The application project introduces a company portal, the so-called 'Virtual SME Office' of the state capital Düsseldorf, as an effective component for a metropolitan centre for innovative company support and for the attraction and creation of jobs. Today, cities and metropolitan regions are in fierce competition with one another as locations for the settlement of companies and the creation of jobs. This has direct effects on the organisation of the underlying information systems and the IT infrastructure, in particular with regard to the e-government services of public administrations. The application project introduces a company portal, the so-called 'Virtual SME Office' of the state capital Düsseldorf, as an effective component for a metropolitan centre for innovative company support and for the attraction and creation of jobs.
Particularly cities and municipalities need to align their online services to the target group 'companies' as together they hold most of the procedural and decision competencies in the state sector. Here, the Directive 2006/123/EC of the European Council regarding services in the Internal Market, in brief EU Services Directive, stipulates new requirements that equates to a revolution in public administration.
Fundamental core requirements of the EU Services Directive are the establishment of single points of contact for companies and the electronic handling of processes for formalities and procedures for taking up and exercising a service activity, including 'from afar'.
This application project focuses on the following:
1. Bundling of services for companies with the municipal Internet portal 'Virtual SME Office':
(a) Bundling of services from a company perspective
(b) Bundling of services by a single point of contact
2. Modernisation of the administration for companies:
(a) Implementation of the EU Services Directive
(b) Reduction of bureaucratic obstacles
(c) Conveying of a new service philosophy
(d) Strengthening of the European and local economic region through the improvement of local government services for companies.
3. Technological innovations for companies:
(a) Integrated product and process model with modeling tool
(b) Service-oriented architecture (SOA technology)
(c) Interoperability of all components and transferability to services for citizens
(d) Electronic handling of process for all formalities.
4. High-tech/low-cost approach:
(a) Innovations were implemented for companies within the framework of effectively used budgets and with the existing staff.
(b) The entire project had scientific support and evaluation throughout.
Policy Context
From the viewpoint of the European Commission, e-government is at a decisive crossroads. Accordingly, further substantial progress is only then possible if certain fundamental requirements are met. Against this backdrop, the European Commission drew up the 'E-government action plan within the framework of the i2010 initiative: Accelerated introduction of electronic government services in Europe for the benefit of all' in the spring of 2006, for the pan-European access to electronic government services for the period until 2010. Within the framework of the creation of the requirements, the Directive 2006/123/EC of the European Council regarding services in the internal market, in brief the EU Services Directive, acquires particular importance. This regulates the requirements for the simplification of administration for free trade in services within the European Community and primarily incorporates regulations regarding the electronic handling of processes. In this context, the application project incorporates the focal topics of 'Innovation' and 'Conceptual planning' in particular.
1. Innovations for companies:
The online services in the Virtual SME Office have been specifically developed on the following basis:
(a) Identification of company requirements on the basis of a survey on local government services for companies in 2007:
During the survey, it was determined that 63% of Düsseldorf-based companies want an interactive municipal portal for companies.
(b) Determination of potential on the basis of a benchmarking study on local government online services for companies in Europe 2008 (see attached file "Benchmarking study on municipal G2B portals in Europe_2008.pdf"):
Around 80% of local government online services are only offered through the provision of information and through download options. The benchmarking study makes clear that significant gaps in local government online services can be determined from the interaction point. This is a top action priority in the development of information and communication technology. For this purpose, today's technological possibilities permit a large number of further developments in the sense of a one-stop e-government for companies. Development areas such as form management systems (within the framework of which collaboration with business is identified as the number one area of growth), process optimisations or application status monitoring/dialogue (in the sense of external tracking) and electronic handling of processes are other areas which were addressed as part of the application project.
(c) Simplification, acceleration and bundling of processes as well as the availability of electronic procedures:
(d) Availability of a single point of contact:
Coordination of the necessary partial services (e.g. during the establishment of a company) across different administrative levels.
(e) Availability of an internal tracking (application status monitoring/dialogue) as well as an external tracking (building application status monitoring online).
(f) Multi-channel access to the services offered for companies.
2. Conceptual approach:
To implement the EU Services Directive and to implement the 'Virtual SME Office', two conceptual approaches are taken as a basis:
(a) Virtualisation:
The goal is to offer companies administration services from one source electronically to an even greater extent with procedures across departments and authorities.
(b) Technological innovation (services-based applications and architectures for the public sector):
Services form the basis for the dynamic interactions within service-oriented architectures (SOA). Here, business processes develop beyond components through an orchestration of the services. This approach also forms the basis for the effective integration of the company portal and the back-office.
Description of target users and groups
1. Company requirements were determined:
The core goal of the 'Virtual SME Office' is to make the company-related services of the city even more easily available to companies. To determine the specific needs, requirements and expectations of business, Düsseldorf companies were asked during the pre-testing and discussions were conducted with the Düsseldorf chambers (chamber of industry and commerce, chamber of handicrafts). The main suggestion by Düsseldorf companies was the request for a special Internet portal only for companies.
2. Processing of business concerns was optimised:
Company concerns that are received via the portal are forwarded directly to the responsible department in the administration. For the specific procedure, a process structure for an 'internal tracking' of company-related enquiries was introduced parallel to the company portal going online. As far as building applications are concerned, status monitoring online is already possible.
In addition, so-called 'central contacts' were appointed in all company-related departments and these persons coordinate enquiries form companies - in particular those that are received via the new portal in the Office for Economic Development - for their department and are available to answer any questions companies might have.
The Düsseldorf approach is supplemented by employees of the Office of Economic Development, who also accompany the companies in person to appointments on a case-by-case as so-called pilots or advise the latter in their preparations. Service lines have been set up in all company-based departments and via these service lines telephone enquiries are processed directly or contacts established directly. All contact data can be retrieved directly via the portal.
3. Training and qualification concept was developed:
The philosophy of the 'Virtual SME Office' in the sense of a one-stop e-government for companies is being conveyed to the trainees and staff in company-related areas of the city of Düsseldorf via a diversity of information media (such as seminars, online services, flyers and personal contact).
4. High-tech/Low-cost approach:
Existing IT potential at the city of Düsseldorf is primarily used further (before procurement of new systems) and realigned to company-specific requirements. The IT infrastructure available at the start of the project (hardware and software) forms the basis for the conceptual planning. Due to the regularly high financial investments in IT technologies, the explicit aim is to first make maximum use of existing possibilities.
5. Implementation of the EU Services Directive:
To implement the EU Service Directive, concepts and architectures are required that help to attain the goals of the Directive.
The services already implemented through the company portal ‚Virtual SME Office' for companies and the newly aligned IT infrastructure have been extended to include the first interactive online services (complete handling of processes via the Internet).
In a feasibility study, various core processes - with varying degrees of back-end integration - have been implemented electronically as prototypes since the autumn of 2008. Both the purely e-mail communication (enhanced with encryption and signature services) as well as a structured preparation of the form content for a back-office integration are provided and the electronic forwarding to external organisations (chamber of industry and commerce) ensured ('Business registration' process).
Description of the way to implement the initiative
1. Organisational structure of the pre-testing phase:
To accompany the testing process, a pre-testing group and a control body 'Virtual SME Office' was set up, with participation of the administration's top management; at no point were countermeasures necessary.
2. Course of the pre-testing and project phases:
The pre-testing and project phase were organised in an analogous way to a classical project structure, with scheduling and activity planning. In addition to the project participants, employees from the company-relevant municipal departments involved were assigned on a temporary basis. The implementation was done according to the counter flow principle (combination of top-down and bottom-up).
3. Work packages:
For easier handling, the individual testing areas have been structured and processed in the form of 9 work packages as part of the project:
Work package 1: Virtual company portal,
Work package 2: Online forms,
Work package 3: Determining company requirements,
Work package 4: Processing of business concerns,
Work package 5: Company-related services offered by the city,
Work package 6: Digital commercial rent index with standard land values,
Work package 7: E-tender / E-award,
Work package 8: City-wide hotline (The Düsseldorf Infoline),
Work package 9: Qualification concept.
4. Online publication of 'Virtual SME Office':
The Virtual SME Office [http://www.duesseldorf.de/company] first released in January 2008 after the conceptual planning had been approved by the administration's top management.
In an online portal of the city specifically set up for the provision of information; current project information can be retrieved in the Competence Centre e-government [http://www.duesseldorf.de/egovernment] and this information is permanently being updated.
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5. Technological innovation (service-based applications and architectures):
In mid-2008, work started on the development of the IT infrastructure for the implementation of complete, interactive services for companies. An integrated product and process model (IPP) was developed for this and the first company-based processes modeled using object-oriented event-driven process chains.
6. Electronic procedural handling 'business registration':
In a feasibility study, initial sample processes have been implemented electronically as prototypes since autumn 2008 - with varying degrees of back-end integration. Both purely e-mail communication (enhanced with encryption and signature services) is used here as well as a structured preparation of form content for specialist processes and the electronic forwarding of information to external organisations (chamber of industry and commerce) carried out ('Business registration process').
Technology solution
The EU Services Directive requests in particular a simplification of company-related administrative processes. From the companies' viewpoint, the focus is on the consistent reduction in legal and procedural regulations (simplification of administration) and the associated formalities. If processes need to be continued for reasons of legal security, these should be substantially accelerated, simplified and bundled. In addition, the governmental services should be available electronically in order to ensure that formalities and procedures can be handled as completely as possible independent of location or time.
1. Integrated product and process model (IPP):
The Virtual SME Office represents the depicted philosophy of company-related external orientation of an administration. The company-related administration products bundled in the portal services are offered with adapted procedures and aligned IT architecture and developed further in collaboration with the companies. An IPP (integrated product and process model) was set up for the systematic and structured implementation of this philosophy with scientific support and is an unparalleled representation of how a municipality can focus the services it offers to meet company requirements. The IPP facilitates an integrated product and process modelling that lays the basis for the customer-based portal offering and for a service-based architecture.
2. oEPC modeling with the bflow* toolbox:
Adaptations for the administration-specific object-related modeling of the processes are required for the public sector as these are very form-driven in administrations (usually application procedure). For the present project, object-oriented event-driven process chains (oEPC) were most suitable. In the oEPC notation, a business object represents a form that changes into different states during the course of the process. No modeling tool for oEPC notations existed before the project started. A basis was offered by the bflow* toolbox, an open-source tool for business process modeling. Through the open meta model of this product, notation adjustments could be designed, developed and implemented as prototypes. The oEPC tool developed on the basis of the Düsseldorf project is available free of charge at [www.bflow.org, provided by University of Leipzig].
3. Digital commercial rent index:
An interactive commercial rent index offer in the 'Virtual SME Office' facilitates a rapid overview of the rent levels for office, warehouse and production areas and for standard land values for commercial space in Düsseldorf. The commercial rent index thus specifically supports Düsseldorf companies in their attraction and creation considerations. It is possible to research interactively in the desired location for rental and land prices for the different usage types in the desired location. The results are depicted in a digital city map. With these features, the commercial rent index represents a unique selling proposition with regard to local government online information for companies in the EU.
Main results, benefits and impacts
1. Acceptance of the Virtual SME Office among companies:
The portal service has been online since January 2008 and has been retrieved a total of 230 000 times since then (with the number of times per month increasing from 8 000 in January 2008 to 32 000 hits in January 2009).
2. Strengthening of the economic location:
The 'Virtual SME Office' has established itself as a component to strength the economic location: Fifteen thousand new jobs subject to social insurance contributions were created in Düsseldorf (best growth in German cities in 2008).
3. Acceptance and interest among other municipalities and the scientific community:
The municipal Internet portal 'Competence Centre e-government' that was set up as an accompanying measure to the company portal, has been online since July 2008 [www.duesseldorf.de/egovernment]. Since then, it has been retrieved more than 30 000 times (with an average of 5 000 times a month).
4. Electronic process optimisation:
The interactive 'business registration' process makes provision for 9 additional or new functions. Entrepreneurs can file their application online, send the form, will receive the decision by mail in encrypted form and can pay online. Furthermore, recording tasks in the business registration department are no longer necessary and information no longer has to be researched in particular manually (e.g. the finding out the responsible tax office).
5. Acceptance among employees:
The philosophy of the 'Virtual SME Office' and the effects on their own workplace have been conveyed to trainees and staff in company-related areas of local government in 5 seminars to date (other media used are flyers, workshops and electronic information services). The feedback was extremely positive. As a flanking measure, the administration management is being actively involved in the further development at internal and external events as well as at national and international workshops and congresses.
6. Tool-assisted process optimisation:
For the implementation of the EU Services Directive, the processes of some 200 company-related services had to be recorded, modeled and also combined with one another via SOA services for an electronic handling of processes with interfaces in the front and back office. The requirements of a modeling and development tool that provides technical support for the product and process modeling were multi-layered, both with regard to the number of administrative processes and their complexity. Accordingly, a solution has to:
(a) Cover a large number of specialist requirements,
(b) Be usable by several organisers as modelers, and
(c) Be equally usable for IT developer teams.
Before the start of the project, processes in administration were modeled with a product that was unable to meet the requirements any more. A market analysis resulted in an open-source modeling source that offered a suitable basis for the project requirements. The bflow* toolbox [www.bflow.org, provided by University of Leipzig], which was developed further under this project, is a modeling tool for business process management. The product has an open meta model; accordingly, individual functions and adapted modeling notations could be designed, developed, implemented as a prototype, tested and evaluated. In previous versions of the bflow* toolbox, it was possible to model solely event-driven process chains (EPC models). In the context of the requirements of the EU Services Directive, adjustments were made to the existing bflow* toolbox for the administration-specific, object-related modeling of business processes. Examples of processes can be retrieved online at [www.duesseldorf.de/egovernment].
Return on investment
Return on investment: Not applicable / Not availableTrack record of sharing
1. Modernisation of the administration:
(a) Implementation of the EU Services Directive through electronic procedural handling of formalities and procedures for the commencement and practicing of a service activity in 2009 with the interactive online services.(b) Simplification of administration for the benefit of companies:
considerably accelerated, simplified and bundled.
(c) One-stop e-government for companies through the municipal Internet portal for companies in order to reach all company-relevant services offered by the city with 'one click' via this entry portal.
(d) Implementation of an integrated product and process model developed by the city to bundle the company-related services with regard to organisation and IT technology.
(e) Setting up of single points of contacts for companies in order to be able to offer administrative services from one source.
(f) A qualification concept for trainees and employees in company-related areas of local government to secure the new company orientation in the long term.
2. Competition between locations / Strengthening of the economic location:
(a) Strengthening of the global competitiveness / strengthening of Europe as an economic location for the relocation of companies and for the creation of jobs.
(b) To establish Düsseldorf as an efficient component in innovative support for companies and in the attraction and creation of jobs.
3. Summary and outlook:
The application project has demonstrably fulfilled the goals with regard to the modernisation of administration / company orientation and thus the strengthening of the economic location. The project results form a promising basis for transfer to the entire spectrum of the public sector.
Lessons learnt
1. Bundling of services for companies with the municipal Internet portal 'Virtual SME Office':
(a) Bundling of services from a company perspective
(b) Bundling of services by a single point of contact
2. Modernisation of the administration for companies:
(a) Implementation of the EU Services Directive.
(b) Reduction of bureaucratic obstacles.
(c) Conveying of a new service philosophy.
(d) Strengthening of the European and local economic region through the improvement of local government services for companies.
3. Technological innovations for companies:
(a) Integrated product and process model with modeling tool.
(b) Service-oriented architecture (SOA technology).
(c) Interoperability of all components and transferability to services for citizens.
(d) Electronic handling of process for all formalities.