1. e-government in the UK Professor Helen Margetts Oxford Internet Institute See Oxford Internet Survey (OxIS) for 2005 and 2003 at www.oii.ox.ac.uk

2. What is e-government? The use by government of the internet and related information technologies internally and to communicate with citizens, businesses and other governments The use by government of the internet and related information technologies internally and to communicate with citizens, businesses and other governments

3. Digital-era Governance Reintegration – roll back of agencification, joined up governance, in-sourcing, shared services Reintegration – roll back of agencification, joined up governance, in-sourcing, shared services Needs-based holism – one-stop, zero-stop provision, client based organization, end-to-end service re-engineering Needs-based holism – one-stop, zero-stop provision, client based organization, end-to-end service re-engineering Digitisation changes – agencies become their web-sites, electronic services delivery, utility computing, zero-touch technology, radical dis- intermediation, customer segmentation Digitisation changes – agencies become their web-sites, electronic services delivery, utility computing, zero-touch technology, radical dis- intermediation, customer segmentation

4. Problems with government IT Government + IT = disaster…….. Government + IT = disaster…….. National Insurance Contributions Agency (1999), UK Passport agency (2000), Immigration & naturalisation directorate (2001), Criminal Records Bureau (2002), Courts Service (2003), Tax Credits (2004), Child Support Agency (2005)…….. National Insurance Contributions Agency (1999), UK Passport agency (2000), Immigration & naturalisation directorate (2001), Criminal Records Bureau (2002), Courts Service (2003), Tax Credits (2004), Child Support Agency (2005)…….. "Great big IT projects, databases and the rest of it have a horrible habit of going wrong'' Patricia Hewitt, trade secretary, BBC Question Time, October 2003

5. Policy Innovations with government IT Working London Congestion Charging Scheme London Congestion Charging Scheme Oyster card ticketing system Oyster card ticketing system Electronic tagging of prisoners Electronic tagging of prisoners DNA database DNA database Big projects coming up Variable road pricing? Variable road pricing? Biometric ID cards? Biometric ID cards? National Health Service electronic records (£6billion)? National Health Service electronic records (£6billion)?

6. UK E-government before 2004 Prolonged central pressure to outsource (market testing, PFI) Prolonged central pressure to outsource (market testing, PFI) Huge long-term contracts (10 yrs typical) Huge long-term contracts (10 yrs typical) Expertise transferred out of government Expertise transferred out of government Adversarial Anglo-Saxon contracting style: emphasis is on the contract and price reduction Adversarial Anglo-Saxon contracting style: emphasis is on the contract and price reduction Oligopolistic market (top five companies have 90 per cent of market) Oligopolistic market (top five companies have 90 per cent of market) Dominated by global players (particularly EDS) Dominated by global players (particularly EDS)

7. SupplierDepartment Start LengthTotal date(Years) Value (£m) EDS Inland Revenue 1994102,500 EDSWork & Pensions 2000102,000 EDSEmployment Service 199810 550 ICLCustoms & Excise 200010 500 CapitaCriminal Records Bureau 200010 400 ICL Home Office 200010 350 ICL Trade & Industry 199810+ 150+ SBS Passport Agency 199810 230 EDS Child Support Agency 200010 200 EDSPrison Service 200012 200 Top 10 UK Central Government IT Contracts, 2002

8. Companies' Share of UK Central Government IT Contracts, Total annual expenditure 2002 = £1 billion Source: Kable, IMRAN

9. Home Office Work & Pensions Education & Skills Immigration Passport Agency DVLA Inland Revenue Employment Service Benefits Agency The Citizenship Test

10. Home Office EDS Work & Pensions Education & Skills Siemens Accenture Immigration Passport Agency DVLA Inland Revenue Employment Service KEY Over £100m Under £100m Capita ICL / Fujitsu Benefits Agency S. Sema The Citizenship Test

11. UK e-government policy, 1999-2004 Office of the e-Envoy set up in Cabinet Office in 1999 to: Make UK best environment in world for e-commerce by 2002 Make UK best environment in world for e-commerce by 2002 Ensure everyone who wants it has access to the Internet by 2005 Ensure everyone who wants it has access to the Internet by 2005 Make all government services available electronically by 2005 Make all government services available electronically by 2005 Managed UK government portal (ukonline.gov.uk, then direct.gov.uk), Government Secure Intranet (GSI) and government gateway project Managed UK government portal (ukonline.gov.uk, then direct.gov.uk), Government Secure Intranet (GSI) and government gateway project Monitored e-business strategies of central government departments Monitored e-business strategies of central government departments Annual expenditure of £52 million, running costs £22 million, 250 staff in 2001 Annual expenditure of £52 million, running costs £22 million, 250 staff in 2001 Closed in 2004 Closed in 2004

12. UK e-government policy from 2004 eGovernment Unit (eGU) based in Cabinet Office eGovernment Unit (eGU) based in Cabinet Office Head of egovernment Head of the IT profession across Whitehall Head of egovernment Head of the IT profession across Whitehall Responsible for setting architectural standards, encouraging departments to 'join up', and helping improve success rate of major IT programmes. Responsible for setting architectural standards, encouraging departments to 'join up', and helping improve success rate of major IT programmes. Head of eGovernment analogous to that of a group chief information officer (CIO) in a conglomerate or large enterprise Head of eGovernment analogous to that of a group chief information officer (CIO) in a conglomerate or large enterprise Role covers all government IT, including big transaction-processing systems at heart of government eg. benefit payments, tax collection Role covers all government IT, including big transaction-processing systems at heart of government eg. benefit payments, tax collection eGU to develop the government's internal IT and programme management skills. eGU to develop the government's internal IT and programme management skills. eGU relies on powers of persuasion rather than authority or major budget eGU relies on powers of persuasion rather than authority or major budget

13. E-government strategy 2005 Transformational government: The vision is not just about transforming government through technology. It is also about making government transformational through technology. Transformational government: The vision is not just about transforming government through technology. It is also about making government transformational through technology. Shared services Shared services IT professionalism IT professionalism Citizen centric government Citizen centric government Service Transformation Board - putting heads of big service delivery departments together Service Transformation Board - putting heads of big service delivery departments together Plan is to rationalize the 2,500.gov web sites and get everyone using direct.gov as primary on-line entry point. Plan is to rationalize the 2,500.gov web sites and get everyone using direct.gov as primary on-line entry point. (Note www.directionlessgov.com)

14. e-Government in the UK Source: Oxford Internet Survey (OxIS) 2005; N= 1,309 Current Internet users Yes = Percentage of Internet Users who have carried out at least one e-Government action within the last 12 months

15. e-Government in the UK – most common use is information seeking Source: Oxford Internet Survey (OxIS) 2005; N= 1,309 Current Internet users

16. e-Government by Age N = 1,309 Current Internet Users

17. Usage of e-government in UK is comparatively low Of the 60% of population in UK who use the Internet (OXIS, 2005)… Of the 60% of population in UK who use the Internet (OXIS, 2005)… ….39% (24% of citizens) have interacted wtih government electronically in last year.... ….39% (24% of citizens) have interacted wtih government electronically in last year.... in contrast with proportion who have sought product information (87%) or bought on-line (74%) – 50% shop once a month or more in contrast with proportion who have sought product information (87%) or bought on-line (74%) – 50% shop once a month or more Cross-nationally: in 2003 Taylor Nelson Sofres estimated UK level of e-government use at 18% compared with 52% Netherlands, 51% Canada, 47 % Australia, 44% USA Cross-nationally: in 2003 Taylor Nelson Sofres estimated UK level of e-government use at 18% compared with 52% Netherlands, 51% Canada, 47 % Australia, 44% USA

18. Cross-nationally - UK usage of e- government also comparatively low % total population 200320022001 Netherlands 52 41 31 Canada 51 48 46 Australia 47 46 31 New Zealand 45 40 NA USA 44 43 34 UK 18 13 11 Japan 15 13 17 Source: Taylor Nelson Sofres (2003)

19. Incentivization of e-government For e-government usage to rise, citizens and businesses have to be incentivized using: Money Money Authority, i.e. compulsion Authority, i.e. compulsion Time, reducing transaction costs Time, reducing transaction costs Information and expertise eg. provide informational added value Information and expertise eg. provide informational added value (See H.Margetts and H.Yared (2003) Incentivization of e-government (London: UK National Audit Office) at www.governmentontheweb.org)

20. Demand is there – government citizen interactions are changing....... Internet users 52% of users go to Internet first to find name of MP if dont know it, 38% to find information on your taxes (compared with 70% to plan a journey/book holiday) 52% of users go to Internet first to find name of MP if dont know it, 38% to find information on your taxes (compared with 70% to plan a journey/book holiday) It seems that significant chunk of population (around 25% and growing) will interact with government on-line (e-government) as far as possible It seems that significant chunk of population (around 25% and growing) will interact with government on-line (e-government) as far as possible What experience will they have of interacting with government? What experience will they have of interacting with government?

21. If you needed to use the Internet to send an email or something, do you know someone who could do this for you? Source: Oxford Internet Survey (OxIS) 2005; N=709 (Non-users); N=167 (Lapsed users)

22. Digital divides in e-government use (UK) Internet users (60%) Non-users (40%) Internet first port of call for information– expect to use e- government (25%) Could find proxy user for Internet and e-government (29%) Internet users – open to using e-government (35%) Adamant non-users of Internet and e-government (11%) Potential users of e- government (89%)

23. Digital divide(s) Digital divides – different people use (or do not use) the Internet in different ways for different things.... Digital divides – different people use (or do not use) the Internet in different ways for different things.........and need to be incentivized differently.....and need to be incentivized differently Money (financial incentives to use e-services) Money (financial incentives to use e-services) Authority (compulsion to use e-channel) Authority (compulsion to use e-channel) Time (reducing transaction costs of interacting with government) Time (reducing transaction costs of interacting with government) Information and expertise (provide informational added value eg. Companies House) Information and expertise (provide informational added value eg. Companies House) Eg. Skilled internet users will use general search capabilities rather than portals and government information needs to be easy to find, appear top of search listings, compete with private sector offerings For non-users, intermediaries will be key