SITA : Client interface update

1
SITA Client interface update

• Joint Portfolio committee presentation
• 25 June, 2003

2
Overview

• SITA
• Structure
• Operating Model
• Impact measurement
• Mid-term strategy
• Client Interface strategic objectives
• Customer base
• Highlights performance (2002/3)
• Customer experience
• challenges
• risks
• Conclusion critical success factors

3
SITA structure

Holdings

E- services
Civilian
Defence
CLIENT INTERFACE
CUSTOMERS (ALL TIERS OF GOVT)
4
Defining the mid-term strategic ambition and
leadership agenda
STRATEGIC DIRECTION STRATEGIC AMBITION
SITA Strategic Ambition
High

• To become a leading and respected public sector
  IT company that is
• Delivering value for money
• Delivering relevant products and services cost
  effectively
• An advanced user of IT and
• An employer of Choice

• Organization migration subsidiaries

3 Years
Degree of strategic focus
SITAs Leadership Agenda
As-Is 2002/03

• 100 transversal business
• ITAC predictive and budget driver for Government
  IT
• Certification and authentication of services and
  products

• Operating model consolidation

High
Degree of Commercialisation
Low
1 SITA Consolidate IT Company.
5
Operating Model
1
Client Interface
Meeting and exceeding client expectations
every time
2
5
Service Delivery
Risk Audit
Corporate
Quality, delivered and sustainable service
delivery management
Proactive risk management and institutional
capability
3
4
Human Capital
Finance
Desired mix of experience and new
blood Leadership from the core
Free cash flow and
Value for Money
Impact of implementing SM best practices
6
Measuring impact of operating model.
1
Client Interface Forum

• Contracting formally
• Delivering to the promise
• Coordinating internal
• resources

2
5
Service Delivery Forum
Risk Audit Forum
Corporate

• Exceed expectations
• Benchmark of service
• Quality and standards
• management

1. Identification of Risk
2. Audit and Record KEEP
3. Risk Management

3
4
Human Capital Forum
Finance Forum

1. Skills and Competencies
2. Recruitment
3. Performance Management
4. Training and Development
5. LRA and Admin

1. Cost Containment
2. Revenue enhancement
3. Free cash flow

Impact of implementing SM best practices
7
Client Interface Strategic focus
Contracting formally
Customer satisfaction
Delivering On promise
Debt management
Integrated business approach
8
SITA customer base
Local Government Clients
National Department and other organs of State
Clients
Provincial Government Clients

• GOVT CLUSTERS
• CRIME PREVENTION IJS
• INVESTMENT
• ECONOMIC
• SOCIAL
• INTERNATIONAL
• GOVERNANCE ADMIN.
• SAPS

• 6 METROs
• DISTRICT AUTHORITIES
• LOCAL AUTHORITIES

• GAUTENG
• W CAPE
• E CAPE
• N CAPE
• FREE STATE
• LIMPOPO
• MPUMALANGA
• KZN
• N WEST

9
HIGHLIGHTS
Client interface Highlights

• Progress on client coverage
• Improved client/SITA interaction
• Executive visibility
• Good recovery on account payables
• Historical debts
• Improved gt60 days position
• Potential revenue streams new initiatives
• Seat Management Services/ GCCN
• Contracting formally improvement (80-85 signed
  SLAs)
• Targeted account review sessions initiated
• Co-wide participation
• Client/SITA work sessions initiated
• Revised account planning customer input

10
Budgets /Targets by national clusters
CLUSTER R/book Budget 02/03 SITA targets 02/03 Achieved 02/03 R/book Budget 03/04 SITA Targets 03/04
Crime Prevention IJS 303.3 484.4 184 348 205
Investment 122.8 77 90.6 239.8 117
Economic 355 600 92.7 405.3 119
Social 179.9 74.3 70.3 72.1 90
Governance Admin. 406 324 66.1 TBD 83
International 62.6 45.1 45.3 86 70.5
SAPS 537 600 568 590.8 578
11
CHALLENGES
Challenges

• Establish value add solution selling
  methodology and process
• Delivering on the promise
• Entrench service management approach
• Review products and services packaging
• Relevance to market
• Delivering on demand
• Comprehensive Marketing and communications Plan
• Re-engineer internal processes

12
CHALLENGES
Challenges.

• Revenue growth
• Business predictability
• Tools processes
• Procurement process refinement
• Enforcing high performance culture
• CI team integration
• Performance management
• Requisite resource retention
• Consolidating client/SITA relationship
• Client leadership/exec level intervention
• Entrench integrated business approach on
  engagement

13
Risks

• Revenue erosion
• Impact of SITA Act
• Industry invasion
• SITA competency/capability gap
• Irrelevant costly technologies
• Solution fit
• Compatibility with IT House of values
• Compliance with standards
• Competitive pricing from industry
• Service delivery disconnect
• SITA Mandate non-achievement
• Non delivery
• Absence of thought leadership
• Debt inflation
• Skills loss

14
Client InterfaceCritical success factors

• Strategic partnering with government clients
• achieve IT house of values
• Consolidate understanding of customer insight
• Solutions offerings relevance and customer
  requirements fit
• Procurement process flexibility and alignment
• Managed engagement process
• Formal Client Satisfaction Surveys feedback
• Formal contracting BA and SLAs
• Mutual trust support

15
Thank You