Tap Big Spend On E-Governance

The Central Government has big plans for e-governance and has earmarked Rs
12,000 crore for the purpose over the next three years. This is big money and
partners need to look at this opportunity very closely.

At the recent Nasscom conference, Rajeev Ratna Shah, Principal Secretary,
Department of IT, had pointed out that the government was keen on setting up
information portals and e-leaning projects as part of the e-governance
initiative.

The objective of these portals– country-level and of the states; citizen
and service-related–would be to provide information to every layer of society.
In fact, some of the states have already taken a lead in the matter of sharing
information with its people. For instance, land records in Karnataka are fully
computerized and this information is available to the people of the state.

The Central Government is also looking at an e-business portal, that is being
envisaged to act as a single-window interface between the industry and the
Government. Channel partners are particularly placed well to contribute to this
project with all their experience in business and their exposure to e-commerce.

E-learning projects is the other area which the Government wants to embark on
to ensure that its initiatives on the e-governance front do not go waste. Six
lakh schools are being targeted for e-learning over the next three years. Each
of these schools will need PCs to join hands with the government to make
e-learning a success.

With the kind of projects that the Government is working on, channel partners
cannot afford to let go the opportunities in e-governance initiative. Of course,
working with the government has its own pitfalls.

First of all, business is done through tenders, which is a slow and tedious
process. Second, payment cycles tend to be very long, often bureaucrats trying
to secure their pound of flesh. Third, registration is required with government
agencies like NCCF and DGS&D, which is a time-consuming and paper-chasing
job.

These obstacles notwithstanding, when the Government is emerging as one of
the biggest spenders, partners need to look at how to overcome the hurdles on
the way, so that they do not miss out on grabbing a share of the lucrative
e-governance pie.

This is especially so, when demand for IT products from elsewhere is still at
a low ebb.

The other positive aspect about doing business with the government is that
partners can look for earning comparatively better margins. Of course, these
would be offset if payments are delayed inordinately, and partners should be
mentally prepared for this eventuality when they make their business plans.

This is the right time for partners to seriously explore Government business
since enterprises and corporates are still postponing their purchase decisions
as the economy is still under pressure due to Gulf War-II. Tap the big money in
e-governance to ensure that your top as well as bottom line grows in the new
financial year.

sylvesterl@cmil.com