15. Innovation
• Culture - can take years to develop
– Trust,
– Curiosity / Lack of Fear,
– Tolerance of Diversity,
– Faith / Confidence,
– the Will to
• a)make the world a better place and
• b) wreck the status quo
• c) take risks and fail.
16. Innovation means change of behaviour with a
specific objective in mind
• Innovation - “doing something
new i.e. introducing a new
practice or process, creating a
new product (good or service),
or adopting a new pattern of
intra – or inter-organisational
relationships (including the
delivery of goods and services)”.
• “innovation is synonymous
with change. Ongoing change is
a feature of most
organisatons… but only when
new knowledge or carry out
novel tasks”.
17. Types of innovation
• Service level
– New characteristics or design of service products and
production processes
– New or altered ways of delivering services or interacting with
clients or solving tasks
– New or altered ways in organising or administrating activities
– New or altered ways of interacting with other organisations and
knowledge bases
– New views, belief systems, missions and strategies.
• Policy level
– New or altered policies and policy instruments
– New or altered ways in organising or administrating activities
– New or improved ways of interacting with other organisations
and knowledge bases
– New European views, belief systems, missions and strategies.
18. Innovation is learning
• The process of solving
problems by doing
something new requires
specific competences
• Hence learning is an
integrated part of innovation
• Public innovation does not
take place in isolation, the
private and third sectors are
involved in both learning
and innovation.
20. Size and complexity
• All public sectors comprise an extremely complex and large-scale
organisational entities
• Localised skills shortages and gaps, lack of clear agreement with respect to
perceived problems, approaches and solutions, overlap in responsibilities,
and communication difficulties.
21. Heritage and legacy
• The size and complexity leads to the development of internal barriers
and, in the worst case scenario, the development of “silo mentalities”
wherein parallel systems maintain their own organisational norms,
beliefs and practices with little communication with each other.
• Public sector organisations are frequently prone to entrenched belief
systems, practices and procedures – that which has worked in the past
is seen as good practice.
• The systemic impact of innovation and change is often viewed as an
unwelcome perturbation to the overall functioning of the organisation.
• A tendency to adopt the “not invented here” attitude with an
unwillingness to accept novel ideas from outside the immediate
organisational peer group.
• Turf wars, struggles for power and money
Evidenced as…
• Leadership and management (i.e., budget cuts or poor
allocation of budget funds, and poor leadership).
• Traditional regulations and work routines
• Internal and external politics
• Employee resistance
• Poor learning environment
22. Risk aversion
• There is an inherent resistance to
undertake or implement changes
which may result in an increased
probability of risk
• Public service managers and
politicians are very wary of
enacting changes that may result
in negative outcomes, particularly
if there is the risk that these will
attract media focus. A blame
culture, with its associated high
levels of accountability.
• The Survey: Obstacles to
innovation are predominantly
considered to be internal to the
organisation
Minister of Administration Jim Hacker: “I begin to
see that senior civil servant in the open structure
have, surprisingly enough, almost as brilliant minds
as they themselves would claim to have. However,
since there are virtually no goals or targets that can
be achieved by a civil servant personally, his high
IQ is usually devoted to the avoidance of error.”
Yes Minister
23. Professional resistance
• Distinct and well-established
professional groupings, with their
own communities of practice,
rationales, and perspectives.
These tend to adhere to their
established roles, and associated
policy agendas.
• A lack of dialogue between
different parts of the public
system, horizontally or vertically,
between different professional
groups may also hinder innovation
and its dissemination.
24. Pace and scale of change
• Local Government, has,
over recent years been
subject to a large
number of often radical
changes.
• The systems become
“innovation-fatigued”
and resistant to further
change.
• Temporary Innovation –
Change for the duration
of the new rule….
25. Absence of resources
• A lack of financial support, either in a
general context or specifically for the
support of innovation
• Shortages in relevant skills or other
support services required for the
implementation of innovations.
• Lack of resources – time and funding -- for
systematic learning (reading material,
conference participation, networking)
• The systemic nature of the impacts of
innovation, whilst relieving pressure on
one part of the system may result in a
shift of the problem or bottleneck to
another part of the system.
• The general desire to improve the quality
- not all innovation is aimed at economic
efficiencies.
27. Political push
• Strategic change in the public
sector - strong, top-down,
political will coupled with the
political recognition that
change requires the allocation
of substantial resources.
• External facilitators
– the EU
– IMF
– EU Central Bank
• Public demand can lead to
political push
28. Capacity for innovation
• Staff in the public system are often
characterised by their high levels of
professional expertise, exhibiting a high
level for creativity and problem solving.
• There is a marked tendency for
innovating organisations or for key
personnel to demonstrate openness to
ideas and a willingness to think “outside
of the box”.
• Many of the innovations studied relied, a
one level or another on positive attitude
towards teamwork and independent
thinking.
29. Competitive drivers
• The use of performance targets to
derive “league tables” can encourage
the use of innovative approaches in
order to force up performance ratings.
• Performance targets may mobilize
political efforts towards certain goals
(EU objective)
• However, the use of such targets,
indicators and league tables often
distorts operational behaviours,
sometimes with unintended
consequences.
30. Technological factors
• Tech innovation can be a
strong determinant or
driver for innovation.
– The introduction or
availability of new tech may
provide an opportunity for
another form of innovation
(process, organisational,
delivery, system
interaction, etc.) to take
place or to be
implemented.
31. Private companies can also help with innovation!
• By delivering technology,
goods and services
• By being service providers in
public schemes
“Privatisation” can mean so much
• Outsourcing to private companies and NGOs
• Giving public institutions more independence
• Selling state owned companies
• The borderline between the public, private and civil
sectors varies enormously in Europe, and has always
done so
32. Encourage Entrepreneurship
• Encourage entrepreneurs or champions with
sufficient vision and determination to push the
innovation process through. Give them funding,
responsibility and leeway. Hmmm….
• Hire creative entrepreneurs on all levels
– Develop more unusual recruitment policies. Not all
civil servants need to be economists.
• Hire managers capable of thinking outside the box
• Provide actual structures and systems designed to
promote, stimulate or disseminate innovation
– In-house: staff suggestion boxes, staff fora,
stakeholder feedback mechanisms, networking
activities, competence building, encouragement of
alternative thinking, conference and forum
participation, etc.
– Policy level: innovation schemes and instruments,
research programs, institutions for networking and
knowledge absorption, new courses at schools and
universities, new public or private think tanks
33. Combating institutional lock-in
• Develop quality leadership that creates the
right climate for change, "walk the talk" and
institute "cultural change".
• Combat silo mentalities and turf wars
– Encourage staff mobility between
institutions in order to avoid the tendency of
hiring “clones”
– Discuss overall objectives for quality of life
and the effects of changes in one part in the
public sector for another
• It is also beneficial to co-opt staff members
and create “agents of change” to overcome
potential resistance from the (professional)
staff
• On the policy level: Reach for a good
balance between “competent bureaucrats”
and “creative policy entrepreneurs”.
• Shake the system. Yes, sometimes a
reorganisation is exactly what the doctor
orders against lock-in and stagnant waters
34. Convince the stakeholders!
• The engagement of stakeholders and
consultative and participatory process were
key factors in our success stories.
• In many cases, a range of stakeholders had to
be convinced of the utility of the proposed
innovations and resistance had to be
overcome.
• Demonstration of the utility of implemented
innovations is an important factor in terms of
developing further support either for the
innovation itself or for the implementing
team or organisation.
• Involve employees and get their support and
commitment, encourage personnel to take
initiative, make people feel 'it’s their project',
provide.
• Involve the professional groups and
organisations actively and give them
ownership
• Sometimes you just have to fight for it.
Entrepreneurs need to get allies higher up in
the public hierarchy.
35. Resources
• Investments in innovation may lead to
savings later within the organisations. Think
beyond this years budget. Allow long term
budgeting (2 to 5 years)
• INVEST TOMORROWS SAVINGS IN TODAY
• Do not read “innovation” to mean
“modernisation” or “efficiency”.
• Avoid budget account tunnel vision. Costs in
one part of society may lead to savings in
another..
• Still, budget cuts may lead to innovation.
• WE HAVE NO MONEY – THEREFORE WE
MUST THINK
36. Technological factors - recommendations
• Track useful technological
innovation
• Network with research institutions
and technology firm
• Employ people that can find,
understand and make use of
relevant technology
• Make public needs part of more
publicly funded research programs
• Open Source
37. Shared Services
• Leadership
• Change Management
– Business as Usual, Cultural Shift, Continuous
Improvement, Responsibility and Service Mapping
• Measurement – Measuring the Right Things
– Selection, Cost Savings, Growth, Delivery
• Governance
– Managing expectations, Innovations and Supplier
Push
38. 38
Kotter’s eight-stage process for change
2. Form a powerful guiding coalition
1. Establish a sense of urgency
3. Create a vision
8. Anchor new approaches
4. Communicate the vision
5. Empower others to act on the vision
6. Plan for and create short-term wins
7. Consolidate improvements and produce more change
J. Kotter, “Leading Change – Why Transformation Efforts Fail”
39. 39
1. Establish a sense of urgency
Forces for
change
Forces for
stability
The status
quo
Burnes 2004
40. 40
1. How to create a sense of urgency?
• Create a crisis/rivalry
– Just read the papers!!!!
• Find/develop a “red hot” burning issue
– Supplemental Budgets
• Revise existing or develop new standards
– Income, profitability, effectiveness, efficiency,
customer satisfaction
• Get an outside opinion
– Bring in consultants, customers, shareholders
41. The macro situation... We were in..
• Ireland had the highest budget deficit of any EU
member (14.3% GDP)
• 30k less in the public sector / 3.4bn in payroll
savings…
• Commitment to EC reduce the deficit to 3% of GDP by
end of 2014 – more harsh budgets to come...
• Staffing – (Employment Control Frameworks
(ECF) / Haddington Road) 28% reduction
• Budgets / 25% reduction in Budget (2009 –
2013)
• Irish ‘debt’
• There will be less and less money to go around for
many years to come
42. The macro situation
• Public Service Agreement (a.k.a. Croke Park
Agreement)
• Implementation Body
• Local Government Efficiency Review Group
• PMO / WSTO
• Putting People First…
• Financial situation of LA’s
• Things are bad and are going to stay bad for a
very long time.
43. We can rely on change….
• Abolishment of Town Councils –creation of Muni Districts
• Creation of Irish Water
• Establishment of CIO
• Establishment of Office for Government Procurement
• Shared Services (PMO –Payroll, Treasury Management…..
NPPR / HC)
• LG sector Saves 109m in procurement (2010 – 2012)
• Outsourcing – LPT, Drivers License, HEG
• OGCIO – Cloud and eGov Strategies
• Digital First, Digital by Birth, Digital by Default….
• Systems – MyPlan, FixYourStreet, NPPR, HC, POW, BCMS
• Open Source - Revenue (Alfresco)
44. ICT Staffing and Budget
• There are 28,000 WTE’s in the LA sector
• According to LA’s, there are 585 WTE’s
employed in ICT roles in LA’s
• The ICT budget for the LA sector v Health
Sector?
• There are 110,000 WTE’s in the Health sector
• There are 312 WTE’s employed in ICT roles in
Health
45. What therefore will we need to do?
• Consolidate infrastructure
• National applications
• Greater use of Open Source
• Cloud-based delivery
• Spatial data
• Social media
• National procurement frameworks
– Encourage local participation
• How? Shared IT Services and Centres-of-
excellence
49. Sense of Urgency – Strategies…
– Public Sector Reform Plan
• public services to be delivered faster, better and more
• Intelligent, targeted use of ICT and eGovernment are key enablers
for these improvements.
– eGovernment Strategy
• services through multiple channels;
• improve data sharing;
• develop a more integrated approach within and across sectors
– Cloud Computing Strategy
• data centre consolidation
• adoption of cloud computing
50. Shared Services
• 1. Shared Payroll
• 2. Shared HR transactions
• 3. Accounts Payable
• 4. ICT back office
• 5. Local Government portal
• 6. Treasury Management
51. 51
2. Form a powerful coalition
• Ensure shared understanding
& right attitude
– Ability to share vision
– Trustworthy
– Commitment to means and
end
• Has access to necessary
resources
– Formal position power
– Expertise
– Reputation
– Leadership
– Informal network position
But look out for
people with big egos
or “snakes”
The small
team that will
lead the
change
52. Each sector has powerful (NEW)
Leadership Groups..
• ICT Committee of the LGMA (New Powers)
• Board of the LGMA (CCMA Executive)
• Local Government Efficiency Review Group (New)
• Local Government Implementation Group (New)
• Public Service Reform Oversight Group (New).
53. Who has Formal / Informal power in the organisation?
• Try it out in your org.. Very interesting...
53
Teigland 2003
54. Understand the Archetypes
Perpetual duel.
Duelsists
It’s all about him,
fiercest of all
Ego
Fillibuster
Holds the floor,
monotonous
hectoring
Big Dog and MiniMe
Bully - intimidate
Me-Too will join the
attack.
55.
56.
57. Radical Change is happening – With or
Without the Owners / Shareholders
58. 58
3. Create a vision
• Create the vision
– To direct the change effort
– To coordinate across and outside the
organisation
• Develop a strategy to achieve the
vision (operationalise)
– To engage people through
participation
– To find their “passion”
– To overcome forces for stability
59. Putting People First
• 1. Structures;
• 2. Funding, accountability and governance;
• 3. Economic development and Job Creation;
• 4. Delivering services efficiently.
61. Local Government Vision
• New approach to the capture and use of data
• Building of teams across the sector that blurs
county boundaries
• Centrally mandated architectural approach
adopted
• Sourcing practices to achieve economies of
scale
• Use procurement frameworks and maintain
local enterprise.
62. • “As Public Bodies continue to reform their
processes to improve business and citizen
access to and interaction with Government
services, the continued move to eGovernment
and online delivery of services is inevitable”.
• “All public bodies will monitor and evaluate
take-up of eGovernment services with a view
to achieving the 50% (for citizens) and 80%
(for businesses) targets set out in the EU
eGovernment Action Plan (by 2015).”
Central Government Vision
63. 63
4. Communicate the vision
• How?
– Use multiple channels
– Regularly to reconfirm
• What?
– Keep it simple
– Use metaphors and success
stories
• Who?
– Walk the talk
– Identify key opinion leaders
But listen as well!!
64. 64
When do people support the
vision?
Relate to the vision
Expect personal gain (make their world a
better place)
Can give input
Respect the leader
Believe the time is right
WIIFM – Opportunity for all?
“Coming together is a beginning, staying together is
progress, and working together is success.”
-Henry Ford
65. • "Unless you are prepared to give up something valuable you will never be
able to truly change at all, because you'll be forever in the control of things
you can't give up.“
– Andy Law Creative Company
• "Only the wisest and stupidest of men never change.“
– Confucius
• "Change is hard because people overestimate the value of what they
have—and underestimate the value of what they may gain by giving that
up.“
– James Belasco and Ralph Stayer Flight of the Buffalo (1994)
• "There is nothing more difficult to take in hand, more perilous to conduct, or
more uncertain in its success, than to take the lead in the introduction of a
new order of things.“
– Niccolo Machiavelli The Prince (1532)
• "There is a certain relief in change, even though it be from bad to worse; as I
have found in traveling in a stagecoach, that it often a comfort to shift one's
position and be bruised in a new place.“
– Washington Irving Tales of a Traveler (1824)
66. • "People don't resist change. They resist being changed!“
– Peter Senge
• "Culture does not change because we desire to change it. Culture changes
when the organization is transformed; the culture reflects the realities of
people working together every day.“
– Frances Hesselbein The Key to Cultural Transformation, Leader to Leader
(Spring 1999)
• "It is a bad plan that admits of no modification.“
– Publilius Syrus First Century BC
• "Change is the law of life and those who look only to the past or present are
certain to miss the future.“
– John F. Kennedy
• "The greatest danger in times of turbulence is not the turbulence; it is to act
with yesterday’s logic.“
– Peter Drucker
• "Faced with the choice between changing one's mind and proving that there is
no need to do so, almost everyone gets busy on the proof.“
– John Kenneth Galbraith
67. New Measurement Metrics
• Citizen perspective – how is the quality of the ICT
service perceived by citizens?
• Financial perspective – how attractive is the IS
function and LGMA to the sector as a whole?
• Internal perspective – how effective and efficient are
the processes in the IS functions and the LGMA?
• Learning & growth perspective – is the IS function
and the LGMA capable of innovation and
improvement?
70. Communication – Social Media..
• Social and new media works..
– Depending on the message
– As to be a collaboration
– It is not a One Way Environment – has to be two way
• Example – United Break Guitars.. Yes/No
71. 71
5. Empower others to act on the
vision
1. Does the organizational culture
encourage individuals to act?
2.Do people have the
necessary resources to
act?
3.Do people have the appropriate
skills and training to act?
4.Do people have the
authority to act?
5.Are the organizational
structure & systems aligned with
the vision?
72. Civil Service Recruitment changed
• Civil service can now recruit outside the Civil
Service…
• Croke Park
– Croke Park and Shared Services… not natural
partners…
73. 73
6. Plan for and create short-term
wins
1. Create
obtainable
targets
2. Encourage
& convince
people that
targets can be
reached
3. Recognise
and reward
“winners”
Communicate
the wins
75. Wins…
• Household Charge
– 1m Households pay new charge to website
– Central Shared Service
• NPPR – Non Principal Private Residence
– Web Based – 250,000 second homes
– Central Service
• Shared HR Service
– Central Service
77. Public Interface
Drupal Based
Use Existing Local Government Portal
Reusable Components
Registration
Forms
Document Upload
ePayments
LA Process Management
SugarCRM Based
Household Charge Infrastructure
Takes Data from Drupal
Back Office Functions
78. When do we use Open Source?
• Where it makes financial sense
• Pragmatism needs to guide open source adoption and not ideology
• Open source is not just or only or always about free or cheap - it can
bring a number of distinct and enduring benefits when contrasted to
strategies based around proprietary software
• Migrating to open source is more likely to be successful if it is done
when there is a real and present need for change, rather than simply
on the basis of finding open source attractive on infrastructure cost
or non proprietary arguments
• Adoption and development of open source can support the sharing of
both expertise and expense between government bodies, for example
among local authorities forming a flexible route to collaboration.
79. Success… in using Open Source?
• Maturity – if it was written last night – we are not using it.. No
matter what platform….
• World Wide solutions - where the rest of the world has already
proved success.
– CRM
– Document Management
– Content Management
– Database
– Telephony
• Sector Wide Solutions
• Browser First
• Commoditisation
• Specialisation
• Commercial Open Source
80. Top 5 International Barriers to OSS
selection and Irish Experiences with them
• Inertia – (Crises – Lack of Money)
• Lack of internal technical skills and
Unfamiliarity with open source solutions (New
Projects / Green Field – Skilling by use)
• Lack of formal commercial vendor support
(Not True – if government is spending….)
• Legal Concerns re Licensing – Same as
Proprietary (Ref LG 99)
• Does not conform to Internal Policies /
Strategies (Stringent Policy may change when
April 9, 2014 80
81. How were wins achieved
• At all costs…
• Had to be seen to win..
• No option but to go with the central approach
• Buy-in to Greenfield… Mandated success…
82. Success - eProcurement
• General consent - no discussion
– assumption that e-procurement has its benefits both in saving
on public expenditure and preventing fraud.
• The main goals are:
– greater efficiency in public procurement
– administrative simplification of public procurement
– more transparent procedures
– better competition
• Discussion now about the “how” and the “when”.
• The European Commission has put forward a draft directive
and a number of deadlines. European Parliament is
reviewing the proposal and a parliamentary committee is
doing great work.
83. 83
7. Consolidate improvements and
produce more change
Change
Project 1
Change
Project 2
Change
Project 3
Time
Scope of
change
NPPR
Household
Charge
Shared
Services
Open
Source
BCMS
84. 84
8. Anchor new approaches
Company culture
Physical
artifacts
activities and routines
Underlying values,
assumptions,
beliefs, and expectations
Intangible
86. 5 Themes
•SaaS, IaaS, PaaS, Web 2.0 / 3.0, Peer to Peer
•Addressing and Adapting change and to changeThe World is Cloudy
•Instantaneous, Online Response from Inter-continental companies
•Digital Supply Chain across Global companies / across the globeThe World is Flat
•Environmental Compliance
•Reduce your own and your companies Carbon FootprintThe world is green
•Consumers and Workforce - always on - connected anywhere
•Increased demand and expectation for servicesThe World is Mobile
•Energy and Cost Efficient Computing and Data Centres
•Flatter Budgets require Efficiencies CAPX and OPEX
The World of Low
Cost ICT
87. So far ICT has not fundamentally
changed government
• 1990s: lCT expected
to make government
more transparent,
efficient and user
oriented
• 2005+: disillusion as
bureaucracy still in
existence
• Can Shared Services
Help?
Jane E. Fountain – Gov 1.0 – Just Replicating the Silos on the Internet
95. Data Privacy
• Audit functionality to capture access is not in place in
many instances;
• Significant amount of data transfers taking place using
unencrypted mail, file transfers, etc.;
• Secure disposal of media at end-of-life not addressed
by most responses;
• Procedures for personal data held on paper not
addressed by many responses.
97. Data Sharing
• Barriers to Sharing
– Not Technical
– People
– Leadership
– Perceived rather than actual Issues
– Don’t see the need or Relevance to others in using
or having their data
– Loss of Control / Power
99. Federated Identity across gov..
• If you trust your staff…
• And I trust mine…
• Why can’t we trust each others –
• But what services can we offer / consume….
100. What is Data Interoperability?
The ability to exchange information between and
among public bodies
cross discipline, cross jurisdiction, cross sector.
Assumptions:
1. Exchanges would benefit one or more agencies
2. Philosophy of “need to know” is replaced by “responsibility
to provide”
103. Key disruptive forces
• Digitization of everything……
– and exponential growth
• Everything/one is getting connected……
– and mobile
• Devices are getting smaller, smarter……
– and cheaper
• Customer demand…
– and an explosion of broadband
104. Work is also changing Rapidly
• Collaboration
– Specialisation, optimisation, Just In Time
• Nature of Work
– Anytime, Anywhere, Faster?, smarter, better?
• Human Capital is replacing Physical Capital as
the Unit of Measurement
• More User Input, More Spontaneous,
• Collaboration with (Unknown) Partners
107. Challenges for Public Servants
• Vertical institutional structures
• Perverse incentives
• Misuse of capital/labour substitution
• Outsourcing v. integration/reform
• Customer service strategies
• Generation Y / Facebook Generation
• Consumer Society
109. What has Cloud ever done for us?
109
Apart from Scale, Speed, Agility, Low Cost,
Enterprise Adoption, Enterprise Mapping, Open Data,
Standards, Google, API’s, etc
Open Street Maps, Map Servers,
GIS - More than just Location, Spatial Analysis and wider adoption now possible
121. Our Lives are Different…
• We communicate on — Facebook, Chat, Twitter,
MMS
• We Research Information — Blogs, eNews, Wiki,
YouTube
• We Buy — eBay, Amazon, Dell, Deal Done, etc…
• We Travel - Tripadvisor, Flickr, RyanAir, Hotels,
• We Meet / Retate - Linkedln, FaceBook, Friends
• We Play – xBox, Playstation, Online games, ¡TV
• We expect the Government to fit into these
paradigms too…
122. “We shall build this big thing
in the clouds” – “ we will be
unbeatable”
124. Where are we Going?
INFRASTRUCTURE
Electricity
Sub-stations
Gas
Water
Hydrants
Sewerage
Stormwater
Telecoms
LOCATIONAL
Police
Fire
Ambulance
Schools
Hospitals
Aged care
Community
Centres
Icons
Key buildings
ECONOMIC & RISK
Demography
Employment
Valuations
Public transport
schedules
Pedestrians
Floor plans
Hazard models
FUNDAMENTAL
Roads
Imagery
Topography
Census
Admin. Bdys.
Source: NSW Department of Lands
126. Understand what are the Driving
Forces…
• Government Focus
– Understanding, Efficiency, Accountability
• Technology Innovation Focus
– Data as a Platform, Semantic Web
• Reward Focus
– Profit, Recognition
• Digitising Government Focus
– Computerisation / Technology Drive
• Problem Solving Focus
– New Skills needed to work on new Challenge
• Social / Public Sector / Enterprise
– More Focussed Services
127. Conclusions
• Change is constant
• Cloud is the Future
• Social is a Reality
• Mobile is already taking over
• Data has to keep up…