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I.T for Better Governance &
Empowerment of People
ByDr T.H.Chowdary
* Director, Center for Telecom Management & Studies* Chairman, Pragna Bharati (Intellect India), AP
* Former Information Technology Adviser, GOAPChairman & Managing Director
Videsh Sanchar Nigam Ltd., BombayT: +91 (40) 6667-1191(O)2784-3121(R)
F: +91 (40) 6667-1111 (O) Talk @ Andhra Mahila Sabha, Hyd: 10 Oct '09
S425_Oct'09 2THC_CTMS
Why e-governance (1)
• Government(s) largest handlers of people’s money – (25 to 25)% of GDP & Welfarist
• Least efficient, economic & transparent– Eg: Projects in progress for 10 to 25 yrs –
$ 25 bln unproductively locked up– 25 mln homes claimed to have been built for 75 mln
people in AP alone!– 13 mln. White ration cards for families below poverty
line (80 of Pop.)
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50
100
150
200
250
300
1998-99
1999-00
2000-01
2001-02
2002-03
2003-04
2004-05
2005-06
2006-07
2006-08
Th
ou
san
ds
50000
Rs.229505 cr
Rs.314446 cr
DIRECT TAX COLLECTION
2009-'10 = 400,000 cr
S425_Oct'09 4THC_CTMS
Sector Budget Allocation in 2003-04
Budget allocation in 2008-09
Agriculture 3,262 10,075
Education 7,024 34,400
Health 6,983 16,534
Rural Development and Land resources 11,320 18,972
Road Transport and High Ways 7,236 14,066
Sarva Siksha Abhiyan 1,951 13,100
Midday Meal Scheme 1,175 8,000
Integrated Child Development Scheme 2,356 6,300
Rural Employment Scheme 4,986 16,000
S425_Oct'09 5THC_CTMS
Budget allocation 2009-'10 continue.....
* Subsidies in 2009-'10 = Rs. 95,579 cr
* Total Budgeted Expense = Rs. 9,53,231 cr
* Plan Exp. = Rs. 2,85,149 cr
* NREG = Rs. 39,000 cr
S425_Oct'09 6THC_CTMS
The Cost of Delay: Rs. 50,000 cr.
Total Projects 742 ( 216 hit by cost overrun)
Railways Power Atomic Energy
Urban Development
Coal Petroleum
No. of Projects 256 62 10 18 100 30
Projects hit by cost overrun
149 9 2 4 13 13
Original cost (Rs. crores) 25,175 3,527 3,527 4,976 529 24,406
Extent of cost overrun 91.5% 87.7% 87.7% 115.9% 52.2% 29.6%
(Source: Indian Express 31/8/2006)
S425_Oct'09 7THC_CTMS
Why E-Goverannce –“Socialism” at work (2)
• Subsidies ( $ 6.2 bln. on food, kerosene & sugar and $
4.5 bln on other items)
• Apply, Apply – No Reply• Government officials:
– Labour-lordism; Babu-bossism– Insectification of citizen– Sale of Information– Move from office to office again & again
S425_Oct'09 8THC_CTMS
Why E- Governance (3)
• Taxes increase; Projects Multiply; so do offices
– Poverty Alleviation– Poverty Eradication– Integrated Rural Development– Uplift of Utterly poor (Antyodaya –)– Light to the dark (Velugu)– C.M’s Employment of Youth– Indira Awas ( Housing the poor)– Rajiv Arogya Sri
S425_Oct'09 9THC_CTMS
Why E- Governance-Revenues Rise (4)
• 52 such programmes in 53 years since 1951. Illiteracy, poverty, large family – vicious circle, 15% of benefit money reaches the poor
• 25 mln homes claimed to have been built for 75 mln people in AP alone! 100% must be living in Govt Built houses!
• 13 mln. White ration cards for families below poverty line (80% of Population)
S425_Oct'09 10THC_CTMS
Why E- Governance-Revenues Rise (5)
• Garibi Hatao – again after 36 years
• 2nd launch of multipoint “Backwardness
Eradication” for Minorities.
• Moslem Fist “Programs
• 35 Rajiv / Indira XYZ Programs
S425_Oct'09 11THC_CTMS
Why E- Governance-Revenues Rise (1)
• Taxes increase; Projects Multiply; so do offices
– Poverty Alleviation– Poverty Eradication– Integrated Rural Development– Uplift of Utterly poor (Antyodaya –)– Light to the dark (Velugu)– C.M’s Employment of Youth– Indira Awas ( Housing the poor)– Schemes named after Rajiv Gandhi- 140;
Indira Gandhi -32; Jawaharlal Nehru-15– In A.P, Rajiv Schemes > 40
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Good Governance: Prime Necessity (1)
• Leadership• Vision• Conviction• Political Will• Communication & Evangelism for
development • Value for taxes collected and votes
garnered
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Information & Knowledge
• Information in power• Information is the basis of planning,
control, management, efficiency, effectiveness
• MIS - electronified, stored, updated; accessed; distributed; gathered over telecom network
• Telecoms, computers, Web-sites, networks
S425_Oct'09 14THC_CTMS
I.T in Vision 2020 for Andhra Pradesh (then, India)
•ICTs as engines for development & growth•e-education •e-Governance•e-procurement •e-Seva ( service)• e-cops•Tele-medicine
•Jobs for the educated•e-Consulting•e-money transfer•e-Income tax filing•EMRI•E-Counselling•I.T in High Courts
S425_Oct'09 15THC_CTMS
What E-Governance Can Deliver (1)
• ICT – based MIS eg: Story of Weaker Section Housing• Delivery of government services – One stop – Many Services• Speed Up Process
– Corruption decreases– Dissatisfaction decreases – Time & fuel economy– Reduced Transaction costs
S425_Oct'09 16THC_CTMS
What E-Governance Can Deliver (2)
• Responsiveness & Accountability – Dial the Chief Minister, Commissioner (Police,
Municipal Corpn), Collector…
• Economy & Effectiveness – E-Procurement – e- Cops– Better planning ( MPHS; GIS; Data Bank; Oversight,
Speedy Correction )– Video in jails –prisoners not physically brought to
courts – escapes prevented
S425_Oct'09 17THC_CTMS
What E-Governance Can Deliver (3)
– Interviews from video- enabled Internet Kiosks # e-ways of SIFY (saving time & money)
– In courts – original documents scanned, stored on floppy/ CD; document theft avoided
– Land records, titles, encumbrances easily accessed by farmers (BHOOMI in Karnataka)
– E-Chaupal (ITC procurement & farmer education; market information); multi-services
– Rural Service Delivery Points ( for e-Seva of Andhra Pradesh )
S425_Oct'09 18THC_CTMS
What E-Governance Can Deliver (4)
– Job search by Internet Browsing– Students write Project Reports – Computer Education in High Schools– All teachers to become computer literature– STD/ISD PTs upgrade to Internet Kiosks –
e-mail in Indian Languages– Public libraries computerised more titles,
subscription to foreign “electronic” form journals
S425_Oct'09 19THC_CTMS
Major EG Projects in Andhra Pradesh:
• MPHS .. Building the citizen’s & land data base• CARD .. Registration of legal & sale deeds• FHIMS ..IT in Primary Health Sector• FAST.. Transport services through IT • Compact.. Streamlining commercial taxes• e-COPS .. IT in Police• SmartGov.. Knowledge-led governance (Secretariat)• e-Procurement.. • eSeva .. Redefining citizen services• APOnline .. Convergence of info, forms & services• Kiosks .. Network of internet kiosks in villages • OLTP .. Online Transaction Processing • Treasury.. Receipts& Payments
(there are over 50 other e-governance projects)
S425_Oct'09 20THC_CTMS
Some Spectacular Outcomes (1)
E-Procurement• Award time reduced from 150 to 20 days• On 52 e-tenders (Rs. 3.5 bln), 23% saving• 1500 e-tenders in progress (Rs. 16.4 bln) in
2003-04• Procurement would cross Rs. 15,000 cr in 2004-
05• 0.24% of tender value as commission (reduced
to 0.05% in 2005)
S425_Oct'09 21THC_CTMS
Some Spectacular Outcomes (2)
E-Seva in Andhra Pradesh • Multiple services offered at each counter• Utility / Tax Payments
– Electricity, Water, Property Tax, Telephone bills– Filing Sales Tax and Income Tax Returns
• Certificates– Birth / death certificates– Encumbrance certificates for property
• Passport and Licenses– Filing applications for passports– Municipal trade licenses, Learner’s License, Vehicle registration …
• Bus tickets … train tickets, airline tickets, travel bookings • Rail Reservations• E-Payments on internet ( www.esevaonline.com)
S425_Oct'09 22THC_CTMS
Some Spectacular Outcomes (3)
E-Seva in Andhra Pradesh • One-stop-Shop for G2C services• 31 service centres, 6 bank branches, 81 ATMs (in Hyderabad)• Volume of Transactions increasing• 0.8 mil in April 2001• 8.5 mil since Aug 03; 12 mln, Dec ‘04 • 46 services across any of 290 counters• Extending to all urban areas by Dec 03• 232 more eSeva Centres in 116 cities & towns & • 2500 villages by March 2004• 5000 villages by Dec 2004
S425_Oct'09 23THC_CTMS
Some Spectacular Outcomes (4)
CARD• In-house execution of the Project• More than 240 registration offices• Old documents scanned and indexed• 20 year title search in less than 15 mnts.• Certified copies of registration deeds• Encumbrance certificates• Valuation slips for properties• Registration deeds like sale, mortgage,
lease& gift
S425_Oct'09 24THC_CTMS
E-Communication with People
• Video-conferencing
• Face to face with Chief Minister
• Transportable VSATs and Discussion with Village Assemblies
S425_Oct'09 25THC_CTMS
IT based Elections
• Registration
• Canvassing
• Voting
• Results
S425_Oct'09 26THC_CTMS
Infrastructure for e-governance/commerce
• Broadband electronic/ photonic telecom network
• Microwave Radio – Terrestrial Satellite• Wireless Access: Cellular Mobile System
with Internet Access• Optical Fiber Cables – underground &
undersea• Communication devices
– cell phones, Laptops, i-phone, PCs
S425_Oct'09 27THC_CTMS
PCI
AX TSP
Time
(a) Affordability
A PCI/ Tele-Service Price- PCI: Per Capita Income- TSP: Telephone Service Price- A: Affordability
Bring down price to increase affordability
S425_Oct'09 28THC_CTMS
Affordability of Telephone
1951 1994 2007
Revenue/Line*at current exchange parity
$ 125 $250 $125
Rev. as% of PCI 2.5 1.0 0.12
Affordability PCI
Tel. Svce.Price
S425_Oct'09 29THC_CTMS
E-GOVERNANCE STRATEGY (1)
Governments on the Band Wagon
• Almost all (except a few dishonorable exceptions) States and Union Governments are enthused and committed to e-governance.
• All have launched many and implemented some programs
• All are Government-centric
• May falter and flounder like PSU disinvestment and telecom demonopolisation
S425_Oct'09 30THC_CTMS
E-GOVERNANCE STRATEGY (2) TECHNOLOGY’S ROLE
Technologies are Enablers, Promotive of Efficiency, Speed, Effectiveness & Economy
Offices/Officials need not be technology-savy but skilled to use
To make a difference, move to E-Governance should be swift (>5 Years), not graduated; otherwise old absorbs, assimilates, disfigures the New
S425_Oct'09 31THC_CTMS
E-GOVERNANCE STRATEGY (3) TECHNOLOGY’S ROLE
• Information Infrastructure (Electronic)
Photonic Highways) is Available; Improving;
Extending Thro’ Multiple Enterprises.
S425_Oct'09 32THC_CTMS
E-GOVERNANCE STRATEGY (4) Implementation
• A vision and master-mind
• Best Instrument - Government Department or
Society (eg STP) or Mission
S425_Oct'09 33THC_CTMS
Opposition Carps (1)
• Does I.T give water, medicine, house –sites• World Bank, Multi-nationals want to exploit India• MNC’s exploiting Indian “labour” (ignore that
there are millions unemployed graduates;• I.T professional gets (3 to 10) times a non-IT
Engineer)• Reduces Employment• Benefits only the elite• Has not reduced corruption (true but cut delays)
S425_Oct'09 34THC_CTMS
Opposition Carps (2)
• English language destroys Indian languages (true; but every such politician sends children to “convent schools” & exports to USA
• Neglects agriculture; irrigation• Power to IT companies; darkness for farmers &
poor• Tax concessions to I.T companies hurt us• No reservations for back-ward and lower castes
in jobs
S425_Oct'09 35THC_CTMS
Peoples’ Perception
• Derogation of ICTs by opposition parties as elitist &wasteful
• Hitec, Hitex, IIIT, IBS, Roads,Fly-overs, Corporate Hospitals/ Schools as negligent of rural areas/ people
• Telephone's Acceptability– Public telephones in villages– Mobile phones
• PCs & I.T & Internet– Unaffordable, too sophisticated– Not relevant for voter masses
S425_Oct'09 36THC_CTMS
E-governance & I.TAll-Party Agenda
• Criticised but embraced by “opposition” partis when come to power ( A P; UP; Kerala…)
• Consultative & involvement in program planning• Vision Document: Peoples/ not party’s• Get into Manifestos – Professionals to write & “sell”• Get parties to go High-tech ( eg: TDP in Andhra Pradesh )• Self-help Groups ( 350,000 in A P) given mobile
telephones (Internet-enabled)• Talk not jargon; develop popular style• Extend reliable power to the entire territory
S425_Oct'09 37THC_CTMS
ICT-enabled Employment in Rural areas
S425_Oct'09 38THC_CTMS
Work taken to Villages: GramIT (1)
• While US, EU, Oceania outsource to Hyderabad, Hyderabad out-sources to villages.
• Satyam Computers & Byraju Foundation• 200 Resident village graduates ( BA, B.Com,
B.Sc) trained in Ameringlish; imparted computer & Internet skills
• Satyam (Hyderabad HQ) outsourced its own internal work (pay-roll, accounting; travel; training; MIS
• Satisfied,work from abroad moved to villages
S425_Oct'09 39THC_CTMS
Work taken to Villages: GramIT (2)
• Broad-band telecom (optical fiber) 512 kbps extended from point of presence (POP) to work-site by PMP wireless
• Called Gram ITs, these offer transaction processing services ( accounting, bulk mlng; records digitisation, reminder and follow-up and travel support.
• A whole Gram IT can be dedicated to a customer (like twinning of cities across continents; city [email protected] twinning
S425_Oct'09 40THC_CTMS
Work taken to Villages: GramIT (3)
• Gram IT-team contributed part of profits for village development scheme designed by them – Independent and local initiative
• Rural Pressure group to demand and get quality infrastructure and services such as roads, retailing, education, health
S425_Oct'09 41THC_CTMS
In Summary
• E-governance & ICTs – beneficial but pubic acceptability & appreciation to be built up
• Education for all and skills for many to be evangelised
• Digital Divide: Reduce by Public Internet Kiosks
Haath-heath mein telephone;Gaon-Gaon mein Internet Kiosk
S425_Oct'09 42THC_CTMS
“Those who claim to lead the masses must resolutely refuse to be led by
them, if we want to avoid mob law and desire ordered progress for the
country. I believe that mere protestation of one’s opinion and
surrender to the mass opinion is not only not enough, but in matters of vital importance leaders must act contrary to the mass of opinions if it does not
commend itself to their reason.” -Mahatma Gandhi
S425_Oct'09 43THC_CTMS
Those who carry on great public schemes must be proof against the
most fatiguing delays, the most mortifying disappointments, the most shocking insults. And what is most of all the presumptuous judgment of the
ignorant. – Edmund Burke
S425_Oct'09 44THC_CTMS
We keep on tackling 50-year problem with 5-year plans, staffed
by 2-year officials, working with one year appropriations, fondly hoping
that somehow the laws of economics will be suspended
because we are Indians.
S425_Oct'09 45THC_CTMS
1. Indian liberalisation encounters formidable opposition from three quarters.
a) The top heavy bureaucracy reluctant to shed its enormous powers
b) Influential politicians who prefer to let socialism remain the opium of the people and of whom it can be truly said that if ignorance
is bliss, they should be the happiest men alive. c) Quite a few Indian businessmen men who are much interested in their own personal prosperity than in the future of the country and
who preferred to flourish in the non competitive environment.
2. India continues to remain the only significant country in the free world to hold aloft the tainted and tattered flag of socialism.
3. “ We shut our eyes to the fact that socialism is to social justice, what ritual is to religion and dogma is to truth”.
S425_Oct'09 46THC_CTMS
THANK YOU:
DHANYAWAD
(Some more after this If you like)
S425_Oct'09 47THC_CTMS
Indian Software Industry Exports ( $ mln )
1,124 1,755 2,700 3,9005,700
8,00010,000
12,00016,000
38 bln
21,000
1995-96
1996-97
1997-98
1998-99
1999-2000
2000-01
2001-02
2002-03
2003-04
2004-05
2008
S425_Oct'09 48THC_CTMS
Employment in Indian IT sector*,’000
0
500
1000
1500
2000
2500
2000 '01 '02 '03+ '04+ '06+
Call-centers (ITES) Software Multinational operations
(* Years ending March; + Estimate@ break-up: NA)
2.0 m
2.5 m
2008
S425_Oct'09 49THC_CTMS
Hyderabad’s & A P’s Surge (1)
• Software companies in Hyderabad 1248
• Software companies in rest of A P 30
• Exports from HYD: Rs. 18,294 Cr
• Exports from Visakhapatnam: Rs.245 Cr
• Exports from Vijayawada: Rs. 42 Cr
• Exports from Tirupati: Rs. 1 Cr
S425_Oct'09 50THC_CTMS
Hyderabad’s & A P’s Surge (2)
• 2008 Exports: Rs.24,000 cr
• Employees 187,450 (31.3.2007)– 200,000 Dec 2007– BPO & Call center companies in HYD 410;– Employees 72,000– Revenue Rs.6,500 cr
S425_Oct'09 51THC_CTMS
A.P’s Software and ITES Exports
Year 2007 2006 2005 2004 1996
Volume (in Rs. Cr. ) 17,000 12,521 8,270 5,025 65of Exports
Visakhapatnam Units 37; Exports Rs. 70crVijayawada Units 13; Exports Rs. 24 Cr• Number of direct employees 1,60,000
adding 30,000 to 40,000 per year
S425_Oct'09 52THC_CTMS
2001 2002 2003 2005 2006 2007 2008
1.5% 1.9% 2.82% 3.8% 5.0% 6.5% 8%
India’s share in software exports in the over all global market
S425_Oct'09 53THC_CTMS
Share of India in GlobalBPO & KPO Markets
Year 2003-’04 2010-’11 BPO 36% 55%
KPO 56% 71%
S425_Oct'09 54THC_CTMS
Foreign Companies Engaging Indian intellect (1/2)
• Motorola – 1700 employees• 40% of software in its mobiles developed
in India • The Internet browser and multi-media
messaging system conceived and developed for 3G and GSM and engineer
• The software going into US cars is being developed here in India .
S425_Oct'09 55THC_CTMS
Foreign Companies Engaging Indian intellect (2/2)
• GE – Largest R&D center outside USA is in India in Bangalore with 2300 researchers, double that in Shanghai
• GE put in $ 80 mln in the Bangalore R&D facility• GE’s Bangalore R&D field for 260 patents in the USA (37 already
approved)• Boeing USA is outsourcing Aircraft design to Russia ( $ 120/
Hr) • Russians are outsourcing parts of the design to HAL (BG) at $
30/Hr • Gorbachev went to USA to recommend Moscow as Bangalore’s
rival!• An Indian retained does the work of 2 or 3 Europeans;
does not take 6 weeks of holidays & costs one-fourth
S425_Oct'09 56THC_CTMS
Some foreign companies’ employees in India
GE Caps GE Dev IBM Oracle EDS Texas
16,000 1,800 10,000 6000 3,500 900
Intel JP Morgan HUWAI Siemens Motorola
1,700 1,200 1,500 2000 1,500