County-to-County Peer Exchange Bert Jarreau Chief Innovation Officer July 19, 2013

Vision: From Education to Solutions County Solutions Advisors

Practice Areas

Proof of Concept

• Technology & Innovation Practice Area o IT runs through all practice areas o Several successful regional County-to-County

Peer Exchange engagements to build upon

• Starting Points o CSAC/CSAC Financial Corporation o Maui County

Business Model Strategy

• NACo created an Innovation Office to extend its services through a strategic consulting service business.

• Initial focus is IT. With a conservative estimate of 2.5% of county annual budgets spent on IT, NACo members represent a very significant $12.5 Billion IT market; but the market is currently fragmented and not organized.

Business Model Strategy • To organize the membership into a connected

marketplace, the Innovation Office will introduce a managed business network, County Innovations Network (COIN). It will: o Network the members o Enable efficient information sharing o Improve overall IT acquisition, through organized R&D,

improved acquisition costs and time to value. o The NACo Application Store, to share existing IT

solutions o Systematic engagement with vendors and their value

chains of partners for new IT solutions

Business Model • Build an online community (COIN):

o Information Exchange to share documents and document consulting engagements.

o Application Store to share existing County IT solutions. o Community Helping Hands to ask questions to fellow

NACo members and corporate thought leaders who have volunteered as "Helping Hands."

o Vendor Zone to engage with vendors and their value chains of partners for new IT solutions. Vendor sponsorships will fund the County-to-County Peer Exchange.

COIN Online Community Structure

Business Model Plan • COIN will be ‘solutions’ focused, with

conversations, member needs and vendor offers organized around solution subjects aligned to NACo members’ interests and focus areas.

• NACo is partnering with Solutionize to operate COIN; Solutionize team has 10+ years of experience in building, managing and growing IT communities with vendors, customers and value chain partners. It provides a networking platform with integrated solution tools that provide standardization and efficiencies for both buyers and sellers.

Business Model Plan • Phase 1 launch is targeted for Labor Day.

During August NACo will engage the charter members and charter sponsors and refine the service and business models for a full roll-out to kick-off in 2014.

• The business model strategy is for 10 key NACo Premier Corporate Members to become COIN Solution Sponsors at no charge, and recruit their key value chain partners into COIN from the launch, with incentives.

Incentives

• For general vendor membership, COIN fees are $2,500 for 2013. The 2013 fee is waived for current NACo Premier Corporate Members, 10 of whom will be invited as Charter Solution Sponsors.

• Each COIN Charter Solution Sponsor will be requested to introduce 10 value chain partners to sign up for Labor Day launch.

2014 Fees

• With 10 value chain partners recruited, COIN Charter Solution Sponsor fees for 2014 will be waived.

• With 5 value chain partners recruited, COIN Charter Solution Sponsor fees for 2014 will be $5,000.

• With 0 value chain partners recruited, COIN Charter Solution Sponsor fees for 2014 will be $10,000.