Anabela Pedroso

New Projects and tools for cutting red tape

Case Study: “On the spot firm”

www.ama.pt

2006 EEA category winner

Why?The Problem/Challenge

• Lack of attraction to start a business in Portugal

• Heavy administrative burdens for enterprises: procedures, money, time consumer

• Department silos working “too much well”…

Why?The Problem/Challenge

• 11 procedures, between 54 and 78 days• 20 forms (more than for any other EU

country)• Total cost was 13.5% of the GNI (Gross National Income)

Until 2005:

Solving the Problem

Citizen-Centric Strategy

Citizen-Centric Strategy

Services

Key Enablers

Governance

Modernising public services delivery for businessModernising public services delivery for business

• Actions to reduce regulatory burdens and streamline Actions to reduce regulatory burdens and streamline administrative processesadministrative processes

• Projects shall consider the links between Projects shall consider the links between administrative simplification & e-Governmentadministrative simplification & e-Government

• ““One-Stop-Shop” for business activitiesOne-Stop-Shop” for business activities

• Multi-channel front-office functionalityMulti-channel front-office functionality

Modernising public services delivery for business – We Modernising public services delivery for business – We focus on…focus on…

BUSINESS LIFECYCLE MAIN EVENTSBUSINESS LIFECYCLE MAIN EVENTS

Services are redesigned and delivered

to respond to the needs and interests of

the main business business lifecycle eventslifecycle events

Multi-Channel Platform for Enterprises:Face-2-Face

Communications Channels Contact PointsEntrepreneur

(Business Formalities Centers)

(Business Portal)

(Business Registration Centers-MJustice)

“On the spot firm” (Less than 1 hour)

“On-line company” (2 days)

Even the “old system” has a better performance: Even the “old system” has a better performance: 7 procedures and less then 8 days7 procedures and less then 8 days

How does it works?Starting a Business

“On the spot firm”

Face-2-Face Model

• Main objective:

• to develop a quicker, easier, and cheaper way to start a business.

• Participation of all the stakeholders:• The Committee for Cutting Red Tape Initiatives,

(created under the office of the Secretary of State for Justice)

• Legislative and process simplification:

• From 11 to 7 steps

• Elimination the outdated requirement for entrepreneurs to register and legalize their financial accounting books(only an example)

• 70% of new companies created that way:

• 38.721 companies (2005-Nov2007); 44 minutes (average time)

• 78 Centers for Businesses

• Significant savings:

• From 13.5% to 3.4% of the GNI

• International Recognition:

• 2006 Enterprise Aword

• Doing Business 2007 Report (World Bank) places Portugal between de 10 quicker countries for starting a business

“On the spot firm” - Results

Multi-Channel Platform for Enterprise:Face-2-Face

Communications Channels Contact PointsEntrepreneur

(Business Formalities Centers)

(Business Portal)

(Business Registration Centers-MJustice)

Business Portal (www.portaldaempresa.pt)

Simpler, from start to end

Information and transactional services covering the business lifecycle:

– Starting a business

– Managing business activities

– Expanding a business

– Closing or Selling a business

450 services from 78 public bodies

• 7 steps to start your

business online

• Register your trade mark “on

the spot” online

• 4 Ministers involved

• 790 companies created

online (Jun2006-Nov2007)

Requires:

Strong authentication

Starting a Business online

Red tape has been reduced

• Making evidence of legal incorporation is now straightforward with “permanent electronic certificate of commercial registry”

• Paper is not mandatory: business can run electronic systems of billing, invoice and invoice records

• Some company books are no longer mandatory

• Registration formalities of company books were eliminated

Almost a conclusion:

Key Enablers

More Simple Services to Citizenss

Easier Services to Enterprises

More efficient Public Administration

Programe Simplex: “The Simple The Better”

Objective: Reduction of Administrative Burdens.

300 Measures in 2006 + 235 Measures in 2007

17

UniformidadeUniformidadeStandards iniciais De Jure Funcionam para o mundo físico

TradutibilidadeTradutibilidadeStandards De Facto

StandardizationStandardization TranslationTranslation

Interoperability – “That’s the secret”

Standards and common methodologies

• A physical document, that identifies the citizen visually and physically, and a digital document, that allows its holder to electronically authenticate the Citizen’s online transactions.

Citizen’s Card: An interoperability example

The Citizenship Certificate

http://www.cartaodecidadao.pt

Let’s do it TOGETHER!

Anabela Pedroso

New Projects and tools for cutting red tape

Case Study: “On the spot firm”

www.ama.pt

2006 EEA category winner