MITTS Annual Report 2003

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MITTS Ltd Annual Report 2003 Table of Contents

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Chairman’s Statement

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Here We Grow Again

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Sustaining Investment in ICT Growth

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Partnership with Clients: Oiling the Clockwork

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Committed to Continuous Improvement: Unlocking the Potential of Our People

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A Commitment to the Future

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Joseph R Grima

Chairman’s Statement This is the final occasion on which it is my privilege to write a foreword to a MITTS Ltd annual report. In January 2005 I am stepping down as Head of the Public Service and as Chairman of MITTS Ltd. These two roles are closely interlinked because of the core function of MITTS Ltd, which remains that of supporting change in the Public Service through the exploitation of information and communications technology.

I have been a member of the board of directors of MITTS Ltd since the incorporation of the company in November 1990. I have served as Chairman for these last eight years. Key achievements during these years include the development and upgrading of the Malta Government Network; the introduction of e-mail and its diffusion throughout the Public Service as from 1996; the preparations for Y2K, a largely forgotten event today but one which represented a major exercise in contingency planning and precautionary work; the development of a major presence for the Public Service on the Internet, with 56 ministry and departmental websites in addition to the main portal (www.gov.mt); the introduction of transactable e-government services; and, more recently still, the development of information security procedures and expertise.

It is no exaggeration to say that, with the support of MITTS Ltd, the Public Service has gone through a silent revolution. Every single back office process in Government departments is dependent on information technology. If, today, Malta’s progress towards the objectives of “eEurope” compares very well with those of other EU member states, this is in considerable measure thanks to MITTS Ltd. However, constant change in the Public Service has been matched by constant change on the part of MITTS Ltd itself — to develop new areas of expertise in line with the needs of its client, to keep up with technological change, and to maintain its strengths at a time when the rapid expansion of the local IT industry was leading to fast staff turnover.

MITTS Ltd succeeded in fulfilling its mission and in adapting itself to meet new requirements thanks to the excellence of its management team and the commitment of its workforce. The company kept its staff on board throughout the constant internal changes, without compromising its pursuit of high standards. Care was taken to limit the damage caused by change; there was no chopping and changing for its own sake; values were constantly promoted and targets were set, but time was also taken to appreciate the efforts and attributes of staff and to give credit to their achievements. The investment of time and patience has proved to be the cornerstone of successful change management.

Another cornerstone of a well-run company is a proper understanding by key players — senior management, the directors, the Chairman — of their respective roles. The Chairman should refrain from constant involvement in day-to-day management. Yet he should remain alert to the need to intervene and be quick to do so when necessary.

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As Chairman I did not hesitate to take tough decisions when these were needed, or to intervene where I could add value to the company. Examples of such interventions include the development of contacts with the UK and Canada which enabled MITTS Ltd staff to exchange experiences with their overseas counterparts, or the commissioning of a technology audit which proved particularly useful as an independent yardstick by which to set future directions. However, these were interventions by exception. I regarded my most important role as Chairman as that of sustaining the company in times of difficulty and acting as a source of stability in the best interests of the Government (as shareholder of the company), the staff and the Public Service.

My other role of Principal Permanent Secretary also influenced my conduct as Chairman, as it should have. I was concerned with upholding the core role of MITTS Ltd, of facilitating the exploitation of information and communications technology as a tool to improve efficiency and service quality within the Public Service. This core role has not always been widely understood.

It came under searching scrutiny more than once in the company’s short history. However, these turbulent periods had the benefit of compelling us to rethink our mission and refocus on our priorities.

Today MITTS Ltd is backed in the fulfilment of its core role by the Central Information Management Unit within the Office of the Prime Minister and by Information Management Units within ministries.

These offices effectively define the requirements which MITTS Ltd should fulfil on the Public Service’s behalf, and in so doing ensure that the goal of exploiting ICT is internalised within ministries.

MITTS Ltd has overcome various challenges, but it will no doubt face new ones as times change.

The successes achieved within the Public Service need to be replicated within the wider public sector. MITTS Ltd is well placed to take the lead in this endeavour, even as it sustains its activities within the Public Service. In the longer term, MITTS Ltd will need resourcefulness to continue to prosper as a strong company within a changing environment; yet again this search for new opportunities and activities should not displace the focus on its core role.

I have every confidence in the company’s ability to meet the challenges of the future. It has a strong management team and a committed workforce. It is with pride and great satisfaction that I leave MITTS Ltd in the shape it is today.

I wish to record my profound appreciation for the support I have received over the years from other board members, who gave of their best and who proved a valuable resource for me and for the company. I am equally indebted to the management and staff in MITTS Ltd for their professional ability, loyalty and commitment to the company. The company, and the country, owes them all a great deal.

Joseph R Grima Chairman

Directors: Joseph W Izzo, Elizabeth Micallef

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evolutionand growth Throughout the history of humanity the human race has survived and developed by evolving and changing, constantly improving from the original prototype of the human species going through a life cycle process much akin to a complete metamorphosis.

Just like the simple butterfly, a highly adaptable species whose life cycle encompassed the stages of hatching, larva, pupa and fully-fledged adulthood.

Humans also go through a growth process embracing foetal growth, birth, youth and adulthood. Such a process equips them for adapting and surviving in a complex and competitive world which mirrors nature in many respects.

In today’s commercially diverse world, organisations like MITTS Ltd must also change to adapt in a highly complex environment, developing their organisational talent to ensure sustainability and commercial success without which their very existence would be jeopardised and their continuity curtailed.

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Here we

GrowAgain!

Continuous Refinement: Quality, Teamwork and Process Improvement In today’s complex, competitive and rapidly changing business climate, three critical success factors drive every business – People, Processes and Technology. With this frame of mind, throughout 2003, MITTS Ltd maintained its commitment towards a continuous effort to improve the level of service provided through the management of the Information Communications Technology (ICT) infrastructure base and through the ever increasing investment in its intellectual and human capital. MITTS Ltd has recognised that developing organisational talent is a key leadership responsibility critical to its success.

MITTS Ltd has also acknowledged that these cornerstones must be present for continuous improvement to work. If one is left out the Company will lose the battle to develop an organisation that will last. Quality without teamwork leaves MITTS Ltd competing against itself. Teamwork without process improvement leaves the Company vulnerable to the market forces. Process improvement without quality and value for money leaves MITTS Ltd without clients.

In this regard, 2003 has been characterised by a sustained effort to continuously streamline business processes and provide higher levels of customer service. As part of the Company’s continuing investment in improving efficiency and effectiveness a number of resources were also shifted to more productive and value added roles.

This is the dawn of a new era for MITTS Ltd. The improvements constantly carried out represent a refreshing approach to continuously contemplate better ways to work each and every day. MITTS Ltd really believes that every single team member has the capacity to make a difference that will steer the Company forward through own ideas, can-do attitude and enthusiasm. This philosophy represents the beginning of new opportunities to continuously invest in new technology and tools, and further streamline

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internal processes in order to provide a better service and more value for money to our clients.

The Key to Improvement by Measuring Performance The sayings, “You get what you measure” and “What gets measured gets managed” are well known, and well worn.

However, their simple logic is fundamental to MITTS Ltd organisational behaviour and culture where every employee can now relate to the objectives of the Company.

The need for effective measures that allow progressive monitoring of performance improvements and external comparisons and benchmarking has proved to be central to MITTS Ltd pursuit of excellence. MITTS Ltd has recognised that without the ability to measure effectively, the journey of excellence cannot even begin.

With this objective, in 2003, MITTS Ltd introduced the concept of Key Performance Targets and Key Performance Indicators with a view that such metrics provide management and functions with statistical data which will allow to gauge the effectiveness and / or efficiency of services in its quest to assist the Company in the decision making process and in order to steer the Company to the right direction should the indicators show that the targets are not being met.

Targets were not set to meet the Company’s existing performance at the time, but were intentionally set at high levels with a view that over the medium term MITTS Ltd could be attaining such ambitious targets. After the first year of measurement, it transpired that the results were much higher than expectations proving the point that the rationale of having a key performance target framework served the purpose extremely well in so far as having a guide for continuous improvement.

MITTS Ltd will in 2004, continue with the refinement of these performance metrics and results will be continuously reviewed so that proactive actions are undertaken to constantly improve technology, systems and processes but above all, to always provide value for money services to clients.

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"After over twenty years experience of the delivery of technology enabled solutions - spanning many industries, countries and governments - rarely have I seen so much delivered so effectively as that observed in MITTS Ltd. Their philosophy is not just to be the best, but to continually get better, which is more important."

Peter Shores - Senior Director Gartner International Standards applied successfully to the Local Context.

Ongoing Commitment to Quality Assurance!

In 1998, MITTS Ltd undertook a long term commitment to gain ISO 9000 Certification. Initial certification was gained against the ISO 9000:1994 standard. The ISO 9000:1994 standard allowed for a gradual scope increase over a number of years, with the final target of including the entire Company under ISO scope.

In December 2003, the ISO Auditing firm (SGS Yarsley) conducted a migration audit from ISO 9001:1994 to ISO 9001:2000. The audit was successful and MITTS Ltd was recommended for certification of ISO 9001:2000 assessed in accordance with the TickIT scheme for all functions within MITTS Ltd. This made MITTS Ltd the first company of its size locally to attain this standard.

The year 2003 also saw the initiation of a mobilisation process in order to develop a roadmap for the certification of the ISO 17799 methodology for the newly formed department of Information Security and Risk Management.

MITTS Ltd – the PRINCE of Project Management The Company’s vision of having a Corporate Project Management Framework in order to ensure the continuous improvement of one of MITTS Ltd core competencies has been attained in the first half of 2003, whereby PRINCE II was introduced as the Project Management practice.

The Company can now boast of having PRINCE II certified project managers; however, the certification alone is not enough. Thus the Company ensured that its project management practices were revised and calibrated to ensure effective project management governance, also through such practices being entrenched within the scope of ISO. This with the intention of aiding internal communication between the various teams, to standardise work practices with regard to project management, and to have a greater involvement of the client at the critical milestones of each project delivery.

Effective Service Management for Effective Service Delivery The service delivery philosophy embraced by MITTS Ltd is the Open Group Consortium’s (OGC’s UK) Information

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Technology Infrastructure Library (ITIL). A number of procedures, namely: incident; problem; change and service level management have been successfully implemented and audited and included within the ISO 9001 certification carried out in January 2003. This service management philosophy brought about a transformation in the way services are now delivered to clients, as with improved and tighter disciplines introduced in 2003, together with the Company Value of being client focused, saw a paradigm shift in effective management of the MITTS Ltd services delivered to clients.

MITTS Ltd has also continued with an across the board accredited development programme for ITIL, targeting all project and services managers, line managers, project and team leaders.

Further Calibration of the Organisational Set-up MITTS Ltd acknowledged the need to be innovative, being open to new technology and how this can simplify business processes and enable increased efficiency both internally and externally. In the same way as being innovative, MITTS Ltd has recognised the need of being flexible, quickly adapting to changes. The fast pace of new technologies being introduced and adopted has in turn been reflected in the way MITTS Ltd is conducting business so as to remain client focused and provide value for money services. Hence, a number of refinements to the organisational structure were implemented to quickly respond to changing business environments. Major calibration was carried out within the Service Management function in order to be more pro-active in the way services are delivered to MITTS Ltd clients. Such calibration, however, was also coupled with the introduction of technology tools and the re-design of processes in order to make the transition more effective.

Proactive Command and Control

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During 2003, MITTS Ltd also took a proactive approach through initiating the compilation of a Company standard framework and a set of procedures for the formal establishment of a Crisis Management function in order to be in a much better position not to jeopardise the Company’s ability to operate and deliver services that clients have become mainly dependent upon and in order to have a controlled approach with crisis situations such as virus attacks, that may hit at any time of the day and night.

Is MITTS Ltd living by its Corporate Value of being Client Focused?

In 2003, MITTS Ltd commissioned a surveying company to carry out a customer survey targeting its client’s perception of the quality of services provided. This survey produced excellent results for MITTS Ltd, with levels of satisfaction rated in the region of 80% (median) with some services or perceptions reaching a high median of 90%.

Such outstanding results have put additional pressure on MITTS Ltd not only to maintain but also to possibly exceed these levels of service provision in the future.

Towards an e-MITTS During the first quarter of 2003, MITTS Ltd initiated a drive to move towards an e-MITTS in order to continuously improve internal operations, costs and interaction with clients. The e-strategy framework developed which is business driven, is based on a dual parallel approach – targeting both the internal and external fronts.

Moreover, the e-strategy has been articulated around the principles of what can be achieved in the short-term (thus having quick wins that not only generate victories but also enable MITTS Ltd to learn what works and what doesn’t) and what can be carried out in the medium to long term, thus giving a long term visibility of where the Company should be heading in this regard.

With the advent of 24x7 services, all professional service providers that offer such availability are required to have an internal set-up that is indeed 24x7. With a massive rollout of e-Government services in 2003, MITTS Ltd recognised that such a service level deserves a round-theclock assurance mechanism.

On the internal front, the Company will continue to strive to address operational process issues by implementing electronic transactions in its interaction with employees.

Quick wins carried out in 2003 included:

Thus, in order to ensure the maintenance of high level services any time and any day, and in order to ensure a locum of responsibility should a crisis occur, in 2003 MITTS Ltd established a Command and Control Centre (CCC) within the Service Management Department. Its remit also includes special focus on introducing more proactive monitoring and anticipating problems through the utilisation of automation techniques; transferring certain tasks and routine jobs during the late hours and doing more things remotely through the proper utilisation and exploitation of tools. 2003 was a mobilisation period, whereby a pilot Network Management System was introduced and a 24x7 shift was launched towards the end of the year. It is envisaged that by mid 2004, the Command and Control Centre will be fully functional at near to optimum levels.

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The on-line application forms for the movement of fixed assets.

The launch of the MITTS Ltd Intranet.

The launch of the MITTS Ltd internal newsletter.

The launch of the e-Learning initiative.

The launch of the first phase of e-HR. The revamping of SayIt, the MITTS Ltd e-Comments and e-Suggestions system.

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The introduction of the tools which enables users to rely on proactive business alerts and keep management updated about all areas of financial operations.

From a service delivery perspective, the eStrategy is targeting to enhance the smooth delivery to clients by increasing the efficiency by which the Company will operate and deliver its services through electronic transactions. In addition to this, MITTS Ltd clients will be given the possibility to interact with the Company through its e-Platform in a two-way interactive process.

The other side for external interaction of the Company is the relationship with its suppliers. MITTS Ltd will, during 2004 and beyond, implement processes that permit suppliers to interact through its e-Platform in a bid to streamline processes, increase transparency, efficiency and reducing the overall cost of the process. Major breakthroughs already embarked upon and targeting the external front, include: • •

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The launch of the e-Request for Service (e-RFS).

The launch of the official MITTS Ltd newsletter in January 2003, namely ITCatalyst.

The launch of the revamped MITTS Ltd web site.

The launch of the Exchequer’s paperless module.

The introduction of an e-Customer Care System. e-Procurement Software System for Government.

The medium to long term strategy for an eMITTS will be pivoted on the launch of the MITTS Ltd web services portal which will be the virtual gateway that will provide users with the point of entry to a host of services and activities. This personalised portal together with the introduction of the new Service Management System can provide an unlimited range of e-Services designed to cater for different users being employees, clients, the public in general and suppliers.

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Sustaining

Investment in

ICT Growth

MITTS Ltd over the past years embarked on a cohesive strategic programme to strengthen the operations of the Public Service through its continuous improvements in the ICT infrastructure, services and the actualisation of ICT projects. In this regard, MITTS Ltd invested substantially to strengthen the infrastructural ICT framework.

This has been done on two fronts.

On the first front MITTS Ltd has invested in upgrading the framework underpinning the ICT core services. Investment in this regard related to the setting up of GovNet, the web framework, e-mail, disaster recovery and extension of the Computer Centre.

Moreover, late in 2003, negotiations have been concluded for the provision of a high speed fibre optic connectivity network that will replace the existing Malta Government Network (MAGNET) in the Valletta, Floriana and Guardamangia region.

On the second front, MITTS Ltd has invested to consolidate and strengthen its internal ICT applications. An integrated Management Information System will consolidate the already implemented cost and accounting management, human resources management and time recording with the service management environment and project reporting mechanism.

Investment was also directed towards introducing technology management tools.

Of particular mention are the HP OpenView for the management of MAGNET and Microsoft SMS. It is to be borne in mind, however, that implementing technology successfully is never just about technology. Only the effective integration of people, processes and technology will result in a measurable and sustainable, and thus successful implementation.

Effective Cost Management for Better Decision Making The plans of having the Cost Management Accounting Framework (CMAF) fully

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functional (with the exception of the Project Management Module) by the second quarter of 2003 were successfully attained, whereby two out of three major CMAF components - the cost accounting engine and the new Human Resources and Payroll System were fully functional. Moreover, in the last quarter of 2003, a sales reporting tool was implemented, whereby such a reporting tool was added to the scope of the CMAF half way through the year.

The third component, that is the project management engine, is in its evaluation stage as the CMAF team is awaiting for the new release of MS Project to be issued

by Microsoft.

A Service Management Culture with the aid of appropriate Tools An extremely important aspect of the operation of MITTS Ltd is ensuring continuity in the provision of its services to the levels expected by its clients. MITTS Ltd is committed to various Service Level Agreements and the honouring of these agreements is fundamental to MITTS Ltd successful operation.

To this effect, MITTS Ltd has embarked on a project to replace the existing Support System with a new Service Management System based on ITIL philosophy. Following the evaluation of the submissions to a Request for Proposals issued by the Company, in the last half of 2003 MITTS Ltd carried out on-site and technical hands-on evaluations of the selected system that placed best in the short-listing process.

Contract negotiations will commence in the beginning of 2004 and the implementation of the new package is expected to be carried out in a phased manner commencing with those functional areas that are currently already in operation, that is, incident, problem and change management together with the first phase of the configuration management database. This would then be followed with the full implementation of configuration, release and service level management. Each phase will comprise: (i) a process improvement exercise; (ii) the migration of data from various data sources; (iii) configuration of the new system to suit our requirements; (iv) training; and (v) switch over from old to new system (where applicable).

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The MAGNET II network will connect fifty-nine (59) Government Ministries and Departments located in the Valletta / Floriana / Guardamangia area over a high speed, secure and resilient Fibre Optic Network. Furthermore Gattard House and the Disaster Recovery Site will also be connected via Point-to-Point Fibre Optic links so as to facilitate a mirrored real-time operation between these two Data Centres. The service contract also incorporates Service Level and Performance Level Agreements thus ensuring the best network performance on a twenty-four hour basis.

"Managing Malta's largest network and the Government of Malta's complex Network Infrastructure is a critical task for MITTS Ltd. Hewlett Packard commends MITTS Ltd proactive approach towards network management through HP's OpenView Network Node Manager and associated processes and policies implementations. HP was pleasantly surprised with MITTS Ltd technical commitment and forward thinking culture."

Alberto Caprara - Sales Manager HP European Emerging Markets It is anticipated that work on the implementation phase will start in the first quarter of 2004, with acceptance testing planned for August 2004 and commissioning for September 2004. The last quarter of 2004 will see the migration of the fifty-nine sites from the current network on to MAGNET II. This process will be planned and phased over a number of weekends so as to ensure minimal impact to clients.

This agreement visibly demonstrates that MITTS Ltd commitment to work with the private sector is not mere lip service but rather an integral part of its business behaviour and value system. This ensures that the best of breed ideas, technologies and intellectual capital are brought to fruition to ensure cost effective and efficient services to Government and the general public.

It is with this spirit of collaboration that this network will be brought to life at the end of 2004, and operated over the coming twelve years.

MAGNET II With the increased availability of new technologies within the ICT environment and further to Government’s determination to improve its services to meet the ever growing demands and expectations, it was established that the current network needed to be enhanced.

Late in December 2003, after a year and a half of lengthy and at times difficult and complex negotiations, MITTS Ltd entered into a twelve-year agreement with the Maltacom plc and Melita Cable plc Consortium to replace the current MAGNET and thus provide Government with a state of the art and long term flexible network infrastructure to meet the increasing needs and dependency of Government on Information Systems (IS) business applications.

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Web Framework, e-Government and m-Government Given that the Web Framework has to act as the backbone for the entire e-Government Programme, MITTS Ltd invested heavily during 2002 and 2003 to scale up the current platform to ensure it meets the throughput generated from the demand, thus ensuring resiliency, scalability and security with an availability service level of 98.5%.

MITTS Ltd also assisted the Ministry for Information Technology and Investments responsible for e-Government with the design and management of the core e-Government ICT framework and participated in the establishment of the m-Government gateway. The architecture of the latter was

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also recognised at European levels, where during an EU Conference on e-Government held in Como, Italy, the m-Government solution obtained an EU recognition for its design, scalability and functionality, receiving a ‘Finalist’ certificate after being chosen by an independent panel of experts as one of the 65 applications representing "the best practices of public administrations in Europe" from 357 proposals.

Centralised Testing and Development Environments As part of MITTS Ltd efforts to improve its operations, streamline recurrent operational costs and have a standardised environment, a consolidation exercise aimed at having a centralised development and testing environment was embarked upon. This initiative was the culmination of a number of proposals that MITTS Ltd grouped under one project mid way through 2002. The project scope included Linux, UNIX, Windows and web based platforms with the Windows platforms utilising virtual machine software for the first time in MITTS Ltd. Work was practically concluded on all initiatives by the end of 2003. MITTS Ltd can now boast of not only having a comprehensive underlying infrastructure and expertise in quality assurance and in leading technologies but also of having a fully deployed Web Test Environment being used for the testing of web applications prior to release on the Web Framework. This has already shown a great deal of benefits with the vast majority of issues now being trapped at testing stages.

Now that the environments are stable, a process of decommissioning of stand alone development servers will be initiated to gain from the benefits of consolidation.

Alternative Connectivity Project Early in 2003, MITTS Ltd proposed to the Ministry of Foreign Affairs an alternative communications platform with the scope of connecting embassies and missions using internet along with the networking equipment to provide the required security. This project also provided for a sufficient increase in bandwidth and would also allow for Voice over Internet Protocol (VoIP) transmissions thus further exploiting and maximising these alternative links.

The implementation of the Alternative Connectivity project kicked off in the last quarter of 2003 and is expected to be concluded in the first quarter of 2004. This will provide a number of benefits, namely, a drastic overall reduction in maintenance and support costs as well as an increase in bandwidth that allows for the possibility of VoIP between these embassies and MAGNET together with access to other ICT services and systems provided by MAGNET. Given its success, during 2004, this initiative will also be extended to cover other Maltese embassies and missions abroad including Libya, Egypt, Tunisia, China and Russia.

MITTS Ltd has also piloted successfully the introduction of VoIP within the Ministry for Social Policy to leverage these value added services arising from data and voice convergence. A formulation of a strategy framework is also

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underway to extend these benefits to the whole of Government.

Introduction of Automated Tools During 2003, MITTS Ltd aggressively piloted the introduction of network and system management tools to provide the Company with the capacity to be proactive, undertake preventive maintenance, and automate tasks and thereby reduce the cost of ownership of operations.

The pilot project produced quick-wins and important mechanisms so as to shift away from the reactive mode with respect to network problems. Through the Network Management System (NMS), the technical resources are now alerted within a few seconds if a network problem exists on the MAGNET and corrective action is immediately carried out centrally, thus drastically reducing the cost of maintenance and the service turnaround time to solve any problems on the network and network devices.

Moreover, MITTS Ltd will finally be in a position to actually have a Technical Capacity Monitoring and Planning tool that will allow for better decision making with respect to planning for increases in capacity of bandwidth, server disk space and power, routers and connections, just to mention a few. This will result in improved customer satisfaction and increased service availability.

In 2004, it is planned that additional solutions from the OpenView family suite of toolsets will be gradually introduced and added to this building block architecture.

This will allow MITTS Ltd to be adaptable so that both operations and the infrastructure can respond easily to business change through the combination of people, processes and technology thus automating the dynamic link between business and IT. Electronic Government Mail (EGM) Improvements EGM services have fast become an essential service that clients cannot do without. The introduction of additional services such as Web Mail and Secure Mail have induced senior public officials to make more intensive use of EGM services and have become extremely dependent on its use. A further 4,000 Web Mail accounts were activated in the Ministry of Education for the provision of e-mail accounts to teaching staff. Overall the e-mail penetration within the Public Service, Schools and Local Councils has reached approximately 14,000 accounts in 2003.

During the past three years, MITTS Ltd placed considerable investment in the EGM infrastructure to ensure that service levels are maintained and improved. Due to the increase in Web Mail take up and due to service level assurance of 99.88% availability, an EGM enhancement project was initiated in December 2002 focusing on the partial replacement of the current infrastructure. This investment which was completed by mid 2003 has improved such an infrastructure through the replacement of hardware including four e-mail servers, that increased internet e-mail resiliency, capacity and also allowed for the implementation of antispamming measures.

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In 2004, MITTS Ltd will undertake a study to look at other different systems that could possibly add more benefits to the users through integration of various Groupware products and features, thus providing a seamless collaborative environment.

Server Consolidation Given the increasing maintenance and support costs for Government, thereby squeezing out financing for new investment and work in progress, MITTS Ltd will be championing a process of consolidation in order to reduce running costs for both MITTS Ltd and its clients. The e-mail infrastructure has already been rationalised, resulting in lower cost and improved performance. Other consolidation initiatives are also underway (such as a consolidated new Document Registry System). It is also estimated that over 200 servers in place across Government will be the target for further consolidation.

It is strongly believed and argued that consolidation of the data centres and the myriad of servers in place, coupled with the ever increasing costs to maintain the current decentralised environment, is essential in order to reduce the total cost of ownership and reap higher return on investment.

However, another important by-product is the centralisation of IT / IS systems and thus increased management and administration.

In this regard, MITTS Ltd vision is that the time is now ripe to move more aggressively towards this goal given the soon availability of a high-speed, secure and resilient network, through MAGNET II. The real challenge is that of ensuring that these IT / IS systems are available to clients in a seamless manner, as though still available within the same building.

This is in line with the National ICT strategy and vision whereby costs can only be rationalised through consolidation of the external ICT environment and interoperability of systems. It is MITTS Ltd firm belief that consolidation should orbit around MITTS Ltd ICT capacity.

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Partnership with

Clients: Oiling the Clockwork MITTS Ltd has been one of the agents of change which catalysed the transformation of the Public Service – both in terms of the institutional framework as well as the introduction of Information Technology as an instrument of change.

A passion for excellence of service and an unremitting drive to add increasing value for money to clients through the quality of partnership and teamwork and the rigour of business processes remain at the heart of MITTS Ltd strategy to meet clients’ needs speedily and effectively. Moulding technology, people and processes to provide improved and more cost-effective business solutions is the basis of MITTS Ltd success.

Working in partnership with clients ensures that MITTS Ltd not only keeps up to speed with policy developments, good practice and emerging opportunities for developing business, but most importantly, MITTS Ltd is placed in a more favourable position to assist its business partners by understanding better their needs and applying state-of-theart solutions for the attainment of their goals by meeting and exceeding their requirements.

MITTS Ltd has, however, recognised that it could not continue to operate as an ‘end to end’ ICT services organisation. It was understood that MITTS Ltd would be far more effective if it channelled its resources on the strategic aspects of ICT to the Public Service; whilst at the same time shedding to the private sector work falling outside the defined core business programme subject to the caveat that MITTS Ltd financial sustainability would be maintained.

In this regard, MITTS Ltd core business was defined as follows: •

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Programme management and development of strategic applications to Government, including e-Government.

Contract and project management wherein MITTS Ltd acts as client representatives to Ministries on major projects.

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• •

Security and risk management.

Infrastructure management and provision of core services and operations.

Though MITTS Ltd main business remains the Public Service, in 2003, effort for new business was channelled only towards the activities that are related to the above identified core business. The focusing onto the afore mentioned core business areas has allowed MITTS Ltd to bring in the private sector in areas that were traditional within its business domain.

The business development efforts and client requirements in 2003 resulted in a programme of works that will rollover to 2004. These roll-overs are in synch with the identified strategic core business. Such long-term programmes are confirmation of the Company’s philosophy to partner with clients and are in line with the objective of sustainability. The 2003 secured large contracts that will roll-over in 2004 include: • • • • • • • • • • • • • • • •

Anti-Virus Services.

Agriculture and Fisheries Integrated Administration and Control System (IACS) Project.

Design and Development of Paying Agency Management System.

Visa Management System.

Immigration Development Project.

Acts Management System.

VAT99 Core System - EU Related Enhancements.

Consultancy to Government for the procurement of an HRM and Payroll Information System.

Tax Compliance Unit Integration.

Implementation Assistance for the New Customs (Danish) System.

Inland Revenue Department Enhancements.

New Vera Continuation.

Accrual Accounting Impact Assessment.

Data Protection Act Compliance.

Common Database Management Services.

Internet for Schools.

Hon George Pullicino Minister for Rural Affairs and the Environment

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MITTS Ltd also continued to provide support and resources to Government to roll-out more e-Government and m-Government services to the public. Major initiatives carried out in 2003 or are currently underway include: e-Government Initiatives • • • • • • • • •

Registration for Evening Classes. e-Rent.

Web interface to the Licence Agency System (LAS).

Web interface to the Legal Case Management (LECAM) Statistics.

Web Judgements.

Enhancement of the Laws on Malta on the Internet.

Online Vehicle Licence Renewal (e-VERA).

Public Registry On-Line Certificates.

Online Police Reporting.

With respect to e-Government, however, the main thrust was without any doubt the launch of the Registration and Authentication mechanism that will allow citizens, business and agents to have an electronic identity which will be pivotal in instilling trust in the e-Government initiative and will instigate the roll-out of e-services that require higher levels of security, especially relating to e-VAT, IRD On-line, and Social Security Services, whilst it will open the doors for other roll-outs inline with the e-Europe Action Plan.

Given the high penetration rate of mobile devices in Malta, the extensive use of Short Messaging System (SMS) by mobile subscribers, and the potential of third generation mobile telephony, MITTS Ltd is considering m-Government to be of strategic importance, both from a profile point of view and from a technical point of view. m-Government Initiatives undertaken in 2003 include: • • • •

•

"I would like to personally thank MITTS Ltd who in close collaboration and partnership with my Ministry developed the Integrated Administration and Control System (IACS) with which a complex process has been greatly simplified.

Through the use of the system no forms will be sent to the applicants, as the information required will be entered directly into the system's database during interviews conducted by Ministry officials. This will reduce drastically the time required by the applicants to submit their request and the Department's turnaround time to process."

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Development, Testing and Deployment of SMS Gateway.

Notification of Court Deferrals via SMS. Notifications of Licence Renewals via SMS. Development of Adaptive Changes to the e-Customer Care System for the Notification of Status of Complaints via SMS. Social Benefit Administration Systems (SABS) Direct Credit Advices. m-Government Exams System.

MITTS Ltd priority remains that of anticipating clients’ needs and meeting them speedily and effectively. Success will continue to be built on long term partnerships with clients whereby MITTS Ltd will continue to provide solutions and services of the highest quality and value for money.

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Committed

to Continuous

Improvement: Unlocking the

Potential of Our People MITTS Ltd boasts that one of its major assets, its people, make the difference through their skills capabilities, enthusiasm, outstanding commitment, hard work and their willingness to take no detail for granted. The environment in which MITTS Ltd operates, calls for professionalism, unremitting effort and a high degree of dedication. On occasions, work demands an uncommon degree of tact, patience and considerable courage to operate in an ever changing environment.

The Company faces a range of challenges on the personnel and professional development fronts. As MITTS Ltd operates in a highly competitive environment, the fast moving nature of ICT means that the Company has continually to innovate and develop its skills to ensure that it remains an improving organisation at the forefront of professional practice with the aim of positioning itself as a first choice employer. MITTS Ltd has thus recognised that one of the fuels that sustain continuous improvement is its investment towards personal growth and development.

Drive to Manage by Values The launch of the Values Framework in January 2003 was, for the Company, the beginning of a journey to further inculcate the professionalism and integrity of its employees and to define the ‘soul’ of the Company. From a procedural point of view the Company Values were incorporated into the systems governing the management of people and these are gradually being reinforced through training and other corporate activities. During 2004 further initiatives will be embarked upon to continue building within this framework with the aim of attracting employees to internalise these values and practice them in their work.

Attainment of ‘Investors in People’ Award In January 2003, MITTS Ltd commissioned an audit to Investors in People auditors from the United Kingdom to establish the Company's requirements for recognition as an Investor in People. The motivation behind the intent to obtain this standard is the leverage that this places to

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adopt HR best practices and in being a model employer.

To MITTS Ltd satisfaction, it resulted from the preliminary audit that nine out of twelve areas for achieving the standards required by the award were already in place. A second audit was commissioned in November 2003, whereby the auditors certified MITTS Ltd of having obtained the high standards required for the award. This was another proud moment for MITTS Ltd and the culmination of years of work.

"MITTS Ltd as an organisation approached achieving the National Standard for Investors in People through a planned and proactive approach to improving business performance through the development of their people. The positive approach taken was one of when will the Company achieve the Standard and not if. MITTS Ltd have committed to being reviewed on a regular basis which demonstrates its commitment to continuous improvement through the ongoing development of its staff."

Mark Wem - Assessor Investors in People The Investors in People standard powerfully affirms MITTS Ltd belief in enabling its people to improve their knowledge and skills reflecting the ability to learn, to change and to continuously improve work practices and efficiency in line with the changing requirements of the business and clients.

Yet again, MITTS Ltd is the first Maltese medium-sized company to have attained this international prestigious award.

Foundation for Human Resources Development Award for HR Strategy to Business Success In November 2003, MITTS Ltd was also honoured by the Foundation for Human Resources Development (FHRD) with the award for ‘Best HR Strategy to Business Success’ through the corporate MITTS Ltd human resources strategy.

Such an award was conferred on MITTS Ltd by an independent body, thus confirming that by local standards, MITTS Ltd is truly making the mark.

Most importantly, the award signifies that the work being carried out in human resources is truly beneficial to the overall strategy and business success of the Company.

Sustained Investment in Intellectual and Human Capital Continuous improvement cannot be sustained through the status quo. During the last two years, MITTS Ltd invested heavily to re-train and re-skill employees primarily from the first level support strata to more specialised activities such as Information Security Management, Internet and Web Administration, Database Administration and Networking.

This was also possible as the Company enjoys a relatively young, adaptable and flexible workforce, with 70% of employees within the age group of 18 – 35 years.

Throughout 2003, MITTS Ltd continued to invest in a

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sustained manner in its intellectual and human capital to ensure that the Company embraces new ICT skills as well as to reskill and re-train staff where appropriate.

During 2003, MITTS Ltd invested heavily in human resources training and development. Specific attention was directed towards accredited courses, mainly focusing on CISCO – CCNA, programming with VB.net, ISEB 02 Certification in Data Protection, Linux Red Hat, Biz Talk, VM Ware, Business Objects, Prince 2 practitioners and the accredited ITIL Management foundation. In all, over 70 courses were organised with audiences reaching 600 attendees. This investment was translated into an average of 8.4 training days per employee. A very high average compared to industry standards.

Investment in human resource development will continue to target IT capabilities and skills in order to improve work practices and processes, minimising administrative and clerical effort and increasing what adds most value. MITTS Ltd success in retaining its high calibre staff is never taken for granted.

Management and Business Development Programmes A certified Management Development Programme (MDP), held in collaboration with the Malta University Services Ltd for all middle managers was designed and conducted in 2003, spanning over a three month period, with the aim of updating and uplifting the management skills and techniques of middle managers in order to have stronger and more consistent management practices across the Company.

Moreover, a Business Development Programme of seven sessions targeting Business Development Managers held in collaboration with the Malta Institute of Management (MIM) was conducted so as to certify Business Development Managers in the latest Business to Business marketing techniques. This certified and tailor-made marketing programme reached its overall objective of assisting and further strengthening the Company values of being client focused and professional and of continuously seeking improvement within its business philosophy of adopting a market oriented mentality.

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Stone Over Stone: The Building of a Team Culture!

The third phase of the teambuilding sessions were organised on a corporate level by the HR Group with the assistance of an external facilitator. The feedback received from the participants showed that this initiative was very well received and that it has to a large extent achieved the expected result.

Measuring the direct return of such initiatives is difficult, yet based on the feedback received from the facilitator of the sessions, the Investors in People auditor and the participants themselves, the goal of breaking down the barriers between people within the Company to work better in team environments is being achieved.

This spirit is being translated into more effective teams that learn how to work together, where difference in departments, roles and skills are not being seen as a dividing factor, but as a complementary one in order to reach the Company’s objectives.

MITTS Ltd Day on Easter Monday is an investment on teambuilding par excellence.

Awards for Excellence In order to continue to recognise and reward those teams and individuals that have distinguished themselves above the rest within the Company, certain changes were carried out to the MITTS Ltd Awards for Excellence. There are now three categories for the awards, each designed to reward a specific characteristic which is deemed important to the culture and value system of the Company. The awards are: • •

•

An award for knowledge sharing, ‘Knowledge at the Heart of MITTS Ltd’.

An individual award for excellence and values commitment, ‘Supporting the Transformation’.

Two awards for outstanding team achievement, ‘On the Edge’.

Tokens are again being awarded to employees who celebrate their 10th year anniversary with the Company.

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A Commitment to the

Future

An Invitation to Private Industry to Share in this Commitment Faced with unprecedented pressures of tighter budgets and escalating citizen demands, Governments are turning to the private sector as an important source of talents, skills and resources to be tapped in support of sustainable development.

In this new era of partnerships, the relationship between MITTS Ltd and the private sector is today one of mutual trust and credibility, in that MITTS Ltd has shown that it is serious in its intent to partner with and involve the private sector in ICT initiatives.

In 2001, separate contractual frameworks were established for the hiving-off of web site design and the hiving-off of small application development outside of the strategic applications. In 2003, desktop support of 1,500 PCs was subcontracted to four private sector contractors.

Such a strategy was, and will continue, to be carried out incrementally and with business responsibility, so as to focus on the core areas, without, however, jeopardising the financial sustainability of the Company and the ability of MITTS Ltd to maintain and not put at risk the required ICT investment and technology refresh for public services.

This drive for a greater spirit of collaboration has been further recognised through the MAGNET II initiative that MITTS Ltd has concluded with the Maltacom plc and Melita Cable Ltd consortium. This new partnership approach highlights a fundamental shift of thinking, putting behind the ideology and dogma of the past.

Talk is cheap! Walking one’s talk is a sure sign of integrity.

MITTS Ltd has once again honoured its commitment of walking the talk.

The future is now. Following a series of discussions with key local players in the ICT environment, it clearly came to light that MITTS Ltd could be positioned as a ‘national asset’ in assisting local firms to successfully penetrate markets overseas through its strategic contribution in areas such as the comprehensive underlying infrastructure; the adoption of international benchmarks; expertise in quality assurance and the expertise of MITTS Ltd staff in leading technologies. Such a concept has already been accepted in principle by a numerous number of local ICT organisations and is complementary to the Strategic Thrusts at a national level of pooling in all local effort in order to position Malta strongly in the international ICT market.

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ICT Public Fora MITTS Ltd introduced the ICT Public Fora to act as a medium to bring together academics, practitioners, the private sector, Government and interested parties to discuss and debate salient ICT related themes. Following the success of the first ICT Public Forum held in late 2002, MITTS Ltd in 2003 organised four ICT Public Fora with the following themes: • • • •

ICT for Cyber Smart Kids.

Securing Cyber Space: An Expensive Irrelevancy?

The Great Pursuit: Securing Privacy.

Knowledge Management: Structuring the Unstructured.

All of the fora organised were a success; showing the importance of establishing a debating society on ICT in Malta. This encourages the company to continue this successful series of ICT public discussions.

Partnerships with Organisations In 2001, MITTS Ltd in partnership with the Kummissjoni Nazzjonali Persuni b’Dizabilita’ (KNDP) established the “MITTS Ltd Foundation for IT Accessibility” (FITA) for the disabled. MITTS Ltd is still providing continuous support to this social partnership for long term sustainability and further growth in the social role it occupies. FITA is inviting the private industry to participate more actively.

MITTS Ltd also teamed up with the Board of IT Studies of the University of Malta to establish the Industry to Academia Partnership to achieve the common goal of inculcating an Information Society and Economy. 2004 will see the first wave of intakes from first year graduate students that were sponsored in the initiation of the agreement.

COMNET-IT Overseas Assignments – Flying the Malta Flag MITTS Ltd has continued to collaborate with COMNET-IT and provided assistance in an international workshop on “Planning for e-Government in Southern African Development Community (SADC) Countries” held in Mozambique in November 2003 and in a United Nations Development Programme ICT workshop on “National eStrategies and e-Governance”, held in Baku, Azerbaijan.

It is also envisaged that during 2004, MITTS Ltd will continue to assist COMNET-IT in another two international workshops and training programmes, namely: •

The Commonwealth Regional Workshop on “e-Government and Sectoral Development”, to be held in St Lucia during February 2004.

•

The SADC Regional Consultation on National e-Government Readiness, to be held in Botswana during April 2004.

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Embracing Change for a Better Future The changes that have taken place over the last years mark the beginning of an exciting future. At times, professionalism and commitment were tested to the limit, but MITTS Ltd has come through stronger and better equipped to meet future challenges. Having improved however, does not mean that MITTS Ltd should become complacent. MITTS Ltd acknowledges the fact that achieving good performance is a journey not a destination.

There is still more to be done and continuous improvement will remain the mantra for the future.

Whilst continuously embracing change for a better future, the focus now will shift from organisational and process capacity building to increase value added initiatives and reap the return on investment carried out: streamlining further the internal and external processes, accelerating product development, maximising the investment in automated tools and ensuring that the cost structure is kept to the minimum.

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Hence, to position itself tomorrow, MITTS Ltd needs to continuously look beyond what is readily at the fingertips and try to find new ways to improve even the most basic processes. It has been the entrepreneurial spirit, hard work and the ever-increasing teamwork that has brought the Company to its present levels. The same spirit is what will enable MITTS Ltd to work smarter and be ready to meet the complex challenges that will face the Company in the future.

MITTS Ltd will continue to play an active role to assist Government to enhance customer service by delivering on the promise of this millennium: to provide quality public services, every time, everywhere, to all.