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Digital Transformation:
Opportunities for innovation
Ramayya Krishnan
Cooper Professor of Information Systems
The Heinz School
Carnegie Mellon University
[email protected]
Agenda
 Facilitating innovation through Government IT initiatives
 The case of E-government
 Citizen Portals
 Access to the Net and IEEE 802.11
 Interoperable access to confidential data
 Process innovation in implementation of interoperable PKI
 M-government
 Use to e-911 initiative to jumpstart innovation in commercial
services
An organizing framework
Public Policy
Technology
Process
Strategy
Competition
Spurring innovation through
IT acquisition
Government has the potential to spark
innovation through public private
partnerships
E-government as context
Many potential ways of funding innovation
NSF Digital Govt Initiative, SBIR, DARPA
Defining E-Government
The use of electronic systems to perform business and
service-related transactions
 Improve internal government operations
Intra-governmental transactions
Government as Buyer
Government as Seller
 Enhance the delivery of services to citizens
Source: Temoshak, GSA
Digital transformation
The use of digital technologies – internet
technologies, information and communication
technologies – to drive fundamental
performance improvement throughout the
extended enterprise
What is the scope of digital transformation?
Customer, supplier, partners (resellers and affiliates)
and employees
Digital transformation has policy and
technological implications
Phases of E-government
Source: cdt.org
G2C e-government
potential
easily accessible, especially for elderly and
disabled people
Transparency
Increased efficiency
time efficient
cost efficient
FirstGov.gov
Access anywhere anytime to
all
The benefits of access derive only to
those who have internet access and
increasingly to those who have broadband
access
Emergence of access over wired and
wireless networks
What is the opportunity for
innovation?
Providing low cost access?
Providing high speed access?
Providing mobile access?
Understanding access
structure
Switching
Node
Switching
Node
Trunks
Terminals
Switching
Node
Switching
Node
Access
Lines
Dial up to DSL, Cable Modem-based access
Mobile access to the Net
Content
provider
Evolution of access
networks
Telephone network
Dial up
DSL (digital subscriber line)
Cable network
Cable modem-based access
Wireless
Mobile wireless over cellular
Wireless Application Protocol
Bearer service and device independent
New information appliances
Internet Industry Structure
1.
2.
3.
4.
5.
Customer (CUS)
Local Area Transport Provider (LAT)
Internet Access Provider (IAP)
Wide Area Transport Provider (WAT)
Internet Service Provider (ISP)
Visual Model of Industry
Structure
ISP Backbone Provider
NAP
ISP Backbone Provider
NAP
Private
Peering
IAP
IAP
LAT
IAP
LAT
IAP
LAT
Internet Service
Economics
Users typically pay flat rate to IAP based on
access port speed
IAPs are not restricted to published tariffs;
prices are often negotiable
IAPs pay an ISP for transit to other ISPs and
their customers
ISPs peer with each other at public or private
Network Access Points (NAPs) and typically do
not pay settlements to each other
Broadband Penetration
(2001)
France
Germany U.K.
U.S.
All Households
24.8m
37.7m
27.7m 105.0m
Internet Households
4.5m
10.3m
8.8m
63.0m
Broadband HH
0.5m
1.0m
0.2m
13.8m
Internet Penetration
18%
27%
34%
60%
Broadband Penetration
2%
3%
1%
13%
Broadband Penetration of Internet 8%
HH
9%
2%
22%
Universal access to the Net
In the US, the work of Greenstein demonstrates
significant geographic patterns to Internet
access related to the presence of NAP’s on the
backbone network
Most urban areas have competitive provisioned
access while rural areas have less than ideal
conditions
Policies for universal access have to take
geography into consideration
Broadband adoption
Much of the debate is focused on DSL vs.
Cable
User choice of ISP
Intellectual property protection
Equally important is the IEEE 802.11 vs.
2.5/3G technologies
Wireless LAN
 Idea: just a LAN, but without wires
 Not as easy since signals are of limited range
 Uses unlicensed frequencies, low power
 2.4 GHz
IEEE 802.11 (wireless ethernet)
WaveLAN 2 Mbps moving to 11 Mbps
 5.2 GHz
OFDM (orthogonal FDMA) modem technology (30
Mbps) IEEE 802.11
HiperLAN from Europe and HiSWAN from Japan
Upto 54Mbps
 Distance depends on construction (100-200ft per
access point)
GPRS
EXISTING
UPGRADED GSM
SGSN = SERVING GPRS
SUPPORT NODE
GGSN = GATEWAY GPRS
SUPPORT NODE
PLMN = PUBLIC LAND
MOBILE NETWORK
SOURCE: UWC
Range vs. Data Rates
Substitute or Complement?
IEEE 802.11
Much higher data rates
11Mbps to 144Kbps for 3G
Cost per base station is $500 compared to
$50,000 per base station for 3G
But distance limited
100m vs. 2km
Higher consumption of power by WLAN
chipsets makes them not viable with cell
phone power supplies
WLAN/GSM Integration
“Data” strategy for cellular
service providers?
 Invest in their own WLAN networks?
 Unlikely given considerable investment in 3G networks
 Partner with WISP’s (wireless ISP) that sell direct to the consumer
such as Boingo and Mobilstar
 Partner with WLAN infrastructure provider that can provide roaming
services
 SIM card enabled
 Should the government increase the size of the ISM
spectrum?
User-centric portals
Access from multiple
information sources
Depending on the app, read or update semantics will be required
Problem: Scattered
Clinical Data
Pharmacy
System
Radiology
System
Lab
System
Transcription
System
Billing System
- Stay / Visit / Cost
- Dx / Rx
Past Visit Info:
- Paper chart(s)
- Hand written notes
- History/Physical/FHx
- Problem lists
- etc.
Current Visit Info:
- Symptoms
- History
- Findings
Mindscape (an electronic medical
record system)
Access to multiple backend services
2
HTTP
Request
1
Internet or
Intranet
Web Browser
5
Web
page
Client
Source: Allaire
Web
Serv er
4
Network
CF
Page
Databases
E-mail
Cold Fusion
Application
Serv er
Directories
3
File System
COM/CORBA
Web
page
Server
Web Serv ers
The Census Bureau
Issues with sensitive
information
The problem of inferential disclosure
Data is collected under guarantees of
confidentiality
Data is released under the policy of
maximizing access while protecting
confidentiality
General problem of relevance to all statistical
agencies in government
Privacy and security
challenges
Data Privacy and security
Authentication: Knowing
who’s on the other end
Confidentiality: Protecting
data in transit
Data integrity: ensuring
integrity in transit and
storage
Source: Adapted from GSA
What is an Electronic Signature under ESIGN (electronic signature act of 2000)?
“…means an electronic sound, symbol, or
process, attached to or logically associated
with a contract or other record and executed
or adopted by a person with the intent to sign
the record.”
PIN or
Password
Digitized image of a
handwritten signature
Click through on software
program’s dialog box
Knowledge-based
Authentication
Typed
names
Biometric
Profile
Digital Signature or
other encrypted
authentication system
Electronic Signature requires some degree of authentication
The Federal PKI
DOD PKI
Available to all Military
personnel and dependents
NFC PKI
Federal Bridge CA
DOD IECA
Available to all Federal
agencies
GSA ACES
Available to all
Government vendors
and contractors
Available to all U.S.
citizens, businesses,
government agencies
The Solution: The Federal
Bridge CA
FPKI Policy Authority
FBCA Operational Authority
The Federal Bridge CA simplifies PKI interoperability:
• Common and easy way to determine “Trusted” PKI domains and assurance
levels (policy mapping);
• Common and, relatively, easy way to validate certificate status through
cross certification;
• Standard Bi-lateral Agreement between the Bridge and Agency CA.
From e-government to mgovernment
Wireless access to government services
Mobile portals
E-911 initiatives
Total US Commercial Wireless
Subscribers: 1992 to 2001
Millions of Subscribers
150
120
Mobile Telephone
90
60
30
0
1992
1993
1994
1995
1996
1997
1998
1999
2000 2001E
Penetration of Cellular
Worlwide
Increase in Wireless 911 Calls
50
45
40
35
30
50 Million
25
20
Million Calls per Year
15
10
5
0
18 Million
1994
1999
CTIA’s Year 1994 Wireless 9-1-1 and Distress Calls Statistics
NENA’s 2001 Report Card to the Nation, Statistics for Year Ending December 31, 1999
911 Calls: Wireless Vs. Wireline, YE 1999
26.5%
(50 Million)
73.5%
(140 Million)
Wireless Calls
Wireline Calls
NENA’s 2001 Report Card to the Nation, Statistics for Year Ending December 31, 1999
Increase in Wireless Phone Use:
The Good News for 911
Safety remains a principal reason for
purchase of a wireless phone
Substantial increases in wireless subscribers
means more people can contact public
safety while mobile
Increase in Wireless Phone Use:
The Bad News for 911
Wireless E911 calls more difficult to handle
than wireline calls:
Wireline: System generally can identify the
precise fixed location of call.
Wireless: Limited or no location information
available.
Difficulty due to lack of ANI
Misrouting of 911 calls.
Takes time to obtain location of caller, even
where caller knows and can communicate
location information.
Many callers do not know or cannot
communicate location.
Greater difficulty in determining when multiple
calls report same incident.
FCC Mandate on e-911
Five years ago, wireless carriers required to
develop and deploy technology to provide
location information for 911 calls - based on
consensus agreement:
Phase I E911: call back number and cell site
location.
Phase II E911: location by latitude and
longitude.
Accuracy standards
For Handset-Based Solutions:
50 meters for 67 percent of calls
150 meters for 95 percent of calls
For Network-Based Solutions:
100 meters for 67 percent of calls
300 meters for 95 percent of calls
Implications of policy
 Location information, privacy and SMS spam
 In the US, location and telephone number may be used in
the event of an emergency
 Service providers would like to leverage investment in
location technology for commercial services
Semantic web projects
 Knowledge of location can also be used for location-based
spamming of ads
 However, policy is evolving on these issues
Summary
Government IT efforts across the whole
spectrum of definition, acquisition and
deployment can be an engine for
innovation
Managing the process of acquisition is a
critical success factor