Project of developing new Register of Economic Activities

Department of Information Society Services Development

Janek Rozov

Agenda

• About our objective• How Register of Economic Activities works

today• What will be better• How we managed project• How Register of Economic Activities will work

tomorrow

Objective

standardise public services and develop physical and virtual service environment according to citizens’ point of view

Implementation Project of General Part of the Economic Activities Code Act

• The General Part of Public Commercial Law Act was passed in March of 2011

• Sets common rules for Estonian public commercial law: – principles, – notices of economic activities, – activity licences, – applying for and proceeding of applications of activity licences, – rules for registers (REA), Register of Economic Activites– state supervision and responsibility.

• Concerns directly more than 60 specific laws• Additional rules for activity licences and notices can be set in

specific laws

REA Register of Economic Activities

• administrated by the Ministry of Economic Affairs and Communications (MEAC)•6 ministries out of 11 have all or some their activity licences or notices of economic activities in REA• 20 government institutions + 15 county governments + 226 municipalities• 18 000 entrepreneurs per year (licence)• 25 000 entrepreneurs per year (notice) •30 000 entries per year (licence)•39 000 entries per year (notice)

General statistics

11 registers that were not interfaced with point of single contact eesti.ee

11 registers is interfaced with point of single contact eesti.ee

1. Ministry of Economic Affairs and Communications,

2. Ministry of Social Affairs,

3. Ministry of Education and Research,

4. Ministry of Agriculture,

5. Ministry of Environment.

REA

Register 2

Proceedingmodule

Proceedingmodule

Register 3

Citizen

• public query• statistics• low descriptions• users manual• ect.

Public partPersonal part

Single point of contact (one-stop-shop)

AuthentificationAuthorisation in the

AAR database

Register 1Proceedingmodule

• entrepreneurs, notary• official - (directed to the proceeding

module of the concerned register)

• registrar (can enter applications thathave been submitted on paper)

• county court clerk (can enterprohibitions and suspensions)

Developped by MEAC

lokaalneAR

Applications: Archive of entered applications, “My services”, “My documents”

Developped by Estonian Information System’s Authority

Entrepreneur, official , notary, registrar, county court clerk

Proceedingmodule

X-road

“X-forms”

How it workscustomers Data and information

exchange via X-Road

What is better for entrepreneurs?

• Regulations about economic activities in one general act (ca 60 specific laws)

• All information about areas of activity subject to special requirements assembled in one place - eesti.ee (one stop shop)

• Submitting applications for activity licences and notices of economic activities via single point of contact eesti.ee (one stop shop)

• 123 activity licences and 20 notices of economic activities with unified proceeding logic in one e-channel

• Notices of economic activities can be submitted without paying any state fees

• All information about activity licences (184 licences altogether, see next slide), notices of economic activities and proceeding phases of applications will be available via the single point of contact eesti.ee (one stop shop)– This will reduce inquiries about proceedings by entrepreneurs.

Proceeding phases – client’s view

REA STATUS1. Application in submission2. Waiting for designation of official 3. Adjudication of application4. In proceeding4.1 In proceeding: elimination of deficiencies4.2 In proceeding: decision in drafting4.3 In proceeding: decision in approving4.4 In proceeding: decision in signing5. Proceeding finished:5.2 Licence issued5.1 Licence declined

1. Notice being entered2. Notice entered

Subject to activity licence123 different licences in REA (184 altogether )

Subject to notification 20 different notices in MTR(50 altogether)

What will be better for entrepreneurs? • Decrease of the number of activity licences from 211 to 184 (27 licences less or 13%)

• Considering that entrepreneurs have to confirm their economic activities every year, then reducing the number of activity licences will save 2351 hours of their time (considering that each operation will take at least 6 minutes).

• New entrepreneurs are forced to come physically or communicate via e-channel, as a result time saving is 723,73 hours, considering that one operation takes 10,66 minutes in average. Time saving from movement is 4071 hours, considering that a journey takes 60 minutes in average

• Time saving for offcials is 407 hours (50,9 working days), considering that each operation takes atleast 6 minutes.

• Total time resource save for companies 2351 + 723,73 + 4071 = 7145,73 hours or 893 working days.

Type NameEntrepreneurs altogether

Entrepreneurs per year

Notice Commerce 18000 3000Notice Housing 1400 200Licence Electrical safety (4 sub-types) 1800 280Licence Gaseous fuel safety (4 sub-typed) 200 40Licence Machine safety (3 sub-types) 40 10

Licence Pressure equipement safety (3 sub-types) 160 20Licence Mining (4 sub-types) 300 20

Licence Lift and cableway installations safety (3 alaliiki) 10 1Notice Construction (6 sub-types) 1600 500

ALTOGETHER: 23510 4071

What will be better for service owner?

• Possibility to proceed and keep licences issued by different institutions in REA (today 8 notices and 56 activity licences have been added, owners of licences and notices do not have to develop their own e-channel and register. • Ministry of Culture, • Ministry of Internal Affairs, • Ministry of Social Affairs, • Ministry of Foreign Affairs, • Minisrey of Environment.

• Administation of licences and notices (adding and deleting) by registrar. Adding a new licence or notice does not need a new development.

Example of a bad service

What do I have to do, where to click in order to submit an e-application?

Choose application forms?

Example of a bad service

E-PDF and e-Word ≠ good e-service

1Step one

Example of a bad service

Let’s start using an e-service that is not PDF or Word

2 3 4 51Steps:

Example of a bad service 72 3 4 5 61Steps:

I click on the „Application forms“ link again

Example of a bad service

Back in the same place where I started : - Made 7 steps-Were in 2 e- environment Authentified myself

72 3 4 5 6 8

I click on the „Activity licences“ or „Notices“ link

1Steps:

Example of a bad service 61 2 3 4 5 8 910

We do not see application form…

Finally, after making 10 steps, I can choose an appliucation form for a licence

7

Steps:

We must to do e- service better

Increasing clients satisfaction : service is simple, Prefilling data and displaying proceeding phases: undestandable, transparentReducing administrative burden for clients: not burdensome

Harmonisation of administration: effectiveGeneral regulation in one act (ca 60 specific laws): understandableE-environment that has a unified proceeding logic for licences and notices (ca 20 institutions): cost-effective, safeSingle point of contact eesti.ee „one stop shop“(11 registers, 184 licences, 50 notices): effective, safe

How we managed it? (1)• Directive of the minister of economic affairs and

communications (MEAC administrates the REA)• 1 leading working group (representatives of

ministries concerned, designation of the members of other working groups, guaranteeing the process on general level)

• External developer (represented by the workers both in the leading and other working groups)

• 3 cross-field working groups (functional, legal, IT)– Functional (content, proceeding logic, testing and responsibility)

How we managed it? (2)

In project involved more than 50 people

Applications of all activity licences (184) fit into one proceeding logic, that consists of 10 steps (1)

• 1. State fee• 2. General information• 3. Person in charge• 4. Place of activity and/or technical equipement requirement• 5. Other certificates or accreditations • 6. Guarantee or insurance• 7. Plans and documents confirming financial state• 8. Limitation of activity perios• 9. Undertaking in foundation• 10. Using activity licence in a subsidiary undertaking

1 2 3 4 5 6 7 8 9 10

Applications of all activity licences fit into one proceeding logic, that consists of 10 steps (2)

50 different notices of economic activities184 different activity licences

Save Next stepPrevious step

Different steps include special fields.

As much as possible prefilled data

Only the information that concerns enterpreneurs activity is displayed

Salvesta Järgmine sammEelmine samm

5 steps

Main rules in development process

• Proactivity • All documents can be submitted electronically in one place and at

once• Prefilled data in e-application• Prohibition on requering paper documets (possibility to upload e-

documents)• Personal view in an e-environment • Document blanks: shape, colour, number of cells are must not be

fixed in a law or regulation, in regulation composition of the data must be described instead

• Prohibition on requiring information twice.• Process-based logic not authority structure based logic• Developing process owner• We should not compare e-services with paper world services• We should compare good e-services with services that we have.

Enterprise view

Enter activity licence Enter notification

Latest applications Latest messages

Activity licence Notification

Prohibitions Prescriptions

no applications no messages

no activity licence no notification

no prohibitions no prescriptions

Enterprise view

Enter activity licence Enter notification

Latest applications Latest messages

Activity licence Notification

Prohibitions Prescriptions

Show all Show all

Show all Show all

Show all

Main view1

2

3

4

5

Aactivity licence for provision of television service with conditional access - submission of application

Main view (1)

• Person who is logged in is the representative of the entrepreneur

• Name of the undertaking

• Choice of language

Main view (2)

Aactivity licence for provision of television service with conditional access - submission of application

Main view (2)

• Number of steps (in that example 8 steps)

• „red“ point shows mandatory fields

Main view (3)

Aactivity licence for provision of television service with conditional access - submission of application

Main view (3)

• General information about the company

Application activity licence for provision of television service with conditional access

NameCompany registration number

Address

PhoneE-mailFaxActivityEMTAK code

Provision of television service with conditional access

Main view (4)

Aactivity licence for provision of television service with conditional access - submission of application

Main view (4)The proposed date of commencement of operations

Date of expiry of license

The representative of the entrepreneur

Company in foundation

Main view (5)

Aactivity licence for provision of television service with conditional access - submission of application

Main view (5)

• Moving directly by steps• Moving indirectly by steps• Stop the process and start again later from the

place where you stopped• Submit

Back Next step SubmitSave and fill in later onprevious step

Process view

Click on whatever step

Aactivity licence for provision of television service with conditional access - submission of application

Process view

• Current step is dark green• Current step is preceded by mandatory fields that have not

been filled in• Current step is followed by mandatory fields that have not

been filled in

Aactivity licence for provision of television service with conditional access - submission of application

Main rules

Enter activity licence Enter notification

Latest applications Latest posts

Activity licence Notification

Prohibitions Prescriptions

no applications no posts

no activity licence no notification

no prohibitions no prescriptions

• Proactivity • All documents can be submitted electronically

in one place and at once• Prefilled data in e-application• Prohibition on requering paper documets

(possibility to upload)• Personal view in an e-environment • Document blanks: shape, colour, number of

cells are must not be fixed in a law or regulation, in regulation composition of the data must be described instead

• Prohibition on requiring information twice.• Process-based logic not authority structure

based logic• Developing process owner• Our e-service comparable with good e-

services.

Thank you for your attention

Janek.Rozov@mkm.ee