Dear Colleagues,

It is in furtherance to the excellent analysis drawn by Henry Grageda of the
Asian Institute of Management with regards to areas/sectors where
e-governance will have a strategic impact.

The issue of transaction costs for decision-making in developing country is
certainly one of the key parameters to decide upon the e-governance models.
The high transaction costs are not only in terms of financial and time
spill-overs but also in terms of opportunity costs of forfeiting a more
workable or efficient solution. E-governance models if applied innovatively
-in someways could make the systems more accountable by making
decision-making more transparent and highlighting not just the final
decision but also the various stages of decision-making and nodes of high
transaction costs. Democratisation of information at all stages will have to
form the basis and outcome of these e-models.

Henry also raises a very significant point when he mentions that local
governments are the emergent flashpoints for corruption. It certainly gives
an insight on how high-frequency turnover of the local administration
(every three years) further adds to these transaction costs. It would be
interesting to see how this aspect of conventional governance mechanisms
could be impacted through citizen-led, institutionalised forms of
decision-making (facilitated by e-governance) where voices of people do not
form just the backdrop but an active ingredient in the decision-making
processes- and hence cannot be overlooked.

It is my conclusion that a constantly questioning civil society is a must for
any governance mechanisms to be effective. IT models in such cases can
ensure that these questions are answered effectively and in a shorter time
frame.

Warm Regards,
Vikas Nath
Inlaks Fellow, London School of Economics, UK
DigitalGovernance.org and KnowNet.org




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