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A Government Dilemma
The current world-wide crisis left
  governments in the following
      impossible situation:

    No growth / Income decline
         combined with
     Need to increase services
With no means to increase income
governments are tempted to increase
 debt while hoping for a quick return
            to normality.

   That’s how most governments
            reacts today.
Two problems with this
  choice of action:
First:

This time the crisis is a systemic one,
this means we do not know what the
  next ‘normality’ will look like, nor
         how long it will take.
Second:

 Increasing debt has only meaning if it’s
invested for returns to allow repayment.

 Thus debt cannot be used to increase
          daily expenditure.
So, how can governments get around
           this dilemma?

How can they increase services fast
 without increasing expenditure?
They have to increase the efficiency of
     governments and services.

       And that fast and cheap.
The resources and the time spent
          must be better used:

•    More efficient work flows
•    Less time loss
•    Better use of knowledge
•    Better use of workforce
Increased efficiency cannot easily be
found by using old methods: Retraining,
   new managers, morality boost, etc.
 That will not yield the desired results.

           Look elsewhere.
Last big contributor to economic
      growth and efficiency:

          Process IT.
IT had a huge impact on industry
          but not on services.

This because industry has much simpler to
  model processes, people processes in
   governments and social services are
              hard to model.
That is where the solution
to the government dilemma lies;

process IT created for people.
But...
Governments need to
boost the overall economy as well,
        what about that?
A step back for something surprising...
Value creation in any organisation
        happens by process,
    i.e. in sequential activities.
No process can exist without a
framework, like water needs a pipeline
     or a riverbed to be of use.

 And the efficiency of the process is
 directly dependent on the quality of
            the framework.
Globally such processes are of
          two kinds:
Easily Repeatable Processes are the kind we
 think of when we use the term “Business
                Processes”:
Industrial processes
  Linear business processes
Enterprise Resource Planning
         Distribution
          Logistics
 Human capital management
        Procurement
             etc.
For this kind; a pipeline type of
     framework works well.

So far well covered by process IT.
Such processes create about 30% of
        world wide value.
      (based on world-wide annual GDP figures)
IT for such processes added approximately
  0.5 percentage point to the annual GDP
         growth for a long period.
    (based on 1995 - 2003 figures from typical developed economies)
Then we have Barely Repeatable Processes,
   mostly seen as “Business Practices”:
Government
   Education
     Health
   Consulting
    Services
    Support
      R&D
Knowledge worker
Ad hoc processes
   Exceptions
      etc.
This kind requires a riverbed type of
              framework.

These Barely Repeatable Processes are
 hardly covered by process based IT,
thus no IT induced efficiency gain nor
 contribution to GDP growth so far.
Such processes create about 64% of
        world wide value.
      (based on world-wide annual GDP figures)
IT for such processes could add
approximately 1 percentage point to the
 annual GDP growth for a long period.
      (if used to same extent as for industrial type processes)
IT frameworks for such processes would
  not only translate to better and more
     government using less resources,
 it would also deliver a major boost to
       the economy as a whole.
Precisely what the doctor ordered.
But this type of Barely Repeatable
 Processes requires a completely
     different IT architecture.
Luckily, things are afoot and the first of this
    kind of IT framework is emerging.

     It just has to happen... and it will.

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Government Dilemma4

  • 2. The current world-wide crisis left governments in the following impossible situation: No growth / Income decline combined with Need to increase services
  • 3. With no means to increase income governments are tempted to increase debt while hoping for a quick return to normality. That’s how most governments reacts today.
  • 4. Two problems with this choice of action:
  • 5. First: This time the crisis is a systemic one, this means we do not know what the next ‘normality’ will look like, nor how long it will take.
  • 6. Second: Increasing debt has only meaning if it’s invested for returns to allow repayment. Thus debt cannot be used to increase daily expenditure.
  • 7. So, how can governments get around this dilemma? How can they increase services fast without increasing expenditure?
  • 8. They have to increase the efficiency of governments and services. And that fast and cheap.
  • 9. The resources and the time spent must be better used: • More efficient work flows • Less time loss • Better use of knowledge • Better use of workforce
  • 10. Increased efficiency cannot easily be found by using old methods: Retraining, new managers, morality boost, etc. That will not yield the desired results. Look elsewhere.
  • 11. Last big contributor to economic growth and efficiency: Process IT.
  • 12. IT had a huge impact on industry but not on services. This because industry has much simpler to model processes, people processes in governments and social services are hard to model.
  • 13. That is where the solution to the government dilemma lies; process IT created for people.
  • 15. Governments need to boost the overall economy as well, what about that?
  • 16. A step back for something surprising...
  • 17. Value creation in any organisation happens by process, i.e. in sequential activities.
  • 18. No process can exist without a framework, like water needs a pipeline or a riverbed to be of use. And the efficiency of the process is directly dependent on the quality of the framework.
  • 19. Globally such processes are of two kinds:
  • 20. Easily Repeatable Processes are the kind we think of when we use the term “Business Processes”:
  • 21. Industrial processes Linear business processes Enterprise Resource Planning Distribution Logistics Human capital management Procurement etc.
  • 22. For this kind; a pipeline type of framework works well. So far well covered by process IT.
  • 23. Such processes create about 30% of world wide value. (based on world-wide annual GDP figures)
  • 24. IT for such processes added approximately 0.5 percentage point to the annual GDP growth for a long period. (based on 1995 - 2003 figures from typical developed economies)
  • 25. Then we have Barely Repeatable Processes, mostly seen as “Business Practices”:
  • 26. Government Education Health Consulting Services Support R&D Knowledge worker Ad hoc processes Exceptions etc.
  • 27. This kind requires a riverbed type of framework. These Barely Repeatable Processes are hardly covered by process based IT, thus no IT induced efficiency gain nor contribution to GDP growth so far.
  • 28. Such processes create about 64% of world wide value. (based on world-wide annual GDP figures)
  • 29. IT for such processes could add approximately 1 percentage point to the annual GDP growth for a long period. (if used to same extent as for industrial type processes)
  • 30. IT frameworks for such processes would not only translate to better and more government using less resources, it would also deliver a major boost to the economy as a whole.
  • 31. Precisely what the doctor ordered.
  • 32. But this type of Barely Repeatable Processes requires a completely different IT architecture.
  • 33. Luckily, things are afoot and the first of this kind of IT framework is emerging. It just has to happen... and it will.