Driving Innovation James Kauth Innovation Program Director Office of the State CIO

IT can be a significant catalyst for change Why Innovate? Governor’s Priorities Create jobs and improve Minnesota’s competiveness Improve how state government works to deliver the best services at the best price Make Minnesota’s tax system more fair IT can be a significant catalyst for change Bullet 2 sounds like a priority for private business. Innovation has been happening there for decades –out of necessity The best services is effectiveness, the best price is about efficiency How can IT improve State Government service delivery

Reinventing Government “Our goals are to be an agent of change and help government reinvent itself by identifying next-generation technologies that can help state government be faster, more nimble, less bureaucratic and more responsive in the services it provides to citizens, more able to measure and report on outcomes; and to model reform in the reinvention of state IT.” - State of Minnesota IT Master Plan, April 2012 The adaptation of the Governor’s priorities comes in the form of our agency’s Master Plan. IT Consolidation stems from the master plan, and so does or innovation program

Key Drivers IT is a top expense of state budgets IT directly contributes to business efficiency and effectiveness Marginalizing IT limits its potential to deliver new value Customers expect services they take for granted elsewhere We need to “catch up” with our government and private sector peers More? How about: Big Data Open Government The Social Enterprise Democratization of the Web Ubiquitous computing ½ billion dollars is a strong driver Gov’t hasn’t viewed itself in a competitive market, globalization is creating a marketplace for gov’t services Not all areas of IT should be treated as a commodity. That viewpoint obstructs a necessary and natural partnership between IT and the business OK, convinced we should do it? Then where does it go? (next slide)

Innovation Program Purpose The Mission To address government business challenges by soliciting creative ideas from a broad and diverse range of communities. The Goal To identify opportunities that can result in creative, effective IT solutions that bring new value to Minnesota citizens, businesses and government. The Program A series of “challenges” that allow MN.IT to mine ideas from employees and others for new or improved: Processes Programs Applications Services

The MN.IT Services Functional Org Chart Commissioner Parnell leveraged the IT Consolidation effort to create the Innovation Program The fact that it’s separate from other operational functions is purposeful, and a sign of commitment rather than a late entrance -true innovation and creativity cannot be tied to existing processes

Government Innovation Opportunity Areas this program is not about efficiencies of IT Consolidation Efficiency: how Effectiveness: what Back Office Innovation Results in greater efficiency within state government. e.g. IT Consolidation Public Service Innovation More effective government services for Minnesotans / improve the state business climate

Crowd-sourcing Ideas Event MINNOVATION CHALLENGE #1: MN.IT Employees June 1 – June 21, 2013 Best ideas bubble up! Comment & Vote Ideas Challenge #1 Theme Share your ideas for: a new way of delivering a government service Improving an existing service Extending adoption of an innovative @Agency solution An IT perspective on: How citizens want to access government services types of services citizens want that MN.IT can help deliver What could we build if we plugged into MN.IT’s collective knowledge? Remember: this is a new organization, and it’s staff are VERY connected to the business mission of the agencies whose roof they work under

The Innovation Cycle COOL STUFF ICAT Project Work Teams Best ideas bubble up! Comment & Vote Ideas ICAT MN.IT Employees COOL STUFF Awards & recognition Review Process The Innovation Cycle Approach consistent with successful private sector innovation practices IBM, General Mills, Honeywell As well as other states and Fed agencies: Michigan, Colorado, California, GSA, Challenge.gov And our own DoT! Project Work Teams

Innovation Catalyst Team (ICAT) Purpose Set the stage for all MN.IT Engage, interact, sustain momentum Discover innovative talent in the ranks ICAT Role Prelaunch: idea seeding During Challenge: sustain momentum Review: Idea filtering, scoring Team 15 staff from across MN.IT

The Payoff for Our Organization A chance to create something new An access point to leadership that wasn’t there Transparency that shows we listen and openly respond to staff ideas “Finally, they’re LISTENING to us!”

The Results: Engagement! Metric Final Stat Employees 2,080 99.9% of all MN.IT staff Registered Users 1102 53% of MN.IT staff Active Users 539 25.9% Final idea count 214 ideas 1 in 5 staff had an idea Comments 690 comments >3 comments per idea Votes 3,442 votes 16 votes Registered Users by Role # Architecture / Standards / Risk / Security 60 Communications / Planning / Legal 17 Customer Relations / Service Development 28 Data Management / Reporting 82 Network Services / Network Support 58 Procurement / HR / Training / Admin Services 34 Project Management / Analysis / QA 184 Software Design / Development / GIS 254 Supervisor / Manager / Executive 147 System Operations / Support / Service Desk 238 Total 1,102 It turns out MN.IT has a lot to contribute! Unexpected benefits: We now have a list of ranked, top idea producers across a broad 2,000 employee organization (less than 40 contributed more than 1 idea) We know how folks see their roles in the organization, independent of job classifications And we continue to leverage them in our idea review Target Groups % User Share 438 users 40%

IdeaScale IdeaCloud ™

The Next Hurdles Managing the ideas Defining projects Acquiring resources to implement them Most of the ideas are good, but we can only execute on a few With so many IT Consolidation projects underway And oh yeah, there’s the stability of operational systems that trumps everything

Step 1 Review Summary & Wrap-up Minnovation Challenge #1 Theme Best ideas bubble up! Comment & Vote Ideas Step #1 Approach 3 Questions: In scope Y/N Actionable Y/N Duplicate ? Citizen-focused ~70 ideas Citizen communication Citizen engagement Data governance Mobile Policy/standards Technology solution Web Operational fit ~ 90 ideas HR - related Innovation Program Cloud Projects Processes Service Delivery Service Mgmt Internal/efficiency ~50 bigger ideas Data governance Procurement Benefits IT Consolidation Network BPM

Steps 2-4 Review Process Summary Best ideas bubble up! Comment & Vote Ideas Approach Rank and filter: top candidates Assess these individually Propose finalists as projects Citizen-focused ~70 ideas Citizen communication Citizen engagement Data governance Mobile Policy/standards Technology solution Web Refine, rate & recommend steps Top candidates Move forward Other candidates Archived for future use Regrouped to internal

Projects = Results Provide immediate, demonstrable value Meet the priorities of the program and challenge theme Measurable outcomes Development time-frame: 3 weeks - 3 months Costs that fit within program budget and/or attract investment from interested partners Goal: build momentum with quick, low cost but meaningful project “wins”

Turning Ideas into Projects MN.IT Services has a mature project portfolio For managing operations projects Need an independent, innovation project portfolio With a distinct budget Internal improvement ideas Need a model for these popular ideas We had several ideas that were internal efficiency related, they were GOOD! Assign them to functional areas, propose them as operations projects

Scope of our Next Challenge? Audience reach beyond MN.IT Open Innovation Opportunity Areas Governor’s Office interest Enterprise data governance a new priority Annual report/metrics on emerging trends & tech Hackathons, crowdsourcing, civic engagement Our methods are documented and defined The opportunities are mounting

Open Innovation Partnerships Our social enterprise is growing Public data is the natural resource of government innovation And the key opportunity for organic open innovation partnerships Remember Web 1.0 –brochureware or pull Web 2.0 –transactional and push services Web 3.0 –real time engagement, direct citizen interaction and open APIs Engaging citizens to help tackle the challenges we face!

Takeaways & questions?