“ ConosCo” The Business Intelligence System of the Italian Court of Audit April, 22-23th 2013

1. “ConosCo” The Business Intelligence System of the Italian Court of Audit April, 22-23th 2013

2. Technological innovation in the Court of Audit The Court of Audit, in line with the Italian Public Administration modernization and innovation strategy, carries out initiatives aimed at: • Increasing the efficiency of the judicial and administrative action • Improving the delivery of services to citizens • Reinforcement its institutional role ....through an innovative approach based on the use of ICT

3. Inside the italian Court of Audit, the enhancement of technology has followed 3 main areas: investment in information assets, development and evolution of operational information systems investment in business intelligenceadvanced tools for data analysis use of new methodologies for data analysis Technological innovation in the Court of Audit … and what are the the aims of this?

4. Aims of Technological innovation in the Court of Audit • simplification, rationalization and transparency of information • timeliness of data collection and monitoring • “Digitalization” or “dematerialization” (using the digital document) • strengthening instruments for quantitative and qualitative control of revenues and expenditures

5. Technological innovation in the Court of Audit: the Business Intelligence System The project of the business intelligence system “Conosco” was launched by the President of the Court of Audit in 2008 with the aim of identifying new tools for Public Finance control. Later, the project’s objectives and technical/operational requirements were defined in collaboration with IT Department of Italian Court and Consip (a public company particularly skilled in IT)

6. ConosCo – the aims ConosCo as an instrument to monitor public finance • During the last years the Court of Audit has implemented its information technology infrastructure in order to better support its institutional activity, and has started many IT projects mainly concerning : • controlling and reporting activities on Ministries and other public bodies • controlling and reporting activities on local authorities

7. Technological innovation in the Court of Audit: Why a Business Intelligence System? The continuous change of the social, political and economic context poses   increasingly new questions, often extemporaneous,   and increasingly complex decisions NEED: The satisfaction of “knowledge” needs requires the availability of complete, timely and reliable information and a specific IT solution REQUEST: The solution for addressing those needs and to support decision making, is called ... SOLUTION: Business Intelligence

8. Technological innovation in the Court of Audit: the Business Intelligence System What is it? Business Intelligence is a set of methodologies, processes, architectures, and technologies that transform raw data into meaningful and useful information. This information is used to enable more effective, strategic, tactical, and operational insights and decision-making, which are necessary for an organization to obtain and analyze data to support decision making and control. How is it done? Presentation Processes Storaging Methodologies Software Acquisition Processing Hardware Statistics Data Sources

9. Technological innovation in the Court of Audit: the Data Warehouse What is it? The “beating heart” of the system is the Data Warehouse “A subject-oriented, integrated, time-variant, non-volatile collection of data organised in support of management’s decision-making process.”* … for the Court of Audit that means Public Finance assessment and control * William (Bill) H. Inmon is considered the "father" of one of the main models of data warehouse

10. Technological innovation in the Court of Audit: the Data Warehouse What is it? • A toolto assist the management tomakedecisions (knowingto decide): • A binder of information on “thematic areas" of interest (subjectoriented); • A single coherent data collector (integrated) • A system that tracks information changes over time (timevariant); • A set of homogeneous information that can not be modified by the user (non volatile);

11. Business Intelligence Technological innovation in the Court of Audit: The Pyramid of this Information System: the relationship between business Intelligence, Data Warehouse and operational systems Data Processes Users Dashboard Strategic Control Decision Making Synthetic Information analysis and monitoring Aggregate Analysts Data Warehouse Management of Institutional and Organizational Processes Detailed Operational Operational Systems

12. DM LocalGov. Finance SIAP*- CDC Technological innovation in the Court of Audit: ConosCo DATA WAREHOUSE System Data Sources Functionality Central Gov. Finance Area SIRGS-CDC Dashboard - Indicators DM CentralGov. Finance Local Gov. Finance Area SIRTEL SIQuEL Query Jurisdiction & Attorney Area SISP EDW Report DM SISP Personnel Area DM Personnel Quality e metadata

13. Central Gov. Finance Data Mart what are thecontrolling and reporting activities on Ministries and other public bodies? Expenditures Balance Revenues • RevenueReceiptsfrom BKI • Public revenue • balance-sheet items • MinisterialDecrees • Administrativemeasures • Money Orders • Payments • Account of residual assets and liabilities passed on to the following balance sheet Cdc • Treasury flows • State assets Assets SIRGS: Sicoge-Sipa-Igepa… Integrated Information Systems (12) of the State General Accounting Department

14. Local Gov. Finance Data Mart www.corteconti.it • cross checks carried out in automatic mode • Error reporting in real time to local Administrations. Information System - SIRTEL XML Data storage The Local Administration sends the final balance in XML file format Report to Parliament 50.000 balance items from each local authority

15. The decision to build the Court of Audit data warehouse with a single data container (“Enterprise DW”) allows a subsequent rapid implementation of new thematic Data Marts. Technological innovation in the Court of Audit: data integration Public Finance CentralGov. Finance Regional Finance Public agencies LocalGov. Finance Finanza Locale

16. ConosCooverview • Data integrator of different information systems in order to: • perform complex financial analysis • share information and results of the analysis with some other public bodies • obtain information in real time through financial indicators concerning revenue, expenditure, …. • monitor expenditure’s trend of the Public Administration • produce graphical representations

17. ConosCocharacteristics • Modular (new datamarts) • Incremental (data and analysis) • Customizable(analysis and indicators) • Historicized (current data and time series) Finanza Locale

18. Quality and Metadata ConosCo: the Data Warehousecharacteristics Characteristics Data Quality is the measure of the conformity degree between the expected data in the system and the rules of Business It determines the ability to transform the data into useful and reliable information QUALITY Poor data quality spreads Poor quality of data is expensive Data quality can be improved

19. Quality and Metadata ConosCo: the Data Warehousecharacteristics Characteristics The information needed to contextualize the data • IndicatorTab • Indicatorname • Description • Data source • unitmeasure • Algorithmcalculation-threshold METADATA Business Metadata (synthetic) financialautonomy : OwnRevenue/CurrentRevenue

20. ConosCo – multidimensional analysis Economic classification Economic classification View Time View Geographical classification Time Amount 1.500 Multidimensional View Geographical View

21. ConosCo – multidimensional analysis It’ also possible the «drill down»

22. ConosCo – multidimensional analysis Data correlation Revenues Expenses

23. ConosCo – dashboard dashboard: synthetic and intuitive representation of the most important financial indicators on public expenditure This dashboard represents the expenditure of a chosen Ministry through a set of indicators an indexes

24. ConosCo – dashboard Dashboards are available to analyze the economic and financial management of local authorities through synthetic indicators

25. ConosCo – complex report In one click you can obtain a report on local authorities economic and financial management (250 pages)

26. ConosCo – Integration with office tools

27. ConosCo – MOBILE functionality Tablet SmartPhone

28. About the Change Management – the changes and the benefits CHANGES INTRODUCED BY ConosCo The BENEFITS • Real-time analysis • Easy access to information Significant time savings in the production of the report and analysis • Qualityof work • Reduction of errors in tables processing Reductionof routine and repetetiveworks • Data Integration • Sharing information, results and analysis methodologies Shared work mode and new ways of working in offices and between offices • Dynamic and flexiblereporting • Availabilityofsyntheticindicators • TimeSeries, cluster Analysis Change in verification and monitoring processes

29. Thanks • I think there is a world market for maybe 4-5 computers • (Thomas Watson IBM Chairman, 1943) • Future enters into us, in order to transform itself in us, long before it happens • (R.M. Rilke)