1. © 2013 IBM Corporation Eriks Mikelsons IBM Software Solutions Leader Baltics KONFERENCIJA SAVIVALDYBIŲ IRT SKYRIŲ VADOVAMS IR SPECIALISTAMS 2013 Smarter Cities Challenges

2. © 2013 IBM Corporation 2 Citizens are placing increasing demands on leaders Evolution of Value Leaders Deliver Citizens Demand Time Lifestyle, Health Jobs, Education Water, Energy Buildings, Roads ProsperityOpportunityConvenienceSecurity For the first time in human history the majority of the world’s population lives in urban areas. WorldBank.org 3 billion people – half the world’s population – live in cities Two-thirds of all people will live in cities by 2050 Almost 180,000 people move into cities each day

3. © 2013 IBM Corporation 3 Planning and Management Design and implement a city plan to realize full potential for citizens and businesses; while efficiently running daily operations Infrastructure Deliver efficient fundamental city services that make a city desirable for citizens Human Provide effective services that support the economic, social and health needs of citizens Leaders must innovate across services to meet and exceed citizen expectations Infrastructure Human Planning and Management Government and Agency Administration Environmental Social and Health Transportation Energy and Water Education Public Safety Urban Planning

4. © 2013 IBM Corporation 4 …engaging citizens and businesses Reaching beyond city hall to collaborate and integrate… Citizen Groups Businesses Other levels of Government Universities Hospitals Security Agencies Not for Profits Developers Infrastructure Human Planning and Management

5. © 2013 IBM Corporation 5 Liaising with social services enables early intervention Easing traffic congestion improves emergency response Lower crime increases use of public transit Enhanced quality of water improves health …enabling interconnections across systems to improve outcomes Utilities Healthcare Water Transportation Govt Services & Education Public Safety

6. © 2013 IBM Corporation 6 Enables leaders to better serve citizens and businesses in a rapidly changing world Leveraging information to make better decisions Anticipating problems to resolve them proactively Coordinating resources and processes to operate effectively To provide sustainable economic growth and enhanced quality of life Infrastructure Human Planning and Management

7. © 2013 IBM Corporation 7 Smarter Cities solution portfolio EnergyGovernmentHealthcarePublic Safety Prioritized Industries TransportationWater Solutions Business Partner Solutions Smarter City Operations Consulting and Services, Advanced Research, Workload Optimized Systems and Flexible Delivery Models  Operations insight  Law enforcement and public safety  Building management Planning and ManagementInfrastructureHuman  Transportation management  Water management  Utility Network management  Asset Management  Social program management  Smarter Care  Educational outcomes

8. © 2013 IBM Corporation 8 InfrastructureHuman Planning and Management Government data integration Agility deliver rapid and dynamic response capability Scalability flexibility in the operational environment Interoperability within and across forces, between coalition members Resilience improve mobility, autonomy, and robustness Government and Agency Administration information integration

9. © 2013 IBM Corporation 9 What is real situation with Government Solutions Today ? Siloed, Complex and Unfocused solution & services  Departments and other branches of local government are disconnected with manual processes – Public Services are fragmented and co-ordination and sharing of resources and information inconsistent  Government mandated change can be costly, and time consuming – Inability to offer new services as required  Focus on service provision – Services and applications not designed for citizen needs but based around service provision  Concerns over value for money and trust – Reluctance to spend on enhancing infrastructure and delivering a better service and can lead to damaging failures in security and practices App1App2App3AppX

10. © 2013 IBM Corporation 10 …speed the deployment of government/public sector solutions to meet business objectives? …get the flexibility to re-use existing resources and IT systems while enabling new process capabilities? How do I… …ensure there is a choice of technologies for Government projects that best support our strategy and deliver a quick ROI? Business Processes Business Architecture Technology Architecture & Infrastructure How to approach for new Government Solutions ? Answer : To align Business and IT Objectives

11. © 2013 IBM Corporation 11 Government Interoperability platform Converts between different transport protocols (different systems still exists in Governments) IBM Government Interoperability platform Matches & routes communications between services Connects disparate even siloed Government systems Distributes Business events (new regulation impacting social segment) Transforms between different data formats (data format interoiperability) Optimizing Costs Integrate new and existing Ministries & Solutions very efficiently and faster Improve performance more than 10x, with lower costs Achieve full ROI within as few as 6 months

12. © 2013 IBM Corporation 12 Business problem: The city needed to open up its previously closed information to citizens Solution: The City of Honolulu built a cloud-based IT system to power mobile applications, government transparency and new solutions for problem-solving. Honolulu now has a scalable self-service platform on which city employees could develop open source applications, and it empowered the general public to create and deploy citizen-centric applications. Other applications include: Honolulu Tsunami Evacuation Zones: Provides information and maps on tsunami evacuation zones Mobile application: that enables citizens to photograph and pinpoint the location of problems—such abroken street or traffic lights or abandoned cars DaBus: Provides exact, real-time bus locations and estimated wait times for riders Adopt-a-Siren: Enables citizens to adopt tsunami sirens in their neighborhoods, checking to ensure siren functionality and reporting this information to the city Kokua: Provides real-time traffic report information for Honolulu City of Honolulu uses cloud-based IT system to power mobile applications for employees and citizens to report city problems 25% reduction in IT costs $1.4M in tax revenue from new property tax appraisal system

13. © 2013 IBM Corporation 13 Business problem: County school system wanted to improve quality of education for students, enhance effectiveness of teachers and empower administrators to create more personalized learning environments. Solution: IBM’s advanced analytics software with the Desire2Learn easy to use learning platform, creating a comprehensive solution that offers both proximity to specific, individual data for students and teachers and the capacity to take a big picture view across an entire district or region. The combined offering will help inform teachers of student performance in real time and to ensure that changes are being driven throughout the learning process. It will accomplish this by applying advanced algorithms to education, providing schools with the ability to predict academic achievement, and prescribe the most appropriate action to prevent at- risk students from failing. This optimizes an educator’s finite resources to drive outcomes such as better grades, better student retention and higher graduation rates. “Now everyone is looking at the data, and the results speak for themselves,” said Dr. Kirk Kelly, Director of Testing and Accountability, Hamilton County. Hamilton County Schools uses solution applying advanced algorithms to education, providing schools with the ability to predict academic achievement, and prescribe the most appropriate action to prevent at-risk students from failing. 25% reduction in annual dropout rate

14. © 2013 IBM Corporation 14 InfrastructureHuman Planning and Management Smarter Energy Leverage data to create insights that improve network operations Anticipate outages and improve communications, restoration and prevention Coordinate resources to inform consumers and engage them in conservation and sustainability Smarter Energy systems deliver reliable power

15. © 2013 IBM Corporation 15 Smarter Energy customers realizing real results Model City Mannheim smart grid framework shifts up to 8% of energy demand to off-peak, and reduces consumer costs up to 5% Devise a marketplace of smart grid services, spurred by Germany’s call for an “energy system of the future” Small U.S. city helps reduce electricity usage by as much as 11% with a conservation portal pilot program Public lighting utility in India improves control over 10,000 street lamps, reducing costs up to 20% annually and decreasing electricity usage by 20% Give engineers analytics to anticipate repairs and deliver reliable service, creating a reliable lighting grid that saves money and contributes to the city’s livability Empower households to better control use and reduce costs by combining social networking, cloud computing and sophisticated analytics Monitor 260,000+ meters and instruments on the grid, and automatically dispatch a field operator when outages occur Italian power company reduces outage times by 50% by automatically pinpointing the location and reason for the problem

16. © 2013 IBM Corporation 16 Smarter Transportation enhances the traveler experience InfrastructureHuman Planning and Management Smarter Transportation Leverage information to create visibility across transportation networks and improve operations Anticipate commuter demand to optimize capacity and minimize congestion Coordinate resources to assure safety and improve the traveler’s experience

17. © 2013 IBM Corporation 17 Smarter Transportation customers realizing real results Finnish Transport Agency transforms 78,000 km of roadway data into insights to enhance safety and operational efficiency Integrate and analyze existing roadway data to improve road maintenance and make the country's motorways safer and easier to navigate Improve safety, reduce accidents and save money by integrating motorway management Da Nang, Vietnam improves Public Transit Network with real-time information on traffic control center and 100 city buses to assist in monitoring traffic and controlling traffic lights Forecast and prevent potential congestion and better coordinate response to accidents and adverse weather with traffic control center Develop high-speed urban passenger transport network to meet growing population needs City of Zhenjiang makes public transportation system faster and more efficient by improving transit flow on 2000 city buses and 100 bus routes Queensland Motorways improves traffic flow and toll revenue by moving ¼ million vehicles a day through timely commuter advice and automated toll collection

18. © 2013 IBM Corporation 18 Smarter Social Programs Leverage citizen context to connect them to the right programs Anticipate citizen life events, respond dynamically and optimize resources Coordinate social programs across levels of government and the community to achieve desired outcomes Smarter Social Programs deliver optimal and timely outcomes for citizens InfrastructureHuman Planning and Management

19. © 2013 IBM Corporation 19 Smarter Social Programs – Needs to Outcomes: A personalized approach to social programs Referral Service Providers Non- Government Organisations Government Agencies Social Program Management Universal Access Outcome Management

20. © 2013 IBM Corporation 20 Alameda County Social Services realizes $24 million in savings due to fraud and waste reductions, a 631% return on investment Deploy an integrated reporting system to achieve visibility and avoid overpayments WorkCover SA achieves, no touch, end to end processing for more than 20,000 claims annually Improve service delivery and operational efficiency for workers compensation French National Family Allowances Fund achieves 35% productivity gain by providing an integrated view of data from 123 service branches Create an integrated, single view to improve productivity and efficiency of services UK Department of Work and Pensions reduces processing time by 4 days as providers no longer need to sort through 112,000 pages of applications daily Develop a paperless system to reduce processing time Social Program customers realizing real results

21. © 2013 IBM Corporation 21 IBM is the right partner to help cities innovate to meet and exceed citizen expectations  Deep skills to enable sustainable economic growth – Leveraging information to make better decisions – Anticipating problems to resolve them proactively – Coordinating resources to operate effectively  Local solutions based on global insight from 170+ countries

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