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All-in-One: Improving Urban Service through Integration Kim Hunmin Professor, Dept. of Public Administration Ewha Womans University Seoul, Korea Email: [email protected] Paper presented at the International Conference on Good Governance for National Development, United Nations Project Office on Governance, June 17, 2010 Millennium Seoul Hilton Hotel, Seoul, Korea 1 Content 1. Characteristics of all-in-one service 2. Two Korean cases - 365 Service Center - U-PASS 3. Issues and recommendations 2 All-in-one or Integrated Service System • Most prominent strategy for government innovations in U.S., Canada, OECD countries • Not frequently observed in LDC government innovations • Observed in majority of UN Public Service Award winners • In Korea initiatives for service integration are increasing 3 All-in-one Service: Definition • More commonly known as one-stop service • Aggregates several related but separately provided services spanning multiple jurisdictions into a comprehensive single delivery or processing system • “one-stop service center is an umbrella organization that operates on top of existing functional departments and is intended to maximize the convenience and satisfaction of users through service integration” (Ho, 2002) 4 All-in-one Service: Paradigm • All-in-one service system requires interdepartmental and/or inter-governmental coordination, collaboration with the private sector, and customer oriented service provision • Very similar to the e-government paradigm of coordinated network building, external collaboration, and customer services • Change from traditional bureaucratic paradigm of standardization and departmentalization 5 All-in-one: Types Purpose: - First stop: information, referral service - Convenience store: diverse service but need 2nd, 3rd stops for specialized service - True one-stop Delivery channel: - Internet based or not (difficult to distinguish one-stop service projects from e-government projects) - Physical counter, Call center, Automatic kiosk, Web site/internet 6 Two Korean Cases 1. Business Support System “365 Service Center & 365 Biznet” (Seo-gu District Government in Gwangju Metropolis) 2. Citizen Requested Service System “U-Prompt Administrative Service System (U-PASS)” (Cheong-ju City Government in Chungbuk Province) 7 Local government innovations in Korea In general, • Use of ICT • Service integration increasing • Place marketing (fairs, local product promotions, tourism events) • Least observed are devolution, citizen participation 8 365 Service Center & Biznet Problem: • Rapidly increasing demand for administrative services as a result of booming business activities in its commercial area which was emerging as a business hub in the metropolitan region • District employees overburdened by the sheer volume and wide range of service areas in demand - tax, property registration, permits, small business assistance, building management, banking, etc. • Requests piled up, services delayed, complaints and dissatisfaction on the part of the citizens • Need to deal with ever mounting demand for services particularly during evening hours and weekends 9 365 Service Center & Biznet Searching for Solution: • Formed Task Force • Conducted user survey • Consulted experts • Secured budget • Built incentives for employees 10 <Figure 1> Integrated Business Support System Vision Best Business Hub in the Region Goal 365 days, 24 hours Integrated Business Support System Strategy Satisfy and impress customers Create participatory environment Exercise open administration Establish innovative culture Implementation Stage Preparation (Oct’06~Mar’07) Implementation (Mar’07~Jun’07) Expansion (Jul’07~Dec’07) Settlement (Jan’08 ~ ) Task Task Force, budget Integration of administrative & banking services Multiorganizational linkage Upgraded system 11 365 Service Center & Biznet Implementation: • Set up a joint Service Counter with Gwangju Bank at a discount mall • Operate 9 am till 10pm • Offering banking service, all kinds of certifying documents and licenses, employment and placement service, tourist information, and various business support services 12 365 Service Center & Biznet • Scope of the service expanded: • Central government agencies - National Labor Office, Tax Office, Small and Medium Business Administration, and social security service • Hospitals and clinics, pharmacies, convention centers, postal offices, etc. • Extend hours of operation at these facilities • On-line portal, 365 Biznet, to facilitate multiple accesses to integrated services 13 <Figure 2> Collaborative Network of 365 Business Support System Postal Services Public Agencies Banks Mass Media 24 Hours Facilities 365 Service Center (Off-line One-stop) Medical Facilities Shopping Malls 365 Biznet (On-line portal) Cultural Facilities Tourist Attractions Restaurants Convenience Stores Accommodations 14 15 365 Service Center & Biznet Overcoming barriers: • Financial constraint – high rental cost of service counter site provided free by discount mall • Employees’ resistance – flexibility and strong incentives offered in terms of work • Conflict of interests among agencies – gained trust with error prevention measures, emphasized joint gains from flourishing business 16 <Table 1> Increase in Services by Time at the 365 Service Center Years Daytime % Nighttime % Weekend % 2007 44,158 51 25,475 29 17,407 20 87,040 2008 85,026 50 58,965 34 27,242 16 171,233 2009 97,343 47 73,147 36 34,382 17 204,872 2010(JanApr) 36,462 48 27,742 37 11,819 15 76,023 TOTAL 262,989 49 185,329 34 90,850 17 539,168 Source: Seo-gu District Government Total <Table 2> Increase in Services by Type at the 365 Service Center Service Type 2007 2008 2009 Residence Registration Personal Seal Registration 43,981 23,563 70,582 45,237 90,581 44,876 Family Relations Registration 8,677 23,217 27,310 Land Cadastre Cartography Zoning Building Register Property Registration Vehicle Registration Local Tax Documents National Tax Documents Education Other Automatic Service Machine TOTAL 1,225 342 762 24 1,294 272 1,735 185 361 712 3,907 87,040 1,715 1,116 2,136 387 2,336 1,342 3,947 260 590 1,393 16,975 171,233 2,795 1,628 3,231 699 2,554 2,160 5,026 330 688 11,014 11,979 204,871 18 365 Service Center & Biznet • Presidential Prize, Local Administration Innovation Award in 2007 • Top Ten Premium Brand of the Local Administration Innovation in 2008 • Best Prize, Manifesto Best Practice Contest for two consecutive years in 2008 and 2009 • Highest award as a Model Agency for Serving the Citizens in 2009 19 U-Prompt Administrative Service System Problem: • Before 2007 citizens’ requests and complaints were handled separately by different departments • Absence of a department or unit in charge of citizen requested services - comprehensive analysis or systematic processing of citizens service not feasible • Many similar and overlapping services were being handled repeatedly by different departments • Lack of information sharing and coordination mechanism for services involving two or more departments • As requests and complaints increased the biggest complaint by the citizens was that services were provided not promptly enough and often with errors 20 U-PASS Searching for Solution: • Formed task force • Conducted user survey • Consulted experts • Adopted principle of customer orientation: listen to citizens, provided fastest service, serve as citizens wish 21 U-PASS Implementation: • Implementation team headed by the vice mayor, consisted of 120 employees represented from 28 departments • Service system characteristics - diverse and numerous input channels for easy access - computerized comprehensive management system - supplemented by on-site mobile service system - diverse delivery channels to match citizens’ needs - close monitoring of citizens’ demand 22 <Figure 3> Simplified Process with U-PASS Before (12 steps) 1. Request filed 2. Collected by inspector 3. Draft & approve document 4. Notified to relevant dept. 5. Received by dept. 6. Draft & approve document 7. Assigned to staff 8. Process 9. Draft & approve document 10. Inspector notified 11. Draft & approve document 12. Notify citizen After (5 steps) 1. Request filed 2. Collected by inspector 3. Draft & approve document 4. Notified to relevant dept. 5. Received by dept. 6. Draft & approve document 7. Assigned to staff 8. Process 9. Draft & approve document 10. Inspector notified 11. Draft & approve document 12. Notify citizen Source: Information Communication Department, Cheong-ju City 23 <Figure 4> Service System Before and After U-PASS Before Departments Call Center City Hall website Architecture process delay Website staff Sanitation Site visiting staff Call Center staff Mobile phone text & photo message Citizen Night shift staff Visits & telephone calls Check result communication block Visitors center staff Environment big complexity Other service staff Citizen Support . . 24 After Departments Call Center Architecture City Hall website Site visiting staff Mobile phone text & photo message Citizen Automatic distribution U- PASS Sanitation Environment Night shift staff Visits & telephone calls Result notified by SMS Citizen Support On site staff Source: Information Communication Department, Cheong-ju City . . 25 <Figure 5> Mobile Processing of Services Through PDA View filed requests View registries Post results Source: Information Communication Department, Cheong-ju City 26 <Table 3> Service Processing Time Before and After U-PASS Number of days Same day 1 2 3 4 5 6 7 Total 2006 <before> (%) 270 (10) 410 (15) 343 (13) 309 (11) 298 (11) 249 (9) 286 (10) 573 (21) 4,171 (100) 2007 <after> (%) 1,225 (42) 344 (12) 294 (10) 301 (10) 259 (9) 183 (6) 176 (6) 137 (5) 4,789 (100) Source: Information Communication Department, Cheong-ju City 27 <Table 4> Annual Cost Savings from U-PASS Source of saving Basis of calculation Social overhead cost saving from reduction in processing time Average reduction time per service: 3 days; 1 day labor cost: 71,000 KRW; Number of services per year: 11,676. 3 x 71,000 x 11,676 Cost saving from reduction in documents production Cost of document per service: 200. 11,676 x 200 Total Amount of saving (1,000 KRW) 2,486,988 2,335 2,489,323 Source: Information Communication Department, Cheong-ju City 28 <Table 5> Increase in Service Requests by Service Area Years (%) TOTAL Before 2007 2007 2008 2009 2010 (Jan-Apr) Street 1,192 (21.5) 1,884 (16.5) 4,221 (23.9) 7,086 (27.1) 2,577 (34,1) 16,960 (24.8) Transportation 701 (12.6) 1,990 (17.4) 2,515 (14.2) 3,545 (13.6) 1,152 (15.3) 9,903 (14.5) Architecture & Construction 740 (13.3) 1,840 (16.1) 2,623 (14.8) 3,825 (14.7) 833 (11.0) 9,861 (14.4) Street & Security Light 732 (13.2) 1,873 (16.4) 2,258 (12.8) 2,859 (11,0) 887 (11.7) 8,609 (12.6) Street Cleaning & Environment 478 (8.6) 1,099 (9.6) 2,130 (12,0) 3,227 (12.4) 723 (9.6) 7,657 (11.2) Area 29 Years Before 2007 2007 2008 2009 2010 (Jan-Apr) TOTAL Parks and Green Space Water & Sewerage Health & Welfare Culture & Tourism Industry & Economy 254 (4.6) 217 (3.9) 163 (2.9) 90 (1.6) 52 (0.9) 23 (0.4) 908 (16.4) 5,550 (100) 573 (5,0) 544 (4.8) 320 (2.8) 196 (1.7) 160 (1.4) 52 (0,5) 890 (7,8) 11,421 (100) 961 (5.4) 671 (3.8) 320 (1.8) 137 (0.8) 114 (0.6) 58 (0.3) 1,672 (9.5) 17,680 (100) 1,637 (6.3) 933 (3.6) 415 (1.6) 185 (0.7) 208 (0.8) 38 (0.1) 2,150 (8.2) 26,108 (100) 303 (4.0) 288 (3.8) 107 (1.4) 67 (0.9) 51 (0.7) 7 (0.1) 555 (7.4) 7,550 (100) 3,728 (5.5) 2,653 (3.9) 1,325 (1.9) 675 (1.0) 585 (0.9) 178 (0.3) 6,175 (9.0) 68,309 (100) Area Local Taxes Other TOTAL Source: Information Communication Department, Cheong-ju City 30 U-PASS Overcoming Barriers: • As service became speedier more and more citizens made requests for services, input opinions about city administration, and reported conditions in various parts of the city that needed immediate attention • The city employees overwhelmed with the burden to respond promptly and accurately to rapidly rising citizens’ requests and inputs • Mounting complaints by the city employees was the biggest obstacle to smooth operation of the UPASS 31 U-PASS • Manual developed to make the work easier and simpler to the city employees • Incentives to improve performance through UPASS - best employee citations, foreign travel awards, and performance evaluations include employee’s role in making service more efficient, friendly, and innovative 32 Common Factors in Both Cases • Formal planning activities -problem diagnosis, goal setting, designing strategies , defining stages of implementation • Set up task force taking charge of addressing the problem and making plans for developing a new system • Customer oriented system of service delivery emphasized - user surveys, customer satisfaction indices and other means to understand the users’ needs 33 Common Factors in Both Cases • Shift away from the traditional bureaucratic style of service provision based on departmentalized suppliers’ perspectives and conditions • Strong and effective incentives in the personnel system to make extra hours and volumes of work acceptable • Most noteworthy aspect - multiple accesses to the system in terms of extended hours and/or diversified input points and/or channels of contact 34 Issues in All-in-One Service System • Lack of formal evaluations of service integration in the public management literature • Can be one long, convoluted, and complex maze - customers get lost while making a choice among multitudes of options given at every step • Manned by generalists - must consult specialists to properly handle a customer’s service request or inquiries - disenable direct access to specialists - longer waiting time even with higher manpower costs 35 Issues • Diminished access points or channels of contact - integration mainly for efficiency purposes but at the cost of greater inconvenience to citizens to whom service accessibility has declined - if internet based service integration replaces off-line service counters citizens without access to computers or knowledge to use them lose service accessibility - eg: Integration of police stations, community centers, tax service, etc 36 Issues • Ambiguous structure of authority, accountability, and responsibility - power struggle, tendency of participating agencies to pass responsibility to each other, - issues and challenges of inter-agency coordination and collaboration • Failing to take a customer oriented perspective - designing delivery systems based on supplying agencies’ needs and perspectives - that is, from being supply oriented rather than demand oriented 37 Recommendations • Meet challenges of inter-agency coordination & collaboration - overcome resistance, power struggle, - specify and clarify responsibility, accountability, budget sharing among collaborating agencies • Internet based system should not simply replace off-line service with on-line service - make service available to people unfamiliar with computers 38 Recommendations • Should be designed with a very clear and strong customer orientation, user friendly & simple • Should not result in reduction of access points and channels • Effective all-in-one system should be not ONE one-stop but composed of MANY onestops 39 Thank you 40