbone/core infrastructure services•Back‐end computerization•Data digitization/migration of legacy systems•Development of IT strategy, blueprint and architecture•Development of collaborative groupware applications• IT infrastructure management•Assisting in vertical and horizontal integration of government bodies•Organizational restructuring and capacity building•Execution of roadmaps with information systems and technology planning

NeGP Mission Mode Projects

Total No. of Service Categories Planned : 275 (84 Central, 140 State, 51 Integrated)

CENTRAL ‐ 10 Banking

Insurance

Income Tax

Central Excise

MCA 21

Pensions 

Passport   

e‐office (Pilot)  

National ID / UID 

Immigration /Visa    

Posts

INTEGRATED ‐ 7 India Portal 

CSC NSDG 

e‐Courts 

EDI 

e‐Biz

e‐Procurement 

STATE ‐ 14 Land Rec./NLRMP 

Transport 

e‐District  

Commercial Taxes 

Treasuries 

Municipalities 

Police – CCTNS 

Agriculture

Gram Panchayats 

Employment Exch.

Health

Education

PDS

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The main objective of NLRMP MMP is to develop a modern, comprehensive and transparent land records management system throughout the country

Computerization of land records

Survey/re‐survey and updation of records 

Computerization of registration

Development of modern record rooms

Integration of spatial, survey and cadastral data: Core GIS1

Training and capacity building

Program management

Scope per District Expected Outcome per DistrictDeployment of a completely web based land records 

management solution

Scanned, cleaned and profiled images of updated land records

Network based document management with a workflow solution

Organizing physical records in new numbered bags

GIS and cadastral mapping of land record maps

Creation of data centre at the revenue office

Training and capacity building

Phase‐I covers the activities for reaching the stage of 

conclusive title

Phase‐II covers archival 

purposes and revenue 

administration strengthening

Implementation• The implementation is being taken district‐wise• There are plans to cover the country by the Twelfth Plan period

• Suitable PPP model being employed at the state/UT level

Note: 1Geographic Information SystemSource: Ministry Of Information and Communication Technology; Research Documents; Zinnov Analysis

NeGPIndustry Overview Growth Drivers Key Challenges IT Market Size Value chain Key IT trends Case Study Future OutlookNeGP

15

CCTNS aims to create a nationwide networked infrastructure for evolution of an IT‐enabled tracking system around investigation of crime and real time detection of criminals

• Plans to deploy a central CAS1 at the NCRB2 and other state CAS

• CAS developed centrally and provided to states for customization, enhancement and deployment with additional state applications

• Plans to deploy a central CAS1 at the NCRB2 and other state CAS

• CAS developed centrally and provided to states for customization, enhancement and deployment with additional state applications

The networked applications will enable sharing of crime and criminals data between police stations, higher offices and citizens

The networked applications will enable sharing of crime and criminals data between police stations, higher offices and citizens

Once deployed, the project will cover 14,000 police stations, 6,000 higher offices, the NCRB and SCRBs3

Once deployed, the project will cover 14,000 police stations, 6,000 higher offices, the NCRB and SCRBs3

CCTNS is a comprehensive and integrated system for enhancing the efficiency and effectiveness of policing

Goals and Expectations from CCTNS: Better Policing by Intelligence Creation and Report Generation with Complete Integration

Central Level

State Level

District and Block Level

Police Station Level

Citizens

NexusSmuggling, human trafficking, hawala, 

counterfeit, financials, etc.

Efficient monitoring

IntelligenceInformation leads, integration with 

immigration , passport and visa

Feed analysis to police stations

Emergency response

PropertyWeapons, arms, ballistics, devices, 

equipment, stolen/recovered

Disaster/Crisis Management

Monitoring and Reporting

Reduced redundancy

Criminal InformationFingerprint, DNA, 

biometrics, suspects, arrests, organized gangs, terrorists 

State databases of crime and criminals

Improved law and order

Improved investigation

Easy access to police services

Crime InformationModus operandi, missing/stolen 

vehicles, dead bodies, accidents 

Efficient handling of law and order 

Improved clearances for passport, arms and 

licenses

Availability of quick data for crime prevention

Enhanced visibility

Note: 1Core Application Software; 2National Crime Records Bureau; 3State Crime Records Bureau(s)Source: Company Websites; News Articles; Zinnov Analysis

NeGPIndustry Overview Growth Drivers Key Challenges IT Market Size Value chain Key IT trends Case Study Future OutlookNeGP

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Implementation of IISFM1 for FCI2operations

Smart card based delivery of 

commodities in two states/UT5

Computerization of TPDS 

operations in three districts each of pilot states/UT4

ObjectiveTo feed millions of below poverty line (BPL) families and eradicate poverty

Challenges• Complex network of distribution• Corruption and hoarding of food grains• Lack of accountability and robust distribution process

SolutionBring in transparency, efficiency and accountability in the whole distribution process by automating it, with ICT as a key enabler

Outcomes

• Increasing use of web enabled, role and workflow based application software

• Increasing focus on mobile governance

• Introduction of SCOSTA6 compliant Smart Cards for all the stakeholders with biometric authentication.

• Increasing use of emerging technologies like RFID

Note: 1Integrated Information System for Food Grains Management; 2Food Corporation of India; 3Department of Food and Public Distribution; 4Andhra Pradesh, Assam, Chhattisgarh and Delhi; 5Haryana & Chandigarh(UT); 6Smart Card Operating System Standard for Transport ApplicationSource: Government Websites; News Articles; Zinnov Analysis

PDSIndustry Overview Growth Drivers Key Challenges IT Market Size Value chain Key IT trends Case Study Future Outlook

Automation of Public Distribution System(PDS), across states, has gained momentum with increasing adoption of ICT 

Automation of PDS

ICT Initiatives Taken by the Central Government (DoF&PD3) in

Automating PDS Across the Country

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The focus of the government is to employ other emerging technologies such as Biometrics, RFID, GIS, GPS, mobile reporting, etc. in its day‐to‐day functioning

Emerging Technology Focus Areas for the government

RFID• To be employed at

the toll systems across the country

• Can potentially be employed in all government and border vehicles

GPS• To be employed in

PCRs and mail motor vehicles in many states

• Security Tracking of public transportation

GIS• Can be employed

in location-based services and in developing warning systems

Smart Cards• Currently being

employed in PDS, insurance and transport verticals

• To be extensively used with the introduction of India Transport Card

Biometrics• Biometric

attendance systems

• To be used extensively once UID is implemented

Mobile Reporting• RTI and other

services like GPF, PDS are making use of it already

• Court judgments, grievance redressal systems, etc.

IT Spending in Government, INR billion

Industry Overview Growth Drivers Key Challenges IT Market Size Value chain Key IT trends Case Study Future Outlook

203.7

371.0

683.5

FY11 FY15E FY20E

Source: Zinnov Analysis

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The facility of quality healthcare to all the citizens can be ensured by the adoption of information technology 

• IT can extend the reach of medical treatment to the remotest parts of the country

• It plays a vital role in bridging the huge gap between demand and supply of healthcare facilities in India

For instance, ISRO’s telemedicine network to provide remote consultation, clinical information and online surgery in some cases

Note: 1Health Management Information System; 2With the help of IT, the scheme now involves 800 major surgeries and disburses around INR 25 million as insurance claim every daySource: Zinnov Analysis

• Successful initiatives such Healthline 24X7 in Delhi, Mumbai and Bengaluru can be rapidly replicated in other cities with the use of IT

• Various m-Health educational services like Tata Sparsh will continue to evolve

• IT can enable large scale rollout of healthcare insurance initiatives such as Kalaignar Insurance Scheme for Life Saving Treatment2

• IT is helping the industry in formulating better insurance products

• Government initiatives like the HMIS1 portal can be useful in better policy formation and health monitoring in the country

• These would be Instrumental in preparing the government for epidemics and unforeseen health hazards

• Use of IT in healthcare can significantly reduce a patient’s hospital stay by up to 39 per cent

• Widespread adoption of HIS can equip hospitals to better serve patients with existing resources IT

Benefits

People Business Governance

Patient Terminal

Expert Doctor

Telecommunication

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Millions of people in rural areas can benefit from the IT‐backed financial inclusion initiatives in the country

Number of No-Frill accounts -

41.5 million

Number of rural bank branches -

31,727Number of POS -

522,148

Number of Kisan Credit Cards -

76 million

Number of GCC issued by PSBs -

152,842

Thousands of people have already benefitted from the Financial Inclusion initiatives of the government1

Note: 12009 dataSource: DNB; Reserve Bank of India; Zinnov Analysis

• Use of technologies such as mobile phones (by Union Bank), VSATs (by Bank of India) and biometric mobile ATMs (by Canara Bank) might help banks reach out to customers in rural areas

• Equipped with laptops, data cards and biometric devices, initiatives such as “Bank on Bikes” by the State Bank of India can provide banking facilities to the unbanked

Key government initiatives are benefitting from IT • Payments of MNREGA done online• UID will further empower people

with electronic identities

• IT can help improve financial literacy among people, both urban and rural, with initiatives such as Project Financial Literacy by RBI

Going forward, information technology can help further extend the benefits of Financial Inclusion

ITEnable

dFI

People Business Governance

How Can Academia Contribute in eGov

• eGovernance is the largest growing vertical in India, across Central, State and Local Govt– More Players entering this domain

• Opportunities in all streams of IT and BPM– Application Development– Network Deployment and Management– Data Centres– Citizen Contact Centres and Citizen Service Centresboth in Urban and Rural India

How Can Academia Contribute in eGov– Technology Solutions being deployed, span the entire spectrum

• Web, Social Media, Mobility• Biometrics – Fingerprint and IRIS too, Smart Cards• RFID, GIS• Cloud , Data Centres and SWANs• CCTV and Surveillance• Smart Grids and Smart Meters• Indian Language Computing and Content• eLearning and Telemedicine • ERPs and now core and branch banking in Dept of Posts

– Career Growth Paths in Egov• Developer, Network Support, Back Office and Voice BPO• Solution and Data Centre, Network  Architects• Domain Specialisation

– Taxation, Utilities, Revenue, Transportation, Healthcare etc

How Can Academia Contribute in eGov• Talent Shortage in Both Industry and Government and Society

– Develop Curriculum for Students in eGov– Curriculum in eGov, for various levels in Government

• End Users/Operators• Entry Level and Mid, Senior Level Officers• Leadership Courses for eGov Champions and Project Leaders

• Management Curriculum in eGov Specialisations• Digital Literacy Courses for Citizens and eGov end‐users

– Change Management Initiatives– Research and POCs in emerging technologies like Biometrics, Biometric authentication on mobile phones, GIS, RFID etc

– Impact Assessment of ongoing eGov Projects

rama@nasscom.inegovreach.innasscom.inThank You