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EXECUTIVE ORDER NO. 265 - APPROVING
AND ADOPTING THE GOVERNMENT INFORMATION SYSTEMS PLAN (GISP) AS
FRAMEWORK AND GUIDE FOR ALL COMPUTERIZATION EFFORTS IN GOVERNMENT
|
| WHEREAS,
the government is committed to carry out, in pursuance of “Angat Pinoy
2004”, or the Medium-Term Philippine Development Plan, 1999-2004,
wide-ranging administrative reforms to enhance government efficiency
and effectiveness in government operations and in the delivery of basic
services to the public; WHEREAS, these reforms are being pursued particularly in fiscal and financial management, procurement, education and manpower development, personnel welfare, organizational effectiveness, and service delivery; WHEREAS, the wider use and application of information and communications technology offer tremendous opportunities for government to ensure the success of these reforms; WHEREAS, the National Information Technology Council (NITC), the policy advisory body on information and communications technology in the country, has formulated, in close consultation with concerned government agencies, the private sector, local government units, academe, and members of Congress, and accordingly endorsed a government information systems plan that will serve as blueprint for the computerization of vital government operations and key front-line services for more effective governance; WHEREAS, the NITC and the Electronic Commerce Promotion Council, created pursuant to Executive Order 468, dated 23 February 1998, have been merged into the Information Technology and Electronic Commerce Council (ITECC); NOW, THEREFORE, I, JOSEPH EJERCITO ESTRADA, President of the Philippines, by virtue of the powers vested in me by law, do hereby order as follows: SECTION 1. Approval of the GISP. — The Government Information System Plan (GISP), also to be known as “Philippine Government Online”, hereto attached, is hereby approved and adopted as framework and guide for the computerization of key frontline and common services and operations of the government to enhance overall governance and improve the efficiency and effectiveness of the bureaucracy. SECTION 2. GISP Implementation. — To ensure the full and effective implementation of the GISP, all government agencies and instrumentalities, including local government units, shall align their respective computerization projects with the priorities identified in the GISP. The ITECC shall prepare a consolidated annual program of expenditures for government computerization, which shall become part of the President’s Annual Expenditure Program for submission to Congress. SECTION 3. Implementing Rules and Regulations. — ITECC shall issue such guidelines as may be necessary to implement this Executive Order. SECTION 4. Repealing Clause. — All orders, directives, issuances, resolutions, rules and regulations or parts thereof that are inconsistent with the provisions of this Executive Order are hereby repealed or modified accordingly. SECTION 5. Effectivity. — This Executive Order shall take effect immediately. DONE in the City of Manila, this 12th day of July, in the year of our Lord, Two Thousand. ATTACHMENT Philippine Government Online Government Information Systems Plans Foreword In my keynote speech during the Knowledge Economy Conference held on May 8, 2000, I specifically mentioned that I want to see information and communications technology (ICT) more widely and effectively used in government, to give the public better access to information and to deliver government services more efficiently and promptly. Philippine Government Online is therefore a very apt name for this Government Information Systems Plan (GISP) as it means bringing government closer to our people. The GISP envisions the Philippines as a country where every citizen anywhere in the archipelago or in any part of the world, as well as our foreign friends and business partners, can easily access and avail of government information and services. All this is now possible if we harness the full potentials of ICT and the Internet. We look at ICT, not only as a productivity tool, but more importantly, as a development strategy for economic growth and global competitiveness. In fact, it is an important component of the Medium-Term Philippine Development Plan (MTPDP), or “Angat Pinoy 2004.” The specific plans for the attainment of economic growth and social equity as outlined in the MTPDP—whether in social reform, industry, infrastructure, governance and macroeconomic development—underline the importance of ICT in achieving our development objectives and targets for the next four years. In line with those objectives, the GISP details the policies, the infrastructure, strategies, technology solutions, and financing options that must be put in place and set in motion for us to realize our vision of a “Philippine Government Online.” It also provides the implementation framework and key milestones that will guide the different line departments and agencies, the Department of Budget and Management and other oversight agencies, as well as the Cabinet and Congress in the planning and allocation of budgetary appropriations for priority ICT programs and projects of the government. The realization of our vision of Philippine Government Online will only be possible with the support of everybody. I, therefore, enjoin the cooperation of the leaders and members of Congress, the Judiciary, all executive departments, local government units, and the private sector to make us realize this vision. JOSEPH EJERCITO ESTRADA President Republic of the Philippines June 2000 PHILIPPINE GOVERNMENT ONLINE! This is not just a buzzword. It is both the vision and strategy adopted by the government in reforming governance today through the application of information and communications technology (ICT). And the Government Information Systems Plan (GISP) is the framework and master plan to make this happen. Consistent with the country’s development objectives as contained in the Medium-Term Philippine Development Plan, or “Angat Pinoy 2004,” the GISP envisions an electronic bureaucracy that is widely and readily accessible to its constituency — the Filipino people. It is a master plan that sets the enabling policy and institutional infrastructure and environment, as well as the direction, priorities and benchmarks for computerization of key government operations and activities over the next five to ten years. It is a plan to fully harness the potentials of ICT for good governance and promote transparency and accountability in government operations and transactions. The GISP was formulated in consultation with various stakeholders — government agencies, the private sector, civil society, media, the academe, and other critical players in governance and the information and communications technology community. The National Information Technology Council (NITC) wishes to acknowledge and express its sincerest thanks to all those who have contributed their time and energy to ensure the completion of this Plan. Without their valuable inputs support and encouragement, the completion of this Plan would not have been possible. We hope that this will translate into concrete results for the realization of the GISP’s goal and objectives. At the same time, we enjoin all those in government and the private sector to work together in ensuring the realization of PHILIPPINE GOVERNMENT ONLINE! (SGD.) DR. FILEMON A. URIARTE, JR. Secretary Department of Science and Technology Chairman National Information Technology Council (SGD.) DR. FELIPE M. MEDALLA Secretary National Economic and Development Authority Co-Chairman National Information Technology Council (SGD.) JAIME AUGUSTO ZOBEL DE AYALA II President and CEO Ayala Corporation Co-Chairman National Information Technology Council EXECUTIVE ORDER NO. _____ APPROVING AND ADOPTING THE GOVERNMENT INFORMATION SYSTEMS PLAN (GISP) AS FRAMEWORK AND GUIDE FOR ALL COMPUTERIZATION EFFORTS IN GOVERNMENT WHEREAS, the government is committed to carry out, in pursuance of “Angat Pinoy 2004” or the “Medium-Term Philippine Development Plan, 199-2004,” wide-ranging administrative reforms to enhance government efficiency and effectiveness in government operations and in the delivery of basic services to the public; WHEREAS, these reforms are being pursued particularly in fiscal and financial management, procurement, education and manpower development, personnel welfare, organizational effectiveness, and service delivery; WHEREAS, the wider use and application of information and communications technology (ICT) offer tremendous opportunities for government to ensure the success of these reforms; WHEREAS, the National Information Technology Council (NITC), the policy advisory body on information and communications technology (ICT) in the country, has formulated, in close consultation with the other agencies of government, the private sector, local government units, academe, members of Congress, and accordingly endorsed a government information systems plan that will serve as blueprint for the computerization of vital government operations and key frontline services for more effective governance; NOW, THEREFORE, I, JOSEPH EJERCITO ESTRADA, President of the Philippines, by virtue of the powers vested in me by law, do hereby order as follows: Section 1. Approval of the GISP. — The Government Information Systems Plan (GISP), also to be known as “Philippine Government Online,” attached hereto, is hereby approved and adopted as framework and guide for the computerization of key frontline and common services and operations of the government to enhance overall governance and improve efficiency and effectiveness in the bureaucracy. Section 2. GISP Implementation. — To ensure the full and effective implementation of the GISP, all government agencies and instrumentalities, including local government units, shall align their respective computerization projects with the priorities identified in the GISP. For this purpose, the National Information Technology Council (NITC) shall issue such guidelines as may be necessary to implement this Executive Order. The NITC shall prepare a consolidated annual program of expenditures for government computerization, which shall become part of the President’s annual Expenditure Program for submission to Congress. Section 3. Repealing Clause. — All orders, directives, issuances, resolutions, rules and regulations or parts thereof that are inconsistent with the provisions of this Executive Order are hereby repealed or modified accordingly. Section 4. Effectivity. — This Executive Order shall take effect immediately. Done in the city of __________ this _______ day of _________, in the year _______. By the President: RONALDO B. ZAMORA Executive Secretary Abbreviations and Acronyms AFIRM Automated Fingerprint Image Reporting and Match AFP Armed Forces of the Philippines AFPMC AFP Medical Center ANSI American National Standards Institute ASEAN Association of Southeast Asian Nations ATM Automated Teller Machines BC Bureau of Corrections BFAR Bureau of Fisheries and Aquatic Resources BFP Bureau of Fire Protection BI Bureau of Immigration BIR Bureau of Internal Revenue BJMP Bureau of Jail Management and Penology BL Bureau of Lands BLGF Bureau of Local Government Finance BOC Bureau of Customs BOI Board of Investments BOO Build Own-and-Operate BOT Build Operate-and-Transfer BPHRE Bureau of Post-Harvest for Research and Extension BSP Bangko Sentral ng Pilipinas BTR Bureau of Treasury C&C Computing and Communication CA Court of Appeals CADD Computer-Aided Drafting and Design CANPASS Canadian version of INSPASS CD-R Recordable Compact Disks CHED Commission on Higher Education CHR Commission on Human Rights CIO Chief Information Officer CMTS Cellular Mobile Telephone Services COA Commission on Audit COMELEC Commission on Election COTS Commercial On The Shelf Software CRS Civil Registry System CSC Civil Service Commission CSLP Commission on the Settlement of Land Problems DA Department of Agriculture DAR Department of Agrarian Reform DBM Department of Budget and Management DDB Dangerous Drugs Board DECS Department of Education, Culture and Sports DENR Department of Environment and Natural Resources DFA Department of Foreign Affairs DILG Department of the Interior and Local Government DISP Department Information Systems Plan DND Department of National Defense DOF Department of Finance DOH Department of Health DOJ Department of Justice DOLE Department of Labor and Employment DOST Department of Science and Technology DOT Department of Tourism DOTC Department of Transportation and Communications DPWH Department of Public Works and Highway DSS Decision Support Systems DSWD Department of Social Welfare and Development DTI Department of Trade and Industry EAPS Examination Application Processing System EBT Electronic Benefits Transfer E-Commerce Electronic Commerce EDF Economic Development Foundation EDI Electronic Data Interface EDM Electronic Data Management EIS Executive Information Systems EPS Electronic Procurement System FDDI Fiber Distributed Data Interface FINLINK Financial Information Systems Project FIRB Fiscal Incentive Review Board FMIS Financial Management Information System FTP File Transfer Protocol GAA General Appropriation Act GCMCC Government Corporate Monitoring Coordinating Council GHRMIS Government Human Resource Management Information System GIS Government Information System GISP Government Information Systems Plan GMIS Government Manpower Management Information System GOCC Government Owned and/or Controlled Corporations GPAIS Government Physical Assets Information System GPS Global Positioning Systems GRMIS Government Records Management IS GSIS Government Service Insurance System HLURB Housing and Land Use Regulatory Board HRIS Human Resource Information System HTML Hypertext Markup Language HUDCC Housing and Urban Development Coordinating Council IAFIS Integrated Automated Fingerprint Identification System IC Integrated Circuit ICC Integrated Circuit Card ICT Information and Communications Technology IEC Information Education and Communication INSPASS Immigration and Naturalization Service’s (INS) Passenger Accelerated Service System (PASS) IP Internet Protocol IRA Internal Revenue Allotments IRM Information Resource Management IRMO Information Resource Management Office IRMP Information Resource Management Program IS Information Systems ISO International Standards Organization ISP Internet Service Provider ISSP Information Systems Strategic Plan IT Information Technology ITFP Information Technology Foundation in the Philippines IT21 National Information Technology Plan for the 21st Century ITMDP IT Manpower Development Program ITR Income Tax Return JOBNET Job Market/Matching System LAN Local Area Network LBP Land Bank of the Philippines LCP Lung Center of the Philippines LEDAC Legislative Executive Development Advisory Council LGU Local Government Unit LRA Land Registration Authority LTO Land Transportation Office MIS Management Information System MNLF IP Moro National Liberation Front Integration Program Mobile IP or L2TP Special tunneling protocols for VPN MSC Multimedia Super Corridor MTEF Medium Term Expenditure Framework MTEP Medium Term Expenditure Plan NAMRIA National Mapping and Resource Information Authority NAPC National Anti-Poverty Commission NAPOLCOM National Police Commission NBI National Bureau of Investigation NCC National Computer Center NCCA National Commission on Culture and the Arts NCI National Computer Institute NCIC 2000 National Crime Information Center 2000 NCIP National Commission on Indigenous People NCIS National Crime Information System NCR National Capital Region NCWDP National Council for the Welfare and Disabled Persons NEDA National Economic and Development Authority NFA National Food Authority NHI National Historical Institute NHMFC National Home Mortgage and Finance Corporation NIN National Information Network NITC National Information Technology Council NITP2000 National Information Technology Plan 2000 NKTI National Kidney Transplant Institute NLAM Network Layer Address Management NM National Museum NSCB National Statistical Coordination Board NSO National Statistics Office NTA National Tobacco Administration NTC National Telecommunications Commission NYC National Youth Commission OCR Optical Character Reader ODA Official Development Assistance OES Office of the Executive Secretary OIRM Office of Information Resource Management OMA Office of Muslim Affairs OP Office of the President OP-EIS Office of the President Executive Information System PAGASA Philippine Atmospheric, Geophysical and Astronomical Services PC Personal Computer PCASTRD Philippine Council on Advance Science and Technology Research and Development PCHRD Philippine Council for Health Research and Development PCIC Philippine Crop Insurance Corporation PCMC Philippine Children’s Medical Center PCUP Presidential Commission for the Urban Poor PCS Philippine Computer Society PDA Personal Digital Assistant PDF Portable Document Format PEAC Prequalification, Evaluation and Awards Committee PETEF Philippine Electronics and Telecommunications Federation PGH Philippine General Hospital PHC Philippine Heart Center PHIC Philippine Health Insurance Corporation PHILVOCS Philippine Institute of Volcanology and Seismology PII Philippine Information Infrastructure PISO Philippine Internet Service Organization PLA (Office of the) President Legal Adviser PLDT Philippine Long Distance and Telecommunications Company PMA Philippine Military Academy PMS Presidential Management Staff PNP Philippine National Police POPCOM Commission on Population PSA Philippine Software Association PSC Philippine Sports Commission PSTN Public Switched Telephone Network R&D Research and Development RA Republic Act RAM Random Access Memory RDBMS Relational Database Management System RIARC Regional Integrated Agricultural Research Center RMAO Records Management and Archives Office ROS Research Outreach Station RTC Regional Trial Court S&T Science and Technology SEC Security Exchange Commission SISN Statistical Information Systems Network SSS Social Security System SUC State Universities and Colleges TCP/IP Transmission Control Protocol/Internet Protocol TESDA Technical Education and Skills Development Authority TIGERS Telecommunications, Industry Government, Education, Research and Development, Services UP University of the Philippines VMMC Veterans Memorial Medical Center VPN Virtual Private Networks WAN Wide Area Network WAP Wireless Application Protocol WORM Write Once Read Many WWW World Wide Web xDSL Digital Subscriber Line Chapter 1 ICT Developments and Challenges The success stories of many Asian countries may be attributed in large part to their adoption of policies and strategies that focused on the use and exploitation of information and communications technology (ICT). These include: strong government commitment and support for ICT development in the form of policy incentives; increasing levels of investment in ICT research and development projects;eralized and accelerated investments in key infrastructure and telecommunications facilities; increasing manpower development and skills training, particularly in engineering and ICT. A. ICT Facilities in the Philippines Telecommunications The liberalization of the telecommunications industry opened the doors for more players in the sector, which resulted in a dramatic rise in the country’s telecommunications facilities and services. •
Starting 1992, cellular mobile telephone services (CMTS) were offered
by public carriers with approved franchises on either regional or
national coverage. In 1997, the cellular phone density was at 18.78
phones per 1,000 persons, or about 53 users for every cell phone.
• Figures 1-1 and 1-2 show that about 5.4 million land-based telephone lines were installed from 1993 to 1997 with the implementation of the Service Area Scheme of the DOTC’s Basic Telephone Program. Telephone density increased nearly 10 times from 1992 to 1998. Liberalization brought more players in the telecommunications industry, and greatly increased the number of telecommunications facilities and services in the Philippines. Figure 1.1 — Telephone Lines Installed in the Philippines, 1990-1998 and Figure 1.2 — Telephone Density in the Philippines, 1990-1998 •
Three new alternative backbone networks are now being built to meet the
increasing demand of the public for faster, more efficient, and more
modern telecommunications facilities: the National Digital Transmission
Network, a fiber optic network to run from La Union through Western
Visayas to Davao City; the Domestic Fiber Optic Network which will
provide nationwide digital coverage, and a network that will ink Manila
and Cebu.
• Through the Municipal Telephone Program, the government as of September 1997, had put up 867 Public Calling Offices (PCOs) in municipalities nationwide, on top of the 427 set up by the private sector. Still, about 700 municipalities had no telephones as of 1998. • In August 1997, the Mabuhay Philippines Satellite Corporation launched the first satellite communications link connecting Metro Manila hub stations with all regions in the country. A second satellite is being built by the Philippine Aguila Satellite Inc., a consortium of private telecommunications operators. Personal Computers Market The personal computers market increased tremendously with average annual sales estimated at 350,000 units. About 20% of total sales is bought for home use, the rest for office and business use (Velasco, UAP/CRC 1999). The number of PC users and internet service providers and subscribers grew tremendously in recent years. Internet Service Providers From 19 in 1995, Internet service providers rose to about 160 in 1997. Other services using the Internet also expanded. Some new services using the Internet •
The Internet aXess card launched by WebQuest which provides telephone
services over the Internet;
• The first Philippine Internet Exchange (PhiX) established by PLDT, interconnects Infocom, Iphil, Mozcom, Virtualink and Worldtel which allows service providers to exchange local Internet traffic within the Philippines without having to connect to the host servers overseas. As of end 1997, Internet subscribers numbered 50,000 to 75,000 while an additional 150,000 to 225,000 nonsubscribers have access to the Internet through schools, offices, and cyber cafes (Velasco, UAP/CRC 1999). Software Service Providers A UNIDO study (1997) showed that local software providers are small, with very limited capital and capacity to develop products that will satisfy government’s sophisticated requirements. Government needs to address this through policies and strategies that will stimulate capital formation and encourage partnerships between local software and solution providers and government. The situation also calls for a government study on the possibility and implications of opening up the procurement of huge ICT projects to global competition. Local software providers are mostly small and unable to satisfy government’s sophisticated ICT requirements. B. International Comparisons Asian ICT Facilities Despite improvements in telecommunications, the Philippines falls behind its Asia-Pacific neighbors. Based on data from OECD’s 1999 World Development Indicators, the Philippines ranks second from the bottom in terms of ICT facilities among Asian countries, only better than Indonesia (Figs. 1-3, 1-4 and 1-5). Hong Kong and Singapore had ICT facilities comparable to those of Japan and the United States, which are the world leaders. Malaysia, South Korea and Thailand are likewise gaining more ground in improving their ICT facilities. The Philippine falls behind its Asian neighbors in terms of ICT facilities. Figure 1.3 — Distribution of Mobile Phones per 1,000 People in Selected Countries and Figure 1.4 — Distribution of Personal Computer per 1,000 People in Selected Countries Figure 1.5 — Distribution of Internet Hosts per 10,000 People in Selected Countries, July 1998 ICT Market The Asian ICT markets grew at an average of 20.44% from 1987, to 1994, outstripping the growth in the region’s gross domestic product (Fig. 1.6). The Philippine ICT market is growing at a pace more than twice its GDP growth. The rapid growth in the ICT market in the region resulted in its increasing share in the world market from 1.7% to 2.8% during the period. As in the rest of Asia, ICT market growth in the Philippines outstripped the country’s GDP growth. But compared to the other Asian countries, the ratio of ICT market size to GDP in the Philippines is still small. Figure 1.6 — Compound Annual Growth (CAGR) of IT Market and GDP (in %) 1987-1994 Key ICT Initiatives in Asian countries •
Malaysia’s 2020 Vision and Multimedia Super Corridor launched in August
1996
• South Korea’s program to build an information highway between 1996 and 2010 • Telecommunications and information industries as among the top ten priority industries in Singapore’s Manufacturing 2000 • The Philippines IT21 and provision of tax holidays and other incentives to locators in IT parks, a few of which have already been proclaimed: the Eastwood Cyber Park in Quezon City; the Northgate Cyber Zone in Alabang; and the Fort Bonifacio-Silicon Alley IT Park in Fort Bonifacio, near Makati City. The first Software Development Park has also been established at the Subic Economic Zone. And the Ayala Group has announced the proposed development of an IT park in Cebu. • The Science Park an Teletech Park in Singapore • The Technet and Industrial Technology Centre in Hong Kong • Kuli High Tech Park in Malaysia • Hong Kong’s plans to develop a HK$13 billion high-technology business park called the “Cyberport” in a bid to attract investments from information services companies. Hong Kong aims to position itself as a major hub for electronic commerce and information technology. • Singapore One, a high-speed, broad band network aimed at delivering interactive multimedia content to homes, offices and schools. Singapore plans to build its own version of Silicon Valley where high-technology educational institutes, research and development firms, and venture capitalists will be encouraged to set up shop. Contributing to this expansion are the successive multi-annual plans and information highway projects of these countries, including the development of science and technology parks and industrial estates with an ICT focus. Side by side with the initiatives of Thailand, Malaysia, South Korea, Hong Kong and Singapore, the Philippines has adopted a national ICT plan for the 21st century and gives ICT projects high priority in its investment plans. It would be noted however, that with ICT penetration ratio (market size as a percentage of GDP) as benchmark, the Philippines (with a ratio of 0.5) falls way behind such Asian countries as Hong Kong (1.2), Malaysia (1.3), Singapore (1.9), and Korea (1.6). The Philippines is at par with Thailand (0.6, China (0.5) and India (0.5), but slightly better than Indonesia (0.4). Figure 1.7 — ICT Penetration Rate in Selected Asian Countries (% of GDP) Government Computerization Initiatives in Selected Asian Countries Strong government leadership and extensive private sector participation pushed government computerization efforts in some Asian countries. Computerization efforts in the public sector or some Asian countries were anchored on strong government leadership and action as well as intensive and extensive private sector participation. For example: •
Singapore’s public sector computerization was a key component of its
National Information Technology Plan of 1980, which enunciated a
national policy on ICT. One of the objectives of the plan was to
computerize the ministries and departments of government to improve
productivity and stimulate the computerization of the entire country.
The program was implemented with strong central direction carried out
through the Committee on National Computerization. The committee, made
up of members from government agencies with intensive involvement in
ICT and the academe, was the top-level policymaking body for
information technology in the government.
• Malaysia embarked on an aggressive ICT development strategy in an effort to be globally competitive. It established the MSC, which features among other things, the development of Electronic Government as one of its flagship applications. This program is intended to improve government’s internal operations and services to the public. The operationalization of the Electronic Governance program is seen as the catalyst to the development of the Multimedia Super Corridor and the influx of investments in the sector. C. ICT Developments in the Philippine Government Government Computerization Initiatives Computerization in the Philippine government pre-dates similar efforts by our Asian neighbors, having started as early as 1969 with the so called “evangelization” on the fundamental uses of computers by then Executive Secretary Alejandro Melchor. On 12 June 1971, the National Computer Center (NCC) was established through Executive Order 322. The NCC assumed a pioneering role in the establishment of computerization capacities in the government. Its interventions were direct and total and included systems conceptualization, design and development, implementation, and manpower training. Its role has since expanded to being the government’s regulatory arm in the areas of ICT training certification and procurement and service provider to ICT resource management for the public sector. Government computerization in the Philippines started early but proceeded slowly. While the Philippine government was an early starter, its development speed was so slow it was overtaken by the faster government ICT development programs of other Asian nations. Nevertheless, there has been tremendous effort to catch up. In 1994, government adopted the National Information Technology Plan 2000 or NITP2000 and created the National Information Technology Council as the central policy body on ICT matters in the country. The council was also tasked with coordinating the NITP2000’s implementation. For the first time, government developed a comprehensive plan and mapped out strategies for the development of the ICT industry as well as the development of ICT in the public sector. In February 1998, government launched IT21, which outlines the country’s action agenda for ICT for the 21st century. One of the plan’s goals is for government to harness the use of ICT in improving its overall capacity and efficiency and thus enable local and national governments to be strategic partners in development. The plan promotes best practice ICT in governance and encourages the outsourcing of government ICT projects to stimulate industry growth. Government had to take big strides to make up for lost time in ICT development: adoption of NITP2000, launching of the ICT action agenda IT21, formulation of the Philippine Information Infrastructure, development of IT parks, and signing of the E-Commerce Law. The government formulated the Philippine Information Infrastructure (PII), which will provide the telecommunications systems and facility services, value-added network and communications services, and information or content management and applications services. The setting up of the RPWEB through Administrative Order No. 332 provided the needed impetus for the realization of the PII. The RPWEB will serve as the country’s Intranet o achieve interconnectivity and greater efficiencies in electronic information and data interchange among government, academe, and the industry and business sectors. A most significant development is the recent signing of the E-Commerce Law. The Law, which defines the Philippine government’s policies on electronic transactions and provides the legal framework for the country’s participation in e-commerce, opens vast opportunities for global trade and economic growth. Three ICT parks offering competitive financial and tax incentives for ICT business are now being developed in three strategic sites: the Eastwood Cyber Park in Quezon City; the Northgate Cyber Zone in Alabang; and the Fort Bonifacio-Silicon Alley IT Park in Fort Bonifacio, Taguig. The first Software Development Park has been set up at the Subic Economic Zone, and the Ayala Group is planning to develop an ICT park in Cebu. Figure 1.8 — Percentage of Total Microcomputers Installed in National Government Agencies by Processor Type Information Systems Applications Most national government offices have automated their clerical functions using word processing and spreadsheets. But while there are a number of transaction processing system in key government agencies, these systems have limited scope and functionality, are seldom integrated with related system in other government agencies, and in general, fail to provide timely and accurate decision-making support. Actual ICT usage in government is still very limited and does not provide substantial inputs to decision-making functions. Moreover, the actual level of ICT usage or the number of applications in use vary across agencies. There is also limited usage of administrative systems and even more limited usage of executive management systems. Networking Facilities Because data communications facilities hardly exist, “stand-alone” applications are the prevailing mode. A few operate on local area networks. There is minimal use of workgroup applications and decision-support systems, which generally add value to ICT application because they facilitate communication and information sharing, and could potentially improve the efficiency and efficacy of government agencies. There are no indications of mission-critical systems fully operating on enterprise-wide networks or linked with other information systems of other agencies. Sharing of database or communication network has not been vigorously explored or adopted. Due to the lack of advanced data communications facilities, most ICT systems in government are not networked. This impedes information sharing and linkaging which could have greatly improved efficiency and effectiveness of government agencies. Part of the problem could be the compartmentalized nature of Philippine government offices. Information sharing among government agencies is not encouraged, and ICT planning and procurement are done in isolation, thus preventing the setting up of needed integrated application systems that cut across different agencies. As of 1999, there were only twelve 12 wide area networks [WANs] in various stages of development in the government. The DOF now has four of these networks; DOF, three. The DA, DOLE, DTI and NEDA have one each, and the last is found in the constitutional commissions. A total of 58 agencies are connected through these installations while others employ the Internet for data transfer and communications. Only 130 offices have local area networks [LANs]. Only a small percentage of existing government ICT facilities can meet future computing and communication requirements; hence, the need for massive upgrading and installation of servers and client machines. Data communication facilities are unavailable in many locations. Even reliable voice communication services are nonexistent in some remote parts of the country. Some municipalities and barangays do not have reliable and continuous electric power yet. In many areas, Internet access can be obtained only by connecting to regional urban centers like Naga in Southern Luzon, Iloilo and Cebu in the Visayas, and Davao and Cagayan de Oro in Mindanao. Support Infrastructure and Technological Knowhow ICT expertise and knowhow are a vital component of the support infrastructure. Developing and maintaining computerized information and communication systems require a large pool of competent ICT professionals for systems beyond office productivity and clerical applications. But we are experiencing another brain drain in this field, as Filipino ICT professionals get attracted to the high-paying ICT jobs overseas. The situation is aggravated by the comparatively low salaries and limited career opportunities that government offers. Brain drain depletes the country’s pool of competent ICT professionals. ICT Standards in Government At present, most government agencies are essentially left to themselves to establish or adopt available ICT industry standards. While most internationally recognized standards for hardware, software, and data communication protocols and equipment can be adopted readily or with certain modifications, the establishment of data and application standards is equally important. Having common data and application standards in government is essential for compatibility, for sharing databases, and minimizing redundancy and inaccuracies in common and/or integrated applications. Common ICT standards must be adopted and enforced for all government organizations to ensure interoperability and compatibility. The challenge, therefore, is to ensure interoperability and compatibility among the different information and communication systems of government. The immediate task is to formulate, disseminate and enforce a common set of ICT standards for all government organizations. ICT Manpower in Government The 1997 NCC survey on the level of computerization in government showed that only 1.5% or 4,120 of the total 282,888 employees in respondent agencies comprise the ICT manpower complement, and about half of these are data encoders and computer operators. The others are programmers, systems analysts, and managers/administrators. Only a very small percentage of government personnel use or know how to use computer systems for analytical and management purposes. But the bulk of government personnel do not use computers. Their number vary in proportion among the different departments. Ironically, some departments with extensive public goods production and delivery services have very small proportions of their people using computers, such as DOH (30%), DENR (20%), DOLE (29%), and DSWD (6%). These data indicate the need for massive training and change management in government agencies to retool the existing manpower tool being tapped for ICT functions. Since the current remuneration package for government personnel is relatively low compared to the prevailing market rates, agencies find its difficult to recruit and maintain a qualified ICT personnel. It is also imperative that agency heads be educated on ICT to raise their appreciation level of the importance of ICT in improving complied processes and for policy formulation and administration. The variety in the size and nature of the ICT staff in different government organizations (e.g., some are bureaus, some are divisions, while others do not exist as formal structures) also partly accounts for the varying levels of computerization efforts in government. Computerization in LGUs The 1997 NCC survey showed that all of the 42 provinces and 32 cities that responded have at least one microcomputer. There are neither mid-range computers nor mainframes among these local government units (LGUs). The most common applications or information systems at the local level are the payroll system and civil registration systems. Seventeen provinces and 22 cities are connected to the Internet. Computers and information systems at the local level are basically used to automate some clerical tasks and to computerize the data they collect from its clientele. Databases are not yet used to generate critical inputs for policy and planning processes at these levels. The extent of computerization in LGUs goes only as far as the use of microcomputers, and mostly for clerical tasks. Only about 6% of the total 81,678 government personnel in the surveyed local government units use computers, and even a smaller proportion (2.3%) had training on information technology. Less than 1% or only 259 employees comprise the ICT personnel at the local level. Government Investments in ICT Government spending in ICT is generally on the rise, although not fast enough. Annual current operating expenses for ICT projects or activities are estimated at P650 million. The 1999 budget provided P1.5 billion for ICT activities. The government is now spending more and more for ICT, but the amount is still not enough for the magnitude of the ICT improvements required. The government in the past six years has acquired more than P7 billion worth of ICT assets. The implementation of the various information systems plans of agencies endorsed by NCC will require funding of about P23 billion over the next six years. The current level of investments is still very limited in relation to the magnitude of information technology required to improve government services and institutional efficiencies. These limited investments contributed to the widening information technology gap in the government. D. Institutional and Policy Issues An entire range of government institutions influences the dynamics of ICT development in government. A clear, coherent and well-delineated institutional setup for ICT, therefore, is a prerequisite to sound ICT policy formulation and implementation. Sound ICT policy formulation and implementation require a clear institutional setup for ICT. There are a number of government agencies and bodies whose functions or activities relate to or affect ICT development and management in government. These agencies include the National Information Technology Council (NITC); the Department of Science and Technology (DOST); the Department of Budget and Management (DBM); the Department of Transportation and Communications (DOTC); the Department of Trade and Industry (DTI)-Board of Investments (BOI); the National Economic and Development Authority (NEDA); the National Computer Center (NCC); the National Telecommunications Commission; the Commission on Audit (COA); the Civil Service Commission (CSC). At the policy level, the National Information Technology Council (NITC) was established in 1994 by Executive Order 190 (amended by EO 469 in 1998, and EO 125 in 1999) as the overall policymaking and coordinating body for the development of ICT in the country. There are a number of government agencies involved in ICT development and management. The overall policymaking and coordinating body is the National Information Technology Council. The NITC has cabinet-level representation, and NITC decisions are brought directly to the highest levels of policy and decision-making in government, but problems continue to persist. These problems include the following: 1. Inability of the principal members to participate in most meetings of the council and the tendency of sending representatives who would often have no sufficient authority or mandate to commit the agency on key issues, thus delaying action thereon; 2. Lack of a mechanism to ensure consistency of decisions at the Cabinet/NITC level, at the oversight agency level, and at the executive/project execution level; 3. Lack of a full-time technical secretariat to perform substantive functions/activities for the council such as the (a) preparation of technical/background papers for the use of the council members for a more informed discussion of issues; (b) conduct of needed follow up on council decisions; and (c) coordination, at the technical and program level, of the various ICT efforts, particularly in government. Other related issues are: 1. Need for representation in the NITC of other key ICT players or sectors, which include the banking sector, ICT professionals, represented by the Philippine Computer Society; the software developers and producers, represented by the Philippine Software Association; and the computer manufacturers and distributors, represented by the Computer Manufacturers, Dealers and Distributors Association of the Philippines (COMDDAP) and the IT Association of the Philippines ITAP). Related to this is the issue of whether oversight constitutional bodies like COA and the CSC should also be represented in the NITC. 2. Need to generate specific action ideas and specific projects from members, particularly those from the private sector, that would clearly define their contribution as council members toward achieving the NITC’s goals and objectives; and 3. Need to address key issues, especially those that continue to hamper the more rapid growth and wider application of ICT in the country (e.g., high telecommunications cost and limited access in many areas of the country; limited bandwidth for faster access to electronic databases and the Internet; interconnection and convergence issues) Other policy gaps occur mainly because the scope of functions of oversight agencies has not been clearly defined and functional relationships have not been clearly delineated. Classifying ICT resources for funding and procurement, for example, should be resolved whether it is a NCC responsibility or part of the auditing functions of COA. Clearly such function is not within the purview of auditing. The functions and relationships of the various agencies have not been clearly delineated, and this has caused some policy gaps. Some of the gaps have been addressed by EO 125, but certain challenges remain, such as the need to articulate the ICT vision in the public sector, the need to establish ICT priorities, and the need to formulate standards, benchmarks and guidelines for GISP implementation. Some gaps have been addressed to a large extent by the issuance of EO 125, which clarified and strengthened the NITC and NCC and delineated their respective functions. The effectiveness of these new arrangements in addressing existing weaknesses and gaps in policies, particularly those concerned with public sector ICT development, remains to be seen. Institutional and policy issues pose major challenges for further reform, as follows: 1. Government must clearly articulate the vision of ICT development in the public sector, and its role in achieving socioeconomic development goals and in pursuing more efficient, effective, and responsive governance. 2. Government must define and establish ICT development priorities, particularly those relating to financing and investment. In doing so, it must resolve funding problems for existing ISP projects not included in the GISP versus GISP projects, especially in the light of limited resources. 3. There is a need to formulate technology, security, interoperability, functionality and other relevant standards and benchmarks, as well as guidelines, for the implementation of the GISP. 4. A comprehensive procurement policy for the GISP needs to be formulated to address a wide array of issues and concerns which include the following: a. A comprehensive procurement policy for ICT resources and services should be formulated. Such policy, which should adhere to the principle of relegating to the private sector the production and provision of goods and services, should simplify procedures for procurement and contracting/outsourcing of services. b. The government needs to define an outsourcing policy that will ensure that it gets the best service for the least value. Toward this end, government should identify policies that stimulate competition, upgrade the capacities of local industry, and explore the potential of opening the government ICT market to international players. 5. Finally, government needs to establish clear rules, regulations and guidelines for the sharing among government agencies of ICT resources to improve utilization efficiency. E. Network Infrastructure and Telecommunications Issues The telecommunications and network infrastructure—consisting of basic telephone lines and networking equipment like servers, routers, hubs, modems and computers—must be available, accessible, affordable, reliable, and of good quality. The presence of these features is crucial to the implementation of an electronic governance (and electronic commerce) strategy. Government must create a policy environment that will ensure a level-playing field, clear and transparent rules, public-private collaboration, and enough ICT institutional autonomy. For government, business and industry, as well as for the public, telecommunications are essential to the rapid growth of ICT. Hence, government must provide the necessary policy environment that will ensure the following: 1. Level-playing field for all players to allow credible competition to flourish; 2. Transparent and clear rules to encourage innovation and therefore satisfy consumer demands on quality, affordability, and product variety; 3. Workable public-private sector scheme to encourage private investments to flow, thus enhancing the quality of services; and 4. Legislated institutional reforms that will allow the regulatory body to have sufficient autonomy, free from any political interference, in the exercise of its functions. F. Financing Issues The key issues related to the financing of ICT projects in government are: Financing needs must be addressed — to formulate a clear budget policy and framework, to sustain resource allocation, and to generate and mobilize ODA and other resources for ICT. 1. Need for a clear budget policy and framework. There is at present no clearly articulated budget policy for ICT in government. Hence, individual agency budget requests submitted to DBM and Congress on a yearly basis are evaluated independently of each other with no integrating ICT budget plan or framework. The need for an ICT budget framework is especially necessary in view of the numerous contending priorities of the National Government for budgetary appropriation. This budget policy will help guide the agencies, the DBM, Cabinet and Congress in allocating and prioritizing budget requests for ICT development in government. 2. Need to sustain the allocation of resources. There is clearly a need to sustain support to government ICT efforts to ensure the continued viability of these projects. Such support will give a clear signal of the government’s commitment to the continued development of ICT. More importantly, it will give a certain degree of permanence to the cash flow for ICT contracts, most of which are multi-year in gestation and multi-year in delivery. As a result of the government’s allocation, private business may be encouraged to go into the ICT industry, and hopefully at least match the government’s level of expenditure, thereby creating some degree of multiplier effect. A government funding commitment will also allow a more rational prioritization of projects as identified in the Implementation Program of GISP. 3. Need to mobilize Official Development Assistance (ODA) and other resources. The government should actively pursue creative ways to generate the needed resources for government ICT projects. This may include the synchronization of the allocation of ODA and other resources for ICT projects in government. Likewise, it should develop mechanisms for tapping new sources of funding for local government computerization activities to further spread out the benefits of ICT to the regions and communities. G. Government Development Objectives and Governance Reform Initiatives The government is in the midst of an administrative reform program to enhance overall government efficiency and effectiveness, while ensuring wider and speedier public access to government information and services. Reforms are being pursued particularly in government procurement, financial management, manpower development and personnel welfare, organizational effectiveness, and service delivery. Administrative reforms being undertaken by government hold important implications for ICT: GISP mechanisms should take into consideration government’s reorganization and decentralization measures, support its poverty alleviation program, and help empower LGUs for assuming their devolved functions. The implications of these bold reforms for ICT in government are tremendous. 1. There may be significant formal organizational changes in the executive branch if the reorganization law is passed. As such, the identification of the GISP building blocks should include only systems that are either the fundamental functions of government or those that are clearly valid and should not be abolished nor substantially altered because they fall within the principles and parameters established under the reengineering plans. The first GISP priority systems and building blocks should include the fundamental functions of the government and the steering functions of government in the sectors. Government production and service delivery functions should be supported by ICT that will continue to be useful in the event of privatization or devolution. 2. There are indications for wider decentralization of national government functions and activities. This means that government will delegate more power, authority, responsibility and accountability to their lower units, particularly in the field offices. This is consistent with the government’s thrust of poverty eradication and serves as a potentially effective way of bringing government closer to the people. Information technology makes possible a sound decentralization with strong oversight management control and monitoring. The GISP should be able to support this effort by establishing the networking requirements between central and local activities of the government. 3. Poverty eradication entails not just the provision of huge funds for the poor but anchoring such programs on a sound knowledge of the character and extent of poverty in the country. The poverty program of government should therefore be supported by a system of generating, organizing, and processing information useful in the following: 3.1 providing convenient and speedy access to government services and information on opportunities for the poor both in urban and rural areas. 3.2 providing government policymakers and implementors adequate, up-to-date, and accurate information on the status of the poor for sound and responsive policy formulation and for the design of specific interventions. The government poverty program should include an ICT-based feedback mechanism for the provision of timely and accurate information on the status and specific needs of urban and rural poor communities for the application of more responsive policy interventions. 4. Reform initiatives in government housekeeping functions require the development of information systems that provide standards for agency level systems and a sound consolidation and monitoring facility at the oversight level. 5. With the government thrust to continue empowering local government units within the principles advocated in the devolution program, there is a need to speed up the building of LGU capacity to effectively assume increasing responsibilities. One of the fundamental requirements to improve LGU capacity is the provision of information systems support for core business and regulatory functions, particularly in the areas of regulation and revenue generation. The foregoing reforms provide inputs in the identification of the priority strategic information systems cutting across institutions and sectors, which will be a key feature of the public ICT framework plan. H. Public Sector Absorptive Capacity for Electronic Governance The absorptive capacity for electronic governance in the country has been growing over the past five to six years. This is expected to accelerate further with the passage of Republic Act 8792, or the Electronic Commerce Law, and as larger segments of the population gain wider access to ICT and telecommunications. At the same time, the adoption of a government ICT policy framework for a sustained and more coherent approach, as well as a positive change in the mindsets of policy and decision makers toward ICT use and investment, are expected to further accelerate public sector absorptive capacity for electronic governance. Adoption of a government ICT development framework will speed up the expansion of the Philippines’ absorptive capacity for electronic governance. Computerization efforts in government are generally characterized by a lack of an integrating framework and common platform. Moreover, computerization efforts are mainly limited to office automation and clerical operations, with very few executive decision support and mission-critical systems in place or being developed. For the most part, the latter systems are stand-alone and have very limited application within the agency, much less connectivity with other systems within the same organization or outside. A key challenge is the development of interagency networks that will allow seamless information exchange and resource sharing among agencies that have related functions and those that work for the same sectors. Chapter 2 Vision and Development Framework A. Vision Consistent with the national vision and objectives set forth in the Medium-Term Philippine Development Plan or Angat Pinoy 2004, government shall harness the full potentials of information and communications technology (ICT) to ensure wider public access to information and the faster and more efficient delivery of government services to the public. The goal is for every Filipino citizen and foreign investor anywhere in the world to have online access to government information and services. Once the Philippine government goes online, Filipino citizens anywhere in the country and in other shores, as well as current and potential foreign investors anywhere in the world, will have electronic access to government information and services. To realize this vision, the following shall be the specific goals to guide the implementation of the GISP: Within five years after approval of the GISP, the government shall have put in place the enabling environment, the policies, and the appropriate institutional structures to allow the full and unhampered implementation of the GISP. Government agencies shall have engineered pertinent business processes and embarked on the automation of their frontline services and housekeeping systems. Given this enabling environment, the private sector shall have built up its capacity and put up the organization and investments required to respond adequately to the challenge of providing quality ICT services to the government. Within the first decade of the 21st century, every Filipino, every organization, and every foreign investor and visitor, shall have online access to government information and services in their homes, in community or municipal centers, in foreign posts, in public libraries and kiosks, and in government offices. Within the first decade of the 21st century, the application of information technology in government operations shall have improved governance with the following key indicators of success: • Faster and simpler processing of licenses, permits, and certifications; • Expanded and more convenient access to more and better quality information and services; • Efficient planning, generation, and management of government resources, in the process adding value to every taxpayer’s peso, reducing waste, and eliminating opportunities for graft and corruption; and • Highly developed and more responsive public sector organizations with better-informed decision-making, highly transparent and accountable operations, and goal-driven instead of task-driven government employees. B. Goals and Objectives The GISP seeks to realize a system of governance that will lead to: An electronic bureaucracy will link government institutions to the public and private sector institutions. • Faster and better delivery of public goods and services; • Greater transparency in government operations; • Increased capacities of public sector organizations; and • Proactive participation of citizens in governance. These are in support of the broader national development goals as follows: • A globally competitive economy; • Accelerated development of human resources and eradication of poverty; • Equitable spatial distribution of development, economic activity, and population; • Sustainable development of natural resources; • Improved peace and order; and • More effective governance. These shall be realized through the establishment of an electronic bureaucracy that will link government institutions with one another, with the public, and with private sector institutions. 1. Information Systems Solutions Government shall harness ICT in developing solutions the directly address and support the country’s development goals. 1.1 Globally Competitive Economy Objective Key objectives include more efficient operation of markets and improved management of social services. To promote the efficient operation of markets, particularly in the following areas: • Providing information on business opportunities, credit and technical assistance, sources of materials and information, and linkages; • Developing sound economic policies and strategies, and monitoring and assessing their performance; • Formulating and enforcing appropriate rules and regulation; and • Promoting electronic commerce. 1.2 Accelerated Development of Human Resources and Eradication of Poverty Objective To improve the management of social services, particularly in the following areas: • Upgrading information support so that government can better formulate, implement, and assess policies in education, health, welfare, and labor policy, as well as plan and mange poverty eradication programs more effectively; • Achieving faster, more efficient, and more responsive social services particularly to the poor, the elderly, the handicapped, the disadvantaged, and victims of disasters; and • Facilitate access to information on public services, employment and livelihood opportunities, health and welfare services, credit and assistance, and distance education and training. 1.3 More Equitable Spatial Distribution of Economic Development, Economic Activity and Population Objective To decentralize decision-making, production and delivery of public services, and enforcement of regulations across the country thereby allowing proximate, equal, and convenient access by citizens and organizations. 1.4 Sustainable Development of Natural Resources Objective To promote sustainable use of the country’s natural resources, particularly in the following areas: • Improving the system of gathering, processing, storage, and retrieval of information on the country’s natural resources; and • Upgrading government’s capacity to manage the ownership and utilization of those resources. 1.5 Improved Peace and Order Objective To build on and support the implementation of the National Crime Information System (NCIS), focusing on systems that enhance government’s capacity to prevent crimes, track down criminals, monitor criminality, and administer justice. 1.6 More Effective Governance Objective To improve agency capacity for administration, particularly in the following areas: • Managing public sector physical, financial, and human resources; • Promoting transparency and public accountability and reducing graft and corruption; • Creating customer feedback mechanisms; • Improving coordination between and among agencies and employees; • Upgrading the quality and speed of managerial decision-making; and • Establishing of an environment conducive to continuous education and advancement of public sector organizations. 2. Technologies Government shall promote the design, development, and adoption of cost-effective technologies. 2.1 ICT Infrastructure Objective To establish the appropriate infrastructure, in particular the telecommunication networks, hardware and software, and information systems and procedures in accordance with the following electronic government principles: • Easy access — Geographically proximate access to information and services by the public and the provision of online query/guide; • Reengineered processes — Shorter processing time, “less paper” requirements, nonrepetitive processes and input requirements, simpler compliance and evaluation procedures; • Networked systems — Local, regional, interagency and public-private networking of related systems and processes; • One-stop/nonstop shops or windows — For permits, licenses, business and other frontline transactions and services; • Customer-driven service — Systems that can evolve and keep up with the changing requirements of government customers; • Privacy protection and security — Protection of the right to privacy and institution of measures to ensure security of access to and processing of information at all levels; and • Compliance with laws and standards — Compliance by all systems, procedures, input and output requirements with the provisions of pertinent laws, government policies, rules, and regulations, and adaptability of the system to the changing legal parameters of government. 2.2 Interconnectivity Objective To adopt interconnectivity solutions, plans, strategies, and systems that will successfully interconnect the various government agencies with one another and with the public. To this end, the following shall be established: Solutions, plans, strategies and systems will be interconnected to benefit the public. • Electronic collaborative support systems operations that share basic resources, equipment, and other ICT facilities; • Intergovernmental sharing of databases and exchange of information to eliminate duplication of functions and redundancies, and ensure responsiveness in reporting, coordination, cooperation, monitoring and service delivery, among other functions; and • Interoperable electronic messaging and communication system for government age |