Digital Transformation: Malaysia on the World Digital Economy Stage
GovTech: Whole-of-Government (WoG) Framework
The delivery of government services is shifting towards GovTech by focusing on a whole-of-government (WoG) approach by optimally utilizing data and digital technology in the government system to be more efficient, intelligent, agile and secure towards the well-being of the people and the prosperity of the country by emphasizing aspects of digital security and increasing people’s confidence in government transactions.
The GovTech concept refers to the WoG approach that aims to implement the digitalization of the public sector in a systematic, efficient, and integrated manner. This approach emphasizes the integration of digital technology across the entire government administration operations to improve the quality of service delivery, bridge the gap between government agencies, and meet the needs of the people and stakeholders. GovTech serves as a catalyst for a more responsive and innovative government transformation through technological synergy and cross-agency collaboration.
This approach focuses on three main aspects. First, accessible and people-centric public services, where digital technology is used to provide more user-friendly, fast, and inclusive services. Through a centralized and integrated digital platform, citizens can access various government services without having to go through complicated bureaucratic processes or physical barriers. This approach ensures that citizens have a seamless service experience that meets their current needs.
Second, GovTech drives the transformation of digital government by focusing on modernizing existing systems and moving from manual processes to fully automated ones. This involves developing technology infrastructure such as cloud computing, data centralization, and the use of smart technologies such as data analytics and artificial intelligence (AI). System integration across government agencies ensures that data can be shared securely and efficiently, thus accelerating decision-making and improving the effectiveness of government operations. This transformation also ensures that the government is resilient in facing new challenges and is able to adapt to technological changes.
Third, the concept also emphasizes the development of a simple, efficient, and transparent government system. This approach minimizes bureaucracy, reduces duplication of work between agencies, and improves operational efficiency through real-time data monitoring and analytics. Transparency in service delivery is strengthened through open access to information, ensuring that citizens and stakeholders have confidence in the integrity and accountability of the government system. These features help build a more efficient ecosystem with strict monitoring of service performance.
On 8 May 2019, the Cabinet Meeting agreed that the Ministry of Communications and Multimedia Malaysia (KKMM), through the Malaysian Communications and Multimedia Commission (MCMC), should conduct a detailed study on the National Digital Identity Framework (IDN).
National Digital Identity (IDN) is a method of authenticating a person’s identity in cyberspace based on the ‘What You Are’, ‘What You Have’, and ‘What You Know’ approach. This approach is supported by a trusted digital identity framework, ensuring that digital identities can be managed securely and effectively. IDN is a form of digital identification that allows individuals to gain access to digital services and conduct online transactions with a higher level of security.
MyCoID is a company number issued by the Companies Commission of Malaysia (SSM) and is used to deal with all related agencies. MyCoID aims to simplify the process of managing business documents digitally. Mandatory company name searches and formations can now be done entirely online through the MyCoID portal which has been operational nationwide since 11 December 2014. This system is designed to improve the convenience and effectiveness of business information management in Malaysia, in line with the government’s efforts to drive digital transformation in the economic sector.
Through IDN and MyCoID, the government is working to ensure that individuals and businesses can enjoy the full benefits of digital transformation, in line with Malaysia’s aspirations to become a regional digital economy leader.
MyPesona and MyPerniagaan were introduced as concepts representing individuals and businesses. MyPesona represents individuals, with registry data covering identity information, data management permissions, and family structure. It also includes data related to social welfare, assistance eligibility, education, career, and health. In addition, MyPesona contains information on individual rights, community involvement, property such as vehicles, land, and houses, as well as facilities such as utility bills, tax payments, and summons.
Meanwhile, MyPerniagaan represents companies, with registry data involving business certificates and licenses, business premises information, and company assets. It also includes data related to grants, investment opportunities, product management such as halal and food safety certificates, as well as utility facilities, taxes, and company summons. In addition, MyPerniagaan also focuses on business liability management, including bankruptcy and court matters.
The WoG framework also prioritizes inclusivity and transparency through open access features such as People’s Notifications that provide timely updates, People’s Voices to ensure that the people’s voices are heard, and Smart Search that offers smart search functionality. The platform supports various sectors including economy, infrastructure, social services, security, and public administration, while streamlining G2C (Government to Citizens), G2B (Government to Business), G2G (Government to Government), and G2E (Government to Employees) interactions.
Overall, the GovTech concept in the Whole-of-Government (WoG) approach is the government’s strategic effort to digitize the public sector to support the development of the country’s digital economy. This approach not only increases access to quality services, but also ensures that service delivery is carried out efficiently, easily, and transparently. GovTech is a key driver of Malaysia’s digital transformation agenda, ensuring that every individual, community, and organization can enjoy the benefits of this digitization. Through this step, the government not only strengthens the effectiveness of the administrative system, but also supports the goal of becoming a leader in the regional digital economy.
The digitalization sketch depicts the entire government’s digital services in WoG which explains how government services are provided comprehensively and a digital solution is seamlessly interconnected across agencies. The perspective of government service clusters is depicted through five sectors, namely the social sector, the economic sector, the security sector, the infrastructure sector and the public administration sector which is based on the services provided directly related to the sector’s activities to four target groups, namely the people, the business community, government agencies and civil servants.
The Digital Technology Access in Learning Initiative aims to provide high-quality education powered by digital technology. Through this approach, the government ensures that students and teachers across the country can enjoy the benefits of technological advances, thereby improving the effectiveness of the learning and teaching process.
In support of this initiative, the MyGDX platform has been enhanced with security features that include data and cyber security aspects. These improvements ensure that every agency and registered user is authenticated through the MyGDX Portal, which is integrated with various related agencies. In addition, every API subscription approval is also authenticated through a digital certificate, and every system accessing the MyGDX API will be verified first through Public Key Infrastructure (MyGPKI) technology.
This approach not only increases access to high-quality education but also ensures the security of user data. This move reflects the government’s commitment to harnessing digital technology to empower the social sector, particularly in education, to ensure that the next generation is prepared to face the challenges of the digital world.
In an effort to stimulate the country’s economic growth, the Malaysian government has implemented various digitalization initiatives to support business activities, particularly in the management of grants, licenses and business financing. These initiatives aim to speed up and simplify the affairs of entrepreneurs, improve the efficiency of public services and promote innovation and competitiveness among local enterprises.
The Business Grant Management Initiative focuses on digitizing the application, assessment and distribution process of business grants. Through an efficient digital system, entrepreneurs can apply for grants more easily and transparently without having to deal physically. Digitizing the application process and issuance of business licenses ensures compliance with regulations that are easier to monitor and reduces bureaucracy. Digitization in business financing management allows applicants to access financing information, submit applications and check approval status more efficiently.
All these efforts involve the ASDF Shift initiative, which focuses on analytics and data sharing through platforms such as MyGDX, Open Data, and paperless digital records management through the DDMS 2.0 system. In addition, ministries and agencies leverage the government’s network, data centers, and cloud computing provided by JDN, including MyGov*Net, MyGovCloud@PDSA, and MyGovUC, which ensures security and effectiveness in data management.
This initiative is part of the government’s efforts to empower the agricultural sector with the latest technology, ensuring that this important economic sector continues to contribute to the country’s economic growth while maintaining environmental sustainability.
The smart digital technology initiative in the national security sector aims to improve the efficiency of security services, ensure national sovereignty, security, peace and harmony through the use of sophisticated digital technology. This move is designed to strengthen the country’s preparedness in facing increasingly complex modern security challenges.
All efforts carried out by the Ministry of Home Affairs (KDN) and its agencies involve the implementation of the ASDF Shift initiative, which focuses on data analytics and information sharing through platforms such as MyGDX, Open Data, and Big Data Analytics. In addition, this system also supports paperless digital records management through DDMS 2.0, which helps increase efficiency and reduce reliance on manual processes.
To ensure data and communication security, the Ministry of Home Affairs and its agencies also use secure networks, data centres, and cloud computing provided by the National Digital Department (JDN), including MyGov*Net, MyGovCloud@PDSA, and MyGovUC. With these measures, the national security sector has become more resilient, responsive, and able to address various security challenges in the digital era.
This approach reflects the government’s commitment to empowering national sovereignty with the latest technology, in line with the vision to ensure that the security of the people and the stability of the country remain the top priority.
The Intelligent Transport System aims to improve the efficiency, safety, and sustainability of the transport system through the application of advanced digital technology. This initiative plays a significant role in improving the quality of public transport services and related infrastructure, making them safer, more efficient, and more environmentally friendly.
All efforts under the Ministry of Transport (MOT) and its agencies involve the implementation of ASDF’s Shift initiative for analytics and data sharing through platforms such as MyGDX and Open Data, as well as paperless digital records management through DDMS 2.0. In addition, MOT leverages the network, data centers, and secure cloud computing services provided by JDN, including MyGov*Net, MyGovCloud@PDSA, and MyGovCloud@CFA.
This approach ensures that public transport and infrastructure in Malaysia not only meets current needs but is also adapted to support sustainable development and future growth. This is part of Malaysia’s concerted efforts to achieve technology-driven developed nation status.
Initiatives in the public administration sector aim to strengthen efficiency, integrity, and transparency in the government administration system through the use of work process automation. This transformation is designed to improve operational efficiency, quality of service delivery, integrity in management, and overall productivity of the public administration sector.
All these efforts are driven by the Prime Minister’s Department (JPM) and related agencies, with the implementation of the ASDF Shift initiative, which focuses on data analytics, information sharing through Open Data, Big Data Analytics, the use of video conferencing, and paperless digital record management using the DDMS 2.0 system. In addition, government agencies also leverage the communication network, data center, and cloud computing provided by the National Digital Department (JDN). Infrastructure such as MyGPKI, MyGov*Net, MyGovUC, and MyGovCloud@PDSA are used to ensure security and efficiency in government data management and communication.
Through this approach, the public administration sector is not only able to provide faster and higher quality services to the people, but also strengthen integrity and transparency in the government management system. This transformation is in line with the government’s vision to become a modern and efficient administration model in the digital era.
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