defence e-business strategy - the national...

Defence e-Business Strategy

Defence e-Business Strategy

Reference DG Info/1/30/5

Date 8 November 2000

Cover + 34 pages

Defence e-Business Strategy Page 1

List of ContentsForeword 2

1 Introduction 3

2 Statement of Strategic Intent 42.1 E-Business Old and New 42.2 Vision of Defence as an e–Business 42.3 Identification of Cross-Cutting Relationships 62.4 Facilitation of e-Business Services 82.5 E-Commerce and e-Procurement 92.6 Delivery of Internal Processes Electronically 102.7 Convergence with Corporate Standards and Frameworks 102.8 Next Steps – i.e. plan for fully achieving more comprehensive strategies 11

3 Business Needs and Implementation 123.1 Customer Groups and Segmentation 123.2 Opportunities for Utilising e-Techniques 123.3 Plans for Performance Measurement 123.4 Analysis of Business and Legislative Requirements 143.5 Implementation Processes and Options 143.6 Early Results 16

4 Programme Plan 17

5 Identification of Skills Shortfalls and how they will be Made Up 185.1 Introduction 185.2 Identification of Skills Requirements 185.3 Audit of Existing Skills/Competences 195.4 Identifying the Skills Gaps 195.5 Next Steps 20

6 Risk Assessment 21

7 Institutional Framework 237.1 Roles and Responsibilities 237.2 Other Initiatives 247.3 E-Business Strategy Relationship to Departmental Planning 247.4 Co-ordination with Strategies of Agencies or Other Organisations 24

Annex A Cross-Cutting Initiatives 25A.1 Projects that will impact upon The MOD and Other Specific Departments 25A.2 E-Business Applications which All Government Departments could Utilise 25A.3 Provision of a Range of Information Services relating to a Life Event 25A.4 Skills and Competences that can be Shared across Government 26

Annex B Needs and Segmentation of MOD Customer Groups 27B.1 Customer Groups and Needs 27B.2 Key Customer Segmentation 29B.3 Channel Analysis 29

Annex C Examples of e-Government Related Partnership Projects 30

Annex D Flagship Initiatives Summary 31


ForewordE-Business is now an integral part of many people’s lives. The Information Age revolution,with its new ways of thinking, technological advances and innovative business methods, isopening up new opportunities for all of us, which, if grasped, will enable us to do things wecannot now do. Now, more than ever, the quick, efficient and adaptable will be best placed tosucceed. The MOD, as an integral part of Government, welcomes the new age and commitsitself wholeheartedly to the exploitation of modern technology and business methods. E-Business and Information Management, when correctly employed, offer huge potential benefitsfor the generation of operational capability at less cost as well as improving its overallefficiency. This commitment covers the whole of MOD and not just its central headquarters andsupport functions.

This e-Business strategy is the MOD’s initial response to e-Government. It is being widelycirculated to facilitate open discussion and ensure that external views can be taken into accountin subsequent versions. The MOD’s e-Business strategy relies for its foundation on a frameworkbeing set out in a series of documents that are being prepared to support the overall defencemission in the Information Age. These documents include a high-level information strategy thathas been ratified by the Defence Management Board.

There is no doubt that adopting the way forward set out in this strategy will have a significantimpact on the way MOD discharges its functions as well as offering the prospect for new waysof working for our staff. To achieve the objectives of the strategy, MOD faces a number offinancial, people and organisational challenges, ranging from the integration, harmonisation andrenewal of a large, complex and federated information infrastructure to the deep seated changesneeded in some of its business processes. These changes are being approached positively andwith enthusiasm, and the challenges are being faced realistically. The MOD has much tocontribute to the e-Government programme.

J C T TaylorInformation Age Government Champion

for the Ministry of Defence


1 Introduction1.1 This e-Business1 strategy is made available in initial form to encourage discussion and external

comment. It relies for its foundation on a series of documents that are being prepared to supportthe overall defence mission in the Information Age. These documents are:

• A new Defence Information Strategy2;

• A supporting implementation plan (the Defence Information Plan);

• A new Information Governance Regime.

These Defence documents are designed to shape the information environment and have takeninto account the wider needs of e-Government. This means that this e-Business strategy is aguide on how e-Government is being implemented within the defence arena.

1.2 The MOD’s new Information Strategy is the key to the Department’s overarching response tothe Information Age, addressing all aspects of its mission. Given its intended audience, this e-Business strategy focuses on the public facing aspects of the Department’s activities, rather thanon the direct generation of operational capability3, in particular embracing the new agenda itemsof electronic service delivery, e-Commerce and joined-up Government. The correspondingtargets placed on all departments by the e-Government initiative are summarised below.

Targets:

• 25% and 100% of key dealings with the public and business to be carried outelectronically by 2002 and 2005 respectively.

• 90% by value of all low value purchases to be carried out electronically by March 2001.

• All newly created public records to be electronically stored and retrieved by 2004.

1.3 The Defence Management Board has ratified the Defence Information Strategy. This establishesit in its own right. While the Information Plan and Information Governance Regime will not beavailable until early in 2001, early development of them has influenced this strategy. Since theInformation Plan and Information Governance Regime are incomplete this e-Business Strategyis, of necessity, an initial statement, which will be subject to further iteration and development.It will continue as a living document whose future content and direction will be influenced notonly by developments in Defence and the requirements of the Cabinet Office, but also byexternal comment and advances.

1 E-Business is defined in an inclusive way to cover Electronic Service Delivery. It embraces techniquesavailable from the internet and includes improvements to the process of government (for example by supporting betterpolicy making and increased speed of action) as well as e-Commerce interactions with our suppliers and the use ofadvanced information and computing technology and associated processes within MOD.

2 This is not just an Information Systems strategy, but a wider strategy for MOD’s more effective use ofinformation and associated operational and business processes.

3 This should not be taken as implying that the e-Business techniques do not offer potentially enormousadvantages in the operational area. Indeed the current thrust towards better use of information to support the processesof command and management of the ‘battlespace’ being taken forward through various ‘digitization’ initiatives is verymuch ‘e-Business for the warfighter’. The operational trend is towards a single battlespace in which maritime, land andair forces will be directed, targeted and supported by a new generation of intelligence, surveillance, information andcommunication systems and offers a step change in military capability.


2 Statement of Strategic Intent

2.1 E-Business Old and New

2.1.1 The MOD has been at the forefront of using electronic ways of doing business for some years.Considerable investments have been made in command and control systems, intelligencedissemination systems, and global communications facilities, to support its operational roles anda number of extensive networked administrative and support systems. These investments havebeen underpinned by a very significant Applied Research Programme running at about £40Meach year. However, the current position is one of many federated systems only looselyinterconnected, if at all, and their integration is an essential element of MOD’s e-Businessstrategy.

2.1.2 Until the recent consumer electronics boom and fundamental advances in the underpinninginformation technology, the Defence community often drove the development of suchtechnologies and pioneered their use. However, the latest advances have come from the civilarena with a quickening pace of change. This provides an additional impetus to use thesedevelopments to deliver electronic services to the public and the Defence community, as well asto improve interactions with suppliers. For example, MOD is now moving ahead rapidly withthe implementation of e-Commerce techniques through its flagship Defence e-CommerceService (DECS) project, itself a partnering relationship with industry. It is intended that,building on an initial set of e-Commerce services, DECS will form a key component in theDepartment’s approach to e-Business.

2.2 Vision of Defence as an e–Business

2.2.1 Employees and customers4 alike want to see a modernised MOD, one employees can take pridein and one its customers can rely upon. Successful modernisation has to be an ongoing process,based upon a willingness to adapt and improve. The challenge is for all of MOD to exploit thefull potential of the Information Age, to enable it to fulfil its business and operational needs,improve the quality of its services, and make it a better organisation to work for and deal with;respected, and constantly improving.

2.2.2 The MOD’s sheer complexity and scale means that its transformation from a predominantlypaper-based organisation into an e-Business presents a somewhat contrasting set of challengesto those of Civil Departments, but that the basic tenets MOD will adopt are not unique. The e-Business environment places greater reliance on Information Systems and the need for businesscontinuity planning, a particularly important facet of the Defence arena.

2.2.3 The MOD’s strategic planning processes acknowledge the need for change. The Department isacutely aware of the need to create a modern business environment based upon moderninformation systems and business thinking, and the Modernising Government initiative nowprovides further impetus and direction to UK Defence’s considerable investment in its currentand planned e-Business capability. MOD has recently created a new, forward thinking andforward looking organisation, DG Information, to act as a strong central focus for e-Businessand information issues within Defence.

4 The term ‘customers’ is used as shorthand to denote all those outside MOD to which MOD provides servicesin the most general sense. This terminology, coming from the model of a ‘business’ with ‘customers’ is not entirelynatural in the more complex situation of MOD which combines the functions of a Department of State and ArmedForces that provide the nation’s Defence.


2.2.4 To realise the full potential of the Information Age, and thus e-Business, the MOD’sInformation Strategy and its evolving Information Plan provide the top-level management toolfor driving forward the programme of change necessary to realise the e-Business environment.The Information Strategy is based on three strategic business drivers:

• “Improving the way we command and manage the Joint and multinational battlespace,both now and in the future, exploiting all means, to maximise the capability of the UKArmed Forces to fulfil their tasks as required by HMG within the resources available”

• "Improving the Department’s dealings with the public, with businesses and the widercommunity through changes in working practices enabled by more effective use andmanagement of information and exploitation of available technology"

• “To become a leading information and knowledge-based organisation”

Inherent in these strategic business drivers is the opportunity to use e-Business techniques toimprove MOD’s dealings with its own people and well as its overall efficiency.

2.2.5 Implementation of the Department’s Information Strategy is encapsulated in six lines of action:

• Managing our information better - harnessing improvements in technology to enableDefence to exploit information more fully as a strategic asset.

• Being more joined up - providing a range of information access and exchange servicesthat support greater joined-up working between the constituent parts of Defence, betweenMOD and the rest of Government and with external stakeholders.

• Giving our people the right skills and competences - supporting change through e-Business-biased training and education programmes and developing the organisationalcompetences needed to reap the benefits of e-Business.

• Establishing an information governance framework - realising the roles andresponsibilities within Defence for the implementation of the information strategy.

• Achieving the Modernising Government aims and targets - providing a clear focuswithin the Department for the implementation of the Information Age Governmentdirectives.

• Establishing the appropriate risk balance - ensuring balance between overalloperational and business needs and any further risks that may arise through improvedexploitation of information.

2.2.6 The ‘lines of action’ of the Information Strategy underpin the strands of activity beingdeveloped under the Modernising Defence initiative.

2.2.7 The creation of a single coherent underpinning infrastructure is an imperative for being morejoined up internally and externally, being better able to manage information across MOD andachieving the Modernising Government targets. A coherent infrastructure will be achieved by acombination of migrating some of the existing infrastructure, replacing certain incompatibleelements and installing additional components where necessary.

2.2.8 The major components of this infrastructure will include the Defence Information Infrastructure(DII) programme (see paragraph 4.3), the Defence-wide data network upon which it will behosted, gateway services to link it to the Government Secure Internet (GSI) and the Internet, asingle Defence electronic directory service and a Defence-wide public key infrastructure serviceto provide a well controlled environment for encryption, non-repudiation and authentication of


identity.5 The integration of the underlying infrastructure will then enable an enterpriseapproach to the delivery of business applications and the better use of the information assets.

2.2.9 Achieving this objective will be a significant challenge in terms of brigading resources, settingpriorities, aligning existing programmes and harmonising business processes. It will take timeto achieve, given the scale of the MOD’s activities and its legacy investments, but overcomingthis challenge is fundamental to achieving MOD’s objectives.

2.2.10 A revised information governance framework is currently being developed to outline the rolesand responsibilities needed to meet this challenge. It must balance sensitivity to local businessrequirements and the need to let appropriate innovation flourish, against the need for the centralco-ordination and direction essential to achieve coherency of the whole.

2.2.11 In meeting its Modernising Government aims and targets, MOD will strive to become morejoined-up, not only within its own organisation, including its families, and with the rest ofGovernment, but also with its external customer base. In support of this:

• it will endeavour to lead on driving forward cross-cutting e-Business initiatives, where itis best placed and able to do so;

• it will conduct a systematic review of opportunities for e-Business across all relevantactivities;

• to help improve the services it offers, the future vision includes provision of a range ofelectronic and other delivery channels, so that customers are able to access its services inthe way they are most comfortable with;

• it will offer improved help and advice to customers to enable them to get the most fromthe MOD’s electronic services, and will be responsive to customer and staff feedback andtailor its services accordingly; and

• it will encourage and welcome both technical innovation and opportunities for positivechange.

2.2.12 These measures should encourage prospective and existing customers to use MOD’s futureelectronic services with confidence, and to help the Department promote itself as an efficient,proactive and customer-oriented organisation. In providing Electronic Service Delivery (ESD),the MOD intends to open up service provision to the private sector, where appropriate, in orderto obtain better value for money by stimulating competition, encouraging innovation andimproving service. The key criteria for determining which services are provided to the publicvia ESD will be based upon the combined benefit to the Department and individuals.

2.3 Identification of Cross-Cutting Relationships

2.3.1 The 2000 Spending Review provided positive news for Defence. Work is underway todetermine the precise implications and priorities for e-Business within MOD. Notwithstandingthis, the Performance and Innovation Unit’s Report on Electronic Service Delivery emphasisesthe importance of encouraging new ways of thinking and the importance of pan-Governmentinitiatives. The MOD is committed to collaboration with other Government Departments andorganisations, and recognises that it has a significant contribution to make. In particular thecontribution made by the MOD to business continuity across government should not beoverlooked.

5 The DII and some of its underpinning infrastructure components have yet to receive financial approval.


2.3.2 To fulfil its own roles, and to help other public sector bodies fulfil theirs, the MOD continues tomaintain relationships with a variety of public organisations, thus enabling support and adviceto be exchanged. Illustrative of the relationships are the interactions with:

• … Allied Nations, NATO et al, on force structure, planning, acquisition and operationalinformation;

• … the Cabinet Office, to receive central direction and guidance and to provide advice onDefence related matters;

• … HM Treasury, on matters relating to Departmental funding and expenditure on majoritems, as well as activities in support of HM Customs and Excise such as MODinvolvement in anti-drug operations;

• … the Foreign Office, on providing advice and support to UK Foreign Policy;

• … the Home Office and the Northern Ireland Office, regarding the provision ofmilitary aid to civil authorities and civil power, for example, in support of emergencyservices;

• … the Department of Health, on such matters as the provision of secondary healthcareto members of the Armed Forces and the use of Defence facilities as backup support tothe NHS;

• … the Department for Education and Employment, on matters such as the provisionof educational support to service dependants, both at home and overseas;

• … the Ministry of Agriculture, Fisheries and Food, for example, on protection of UKFisheries;

• … the Department for International Development, on the provision of civil emergencysupport overseas;

• … the Department of Trade and Industry, on issues such as export licenses and thedefence industry;

• … the Civil Aviation Authority, on air traffic control collaboration;

• … individual local government authorities, on a range of topics including local militaryexercises, Defence lands and local emergency support;

• … individual Civil Police forces, on a range of topics including incident reporting,exchanging intelligence, joint operations, transport issues and civil emergencies;

• … charitable organisations, such as the SSAFA-FH and the Royal British Legion onissues of family welfare and families policy; and

• … security agencies to exchange intelligence.

2.3.3 The MOD has identified four categories of cross-cutting issues that have positive potential toimpact upon the implementation of its e-Business strategy. These are outlined below anddescribed in more detail in Annex A. 6

Specific e-Business projects which will impact upon the MOD and other specificdepartments:

• the Knowledge Network;

• GSI interconnection and the MOD Portal on the GSI; and

• the Defence Technology for Health project.

6 It should be noted that several of these programmes are currently unfunded.


E-Business applications which all Government departments, including the MOD, couldutilise:

• e-Procurement;

• MOD e-Learning strategy.

Electronic services that provide a range of information and services relating to a life eventto the MOD community overseas.

E-Business-related skills and competences that can be shared across government, including:

• scenario planning;

• widespread/large scale activities;

• e-Recruiting;

• intelligence;

• acquisition;

• information system integration;

• in-depth technological expertise;

• security (systems expertise); and

• risk analysis and contingency planning.

2.4 Facilitation of e-Business Services

2.4.1 Although most functions of the MOD do not generally involve providing services directly tocitizens, unlike Social Security or the Inland Revenue for example, the Department does have avariety of services which could be provided electronically to the public and business. Thoseprovided currently, or for which MOD has work in hand to provide, can be categorised as:

• Publication of web-based information for the public and industry (the Performance andInnovation Unit’s Report on Electronic Service Delivery recognises that the Webcomprises the most suitable route by which such services can be provided to a broadaudience).

• Individuals requesting services from MOD (such as queries by e-mail).

• Industry services, which may be categorised as:

° interactions such as e-Mail exchange;

° transactions such as electronic ordering and payment;

° collaboration (including shared data environments during major system acquisitionand support).

These e-Commerce-related services are discussed further in section 2.5.

• Subscription services, where information is provided against payment (in particular thatprovided by the UK Meteorological Office).

• Licensing of data and digital products in particular that provided by the United KingdomHydrographic Office.

2.4.2 The World Wide Web provides the primary means by which the MOD can communicateeffectively with the general public, providing the Department with a powerful tool to convey


information quickly and efficiently on a broad range of topics relating to its activities,objectives, policies and programmes. Web-based applications can be used to provide interactiveonline services - two examples (currently under development or in the concept stage) arerecruitment services and online auctions of surplus defence equipment.

2.4.3 The primary, unified starting point for finding UK military information online is the centralMOD Internet website (http://www.mod.uk). It supports the overall mission of the MOD byproviding official, timely and accurate information about the Department and its activities. Thethree Service websites (http://www.royal-navy.mod.uk, http://www.army.mod.uk andhttp://www.raf.mod.uk) perform a similar role for the Armed Forces.

2.4.4 The MOD is committed to making available via the Web the same unclassified information thatit makes available to the general public in printed format. Online publication must be regardednot as an optional extra but as a key element of making published information available to aswide an audience as possible. Clearly, while there is a balance to be struck, MOD’s aim is tomove increasingly towards electronic from paper-based publishing.

2.4.5 There is considerable potential for improving the efficiency and cost effectiveness ofDepartmental activities through the provision of Web-based electronic services. Further workwill be required to identify opportunities for providing services online and the associatedresource implications. This will involve a detailed analysis and quality check of the existingpublic-facing services it currently provides, identifying opportunities for further development,and assessing how each service may best be linked into the UKOnline Portal. Examples ofactual or potential e-services include - recruitment, job searching, and the disposal of excessMOD assets. Some of the services will, in all probability, be based upon significant Life Events.These new services would be expected to migrate to the UKOnline Portal, as appropriate, orindustry specific portals for the Trading Fund Agencies.

2.5 E-Commerce and e-Procurement

2.5.1 The e-Commerce/Procurement component of MOD’s e-Business strategy is fundamental to theDepartment’s objectives. The lead in this area is being taken by the Defence LogisticsOrganisation (DLO), which is committed to the bold target of reducing the costs of providingjoint logistics support to our Armed Forces by 20% by 2005 while ensuring that service deliveryis not impaired and that the quality of associated outputs is improved. E-Business has beenidentified as the key enabler in carrying forward the business transformation that this entails,with a step change in information management capability underpinning the business changeprocess. Investment is being made in the e-environment components of infrastructure andbusiness applications as well as integrating existing components. Business processtransformation is being underpinned by addressing the people related issues of training anddevelopment.

2.5.2 As part of the overall process, industry is being consulted at all levels in the supply chain toensure that they are supportive of the MOD approach.

2.5.3 MOD’s e-Procurement activities are not limited to the DLO. The Joint Enterprise IntegrationTask Force (JEITF), hosted by the Defence Procurement Agency (DPA) is championing thecreation of the e-environment and associated connectivity with our principal defence equipmentsuppliers to support the management of procurement through all phases of the acquisition cycle.A number of Integrated Project Teams are already sharing data electronically with industry onpoint-to-point systems. A current phase of work is extending these links into a secure managednetwork to provide wider defence sector interconnectivity between MOD and industry corporatesystems to facilitate increased data sharing and access to common databases. Identified pilotprojects will operate across this infrastructure, with the aim of deriving benefits by the end of2000. This programme will, in turn, inform a strategy, with associated targets, for an expansionof shared data environments into 2001, with the potential of using DECS as the service deliveryvehicle.


2.5.4 The Office of Government Commerce has set procurement targets for e-tendering by civildepartments (50% of tenders to be sent and received electronically by 2001, 100% by 2002).While MOD may not be able to fully align its programme with the targets for the widerWhitehall community on its civil business – for example due to the classified nature of some thedocuments involved – the vast bulk of MOD’s business with its supplier base is not soconstrained. Work is therefore in hand to propose similarly challenging targets for MOD as awhole by March 2001.

2.5.5 For general stores procurement, the DLO’s Non-Project Procurement Organisation (NPPO) isfirmly targeting the first of its prime vendor contracts to be placed electronically by March/April2001, with the plan for all 24 to be in place by December 2002. While work is still ongoing todetermine the percentage volume of MOD’s business to be captured under these contracts(which will inform the target setting work outlined above), they should take us a long way downthe e-Commerce path.

2.6 Delivery of Internal Processes Electronically

2.6.1 Early analysis has indicated that there are ten broad categories of information used within theDepartment:

• Operational;

• Intelligence;

• Financial;

• Personnel;

• Medical;

• Acquisition (including logistics);

• Environmental (including geographic/topographic, hydrographic and meteorological);

• Research/technology;

• Corporate Communications; and

• Administrative/planning (including policy, strategy and Parliamentary).

2.6.2 These information categories support a wide range of processes within MOD. Currently a largenumber of disparate information systems contribute to the Department’s information base andfacilitate these processes, which are themselves lacking in coherence. Harmonising theseprocesses, and integrating these systems and the various components of underpinninginfrastructure is a critical strand in achieving the Information Strategy. The Information Plan(see section 4) will identify the areas and initiatives on which MOD should focus to deliver thee-Business vision. Given the level of complexity involved and the work in hand, it would not beprudent to preempt this process by attempting to give a detailed exposition of the MOD e-Business plan in this document.

2.7 Convergence with Corporate Standards and Frameworks

2.7.1 MOD is committed to the Government’s emerging regime from the Office of the e-Envoy forimplementing electronic services, particularly the e-Government Interoperability Framework (e-GIF).

2.7.2 MOD has well established mechanisms for developing and enforcing corporate policies,frameworks and standards. These mechanisms have recently been revisited as a result of acomprehensive review, the final implementation of which will be codified by the newInformation Governance Regime that should be endorsed by the Defence Management Board byearly 2001.


2.7.3 The framework and standards for crosscutting information exchanges given by the e-GIF arelargely compatible with current MOD standards. The e-GIF is being fed into MOD technicalpolicy to stand alongside the equivalent frameworks and standards that have been established bythe various international Defence and Security groupings (such as NATO) to which the UKbelongs.

2.8 Next Steps – i.e. plan for fully achieving more comprehensive strategies

2.8.1 This e-Business strategy will evolve through a process of formal and regular reviews andupdates within a management process. The MOD will ensure that the strategy remains viableand current, by involving interested parties both from within the Defence sector, from the Officeof the e-Envoy and other Government organisations- as well as external expertise drawn fromthe academic and business fields, as necessary in its development. Appropriate parts of theDefence Information Plan will support the e-Business strategy, and will comprise a set ofassigned and prioritised tasks, showing time-scales and inter-dependencies. This will enable thebenefits and costs associated with strategy implementation to be ascertained and allow issues tobe identified, prioritised and addressed.

2.8.2 As implementation proceeds, a better defined picture of the emerging Defence e-Businessenvironment will appear, and the MOD will be better placed to assess associated benefits andcosts, and to ascertain whether or not the anticipated improvements in operational effectivenessand overall business performance are being achieved. Successful implementation will dependupon the extent to which MOD is able to resource and actively manage the large programme ofwork.

2.8.3 The first full version of the Defence Information Plan (see section 4) for the implementation ofthe Defence Information Strategy will be available for Department-wide staffing in December2000 and it is anticipated that it will be agreed by March 2001. It will then inform the next,more detailed version of the Defence e-Business strategy, containing top level business modelsfor Defence, both internal and external information flows, laying out the Department’s currentprogramme of initiatives, including those in direct support of e-Business targets, and putforward proposals for additional projects.

2.8.4 DG Information, MOD’s Information Age Champion, will develop and implement aperformance management process to demonstrate the effectiveness of the Strategy and highlightperformance across the programme. The initial e-Business strategy will be published on theInternet, once The Office of the e-Envoy has accepted it, and will also be available to MODstaff. It is a fundamental part of this strategy that comments and observations are addressed sothat it can be improved and enhanced. It is vital that constructive feedback is acted upon so thatthis strategy can be improved and enhanced over time.


3 Business Needs and Implementation

3.1 Customer Groups and Segmentation

3.1.1 The Ministry of Defence has a wide range of customers, from MOD families, includingveterans, to Governments in countries throughout the world that we assist in peacekeepingactivities and the wide variety of training provided to other nations as part of the core task ofDefence Diplomacy. The services we provide encompass peacekeeping, military, diplomatic,business, welfare, and domestic areas.

3.1.2 An initial discussion of customer groups, their information and service needs and theirsegmentation by age and location is given in Annex B. A formal analysis of these aspects hasyet to be completed across all customer groups, but is underway and will be carried out byMarch 2001.

3.2 Opportunities for Utilising e-Techniques

3.2.1 As part of the development of the Information Plan, a top-level business process analysis isbeing carried out to determine where opportunities exist for e-Business exploitation. Thisanalysis includes the identification of appropriate process owners who will be responsible foridentifying potential e-Business solutions that can be integrated into the processes for whichthey are responsible. Although a formal opportunity assessment has yet to be completed, e-Business is likely to provide, or is already providing, opportunities and benefits in all of theinformation areas introduced in section 2.6, as indicated by the following examples:

• Operational: Information bases; geographical systems; workflow; record keeping; etc.;

• Intelligence: Collation; analysis; expert workgroups; information archiving and retrievaletc.;

• Financial: Resource accounting; paying bills etc.;

• Personnel: On-line recruitment; virtual learning; career management; pay and pensionissues; opportunities and appointments; claims etc.;

• Medical: Records; information bases; on-line advice; virtual consulting; specialistsupport etc.;

• Acquisition (including Logistics): MOD/industry collaboration; sharing knowledge andtechnical information; contracting, catalogues, order tracking; scheduling; procurement;stock management etc.;

• Environmental: Weather forecasting; maps and charts; air navigation etc.;

• Research/technology: Online provision of technical information etc.;

• Corporate Communications: Internal/external communications; press releases andpublic information services; corporate call centres etc.; and

• Administration/planning: Information dissemination; virtual team working; electronicdocument management; on-line call management; parliamentary questions and queriesetc..

3.3 Plans for Performance Measurement

3.3.1 The overall performance of the MOD will be in future monitored on a quarterly basis by theDefence Management Board (DMB) using the Defence Balanced Scorecard. This identifies fourperspectives from which the performance of the Department can be assessed:


• Output/Deliverables - Are we delivering what the Government expects?

• Resource Management - How well are we managing our resources?

• Process Improvement - Are we organised as well as we can be?

• Learning and Development - Are we developing our people and organisation for the future?

3.3.2 Within each of these perspectives a number of strategic objectives are identified. The Learningand Development perspective contains the strategic objective related to information:

‘To be a leading information and knowledge-based organisation’.

3.3.3 Performance measurement is vital to focus effort in making the changes and to track progress inrealising this strategic objective. An information and knowledge-based organisation expects tosee the impact of improved information management on its results. This is the reason forinvesting in improved information and encouraging people to treat information as a valuableasset. In principle, achieving this strategic objective should contribute to all round performanceimprovement; the acid test is improved scores in the overall Departmental PerformanceIndicators. The only difficulty with using business results as the key information performancemeasure lies in appropriate attribution.

3.3.4 The metrics that will be used to measure progress against this objective are being refined by theDMB. Evolving targets include the:

• achievement of a joined-up infrastructure for MOD;

• improving the degree of information-based working cross MOD;

• organisational and cultural development; and

• achievement of Government e-Business/ESD targets.

3.3.5 Lower level metrics are being developed in order to provide a clear picture of the Department’sprogress towards achieving the aims of e-Government.

3.3.6 Given the difficulty of attribution, the first generation of strategic information performancemeasures will be based on benchmarks and indicative indicators of overall performance. Thesemay in some cases be soft measures - e.g. staff awareness of key policies and announcements ortime taken to access information services and stores and locate relevant information – buttogether these should provide a performance baseline from which to develop more sophisticatedmeasures. In all cases, explicit links to the DMB's Balanced Scorecard will be a central element.

3.3.7 The operational Lessons Learned process is one means by which the availability of improvedinformation to, and use by, warfighters is measured already.

3.3.8 It will be particularly important to monitor the level of take-up of the services provided and thelevel of customer satisfaction achieved. Different mechanisms will be required to monitor theprovision of services to:

• those within MOD;

• external customers, including OGDs, industry and the public.

3.3.9 The mechanisms for monitoring the provision of services are, in some cases, already in place(e.g. in The Meteorological Office), or are under development. The types of metric beingconsidered include:

• the percentage of interactions with suppliers being conducted electronically;


• the numbers of visitors to the MOD website;

• the percentage take-up of electronic services by the public.

3.3.10 In addition, customers could be expected to provide explicit feedback on the quality of servicesprovided.

3.4 Analysis of Business and Legislative Requirements

3.4.1 The MOD is probably in a similar position to the majority of other Government Departments interms of the legislative constraints imposed on it as it pursues its e-Business vision. An initialview suggests that key legislative areas that MOD, together with other Departments, will needto bear in mind when implementing e-Business include the Data Protection and ElectronicCommunications Acts, as well as the forthcoming Freedom of Information Act. In the case ofthe Electronic Communications Act, it is recognised that legislation is in place to underpin e-Business, rather than deter it.

3.4.2 Where possible, the MOD should endeavour to operate its e-Business as if it was in thecommercial world, but this will not always be possible due to constraints arising from the natureof MOD business, as opposed to legislation. For example, the MOD will still need to retain itsrefined security infrastructure and need for strong procedural controls in some areas, both ofwhich are likely to have a considerable impact on some potential e-Business areas. Other keyissues, though not unique to the MOD, include the need for business continuity planning in theevent of temporary failure of e-Business systems, and the constraints imposed by the MOD’schanging working environment.

3.5 Implementation Processes and Options

3.5.1 Acquisition Processes

3.5.1.1 Implementation of the MOD’s Information Strategy to provide an underpinning e-Businesscapability depends on projects funded both by the centrally sponsored equipment programmeand locally by individual business units. These include projects at widely differing stages intheir procurement cycle7 from those at concept phase through to systems that are already inservice. Each project provides an element of the overall capability. The types of elementsinclude communications systems, computing infrastructures and business specific applications.

3.5.1.2 The MOD’s Smart Procurement initiative has developed innovative new processes, focusingfirst on the procurement of front-line equipment. Smart Procurement Implementation hasnow been completed and is being sustained through Smart Acquisition8, which is emphasisingthe requirements setting and through-life support/service delivery elements carried out,respectively, by the central Equipment Customer and the DLO. In support of the e-Businessenvironment Smart Acquisition is also extending the principles of Smart Procurement to theacquisition of Information Systems and Services and the management of the business changeprocesses they enable (the “co-evolution” of business process and technology upon which the e-Business advance is based). Just as Smart Procurement has introduced the concepts ofEquipment Capability Customers, focused on the requirements for fighting equipments interms of the desired military capabilities they support, leaving the delivery of the solution toIntegrated Projects Teams, the DLO is now pioneering the use of Business CapabilityCustomers and Integrated Business Teams.

7 Cycle times range from a few months to several years, depending on the complexity of the acquisition.

8 Acquisition = Requirements + Procurement + Support (and increasingly Service Provision)


3.5.1.3 Under Smart Acquisition procedures, all investment decisions are based on the development andscrutiny of a formal business case made to the Equipment Approvals Committee (EAC) (ordelegated officials in the case of lower value projects) to seek funding approval. MOD isincorporating in its procedures, albeit in its own form, the business case guidance now availablefrom the Office of Governance Commerce, emanating from the McCartney Report on theimplementation of Major IT Projects across government9. As part of this, solution options areevaluated using cost-benefit analysis that compares the whole life cost of the options against thebenefits that will be provided to Defence, in terms of efficiency savings and improvedoperational capability.

3.5.2 Role of the Defence Information Plan

3.5.2.1 The Information Plan (see section 4 for further details) will act as a framework for thoseengaged in scrutinising the business cases for investment in new e-Business projects. It willprovide an understanding of how the proposed system or system fits in with others, and supportthe evaluation of the extent to which the proposed investment satisfies the objectives of the e-Business strategy.

3.5.3 Wider Market and Partnership Options

3.5.3.1 In order to meet the Department’s e-Government objectives in the most cost-effective manner,the MOD is embracing the Public Private Partnership (PPP) initiative that forms one of thecentral planks of the Government's strategy to modernise public service. “Partnering” betweenthe public and private sectors is one of the central planks of the Government's strategy tomodernise key public services under the Better Quality Services initiative. PPP projects areintended to translate the concept of partnering into practical projects.

3.5.3.2 Defence Ministers have endorsed the use of the Public Finance Initiative (PFI) to provideservices throughout the Department and the guidance given is that projects should considerusing MOD's own capital funding resources only if PFI has been demonstrated to beunworkable, inappropriate or uneconomic.

3.5.3.3 MOD has now signed 35 PFI project contracts with a capital value of over £1.6Bn and a total(discounted) value of over £3.6Bn. A further 70 deals with an estimated capital value of some£10Bn are under active consideration. These contracts are across the complete range of MODbusiness. Specific examples of e-Government related projects that are considering, or haveadopted, a partnering approach are given in Annex C.

3.5.3.4 MOD now has significant experience of operating partnering arrangements in the area of e-Business services and, from this experience, is developing a depth of understanding as to how,practically, the deals should be structured to make them work well for all parties concerned.

3.5.4 Resource Implications

3.5.4.1 In order to realise the benefits offered by e-Business techniques, up-front investment will berequired. This will be achieved by looking carefully at priorities and considering the balance ofinvestment between different areas. The strategy will be used in our internal planning processesto guide our investment decisions in these areas.

9 Successful IT – Modernising Government in Action


3.6 Early Results

3.6.1 Important examples of the early implementation of elements of the MOD’s e-Business strategyare provided by:

• The UK Meteorological Office providing interactive weather forecasting services via itswebsite (currently provided);

• On-line recruiting services provided by the Armed Forces (currently provided);

• DECS project (initial services available shortly)

• JEITF pilots (initial demonstrations October/November 2000);

• Pilot work on Electronic Document Management systems;

• Initial rollout of the MOD Knowledge Network (currently available).


4 Programme Plan4.1 The Defence Information Plan that will incorporate the MOD’s e-Business implementation is

currently under development. It will be based on a detailed exposition of plans for achieving thetwenty-two implementation activities given in the Information Strategy. It will contain thefollowing elements:

• top-level business process map for Defence and allocation of process owners;

• top-level information flows across Defence (internal and external);

• current initiatives, programmes and projects map;

• analysis of gaps and overlaps in current programme in meeting the strategic objectives ofthe Information Strategy;

• issues to be resolved;

• proposed changes to MOD’s programme and action plan by stakeholders;

• performance measurement regime and reporting arrangements;

• maintenance/updating arrangements for the plan.

4.2 As indicated in paragraph 2.6.2 it would be inappropriate to attempt to set out a comprehensiveset of contents at this stage. However, initial programme information (major milestones,benefits dependencies and risks) is given in Annex D for a set of flagship projects that havealready been identified as being critical elements of the delivery of the e-Business strategy.

4.3 These projects fall into five categories:

• Information infrastructure: the Defence Information Infrastructure (DII);

• e-Commerce and supporting ‘back-office’ functions: DECS and the companionDefence Logistics Organisation projects Purchase to Payment (P2P), Defence StoresManagement System (DSMS) and Delivering the Requirement for Unit MaterielManagement (DRUMM);

• Collaborative Shared Data Environments with suppliers for major procurements:piloted through the JEITF initiative, with the intention of then using DECS as the serviceprovision, partnering vehicle through which the lessons learnt from JEITF are turned toadvantage;

• ESD to the public: UK Met Office, UK Hydrographic Office and Services recruiting;and,

• e-Learning: emerging e-Learning Strategy now being taken forward by the DefenceTraining Review.


5 Identification of Skills Shortfalls and how they will beMade Up

5.1 Introduction

5.1.1 The MOD is fully aware of the need to address skills shortfalls in the area of e-Business. In theMOD's Information Strategy the Department has committed to achieving two high level actions.These are:

• to equip people with the right skills and competences to implement the InformationStrategy and hence meet Defence objectives; and

• to formulate an approach to addressing the cultural and behavioural issues associated withinformation sharing, joint working and business process change.

5.1.2 To help achieve these objectives the Information Strategy also commits to:

• identify the skill requirements necessary to implement ESD projects;

• audit existing skills/competences;

• identify skills gaps; and

• develop a training and education programme that enables well-trained and competentstaff to provide the leadership, project management and specialist skills requireddelivering e-Business projects.

5.1.3 The following section outlines the MOD's work to date in completing this process and the plansthat it has to carry out additional tasks over the forthcoming months.

5.2 Identification of Skills Requirements

5.2.1 The MOD is carrying out a range of projects to try and identify the skills requirements for e-Business in the MOD's specific context. Central to this thrust is the work of the MOD Trainingand Development Study and the Defence Training Review (in particular the Skills for theInformation Age (Defence) framework, which has been mandated by McCartney). Supportingefforts are being provided by:

• utilisation of the e-Business Skills Assessment Toolkit issued by Office of the e-Envoy tohelp identify the core skills required for e-Business projects;

• single Service initiatives to satisfy requirements for personnel with appropriate CIS skillsand competences (e.g. Naval CIS Manpower Planning Project - NCMPP);

• existing functional competences and related mechanisms (e.g. Head of Profession) forCivil Servants; and

• cross-Departmental work on e-Business skills, with the MOD's IT Head of Professionrepresenting MOD interests.

5.2.2 The MOD recognises there is still much work to be done in this area. The Department alsoaccepts that some skills and competences will only be identified through experience. However,the work carried out to date has revealed that the following skills will be of particular relevancewhen implementing e-Business in the MOD's context:

• change management skills;

• the effective use of information in combat;

• information security management expertise;


• exploitation of technology opportunities (technology scanning);

• programme and project management competences (particularly for large scaleassignments); and

• commercial software implementation skills

5.2.3 The last of these skills derives from MOD’s objective to utilise commercial off the shelf(COTS) software and so minimise the requirements for bespoke training. Given these objectivesthe skills emphasis moves from technical programming ability to software implementationskills.

5.3 Audit of Existing Skills/Competences

5.3.1 For the purposes of this review the MOD Directorate of e-Business, working with stakeholdersfrom across the MOD, has carried out an initial assessment of the Department's existing ESDskills utilising the e-Business Skills Assessment Toolkit.

5.3.2 The detailed findings of this assessment have been submitted separately.

5.4 Identifying the Skills Gaps

5.4.1 The initial Skills Assessment audit, which uses a "traffic light" system to represent areas ofstrength and weakness, revealed the following key points.

Technical Skills

• Collectively, MOD staff currently possess significant amounts of deep technical skills.These are supported by, amongst other things:

° an information systems career specialism within the civil service, comprised ofover twenty separate IS functional competences;

° a strong and growing cadre of professional project managers to support, forexample, Smart Acquisition;

° Armed Forces Signals Regiments;

° in-house and externally sponsored information training to Masters Degree andbeyond;

° in-house (currently) extensive research capabilities (e.g. DERA).

• Not all skills are deployed effectively, with many highly qualified individuals appointedto non-information roles;

• The MOD possesses a strong centre, which maintains extensive management processes,polices, standards, methods, advice and guidance to direct and inform its informationsystems lifecycle;

• The MOD has a strong and growing relationship with key suppliers of informationcapabilities, including extensive partnerships and supply contracts with market leaders inmanaged service, consultancies and ICT solution suppliers;

• The MOD currently successfully sustains thousands of ICT systems in support of itsoperational and business processes, some at the cutting edge of technology (e.g. weaponsand communications capabilities);

• There are concerns about the overall trend in the wider information skills market placeand the ability to attract and retain those skills in growing numbers into the MOD andArmed Forces. On balance, noting current and traditional strengths and the initiatives intrain, the workshop took the view that in most areas technical skills should be in the


"GREEN", but that this may go "RED" if the current and planned actions fail to achievethe desired outcomes.

Business Skills

• In general, the assessments identified more potential areas of weakness in the businessskills needed to lead, own and exploit the benefits of the information age. Noting thegeneral overselling and underachievement of ICT, there was still a view that the businesshas too often left it to the specialists.

• From this general position, and noting again initiatives to address this issue, there wasconcern that the increased demands on the business of the information age would exposeshortfalls in the necessary skills and experience needed to meet fully the challenges.

5.5 Next Steps

5.5.1 The Defence Information Strategy demonstrates top level commitment to address the skillsrequirements in the MOD for the information age. Strategic ‘line of action’ 3 (Giving ourpeople the right skills and competences) provides the framework within which these issues willbe addressed, and existing initiatives, in particular the Defence Training Review (DTR), willprovide the vehicles for taking forward detailed actions. The e-Business Skills AssessmentToolkit, aligned to the emerging models of the DTR will be re-used on a regular basis tomeasure the effectiveness of MOD's response.

5.5.2 Work is underway to equip our Human Resources (HR) branches with modern InformationSystems to help us better manage our people. Not only are we planning to update the personnelmanagement practices of the HR practitioners, but also to allow staff to interact with and use theHR Information Systems themselves. This will allow them to manage their careers and CVs,identify development needs and opportunities in e-Business-related areas as well as others.


6 Risk Assessment6.1 In any new undertaking there are always uncertainties and associated risks which can impact on

the ability to meet objectives. There are also constraints that, unless effectively managed, canpotentially provide barriers to the success of the initiative. The move by the MOD to exploitinformation to improve its business processes has a number of inherent risks due to the all-encompassing nature of the initiative, touching all parts of the organisation at a fundamentallevel and due to the rapid rate of progress in the enabling technologies. It is critical that the key-risks are identified and steps put in place to mitigate their effect.

6.2 The key risks to the Department’s information strategy are discussed below:

• The need for change in working practices. In order to realise the benefits offered by theimproved use of information, changes to the Department’s culture and workingpractices/environment will be required to enable staff to operate in a more open andflexible way with a greater level of interaction with external organisations and the public.Changing the culture of any organisation is difficult and will take time. There are risksthat unless this change is managed effectively the anticipated improvement in businessprocesses will not occur.

• Security risks. Increasing the Department’s reliance on the effective use of informationand the connection of systems into a larger and more diverse community of interests willpotentially increase security related vulnerabilities. These may be due to enemiesconducting attacks on our information systems or more general threats, all of which maylead to compromise of the confidentiality, integrity or availability of information. Thesecurity measures required to counter this threat may themselves introduce a risk to theinformation strategy, although the change from a ‘risk avoidance’ to a ‘risk management’culture currently being implemented through the Security Structures Review and otherinitiatives should enable business owners to establish an acceptable level of securitywhile embracing the opportunities offered by e-Government. The greater dependence oninformation technologies will increase the need for business continuity, reversionarymodes of working and resilience. In the operational area, the Defence Crisis ManagementOrganisation has a role in the high-level management of risk.

• The recruitment, training and retention of skilled staff to support informationrelated activities. The Department requires staff skilled in the effective management ofinformation and the exploitation of technology, who can be deployed on operations inorder to achieve the aims of the strategy. Staff with such skills are in short supply and arein great demand from commercial organisations.

• The effective management of the delivery of IS projects. It is recognised that withinthe public sector, the track record of delivering IS projects has not been good. WhilstSmart Acquisition will play a significant role in improving matters in the future, thereremains an element of risk that the projects which enable the MOD’s InformationStrategy will not deliver the required capability to time and on budget. This is particularlytrue in the short term as legacy systems continue to impose constraints within which theprocurement of new systems must take place.

• The provision and approval of adequate funding to implement the programme. Inorder to meet the Department’s strategic information objectives, significant investment inthe enabling technologies will be required. Whilst it is intended that the projects that willdeliver the technology will be largely funded from within the Department’ current budget,there is a risk that these funds will prove inadequate to provide both electronic servicedelivery to the public and enhancement to military capability. Significant re-brigading ofcapital and running cost resources with a consequential impact on financial delegationwill also be required in order to deliver a coherent information programme.


• The lack of sufficient central guidance. In order to achieve joined-up government it isessential that the information strategies adopted by the MOD and other governmentdepartments are as consistent as possible, taking into account the differing constraintswithin which the Departments operate. There is a risk, that without firm central guidanceand direction, inconsistent approaches will be adopted with the result that the benefitsoffered by the e-Government initiative are not fully achieved.

6.3 One of the ways in which the MOD seeks to reduce risk to future projects is by taking aproactive approach to project evaluation, encapsulated in its Learning from Experience (LFE)initiative. LFE is a mechanism whereby positive and negative lessons learned from past orcurrent projects can be formally recorded and fed back into the overall procurement process, inorder to improve the performance of future projects and, where possible, to influence currentprojects. All large equipment projects are required to conduct a post project evaluation thatprovides input into this process. Lessons are also drawn from reports issued by the NationalAudit Office and MOD’s Directorate of Internal Audit. The output from LFE is provided todefence users via the Acquisition Management System web-site.


7 Institutional Framework

7.1 Roles and Responsibilities

7.1.1 Delivery of the e-Business strategy is an integral part of the delivery of the Defence InformationStrategy. As such, the e-Business strategy and its associated change programme will be ownedby the DMB and managed on its behalf by DG Information as the MOD Information AgeChampion. The Defence Information Plan developed by DG Info will be the primarymanagement tool for establishing coherence between initiatives and for monitoring progress inthe implementation of the Defence Information Strategy. Progress against the Plan will form thebasis of reporting, both internally within MOD and for judging the degree to which the strategicbenefits are being realised.

7.1.2 Internal reporting will be according to an information performance management regime beingdeveloped and implemented by DG Information, to demonstrate the effectiveness of theStrategy and highlight performance across the programme. The performance measures includedwill explicitly include the Department’s performance against the e-Government targets.

7.1.3 Within DG Information the post of Director e-Business has been created to lead on the specifice-Business aspects of the Defence Information Strategy and act as the co-ordinator for widerDepartmental e-Business activities. Director Information(Exploitation) has responsibility forinformation content and handling with a diverse portfolio that includes Library Services,Freedom of Information; Data Protection; Public Records; and generally the practical aspects ofinformation management. The Director Information(Strategy & Planning) post has overallresponsibility for the Defence Information Strategy, supporting the Information Plan and thedevelopment, in conjunction with DGMO as appropriate, of a comprehensive InformationGovernance Regime for Defence, taking into account:

• the Modernising Defence and the Information Age Government initiatives;

• organisational changes flowing from the Strategic Defence Review and SmartProcurement Implementation; and

• Smart Acquisition principles.

7.1.4 Other elements of the MOD organisation with responsibilities that significantly support theimplementation of the Information Strategy are as follows:

a. Assistant Chief of Defence Staff (Operations), in his role as the lead for Command andBattlespace Management development, is responsible for improving the way wecommand and manage the Joint and Multinational battlespace in future;

b. Capability Manager (Information Superiority) is responsible, as a member of the JointCapability Board (JCB), for achieving coherence for all Information Capabilities acrossthe Equipment Programme; irrespective of original sponsor;

c. Director General Security and Safety defines security policy (including informationsecurity and information assurance policy);

d. the Defence Communication Services Agency, as part of the Defence LogisticsOrganisation (DLO), is to provide and operate the core of the UK Defence InformationInfrastructure; including common and enabling services. It also manages the entireinfrastructure, world-wide;

e. Director General Management Organisation is responsible for improving Departmentalmanagement and organisation, supporting the implementation of change and pursuingincreased Departmental efficiency;

f. the development and maintenance of service personnel skills is the responsibility of thevarious Service Heads of Personnel, the Defence Procurement Agency, DLO and the


Single Service Chiefs, with Deputy Under Secretary (Civilian Management) andindividual MOD branches having joint responsibility for developing the skills of civilianpersonnel;

g. each of the Single Services and the other major business units of MOD have, or are in theprocess of appointing a Chief Information Officer to support DG Information in his roleas Information Age Champion.

7.1.5 A number of the business units or their Agencies within the Department have responsibility fordelivering elements of the overall e-Business strategy (for example the DLO through its DECSinitiative). Co-ordination of these activities has been enabled by a new Defence InformationReference Group under the routine chairmanship of DG Information to provide an enduringtwo-star source of advice for DG Information. Implementation of the strategy will be facilitatedusing a one-star stakeholder reference group, chaired by the Director of Information (Strategy &Planning).

7.2 Other Initiatives

7.2.1 The MOD have been actively engaged with the McCartney review of Major IT projects acrossGovernment since its inception; working initially as part of the study team, and latterly with theOffice of Government Commerce, Cabinet Office, Office of the e-Envoy and others in takingforward the report’s recommendations. The MOD’s approach has been to integrate the thirtyMcCartney recommendations into current and evolving management processes and practices,whilst continuing to work with others across Government to share MOD’s experience. This isespecially true in the areas of information systems acquisition (e.g. Smart Acquisition) andbenefits realisation (e.g. providing input to the OGC work on developing business cases).Further integration has also been achieved by the introduction of peer reviews prior to award ofcontract for all major IT projects as part of the MOD’s Equipment Approvals Committeestaffing process, and the increasing identification of Senior Responsible Owners.

7.2.2 The MOD’s new Information Strategy and Implementation Plan reinforce our commitment toimplementing McCartney, and provide the mechanism through which progress can bemonitored and improved performance measured.

7.3 E-Business Strategy Relationship to Departmental Planning

7.3.1 The Defence Information Strategy will become a component of the Defence Corporate Plan. Itis therefore positioned at the heart of the MOD’s strategic business and operational planningprocesses and will both inform, and be informed by, the strategic management processes ofDefence. This intimate relationship will ensure that MOD’s e-Business strategy, which relies onthe overall Information Strategy, is able to influence key decisions on investment propositions,business and operational priorities as well as ensuring the Modernising Government informationagenda is fully implemented within the MOD.

7.4 Co-ordination with Strategies of Agencies or Other Organisations

7.4.1 The new Defence Information Strategy requires lower level strategies to be developed as part ofa coherent framework throughout Defence. As well as reflecting overall Defence informationneeds by being part of a coherent set, lower level strategies are also enjoined to be developedboth as integrated components of local business strategies, to ensure they reflect the localbusiness needs and priorities. Compliance of lower level information strategies to the needs ofcoherence and connection to business plans will be tested by DG Information in his role ofapproving lower level strategies. As well as policing compliance, DG Information will alsoprovide policy advice and guidance, and disseminate best practice, to assist the development oflower level strategies.


Annex A Cross-Cutting Initiatives

A.1 Projects that will impact upon The MOD and Other Specific Departments

A.1.1 Electronic based links between the MOD and several other departments and agencies have beenin existence for some time, but to improve its links across Government, several new initiativesare being driven forward, including:

• The Knowledge Network – the leader among several MOD pilot projects to developelectronic information management.

• GSI Interconnect - aimed at improving connectivity between Defence systems and theGovernment Secure Intranet (GSI), and enabling improved interdepartmental working.

• MOD Portal on the GSI - will help to give other departments a clearer understanding ofthe work of the MOD, and support further interdepartmental working.

• The Defence Technology for Health project – is a good example of the way in whichdefence technology can be used to wider effect, bringing together health expertise anddefence technologies to develop remote medical services for use on the battlefield and inthe NHS. Whilst there are Tele-medicine systems in operation in the UK, the project willestablish a new capability for research and development in this area. It will also developnew healthcare applications. The project is expected to improve patient care, providesavings for Government (particularly for the NHS) and provide export opportunities forUK industry.

A.2 E-Business Applications which All Government Departments could Utilise

A.2.1 There are several e-Business applications and channels that fall into this category. In somecases, the MOD could possibly take on a leading role where the level of its activity in the areameans that it can fully test applications and demonstrate the benefits that can accrue. Examplesare:

• e-Procurement - which is already being implemented by the Defence E-CommerceService;

• MOD e-Learning strategy – an emerging initiative which addresses how the primarytraining needs of the individual for learning and development and for support inperforming their role (job), may be achieved through a variety of learning facility optionsand can be delivered through a number of channels; electronic and traditional. Thelearning may take many forms e.g. a course, reference material, the WWW, tutor support,etc. but the key point is that it can be found within a single ‘portal’ and the individual isguided and ‘managed’ throughout.

A.3 Provision of a Range of Information Services relating to a Life Event

A.3.1 In many locations, abroad for example, the MOD community is a microcosm of wider UKsociety. Communities such as those based in Cyprus and Germany experience the full range oflife events experienced by the rest of society. Providing ESD to Service families overseasrepresents provision of ESD to the general public. The MOD can achieve this by learning from,or becoming partners in, related ESD projects being carried out elsewhere in Government, andwhere necessary, championing the use of new technology and practices.

A.3.2 Special conditions may apply to MOD Service men and women and their families whenaccessing public services, and these often relate to the unique lifestyle which MOD staff andtheir families lead. For example, living abroad for extended periods can disrupt or affect thepublic services delivered by Government departments, including, say, claiming benefits;


residency requirements for school and university admissions, grants and student and loans. It isimportant that these conditions are considered when the Government departments involved –e.g. DSS, NHS, DFEE etc. develop their ESD solutions, and that they ensure that theGovernment information they publish electronically (for example, in conjunction with lifeepisodes) takes the needs of service life into account.

A.4 Skills and Competences that can be Shared across Government

A.4.1 The MOD has a range of specialist skills, competences, tools and methodologies, some of whichmay be of use in enabling ESD across Government. Where appropriate, the Department iswilling to offer its expertise to help other departments, and would welcome assistance fromother departments who have expertise in other areas. Some of the areas that the MOD hassignificant expertise in include:

• scenario planning;

• widespread/large scale activities;

• e-Recruiting;

• intelligence;

• acquisition;

• information system integration;

• in-depth technological expertise;

• security (systems expertise); and

• risk analysis and contingency planning.

A.4.2 MOD has aspirations to work with OGDs and public sector organisations to develop relevant e-Business solutions in conjunction with Local Authorities. The MOD often needs to consultwith local authorities on topics such as low flying, road transport issues, training activities andenvironmental issues. The MOD recognises that the quality of such consultation could well beimproved if carried out electronically.

A.4.3 The MOD’s Regional Policy Unit strives to inform individual local Government RegionalOffices (GROs) prior to announcing any decision that may affect the MOD’s presence in theirareas. The MOD values these links and wishes to strengthen them through greater use ofmodern electronic facilities. As part of its Modernising Defence programme, the MOD iscreating an External Relations Unit to provide an interface between the Department and externalcustomers, utilising electronic links as necessary to improve its performance and the quality ofits services.


Annex B Needs and Segmentation of MOD Customer Groups

B.1 Customer Groups and Needs

Customer Group Needs

Defence of UK and overseas territories, people and interests.

Strengthening of international peace and security.

To be kept informed on MOD commitments, operations andexercises in the UK and overseas, and to be able to feed backopinion.

To learn about the purpose of the MOD and how we fulfil it.

The MOD to enrich society, communities and the environmentby developing relationships with local communities andcharities.

Access to MOD historical and current records for academicresearch, general interest and tracing family history.

Access to specialist services such as weather forecasts, shippingnews available through MOD agencies.

UK citizen

Access to recruitment services for entry into Forces or civiliansector.

Welfare support to MOD families, service personnel andveterans.

Housing, schooling, medical and other welfare support for MODfamilies and personnel overseas.

Information support for MOD families, including veterans,worldwide.

Ministry of Defencefamilies

Ability for MOD families to contact service personnel onoperations in the UK and overseas.


Business information and knowledge tools and assets.

Personnel support and career development.

Ministry of Defencestaff

Through-life learning.

Communicate with the MOD to share knowledge and expertise.Other GovernmentDepartments

Join up in cross-Department activities, such as humanitarian aidefforts with Department for International Development.

Co-ordination of peacekeeping and humanitarian programmes.Non-governmentorganisations andcharities Share knowledge and expertise.

Communicate with the MOD to share knowledge and expertise.

Join up in international operations, exercises and developmentprogrammes, such as UN and NATO missions and exercises.

Operational planning, consultation and intelligence.

Joint procurement and logistics activities.

Commercial, financial and legal information and transactions.

Allied and othernations

Training.

Develop business relationships in military procurement andthrough-life support of equipment.

Industry andsuppliers

Quick and efficient business processes to conduct business inaccordance with Smart Acquisition and Just-In-Time principles.

Information on UK and overseas military and non-militaryactivities, and assistance in gathering information.

Media

Protect and support of overseas journalists, especially in civilunrest and war.

Non-DepartmentPublic Bodies

Communication on MOD commitments and activities.

Parliament Parliamentary enquiries, questions, and committees.


B.2 Key Customer Segmentation

B.2.1 In order for the Department to provide services that make it easy for our customers to interactwith us we need to understand where our customers are and what channels they would prefer touse. The MOD’s customers have access to a wide variety of channels through which they caninteract with the MOD. These channels may include e-mail, digital interactive TV, thetelephone, Intranet, Internet, and video conferencing. We have already started to respond to thisby providing services along these channels, and will continue to develop services electronically.

Customers by age range

B.2.2 Citizens and MOD families, who interact with the Department, are of all ages. Some of ourservices are used by people in narrow age ranges, such as recruitment services that are aimed atyoung adults. Our other customer groups are made up of adults at various stages of theirworking and voluntary careers.

Customers by location

B.2.3 All of our customer groups include locations in the UK and overseas, and show the globalnature of the services we provide.

B.3 Channel Analysis

B.3.1 The range of channels to which UK citizens have access varies according to demographic,regional and income factors. A study commissioned by the Cabinet Office10 into the take-up oftechnology found the use of the Internet by the general public was greatest for the young, peoplein full-time employment and in the A to C1 social classes. Some of our electronic services aretargeted towards young adults, e.g. online recruitment by the Forces, and receive a good level ofuse.

B.3.2 The Department provides a wide range of services to MOD families. Some of these services areprovided electronically, such as e-mail services (including the “electronic bluey”) available tosome service personnel posted overseas to keep in touch with their families.

10 “Achieving universal access”, Booz Allen Hamilton, London, 7 March 2000


Annex C Examples of e-Government Related PartnershipProjectsSpecific examples of e-Government related projects that are considering, or have adopted, apartnering approach include the:

• Defence Fixed Telecommunications Service (DFTS) which is an MOD-wide initiative torationalise the means of delivery of Wide Area Network (WAN) fixed telecommunicationsservices within Great Britain, as well as certain services in Northern Ireland and Germany.Following a detailed competitive procurement, MOD selected INCA, a consortium led byBT, to implement and operate DFTS, under a ten-year Private Finance Initiative (PFI)contract let in 1997.

• Defence Electronic Commerce Service (DECS) which is likely to be the largest and mostsignificant e-commerce system in Defence. DECS will provide MOD with an electronicmessaging system with industry so that orders can be placed electronically. The system hasrecently been launched under a PPP arrangement and will use the flexibility in thecontracting arrangement to develop the DECS capability incrementally with the system overtime evolving into an e-Business-trading environment.

• Defence Information Infrastructure (DII). One of the key projects that will enable theimproved use of information within the MOD is the Defence Information Infrastructurewhich will provide Defence users with common IT infrastructure. The project is currently atthe concept stage and in developing the procurement strategy, various arrangements will beconsidered including a new Private Finance Initiative. Any existing PFI/PPP or conventionalcontract arrangements will need to be considered in the context of the overall DII plan. Thelength of the agreement and scope for changes that can be agreed by all parties is ofimportance.

defence e-business strategy - the national...

Documents