HomeMy WebLinkAbout2020-01-21; City Council; ; A strategic approach to citywide digital transformation~ CITY COUNCIL
~ Staff Report
Meeting Date:
To:
From:
Staff Contact:
Subject:
Jan. 21, 2020
Mayor and City Council
Scott Chadwick, City Manager
Maria Callander, Director of Information Technology
maria.callander@carlsbadca.gov or 760-602-2454
Doug Kappel, Information Technology Manager
doug.kappel@carlsbadca.gov or 760-602-2791
A strategic approach to citywide digital transformation
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Receive an informational report on a strategic approach to citywide digital transformation.
Executive Summary
The City of Carlsbad has adopted many digital solutions to shift manual or analog processes to
digital applications. Digital solutions can improve efficiency, support robust internal controls,
reduce errors and enhance customer service. The city's traditionally selected and adopted
these solutions based upon the individual business need of individual departments, not the city.
As the world progresses, becoming more online, mobile and interconnected, the need for cities
to be strategic about implementing digital tools and services is more important than ever. This
report presents a strategic approach to digital transformation that will provide more effective
services to our residents, visitors, businesses and employees.
Discussion
Background
Over the past two decades, the City of Carlsbad has implemented many software solutions for
its internal and external operations. For example, the city's financial system, payroll, and
human resources functions are all managed using various software applications. The city has an
application that replaced the previous land use permitting process, and the Parks & Recreation
Department uses software that allows the public to register and pay for classes and events.
Every department in the city has adopted some type of digital solution to handle what had
been a manual process. As a result, city staff must currently maintain about 100 software
applications for city operations.
As cities have adopted digital solutions and the public has become more reliant on digital
technology, there's no question that the future of all cities is in providing an effective platform
for engaging with city services. Approaching the subject of digital services incrementally rather
than strategically leads to inefficiency, redundant systems, problems with integrating
Jan. 21, 2020 Item #4 Page 1 of 18
technologies and potential waste. City staff have developed a more strategic approach to digital
transformation rooted in best industry practices and the city's current and future needs.
This strategic approach considers the city's digital operations and services from a citywide
perspective, or what is commonly known in information technology as enterprise wide, using
enterprise resource planning. In enterprise resource planning, an organization develops a suite
of integrated software applications to manage its operations. An enterprise resource plan can
automate many back-office functions related to technology, human resources and other areas
of city business. It also allows data to be shared by applications, making information about city
services easier to track and analyze.
The city has adopted individual software applications that could be pieces of an overall
enterprise resource plan, but it has not defined a unifying approach to integrate all these
solutions for greater effectiveness and efficiency.
For example, the city uses distinct software solutions to manage its financial operations,
personnel and payroll. The selection, installation and updating of these applications has been
an incremental, disjointed and siloed process, and some ofthe city's existing software has not
been upgraded in a very long time.
The public is inconvenienced by this piecemeal approach to software deployment. For example,
Carlsbad residents must have separate accounts, each with their own user names and
passwords, to:
• Check out books or access online reference material from the library
• Pay their utility bills
• Sign up for recreation classes or programs
• Apply for a permit or business license
• Submit a public records request
• Submit a request for city services
• Apply to be a city volunteer
Meanwhile, city staff are also dependent on outdated, manual processes, and must enter data
by hand into a wide range of applications that do not share data with one another.
By adopting a more strategic approach to our digital systems, the city has the opportunity to
operate more efficiently, reduce the likelihood of loss of service and better provide for the
current and future needs of our residents, visitors, businesses and employees.
In fiscal year 2014-15 the city allocated $500,000 to assess the opportunities for an enterprise
resource planning approach to the city's operations. A contract with Plante Moran, a consulting
company that advises governments on digital transformations, was approved by the City
Council on February 10, 2015, and the consultant provided an Enterprise Resource Planning
Needs Assessment report to the city on May 9, 2016.
Jan. 21, 2020 Item #4 Page 2 of 18
Plante Moran reviewed the city's existing businesses processes, offered high-level future
process recommendations, provided key performance indicators from comparable cities and
estimated the return on investment the city would realize by shifting to an enterprise approach.
The consultant found the City of Carlsbad had:
• Decentralized business operations
• Limited access to its data and information
• An over-reliance on manual processes
• Incomplete system implementations
• Limited documentation and training on digital tools and processes
• Inconsistent enforcement of policies and procedures
While there have been improvements in many of these areas, the city still faces significant
challenges in its enterprise resource planning.
One of the report's key recommendations was to replace redundant and isolated digital
applications with an integrated, citywide enterprise resource planning solution that streamlines
businesses processes and provides more timely access to data and information.
Strategy based solution
New strategy
Based upon a review of our existing systems and the analysis by the outside consultant, the
Department of Information Technology has developed a strategic approach to digital
transformation that takes an enterprise, or citywide, approach to the digital applications the
city uses or intends to adopt.
Attached to this item is the Application Portfolio Strategic Plan, which provides a plan for
executing this approach . This plan includes these important goals:
• Modernize and strengthen the city's portfolio of digital applications
• Provide integrated, more efficient, city services to residents, visitors and businesses
• Build the capability for data-driven government
• Foster a culture of vibrant civic engagement
• Enhance accessibility and transparency
Achieving these goals requires a unified suite of digital applications that are interconnected,
that share data, that increase staff efficiency and make doing business with the city simpler and
more convenient for residents, businesses and visitors.
A good example of how digital solutions can effectively replace manual processes is the city's
Public Record Act request and council inquiry portal. Using a software application from a
company called GovQA, the city is able to provide a simple online portal for people to request a
public record. This portal significantly reduced the amount of time it takes members of the
public to access records and staff to answer questions. Instead of adopting another application
to handle city council inquiries from the public, the city expanded its use of GovQA in 2019 to
Jan. 21, 2020 Item #4 Page 3 of 18
also handle that workload. To date, 62 requests have been routed and resolved using this
platform.
To provide the City Council with the best options for pursuing digital transformation, city staff
released a Request for Digital Transformation Ideas and Partners. This document asked digital
solution providers to detail why they would be qualified to help the city achieve its enterprise
resource planning goals. This was done using challenge-based procurement, a method that asks
potential vendors to propose their solutions to a given challenge, rather than being given a
specific set of requirements to fulfill.
Staff will review the qualifications of the potential partners who respond, then select the
partner or partners who could best help them assess the city's challenges and opportunities
and craft the most effective solutions. This innovative partnership will enable city staff to make
more informed recommendations to the City Council on the best approach to upgrading the
city's digital applications and systems.
Fiscal Analysis
This is an informational item with no fiscal impact.
Next Steps
Staff will evaluate the qualifications of potential partners and select the company or companies
that can best help the city achieve its enterprise resource planning goals.
Staff will then make recommendations to the City Council consistent with this more strategic
approach to our existing and future systems and software needs during the budgeting process
for fiscal year 2020-21.
Environmental Evaluation (CEQA)
Pursuant to Public Resources Code Section 21065, this action does not constitute a "project"
within the meaning of CEQA in that it has no potential to cause either a direct physical change
in the environment, or a reasonably foreseeable indirect physical change in the environment,
and therefore does not require environmental review.
Public Notification
This item was noticed in accordance with the Ralph M. Brown Act and was available for public
viewing and review at least 72 hours prior to the scheduled meeting date.
Exhibits
1. City of Carlsbad Application Portfolio Strategic Plan
Jan. 21, 2020 Item #4 Page 4 of 18
Application Portfolio Strategic Plan
PURPOSE
This document establishes a high-level strategic plan that provides an enterprise focused framework that will enable the
City of Carlsbad to fundamentally transform its portfolio of digital applications. This transformation will enable the city
to:
• Modernize and strengthen its technology application infrastructure
• Provide more efficient, integrated city se rvices to residents, visitors and businesses
• Build the capability for data-driven government
• Foster a culture of vibrant civic engagement
• Enhance accessibility and transparency
The applications in the portfolio are fundamental to the city's ability to carry out its core business functions.
Implementing applications re quires a significant investment of city resources in cost and staffing. As the city looks to
upgrade existing applications or implement new applications, it is imperative that these initiatives are evaluated to
ensure they align with the city's strategic vision and its goal of being a digital city leader.
GUIDING PRINCIPLES
In consideration of the strategic importance of the city's critica l core applications, the following guiding principles have
been identified.
Applications in the city's application portfolio must have the following attributes:
❖ Re liable -The application must operate with minimal disruption. This includes being implemented in a manner
that provides redundancy and disaster recovery
❖ Secure -In today's high cyber threat environment the application must adhere to ind ustry secu rity best practices
and provide as few entry points to potential intruders as possible
❖ Scalable -The application must be able to grow to meet future demands of the city as well as adjust to new
technology and business processes.
❖ Integrated -The application must follow industry standards and best practices to ensure that it will seamlessly
integrate into the application portfolio.
❖ Data Capability and Management -The application must provide the ability for data analytics and business
intelligence as well as data openness and transparency. The application must also adhere to the city's data
governance policies.
❖ Va lue -The application must provide an identifiable benefit to the city and its residents commensurate with the
cost to implement and maintain it.
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Jan. 21, 2020 Item #4 Page 6 of 18
Application Portfolio Strategic Plan
• Apply for a permit or business license
• Submit a public records request
• Submit a service request (i.e. report a pot hole)
• Apply to be a city volunteer
Historically, applications have been implemented in isolation, not by using a citywide or enterprise approach. A
department identified a technology solution to what had been a manual or analog process, then worked through the
budget process to acquire funding to implement that new system. While some analysis was conducted to ensure the
system fit into the city's overall technology standards, minimal consideration was given to using the city's existing
technology to meet the challenge. In some instances, departments acquired applications without any coordination with
the Information Technology department. As a result of these practices:
• The city has redundant applications performing similar functions, such as multiple work order systems
• Data is siloed in department-specific applications, preventing staff from being able to analyze data across the
entire organization
• The city's application portfolio difficult to maintain and keep current
The acquisition of new applications has followed the traditional request for proposal process. This involves developing a
detailed list of requirements, releasing a request for proposal, evaluating responses, conducting vendor demonstrations,
selecting a solution and negotiating contracts. This process is time-intensive, takes several months to complete and has
frequently led to the implementation of solutions that did not fully deliver on expectations.
Outside consultants have completed multiple assessments of city technology, in 2012, 2013, 2016 and 2017. These
assessments consistently identified the following problems with the current application portfolio.:
• Decentralized business operations
• Limited access to data and information
• Duplicate systems and a lack of system integration
• Reliance on manual processes
• Incomplete system implementations
• Limited training
• Limited documentation
• Inconsistent enforcement of policies and procedures
City staff encounter the downstream impact of these challenges on daily basis. Some examples:
• Time tracking/scheduling
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o Employees in various divisions of Public Works are required to complete redundant timekeeping
processes. To report exceptions to their normal shift schedule such as vacation or sick leave, they must
log in to the city's centralized time and attendance system. For tracking work completed daily, they
must log in and enter the data in the Public Works work order management system.
Jan. 21, 2020 Item #4 Page 8 of 18
Application Portfolio Strategic Plan
o Part time staff in the Library or Parks & Recreation departments must access a separate scheduling
application to view their weekly schedules but then must clock in or out using the city's centralized time
and attendance system.
o Schedules and time tracking for the fire and police departments are maintained in a safety scheduling
system even though leave accruals and payroll processing must be tracked in the city's centralized time
and attendance system.
• Manual processes
o Staff attending training or conferences that require travel, are required to fill out a travel log in an Excel
spreadsheet. This spreadsheet must then be printed and physically routed with hard copy receipts for
approval. Once approved, city staff must manually enter data i·r to the city's financial system so
payment can be processed. The process means it can take mult,iple weeks for an employee to be
reimbursed for out of pockets expenses for city related travel.
These challenges do not just impact internal city staff. External customers doing business with city are also affected by
the city's outdated applications and business processes. For example, a contractor needing to complete work within the
city must:
• Apply for a business license
To accomplish this, an application is completed online using a city-developed web application. Once that
application is completed and validated, city staff manually enter the data into the city's business license
application. Once entered into the system an invoice is generated and made available to be paid online, which
requires establishment of an account, or in person at the city cashier. This process typically takes several weeks.
• Apply for a permit
Applying for a permit typically requires an appointment that must be scheduled over the phone. During the
appointment, one or more physical forms are completed. Once the forms are completed and validated, city
staff manually enter the data into the city's permitting system. Any fees associated with processing the permit
must be paid in person at the city cashier. Additionally, three-to-four sets of physical plans and drawings must
also be submitted. These plans are then manually routed through multiple departments and divisions for
review. During the review process, applicants have no visibi lity into where in the process their application is.
Any status inquiries must be done via e-mail or a phone call.
• Request inspections
Once a project is approved and a permit is issued, several city inspections must be completed at various phases
of construction. When ready for an inspection, the applicant must call, e-mail or submit an on-line request form
prior to 3 p.m. the day before the desired inspection date. City staff than retrieve these inspection requests and
manually enter them into the city's permitting system.
In 2013, the city embarked on its first true enterprise approach with the implementation of a new Integrated
Community Development System . This system combined four separate core business functions, permitting, business
license management, code enforcement and land management, into one centralized application. While this project was
successful in consolidating applications, the system was configured to match existing business processes instead of
reassessing and modifying existing business processes to best match the functionality of the new system. This approach
fell short and, in some cases, increased complexity and decreased productivity. In other instances, departments or
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Jan. 21, 2020 Item #4 Page 9 of 18
Application Portfolio Strategic Plan
divisions felt the system was inadequate in addressing their business processes. This led to limited engagement on the
part of these work groups during the planning and configuration process and, after the implementation, a tendency to
continue with legacy and manual processes.
In December 2019, the City Council approved the implementation of an upgraded digital information network. This
upgraded city-managed digital information network will improve connection reliability at greater network speeds, give
the city flexibility to adapt to greater technology demands and reduce the city's network operational costs by $2 million
over the next five years. One of the fundamental components needed to ensure the city fully realizes the benefits of this
new and improved network is a modern application portfolio.
GOALS
The City of Carlsbad aims to be a digital city leader by being more resilient, responsive and future ready. This requires
that the city has an application portfolio that leverages current technology, follows industry best practices and is
implemented within an enterprise strategic framework. To accomplish this, the following goals have been identified:
1. Centralize and consolidate core business functionality
2. Break down silos
3. Improve business processes
4. Enhance the user experience for city staff, residents, visitors and businesses with an emphasis on mobility,
accessibility and transparency
5. Establish and adhere to governance
6. Take advantage of challenge-based procurement practices
7. Focus on change management
CENTRALIZE AND CONSOLIDATE CORE BUSINESS FUNCTIONALITY
The city's current application portfolio does not meet the city's operational requirements, does not meet user needs,
does not follow industry best practices, lacks integration and is inhibiting the city's ability to make data driven decisions
and provide accessibility and transparency.
A centralized solution that consolidates the city's core business functions will enable streamlined business processes and
provide more timely access to data and information. Implementing a new centralized solution will provide the city with
the following benefits:
• Leveraging technology to realize true business process improvement including:
o One common integrated database
o Workflow automation within and between modules
o Built in best-practices
• Providing more robust management reporting.
o Having data from multiple business functions in one centralized application enables wholistic reporting
• Reducing software fragmentation
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Jan. 21, 2020 Item #4 Page 10 of 18
Application Portfolio Strategic Plan
o With one centralized solution, only need t o complete periodic upgrades once versus multiple times for
each individual/siloed application
At a minimum, the following core business functionality will be evaluated for inclusion into a centralized solution:
Finance:
• General ledger and bank reconciliation
• Budgeting
• Grant and project accounting
• Purchasing
• Bid and contract management
• Account payable and receivable
• Centralized cash iering
• Financial reporting
Human Resources:
• Application tracking
• Onboarding and offboarding
• Risk management
• Benefits management
• Employee self-service
• Time and attendance
• Payroll
Utility billing
• Customer and account management
• Billing
• Service and work orders
• Meter reading and management
• Customer self service
Land management
• Plann ing
• Permitting
0 Building
0 Engineering
0 Special events
• Inspections
• Code enforcement
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Jan. 21, 2020 Item #4 Page 11 of 18
Application Portfolio Strategic Plan
BREAK DOWN SILOS
There is significant opportunity to leverage the power of data analytics to tell the story of the work the city does and to
identify opportunities to increase effectiveness through data driven decision making. However, the city's ability to
realize this potential is dependent upon breaking down the data silos that currently exist.
As applications are reviewed for implementation or upgrade, they will be measured against the following criteria:
• Is the desired/required functionality of the proposed application already available within an existing enterprise
application?
• Can the application be seamlessly integrated into the application portfolio so that is a fully functional
component of the of the portfolio and not a stand-alone silo?
• Is the data collected by the application stored in a relational database management system that allows for
extraction and migration into a citywide business intelligence environment?
IMPROVE BUSINESS PROCESSES
In the past, it has been common practice for the city to implement new applications by configuring them to match
existing business processes. This has frequently resulted in applications that have been configured with work-a rounds,
the development of shadow systems or processes and implementations that do not take full advantage of all the
functionality available within the applications. The city has also missed opportunities to streamline processes and
improve efficiency.
Future application upgrades and implementations will be completed with an emphasis on how the city can perform its
tasks more effectively. This includes:
• Validating and documenting existing processes
• Identifying how these processes can be streamlined
o Eliminating manual and or redundant processes
o Removing unnecessary or self-imposed barriers
o Where possible, modifying city policies or ordinances that are outdated or over-complicate processes
• Aligning processes with application functionality
The intent of this goal is not only to transform the city's application portfolio, but to transform the way the city conducts
business.
ENHANCE THE USER EXPERIENCE
As the city works to transform its application portfolio, the user experience for both internal and external users will be a
cornerstone of any new implementation or upgrade. An emphasis will be placed on mobility, accessibility and
transparency.
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Jan. 21, 2020 Item #4 Page 13 of 18
Application Portfolio Strategic Plan
MOBILITY
The landscape of city work is changing. Being tethered to a desk is no longer a constraint to how work is completed.
Staff who work in the field are becoming increasingly dependent on using technology and for remote access to city data
to efficiently to complete their work. To facilitate the evolution of a mobile work force, future city implementations
must:
• Where applicable, provide secure but easy-to-use mobile field functionality
o Must be available without requiring proprietary hardware
o Should be device agnostic
• Work with the city's existing remote access solution
• Be compatible with the standard configuration of the city's current laptop offerings
Having an application portfolio that is responsive to the mobile demands of how the city conducts its business will also
open the opportunity for the city to explore flexible work alternatives.
The focus on mobility also extends to the city's residents and customers. According to the Pew Research Center, almost
50 percent of American adults own a tablet computer and over 80 percent of Americans own a smart phone. To provide
a high level of customer self-service and to foster an environment of civic engagement, city public facing applications
need to be mobile friendly.
I ACCESSIBILITY
New applications with an internal staff interface should:
• Be web browser based and browser agnostic
• Not rely on browser plug-ins such as Adobe flash or Silverlight
• Be security assertion markup language (SAML) compatible for single sign on (SSO)
Additionally, for applications with resident and customer facing functionality:
• Should be browser-based and browser agnostic
• · Consider those with special accessibility needs
• Be intuitive, easy to understand and use
Another significant area of focus for public accessibility will be unifying account identities. A resident should only need
to have one set of credentials to conduct business with the city.
I TRANSPARENCY
The city is striving to further an environment of openness and transparency by establishing an open data portal, creating
public facing dashboards and expanding the use of digital tools to enhance public access to information. The business
processes used by the city and the applications that support them need to enable and not hinder these efforts.
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Jan. 21, 2020 Item #4 Page 14 of 18
Application Portfolio Strategic Plan
ESTABLISH AND ADHERE TO GOVERNANCE
Transforming the city's application portfolio will be an ongoing and continuous process. To ensure that this
transformation is completed in accordance with the city's strategic vision and that technology is implemented in a
consistent and supportable manner, certain governing bodies and policies need to be established.
I STRATEGIC GOVERNANCE
To ensure that the investment of city budget and staff resources on application implementations is consistent with the
city's strategic vision, a formal executive governance committee will be established. This committee will be charged
with evaluating proposed applications to:
• Validate that the application aligns with city and IT strategic plans, architecture and technology standards,
including legislative and regulatory mandates and administrative goals such as improving customer service and
business processes
• Coordinate IT investments across the enterprise to avoid duplication, maximizing the return on investment and
increasing efficiency
• Ensure that the business case has been articulated and that there are valid operational benefits to the
application
• Validate that the cost and benefit estimates are reasonable and accurate
• Ensure that the application project sponsors have considered potential project risks and have identified
appropriate means to manage those risks
• Verify that standard project management practices are employed
• Determine if a project could be used as a pilot or proof of concept for future projects
I APPLICATION GOVERNANCE
As enterprise solutions are implemented, the boundaries of department ownership become less defined . Also, since
enterprise solutions by their very nature are used by multiple departments and divisions, any change to configuration or
functionality has the potential for negative downstream impact. To ensure the integrity and stability of the city's
enterprise applications, each application will have its own governance consisting of a governance committee and a
change control committee.
Application governance committee
At the conclusion of an application implementation project, the steering committee for that project will transition into
the application's governance committee. The role of the governance committee will be to:
• Support the adoption of new functionality within the application
• As needed, provide direction and guidance
• Approve significant application changes such as major upgrades
• Identify and commit necessary resources
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Jan. 21, 2020 Item #4 Page 15 of 18
Application Portfolio Strategic Plan
The governance committee will consist of department directors or division managers that represent the key
stakeholders of the application.
Application change control committee
The application change control committee will be comprised of the technical and subject matter experts from each of
the primary departments utilizing the application. This committee will evaluate changes requested by a
division/department for technical feasibility and potential impact. Before implementing a change, the members of the
change control committee need to agree on the proposed change. If the members of the change control committee are
unable to reach a consensus, the matter will be referred to the application's governance committee.
These committees also provide an opportunity for collaboration, coordination and cross functional training between the
departments and divisions using the application.
The city's strategic vision of implementing a centralized and consolidated solution will reduce the number enterprise
applications in the city's application portfolio, which will subsequently limit the number of governance and change
control committees.
I DATA GOVERNANCE
Data is a city asset. As such, it should be maintained with the same care and attention as any of the city's physical
infrastructure. Ensuring the city's data is consistent and trustworthy is a fundamental requirement for building capacity
for data driven government and for enhancing accessibility and transparency. As stewards of the public's data, it is
incumbent upon every team member to learn, understand and put into practice the city's data governance policies. The
city recently hired a new data scientist who will be conducting a data inventory, creating a city-wide data governance
and management policy and establishing an open data policy. Any future application implementations or upgrades will
be required to comply with these polices and guidelines.
LEVERAGE CHALLENGE-BASED PROCUREMENT
The traditional request for request for proposal process involves:
• Developing an extensive list of requirements
• Drafting a comprehensive request for proposal
• Evaluating responses
• Rating vendor demonstrations
• Completing vendor selection
• Negotiating a contract negotiation
This process is extremely time and labor intensive and significantly prolongs the implementation on new technology
solutions. This process is also costly to software solution providers and vendors are being more selective in the RFP's
they respond to.
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Jan. 21, 2020 Item #4 Page 16 of 18
Application Portfolio Strategic Plan
Figure 4 -Change Management Process
Change management must incorporate not only city staff, but where applicable, external users (city residents and
customers).
Each major application upgrade or implementation project will incorporate change management principals. Budgets for
these projects should also include funding for change management consulting services. Additionally, to ensure that city
staff have the time necessary to successfully complete the training, testing and project management assignments
associated with large application implementations or upgrades, project sponsors should evaluate the potential need for
setting aside budget for staff back-fill.
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Jan. 21, 2020 Item #4 Page 18 of 18
Citywide Digital Transformation
Laura Rocha, Deputy City Manager Administrative Services
Maria Callander, Director, Information Technology
Doug Kappel, Enterprise Applications Manager, Information Technology
David Graham, Chief Innovation Officer
January 21, 2020
Agenda
•Receive an informational report on a
strategic approach to citywide digital
transformation
Significant Recent Council Items
•Approval SCADA Master Plans
•Current State of the Network
•Approval of Digital Information Network
•Approval of Connected Carlsbad Roadmap
–Action Plan returning to City Council
What is Digital Transformation
•A holistic approach to digital systems
–Analyze operations and deliver value to our residents, visitors, businesses and employees
–Strategically approach the shift from
analog to digital recognizing
the interconnection of systems
–Put people first in everything we do when
moving from analog to digital
What is Digital Transformation
What is Digital Transformation
What is Digital Transformation
Why Digital Transformation
•Everyone expects on-demand and digital accessibility
•Equip employees be more effective
•Improve data-driven decision making
•Seize opportunities for organizational
improvement
•Reduce human and technology barriers to
integration
What is not Digital Transformation
•Approaching systems with an attitude of technology as the cure-all
•Adopting new technology without evaluating systems and process improvement opportunities
•Ignoring change management
•Siloed technology acquisition
•Deploying unnecessarily redundant systems
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Digital Transformation Trends for 2019
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Why Digital Transformation
Let machines do what machines do well and
humans do what humans do well.
How to Pursue Digital Transformation
•Think organization-wide or enterprise-wide
•Evaluate core systems
•Analyze and improve existing process
•Utilize digital systems to accomplish organizational goals
•Multi-year continuous improvement approach
•"Organizational change is the foundation of digital transformation."
Why Digital Transformation in Carlsbad
•Continuous improvement is good government
•Equip our staff to make data-driven decisions
•Residents, visitors and businesses expect digital accessibility and transparency
•Continue to deliver high quality customer service
•Meet community engagement expectations
•Need to replace legacy systems
Why Digital Transformation in Carlsbad
•Currently we have over 20 applications that we use for core operations
•There are a total of over 100 applications citywide
•Best practice is to approach these core systems from an organization-wide perspective or what is called enterprise resource planning (ERP)
What are City Operations Core Systems?
•Human Resources
•Time and Attendance
•Finance
•Asset and Work Order Management
•Licensing and Permitting
•Utilities Management
•Library and Recreation Management
Software
History
•Multiple technology assessments in 2012,
2013 and 2017
•February 10, 2015 City Council approves an
agreement for $187,000 as a part of an
anticipated ERP implementation
17
History
Further
implementation has
been delayed due to
competing priorities
DATE
DEPT. ASD -IT
CITY OF CARLSBAD -AGENDA BILL
ADOPTION OF RESOLUTION APPROVING
AGREEMENT WITH PLANTE & MORAN, PLLC, IN AN
AMOUNT NOT TO EXCEED $187,000, FOR BUSINESS
PROCESS MANAGEMENT PROFESSIONAL SERVICES
RECOMMENDED ACTION:
8
That City Council adopt Resolution No. 2015-028 approving a professional services agreement with
Plante & Moran, PLLC for Business Process Management Services (BPMS), services that are a means of
improving business performance outcomes and operational effectiveness. Services provided under the
agreement are expected to be complete within 6 months and will not exceed $18_7,000 per agreement
term.
ITEM EXPLANATION:
As the City of Carlsbad begins the process of replacing its financial system, it seeks to use professional
services to assist in documenting the standardized processes/workflows associated with major functions
within the financial and procurement management, facilities and operations, human resources, service
and work order management, and asset management areas of the City. A better understanding of
business processes will highlight ways to improve as well as provide the City with an important tool to
deal with the accelerating levels of change facing the organization -including the upcoming
implementation of the Enterprise Resource Planning System.
Once the "as-is" processes are documented, work will begin to develop best of breed workflows and
processes that will necessitate changes in procedures, relevant policies, or use -of technology. The
standardized processes and workflows developed should (1) improve operational efficiency for individual
divisions and the collective city unit, (2) establish a shared and sustainable operational platform for
future training and development for designated processes and workflows, and 3) discover cross
functional synergies in operations and apply methodologies to eliminate redundant workflow and work
product.
Some Assessment Findings
•Limited access to data and information
•Duplicate systems that lack system
integration
•Reliance on manual processes
•Lack of or inconsistent enforcement of
policies and procedures
City of Carlsbad Information Technology Application Portfolio
r
Turbo Data
{Parking
Citations)
Office 365
NetMotion
Airwatch MDM
WebEx
LanDesk
Symantec AV
SolarWinds
Administrative Services
Finance
Northstar : ~==~:'~:===~: ~(u_t_ilit_y_B_illi-ng_)~
Customer
Connect
Invoice Cloud
i Invoice Cloud IVR'
' (Inbound)
Selectron IVR
(Outbound)
! False Ala rm Billing I
Wittman
(Ambulance
Billing)
I nformat1on Tech no logy
OKTA
(Identity Mgt)
Password
Manager
Call Express
Voicemail
ArcGIS I Google Analytics 11 a========s I Business Objects 11 ArcGIS Enterprise I
Sitelmprove 1 1 ArcGIS Portal I
SpringCM 1 1 ArcGIS Online I
OocuSign
SQL Reporting
(SSRS)
!... ____ v_o~i::_ ____ 1 Print
Management
Human Resources
Lawson DMV FTP learning 11 BlueJeans 11 a=====CC:: . . ;::=· =====: Ma~;!::ent I IDC Expert Badge I (Disp~;~~c_;~~ting) ~I _s_ca_n_T,_on_~ a==5=ym=m=e=t,=y===:
(T~=:~g) Building Access
NeoGOV
{Applicant
Tracking)
Stock Portfolio Tracking -
Library & Cultural Arts Community & Economic Development
Library
BeanStack
Development Services Housing &
Neighborhood
Services
(Summer EnerGov
Reading) (Code
Life In Action
Website
Web EOC
FirstWatch
PSTrax
Narcotics Locker
Enforcement)
IGEnforce
---------0-----
1 Voyager I
Volunteer
Management
Police
TeleStaff
Voxeo
Building Access
Specialized Equip
Applications
LaserFiche
ARJIS Online
(Cri:::~:~ing) ,~_A_PP_li_ca_ti_on_s~
Vigilant LPR ARJIS Mobile
Applications
I Axon Body Cam I Mobile Command
Post
LEFT A FTO
LEFT A MTRS
Crossroads
{Ecites)
Call -Radio
Recording
Crossroads
{Traffic Reporting)
OCULARUS
{Video Cameras)
RING
{Video Cameras)
Utilities
Transportation
When2Work
(Scheduling)
Team Sideline
{League Mgt.)
ePact
{Medical/Waivers)
Litmos
{Learning Mgt.)
Past Perfect
{Collection Mgt.)
Hosted
GraniteNet
{Video Truck)
SOP Express
r---- - - - ----,
i ___ SCADA ___ i
ITRON
{Automated
Meter Reading)
SmartWorks
{Analytics)
Websoft
{Backflow)
Tableau
Tableau Online
IGnspect
--------y'-----
1 Bluebeam I
I Virtual PM I
Recreation
BECS
(Pool Chemicals)
CivicRec
Meet Manager
{Swim Meets)
Carousel
{Display Board)
Trails App
LEGEND
Public Works
General Services
CitySourced
Fleet
-v1'------
I AssetWorks I
GasBoy
{Fuel
Management)
Facilities
Building Access
Parks & Recreation
lntelix {Inspection
Tracking)
CalSense
{Irrigation)
TRAFx
{Trail Counter)
11 Public Facing 1 1 Used City W ide ~===~ 1 Being Retired [~~:~~0_:~J r~~::t~~~~:'n~~-i
New App
(In Imp.)
Carlsbad Resident Experience
Separate username and password in order to
•Check out books
•Pay utility bill
•Sign up for a recreation class or program
•Apply for a permit or business license
•Submit a public records request
•Submit a service request
•Apply to be a city volunteer
Business Community Experience
Employee Experience
•Redundant time tracking systems
•Paper based processes
•Check and update multiple systems for work
order status
•Use multiple systems to create purchase orders
•Duplicate records in multiple databases
How Did We Get Here?
•Focused on immediate department demands
•Fragmented approach, case-by-case, one off
solutions
•Incremental purchase of technology solutions
•Implementation based on existing business
processes
What if Nothing Happens?
•Resident experience remains static and degrades over time
•Potential for inaccurate and delayed information to decision makers and the public
•Risk of wasting time and resources
•Many processes remain manual
•Duplicate data in multiple systems creates a
frustrating experience for all
•Increased risk to the city
Recent Actions
•2019 organizational improvements by City Manager
•Shift to enterprise approach discussed in City Council Leadership Workshop in February 2019
•FY 2019-2020 City Council approved annual budget including $500,000 in innovation fund
for ERP consulting
•IT staff developed an Application Portfolio
Strategic Plan
New Strategy
•Strategic enterprise approach to a
comprehensive digital environment
•Simplify customer experience and redesign
inefficient processes in order to reduce waste
and increase revenue
Estimated Costs
•2019-2020 allocation of $500,000 for ERP consulting
•Cost of ERP system to support digital transformation
–2016 assessment estimated $15 million one-time cost not inclusive of city staff and ongoing expenses
–Updated ERP cost estimate will need to be developed in conjunction a consultant
Funding Strategy
•Digital transformation is an ongoing process
that requires long term investment
•Digital infrastructure is as important as capital
infrastructure
•Similar to the CIP a dedicated funding
commitment is important to long-term
success
30
2015 2016 2019 2020
City Council approves
contract for assessment
anticipating an ERP
implementation
Assessment of current
workflow and process
Council Leadership
Workshop enterprise
discussion
City Manager
organizational
changes
Council approves annual budget
with $500,000 for ERP consulting in
innovation fund
City Council hears
digital
transformation &
application
strategy
TODAY
Return to City
Council with
recommendation
FY 2020-21
annual budget
Next Steps
•Receive input from City Council tonight
•Return in March to City Council with
refined scope and cost for consultant services
for ERP software selection and assistance
•Include requests for digital transformation
resources in FY 2020-2021 budget process
Thank You