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Oracle Forum OPA Directores de Sector Público

Demetrio Chaparro – Regional Sales Manager OPAMadrid 24 Marzo 2011

Focus of 2011 Public Sector IT Investments

Focus of 2011 Public Sector IT Investments

Public Sector Job Reductions and Nominal Wage Reductions

Una Legislación / Regulación dinámica genera la Necesidad de Automatizar

Seguridad, geopolítica y eventos financieros generan frecuentemente cambios y altas expectativas de puesta en marcha

Tomar decisiones ajustadas y consistentes es difícil cuando se necesitan políticas y reglas claramente definidas para generar las mejores decisiones

Creciente Complejidad Regulatoria

Aceleración de los cambios legislativos

La libertad de información incrementa la presión de clientes y ciudadanos para demostrar la conformidad a estándares y reglas de las organizaciones y gobiernos

Ajustes Presupuestarios fuerzan a la eficiencia

Se espera que Proyectos Tecnológicos costosos y Centros de Atención con alto número de recursos, innoven y proporcionen más por menos

“Rendir cuentas” requiere transparencia

Modelling

Gestionar la Complejidad de las Políticas y los cambios RegulatoriosDar poder a los usuarios de negocio

Usuarios de negocio transforman legislación compleja y documentos normativos en reglas de negocio.

Adaptarse a los cambios a la vez que los ciudadanos reciben rapidamente la asistencia y los beneficios requeridos

Automatizar la elegibilidad, el cambio de circunstancias y la monitorización

de eventos.

asistencia y los beneficios requeridos de manera que las decisiones se

pueden explicar

Deploy

Oracle Policy Modeling

Microsoft Office

Automate Policy – Direct from DocumentsNatural Language Modeling in any Language

English

Francais

中文中文中文中文

Import

FuenteLegislativa

Español

...> Nederlandse Svenska

Français

中文中文中文中文

DeutschDanskEspañol

English

Transform and Model

Enterprise

Easily Sync with Source Document Changes

����

• Proporciona la capacidad a los usuarios de negocio de traducir la legislación en reglas de negocio con lenguaje natural basado en un motor de reglas

• Traducir políticas en reglas flexibles, configurables y reutilizables

• Adaptar procesos de negocio para reflejar los continuos cambios de las reglas

Fuente legislativa o política

Documento ejecutable en lenguaje natuarl que los usuarios de negocio pueden entender y modificar

Copiar material fuente y pegarlo en Word

Transformar legislación compleja en reglas

Generación automática del contenido a evaluar

Las preguntas son

automáticamente

creadas de los

documentos

fuente de

definición de las

reglas sin

necesidad de

programación

Rulebases pueden ser desplegadas con

un simple click en la web mediante

Oracle Web Determinations.

Pregunta el

menor número

de preguntas y

en el orden más

lógico para

finalizar la

determinación

Service

AIA and Fusion Middleware

Policy Automation StrategyMulti-Channel Delivery, Flexible Integration

Consistent Customer / Citizen Outcomes

Call CenterOnline Agents Branch OfficeMobile Community

Case Analytics Interactions

AIA and Fusion Middleware

Policy Area 1

Policy Automation runtime

Policy Modeling

Policy Area 3 Policy Area 4Policy Area 2

Back Office Applications

Back Office Applications

OPA Product Components

Oracle Policy

CRM, Portal

Middleware / Native Web

Oracle Policy Automation Connector for Siebel OP & OD

Oracle Policy Automation

HR, ERP

Middleware / Native Web Services / Java / .NET

Legacy

Oracle Policy Automation Connector for SAP &

PeopleSoft HCM

Sample Oracle Policy Automation applications

• Improved citizen access to government information• Dynamic advice, rather than static HTML or PDFs• References include:

• Massachusetts Registry of Motor Vehicles• Internal Revenue Service (USA) and HM Revenue & Customs (UK)• Multiple US state governments• Department of Immigration and Citizenship (Australia)• BusinessLink – government advice for small businesses (UK)

Citizen Self-Service and Guidance

• Complex and agency-specific rules, e.g. New South Wales State Government (Australia) uses

Human Resources and Pensions

• Complex and agency-specific rules, e.g. New South Wales State Government (Australia) uses OPA to provide HR advice to 300,000 employees

• Eligibility for benefits• Calculations, e.g. payroll, allowances, benefits• Merit-based hiring• Time & Labor• Change of circumstance

• Full range of eligibility, assessment, rate calculation determinations, e.g. Supplemental Nutrition Assistance Program, Temporary Assistance for Needy Families, Unemployment Insurance, Medicaid

• British Columbia Integrated Case Management (Canada), many UK local governments, Centrelink (Australia)

Social Services

Sample Oracle Policy Automation applications

• Pre-application advice• Eligibility• Payment calculations and on-going eligibility

Grants Management - Subveciones

• Eligibility• Triage and rapid multi-channel advice• Claim adjudication for coverage and specific benefits, e.g. for Medicaid• Complex rules for payment processing, e.g. for Medicaid

Health

• Strategic Sourcing (Approvisionnement)• Supplier Management (Proveedores)

Procurement

• Claims adjudication after submission – travel and other benefits• What class can I fly? Does it depend on distance, seniority, cost differential?• What travel costs are covered? Vaccinations? Baggage insurance?• What portion of a phone bill can I claim?• How is an allowance pro-rated if I have a leave of absence during the year?

Financials – Expense Policy Compliance

RéférencesSOCIAL TAX – EMPLOYMENT

G D – J –

Sales Tax Deduction Calculator

Interactive Tax Assistant

Employment Status Indicator

Housing Benefit and Council Tax Benefit

Eligibility for gov. benefits

Safety Self-Assessment

Worker Status Self-Assessment

Public Sector Customers

GOVERNEMENT DEFENCE – JUSTICE –POLICE – IMMIGRATION

Visa Wizard Citizenship Wizard

Registry of Motor Vehicles' license

Self-assessment of entitlements

advice and guidance for small businesses

Background & ESI projectAdministracion Tributaria & Aduana

Overview• HMRC is responsible for collecting the bulk

of UK tax revenue, as well as paying Tax Credits and Child Benefits, and strengthening the UK's frontiers.

• 29.5 million taxpayer records, 8.4 million Self Assessment

Challenges• Pan Government requirements for

administrative efficiencies

• High volumes of enquiries at high cost

Business Results• Up to ten-fold productivity improvements

for system development compared to conventional software approaches

• For first system rolled out (Employment Status Indicator):• Business case assumed 25% self

service but actual results over 90%

• Saved £3M+ in additional headcount that would have been required without automation• High volumes of enquiries at high cost

• Mystery shopper exercise: same enquiry made 9 times, 9 different responses given by staff

• Massive uncertainty for taxpayers

required without automation

• Projected headcount reallocation of over 3,000 staff

Strategic Impact• OPA continues to assist HMRC in

delivering on its Public Service Agreement targets

• Oracle Enterprise Policy Automation established as key delivery tool in HMRC’s five year Strategic Plan

Solution• Interactive systems deployed which

faithfully reflect complex legislative and associated policy and business policies

• Interactive guidance platform based on Oracle Web Determinations

Pension Forecast Calculations

Overview• HMRC (UK Tax Office) shares

responsibility for UK pensions with the Department for Work and Pensions

• Pensions forecasting is applied to all UK citizens, with some special groups (eg overseas residents) having complex rules applied

Challenges Results

Solution• Oracle policy automation was used to

capture the complex rules for pensions forecasting

• Data relevant to the pension calculations is retrieved from legacy systems and fed through the calculation rules

• Very complex Pension rules for some categories of pensioner

• Data from several back end tax systems, in particular the taxation contributions system (NIRS2)

• Legacy systems very expensive to build and maintain

• Government required pension reforms to be implemented quickly to effect their desired policy outcomes

Results• The implementation took less than 10%

of the time for the previous legacy system to be implemented

• Massively reduced maintenance costs

• Significant UK Pension Reforms able to be handled dynamically in the system well within budget and time

• After the UK Pension Reforms, increase of up to 30% in the number of forecasts issued by HMRC.

Delivering rapid benefits to Dentists in Sweden

Challenges• Implement new Dental Reform legislation in tight timescales

• Deliver new Dental benefits calculations and improve Fraud detection

• Complete in parallel with modernisation of Legacy back office systems

Results • New legislation delivered in four months

• Highly scalable and performant solution

• Success achieved by ‘externalising’ rules from core applications• Success achieved by ‘externalising’ rules from core applications

• Business users built and now own the rules

• Benchmark for future modernisation projects

Internal Revenue ServiceAdministracion Tributaria

Overview• The Internal Revenue Service (IRS) collects approximately

USD$2.4 trillion in tax revenue.

• With over 100,000 employees and a budget of approximately USD$11 billion processing around 225 million tax returns it is one of the world’s most efficient tax administrators.

Challenges• Inconsistent interpretation and application of rules due to

the variations in staff knowledge and skill levels• Significant number of errors when subject matter experts

asked IT to interpret and utilize code to develop the solution

• Facing a large knowledge drain in the next 5 years due to retiring workforce.

Business Results• Empowered Subject Matter Experts

� Build and change policy without having to

Customer Perspective

“OPA allowed us to utilize our

subject matter experts rather than

IT personnel to write rules which

eliminated interpretation errors

and reduced major IT project cost”

Customer Perspective

“OPA allowed us to utilize our

subject matter experts rather than

IT personnel to write rules which

eliminated interpretation errors

and reduced major IT project cost”

retiring workforce. � Build and change policy without having to

rely on IT

� Eliminated interpretation errors as subject matter experts are controlling the solution

� Facing a knowledge drain in the next 5 years, OPA provides a “knowledge repository” to capture experience

• Greater Flexibility

� With OPA, policies can easily be modified by non-IT personnel

� Able to apply complex rules to individual taxpayers’ circumstances

• Improved Time to market

� OPA is proven to significantly reduce time in transforming policy documents into an “active” form

Solution – Interactive Tax Assistant • 86+ Tax Law Categories live so far

• 20,000+ internal users, 256 call centers, 54 service centers

Outcomes at the IRSAudited figures from theUS General Accounting Office

12% 2%

Source: http://www.gao.gov/new.items/d10225.pdf

OPA introduced

“They identified ITLA in particular, for the increase in accuracy in tax law and return assistance, which is used by both IRS’s telephone and walk-in site assistors to provide more accurate and consistent answers to taxpayers’ questions.”

Immigration Self Service

Background• The Australian Government receives

thousands of requests for Visas and citizenship every year

• Requests come from both within Australia and externally

Challenges• Difficult for applicants to

determine eligibility, and which

Solution• Visa Wizard

• Determines the visas a client may be eligible for

• 58 visa subclasses modelled –covering 98% of applications made

• Citizenship Wizard

• High political profile

• Determines the best path to determine eligibility, and which Visa or citizenship type to apply for

• Heavy cost in dealing with enquiries via phone or face-to-face

• The complexity of the different Visa types and Citizenship processes make it difficult to determine the appropriate application type

• Determines the best path to Citizenship available to the client

Business Results• More than 10,000 hits per day

• Massively reduced load on call centres

• Consistent provision of advice to applicants whether going through web, call centre or face-to-face

• Access through Internet allows applicants and their advisers to get instant, correct information personalised to their situation

BusinessLinkSubvenciones y ayudas para Pymes

• BusinessLink is a government-funded advice and guidance service for small businesses in England. (There are equivalent organizations providing similar services in other parts of the UK.) BusinessLink has built and deployed several applications which are powered by the Oracle Policy Automation product.

• Assess the best method of payment for your transaction: http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1078959714

• Assess the health of your business: http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1078959714

• Business Start-up Organizer:http://www.businesslink.gov.uk/bdotg/action/getStarted?r.li=1077150353&

r.s=a

• Check tax and legal issues when selling a business:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1073877791

• Choose the right legal structure for your business:

• Find out which Incoterm you should use:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1078231306

• Get the right website for your business:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1074453672

• Health and safety performance indicator: http://www.businesslink.gov.uk/bdotg/action/haspi?r.s=sl

• Identify export opportunities:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1078258802

• Identify potential sales channels:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1075308586

• Choose the right legal structure for your business: http://www.businesslink.gov.uk/bdotg/action/layer?r.l2=1073859215&r.l1=

1073858808&r.s=tl&topicId=1077472554

• Choose the right advertising media:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1074484161

• Closing a business checklist:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1081777293

• Create a growth action plan:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1080465278

• Create a personalised regulation checklist:http://online.businesslink.gov.uk/bdotg/action/ercLanding

• Discover who your most valuable customers are:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1075308409

• Environmental compliance assessment:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1079438165

http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1075308586

• Identify where you can save money by going green:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1079446510

• Identify which VAT (sales tax) scheme your business is eligible to use:

http://www.businesslink.gov.uk/bdotg/action/layer?r.l2=1073859245&r.l1=1073858808&r.s=sm&topicId=1074419970

• Expectant and new mothers:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1077460344

• Personal development plan: http://www.businesslink.gov.uk/pdp

• Setting up a basic IT system:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1078956790

• When to register for VAT (sales tax):http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1073863071

• When you can deregister for VAT:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1074421793

Servicio SocialGestión de Beneficios del Gobierno Local

Introducción• Northgate Information Solutions plc es el

proveedor líder en UK de soluciones software y servicio IT para gobiernos locales

• Tiene 160 gobiernos locales, desde distritos hasta algunos de los gobiernos más grandes de Europa del Oeste

Retos• Los ciudadanos deben completar extensos

y confusos formularios• Los ciudadanos no tienen conocimiento

Resultados Obtenidos

Ayuntamiento de South Hams

• Reducción del proceso de una queja de 30 a 3 días

• Despliegue remoto de la tecnología allí donde el ciudadano lo necesite

• Procesar 250 nuevas quejas por semana con un 100% de precisión y un 100% de satisfacción de cliente

• Los ciudadanos no tienen conocimientode otros beneficios a los que tienen acceso

• El tiempo para procesar el “papeleo” y el pago va de 30 días a varios meses

Ayuntamiento Municipal Metropolitano de Rotherham

• Reducción de costes anuales en el equipo de gestión de £250,000 (275.000 EUR)

Impacto Estratégico• Los Servicios Sociales pueden cambiar

la realización del servicio del back-office al front-office (anteriormente no era posible debido a la complejidad del material)

Solution• eBenefits (Oracle Policy Automation)

• Cálculo de elegibilidad online de acceso a beneficios.

• Único punto de contacto que evaluala elegibilidad de los ciudadanos, sobrelos 61.000 beneficios de la seguridadsocial de UK

UK Local Government Social Services

29

Local Councils in the UK

• More than 50 local governments in the UK, including Rotherham and Renfrewshire, are using OPA to determine eligibility for Housing Benefit and Council Tax Benefit.

• Renfrewshire:http://ebenefits.renfrewshire.gov.uk/ebenefitsselfservehttp://ebenefits.renfrewshire.gov.uk/ebenefitsselfserve

• Rotherham: https://ebenefits.rotherham.gov.uk/

DFAS (the worlds largest finance and accounting organization) uses OPA to model complex business rules to quickly automate the calculation of very complex military disability payroll adjustments –Concurrent Retired Disability Pay (CRDP) and Combat-Related Special Compensation (CRSC)

DFAS receives over 10,000 retro-active rating changes per month

US Defense Finance & Accounting Service

A technician can take over an hour to manually process a case

Technicians receive 6 weeks of training to process the simplest cases

Only 30% of cases could be automatically processed prior to the implementation of OPA – now the batch process for an entire month runs in less than one hour

New South Wales HR eXperthttp://www.dpc.nsw.gov.au/public_employment/hr_expert

• One of the major functions of the New South Wales Department of Premier and Cabinet is the provision of advice on HR matters for NSW’s 300,000+ public sector employees

Background Issue

• Need for shared services, employee self service

• Increased complexity of content for HR staff

• Problems with accuracy and consistency, especially given differences in HR policies across government agencies and over time

Solution Benefits

• Haley developed HR eXpert, an online interactive advisory application for use by 60,000 NSW public sector employees (up to 300,000 have access to the system)

• Allows confidential self-assessment of a range of entitlements and conditions

• The system is precisely tailored with the policies applicable to every agency covered by the NSW Public Sector Management Act

• Freeing up of time of HR, employees and other staff (e.g. line managers) and reduction in re-work due to incorrect advice

• Greater employee satisfaction, reduced grievance rates and improved industrial relations

• Diminished need for HR staff to have expansive knowledge/training

• Standardized outputs and audit trails, plus the facilitation of policy development and quality assurance

Sample HR Self-Service Application: NSW HR eXpert - http://www.dpc.nsw.gov.au/hrexpert/hrx.asp

ORACLE CONFIDENTIAL: INTERNAL USE ONLY

Rijksgebouwendienst (RGD):The Dutch Government Real Estate AgencyBienes inmuebles del Estado

• RGD is responsible for design/architecture, build, exploitation and maintenance of all government buildings in The Netherlands

• E-Business Suite will manage all back-office functions• E-Business Suite will manage all back-office functions

• Oracle Policy Automation will manage the complex rules and laws that determine which properties are inspected and how they are maintained

ORACLE CONFIDENTIAL: INTERNAL USE ONLY

British Columbia (Canada) Social welfare modernizationRequirements• Better tools and "simplification" of business processes

• Replacement of obsolete, aging and inflexible legacy systems

• Provide better integration of services and protection of children

• Deliver a single view of the citizen across services

Implementation

• Phase 1: Two OPA rulebases integrated with Siebel are now live:• One rulebase receives data from a Siebel form, and uses rules to determine the worker/organizational

approval level required to issue the form and returns the result to Siebel

• The other rulebase is called from Siebel, then OPA interactively conducts a worker interview to determine if the applicant has immediate needs, is exempt from a three week work search, determines the applicant employability screening score, and determines if the applicant has employment obligations. It can also be used to identify services that a person might qualify for, based on their needs and life events.

• Phase 2: OPA will determine client eligibility and benefit calculations. This rulebase will address 300 pages of legislated rules, plus Provincial policy and work practices.

Standalone interactive advice from OPA to guide people through complex and difficult-

to-understand rules and processes

Leverage OPA as an interactive advice-giving front-end to Legacy systems

Three Options to Automate Using OPA

giving front-end to Legacy systems

Replace aged legacy rules with Oracle Policy Automation, and build new rules for

those systems in OPA

■ Traditional / coded development

o Defined stages and little or no overlap in activities.

o Considered to be ‘safe’ delivery method but often unnecessary lengthy, inflexible and change control focused

OPA – Implementation Methods

■ OPA Agile

o Parallel development, quicker development cycles.

o 62% reduction in time and effort on a medium sized project:

OPA - Partner enablement services

1) Rule Specialist training

o Foundation, Intermediate, & Advanced levels.

o Examination & competency assessments.

o Rule architecture design & support.

2) Technical Specialist training.

o Technical architecture & design

o Integration o Integration

3) Specialist Project Management training.o Project start-up, estimation, risk management

4) Other Specialist trainingo Test Manager

o Commentary Author

5) Mentoring & Support.

■ Establish a Centre of Excellence

o An organisation within your business that contains the business, technical and rule specialist teams.

o Maximises ability to share and re-use rulebase components.

o Develops mechanisms for exchanging OPA related materials with other organisations.

o Management of best practice, resourcing, Control

OPA – Implementation Methods

o

prioritisation and communication.

o Contains Rule Developers, Project Leaders, Technical Specialists, Business Experts, Testers & Commentary Writers.

Expertise

Data Model

Templates

Training

Support

Budgets

Forums

Build

Beneficios

�Mejora drásticamente la puesta en marcha de cambios de reglas y políticas

�Simplifica el desarrollo y mantenimiento

�Asegura la precisión y consistencia en las decisiones complejas y determinaciones de elegibilidad

�Reduce la necesidad de recursos técnicos�Reduce la necesidad de recursos técnicos

�Evalúa el impacto en los clientes o ciudadanos de cambios en las políticas de la organización.

�Proporciona una trazabilidad completa de las decisiones tomadas

“The OPA technology is the most exciting and innovative technology currently within the HMRC Estate. Building

on the success of this project, the key priority now is to grow our rule development capability and to use the

technology and methods to reduce fraud and errors.”,

Steve Lamey, Director General, HMRC, 3rd December 2009.

“The Rules Based Service is friendly to use and is much quicker to navigate through than the current guidance

provided. I particularly like the new Tax Credit calculator which is much quicker to operate”

Contact Centre Adviser at HMRC, 3rd December 2009.

“It has not been necessary to sell the use of the Rules Based Service to advisers as they have instantly taken to

it. They have been provided with a small amount of training and have needed very little other support since then.

The streamlining of the process seems to indicate that advisers are now more likely to use and follow the

guidance than they did previously, a great result!”

Helen Parkinson, HMRC Project Manager, 3rd December 2009.Helen Parkinson, HMRC Project Manager, 3rd December 2009.

The new system empowered subject matter experts to develop rules-based applications directly fromcomplex legislative text, policy documents, and regulation—eliminating scripting or programming andreducing reliance on technical experts and, ultimately, reducing the time needed to transform policydocuments into active forms.”

John Drann, Finance Director, Wage and Income: Strategy and Finance

(formerly ITLA / COLDS R2 Project Manager), Internal Revenue Service