Public Sector Transformation Through E-Government

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by Christopher G Reddick


  trust and security,

  and Investment, eff ective,

  ff

  ultra-fast networks,

  effi

  cient,

  ffi

  and transparent

  research and innovation

  public administration, a

  digital literacy and social challenges,

  fl avor environment for

  fl

  digital e-identity,

  communication between

  e-authentication,

  citizens and politicians,

  rights management,

  cross European services

  open source software

  (continued)

  E-Strategic Management Lessons from Greece 227

  Table 17.1 (continued)

  Vision

  Strategy

  Statement

  Mission Statement

  Australia-2000:

  Better services for citizens Supervisor: National Office

  ffi for the Information

  Government

  and enterprises

  Economy of the Australian Government (NOIE)

  Online

  CSFs:

  400 digital services online

  Enterprise Architecture (AGA)

  Government-wide Intranet

  Electronic payments

  Update: 2002:

  Update:

  Update:

  Better Services,

  e-Government

  greater administrative effi

  ciency,

  ffi

  Better

  for economic

  security and trust,

  Government

  growth

  responsive public services

  service integration

  participation

  Japan-2001:

  “knowledge-emergent

  Supervisor: Prime Minister Offi

  ce, IT Strategy Head-

  ffi

  e-Japan

  society” with ICT

  quarters

  CSFs:

  2003: e-Japan II

  ultra-high-speed networks

  e-commerce

  service and information provision

  ICT literacy

  enterprise architecture program (2004)

  Update: 2006—

  Update: Inclusive and

  Update:

  New IT Reform

  Innovative Society

  citizen satisfaction

  Strategy

  e-local Government and standardization

  health and environmental challenges

  aging society

  Update: 2009

  50 percent of form applications by 2010

  i-Japan 2015

  Elimination of paper certifi cates by 2020

  fi

  multi-channel and via three-“mouse clicks” services

  Government offi

  ces

  ffi

  e-PO box Digital ID

  However, although e-strategies seem to migrate from “service digitization”

  to “service transformation” and governments from “modern” to “account-

  able,” there is no clear strategic management method that shows how this

  evolution is controlled. In this context, this chapter seeks for a strategic

  management model that can be applied on e-strategies either at an ex-post

  level, so that managers can determine the next steps for “e-evolution.”

  In this context, an indicative strategic management method that is based

  on the strategic life-cycle is suggested, and it was applied on the Greek

  e-strategies in order for the reasons that lead to the selective updates to be

  recognized and to be evaluated. The Greek e-strategies can be considered

  representative European cases, where governments had to deal with both

  the national requirements and with the European goals such as the Lisbon’s

  (European Council, 2000).

  228 Leonidas G. Anthopoulos, Dimitrios Triantafyllou, and Panos Fitsilis In the background section (Section 2) of this chapter, some useful strategic management methods and tools are presented, and a strategic manage-

  ment model is composed. In Section 3 this model is applied on the three Greek e-strategies in order for the updated versions to be compared and for

  the reasons that lie behind these updates to be realized.

  2 BACKGROUND

  Various strategic analysis methods such as the strategy map (Barrows &

  Frigo, 2008), the strategic life-cycle (Lysons & Farrington, 2006) and the

  balanced scorecard (Creamer & Freund, 2010; Huang, 2009; Kaplan &

  Norton, 1996) can be used for realizing, communicating, and visualizing

  a strategic plan and for strategic decision making. The strategic life cycle

  analyses a strategic implementation in the following phases (Figure 17.1): (a) analysis, (b) synthesis, (c) evaluation, (d) implementation, (e) control,

  and (f) review.

  2.1 The Analysis Phase

  This phase defi

  fines the CSFs according to both the external and the inter-

  nal environments. Three alternative methods (David, 2011) can provide

  with data the strategic analysis: the External Factors Evaluation (EFE)

  Matrix, the Internal Factors Evaluation (IFE) Matrix and the Competitive

  Profi

  file Matrix (CPM). These three tables contain internal and external

  CSFs that are obtained according to systematic investigation performed

  by the organization.

  review

  synthesis

  analysis

  implementation

  evaluation

  control

  Figure 17.1 The strategic life-cycle.

  E-Strategic Management Lessons from Greece 229

  The EFE matrix stores the external factors together with their significan

  fi

  ce.

  Demographic, environmental, fi

  financial, political, and legal could be some of

  these factors, whereas some concern chances and others threats. Initially, the

  identifi c

  fi ation and the classifi c

  fi ation of the factors to threats or chances are per-

  formed, and then weight values from 0 to 1 are assigned to them. The weight

  values refl e

  fl ct the signific

  fi ance of each factor, whereas the total sum of these

  values equals to 1. Later, each factor is characterized with an index value from

  1 to 4. The weighted result for each value varies from 4 to 1, whereas the value

  of 2.5 is the baseline that refl e

  fl cts the organization’s strength or weakness.

  The selection of the appropriate strategy is usually based on intuition

  and/or on numerical analysis. The IFE matrix aims to close the gap between

  intuition and analysis (Mintzberg, 1994) with values subjectively defined

  by the strategic team. The IFE matrix follows the same implementation

  procedure with the EFE matrix.

  The construction of the CPM fi

  finalizes the analysis phase. This matrix

  presents the strengths and weaknesses of an examined strategy compared to

  other strategies. The comparison is based on CSFs, which are evaluated with

  values from 1 to 4. The weighted results give the fi

  final ranking (David, 2011).

  2.2 The Synthesis Phase

  Under this phase both the vision and the mission statements are identi-

  fi

  fied with the use of alternative methods such as (a) the Porter’s Five Forces

  model (1996), (b) the Marketing Mix 7p’s (Ivy, 2008; Rafi

  fiq & Ahmed,

/>   1996), and (c) the strategy map (Kaplan& Norton, 1996).

  In Porter’s (1996) model, five forces defi

  fine the organization’s strat-

  egy together with its attractiveness and its profi

  fitability: (a) the threat

  of the entry of new competitors; (b) the threat of substitute products or

  services; (c) the bargaining power of customers (buyers); (d) the bargain-

  ing power of suppliers; and (e) the intensity of competitive rivalry. From

  these forces, only (b) and (c) comply with the e-strategic characteristics,

  since substitute products do not exist, while the supplier is the govern-

  ment that has no competitors.

  The Marketing Mix 7p’s (product, price, place, promotion, physical

  evidence, people-participants, process) is based on marketing theory and

  refers to the strategic, tactical and implementation’s planning (Ivy, 2008;

  Rafi

  fiq & Ahmed, 1996). However, this method is diffi

  fficult to comply with

  the e-strategic characteristics.

  The strategy map (Kaplan & Norton, 1996) is a diagram—part of

  the Balanced Scorecard—that refl

  flects the produced value process of an

  organization, and it is constructed with the assign of the strategic objec-

  tives to cause and eff

  ffect. The strategy map can support the visualization

  and the communication of a strategic plan and consists of four pillars:

  (a) fi n

  fi ancial, (b) customer, (c) internal business process, and (d) learning

  and growth. This method was applied in the examined Greek case.

  230 Leonidas G. Anthopoulos, Dimitrios Triantafyllou, and Panos Fitsilis 2.3 The Evaluation Phase

  The evaluation process compares the strategic results to the strategic objec-

  tives (Nag, Hambrick, & Chen, 2007). The strategic evaluation consists of

  the ex-ante, the intermediate, the updated intermediate and the ex-post pro-

  cedures. The ex-ante evaluation is based on estimates and on suggestions; it is

  performed on political and program planning, and it measures the applicabil-

  ity and eff e

  ff ctiveness of the plan, the availability of resources, and the imple-

  mentation’s monitoring according to predefined directives. The intermediate

  evaluation analyses the ex-ante results and provides strategic updates, which

  compose the updated intermediate evaluation process. Finally, the ex-post

  evaluation measures the fi

  final results and the strategic impacts and has to be

  performed not later than 3 years from the strategic completion.

  2.4 The Implementation Phase

  The implementation phase concerns the set of actions that makes the strategic

  plan a reality (Nag et al., 2007). It can be considered a process that consists

  of the communication management between the stakeholders of the plan, the

  objectives’ determination and review, the assignment of duties to the responsi-

  ble parties, staff t

  ff raining, organizational transformations, and the continuous

  monitoring of the entire procedure (Lysons & Farrington, 2006).

  3 A

  STRATEGIC ANALYSIS OF THE GREEK CASE

  The Greek Government signed the eEurope strategy and developed its plan

  for the Information Society by 1998. The resulted e-strategy was called

  the “Information Society Framework Programme” (www.infosoc.gr), and

  it was supervised by the Special Secretariat for the Information Society

  located at the Ministry of Finance giving a clear directive that the national

  strategy had to align properly to the European obligations for funding. This

  initial e-strategy was funded with €1,150 million, and it mainly focused on

  infrastructure installation and to large-scale information systems. More

  than 4,000 projects were implemented under the fi

  first Greek e-strategy.

  The second Greek e-strategy was initiated by 2005, it was called

  “Digital Convergence” and it was aligned to i2010 European strategy.

  This strategy, funded with €900 million about 2,000 projects, focused

  on social cohesion and on regional development and delivered significant

  outcomes such as the Greek e-Government portal (Ermis) and the Greek

  interoperability framework (e-GIF). This second e-strategy was updated

  by 2010 according to the Digital Agenda’s and to U.S. Open Govern-

  ment’s visions. This third Greek e-strategy (www.digitalplan.gov.gr) has

  not changed title from its predecessor; it has not started its implementa-

  tion yet, for the purposes of this chapter it will be called “Digital Con-

  vergence II.”

  E-Strategic Management Lessons from Greece 231

  Each of the above strategic plans was analyzed in pillars, called “mea-

  sures” in the Information Society, “fi

  fiber actions” in the Digital Conver-

  gence, and “horizontal interventions” in Digital Convergence II. Each pillar

  focuses on specifi

  fic European challenges and objectives.

  In this chapter a strategic review of the three Greek e-Strategies is being

  performed in order to document a suitable strategic management model,

  and to visualize Greek strategic development. In this context, offi

  fficial data

  from the Greek Special Secretariat for the Information Society websites

  has been used (http://www.infosoc.gr and http://www.digitalplan.gov.gr),

  which provided with strategic vision, with objectives, with budget alloca-

  tion on pillars and projects, with projects’ defi

  finition and with implementa-

  tion timeframes. Published data concern e-strategic progress monitoring

  since 1999 and was collected on summer 2011. The introduced strategic

  management model consists of the tools and methods from the strategic life

  cycle, which were presented in the previous section.

  3.1 The

  Analysis Phase

  The performed analysis of the external environment in Greece supported

  the realization of the trends that aff

  ffect the e-strategic planning and of

  the CSFs, whereas the investigation of the internal environment lead to

  the recognition of the untapped opportunities and of the hidden threats.

  Additionally, a comparison between the three Greek e-strategies was

  established, in terms of better recognition of the internal and external

  factors, as well as of effi

  fficiency in serving national vision. Besides, the

  primary objectives of strategic management concern (a) the capitalization

  of external and internal opportunities and (b) the avoidance or the mini-

  mization of weaknesses.

  The external and the internal factors that infl

  fluence the Greek e-Strate-

  gies were initially defined in order to structure and calculate the EFE (Table

  17.2), the IFE (Table 17.3), and the CPM (Table 17.4) matrixes for the three e-strategies. Greek strategies recognize the European threats and opportunities and combine them with the national environment in order to defi ne

  fi

  their visions and missions: For instance, the aging challenge (European

  Commission, 2009) concerns a threat, whereas globalization (Laudon &

  Laudon, 2002) and economic growth (Drucker, 1985; Porter, 2002) con-

  cern opportunities. The
calculation of the weights that were assigned to

  each factor was based on the following simple formula:

  x + Tx

  W =

  p

  T

  where

  W repre

  W

  sents the resulted weight;

  x, the number of projects that concern this factor;

  p, the total number of projects that ran under the strategy;

  T , the budget of the x projects;

  x

  , t

  he total budget of the p projects.

  232 Leonidas G. Anthopoulos, Dimitrios Triantafyllou, and Panos Fitsilis The calculation of the factors of the Tables 17.2, 17.3, and 17.4 was based on the allocated funding to the corresponding strategic pillars.

  Data for the calculations was collected from the strategic annual reports

  (http://www.infosoc.gr/infosoc/el-GR/epktp/proodos_ylopoiisis).

  Table 17.2 The EFE Matrix for the Greek Strategies

  External Factors

  Information Society

  Digital Convergence

  Digital Convergence II

  Opportunities

  Weight Rating Results Weight Rating Results Weight Rating Results

  Globalization

  0,23

  4

  0,92

  0,22

  4

  0,88

  0,022

  4

  0,088

  National

  0,22

  4

  0,88

  0,033

  3

  0,099

  0

  3

  0

  Economic

  Growth

  Supranational

  0,018

  3

  0,054

  0,04

  3

  0,12

  0

  4

  0

  Economic

  Growth

  European

  0,043

  1

  0,043

  0,38

  2

  0,76

  0,16

  3

  0,48

  transactions

  Schengen’s

  0,15

  2

  0,3

  0,02

  4

  0,08

  0,4

  4

  1,6

  membership

  Participation

  0,018

  3

  0,054

  0,041

  4

  0,164

  0

  4

  0

  in Internet

  Governance

  Threats

  Aging

  0,003

  2

  0,006

  0,003

  3

  0,009

  0

  2

  0

  Rising Asia

  0

  4

  0

  0,022

  4

  0,088

  0

 

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