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1 The Department of Labour Department of Labour Case study on the Department of Labour’s IT/IS Public Private Partnership 29 July 2004 Masodi Xaba - Deputy Director General:Corporate Services Deon Haasbroek - Chief Information Officer

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1

The Department of Labour

Department of Labour

Case study on the Department of Labour’s IT/IS Public

Private Partnership

29 July 2004

Masodi Xaba - Deputy Director General:Corporate Services

Deon Haasbroek - Chief Information Officer

2

The Department of Labour

Department of Labour

Public Private Partnership

Who we areWhat we do Where we come from Where we are nowWhere we want to beWhat we have achievedChallengesConclusion

3

The Department of Labour

Department of Labour

Who we are

Vision

Strive for a labour market - -

Conducive to economic growthRising skillsEquity Employment standardsWorker rights

4

The Department of Labour

Department of Labour

Who we are

National departmentHead Office10 Provincial offices+/-180 Labour centres and satellite officesUnemployment Insurance FundCompensation Fund

5

The Department of Labour

Department of Labour

What we do

Major business processes - - -

Fund and disbursement managementStatutory revenue and collectionRegistration Inspection and enforcement Management information

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The Department of Labour

Department of Labour

Where we come from

Strategic planning results 1996/97Integrated approach to service deliveryICT to be used as a business enablerChallenge to select appropriate technologiesChallenge to recruit and retain skilled and experienced IT staff

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The Department of Labour

Department of Labour

Where we come from

Drivers of Change

Information … a strategic resourceInformation to be digitised IT to be aligned with business processesIT systems to be integratedAccess to quality IT skills and expertise

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The Department of Labour

Department of Labour

Where we come from

IT environment

3 IT shops130 third party contractorsAd hoc third party consultingFragmented IT systemsDuplication and overlaps No interoperabilityLack of alignment with business processes

9

The Department of Labour

Department of Labour

Where we come from

ICT Vision

ICT to serve as a business enablerDigital nervous system

Digital information flow Digital toolsOn-line access

Partnering with the private sector

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The Department of Labour

Department of Labour

Where we come from

IT plan – strategic objectives

Paradigm shift in using info systems as a business enablerImportance of information managementIntegration of IT functionsElectronic One-stop System InfrastructurePartnering with the private sector

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The Department of Labour

Department of Labour

Where we are now

Public Private partnership

DoL entered into an PPP arrangement with Siemens on 1 Dec 2002 for 10 yearsSiemens is to

Design, build and run DoL’s IT systemsProvide strategic IT enabling direction

Intentions

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The Department of Labour

Department of Labour

Where we are now

Rationale for partnering with Siemens

Access to local and international skills and expertiseRisk transferUpfront capital investmentCultural fit

Trust relationshipPartnership – more than an outsourcing vendorStrategic ally

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The Department of Labour

Department of Labour

Where we want to be

Transform the nature of interaction with customersSeamless government

Information systems Multiple service delivery channels

Multiple service delivery channels that would enable citizens to access our services at any time and from any location

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The Department of Labour

Department of Labour

Where we want to be

Multiple service delivery channels

Walk-in centresCustomer call centresField serviceInternetKiosksThird party service providers

PHYSICAL TELEPHONE ELECTRONIC-REMOTEONSITE WALK-IN

One-Stop Service Satellite

One-Stop-ServiceLabour Centre Mobile

Satellite

Public InstitutionPrivate Institution

Information Station

Telephone

Self-directedStaff-assisted

Enterprise

One-Stop Service Call-Centre

ATM / Kiosk System

Internet/WWW-Browser

Head Quarter

Service delivery channels

... and tomorrowLabour Services, Citizens’ Expectations

Benefit for Citizenstoday's

situation

Cradle

Career Planning

Training

EmploymentMaternity/UIF

Benefits Retraining/JobPlacement

PrivateBenefits

Grave

Citizens have a full spectrum of Labour Services, anytime and anywhere

Registrations

Declarations

SETA Subsidy & Funding

Worker's Compensation Equity

Statutory Requirements

Dismissals

Businesses use a single around-the-clock portal for all public services

Benefits

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The Department of Labour

Department of Labour

AffordabilityFixed fee

No unexpected IT costs

Upfront investment by service provider

Savings from quick wins

Alignment of IT with Business processesBusiness requirements

Business architecture

Steering committees

User groups

What we have achieved

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The Department of Labour

Department of Labour

Executive involvementGovernance structures

Risk transferDoL – business riskSiemens – solution design risk

What we have achieved

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The Department of Labour

Department of Labour

Single service providerMore than 100 contracts in the pastSBS took over all IT contracts Single point of contact

ProcessPointers

What we have achieved

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The Department of Labour

Department of Labour

What we have achieved

Relationship ManagementThe partnership goes beyond contract managementIt ventures into the area of human trustIntegrity and accountabilityOpen communicationWorking relationship that is characterised by flexibility, commitment, creativity and innovationTeamwork and empowered team members

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The Department of Labour

Department of Labour

What we have achieved

On-line registrationsUnemployment Insurance Fund

New applications supporting service deliverySiyaya:- registration, declarations,claims managementLesedi:- registration of cases ito the BCEASafika:- claims management - COIDA

Centralised IT call deskService levels for IT operations

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The Department of Labour

Department of Labour

What we have achieved

Virtual private networkFirst state department

Enable modern network technologies

Cost effectiveness

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The Department of Labour

Department of Labour

Challenges

Political Buy-inBusiness Processes Change management Contract Management CapacityCommunication

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The Department of Labour

Department of Labour

Conclusion

The PPP - a policy instrument in support of government’s key performance areasResults we intend achieving

Improved access to DoL’s servicesImproved and reliable response by DoLWithin affordability levels

The PPP has the potential to contribute to a vibrant, safe and skilled labour market - -

Social development Economic development

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The Department of Labour

Department of Labour

Thank you

“Partnership in action”

Public Private Partnership