Address Infrastructure: For the benefit of all – Danish experiences
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For the benefit of all – Danish experiences
Estimating the economic value of an address infrastructure
UPU Global Addressing ConferenceBerne, 26. October 2015
Morten Lind, Senior Advisor, Danish Geodata Agency, Copenhagen, Denmark – morli@gst.dk
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Overview
Super short Background
Three Case Studies
Conclusion
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History
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Vikings
No post codes
No Addresses
Address History in Denmark
• Post code system₋ Four digit, introduced by Post Danmark
• All covering address system₋ Remember: Denmark is a small, dense country
• 1st national address file₋ Full cover, with geographic coordinates 1990-2000
• Address file as open data ₋ Government and local government agreement
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1967197519992003
CaseImprovement of unambiguousness in
road names and addresses(2000-2007)
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Illustration: Finn Jørsbo
Some road names were not unambiguous within the post code
The problem (2000):
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In postcode 8900 Randers the road name ”Egevej” (Oak Road) occurred four times:• in Assentoft• in Haslund• in Harridslev• in Øster Bjerregrav
Example
A National Scale Problem
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Approx. 1000 road name conflicts mapped and listed
Volume of the Problem
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Quantity of the problem August 2005
No. ofStreet Names
No. of House- holds
No. of Persons
No. of Businessentities
Affected by the duplicate problem 982 20.042 39.229 4.991
Country Total 107.000 2.950.000 5.530.000 680.000
Duplicates in % of all 0,9 % 0,7 % 0,7 % 0,7 %
Negative Impact
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19 tons of bricks delivered to a wrong address“An entrepreneur has ordered 19 tons of bricks for a construction work. The bricks were delivered at the wrong address, situated in a dwelling area, while the family living there were at work. The family, the transport company and the contractor had several fierce discussions before the situation was clarified.”
From telephone-based survey of problems related to duplication of road names in post codes, 2006
Negative impact (2)
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Dagbladet BT11th May 2004
“Lisbeth’s husband died:Ambulance dispatched to wrong city”
Jyske Vestkysten, 23rd June 2005
“Emergency center dispatched firefighters to wrong address”
The solution
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Change conflicting road names or
change post code boundaries
The business case
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= Result: Problem should be solved
One time cost of solution (public sector): 1.5-2.5 mill. US$÷
Value (benefit) of not having the problem(public sector) per year: 3.5 mill. US$ /year+
Please note:Even though the problem
affects “only” 0,7 % of the addresses …
… the benefit of the solution will be
1.50 US$ per address*) every year!
*) Total number of addresses in Denmark is 2.4 mill
Learnings
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The address infrastructure
This gives a picture of the total value of the address infrastructure
But value of a repair equals to 1.5 US$ for each and every
address in Denmark
We found a problemaffecting only 0.7 % of addresses
CaseEstimating benefits of address data
as open data
(2005-2010)17Global Addressing ConferenceUPU, Berne, 26.-27. October 2015
The problem (2002)
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We have “State-of-the-Art” address data, but it is not used
Danish police planning emergency response: Accident in fireworks factory, Seest, Kolding Nov. 3rd 2004
License and pricing restrictions
The dead-lock situation
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Official address file maintained by the local governments
Addr
Postal services
Health care
Ambulance Services
Utilities
1-1-2 Alarm Centers
Energy, Environment
Police force Regional Government
Transport services
Epidemic awarenessFire fighters
Potential users
Pressure by Stakeholders
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National police
Post Danmark
Ambulance services
Public transport
Emergency call centers
The solution
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Make address data free of chargefor
commercial and non-commercial use
2003-2005: Free-of-Charge Agreement
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Press release:
“From January 1st 2013, the government,
the counties and the municipalities have
agreed …”
Direct impact of agreement
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Number of Address data sets distributed or updated to 3rd parties in 2002 and 2009(of the 1250, approximately 300 was ’full cover Denmark’
Economic Benefits for Society
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2000 2005 2010 2015
Good
Better
Best
Average
Start ’Zero’
“Free-of-charge”
Impact ofag
reement
Direct, measurable economic benefits: >88 mill. US$
The business case
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= Result: Free-of-charge agreement was a very good idea!
Cost of solution 2003-2009: 2.6 mill. US$÷
Value (benefit) of solutionin five years 2005-2009: 88 mill. US$+
Please note: In 2010 benefits was estimated
to 20 mill US$(- that’s 8 US$ per address*)
*) Total number of addresses in Denmark is 2.4 mill
… While cost of agreement in 2010
was only 0,3 mill US$!
This gives a cost/benefit ratio of 1:70
Learnings
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1:70
Releasing addresses as “open data” gives extraordinary good socio-economic benefits. Reason is, that so many
users have interest in address data
CaseImproved address coverage plus
fast and open data services(2013-2017)
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The problem (2012):
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Due to insufficient address coverage, quality and data services, significant gains are still outstanding There are areas in Denmark, e.g. large business or
industrial properties, with only one address
Let’s ask the users
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Waste of time correcting errors and defects in address information …
Unnecessary costs to implement address data in it-systems …
Extra data management costs to compensate for deficiencies in official address data …
Huge potential for process improvement in e.g. logistics, transportation, planning …
The solution
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Improve address coverage, data quality and timeliness.
Improve data infrastructure and -services
Improved address coverage 2015:Vigsø Holliday Centre, Hanstholm, Jutland
Full Cover
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Full Cover
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Improved address coverage 2015:Gentofte Hospital, Copenhagen
Address as a Service
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High quality, current and open address data and web services
Instant Address Data
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Time from the recording of an address until it is published in our open data services
May 2014
Now
201220 days
1-2 days
3-4 min.
40 sec.
12 sec.May 2015
First results are here now!
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Using our open services, it’s easy to type in a address on a webpage or application – and the address is valid! Our services are accessed >5 mill times/week
Since 2014 more than 500 it-applications have saved money using our address-as-a-service instead of building address-functionality from scratch
Our improved address quality and timeliness reduces the need of purchasing additional 3rd party data … and further down the road is still a
huge potential benefit in improvement of processes in e-government logistics, transport etc.
The business case
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= Result: Go ahead and do it!
One time cost of solution (public sector):25 mill. US$÷
Estimated benefits in public sector when Address Program is finalized: 23 mill. US$ /year+
A very rough estimation!
Add social benefits and benefits for
private sector
The Business Case
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23 Mill. US$/year
Learning
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1Public sector
The municipal address authority allocates and registers an address or a road name
1000Industry
1000 application developers or data producers integrates the address or road name in their product or service
5.000.000Applications
Millions of users now have access to the new address or road name in their it-system, GPS, smartphone or tablet
CostBenefit
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Our perspective: Every citizen and business entity has access to a authentic copy of the official address information
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DemocracyTransparency
Good governance
Security
Money tree
… but itis also a
Good addressing is …
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