This chapter analyses the governance of the digitalisation policies in the Panamanian public sector, based on the analytical framework provided by the OECD Recommendation of the Council on Digital Government Strategies and the experiences and practices of a number of OECD member and non-member countries. The chapter reviews the digital government strategy – Digital Agenda 2014-2019 Panama 4.0, considering its strategic lines and values, key actions and goals. It then focuses on the institutional framework in place to drive the digital transformation of the public sector, namely the mandate and role of the National Authority for Government Innovation (AIG). A third section looks at the mechanisms in place to coordinate public sector efforts and assure the enforcement and compliance of the policy across different sectors and levels of government. The last section focus on the legal and regulatory framework as a critical building block for a sound digital government policy.
Digital Government Review of Panama
1. Strengthening governance
Abstract
Introduction
Digital technologies are rapidly disrupting how economies, societies and governments operate. The cross-cutting impact of digitalisation can be observed in the large advances in information and data processing, impressive new levels of connectivity and extraordinary opportunities for sharing and collaboration. Citizens are changing the way they live and work, and doing business is almost unimaginable without digital technologies, challenging governments to keep pace. The public sector is forced to rethink the way its constituents need to be served, based on raised expectations in terms of service quality that include dimensions such as efficiency, effectiveness, simplicity, openness, transparency and accountability (OECD, 2017[1]).
In order to mobilise the strengths and obtain the commitment of different sectors and levels of government, the proper governance approaches need to be in place to secure policy efficiency and long-term sustainability. Systems thinking approaches are required to ensure coherence and avoid the typical gaps and overlaps that result from silo-based and vertical-thinking policy visions and actions, simultaneously connecting the digitalisation of the public sector efforts to broader public sector goals and agendas. Policies for a digitally enabled state require leadership and political support, co‑ordination and clear definition of mandates, policy levers that can ensure whole-of-government implementation and monitoring mechanisms to access the outputs, outcomes and impacts (OECD, 2016[2]).
Figure 1.1. Governing the digital transformation of the public sector: Dimensions of analysis
Source: Based on OECD (2016[2]), Digital Government in Chile: Strengthening the Institutional and Governance Framework, https://dx.doi.org/10.1787/9789264258013-en.
The governance of digital government policies is recognised by OECD member and non‑member countries as a central issue that in its constant evolution requires ongoing efforts to achieve sound policy implementation. The OECD Recommendation of the Council on Digital Government Strategies (OECD, 2014[3]) highlights several governance dimensions to consider when analysing and supporting a country’s efforts in public sector digitalisation (see Figure 1.1). The absence of a one-size-fits-all approach determines that these dimensions be considered in light of contextual factors such as the institutional culture and legacy, the existing political support and mandate, as well as the capacities and capabilities of the different national environments.
This chapter analyses the governance of digital government in Panama. The analysis will start by observing and discussing the digital government strategy in place, including its strategic lines and values, as well as its key actions and goals and the alignment with the OECD Recommendation of the Council on Digital Government Strategies (OECD, 2014[3]). A second section will analyse the mandate, competencies, role and practices of the public sector institution responsible for leading the digital government policy in Panama. The third section of the chapter will focus on the co‑ordination and compliance mechanisms in place to secure coherent and sustainable digital government development in the country. The last section concentrates on the legal and regulatory framework in Panama, assessing the current panorama and pointing out directions for its further development, namely through the development of citizens’ digital rights.
Driving the digital transformation of the public sector
Strategies to build a digital government
Digital government strategies are critical policy instruments to frame governments’ actions for the digitalisation of the public sector. Adapted to the country-specific institutional context and building on prior efforts, strategies are able to set goals and align objectives, define priorities and indicate implementation-oriented actions across the administration. In an era where digital technologies are being rapidly embedded into the everyday lives of citizens, businesses and governments, digital government strategies are required to embody the important change of paradigm brought by the digital transformation:
“The challenge is not to introduce digital technologies into public administrations; it is to integrate their use into public sector modernisation efforts. Public sector capacities, workflows, business processes, operations, methodologies and frameworks need to be adapted to the rapidly evolving dynamics and relations between the stakeholders that are already enabled – and in many instances empowered – by the digital environment.” (OECD, 2014[3])
In order to be properly grounded in the national context, digital government strategies are required to reflect the aspirations and different views of the ecosystem of stakeholders which can assemble and mobilise commitments and efforts towards a digitally enabled state. The level of openness, transparency and inclusiveness of the strategy’s design, development and monitoring process will determine the level of collective willingness to support its effective implementation. Sound collaborative processes that involve stakeholders from the public and private sectors, academia and civil society are able to guarantee both the alignment of the strategy with the expectations and concrete needs of the context to which it applies and promote shared ownership of, and common responsibility for, its goals and the actions necessary to achieve them.
Beyond mobilising collective willingness, digital government strategies should be able to count on the necessary policy mechanisms that can secure their effective implementation, including institutional setup, political leadership, required policy levers and resources, as well as monitoring tools. The strategy can also play an instrumental role in reinforcing some of these elements of the governance. The capacity of governments strengthen the needs and define the key elements when defining the governance of digital government will substantially determine its future success. On the other hand, the digital government strategies need to be firmly aligned, integrated and embedded in broader public sector modernisation efforts, guaranteeing that digital government goals and actions are truly cross-cutting and deeply rooted in different policy streams. In other words, digital government strategies should not be isolated policy instruments understood as an independent policy stream, but an important and transversal lever for better government, sustainable economic development and improved social well-being.
Figure 1.2. Existence of a national digital government strategy in OECD countries in the Latin America and Caribbean (LAC) region
Source: OECD (2014[4]), Survey on Digital Government Performance, https://qdd.oecd.org/subject.aspx?Subject=6C3F11AF-875E-4469-9C9E-AF93EE384796 (accessed on 16 July 2018); OECD (2016[5]), Government at a Glance: Latin America and the Caribbean 2017, https://dx.doi.org/10.1787/9789264265554-en.
Reflecting the increasing commitment of governments around the world to embrace the digital transformation of their public sectors, all OECD member countries that responded to the OECD Digital Government Survey (OECD, 2014[4]) confirmed having a digital government strategy. The same pattern can be observed in the Latin America and Caribbean (LAC) region where 17 out of 23 countries (73.9%), including Panama, have a digital government strategy in place (see Figure 1.2) (OECD, 2016[5]).
Digital Strategy 2014-19 PANAMA 4.0
In the middle of 2014, a first version of the national Digital Strategy 2014-19 PANAMA 4.0 was launched as a framework to promote digital transformation. Meant to mobilise the entire Panamanian public administration, this first version had a clear purpose of reinforcing the institutional mandate of the entity that leads digital government development in Panama – the National Authority for Government Innovation (Autoridad Nacional para la Innovación Gubernamental, AIG) (see Chapter 1: The National Authority for Government Innovation). Reflecting the national government willingness and commitment to having a common and strategic policy to promote the use of digital technologies for the economy and society and ensure administrative modernisation, the strategy covered critical aspects such as governance of information technology (IT) systems, architecture and improved interoperability. The document also prioritised the incorporation of sectorial and inter-sectorial projects of the Panamanian administration, contributing to overall policy coherence and improved co‑ordination across the public sector (AIG, 2016[6]).
Figure 1.3. PANAMA 4.0: Strategic lines and values
Source: AIG (2016[6]), Agenda Digital 2014-2019 - Panamá 4.0, http://innovacion.gob.pa/descargas/Agenda_Digital_Estrategica_2014-2019.pdf.
A second and updated version of the digital strategy was launched in January 2016, securing better alignment with the objectives and goals of the country’s international commitments, such as the United Nations Sustainable Development Goals, the Digital Agenda for Latin America and the Caribbean (Agenda Digital para América Latina y el Caribe, eLC 2018) (CEPAL, 2015[7]) and the e-Government Network of Latin America and the Caribbean (Red de Gobierno Electrónico de América Latina y el Caribe, Red GEALC). The updated version of the strategy also included more recently developed projects from Panamanian public sector organisations relevant to the overall digital government context.
The digital strategy is based on several strategic lines and values that reflect the government vision of digital technologies, not only as tools to promote efficiency but mostly to transform the public sector, the economy and society through reinforced transparency, openness, inclusion, advanced services and sustainability of government action (see Figure 1.3). Building on the abovementioned goals that are substantially aligned with the OECD Recommendation of the Council on Digital Government Strategies (OECD, 2014[3]), the digital strategy defines key action lines and concrete goals that go beyond the government cycle of five years. For instance, the document establishes as goals for 2019 an information and communication technology (ICT) observatory, public spaces to access the Internet and digital literacy support (Infoplazas), as well as foreseeing goals for 2024 such as the online availability of all public services with authentication through a digital identity mechanism or the certification of all ICT services from key institutions with ISO 20000 and ISO 27000 standards. The definition of different timelines and goals in the strategy reflects a policy approach that is not limited to the government’s political lifecycle, trying to commit digital government policy action beyond it, with expected positive outcomes in terms of continuity and sustainability of projects and initiatives.
Box 1.1. PANAMA 4.0 – Model for reporting and project implementation
A clearly defined reporting model envisaging a coherent implementation of the defined policy initiatives across the administration supports the digital strategy in Panama. Every year, central public sector organisations in Panama are required to deliver a group of five documents:
Institutional Digital Agenda (Agenda digital institutional) – Containing information about the public sector organisation’s ICT roadmaps in the short, medium and long term.
Plan for the Simplification of Services and Administrative Processes (Plan de simplificación de trámites y procesos administrativos vinculados a los usuarios) – Containing the processes and services to be improved for a more efficient, clear and less bureaucratic relation with citizens and businesses.
Plan of Systems (Plan de Sistemas) – Containing the plan of the Chief Information Officer (CIO) for the sustainability of the institutions over five years, pointing out needs in terms of ICT infrastructure, plans for the acquisition of software, implementation services and other ICT management services.
Annual Operational Plan (Plan Operativo Anual) – Containing approved projects with confirmed budgets.
Request Evaluation System (Sistema de Evaluación de Solicitudes) – Evaluating requests for ICT services from government agencies.
Source: AIG (2016[6]), Agenda Digital 2014-2019 - Panamá 4.0, http://innovacion.gob.pa/descargas/Agenda_Digital_Estrategica_2014-2019.pdf.
The strategy defines a very clear model for reporting and project implementation across the different sectors of the government (See Box 1.1). Although the Panamanian government, and more specifically AIG, need to ensure that the abovementioned model does not result in an overload of administrative work for public sector institutions, its outreach in terms of coherent and sustainable planning, effective co‑ordination and monitoring potential is very significant.
Alignment with overarching and specific policy goals
The Digital Strategy 2014-19 also presents a substantial alignment with broader public policy goals, demonstrating that it is part of the economic and social development agenda of the country.
The National Competitiveness Plan (Plan Nacional de Competitividad) identifies actions that can support the country’s economic development, to be jointly co‑ordinated and executed by the government, the private sector and civil society. With a business-oriented focus and reflecting the participation of AIG in its conception, the plan foresees several digital government measures. The online creation of companies, the development of a system of interoperability and data portability and the implementation of digital certificates and signatures in key public entities are some of the objectives foreseen to reduce bureaucracy and enhance the business environment in the country. (Ministerio de la Presidencia, 2014[8])
Additionally, two specific plans can be highlighted as relevant for Panama’s path towards a digital government. Approved in 2013, the Strategic Plan for Broadband of the Republic of Panama 2012-22 (Plan Estratégico de Banda Ancha de la República de Panamá) has a specific section dedicated to the benefits of broadband in the public sector. The plan foresees initiatives to be prioritised by the government through AIG (e.g. promote the implementation of the cybersecurity plan, increase the use of social networks in the interactions of the public sector with citizens) (AIG, 2013[9]). On the other hand, the Strategic Agenda for a Mobile Government (Agenda Digital Estratégica M-Gobierno) prioritises the development of services in a mobile format in the areas of education, health, transport and justice, taking advantage of the high penetration rate of mobile phones in the Panamanian population (AIG, 2015[10]).
Perceptions on the digital government policy across the administration
The acknowledgement and positive perceptions of the digital government policy work underway are fundamental to determine how involved, committed and aligned the different sectors of the administration are to the digital transformation of the public sector. The levels of awareness of the ecosystem of stakeholders, namely in the public sector, demonstrates the level of mobilisation around the policy but also the degree of shared ownership and joint responsibility felt across the administration regarding its implementation and development.
When questioned about the existence of a national digital government strategy, two-thirds of the public sector organisations that answered the Digital Government Survey of Panama responded in a positive way (Figure 1.4). The level of recognition of the Digital Strategy 2014-19 PANAMA 4.0 is high. Nevertheless, a significant number of institutions that answered the survey did not know of its existence.
Figure 1.4. Recognition of the existence of a digital government strategy among Panamanian public sector organisations
Source: OECD (2019[11]), Digital Government Survey of Panama, Public Sector Organisations Version, Unpublished, OECD, Paris.
When required to rate the relevance of the national digital government strategy for their activities, 51% of Panamanian public sector organisations that acknowledged the existence of the strategy considered it “strong” and 35% “moderate”. The remaining 13% considered it “weak” (Figure 1.5). The vast majority of institutions that underlined the relevance of the national digital government strategy for their activities demonstrate the commitment and determination of the Panamanian government in driving the digital transformation of the public sector, putting in place mechanisms that can ensure its coherent development.
Figure 1.5. Relevance of the digital government strategy for Panamanian public sector organisations
Source: OECD (2019[11]), Digital Government Survey of Panama, Public Sector Organisations Version, Unpublished, OECD, Paris.
The co-ordinated involvement of public sector organisations in the design of the digital government strategy is useful for guaranteeing the incorporation of the expectations of the ecosystem of stakeholders, securing improved alignment with their needs and meeting existing demand in the country. Collaborative approaches are also useful for shared ownership of, and responsibility for, the implementation of the strategy. The Simplex + programme in Portugal provides a good example of a wide collaborative approach in the development of a policy strategy, combining online and face-to-face mechanisms that allow the involvement of different public sector organisations, private sector, academia and civil society organisations (AMA, 2019[12]). The Digital Governance Strategy of Brazil was also developed following a wide consultation process (OECD, 2018[13]).
In line with the OECD Recommendation of the Council on Digital Government Strategies (OECD, 2014[3]), several meetings were held with stakeholders to support an open and inclusive formulation of the Digital Strategy 2014-19 PANAMA 4.0. The main demands and expectations where highlighted in the strategy and Table 1.1 showcases that transparency, digital government services and interoperability were among the main requests received by AIG.
Table 1.1. Main demands of the stakeholders for the Digital Strategy 2014-19
Source: AIG (2016[6]), Agenda Digital 2014-2019 - Panamá 4.0, http://innovacion.gob.pa/descargas/Agenda_Digital_Estrategica_2014-2019.pdf.
When questioned about their involvement in the development of the national digital government strategy/policy, 51% of the institutions that answered the Digital Government Survey of Panama confirmed their participation, against 31% that responded not knowing it and 16% giving a negative response (Figure 1.6). Although the results are positive, there seems to exist some room for improvement for effective co-ownership of the strategy.
Figure 1.6. Co-ordinated development of the digital government strategy/policy with Panamanian public sector organisations
Source: OECD (2019[11]), Digital Government Survey of Panama, Public Sector Organisations Version, Unpublished, OECD, Paris.
Embracing strategic policy coherence
Since 2014, Panama has benefitted from a digital government strategy that guided policy action across different sectors and levels of government. The strategy, its values and goals are well connected with broader government agendas and with other relevant line strategies or more specific policies. The relevance of the strategy in promoting transparency and accountability of government action was particularly highlighted during the peer review mission and within the Digital Government Survey of Panama. The importance given to these dimensions reflects some of the legacy attitudes in Panama but the building blocks of mature digital government are in place for supporting a new focus on more strategic issues. As a mechanism to reinforce the importance of the strategy and guarantee its alignment with the country’s needs, dimensions such as user- and data-driven approaches could be prioritised to secure a robust transformation of the public administration.
The reinforcement of those dimensions would allow the government to move beyond merely ranking well in international indexes and towards embracing the goal of improved digital government maturity. Through the utilisation of national and local social and economic drivers, these dimensions would be able to mobilise the different sectors and levels of government but also the private sector, civil society and academia. The involvement and collaboration with the private sector, academia and civil society organisations are critical for improved alignment and sustainability of the digital policy. In this sense, although the percentage of institutions involved in the development of the strategy constitutes a majority, the answers obtained in the Digital Government Survey of Panama demonstrate that some room for improvement still exists to reinforce the shared ownership and responsibility for its implementation.
More than being assumed as the policy agenda of AIG, the national digital government strategy should be understood as a collective vision for the future of Panama with digital technologies making a critical contribution to the development of a user-driven government, a competitive and inclusive economy and sustainable societal well-being.
Leadership for sound transformation
The importance of clear leadership
Public governance refers to “the formal and informal arrangements that determine how public decisions are made and how public actions are carried out, from the perspective of maintaining a country’s constitutional values in the face of changing problems, actors and environments” (OECD, 2005[14]). This institutional setting, based on formal and informal arrangements, defines and regulates how stakeholders interrelate and co‑operate in the decision-making process, take part in the policy implementation and assume the delivery of public services (OECD, 2018[15]).
In line with what can be observed in several other critical policy areas, digital government policies require cross-cutting co‑ordination, management and implementation to produce positive outputs, outcomes and impacts. To secure sound governance of digital government and the necessary synergetic policy co‑operation, the OECD Recommendation of the Council on Digital Government Strategies (2014[3]) underlines the requisite of setting clear institutional roles in the public sector able to dissipate doubts or avoid lack of definitions about the mandates of the stakeholders involved.
Established roles and responsibilities and a clear consensus about leadership and institutional mandates are critical prerequisites for a sustainable and coherent digital transformation of public sectors. The existence, location, delegation of responsibility, attributions and relevance attributed to the public sector organisation responsible for leading and co‑ordinating digital government policies by the ecosystem of stakeholders are central dimensions to consider when analysing the institutional frameworks in place. The role of this institution is fundamental to secure the proper leadership and the executive co‑ordination of efforts across sectors and levels of government, assuring a shift from agency-thinking and government-centred approaches to systems-thinking and citizen-driven imperatives in policymaking and implementation processes (OECD, 2016[2]).
Figure 1.7. Existence of a digital government co‑ordinating public sector organisation in OECD countries in the LAC region
Source: OECD (2014[4]), Survey on Digital Government Performance, https://qdd.oecd.org/subject.aspx?Subject=6C3F11AF-875E-4469-9C9E-AF93EE384796 (accessed on 16 July 2018); OECD (2016[5]), Government at a Glance: Latin America and the Caribbean 2017, https://dx.doi.org/10.1787/9789264265554-en.
Demonstrating that governments around the world are progressively adapting the institutional setups to better drive the digitalisation of their public sectors, almost all OECD member countries that responded to the OECD Digital Government Performance Survey have a central co‑ordinating public sector organisation that leads the digital government policy (OECD, 2014[4]). The panorama in the LAC region is not substantially different, with 21 out of 24 countries (83.4%), including Panama, confirming the existence of a public sector organisation with the aforementioned leadership role for digital government policy.
Very diverse models can be found across countries regarding this public sector organisation leading digital government. These reflect the institutional legacy, legal and regulatory context or the form of government in place (e.g. unitary state vs. federation). Although some tendencies and trends can be discussed on the benefits and challenges of the different models, the diversity confirms that a one-size-fits-all model is not suitable. On the contrary, approaches that work well in a specific national context have proven counter-effective in others. For instance, countries such as Australia, Japan, Portugal, the United Kingdom, the United States and Uruguay have placed their co-ordinating public sector organisation at the centre of government (Office of the Head of Government or the Head of the State). These governance arrangements usually reflect the commitment to the digital government agenda by the highest political level. Another frequent institutional set-up consists of placing the public sector organisation that leads the digital government policy under a co-ordinating ministry. Canada (Treasury Board of Canada Secretariat), Denmark (Ministry of Finance) and Spain (Ministry of Finance and Public Administration) have followed this second approach is typically able to strongly link digital government policies with broader public sector reform agendas (OECD, 2016[2]).
More than its organisational model the role of the public sector organisation providing leadership for digital transformation of the public sector depends on critical variables such as political support, an institutional mandate, having the necessary co‑ordination mechanisms in place, available policy levers and the resources (financial and human) that can be mobilised for effective implementation of the digital government policy (see Chapter 2).
The National Authority for Government Innovation
In Panama, AIG is the public sector organisation responsible for the design, development, delivery and monitoring of the digital government policy1. The Authority has, in this sense, wide responsibilities in the mobilisation of the Panamanian economic, social and government agents to seize the opportunities and tackle the challenges of digital transformation. Its scope of action is significantly broad, acting not only as a leader for digital government, public service delivery, public sector innovation and administrative simplification but also as a catalyst for the role of digital technologies in the country’s economy and society. In other words, within the Panamanian context, AIG truly embodies the national government’s efforts and commitments for the digital transformation age through all three branches of government, including local government (Table 1.2).
Table 1.2. The vision and functions of AIG
Source: AIG (2019[16]), Acerca de la AIG, http://www.innovacion.gob.pa/acercade (accessed on 7 March 2019).
Created by Law No. 65 of 30 October 2009 (Asamblea Nacional, 2009[17]), with a reinforced e-government mandate provided by Law No. 83 of 9 November 2012 (Asamblea Nacional, 2012[18]), the Authority is attached to the Ministry of the Presidency (centre of government) and its Administrator General is directly nominated by the President of the Republic of Panama. It reports to the National Government Innovation Council (Consejo Nacional para la Innovación Gubernamental), presided over by the President of the Republic of Panama, and consisting of the Minister of the Presidency, the Minister of Finance, the Administrator General of AIG, the Secretary General of the National Secretariat of Science, Technology and Innovation (Secretaría Nacional de Ciencia, Tecnología e Innovación, SENACYT) and the General Comptroller of the Republic (Contraloría General de la República). AIG has evolved from a previous institutional approach that started as a Commission under the Vice-president of the Republic in 2002 with the support of the United Nations Development Programme.
As an authority in the Panamanian public administration context, AIG benefits from an institutional regime that guarantees administrative and financial autonomy. The Authority has legal personality, manages its own assets and resources autonomously and according to an internal regime. The institutional framework of AIG enables this public sector organisation to use its wide mandate and scope of action in a very autonomous and efficient way across the different sectors and levels of government.
The Administrator General of the Authority participates regularly in the meetings of the Council of Ministers (Consejo de Gabinete). This participation is an important policy lever for AIG to support the development and implementation of digital government policies across the government, that allows the Authority to ensure strong alignment with the government’s strategy and priorities in different policy areas, acquiring a critical oversight capacity on public sector policies underway. Moreover, this facilitates AIG’s access to main decision actors and decision processes, providing a unique opportunity to embed digital technologies from the very start of the policy design process.
AIG prioritises a collaborative and open culture for policy design, delivery and monitoring through frequent efforts to involve private sector stakeholders in its activities. The Advisory Council of AIG (Comisión Asesora de la AIG) regularly brings together mostly private sector representatives to advise the Authority on its priorities and actions. High-level representatives of entities with a seat in the Council such as the Panamanian Chamber of Information, Innovation and Technologies (CAPATEC), the Panamanian Chamber of Construction (Cámara Panameña de la Construcción), the Authority of the Panama Canal (Autoridad del Canal de Panamá) or the Panamanian Association of Business Executives (Asociación Panameña de Ejecutivos de Empresas), are able to positively influence government policy on digital government. This Council represents in this sense a strategic institutional asset for aligning public-private expectations, promoting value co-creation, but also encouraging shared ownership of, and responsibility for, the policies being implemented.
Acknowledgement and support for the role of AIG
The role of AIG as the public sector organisation responsible for leading the digital transformation of Panama’s public sector policy is highly and positively recognised. The OECD peer review team was able to observe the level of recognition of the Authority and support for its work by representatives of different sectors of government, but also private sector and academia representatives. Figure 1.8 illustrates this level of acknowledgement by the more than 50 public sector institutions that responded to the Digital Government Survey of Panama (OECD, 2019[19]).
Figure 1.8. Recognition of the existence of a co-ordinating body responsible for Panama’s digital government policy
Source: OECD (2019[11]), Digital Government Survey of Panama, Public Sector Organisations Version, Unpublished, OECD, Paris.
Digital government cross-cutting programmes and initiatives such as Online Panama (Panamá en Linea) for simplifying and automating procedures, the 311 Citizen Contact Centre (Centro de Atención Ciudadana 311), the National Internet Network (Red Nacional de Internet) consisting of free Internet access points, Digital Municipalities (Municipios Digitales), the Open Data Portal and other shared platforms (see Chapters 3 and 4) contribute to this high-level recognition among public sector organisations. In line with its leadership role in the national digitalisation policy, AIG is able to mobilise joint efforts and promote synergies that determine support for its wide mandate and critical role.
But active involvement by AIG in different policy priorities also demonstrates a recognition that its role goes beyond the borders of government. Concrete initiatives managed by the agency such as the ones mentioned above showcase to citizens and businesses the benefits of AIG’s policy leadership as a promoter and accelerator of the digital transformation of public sector organisations.
Figure 1.9 demonstrates that the vast majority of respondents are aware of the role the Authority plays in the co‑ordination, development and monitoring of the national digital government strategy, and in the support and development of institutional strategies across the administration and in co‑ordination with local governments. These soft-policy levers are correctly associated with the Authority’s mission.
Figure 1.9. Main responsibilities attributed to the co-ordinating body responsible for Panama’s digital government policy
Source: OECD (2019[11]), Digital Government Survey of Panama, Public Sector Organisations Version, Unpublished, OECD, Paris.
Concerning hard policy levers that can support coherent and sustainable policy implementation, the approval of data, digital and technology investments, as well as the ex ante evaluation and prioritisation of ICT investments, were easily ascribed to the Authority (see Chapter 2). The responsibility for mandating external reviews or proving that funding support was received was not recognised by the majority of the respondents precisely because those activities are not part of AIG’s mandate and responsibilities.
The high level of acknowledgement and support observed for AIG demonstrates that the institutional framework of the digital government policy in Panama is considerably mature. Not only the institutional setting is advanced when considering the role, mandate and scope of action of AIG, but also the level of acknowledgement by public sector stakeholders is high, contributing to one of the most critical requisites of sound governance of digital government.
Box 1.2. Digital government leadership - Examples from Portugal and the United Kingdom
AMA – Agency for Administrative Modernisation (Portugal)
The Agency for Administrative Modernisation (AMA) is since 2007 the public institute responsible for promoting and developing the administrative modernisation in Portugal. Responding to the Presidency of the Council of Ministers, AMA’s initiatives and projects are focused in three policy areas:
Public Service Delivery, including the management of service design and integrated multichannel delivery thought a national network of physical one-stop shops (Citizens Shops and Citizens Spots), the national services portal (ePortugal) and the telephone contact centers.
Digital Transformation, managing and developing key enablers such as the national digital identity system, the national interoperability platform and coordinating the technical committee of the Council for ICT in the Public Sector (CTIC).
Administrative Simplification, with the operational management of the Simplex Programme, an emblematic wide national initiative that collaboratively and with high level political support mobilises the public sector, the private sector, the academia and the civil society towards a simpler and more citizen-driven public administration.
AMA also manages an administrative modernisation funding programme (SAMA2020) that supports national and local public sector organisations to develop initiatives and projects in the three policy areas mentioned above.
GDS – Government Digital Service (United Kingdom)
The Government Digital Service (GDS) was founded in December 2011. It is part of the Cabinet Office, the United Kingdom’s centre of government, and works across the whole of the UK government to help departments meet user needs and transform end-to-end services.
GDS’ responsibilities are to:
1. provide best practice guidance and advice for consistent, coherent, high-quality services
2. set and enforce standards for digital services
3. build and support common platforms, services, components and tools
4. help government choose the right technology, favouring shorter, more flexible relationships with a wider variety of suppliers
5. lead the digital, data and technology function for government
6. support increased use of emerging technologies by the public sector.
GDS builds and maintains several cross-government platforms and tools, including GOV.UK, GOV.UK Verify, GOV.UK Pay, GOV.UK Notify and the Digital Marketplace. It also administers a number of standards, including the Government Service Standard, the Technology Code of Practice and Cabinet Office spend controls for digital and technology.
In 2013, less than 2 years after its launch, GDS had over 200 staff. Today GDS has more than 500 staff.
Source: Agency for the Administrative Modernisation (2019[20]), https://www.ama.pt; Government Digital Service (2018[21]), About Us, GOV.UK, https://www.gov.uk/government/organisations/government-digital-service/about.
Panama currently benefits from a sound governance framework for driving the digital transformation of the public sector. The entity that leads the digital government policy – AIG – benefits from high-level political support, has a mandate and level of autonomy for policy action guaranteed by being a public sector authority, is well sustained by important mechanisms of co‑ordination and its role is highly recognised by the ecosystem of digital government stakeholders. AIG is able to implement its digital government initiatives and projects in a very positive institutional environment that favours the capacity of the Authority to strongly shape digital government development in the country. This positive institutional environment also allows for a better connection between digital government policies and broader policy agendas that help reinforcing citizens’ trust in the public sector, the social well‑being of the population and sustainable economic growth.
Co‑ordination, compliance and mandates
Cross-level co‑ordination for improved synergies and policy coherence
The digital transformation underway requires government to have appropriate mechanisms for cross-sector and cross-level co‑ordination to secure multi-stakeholder involvement, alignment and engagement with digital government policies. Institutional co‑ordination is essential for promoting consensus, defining shared standards and accepting policy levers at a corporate level to achieve coherent public policies (OECD, 2017[1]). Additionally, co‑ordination is an important enabler for ensuring multi-stakeholder engagement that promotes ambitious approaches to collaboration and commissioning for value co-creation between public, private and civil society agents.
The existence of stable policy co‑ordination mechanisms also enables better monitoring, providing policy and decision makers with a broad picture of the projects and initiatives across different sectors and levels of government and better assessment of investments. A co-operative environment between the relevant public stakeholders allows for better and more regular monitoring of policy activities through the exchange of information and data. It also enables the development of accountability mechanisms, that are fundamental to strengthening citizens’ trust in governments.
The decentralisation of public administrations is a challenge for effective governance of digital government across OECD member and non-member countries. Enabling strong central government co‑ordination for digital government requires a shift from agency-centric approaches to a systems perspective, focused on the advantages of co‑ordinating efforts for more efficient and coherent policy action. A culture of co‑ordination can further be encouraged or nurtured through institutional mechanisms to promote inter-governmental co‑ordination and consensus, foster an exchange of views, knowledge and data sharing among the public stakeholders for a common definition of goals and priorities, and collaborative implementation strategies.
In order to secure effective policy co‑ordination, the OECD Recommendation of the Council on Digital Government Strategies (OECD, 2014[3]) advocates that high-level articulation and leadership is needed, bringing together ministers or senior officials, and assuring broad co‑ordination and oversight of the digital government strategy. Side by side with this high-level co‑ordination, an operational and technical co‑ordination mechanism is also required to deal with implementation challenges and bottlenecks. The existence of these two levels of co‑ordination can be particularly useful to ensure the coherence and sustainability of the decisions, initiatives and projects to be executed (OECD, 2016[2]).
In Panama, the National Council of Government Innovation (Consejo Nacional para la Innovación Gubernamental, CNIG) is a high-level co‑ordination body responsible for overseeing the work of AIG. Chaired by the President of the Republic, the Council brings together the Minister of the Presidency, the Minister of Economy and Finances, the General Administrator of AIG, the Secretary General of SENACYT and the Comptroller General of the Republic (Contraloría General de la República). Created by Law No. 65 of 30 of October 2009, the Council has the mandate to approve the annual budget of AIG, as well as the policies and national plans for ICT development in government formulated by the Authority (Asamblea Nacional, 2009[17]).
Although its institutional function is very concretely AIG’s oversight, the Council is an important example of a co‑ordination mechanism that reflects the importance attributed by the Panamanian government to digital government policy. Together with the regular participation of the General Administrator of AIG in the Council of Ministers (see Chapter 1: The National Authority for Government Innovation), the seniority of those serving on the Council showcases Panama as an advanced example of political support for the digital government agenda.
Figure 1.10. Regular co-ordination with the co-ordinating body responsible for Panama’s digital government policy
Source: OECD (2019[11]), Digital Government Survey of Panama, Public Sector Organisations Version, Unpublished, OECD, Paris.
Box 1.3. Cross-level co‑ordination – Examples from Brazil and Norway
SISP - System for the Administration of Information Technologies Resources (Brazil)
The System for the Administration of Information Technologies Resources (Sistema de Administração dos Recursos de Tecnologia da Informação, SISP) is the main institutional digital government co‑ordination mechanism in Brazil, promoting the necessary alignment among the federal-level public sector organisations concerning digital government policies and practices. The SISP is co-ordinated by the federal public sector organisation that leads the digital government in Brazil, the Secretariat of Information and Communication Technologies (SETIC), and brings together over 200 representatives of public bodies from the federal government. The system has a transversal convening role but limited enforcing capacities. The SISP’s objectives are to:
1. promote the “integration and co-ordination among government programmes, projects and activities, envisaging the definition of policies, directives and norms for the management of information technologies resources”
2. encourage the “development, standardisation, integration, interoperability, normalisation of services of production and dissemination of information”
3. define the strategic policy for the management of ICT of the federal government.
The SISP also contributes to knowledge exchange, peer-to-peer learning and promoting innovation among its members. Through a virtual community, SISP members are invited to interact and share knowledge. SISP expert groups also bring together some of its members to discuss and agree on common actions on: 1) strategic human resource management; 2) IT procurement; 3) information and communication security; and 4) electronic services and accessibility.
SKATE - Strategic Co‑operation Council for Management and Co‑ordination of eGovernment Services (Norway)
The SKATE is a strategic collaborative council and advisory body meant to ensure co-ordination of the digitalisation of the public sector to benefit citizens, businesses and the management of the public administration. It brings together heads/directors from key Norwegian public institutions from various policy sectors: from education to justice, from taxes to health. The local government is also represented through the Association of Local and Regional Authorities (KS).
Established in 2012 and chaired by Difi, the Norwegian public sector organisation responsible for the executive management and implementation of digital government policies, SKATE is considered a key policy advisor concerning which ICT measures ought to be implemented and how to finance them. SKATE also advises on future development policy and administration of the common components in the central ICT infrastructure.
Source: OECD (2017[22]), Digital Government Review of Norway: Boosting the Digital Transformation of the Public Sector, https://dx.doi.org/10.1787/9789264279742-en; OECD (2018[13]), Digital Government Review of Brazil: Towards the Digital Transformation of the Public Sector, https://dx.doi.org/10.1787/9789264307636-en.
In addition to high-level co‑ordination and political support, AIG holds CIO Meetings (Reunión Directores y Jefes de TI) that bring together the IT directors of public sector organisations. Regular quarterly meetings are dedicated to follow up on digital agenda initiatives, discuss shared platforms and standards, procedures and standards for ICT projects. The meetings are also used to share best practices among public sector organisations and discuss the adoption of emerging technologies and new ICT trends (OECD, 2019[19]; AIG, 2018[23]). More operational in nature, they constitute an important mechanism to secure co‑ordination, alignment as well as collaboration and synergies across the government. The meetings also provide a significant leadership tool to AIG, allowing the Authority to strengthen the involvement and mobilisation of its contact points (the IT directors) of different public sector organisations.
The existing institutional co‑ordination between public sector organisations in Panama benefits not only from important high-level (National Council of Government Innovation) and technical-level mechanisms (CIO meetings) but also regular contacts between AIG and its counterparts across the administration. During the OECD peer review mission in November 2018, several public sector organisations highlighted how important this intense co‑ordination was in securing alignment and policy coherence as well as guidance and knowledge sharing for policy implementation. The data collected through the Digital Government Survey of Panama (OECD, 2019[19]) confirmed this important practice with 72% of public sector organisations answering that they regularly co‑ordinate with AIG (Figure 1.10). Advice for digital government strategy development and approval of ICT projects are among the activities that justify this regular co‑ordination (Figure 1.11).
Figure 1.11. Purposes of regular co-ordination with the body responsible for Panama’s digital government policy
Source: OECD (2019[11]), Digital Government Survey of Panama, Public Sector Organisations Version, Unpublished, OECD, Paris.
Within the analysis of the cross-level co‑ordination component on digital government, Panama presents a remarkable level of maturity, being able to bring together several mechanisms that secure policy alignment, promote synergies and pave the way for shared ownership and responsibility for digital government implementation across the administration. Building on this important background and on several efforts already underway, three challenges can be highlighted for more efficient and better co-ordinated policy action in Panama:
1. From centralised to shared policy implementation
The co‑ordinating role of AIG contributes to maturing digital government development in Panama. Yet, although centralised efforts of implementation were critical in securing the country’s rapid progress towards a digital government, at medium and long terms their sustainability is problematic and can hinder shared policy implementation, the further development of digital government capacities across the administration and obstructing the required sense of shared ownership and joint responsibility.
2. Mobilising the different levels of government
Room for improvement seems to exist for building higher readiness, engagement and empowerment of the municipalities in Panama, favouring a more decentralised and sustainable digital transformation of the public sector. AIG currently detains highly acknowledged, recognised expertise and considerable technical and human resources that could be better mobilised to support the digital transformation agendas at the local level and the development of initiatives and projects more aligned with specific local needs.
3. Compliance of existing guidelines and standards
AIG’s role and capacity in the development and implementation of guidelines and standards across the administration is broadly acknowledged by Panamanian public sector organisations. Nevertheless, during the fact-finding mission and considering the results of the digital government survey of Panama, room for improvement exists for effective compliance of key digital guidelines and standards (OECD, 2019[11]). For instance, the importance of data exchange across the administration and the once-only principle are substantially supported by senior digital government officials in Panama but their effective application is still very limited (see Chapter 3).
Addressing the three challenges mentioned above depend on the mobilisation and strategic use of effective institutional mechanisms that can secure alignment, synergies and shared efforts for the coherent and sustainable policy development of digital government in Panama. Chapter 2 will analyse, discuss and explore how some strategic policy levers (e.g. business cases, budgetary influence, project management standards) can be used to support AIG’s mandate, reinforce policy implementation and assure that the opportunities and challenges of the digital transformation can be addressed across the public sector.
Enabling legislation and digital rights
A sound legal and regulatory framework
Key Recommendation no. 12 of the OECD Recommendation of the Council on Digital Government Strategies (2014[3]) expects OECD member and adherent countries to “ensure that general and sector-specific legal and regulatory frameworks allow digital opportunities to be seized” namely by “reviewing them as appropriate”. Numerous and varied laws and regulations are required to be in place in order to enable and institutionalise digital change in the public sector. Digital rights of citizens and businesses, attribution and legal value, recognition of digital artefacts (e.g. digital documents, digital signatures), openness and transparency of information and data, personal data protection and security of digital systems are some of the domains covered by digitally enabling legal and regulatory frameworks (OECD, 2016[2]).
The diversity of trends and the increasing complexity of digital systems and platforms creates a critical challenge for governments to maintain an up to date legal and regulatory framework. There is no one-size-fits-all model for the legal and regulatory environments for digital government given the different institutional cultures and contexts in countries. Permanent efforts are required to tackle and not create obstacles to the creation of a digitally enabled state. The digital change is constant and dynamic, but the adequate legal and regulatory building blocks need to be in place for its sound institutionalisation (see Figure 1.12).
Figure 1.12. Institutionalising the digital transformation
Source: Author.
The legal and regulatory framework for digital government in Panama reflects the effort and commitment of the national government to have the necessary enablers in place that can enhance the digital transformation of the public sector. Table 1.3 presents several examples of critical laws and decrees that illustrate the Panamanian legal and regulatory context.
As the table above demonstrates, the Panamanian government was able to progressively update its legal and regulatory framework to support the development of a digital economy, society and government. For instance, since 2008, Law No. 51 of 22 July regulates the use of digital documents and signatures, broadly threading the path for a progressive digitalisation of government activities (Asamblea Nacional, 2008[24]). In 2012, Law No. 83 of 9 November provided a broad framework for digital government development in the country, with a large scope that included the right to digitally interact with public sector organisations, the once-only principle, the value of data and interoperability in the public sector (Asamblea Nacional, 2012[18]). More recently, the approval in 2017 of Executive Decree No. 511 of 24 November establishes the national policy on open government data, demonstrating government willingness and commitment to embrace the sharing and reuse of public data as a mechanism of transparency and value creation (Ministerio de la Presidencia, 2017[28]). In March 2019, fulfilling a gap that was broadly recognised by the digital government ecosystem of stakeholders, the National Assembly approved Law No. 21 of 26 March that regulates personal data protection (Asamblea Nacional, 2019[26]). This new legislation will take effect two years after its publication in the Official Gazette (Gaceta Oficial), contributing to place Panama in a new stage for the development of a data-driven public sector (see Chapter 3).
As a mechanism to guarantee the whole-of-government alignment in the application of the legal and regulatory framework on digital government, as mentioned previously the General Administrator of the AIG participates in Cabinet meetings where bills are reviewed and approved before submission to the National Assembly (OECD, 2019[19]).
Figure 1.13. Perceptions of the legal and regulatory framework in Panama
Source: OECD (2019[11]), Digital Government Survey of Panama, Public Sector Organisations Version, Unpublished, OECD, Paris.
Although the efforts of the government to keep the legal and regulatory framework updated have been considerable, the vast majority of public sector organisations that participated in the Digital Government Survey of Panama confirmed there is still potential to improve it (see Figure 1.13). During the peer review mission to Panama City in November 2018, the absence of updated legislation was frequently pointed out as a reason for low uptake of specific digital government opportunities (e.g. increased participation of citizens and businesses in digital government policies, e-procurement, use of emerging technologies in the public sector). While an overly legalistic culture was observed in causing some inaction in specific areas, it was generally acknowledged by the OECD peer review team that the administrative system in Panama depends on, and is strengthened by, the Country’s legal and regulatory framework. In this sense, although a culture of innovation and experimentation should be further promoted across the administration, it is generally accepted by AIG and the digital government ecosystem of stakeholders that an updated legal and regulatory framework is a requirement for enhancing digital government in Panama.
To that end, there seems to exist room for improvement towards the adoption of a digital by design approach in the policymaking process, embedding the potential of digital technologies from the start when designing, developing, implementing and monitoring new legal and regulatory bills. This would secure a more consistent integration of digital technologies in the policy lifecycle, allowing the country to more rapidly and sustainably seize the opportunities and tackle the risks of the digital transformation. Evidence also shows the need of capacity building/training programmes targeted at legislators in order to help raise their awareness on the use of digital technology by the public sector and the implications of new legislation in the digital government landscape (see Box 1.4). The promotion of a digital culture by policymakers and senior public officials is recognised by government CIOs of OECD countries as a critical lever for sound digital government development (see Chapter 2).
Box 1.4. Public guide for legislators on the integration of digital technologies (Austria)
A public guide was developed in Austria to advise the legal experts responsible for drafting laws related to the integration of digital technologies, briefing them on the relevant regulatory issues. Legal experts (civil servants, subnational governments) benefit from such guidance about how to consider digital technologies from the start when drafting legislative proposals.
Following the launch of the guide in 2012, the need for central interventions during the legislative process from the Federal e-Government Department decreased considerably since an increasing number of legislative drafts had already taken the recommendations into account.
Source: Federal Chancellery of the Government of Austria (2018[30]), Impact Assessment of Legal Projects on ICT, https://www.bka.gv.at/DocView.axd?CobId=47410 (accessed on 24 September 2018).
Digital rights for a citizen-driven transformation
As digital technologies penetrate citizens’ and businesses’ daily activities, opportunities for increased efficiency, convenience, transparency or inclusion emerge. Alongside a wide range of opportunities, there are risks to privacy, security or social and economic inclusion, as well as newly emerging rights, that require the government to have the right legal and regulatory frameworks in place, enabling a sound digital transformation. Since going digital is not optional for economies, societies and public sectors, it is governments’ critical responsibility to guarantee that the digital disruptiveness underway does not harm the fundamental pillars of democratic societies.
In an era in which digital became omnipresent a citizen-driven transformation requires a streamlined approach to digital rights that secures social well-being and sustainable economic growth. ; one that embeds a combination of existing and newly emerging digital rights to frame the changing relation of citizens with the public sector and that can help enhancing a positive change in the digital age..
As such, some basic or “first generation” digital rights should be considered as citizens’ fundamental rights (e.g. personal data protection, the right to communicate digitally with the public sector, cybersecurity). Governments should be committed to safeguarding these rights as baseline prerequisites for the digitalisation of public sector activities. In order to start embracing digital government effectively, governments need to go further and guarantee some “second generation” rights such as digital identity, one-stop-shops and multichannel approaches, plain language in communication with citizens and open government data. But as emerging technologies such as artificial intelligence (AI) quickly penetrate public sector activities and services, these mainstreamed digital rights in the OECD context are becoming insufficient. For example, in order to ensure citizens’ convenience and secure trust in an age of digital disruption, governments are now increasingly required to apply the once-only principle, develop proactive service delivery, guarantee data transparency and ownership to their citizens and consider open algorithms when applying AI in public decision-making processes (Figure 1.14). For instance, in order to secure openness and accountability about the use and reuse of data, countries such as Belgium, Estonia, Netherlands and Spain allow citizens to know how their data is being used across the administration through online dashboards.
Figure 1.14. Digital rights – Towards a citizen-driven transformation
Source: Author.
In Panama, significant evidence shows that the government progressively adopted an approach that takes into digital rights when updating its legal and regulatory framework. For instance, and as mentioned above, Law No. 83 of 9 November 2012 foresees the right of the citizen to digitally interact with public sector organisations and also the application of the once-only principle (Asamblea Nacional, 2012[18]). Executive Decree No. 511 of 24 November 2017 establishes the national policy on open government data (Ministerio de la Presidencia, 2017[28]) and the recent Law No. 21 of 26 March 2019 regulates personal data (Asamblea Nacional, 2019[26]). Additionally, during the peer review mission, the stakeholders interviewed frequently stressed the right of citizens to benefit from increased efficiency and convenience when interacting with the public sector, underlining that this was one of the central drivers of the digital government actions of their public sector institutions.
It is also important to note that the Government of Panama benefits from an interesting mobilisation of specific sectors in civil society to use digital rights as a driver for a competitive, inclusive and sustainable digital change in the country. For instance, the Panamanian Institute of Law and New Technologies (Instituto Panameño de Derecho y Nuevas Tecnologías, IPANDETEC) is a non-profit association that promotes the use and regulation of digital technologies and the defence of human rights in the digital society. With a scope of action mostly focused in Panama and Central America, IPANDETEC develops analysis, research and legislative monitoring of public policies dedicated to the digital transformation of society.
Building on the efforts underway to maintain an up to date legal and regulatory framework and considering the possibilities to further collaborate with civil society organisations (e.g. IPANDETEC), the Government of Panama should consider strengthening its policy initiatives, projects and actions using a citizens’ digital rights angle. This will require that AIG further embody this commitment for the development of digital government by strongly prioritising the evolution of the citizens’ digital rights framework in the country, and also increasing the efforts to build a digital rights culture among the Panamanian public sector workforce through awareness-raising campaigns and capacity-building actions.
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Note
← 1. According to the Authority’s website, AIG is: “… the competent entity of the State to plan, coordinate, issue guidelines, supervise, collaborate, support and promote the optimal use of information and communication technologies in the government sector for the modernization of public management, as well as recommend the adoption of national strategic policies, plans and actions.” (AIG, 2019[31])