ICGFM Promotes Knowledge Transfer Among Public Financial Management Experts

Working globally with governments, organizations, and individuals, the International Consortium on Governmental Financial Management is dedicated to improving financial management by providing opportunities for professional development and information exchange.

Thursday, December 3, 2009

Government Performance Management Needs Government 2.0

Government Performance Management requires Citizen Feedback

Government 2.0 and government transformation is inevitable, according to Doug Hadden, VP of Products at FreeBalance, and VP Communications for ICGFM. Government, society and technology trends are creating an environment for transformation. Citizens demand improved performance. Techniques used for Corporate Performance Management (CPM) are not effective in government.

Mr. Hadden introduced Web 2.0 and Government 2.0 applications. ICGFM has been leveraging social networking or Web 2.0:

The differences between E-Government and Government 2.0 were presented. The impact of cloud computing, semantic web and mobile computing was put into perspective. Mr. Hadden questioned the categories of unstructured and structured data used in the software industry. He predicts that the next generation of government applications will integrate transactions, documents and collaboration.

Corporate Performance Management techniques operate well in business because there is a bottom line - profit. There can be numerous unintended consequences of government programs. These impacts may not be measured giving and incorrect view of success. Government Performance Management focuses on structural concerns, according to Mr. Hadden. Internal and external social networks are required to provide a 360 degree view of government performance. Examples of the use of Government 2.0 to enhance government performance was presented.

Security is a concern for Government 2.0 adoption. Yet, the fastest adopters for this technology are in the Defence and Homeland Security departments in the United States. The US Government Intellipedia application has become the "meme" case study for Government 2.0 adoption, according to Mr. Hadden.

Inevitable Government Transformation

Mr, Hadden placed Government Performance Management in context to social change and social pressures. Globalization creates competitive pressures among countries. The desire for improved governance and transparency from citizens is creating more open governments. And, citizens and businesses have expectations set through the use of e-commerce and Web 2.0 tools.

This move to Government 2.0 and Government Performance Management is part of long-term trends. Mr. Hadden introduced theories presented by Marshall McLuhan. He suggests that government transformation is inevitable - that Government 2.0 is a technology enabler. The organizational and societal changes that make this inevitable are:
  • Flattening of organizations
  • Move from vertical to virtual integration
  • Project and program focus in government
  • Top-down to bottom-up organizations
  • Role changes and the move to generalization
There will remain cultural barriers to adoption of Government Performance Management 2.0. Mr. Hadden described a number of government initiatives world-wide that demonstrate movement to this new model of social networking and performance. A scenario for the future was presented - showing the necessity of linking transactions, documents and collaboration in order to have a full picture of government performance.

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