State Information Technology Agency (SITA) Strategy

Inception of SITA  SITA was established in April 1999  By SITA Act 88 of 1998 as amended by Act 38 of 2002  Registered as Schedule 3A Public Entity (according to PFMA)  By amalgamation of  InfoPlan (Pty) Ltd, the ICT Service Provider to Dept of Defence  Central Computer Services of the Department of State Expenditure  Sub-component Information Systems within the Department of Safety and Security 2

Contents  Establishment of SITA  Mandate  Mandatory Services  SITA Challenges  Review  Why Turnaround?  SITA Vision & Mission  SITA Turnaround strategy  Outcomes  Progress to date 3

The SITA Mandate  The mandate of the SITA (as per the SITA Act) a)to improve service delivery to the public through the provision of information technology, information systems and related services in a maintained information systems security environment to departments and public bodies; and b)to promote the efficiency of departments and public bodies through the use of information technology 4

SITA Corporate Values  Service Excellence - We shall strive to attain internationally recognised standards of service quality, and maintain continuous improvement in service delivery.  Innovation - We shall pursue innovation by demonstrating thought leadership and proactive behaviour on the use of information and communications technology to enhance public service delivery.  Transparency - We shall always ensure transparency in everything we do in order to build trust and confidence with all our stakeholders.  Integrity - We shall conduct our business with integrity at all times to inculcate a culture of honesty, respect and accountability among all our employees.  Fairness - We shall treat all our partners, our suppliers and our employees with fairness and equity at all times.  Prudence - We shall exercise prudence and economy in running the business of SITA and in pursuance of its goals and the objectives of government. 5

Mandatory Services 6 Act means “SITA Act 38 of 2002”; Regulation means “SITA General Regulations R.902 of 2005”.

SITA Challenges 7

SITA Review  In March 2010 Cabinet adopted a Turnaround Framework for SITA, recognising that a decade after the formation the lead ICT agency of government, SITA was in crisis.  Review teams (established by MPSA) identified a number of issues that have prevented SITA from achieving the objectives as identified by the Presidential Review Commission (PRC) in 1996:  Be the lead agency for ICT in the public service  Procure Information and Communication Technology (ICT) goods and services, using economies of scale to reduce the cost of ICT;  Develop standards, architectures and strategies to enable systems to exchange information (interoperability);  Enhance government productivity through the use of ICT, and  Focus government ICT provision towards the betterment of citizen-centric services.  Coordinate the whole-of-government ICT initiatives. 8

Why Turnaround Strategy? (Part 1)  Symptomatic and Salient issues  Media: Bad media and publicity, such as failure to achieve objectives, corruption, incompetence.  Customer base: Failure to complete the incorporation of government departments into SITA due to the dissatisfaction with SITA service levels and standards.  Personnel: High staff turnover especially at leadership level, core skills, ineffective board and weak corporate governance;  Services Delivery: Poor Service delivery (from proposals, through to service delivery and service level management; inconsistent service delivery and absence of services at some service outlets)  Service Value: Services are expensive, non-value adding and a burden  Procurement: Poor quality of service, lack of compliance with regulations, pricing and turn-around times, no economies of scale, weak internal capabilities, processes and performance monitoring. 9

ICT Contribution since inception (part 1)  Full Outsourcing (ICT Infrastructure Service)  DOD, SAPS and KZN fully outsourced to SITA as “one-stop” service.  National Network Infrastructure, that enable integration among departments.  Government’s Transversal Systems operate like clockwork (transactions are processed on time and salaries paid on time).  System Integration and Solution Development service  Integrated Finance Management System (IFMS), to improve administration.  Learner Unit Registration information tracking system (LURITS), to improve Basic Education.  Poverty Index System, City of Johannesburg to support “war on poverty”.  Telemedicine, to bring Health Care into rural communities. 10

ICT Contributions since inception (part 2)  Value Add service  Minimum Interoperability Standards (2007) to improve interoperability  Government Wide Enterprise Architecture, to improve ICT Planning  Computer and peripheral tender, to procure quality ICT commodities  KZN Nerve Centre, to improve provincial service delivery  Rescue efforts on National traffic information system (eNATIS)  Support & Transaction services  Call Centres (Batho Pele Gateway, Independent Electoral Commission, Presidential Hotline, South African Social Security Agency)  GovTech Conference, as platform to grow ICT development in the country  Internal  Achieved ISO9001 Quality certification (organisation wide)  Developed Service Portfolio, capability model and a costing and pricing model. 11

Challenges faced by SITA  Poor Service Delivery - consistent complaints of clients and shareholder dissatisfaction  Poor Service Value related to pricing (expensive) and non-value adding  Weakness in Procurement driven by lack of compliance, pricing and turn around times, absence of economies of scale  Leadership – high turnover at Executive level, lack of core skills 12

SITA Today, Tomorrow and to the Future “… after this assessment, … the rallying theme that underpins SITA’s turnaround is ‘SITA today, SITA tomorrow, SITA to the future’, noting the organisation’s importance to government’s service delivery agenda both in the short, medium and long term. The SITA strategy is formulated to illustrate the organisational direction over a phased period. In essence it shows the organisation poised, through its new strategic direction, to fulfil its mandate in the context of government’s core priorities”, … Minister of Public Service and Administration. 13

Vision & Mission Vision “Be the lead ICT agency to enable public sector service delivery.” Mission "To render an efficient and value added ICT service to the public sector in a secure, cost-effective and integrated manner, contributing to service delivery and citizen convenience." 14

SITA Turnaround focus areas  Address internal issues that prevent SITA from fulfilling its mandate.  Address concerns from customers and shareholder (quality of service, pricing, absence of economies of scale and other inefficiencies).  Address priorities of government and the MPSA during the term.  Position SITA to play its role in the development of the South African ICT sector and enabling public sector service delivery. 15

SITA Role as Value contributor 16 To effectively fulfil this role, requires a highly sophisticated and dynamic agency with the necessary leadership, skills, capabilities and systems and processes to ensure a high level of service excellence, value for money, innovation and thought leadership

17 SITA Strategic Plan 2011/12 – Seven Outcomes No SITA Strategic Outcomes 01 Quality service delivery to the public sector O2 Proficient lead agency in public sector ICT 03 Effective and integrated public sector ICT Supply Chain Management (SCM) O4 Competitive pricing and financial sustainability 05 Effective ICT Regulator 06 Effective Governance and Monitoring 07 Employer of choice

SITA Outcomes 2011/12 18 Strategic OutcomeKey Performance Areas 1. Quality Service Delivery to the Public Sector  Customer Relationship Management  Service Quality and Performance  Flagship Projects Delivery (IFMS) 2. Proficient lead agency in public sector ICT  Operating Model, structure and delegations  Prime Systems Integrator (PSI)  Service Portfolio Management  Innovative and Learning organisation 3. Effective and integrated public sector ICT Supply Chain Management (SCM)  SCM Effectiveness (Economies, Digital Inclusion)  Supplier partnerships and contract management  SCM Efficiency (reducing backlogs) 4. Competitive pricing and financial sustainability  Pricing and costing  Debt Management  Revenue Growth 5. Effective ICT Regulator  Interoperability & Security standards & certification  Inventory and IS convergence (Reduce Duplication) 6. Effective Governance and Monitoring  Clean audits  Stakeholder Management (Branding & Reputation)  ERP and BI 7. Employer of choice  Talent Management  Corporate Performance & Change Management

SITA Turnaround Progress to date DateStatus Mar 2010Cabinet approves Turnaround Framework Apr 2010SITA Board fully constituted Jul 2010Board Approves SITA Turnaround Strategy Aug 2010Acting CEO appointed Nov 2010COO appointed Jan 2011CEO appointed Q4 2010/11Executive appointments Q4 2010/11Phase 1 of PSI Deliverables including progress on the IFMS Q4 2010/11Financial stability established and forecast for 2010/11 FY surplus. 19

FY 2011/2012 – Focus Areas  1. Service Delivery  Service Quality Improvement  Implement Service Management Strategy  Proactive Customer Relationship Management  Re-engineering SCM  Industry partnership for economies of scale (engagement with OEM)  Partnership with other government agencies  Review of transversal tenders  Implement National Treasury SCM Framework inclusive of SCM lead times 20

FY 2011/2012 – Focus Areas cont  2. Implementation of Phase 2 of Turnaround Strategy - Enabling SITA as a PSI  Implementing new Operating Model  Organizational Alignment  External Communication Drive  Government Change Control Board (GCCB)  Programme for Vendor Accreditation / Certification (service delivery and developing the ICT industry 21

FY 2011/2012 – Focus Areas cont.  3. Enabling e-Government  Implementation of the IFMS  Government Systems Convergence Strategy  SA Govt. Business Architecture Reference Model  SA Govt. Data Architecture Reference Model  SA Govt. Applications Architecture Reference Model  Government Technology Convergence Strategy  Technology Architecture  Government Adopt E-Government Strategy 22

Part Two

SAPS Presentation to Portfolio Committee on Police (PCOP) April 2011

Contents  Update on SITA Submission to PCOP 09 November 2010  Draft Proposed Budget FY 2011/12  ANNEXURES  A SAPS Preliminary SLA Proposal DRAFT 17 March

Update on SITA Submission to PCOP 09 November 2010  Provide a report on the outstanding payment totalling R8m, to the service provider LexisNexis;  The total amount outstanding to LEXIS below was R The breakdown of the outstanding amounts is as follows:  R for the 2009/2010 Contract Year.  R for the 2010/2011 Contract Year The contracts for Lexis Nexis has been approved and all invoices due were paid in March

Update on SITA Submission to PCOP 09 November 2010  Submit a report of the cost of the roll-out of the e- Docket system to the 363 Police stations; 27 Cost ComponentAmount (Vat Incl) 2010 Additional costs (Vat Incl) 2011 Total YTD 2011 (VAT Incl) Network Upgrades completedR 161,347,303 Numerus and BETA storage UpgradeR 17,937,999 SITA E-Docket development/customisation cost R 108,595R 9,829,986R 9, 938,581 SITA Labour for roll-out trainingR22,701 TOTAL179,416,598 R9,829,9869,938,581

Update on SITA Submission to PCOP 09 November 2010  Submit a report of the cost of the roll-out of the e- Docket system to the 363 Police stations;  The additional costs shown in the previous slide relate to externally contracted services. There have been no further costs incurred for SITA’s labour and also for the training for the roll-out since last year. 28

Draft Proposed Budget FY 2011/12 COST DRIVERS (adverse)  A general 5% CPI labour increase which is 1,2 % below the national average;  Full year recovery of 18 additional Applications Maintenance Service resources of which only 2 months were recovered in the preceding 2010/2011 FY;  A 71,6% increase on IBM Mainframe maintenance due to expiry of warrantee on equipment;  Full year recovery of additional Mainframe resources of which only 2 months were recovered in the preceding 2010/2011 FY;  The baseline increase from 195 to 228 PBX sites, to be maintained through the Network services; 29

Draft Proposed Budget FY 2011/12  Additional Firewall maintenance and support, on Network services, brought about by the expiry of the warrantee on Check Point Infrastructure, acquired for 2010 SWC  A 5,7% growth in total equipment baseline from to units to be supported and maintained on the DSS Services;  Full year recovery of 132 additional DSS Service resources, inclusive of all regions, of which only 2 months were recovered in the preceding 2010/2011 FY;  The 2010/2011 price on Switching Centre maintenance, as part of Network services, did not cover the 26 old Switching Centres. The new price includes the maintenance of one additional and both the old as well as the new Switching Centres. Thus, in total, 53 Switching Centres. This is under yearly review; 30

Draft Proposed Budget FY 2011/12 COST DRIVERS (positive)  No adjustments on NT rates for Bureau Services;  SITA successfully negotiated a 10% discount on Mainframe Software licensing  A 10,2% saving on the Mainframe DRP effected through consolidation;  A reduction on Network services pricing based on the 3 year in-advance payment to the value of R57m, of Symantec Anti- Virus upgrade software in the previous 2010/2011 FY; 31

Draft Proposed Budget FY 2011/12 SERVICE 2010/2011 Signed SLAs (VAT Incl) 2011/2012 Proposal (VAT Incl) Application MaintenanceR 191,220, R 228,256, Specialised ConsultingR 4,783,760.34R 5,022, BureauR 4,316, Centralised Data Processing R 242,235,053.71R 256,991, Network SupportR 321,723,501.66R 303,138, Distributed SupportR 472,104,625.56R 589,717, Total ValueR 1,236,384,597.27R 1,387,444, Based on the foregoing, our preliminary proposal – with comparisons to 2010/11 - is outlined in the table below:

ANNEXURES TO DRAFT BUDGET FY 2011/12 WAOracle Project Service DescriptionSigned SLA Value 2010/2011 (VAT Incl) SLA Proposal 2011/2012 (VAT Incl) Growth % APPLICATION MAINTENANCE SERVICES: CRIME SYSTEMS AND INFRASTRUCTURE MANAGEMENT SP001/12 (LAB) MAINTENANCE OF CAS SYSTEMR 5,855,553.00R 8,840, % SP002/12 (LAB) MAINTENANCE OF THE INKWAZI SYSTEMR 5,718,573.35R 8,272, % SP003/12 (LAB) MAINTENANCE OF THE IRIS SYSTEMR 1,798,092.00R 1,910, % SP004/12 (LAB) MAINTENANCE OF THE CRIM SYSTEMR 7,336,274.05R 8,382, % SP005/12 (LAB) MAINTENANCE OF THE CIRCULATIONS SYSTEMR 6,128,023.99R 6,527, % SP006/12 (LAB) NATIONAL PHOTO IMAGE SYSTEM, NPIS MAINTENANCER 1,691,815.59R 1,814, % SP008/12 ( EXT) MAINTENANCE OF JUDISS SYSTEMR 4,457,251.93R 4,724, % SP009/12 (LAB) MAINTENANCE OF MDS SYSTEMR 1,990,301.14R 2,134, % ( EXT) MAINTENANCE OF MDS SYSTEMR 320,644.28R % SP048/12 (LAB) MAINTENANCE OF AIR WING SYSTEMR 1,257,826.68R 1,336, % (SW) MAINTENANCE OF AIR WING SYSTEMR 11,263.05R 11, % SP203/12 (LAB) MAINTENANCE OF SAPS PERFORMANCE CHARTR 5,274,143.78R 5,486, % SP208/12 (LAB) MAINTENANCE OF RIMAS SYSTEMR 1,181,326.89R 1,678, % SP404/12 (LAB) EFCS - FIREARMS MAINTENANCER 3,369,967.60R 4,307, % SP409/12 (LAB) MAINTENANCE OF THE PRDFSL SYSTEMR 7,014,164.83R 9,843, % SP410/12 (LAB) MAINTENANCE OF BDS AND CES SYSTEMR 1,970,793.98R 2,102, % SP411/12 (LAB) MAINTENANCE OF OPAMR 1,444,596.22R 1,962, % SP412/12 (LAB) SAPS GIS MAINTENANCER 3,486,028.38R 4,349, % (EXT) SAPS GIS MAINTENANCER 1,254,000.00R 1,182, % (SW) SAPS GIS MAINTENANCER 1,134,400.00R 1,703, % SP413/12 (LAB) MAINTENANCE OF OCTMSR 956,792.54R 1,026, % SP417/12 (EXT) MAINTENANCE OF THE BIU SYSTEMR 319,819.00R 240, % SP424/12 (LAB) MAINTENANCE OF PROFILING SUPPORTR 4,553,811.56R 4,847, % (EXT) MAINTENANCE OF PROFILING SUPPORTR 751,783.52R 796, % (SW) MAINTENANCE OF PROFILING SUPPORTR 21,094,910.70R 21,653, % SP739/12 (LAB) ANIMAL IDENTIFICATION SYSTEM MAINTENANCER 290,509.37R 308, % SP425/12 (SW) LICENSE FEE : IDENTITY MANAGEMENTR 118,962.06R % SP930/12 (LAB) AVL MAINTENANCER 1,207,342.95R 1,791, % SP019/12 (LAB) SAPS BI MAINTENANCE, SOFTWARER 10,156,403.72R 12,293, % (SW) SAPS BI MAINTENANCE, SOFTWARER 74,100.00R 79, % SP032/12 (LAB) STRLAB SYSTEM MAINTENANCER 3,299,135.70R 4,229, % SP036/12 (LAB) FCS FUNCTIONAL SUPPORT MAINTENANCER 3,632,487.53R 3,870, % SP045/12 (LAB) CRC ADMIN SYSTEM MAINTENANCER 4,583,017.48R 4,898, % (SW) CRC ADMIN SYSTEM MAINTENANCER 1,516,469.86R 1,607, % SP047/12 (LAB) DIAMOND AND GOLD SYSTEM MAINTENANCER 905,111.86R 970, % SP821/12 S&T FOR CRIME SYSTEMSR 92,340.00R 96, % RESOURCE SYSTEMS AND INFRASTRUCTURE MANAGEMENT SP011/12 (LAB) POLFIN MAINTENANCER 15,949,650.65R 18,750, % SP014/12 (LAB) PERSAP MAINTENANCER 10,306,983.87R 12,780, % SP015/12 (LAB) PAS MAINTENANCER 12,295,511.35R 16,528, % SP018/12 (LAB) MAINTENANCE FOR DIVERSE PC/C/S SYSTEMR 3,062,472.63R 3,284, % SP026/12 (SW) DATA ADMINISTRATION AND BUSINESS MODELLINGR 375,038.01R 439, % SP027/12 (LAB) TECHNICAL PROJECT MANAGEMENT MAINTENANCER 6,402,543.47R 11,983, % (EXT) TECHNICAL PROJECT MANAGEMENT MAINTENANCER 8,100,000.00R 8,505, % SP402/12 (LAB) MAINTENANCE OF SAPS WEB PAGESR 4,195,718.70R 4,499, % (SW) SOFTWARE FOR SAPS WEB PAGESR 0.00R 170, % SP405/12 (LAB) REGISTRATIONS MAINTENANCER 2,909,585.68R 3,102, % SP418/12 (LAB) SOFTWARE CONFIG & TECHNICAL MAINTENANCER 583,899.24R 620, % (SW) SOFTWARE CONFIG & TECHNICAL MAINTENANCER % SP420/12 (LAB) MAINTENANCE OF TELEPHONE MANAGEMENT SYSTEMR 3,690,711.65R 3,957, % SP426/12 (SW) LICENSE FEE : MINDEX SOFTWARER % SP1002- L/12 (LAB) Admin and Resource Systems Tech ManagementR 7,100,578.16R 8,354, % SP822/12 (S&T) ADMINISTRATIVE SUPPORT SYSTEMSR % TOTALR 191,220,732.00R 228,256, % 33

ANNEXURES TO DRAFT BUDGET FY 2011/12 SPECIALISED CONSULTING SERVICES SP705/12 (CEAS) BORDER CONTROL ( THINUS PRETORIOUS)R 1,053,646.14R 1,106, % SP813/12 (CEAS)PLANNING (GERRIT BOTHA)R 1,045,593.18R 1,557, % SP707/12 (CEAS)PLANNING (WESSEL VAN NIEKERK)R 1,483,140.00R 1,097, % SP816/12 (CEAS)PLANNING ( PIET BOTHA)R 1,201,381.02R 1,261, % TOTALR 4,783,760.34R 5,022, % 34

ANNEXURES TO DRAFT BUDGET FY 2011/12 BUREAU SERVICES SC884/12 MOVEMENT CONTROLR 4,307, % SC477/12 PERSALR 9, % TOTALR 4,316, % 35

ANNEXURES TO DRAFT BUDGET FY 2011/12 CENTRALISED DATA PROCESSING SERVICES SP205/12 MAINFRAME SERVICESR 181,475,831.59R 186,426, % SP206/12 MIDRANGE SERVICES ( DOSS)R 27,535,675.44R 32,709, % SP825/12 MIDRANGE SERVICES (AFIS)R 5,072,175.79R 4,201, % SP237/12 MIDRANGE SERVICES (OPDOC / JUDISS)R 261,050.79R 274, % SP207/12 HOST PRINTING SERVICESR 7,099,775.84R 8,062, % SP826/12 IJS INTEROPERABILITY (TRANSVERSAL) SERVERS: Microsoft OS & DB R 196,199.30R 205, % SP827/12 IJS INTEGRATION BUS (SOA - Service Orientated Architecture)R 12,455,735.08R 16,567, % SP234/12 INTENDA / JUTAR 701,281.67R 736, % SP212/12 AVL HOSTING SERVICESR 2,171,732.05R 2,280, % SP829/12 DRP Hosting MaintenanceR 5,265,596.16R 5,528, % TOTALR 242,235,053.71R 256,991, % 36

ANNEXURES TO DRAFT BUDGET FY 2011/12 NETWORK SUPPORT SERVICES SP220/12 WAN & LAN SERVICESR 138,100,716.08R 70,913, % SP818/12 Switching Centre & High Sites MaintenanceR 42,518,477.40R 70,788, % SP221/12 NETWORK MANAGEMENTR 2,867,439.98R 3,010, % SP223/12 SERVICESR 686,460.83R 720, % SP224/12 PBX MANAGEMENTR 31,325,153.70R 34,457, % SP225/12 INTERNET FACILITY SERVICER 13,561,008.94R 27,540, % SP227/12 COMMUNICATION SERVICESR 556,188.52R 583, % SP229/12 NETWORK LABOURR 89,056,919.14R 91,919, % SP232/12 IJS SERVICES : VSNR 3,051,137.07R 3,203, % TOTALR 321,723,501.66R 303,138, % 37

ANNEXURES TO DRAFT BUDGET FY 2011/12 DECENTRALISED SUPPORT SERVICES SP200/12 DECENTRALISED LICENSE FEESR 318,237.99R 343, % SP201/12 SECURE ID CARD PRODUCTIONR 269,580.92R 283, % SP210/12 CENTRAL LABOUR COMMAND CENTRER 17,621,550.93R 21,600, % SP210/12 CBU CENTRAL SERVICESR 24,796,965.20R 30,026, % SP309/12 CRC HARDWARE MAINTENANCER 11,580,319.42R 12,159, % SP817/12 GSPS MAINTENANCER 21,128,470.53R 24,649, % National SubtotalR 75,715,124.99R 89,062, % SP204/12 ADMINISTRATIONR 831,692.82R 924, % SP202/12 FSL DEDICATED SUPPORTR 1,779,249.05R 1,886, % SP231/12 VIP DEDICATED SUPPORTR 6,690,854.09R 8,344, % SP120/12 DSS - GAUTENG PROVINCER 56,147,834.26R 71,182, % SP150/12 DSS- LIMPOPO PROVINCER 27,955,105.90R 35,835, % SP160/12 DSS - MPUMALANGA PROVINCER 27,924,753.46R 33,855, % SP130/12 DSS- HEAD OFFICER 64,330,155.08R 81,559, % Northern Region SubtotalR 185,659,644.66R 233,589, % SP140/12 DSS - KWAZULU NATAL PROVINCER 54,355,491.69R 65,634, % SP170/12 DSS - W/CAPE PROVINCER 48,187,605.92R 60,913, % SP100/12 DSS - EASTERN CAPE PROVINCER 42,534,100.07R 53,533, % Coastal Region SubtotalR 145,077,197.68R 180,082, % SP110/12 DSS - FREE STATE PROVINCER 19,112,094.93R 27,860, % SP190/12 DSS - NORTHERN CAPE PROVINCER 19,477,438.81R 26,055, % SP180/12 DSS - NORTH WEST PROVINCER 27,063,124.49R 33,067, % Central Region SubtotalR 65,652,658.23R 86,984, % TOTALR 472,104,625.56R 589,717, % R 589,717, GRAND TOTALR 1,236,384,597.27R 1,387,444, % 38

Thank You Q & A 39