Korea’s Digital Government towards the Sustainable Digital Economy (Korea)

5 Dec 2023 14:00h - 15:00h UTC

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Full session report

CHANGYOUNG YANG

The implementation of MyData in the public sector has been widely regarded as a positive move. This digital service aims to provide citizens with control over their data held by administrative public institutions. It adheres to Article 20 of the EU General Data Protection Regulation (GDPR), ensuring citizens’ right to data portability. Legislation, such as the Civil Partitions Treatment Act and the Electronic Government Act, safeguards citizens’ rights to transfer their data.

One of the key benefits of MyData in the public sector is the increase in convenience and efficiency for citizens. It allows individuals to have secure control over their own data and enhances the convenience of using various services. This streamlines processes and reduces bureaucratic hurdles. The automatic processing rate has shown a significant 11% increase, leading to accelerated task processing.

Furthermore, the implementation of MyData in the public sector fosters innovation and drives the development of new data-driven industries. Automating service providers’ processing tasks creates room for innovation, increases activities, and supports the emergence of new industries that thrive on data.

APIs play a crucial role in MyData, with 101 types of services utilizing them. These services are mainly offered by administrative, public, and financial institutions. The increasing adoption of APIs reflects the rapid expansion and integration of MyData into various sectors, supporting the development of a data-driven society.

Regarding public MyData, expansion plans are underway to amplify the scope and reach of the initiative. Demand surveys targeting administrative agencies, public institutions, and private sector entities are being conducted to expand personal information and ensure that more individuals can benefit from secure data access and management.

Shifting focus to Artificial Intelligence (AI), a neutral stance is observed. The way AI is utilized can determine whether it becomes a threat or an opportunity. While acknowledging its potential to enhance productivity and drive innovation, concerns exist regarding its impact on employment and societal well-being. Responsible use of AI is essential to harness its full potential while mitigating negative consequences.

In conclusion, the implementation of MyData in the public sector has proven to be a positive development. It offers citizens control over their data, enhances convenience, and aligns with privacy and data protection principles. Additionally, MyData contributes to innovation by enabling automation and generating new opportunities in data-driven industries. As adoption continues to expand, further advancements in the public sector and a more efficient and citizen-centric digital society are expected.

Moderator – Sunkyung Kim

During a presentation by Korean government speakers, the key priority of improving digital government services was highlighted. Chang-Young Yang, the first speaker, leads projects related to Public MyData and electronic certificates, aiming to enhance access to and utilization of public data. Sung-Tae Kim, the second speaker, manages the policy and operation of opening digital services to ensure their accessibility and benefit to the public. Kidong Kim, the Director of the ICT and Data Planning Division at the Korea Customs Service, specializes in the digitalization of customs services, including electronic customs clearance. Heon-Woo Lee, the fourth speaker, has valuable insights into the digitalization of government procurement processes from his experience in the ICT and Data Planning Division. These speakers collectively promote private-public collaboration in digitalization, indicative of a coordinated approach within the Korean government.

The Korean government plans to increase services using public MyData and conducts demand surveys with administrative agencies and public institutions to identify specific services that can effectively leverage public data. Sunkyung Kim appreciates the strategy of conducting demand surveys directly with other agencies, fostering collaboration and gathering insights for service development.

The Korean government aims to expand the digital services spectrum, exploring the introduction of flight booking services similar to high-speed train booking. One noteworthy digital service in South Korea is Unipass, which has a long history spanning over 50 years. Unipass offers various functions, including customs clearance and tax collection, and is used domestically and by foreign agencies.

Sunkyung Kim seeks advice on managing and improving the Unipass system beyond national boundaries. Addressing challenges associated with operating Unipass and other digital systems requires successful management strategies.

In addition to digital services, there is an initiative to integrate decentralized procurement systems, with local government and government operating enterprises following this approach. This alignment aims to streamline procurement processes and improve efficiency.

The Korean government’s digitalization efforts prioritize enhancing digital government services through private-public collaboration, expanding services using public MyData, and addressing challenges in digital systems like Unipass. These efforts contribute to creating a more efficient and accessible digital landscape in Korea.

Kidong Kim

Unipass, an e-clearance system developed by the Korean Customs Service (KCS), has been in operation since 1974, providing round-the-clock services to facilitate customs processes. It manages tasks such as customs clearance, tax collection, foreign exchange, passengers, and e-commerce. The implementation of Unipass has significantly improved efficiency, reducing customs clearance time from 9.6 to 1.3 days. KCS is looking to incorporate AI and big data into Unipass, leading to further enhancements. Unipass has also proven successful in increasing revenue for implementing countries, with examples such as Ghana experiencing a 33% growth and Tanzania reducing average clearance time from 31 to 15 days. However, adapting new technologies like Unipass requires careful planning and an outstanding leader who can adapt to IT trends. Exporting Unipass and other systems can be a lengthy process, presenting challenges in adjusting to emerging technologies. The Korean government is working towards establishing a unified API standard for internal use, but is currently facing challenges due to the variety of services. Additionally, the importance of laws and regulations in building a digital government is emphasized, as ministries are more likely to comply with digital government directives when supported by appropriate laws. Overall, Unipass serves as a testament to the benefits and challenges of incorporating innovative technologies into customs operations.

Audience

The project review and implementation process in the digitalization sector has been criticised for being slow, which may lead to potential irrelevance due to rapid technological advancements. It typically takes around two years to prepare, assess, and start implementing digital projects, compromising their effectiveness in the fast-paced digital world. Collaborative efforts between Tajikistan, the Coalition of International Cooperation for Afghanistan (COICA), and the Korean government have resulted in the implementation of various digital projects. However, there are concerns that other donors are able to fund and execute similar projects more quickly.

The Korean government, renowned for its expertise in the digitalization sector, has possibly developed API integration standards to facilitate business integration. Ruth Baitsepi, the head of the Digitalization and Innovation Hub at the Bank of Botswana, is interested in the prospect of the Korean government sharing these standards with other jurisdictions, such as Botswana, to enhance business integration and foster economic growth.

However, there is a worrying lack of coordination and harmonization among different governmental departments when it comes to digital policies. This lack of coordination hampers the effective implementation and enforcement of digital regulations. Countries like Korea and India are creating their own laws to regulate various aspects of the digital economy; however, they face challenges in harmonising these laws across departments. This lack of coordination may undermine the effectiveness of digital policies and hinder the growth and development of the digital economy.

The audience is curious about the Korean government’s stance on artificial intelligence (AI) and its potential impact on employment. It is unclear whether the Korean government views AI as a potential threat, leading to job displacement, or if they perceive it as an opportunity for economic growth and the creation of new job roles.

In summary, there is a need to address the slow project review and implementation process in the digitalization sector to prevent potential irrelevance due to technological advancements. Greater coordination and harmonization among different governmental departments are necessary to ensure the effectiveness of digital policies and regulations. Furthermore, there is a need for clarity on the Korean government’s perspective regarding AI and its potential impact on employment.

Hunwoo Lee

The CONAPS, also known as the Korea Online E-Procurement System, is an effective tool for combating collusion and corruption in public procurement. By shifting to electronic procurement, it has managed to save a staggering 8 trillion won annually. The system has been in operation since 2002 and has continuously evolved to become a non-contact and paperless platform.

The next generation of CONAPS focuses on enhancing user experiences for procurement officials and suppliers. It provides a personalized dashboard that consolidates user tasks and generates to-do lists. Additionally, it aims to offer the same user experiences on mobile devices, minimizing the need for in-person meetings.

However, integrating 25 different procurement systems is a significant challenge for CONAPS. In Korea, multiple public organizations and government-owned companies maintain these systems. The Public Procurement Service believes that digitizing public procurement will eventually lead to the integration of these systems, reaching the same level of functionality as the NextConnex.

Integrating these systems brings significant benefits, including improved accessibility to public procurement data. By combining isolated systems and databases, a data hub can be created. This data hub optimizes procurement decisions and policies by leveraging the full potential of procurement data.

The development phase of CONAPS emphasizes the use of emerging technologies like AI and Blockchain. These technologies offer innovative solutions for public procurement, with AI models like ChatGPT and BART enhancing efficiency and accuracy. Blockchain technology provides stronger protection against forgery and alteration of important contract documents.

While integrating decentralized procurement systems is essential, it is a time-consuming and challenging process. Stakeholders need to understand the need for integration, and various trials and reports are necessary. Despite the difficulties, stakeholders continue to advocate for integration due to the potential benefits it brings.

Another significant challenge in public procurement systems is the standardization of information from other agencies. This requires legislative and technical efforts, including persuading Congress to pass laws to gather data and developing a data hub system.

To summarize, CONAPS has effectively combated collusion and corruption in public procurement. Shifting to electronic procurement has resulted in substantial savings, while the system continues to evolve for better user experiences. The integration of procurement systems and the standardization of information are ongoing challenges, but they bring potential benefits. The use of emerging technologies further enhances the capabilities of the system.

SEONGTAE KIM

The Korean government recently announced a new vision for a digital platform government, aiming to enhance accessibility and satisfaction with services. Working collaboratively with private sectors, they are determined to foster an ecosystem for digital innovations. This collaborative effort is a crucial part of the government’s digital platform government action plan, formulated jointly with the digital platform government committee.

One of the main objectives of this new vision is to improve convenience for users by allowing them to access various services with just a single tap. The previous vaccination booking system, for instance, faced numerous issues due to connection failures caused by the overwhelming number of simultaneous users. However, with the opening of digital services to private sector platforms, users now have the benefit of accessing services through familiar and user-friendly apps and websites. This improves convenience and enhances stability and reliability.

Furthermore, the opening of digital services is not limited to benefiting users alone. Businesses can also take advantage of this opportunity to link their services with open digital platforms, creating a synergistic effect that fosters integrated service provision. This opens up new and innovative business opportunities for enterprises, ultimately contributing to economic growth and the achievement of Sustainable Development Goal 8 (SDG 8).

Another significant outcome of this new vision is the increased accessibility and satisfaction with services provided by each agent involved. By leveraging open digital service platforms, the government can ensure that citizens have easy access to the services they need, anywhere and anytime. This improved accessibility and satisfaction, in turn, contribute to creating a more transparent and open government, aligning with the objectives of Sustainable Development Goal 16 (SDG 16).

Looking towards the future, the government has plans to offer over 220 digital services through private platforms. This initiative is expected to significantly improve the efficiency of public services while also providing citizens with proactive and personalised services. This move aligns with the objectives of Sustainable Development Goals 3 (SDG 3) and 11 (SDG 11), which aim to promote well-being and sustainable cities and communities.

It is noteworthy that the opening of digital services also encompasses the airline industry in South Korea. Flight booking services, for instance, are provided by private sector businesses. This demonstrates the government’s commitment to leaving private sector services to the market while opening up public services to private sector businesses, creating new opportunities for them. This approach aligns with the objectives of Sustainable Development Goals 8 (SDG 8) and 9 (SDG 9), which focus on economic growth, industry, innovation, and infrastructure.

In conclusion, the Korean government’s new vision for a digital platform government is set to revolutionise the accessibility and satisfaction of services. Through collaboration with private sectors, they aim to foster an ecosystem for digital innovations, enhancing convenience and stability for users. Businesses, too, stand to benefit from this initiative through the creation of new opportunities for integrated service provision. With a positive sentiment towards the opening of digital services, citizens can look forward to improved efficiency and proactive, personalised services that contribute to their overall well-being.

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Audience

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CHANGYOUNG YANG

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Hunwoo Lee

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Kidong Kim

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Moderator – Sunkyung Kim

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SEONGTAE KIM

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