Program & Batch: PGDM (2016-18)

Term: TERM 2
Course Name: MANAGEMENT INFORMATION SYSTEM
Name of the faculty: Dr. PARIJAT UPADHYAY
Topic/ Title: DIGITAL INDIA 2.0
Group Number: GROUP 3
Group Members: Sl. Name Roll No.
1
Aakash Trivedi 160101003

2
Aman Arora 160101010

3
Anmol Raj 160101016

4
Raunaq Rathi 160101077

5
Varun Goel 160101123

6
Rishi Saxena 160102064

7
Sourav Jain 160102105

8
Adarsh Jaiswal 160103009

9
Karthik Revadi 160103067

10
Nikhita Agarwal 160103088

11
Priya Kar 160103102
 DIGITAL INDIA 2.0

1 INTRODUCTION
The E-Governance initiatives by the government of India dates back to mid-90s with the
emphasis on citizen-centric services. Later this was formalized in 2006 with the launch of
National e-Governance Plan (NeGP). About 31 projects targeting various areas
(computerization of railways, land record computerization etc.) were initiated. Later on many
states also started various individual e-governance projects for the citizens but none was a
major success due to lack of co-ordination and co-operation between these projects.
Therefore, in order to create an ecosystem where the public services can be used through the
use of IT, government of India has launched its flagship Digital India program. 1

1.1 Vision areas of digital India-

1. Digital infrastructure as a core utility to every citizen- high speed internet facility for
all citizens, a unique digital identity for every citizen which has a lifelong validity, a
bank account and mobile phone, safe and secure cyber-space etc.
2. Governance and services on demand- real time, integrated and digitally transformed
services so that doing business becomes easy and transactions can be cashless and
electronic.
3. Digital empowerment of citizens- a universal database of digital resources and
services to facilitate electronic submission of various governmental documents.

1.2 Approach and methodology for Digital India program-

1. There should be one common digital platform for ministries/states/departments.
2. Revamping all the existing e-governance initiatives to align them with Digital India
program.
3. Addition of relevant state specific projects on demand of individual states.
4. All the projects should be citizen- centric.
5. Wherever feasible a PPP would be preferred with proper control and customization.
6. A unique ID will be used for identification and authentication of all citizens.
7. In various ministries a post of Chief Information Officer will be created to facilitate
designing, development and implementation of various e-Governance projects.

1.3 Management structure-

1. There will be a Monitoring Committee headed by the Prime Minister and will have
representatives from concerned ministries to draw action plan and look after further
proceedings.
2. The Minister of Communications and IT will chair an advisory group that will take
care of the interests of the external stakeholders and would provide recommendations
to the Monitoring Committee on policy issues.
3. Apex Committee chaired by the Cabinet Secretary to provide strategic directions.
4. Other committees to take care of financials, ground work and implementation etc.

1 www. http://digitalindia.gov.in/content/about-programme
2 Aadhaar for Authentication:
The Unique Identification Authority of India (UIDAI) is a statutory authority established
under the provisions ofthe Aadhaar (Targeted Delivery of Financial and Other Subsidies,
Benefits and Services) Act, 2016. UIDAI was created with the objective of providing Unique
Identification Number (UID) for each person in the country.2

Some features of Aadhaar-

1. UIDAI provides only an identityAadhar No that proves identity and not citizenship.
2. A pro- poor approach.
3. Enrolment of residents with proper verification.
4. Business IntelligenceInitiatives adopted by UIDAI includes extensive use of
Analytics and Reporting to help in Operations.

Aadhaar can play an important role in driving financial inclusion, by simplifying key
processes in account opening and electronic payments:

1. Aadhaar e-KYC for Know Your Customer requirements;

2. Aadhaar number as a financial address for receiving and sending funds;
3. Aadhaar authentication for authorizing electronic transactions.

Benefits to government: Seeding the Aadhaar number in a schemes database helps remove
ghost and duplicate identities, can provide various government departments with a platform
approach for all EBTs and subsidy payments leading to standardized procedures and
reporting platforms.

Benefits for Customers: Multiple welfare payments can be received by using a single Aadhar
account as opposed to the one- scheme, one-bank approach followed by a number of State
Governments/Departments thus serving as a robust, stable and secure financial address.

Benefits for Policy Makers: Sending Government payments to Aadhaar-linked accounts will
lead to those accounts becoming active and achieve greater financial inclusion and such a
flow of funds will have full traceability, audit, and non-repudiation.3

3 National Informatics Centre (NIC):

Set up in 1976 National Informatics Centre (NIC), has played an integral role in development
of applications coming under e-Governance at each level of governance. It has helped in
decentralizing planning and management leading to a more transparent, efficient and
accountable systems and processes across the nation.

MIS Structure at NIC

NIC functions though its own ICT network known as NICNET which has institutional
linkages with all the government bodies present at:

2 https://uidai.gov.in/beta/about-uidai/about-
uidai.htmlhttps://uidai.gov.in/beta/your-aadhaar/about-aadhaar.html

3 https://uidai.gov.in/images/AadhaarTechnologyStrategy_March2014.pdf
1. The Centre2. 36 States and Union Territories3. 688 District Administrations of India

The network centric Information Systems at NIC were majorly built in the period between
1980s and early 1990s using software tools with state of art technology. NIC systems are
organized in a pyramidal structure with MIS as a middle layer. The management of
Information Systems is done through the Data Centers at National and State levels, Disaster
Recovery Centers to avoid loss of vital information due to damages done in face of calamity
and Network Operations facility to bridge the gaps between heterogeneous systems spread
across the country.4

4 Unified Payment Interface:

UPI is a smart way of money transfer between two banks using mobile device. The sender
doesnt need to carry any credit/debit card for the transaction and doesnt even need to know
the account details like account number, IFSC code or wallet password of the receiver/sender
in order to send or receive money. All the information which a sender would require is an
identifier of receiver. Currently 19 banks have UPI in India like Axis Bank, HDFC bank,
ICICI bank etc.

Feasibility of UPI-

1. Smartphone penetration: Massive penetration in India of smartphone as compared to

high cost tablets and laptops.
2. Connectivity: With high speed 3G and 4G technology, mobile connectivity has been
revolutionized.
3. Digital identity and Aadhar: Using a set of open API, both government and private
sector organization can take advantage of identity platform which Aadhar provides.

Impact of UPI-

1. Data security of payee and receivers data.

2. Senders phone acts as a secure terminal for entry of credentials or for a wallet
3. Use of Push and Pull mechanism by corporation to get credit collection on time
4. Reduction in phishing incidents.5

5 JAM Trinity:
JAM stands for the trinity which has brought massive reforms in India-Jan Dhan Yojana, the
Aadhaar initiative of UIDAI and Mobile number. It aims at and performs direct subsidy
transfers because in the recent past, the subsidiary schemes launched are en-route the hands
of intermediaries. The result is leakage of subsidy through this winding way, corruption and
inefficiencies before they reach their rightful owners. These eat away huge chunks of the
benefits that should reach the poor. To plug these very gaps, several measures are taken under
JAM Trinity to make the delivery of benefits effective, smooth and fast.

4 www.nic.in
5
http://www.npci.org.in/UPI_Product.aspxhttps://www.mygov.in/home/13/blo
g/
http://www.moneycontrol.com/news/sme/view-unified-payments-interface-
may-not-kill-mobile-wallets_7349681.html
The J of the trinity focuses on the Prime Ministers scheme of financial inclusion for all. It
includes opening a bank account and packaging it with RuPay card, pension, andinsurance
schemes and so on, for empoweringthe under-privileged. Aadhaar provides the Unique
Identification number (with the help of biometric identification) to every citizen which when
further linked with any bank account enables to identify the beneficiaries and helps address
the problem of leakages. The last of the JAM trinity is the Mobile that digitizes the delivery
system. With over 600 million users of mobile phones and the Indian tele-density being
81.4%, Mobile Money is an effective way.6

Salient features of JAM-

1. All rural and urban households across the country are covered nearby fifteen crore
people will be able to open there accounts.
2. The Aadhar-linked bank accounts opened under the scheme are to have an overdraft
facility of Rs 5,000 after satisfactory operation in them for a period of six months.
3. A minimum monthly compensation of Rs 5,000 to business correspondents who will
supply the last link between the account holders and the bank.7

Challenges-

1. To make the Aadhar number universal, the government needs to make it compulsory
for applying for the DBT benefits and other payments.
2. Reliable connectivity in the remote rural areas is a big challenge. Even with
connectivity, there has to effective network facility that can ensure accurate and
smooth digital transactions.

6 e-KYC:
An Aadhar-holder is empowered to share her/his Know-Your-Customer information through
this service, electronically, with active consent using biometric credentials. e-KYC facilitates
completion of KYC process online and thus it eliminates the need to fill up physical forms
and submit physical documents. The main objective of e-KYC is the registration of the
customer with least amount of paper work and in the shortest time possible. The e-KYC
service has the potential to revolutionize service delivery in the private and public sector, and
it will drive innovation in the market.
Salient features: -
1. Paperless
2. Consent based- (can only be provided upon authorization by the resident)
6 http://indiamicrofinance.com/jan-dhan-
yojana.htmlhttp://www.thehindubusinessline.com/opinion/columns/all-you-
wanted-to-know-about-jam-trinity/article6952071.ece
http://www.aadharcardkendra.org.in/jandhan-aadhar-mobile-trinity-2016-
2440/

7 http://www.business-standard.com/article/economy-policy/5-key-
features-of-modi-s-jan-dhan-yojana-
114082800853_1.htmlhttp://www.pmindia.gov.in/en/government_tr_rec/le
veraging-the-power-of-jam-jan-dhan-aadhar-and-mobile/
 3. Elimination of Document Forgery
4. Inclusive (It is fully paperless, electronic and low-cost; these aspects of e-KYC make
it more inclusive; financial inclusion is enabled)
5. Secure and is compliant with the IT Act, Non- repudiation of data storage, Low cost,
Instantaneous (The service is fully automated, and KYC data is furnished in real time,
without any manual intervention), Machine Readable, Regulation friendly8

7 DigiLocker:
One of the key initiatives started under the Digital India programme is the DigiLocker
scheme. Aimed at minimizing the usage of physical documents, it also enables sharing of e-
documents across public and private agencies. This portal will ease the sharing of e-
documents through registered repositories, thus ensuring the authenticity of the documents
online. Electronic documents can also be uploaded by residents and digitally signed using the
e-sign facility. Thereafter government agencies will get access of these documents.

Digital Locker has the following objectives-

1. Residents get digitally empowered with Digital Locker

2. Enable e-Signing of documents make them available electronically thus minimizing
the use of physical documents
3. Ensure authenticity of the e-documents to eliminate usage of fake documents
4. Secure access to Govt. issued documents through a web portal and mobile application
for residents
5. Anytime, anywhere access to the documents by the registered users
6. Use of an open standard based architecture to support a well-structured standard
document format which will further support easy sharing of documents across
departments and agencies and thus will ensure authorized access and privacy of data.9

8 Conclusion:
The Digital India initiative holds many opportunities for IT companies, and would prove to
be very beneficial for start-ups. With digitization, businesses can leverage new technologies
like 3D printing, AI and robotics to manage and sustain growth. Other government initiatives
such as Smart Cities also present a huge opportunity to tech companies for development of
the required infrastructure. India Stack provides a well-developed infrastructure for
developers to build their software around, and benefit from the initiative.
All this finally translates to a better, efficient and speedy experience for consumers. Loan
processing, online ordering and payments could be completed in seconds, without having to
stand in long queues at banks and government offices.

8 http://www.moneycontrol.com/news/technology/digital-india-20-the-
next-phasee-
governanceindia_7545501.htmlhttp://www.indiastack.org/About-India-
Stack
https://uidai.gov.in/beta/

9 https://india.gov.in/spotlight/digilocker-online-document-storage-facility
However, it is still a nascent technology and development of better infrastructure is required.
There is also a substantial security threat which accompanies digitization and security should
be at the forefront of the developmental efforts in the future.