Innovation as Leadership in LG
Context
• Innovation: better solutions that meet new requirements………….new ideas
• Improvement: doing the same thing better (business as usual/best practice)
Revolution: Typing, taking photos ……times 1000
Innovation in Government• Federal
• State
• Local
…………is generally slow at some levels
FOLG background• LG is the most complex service business on earth: 150 but the
same
• LG is too busy reacting and regulating to be strategic, so other levels of Govt. make all the big decisions (BAU)
ContextCouncils are currently facing a number of major challenges including:• A new regulatory regime demanding a minimum standard of performance• Publicly available comparative performance information• Rapidly escalating community expectations and increased media scrutiny • A freeze on Grants Commission allocations and reduction in other Federal $• The prospect of rate capping• Road funding changes under development• Criticism about the lack of integration of Council plans • Challenging political environments• Skills shortages and ageing workforce• The shift to digital government• Implementing the recommendations of recent VAGO investigations > all resulting in ongoing threats to Council services and sustainability.Across the sector Councils will need to adapt and innovate to remain viable and relevant to their communities.
Old and new• Councils continue to do things 79 times: duplication/waste• Commonwealth funding for LG is reducing• Most Councils can’t scale the ‘Digital Divide’
– Individual Councils don’t have the resources to leverage t• Old: each Council does its own thing
– LG costs rising rapidly– Community expectations not met– Many councils not sustainable– Growing scops of LG activities– Ad hoc collaborationOutcome: intervention/amalgamation
• New: collaborate and innovate or die– All Councils are essentially in the same business
• But how to deliver?– Issues of change management and organisational culture
FOLG• We need to articulate what the future of LG looks like or others
will do it for us• The world is transforming into a networked collaborative society• LG needs to align itself with the global push for reform and
productivity• We need to do more with less• LG needs to lead change or have it imposed: we need to decide on
our future game plan
Community Budgeting– “There’s no city in the world where it is business as usual anymore”– Kathy Alexander, CEO of the City of Melbourne is putting the word out
on Council's first people's panel that will decide how the City will allocate its budget for the next ten years.
FOLG Summit: propositions Commission of Inquiry into Rewiring Public Services to Improve Community Outcomes: Propositions from the Commission
1. Local Government will take control of its own destiny and stop playing the victim and stop cap in hand whingeing behaviours
2. In future, budgets (negotiable elements) should be set by using crowd- sourcing methodology to determine priorities and services for the year.
3. In future councils will work collaboratively for delivery of back office services via shared services arrangements.
4. In future councils will exercise leadership with other tiers of government in a whole system approach.
5. The sector makes a commitment that every council in Victoria will be financially successful within 4 years and will make a collective commitment to achieve this
6. Councils will commit to moving to IT that is designed to enable genuinely transformative change.
7. Local government will play a leadership role in identifying new business models to transform the delivery of public services in a way that uses far less resources
The challenge is to respond ahead of the curve
If local government don’t respond, other levels of government will –and hasn’t that always been the issue?
…………BUT not addressing local community priorities
Example Application Map 2008 Internet
Harmony(Family Day
Care)
Valuation Database
AutoCAD(CAD)
MYOB
Titan Security(BuildingAccess)
Loan Register
Phone Extension
Listing
Fire Infringement
Notices
Disability Parking
Coach Tours
Car Parking Appraisals
Key Register
Food Stall Permits
Emergency Response Register
Building Maintenance
Risk Register
Who’s In
Waste Management
WorksPermits
Sextants Register
(Yea Cemetery)
Stems Septic Tank Database
Roadside Mapping &
Species
Moloney Asset Management
Planning Permits &
Compliance
Planning Permit Conditions Monitoring
Routine Maintenance
Rubbish Bins
GravelRe-Sheeting
ProgramKey Register
Roads to Recovery
Road Register
Bridge Inspection
System
Extra Works Major Bridge
Works
Linemarking Pavement
Renewal Program
Drainage Renewals & Upgrades
Footpath & Kerb Renewal
Programs
Sundry Debtors
Fuel Usage
Footpath Inspections
Playground Inspections
Staff Training
Approved Sub Contractor Register
Works Schedules
Open Space Register
Financial Statements
Loan Repayments
Home Maintenance
Model Accounts
Lease Register
FringeBenefits
Investments Register
Wages Budgeting
Greenhouse Gas
Calculations
Terminations
Trust Register
Maternity Leave
Calculations
Back Pay Calculations
Payroll Spreadsheets
Work CoverSuperannuation
Rate Certificate Register
Septic Tank Register
Infromax(Building
Maintenance)
Septic Tanks
IRIS(Maternity & Child
Healthcare)
Crystal Reports
Image Library(Mapped
Drive)
Vision Super(Superannuation)
External Org.
ATO
External Org.
Manual Exportfrom Payroll
Corporate System
Accounts Receivable
Records Register
Building Control
Payroll
Property Management
System
Rating
Accounts Payable
Statutory Planning
Financials
Harmony(KL Early
Learning Centre)
Sharikat Khoo(Home &
Community Care)
BIS(Mgt. Reporting & Budgeting)
Animal Control
I-Services(CRM)
Health Admin.
§ Planning§ Building Control§ Animal Control§ Health§ Rates & Property§ Asset Register§ Names & Addresses§ CRM
Employee Kiosk &
Online Leave
Contract Register
Manual File Upload toProperty & Rating
Sesame(Valuations)External App.
Mobile Phone Usage
Land Line Usage
ManualExport / Import
ManualExport / Import
Manual File Transfer
BRSS Telstra Electronic Billing
External App.
Manual Exportfrom Payroll
Asset Register
Trust Register
Bank Reconciliation
Receipting
Estimates
Inventory Control
Hazard & Injury Register
Committees of Management
Certificates
Plant
Bank(Bank Online)
External Org.
Playgrounds
Trees
Bridges
Toilets
Manual LayerUpdate Nightly
Storm Water Data
MapInfo / Easimaps
(GIS)
State Government(Map Data)External Org.
Scheme Amendments
Asset System
Road Asyst(Road
Maintenance)Capital Editor
Footpaths GIS
Manual File Transfer
Manual File Transfer
Credit Cards
Monthly ManualUpload
WebFleet(Fleet
Management)
Australian Child Immunisation
Register
Internet(WebComm
Hosted Externally)
Business Directory
Community Directory
Secure Pay
Intranet(WebComm
Hosted Internally)
EventsBooking Calendar
Here’s the thing• State and Federal Governments are planning for
Digital Government (Victoria: 1 ‘pipe’ for LG)• When LG does nothing, others will decide. LG will
then– complain– react– report – shave costs, fine tune
• BUT, when LG leads, others follow
67%
4%
25%
4%
1. Yes
2. No
3. Partly
4. Unsure
change in the next 5 to 10 years?Does Local government require transformational
Co-designplanning
Technology enabled
opportunities
Place based delivery
Councils Leading Change
Council-centric decisions
Fragmented resourcing
Service costs are rising
LG at the crossroads
Leading for future success
Colugo at the cross-roads
Where we need to be – Councils of the Future
Where we are now– business as usual
Performance and financial
challenges
Ad-hoc collaboration
Two speed LG
Increasingcommunity
expectations
Poor spatial awareness
Strategic regional
collaborations
Community driven
participation
Broker of key services
Adaptive Community
cultures
LG at thecrossroad
s
A question of leadership
The reality of austerity
The UK LGA Funding Outlook 2013
www.local.gov.uk
UK
Local government is • trusted• competent• has the solutionsSatisfaction with LG is rising, despite the funding cuts.
Where are Victorian Councils going?
• LG will transform in the next 10 years: what role will Councils have in that transformation?
• Driven by – technology/internet– rapidly changing community expectations– fewer dollars/resources
• The 4 year Council Plan should tell us – How Council will meet the challenge of change– How Council will scale the digital divide– How to do more with less– How innovation will transform council services
LG: Collaborate and innovate or die
• But how to deliver?• How to establish a culture of innovation and
collaboration?• How important is transformative leadership?• Who are the champions of change in LG?• Who drives change in LG?• How can Councils deliver better performance
at lower cost?• How can councils collaborate more effectively?
How can Councils deliver better performance at lower cost?
• Requires a commitment to a fundamental change in the way services are planned, organised and delivered.
• Need to engage citizens in service design and delivery
• Need to put innovation and collaboration high on Council and regional agendas/plans
• Requires leadership
Innovation in LG
• Innovation is how large organisations remain sustainable and retain public support
• LG has – drivers– organisational skills and attitudes– also needs
• greater focus on collaborative innovation in regional/state-wide groups
• greater knowledge-sharing between Councils/regions
LG Innovation action plan: ACELG• Ensuring that proposed or envisaged amalgamations are driven by an
innovation outcome rather than a narrow search for efficiency.• Developing innovation skills, capacities and capabilities, particularly in areas
that involve transformational innovations.• Creating a culture and working environment that encourages and facilitates
partnerships and collaborations with other government entities, businesses, universities, nongovernment organisations (NGOs) and the broader community.
• Using outsourcing and commissioning as an opportunity for securing innovation outcomes.
• Examining opportunities for open innovation and support for innovation tournaments or contests that reward the development and implementation of new ideas.
• Strengthening knowledge exchange networks to build innovation capability
The Swift Journey……………how collaboration
benefits participants
Benefits to Members
• A saving of on average 30% to annual operating expenses.
• No longer the need to perform system monitoring or system backups.
• Functionality that would be difficult to justify on a stand-alone basis.
• Automatically receive new updates of operating system at no cost.
• A reliable, stable operating environment.• Savings through Consortium purchases.
• The use of a modern system that has led to improved Patron services.
• The Consortium has introduced new standards and work practices, that has improved productivity within the Participating Libraries.
Now
2016
2018
Colla
bora
tive
Inno
vatio
n
LG Cloud Platform – shared space for collaboration
Not all the councils will want to or be able to collaborate via the LG Cloud
Some collaborative projects will embrace the LG Cloud and run with it.
Some projects chose to run independent of the LG Cloud.
Right now the LG Cloud appears too esoteric for some projects to embrace
The early adopters will be key to seeding the concept and demonstrating its merits.
Council
The Future of Local Government Services YouTube Anthony Kemp (3 mins)http://www.youtube.com/watch?v=BbbdHJS2t8I
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