Shashank Ojha ICT SECTOR UNIT THE WORLD BANK NEW DELHI India : Information and Communication Technology for Growth & Development 2011

Shashank OjhaI C T S E C T O R U N I T T H E W O R L D B A N K

N E W D E L H I

India : Information and Communication Technology for Growth &

Development 2011

Contents

ICT Sector Unit - The World Bank

2

India - Country Background Current Status, Development Indicators, Goals and Strategies for growth and

poverty reduction etc)

ICT Industry in India Current status, Trends and indicators, Contribution to GDP, Employment in the

Sector, Govt. Policies, Role of Private sector etc.)

ICT for Development Human Development ( Education, Health, Social & Livelihood etc) Infrastructure ( Roads, Water, Power etc) Rural development & Agriculture Governance

Challenges & Impediments Technology, Govt. Policy, Capacity Building, Change management, Business

environment, Donor and Financing

Suggestions for way-forward

India Country Background – Overview


3

With a population of just over 1.2 billion, India is the largest democracy in the world. In the past decade, the country has seen sustained high growth and has made progress on most of

the Millennium Development Goals. India is in now the midst of a historic transformation. It has emerged as a global power and a

leading player in information technology, telecoms and business outsourcing, with the world’s 4th largest economy in purchasing power parity terms. However, beneath India’s impressive growth is a tale of ‘two Indias’. While one India is on a rapid development trajectory, the other has 300 million people living below the poverty line.

To address these disparities, the Government of India’s Eleventh Five Year Plan (2007-12) outlines a development agenda that targets significant investments for : generating employment, providing quality education and health for all, improving the welfare of women and children, developing infrastructure, and conserving the environment.

Major investments are being made in into a set of very ambitious programs to deliver services to the poor. These programs -- to provide elementary education, basic health care, health insurance, rural employment, rural roads and rural connectivity, and other services -- aim at realizing the fundamental rights of the people.

The programs are achieving partial results on the ground. Between 2003 and 2010, the no. of out-of-school children declined from 25 to 8 million (less than 5% of

the 6-14 age group). Leprosy, polio, and TB are almost eradicated and the spread of AIDS has been kept in check. Large no. of women have been mobilized into self-help groups to generate new livelihood opportunities. Large investments are being made to improve the infrastructure Massive new initiatives are being pioneered that are revolutionizing the way services are being delivered

to low-income groups.

India - Country Background


4

Key Development Indicators GROWTH:

Population ( 2011) : 1.21 billion 50 % population below 25 years of age GDP Growth (2010- 11): 8.5%

Poverty (Below National Poverty Line) : 37% Rural: 28 % and Urban: 26 %

Fertility rate: 2.5 births per woman Life expectancy at birth: 64 years

Infant mortality (per 1000 live births): 57 Maternal Mortality (per 100,000 live births):450

Children Underweight (below 5 years): 46%

Primary school enrollment, net: 90% ; Male Adult literacy (age 15 and older): 73% and Female Adult literacy (age 15 and older): 48% Access to improved water source (% of pop): 89% Access to improved sanitation: 33% ……………………………………………………………………………………

ICT Industry in India


5

India’s ICT Sector is a global leader is IT Services and IT- enabled Services Exports Revenues : US $ 50.1 billion ( FY 2010) Exports contribution to total revenues - 70 % Service lines : 1. IT Services ( US $ 27. 3 billion) - application development, maintenance, testing, infrastructure services, consulting and systems integration etc. 2. BPO ( (US $ 12.4 billion) 3. Engineering Design and Product development ( US $ 10 billion)



6

ICT Sector - key indicators

Aggregate Revenues in FY 2010 : US $ 73.1 billion

Direct Employment : 2.3 million Indirect additional employment : 8.2 million ( 30% employment for Age group 18-25 years; 4 % employment to economically backward classes, 60 % co.s employ differently-abled, 58 % employment from Tier II & III cities).

Contribution to GDP in FY 2010-11 : 7 % ( In FY 98 - 1.2 %)

Innovation ( FY 2005 -09) : 29 fold increase in patents

Avg. R&D Spend : 1 % of Total Revenues



7

India’s ICT Sector - VALUE PROPOSITION

o Strong fundamentals, a robust enabling environment and enhanced value delivery capability are

the hallmarks o Enjoys a cost advantage of around 60-70 per cent as compared to source markets.o Timely Government policies have played a key role o Govt.’s focus on education has helped create the large talent base from where the ICT

industry draws its workforce. o Government’s proactive approach towards the IT Sector through actions such as the IT Act

Amendment, extension of tax incentives by a year, removal of the SEZ Act anomalies and the introduction of progressive telecom policies. o Indian ICT Companies are now focusing trying to adopt a culture that encourages innovation, embrace new trends such as Green IT, and deliver solutions that are focused on Re-engineering and Transformation. o India is emerging as a ‘Innovation Hub’ with increasing number of patents being filed /granted

o Economic downturn is the opportunity for the industry to enhance its overall efficiency -

clients increasingly looking inwards and focusing on process benchmarking, enhanced utilization of infrastructure and talent, increasing productivity and greater customer engagement

Source : NASSCOM

ICT Industry in India - Telecom


8

Telecom Sector Telecom Access 2011

( May) (per 100

persons) Fixed line 34. 40

million Mobile 840

million Internet users 88

million

Population covered by mobile - 73 %

Total internet users - 6.9 %

Fixed line tariff ($/pm) 3.5 Mobile tariff ( $/pm) 1.6

Telephones per 100 persons

ICT Work Program- India


9

WB’s - India Program ( June 2011) Total No. of Projects : 81Size of the portfolio : US $ 25.6 billion

ICT - Key Activities ICT Support to Sector Projects e-Government Projects Telecom TA Projects ICT’s Participation : 21 Sector projects + NeGP Project ( FY

11)

ICT Work Program - India


10

Project Support

Small Grants – Experimental / Pilots

Medium – MIS Components in Sector Projects

Large –eGovernment Projects

ICT for Development Projects


11

ICT for Development Projects

Innovative ICT for Development Projects in India

Mobile – based Innovative Solutions

World Bank India - Projects E-Governance Projects ICT in Development Sectors ( Education, Health, Social &

Livelihood, Rural development & Agriculture etc.)

Innovative Projects


12

ICT for Development - Innovative Projects e-Sewa Govt of AP ( Citizen e-Services)http://www.esevaonline.com Bhoomi - GoK ( Land Records) http://bhoomi.karnataka.gov.in MCA 21 ( Corporate affairs)http://www.mca.gov.in/MCA21/ ITC’s e-Choupal ( Agriculture Supply Chain) http://www.itcportal.com/rural-development/echoupal.htm Kerala’s Fisheries ( Mobile solutions for Fishermen) Lifelines ( Agriculture and Education Voice based Services)

http://www.esevaonline.com/

http://bhoomi.karnataka.gov.in/

http://bhoomi.karnataka.gov.in/

http://www.mca.gov.in/MCA21/

http://www.itcportal.com/rural-development/echoupal.htm

Mobile –based Solutions


13

Mobile – based solutions

o Reuters Market Light ( Agr. Mkt Prices) o SMS-One ( Community Newsletter - Local news,

Local Advertisements etc.) o Nokia Life Tools ( Agriculture Info, Education,

Entertainment )o Ng Pay ( mobile based payments, shopping etc)

ICT India - Water Sector


14

Water Sector ProjectsUP- WSRPRajasthan –WSRPMaharashtra- WSRP AP Water Sector

ICT India Projects - Water


15

Water / Irrigation Sector Solutions

Decision Support Systems & Knowledge Systems

Water Resources PlanningData Collation, Analysis, Planning

Basin Database

Dams Database &

Dams Safety

GISDatabase

Water Resource Management

Real Time Distribution and Control

Network maintenanceMaintenance planningCondition monitoring

Enterprise Information / Decision Support Systems

Procurement and Contracts Management

Contracts and Contractors Management Tendering and Procurement

HR

PayrollMgmt

Human Resources

PayrollMgmt

Human Resources

ID Intranet with Messaging, Groupware, Workflow

Stakeholders Management

WUA/FarmersInfo System

Revenue Billing

Portal/Web Site for ID

Financial

Assets

AR AP

Gen Ledger

Cash Management

Planning / Budgeting

Assets

AR AP

Gen Ledger

Cash Management

Planning / Budgeting

Projects

Project Mgmt.

Application Framework

ICT India Projects - M&E


16

Monitoring & Evaluation Systems

Water & Sanitation Project Two major ICT Initiatives under the Project :

• Computerization of the Fund Board• Creating and automating the M&E Framework for the entire water

sector in the country.

ICT India Projects - Transport


17

Transport SectorAssam RoadsTN RoadsKerala RoadsPunjab RoadsHP RoadsNational Highways

Authority of India

Assam PWD Computerisation Project (APCP)

· Business Process Reengineering of PWD.

· Building the system software by customizing packaged application OTS.

· Networking 20 sites with hub at C.E’s office.

· Developing master database and incorporation of historical data.

· Project preparation system

· Project management

· Document Management System

· Intensive training.

· Vendor management & payment system.

· Quality control system.

· Stores & inventory management

· Employee Information system

· Interfaces with engineering intensive modules.

Financial, HR, etc. modules developed by GOA

Project Life Cycle & Cost-Benefit & Analysis module

Project specific modules like OMMS (PMGSY)

Disaster Management System (DMS)

Assam PWD Computerization Project

ICT Solution Framework - Road Projects


18

ICT India Projects - Health


19

Health Sector Projects

IDSP Food & Drug Control

Capacity ( Closed) Malaria Control ( Closed) AIDS (Closed) Karnataka State Health

Project Tamil Nadu State Health

Project Rajasthan Health Project

Health Mgt. Systems - Core Modules

Source : Rajasthan Health Project

ICT India Projects - Education


20

Education Projects o Pilot ICT Project in Rural

Pune

o e-Class & Teacher- Student Portal for Govt. of Uttarakhand

o Bihar TEMIS

o Vocational Education

o Technical Education II

ICT in Education


21

ICT Pilot Project in Rural Districts of Pune

Mobile Computer Van

53 schools in about 40 villages scattered around Baramati

Computer Education for approx 6300 students of Classes 5-6-7

5 Mobile Computer Vans with 18 computers on each van

ICT India – Agriculture & RD


22

Agr. & Rural Devp. Projects

Sodic Lands Project (Closed)

UP Forestry (Closed) ICT in Rural Districts

of Pune (Closed) National Agriculture

Innovation Project

Source : AGROPEDIA , NAIP Project

ICT India Projects – Rural Development


23

ICT Pilot Project in Rural Pune

Micro Finance CooperativesPoultry Cooperatives

Milk Cooperatives

ICT India – e-Governance

AP Govt.’s e-Government Project

Framework


24

Core Applications

smartcard e-Proc

Portal

GIS SmartGov

OLTP

IFISHRMS

Data Centre

PaymentGateway

Datawarehouse

PKIe-Seva

Agriculture

Civic Services Revenue

Business Engineering

Education

Judiciary

PoliceHealthcare

Welfare

EIMS

SMSCMS

UMS

e-Health

TelemedDIMS

HIMS

SBMS

PAX

WCMS

MarkNet

PMS

eCRM e.Biz

CARD

eCOPS

VASTIS

Excise FAST

InSysLIFE

MMIS

PRISM

MAS

CGRS

CCMS

FACTS

JUDIS

ICPS

CopSys

FISAGRIS AnSys

@pfirst

e-Government Blueprint.. an ‘inside out’ view

APIIS

eACB

APNET

Kiosks

ICT India Projects e-Governance


25

India – National E- Governance Action Plan

NeGP CENTRAL (7) STATE-LEVEL (9) INTEGRATED (9) Income tax Agriculture e-Biz Central Excise Comprehensive Modernization of Land Records EDI Passport, visa & immigration Transport India Portal MCA 21 Treasuries Common Service Centers

(CSCs) Unique ID Commercial Taxes e-Gateway Pensions Panchayati Raj Institutions e-Courts Industry Initiative: Municipalities e-Office

Banking Police e-Government Procurement Insurance Employment Exchange e-Districts Public Distribution System (PDS) – State-defined. PROGRAM COMPONENTS (8) Core Technology Policies and Standards Technical Assistance Core Infrastructure: HRD & Training State Wide Area Networks (SWANs) Awareness & Assessment State Data Centers (SDCs) Program Management Structures R&D

NeGP Mission Mode Projects & Program Components

ICT India Projects – NeGP


26

E-Delivery of Public Services Development Policy Loan

Pillar I. Higher emphasis on coordination1.1 Strengthening state institutions in e-Governance.1.2 Development of technical standards for e-Governance1.3 Improved inter-agency coordination and monitoring of e-governance.

Pillar II. Increased reach out to the “common man.”2.1 Improving access to services by using the mobile platform while increasing the pace of internet penetration2.2 Facilitating increased participation of citizens in design and evaluation of e-governance projects.2.3 Improving service orientation of Govt. Processes and officials. 2.4 E-Services Delivery Act (ESD Act)2.5 Uniform and predictable verification of e-Service users.

ICT India Projects - Governance


27

e-HR Project (Govt. of Karnataka) Computerized Human Resource Function

of GoK to support : Civil Service Restructuring Promote Human Resources Development - career

counseling Facilitate Functional Reviews Lead to right-sizing of the workforce, if necessary Management of Pensions Provide information for decision making (day-today

as well as forward planning)

Pilot Implementation Successfully completed.

Scale up in progress through government funds.

http://www.google.com/imgres?imgurl=http://www.lanl.gov/news/albums/logos/HR_logo.jpg&imgrefurl=http://www.lanl.gov/news/index.php/fuseaction/home.story/story_id/10528&h=566&w=1040&sz=57&tbnid=BbLpxt2kkx8J::&tbnh=82&tbnw=150&prev=/images?q=Human+Resource+pictures&usg=__SkJLmeeV2iGrZox1gGCRjdJ6Exg=&sa=X&oi=image_result&resnum=2&ct=image&cd=1

ICT India Projects - e-Government


28

.• Establishment of IT Devp.

Authority.• Agriculture Portal • Tourism Portal Project.• Social Welfare DBMS Project.• Citizen Data Vault Project /

• Multipurpose Household survey• Citizen Data Vault.• Smart Card for Public Distribution

• HRMS Project• Urban Development Project• Public Works Department Project.• Teacher Student Portal • e-Class Content Development

Govt. of Uttarakhand – eGovernment Pilots

ICT India Projects - Urban Devp.


29

Tamilnadu Urban Devp Project II & IIIULBs By Project Own Total Within Office Within ULB Bank Total

Municipalities 102 718 374 1092 85 14 7 106Corporation 5 202 116 318 25 34 34 93Town Panchayats 611 655 0 655 0 0 0 0Aggregate 718 1575 490 2065 110 48 41 199

Systems Collection Facilities

Coimbatore

Tamil Nadu Urban Development Project II

ICT India Projects - Urban


30

Tamil Nadu Urban Development Project IIServices

1. Birth and Death registration

2. Building Plan Registration/ Approval

3. Dangerous and Offensive & PFA

Financial Management4. Financial Accounting

System5. Inventory Control6. Movable Property7. Vehicle Inventory8. Immovable Property

Revenue Management9. Non-Tax10. Professional Tax11. Water Charges12. Property Tax

Others1. Census

2. Personal Management System

3. Electoral rolls

4. Family Enumeration

5. Solid Waste management

6. Hospital Information

ICT India Projects - Urban


31

Tamilnadu UDP II - impact

Increasing Demand from staff and citizens - (ULB’s on their own have invested in 1575 PCs from the project, additional 490 by ULBs)A 10-15% improvement in collections have been recorded as against manual systems. (Roughly an increase in revenue of about US $ 7-8 million). An issue especially in terms of closure of subsidiary revenue registers has been of collection greater than demand… (about 10 % of errors in demand registers rectified - $ 2 million ) Birth and death certificates issued in 15 minutes (2-7 days).The impact, closure of accounting books by 5.30-6 PM as against months before automation.

Main Challenges


32

Challenges & Impediments ICT Sector strengthens have had limited impact on ICT for

Development ICT has not yet been mainstreamed as tool for growth,

efficiency and development Large disparities in State and department capabilities Inadequate Policy and Legislative push Support infrastructure remains a major challenge

Power Connectivity Literacy and Language

Funding and financing strategy

Main Challenges


33

High Risk – High Returns projects ! Limited Human Resources in e-Governance

100+ Pilots in states not scaled –up Implementation approach / lack of BPR / inadequate policy support Lack of HR and tech capacity – no cadre Very complex projects / require continuous upgrade and monitoring Inadequate awareness / lack of capacity in policy & decision makers

Project Management -Difficulties abound Delayed, limited functionality, budget over-runs

Financial Sustainability - Rarely achieved ?

Grassroots consultation Top down approach rarely works !

IT Policy & Law

Main Challenges continued . . .


34

Standardization / Policy Framework Standalone efforts, Islands !

Sector level Solutions !

Local language / Locally relevant content English content, illiteracy, target audience ?

Reinventing the Wheel ! Duplicate efforts - wasted cost, time and funds

Wiring India – last mile solutions Need for low cost connectivity ?

Suggestions


35

Suggestions for way-forward Promote Policy for Investment in ICTs Capacity Building & HR – especially at state level Development for Core Solutions Targeted ICT Initiatives for social and financial

inclusion Mainstreaming Mobile based solutions Support for Project Development & Pilots Improved Research and Analytical underpinning

for impact measurement PPP Approach & Financing Models

Shashank Ojha

I C T S E C T O R U N I T T H E W O R L D B A N K

N E W D E L H Is o j h a @ w o r l d b a n k . o r g

Thank you.

Documents

Shashank Ojha ICT SECTOR UNIT THE WORLD BANK NEW DELHI India : Information and Communication Technology for Growth & Development 2011