Toward an organizational E-readiness Model
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خلق اإلنسان من علقأقرأ باسم ربك الذي خلقاقرأ وربك األكرم الذي علم بالق لم
علم اإلنسان ما لم يعلم
صدق هللا العظيم
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Measuring Business Process Maturity while assessing organizational readiness for
e-transformation.
Illustrates a proposed comprehensive model for assessing organizational readiness including business process criteria in addition to other organizational e-readiness billers (strategy, info technology, IT Security and ability to change).
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Introduction:◦ E-Transformation Concept (Technology Enabled Government / T-
Government)◦ Importance Of E-Transformation◦ Need For Readiness Model
Organizational Readiness Model:◦ Model Components (Includes Business Process Readiness)◦ Business Process Readiness Criteria (Illustration And How To
Measure)◦ Inter-Agencies Processes◦ National Level Business Process Management Bureau (NBPMB)
Closure◦ Quick summary for our lecture◦ Conclusion (adopting national readiness model, and national level
NBPMB)
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◦ E-Transformation Concept:
Technology Enabled Government / T-Government
Importance Of E-Transformation
Need For Readiness Model
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• Total Dependency on IT
• IT Impacts on Societies:– Politically
– Economically
– Socially
– Service delivery
• Managerial revolution is running parallel with IT revolution.
• Information / Knowledge societies
E-Transformation: Opportunities and Barriers
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E-Transformation: Opportunities and Barriers
What is e-Transformation:◦ The process of transforming in to an
innovative & effective IT-enabled organization is e-Transformation.
Transformation levels:◦ Government Agencies
◦ Private Sector
◦ Academic institutions
◦ Persons and societies
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• Barriers
– Infrastructural
– Financial
– Organizational
– Legislative
– Security
– Others
E-Transformation: Opportunities and barriers
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Using e-Readiness to facilitate organizational transformation
Source: Aqel M. Aqal.
e-Readiness
Criteria Method
s
Audits
Initiatives Monitoring
Existing
Situation
Barriers
Limitations
Desired Situation
Opportunities
Initiatives (projects)
TrainingInfrastructure
e-Services Change ManagementUncertainties
E-Readiness Concept
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Human Development
Provide Service
Provide InformationUse Information Technology
Generic Capacity
• e-Readiness is the generic capacity or aptitude of the public sector to use ICT for encapsulating public services and deploying to the public high quality information(explicit knowledge) and effective communication tools that support human development «
[WPSR,2003, page 135].
E-Readiness Concept
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E-Readiness Concept
• Human Development– E- Government initiatives classification (UN,
2003)
• Wasteful
• Pointless
• Meaningful
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Specific Criteria (maturity ladder)
Assessment Methods
Conduct Audits
Suggested projects/Initiatives
Monitoring and follow up
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Industry
Readiness
Organizational
Readiness
Community &
Personal
Readiness
Industry
Readiness
Organizational
Readiness
Community &
Personal
Readiness
e-Readiness levels
Source: Aqel
E-Readiness Levels
1. Global
2. Regional
3. National
4. Industries /Business Sectors
5. Organizational
6. Community
7. Person / individual
E-Readiness Concept
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Figure 4.2: National e-Government Readiness
Source: Author
National e-Readiness ◦ Telecom
◦ Banking Sector
◦ Academic
◦ Business Sectors
◦ Legal
◦ Individuals and Society
National e-Readiness billers
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Organizational E-Readiness
• Answering the Question:– What preparations management should provide in order
to facilitate transforming to digital era.
• Org. Readiness depends:– National e-gov model.
– Organization Role in national e-trans.
– Nature of relations with others.
– General maturity technically and managerially.
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Importance of e-readiness model
• Using an e-readiness model:
– Will Help formulating strategic plans based on identified parameters.
– Justify projects and its dependencies
– Upgrading to higher levels of maturity
– Unify criteria to assess and compare readiness
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• E-readiness criteria depends on ideal organization characterized in “learning organization”.
Importance of e-readiness model
• "learning organizations continuously learns through its members individually and collectively to create a sustainable competitive advantage by effectively managing internally and externally generated change"
[Sudharatna & Li, 2007].
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E-Readiness ConceptLayers of readiness
• Learning org. characteristics:
1. Cultural values
2. Leadership
3. Commitment and empowerment
4. Communication, knowledge transfer
5. Employee characteristics and performance upgrading
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Organizational e-Readiness Model
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Organizational E-Readiness Model
Strategy Readiness
Business Process
IT Infrastructure
Culture readiness
(Ability to Change)
IT Security
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Organizational e-Readiness 1- Strategy
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Organizational e-Readiness 1. Strategy
• “Strategic management and transformational leadership style are two key factors that contribute to the success of e-government initiatives”
[Wenbo, 2002]
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• Public agencies with considerable goal ambiguity tend to have a difficult time strategizing and implementing management innovations.
Wechsler et. al. 1997
Organizational e-Readiness 1. Strategy
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Strategy Readiness◦ Ability for strategic planning
◦ Ability to strategic management
1. Organizational structure
2. Functions and services
3. Performance management
4. Informational Model
Organizational e-Readiness 1. Strategy
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1.1 Organizational Structure◦ "Organizational
structure is the way in which the interrelated groups of an organization are constructed. The main concerns are effective communication and coordination" [wikipedia, 2007]
Organizational structure is documented
Communicated and recognized
Covers all activities including ICT
Identify relationships and authorities
Used effectively in HR
Managed OR mechanism
Organizational e-Readiness 1. Strategy
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1.2 Functions and services◦ What products and services we deliver in order to
achieve our strategy.
What Departments are doing
What products and Services they are providing to:
Individuals
Small Businesses
Corporates
Other key stakeholders
Organizational e-Readiness 1. Strategy
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1.2 Functions and services◦ Evaluate functions and services
Are services satisfying and supporting business strategy
Clear responsibilities
Level of Automation
Integration with HR incentive System
Organizational e-Readiness 1. Strategy
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1.3 Performance management◦ Performance management is "a systematic, integrated
management approach that links enterprise strategy to core processes and activities. By providing planning, budgeting, analysis and reporting capabilities, performance management allows the business to be "run by the numbers" and measurement to drive management decisions." [wikipedia, 2007]
◦ Strategic planning can help in managing change through: linking agency strategies with performance measures". [Berry, 2007]
◦ Monitoring progress made toward achieving program goals requires systematic measurement. ICT has facilitated the processing of unprecedented amounts of program data more efficiently than ever before" [Newcomer, 2007].
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1.4 Informational Model
◦ "A high-level roadmap containing software, hardware, and other information technology requirements for health & secured environment managed information systems" [HSE-MIS, 2001].
◦ It’s Part of organization strategy as all stakeholders need to exchange information.
◦ Planning for information provision should be parallel with business strategy.
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Organizational e-Readiness 2-Business Process
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Organizational e-Readiness 2-Business Process
◦ “Collection of activities that takes one or more kinds of input and creates an output that is of value"
[Credit research foundation, 2007],
◦ “a recipe for achieving a commercial result. Each business process has inputs, method and outputs. The inputs are a pre-requisite that must be in place before the method can be put into practice. When the method is applied to the inputs then certain outputs will be created“
◦ [wikipedia, 2007].
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• Evaluation criteria
1. Documentation
2. Effectiveness
3. Performance Management
4. Automation
Organizational e-Readiness 2- Business Process
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Organizational e-Readiness 2- Business Process
• 2.1 Documentation – Base for other criteria– Without documentation there will be no
consensus on what agency staff have to do and how.
– Roles and responsibilities can not be build on undocumented processes.
– Sanctions & decrees are not detailed BP documents
– Organizations should realize and document its business processes in modern and structured way.
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Organizational e-Readiness 2- Business Process
• 2.1 Documentation
1. Availability of a business process committee
2. Availability of updated documentation for all strategic processes
3. Accessibility to documentation for staff
4. Availability of Electronic workflow systems
5. Integration of BPD to human resources roles and responsibilities.
6. Integration of BPD to automated systems.
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Organizational e-Readiness 2-Business Process
2.2 Effectiveness 1. Drivers, initiators, triggers and inputs.
2. Roles and responsibilities in various stages
3. Exceptions and predefined handlings
4. Process controls and related objectives
5. Process outputs in various stages
6. monitor adherence
7. level of support
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Organizational e-Readiness 2-Business Process
2.3 Performance Management – Aims at business process optimization and stakeholders'
satisfaction. – will help agency monitor process effectiveness and find reasons
and ways for enhancement. – BPP could be measured at
process steps (tasks) level or at participant's level in orderto quantify process performanceanalysis.
– Organizations that haveperformance management in place are more ready to transform tolearning org.
– BPP outcomes are valuable inputs to strategy performance
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Organizational e-Readiness 2-Business Process
• 2.4 Automation
– Automation is about obtaining, storing, sharing and exchanging information pertaining to business process.
– Two key criteria to be assessed
• Number of automated steps
• Ability to provide and exchange
data electronically.
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Organizational e-Readiness 3-IT infrastructure and Management
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1. Infrastructure
2. DBMS
3. Applications
4. ICT Management
5. Technical skills
ICT
Management
DBMS
Infrastructures
Applications Skills
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3.1 Infrastructure ◦ Aims at 24x7 Availability
1. Hardware
2. Communication Network
Intranet ، Internet ، Extranet
Capacity Management
3. ICT Facility
Power
ACs
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3.2 DBMS◦ Includes owning accumulated cleansed current and
historical data in normalized databases that covers business information:
◦ Include ability to share and transfer data to web content as firm need to have electronic information to share and exchange with stakeholders.
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3.3 Applications◦ We mean Business applications (ready and tailor made)
◦ Applications replaced ordinary paper based business processes
◦ Applications contains business process and controls
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3.4 Applications assessment criteria
◦ Application functional maturity
◦ Application maintainability
◦ Application Integration ability
◦ Application security
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3.4 Applications assessment criteria
◦ Application functional maturity
◦ level of automation or electronic processing coverage of application to the specific service or function that will be transformed into new means of digitally based service.
Automated steps and exception handling
Accuracy of processing
ability to segregate online services from manual ones
Report the status of online processed requests
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3.4 Applications assessment criteria
◦ Application maintainability
Application documentation.
Availability of Experienced resources.
License agreement that allow modification.
Effective application development and change management life cycle.
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3.4 Applications assessment criteria
◦ Application Integration ability
effectively integrate systems in real time to exchange information in both directions to support transformation
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3.4 Applications assessment criteria
◦ Application security
Assessment includes benchmarking agency against known application security best practices
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3.5 ICT Management◦ E-transformation requires a matured ICT
management due to the expanding role of ICT.
Effectiveness
Efficiency
Confidentiality
Integrity
Availability
Reliability
Compliancy
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3.5 ICT Management effectiveness:1. Structure(Internal and external):
2. ICT processes effectiveness.
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3.5 ICT Management effectiveness:3. Technical skills
many and vary according to the following factors:
Level of maturity of agency's ICT function.
Agency's e-government strategic plan.
The role of outsourcing versus in-house team members.
Available approaches for agency to gain new skills and capabilities.
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ICT functions should develop capabilities in the following key skills:◦ Capable operations staff for systems and networks
◦ Capable database administration.
◦ Programming and software development methodologies
◦ Business analysis and processes reengineering
◦ Software engineering and integration
◦ Security specialist
◦ ICT Quality specialist
◦ Project management skills
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So Far…◦ strategy readiness to ensure being on the right
direction
◦ Business process readiness to ensure doing the right things to achieve goals.
◦ Technology readiness to enable the business.
Change is always a real challenge:◦ Bureaucracy.
◦ Are stakeholders going to accept radical change.
◦ Do they have the same concerns and interests.
◦ They do have varies impacts and influences.
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Ability to change readiness criteria:◦ Leadership
◦ Human resource alignment
◦ Effective communication
◦ Risk Management
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4.1 leadership◦ Leadership was classified as a barrier to e-trans
◦ Transformational leadership elements are included
1. Awareness of e-trans concepts and benefits.
2. Embracement of e-trans
Embracement usually follow
awareness but not necessarily
a result of it
3. Leadership skills
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4.2 Human resources alignment◦ Considered an extension to strategy readiness
Reduce resistance
Protect e-Transformation investment
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4.2 HR alignment criteria includes the following:
1. Dissemination of strategic objectives
2. Job descriptions and Responsibilities
3. Policies to attract and retain skilled workers
4. HR Motivation
5. HR Performance Management
6. HR continuous development
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4.2 Human resources alignment ◦ Realization of strategic objectives
Strategy should be understood by workers at all levels
Workers should know how they contribute to achieve the strategy
Workers should not be left in vague
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4.2 Human resources alignment ◦ Job description (roles and responsibilities)
Organizations with clear roles and resp. are more ready to transform to e-age
Roles and responsibilities must be derived from Org structure.
will facilitate changes mandated by reengineered and automated business processed.
Will also facilitate reassignment of authority, empowerment..etc
check:
Job description completeness
Matching it with existing business processes,
Availability of effective change management for job descriptions
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HR Attraction and retention ◦ There is a need to deal with highly wanted workers
◦ Risk: training workers will make them drain out
◦ Must change HR policies to retain skilled workers.
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◦ HR Motivation
Unmotivated workers can not afford change
Need for national level motivation system
Align workers personal ambitions with e-trans programs objectives
Rewards (personal, organizational and leader)
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HR Performance Management Organization performance depends on HR
HR performance data will help in strategic planning
Monitoring e-trans initiative on HR Performance
This will help restructuring HR to the optimum
Aim: agency will be able to better manage its human capital during and after transformation
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HR Development polices and procedures◦ E-transformation will mandate new skills
◦ E-transformation plans need to be integrated to other HR development plan
◦ Successive Management to sustain success ad continuity.
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4.3 Effective Communication ◦ "People in organizations typically spend over 75% of
their time in an interpersonal situation" [Wertheim, 2007];
◦ Vertical and Horizontal communication:
Disseminate e-transformation awareness
Collaboration between stakeholders
Support Daily activities
Communication is essential part of business process
Replace conventional communication tools with new automated and electronic ones.
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4.4 Risk management maturity ◦ So many threats are threatening e-transformation
Business process controls
IT Security
◦ Will evaluate:
Clear role of risk management
Availability of policies and
procedures
Business continuity plans
◦ Result: more controlled
environment while transforming.
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IT Security is considered as key barrier for e-
transformation
Even successful org. has too much to do to secure its information.
IT threats:◦ Are so many
◦ Diversified
◦ Of high specialty
◦ New threats are coming every day
IT security must be addressed at national level
IT security include many non technical roles
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5.1 Top management realization ◦ Each org. has its own IT Security structure
◦ IT security is tightly related to informational model
◦ Top management is responsible and accountable for IT security.
◦ High level steering committee should effectively follow up IT security
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5.2 Business department readiness◦ Are departments heads and executives aware of
their role in IT security.
◦ Are they participating in data classification
◦ Evaluate access rights management
◦ IT security management structure:
Shared responsibilities
Decision making
Independent audit.
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5.3 ICT function readiness◦ Must afford IT security criteria:
Confidentiality
Integrity
Availability
Will evaluate:◦ ICT awareness about IT security concepts
◦ Current IT security practices (policies & procedures)
◦ Coordination level with other stakeholders.
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5.3 ICT function readiness◦ IT team skills:
Risk Assessment
Impact analysis
Countermeasures
Incident Management
Disaster Recovery
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◦ Current IT security practices:
Protective Countermeasures
Corrective Countermeasures
Best practices (ISO17799 , BS7799)
◦ Assets management
◦ Human resources security
◦ Physical and Environmental Security
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More details are in my book:Available in Arabic and English
http://www.amazon.com/Organizational-Readiness-Transformation-Aqel-M/dp/1479752290