CREATING A EUROPEAN TRACKING SERVICE. Expert Meeting October 29th 2015

Transcription

1 CREATING A EUROPEAN TRACKING SERVICE Expert Meeting October 29th 2015

2 Every European crossborder worker needs to have a quick insight in his pension situation. It is our ambition to make that happen.

3 Every European crossborder worker A FEW STEPS FURTHER needs to have a quick insight in his pension situation. It is our ambition Peter Melchior to make that happen. Chairman TTYPE steering committee

4

5 A QUICK CATCH-UP Eric van Elburg Project Manager TTYPE

6 H OWE V ER, Download your copy from I T I S S T I L L PA PER...

7 ADVANTAGES FORCITIZENS Overview of pensions and pension entitlements across Europe Help in finding their pension providers Respond to insufficient pensions

8 ADVANTAGES FOR PENSION PROVIDERS European channel for participants communication Help in finding lost particpants Enrichment of providers websites with ETS functionality

9 BUILDING AN ETS 3 1 General pension information Find your provider 2 Personalised pension information Overview of personal pension entitlements

10 A RC H I T EC T U R A L C H O I C E S I D E N T I F I C AT I O N U S E R C O N T R O L DATA S TO R AG E

11 ETS DOES NOT NEED ADDITIONAL LEGISLATION ETS IS COMPLIANT WITH EXISTING LEGISLATION

12

13 A EUROPEAN A EUROPEAN PENSION PENSION TRACKING SERVICE TRACKING SERVICE Advancing pension Advancing pension communication in Europe Help pension tracking on a national level Different functional levels Compliant with legislation Voluntary participation Step-by-step implementation A MUST HAVE

14 S T EP S ERV I C E FO R T R AC K I N G EU RO PE A N PEN S I O N S

15 TTYPE phase 1 High level design for an ETS TTYPE phase 2 Enlarge support, make business plan, create implementation roadmap TTYPE phase 3 / ETS Organisation and go live

16 TTYPE project partners, phase II - 7 experienced pension operators from 5 countries across Europe

17 WE TAKE THE NEXT STEP TODAY: Reality Check on Business Plan ETS

18 Every European crossborder worker REALIZING A EUROPEAN needs to have a quick insight in his PENSION TRACKING SERVICE - pension situation. It is our ambition THE BUSINESS PLAN to make that happen. Titus Sips Project member TTYPE

19 Topics Recapture Recommendations in the TTYPE Final report on STEP organisation Insights and questions Organisational / governance model STEP s finances

20 We need an operator To establish and maintain an ETS and to connect providers requires an organisational form. In this report, we give this organization the working name STEP (Service for Tracking European Pensions). This is also to make a clear distinction between the IT-system (ETS), the project (TTYPE) and the organisation (STEP). TTYPE final report, March 2015

21 What should STEP do? STEP s mission STEP aims at providing European citizens with an overview and insight in the pensions they have acquired across Europe and by giving general information on the effects on pensions, when working cross border. In addition, STEP will help make pension information available to all EU citizens, by supporting pension tracking services and pension providers with their communication on pensions by adding an overview which cannot otherwise be obtained.

22 For short All European citizens should have access to information on their pension entitlements, no matter where they are acquired within the EU and regardless of their country of residence. It is our ambition to make that happen.

23 STEPs business model (TTYPE Final Report) Key partners (operational) Operations/ suppliers, critical for daily operations: IT organization Marketing supplier Legal assistance etc. Data providers (NTS, providers, governments). Sponsors the European Commission ( DG/ EMPL; DG/Market; DG/Connect), NTS, large pension providers public pension entities associations of pension institutions user representatives member states. Cost structure Key activities Value proposition Customer relationships Customer segments Create willingness to connect to ETS marketing. Developing, connecting and operating and connecting the ETS. Implementation Contract management Support Key resources Physical: ETS Systems: information from dataproviders. Human (knowledge): Relation & contract mngt with (new) providers. technical support, helpdesk (forwarding). Low cost operator. Mostly fixed costs, variable costs for integrating new providers. EU Citizens create overview and insight in pension rights. cross border information (Individual / general) on pensions. finding your pension providers. Providers Support obliged communication. Find your lost members Standard format. Information flow and user interface if none exists. EU members states Provide NTS functionality. Revenue streams EU Citizens Automated service using ETS. Data providers: Automated service using ETS. ETS self-service and direct contact as for connection process. Helpdesk. In advisory board represented by umbrella organizations. Channels ETS system Telephone, , social media EU citizens: Citizens in general. Find your beneficiaries (People who want to be found). cross border workers. EU providers Providers (Ist, 2 nd and 3 rd pillar). (National /sectorial )tracking system. EU members states Member states without NTS. Not for profit. Contribution fee: Initial costs: EC subsidy Providers are paying. Project fee: member state for which ETS acts as NTS as requested by member state.

24 STEPs business model (TTYPE Final Report) Revenue Key partners streams (operational) Not for profit EU Citizens create overview and Contribution fee insight in pension rights. Initial costs: EC subsidy cross border information (Individual / Providers are paying general) on pensions. Project fee: member state for which ETS finding acts your as pension NTS providers. as requested by member state Operations/ suppliers, critical for daily operations: IT organization Marketing supplier Legal assistance etc. Data providers (NTS, providers, governments). Sponsors the European Commission ( DG/ EMPL; DG/Market; DG/Connect), NTS, large pension providers public pension entities associations of pension institutions user representatives member states. Cost structure Key activities Value proposition Customer relationships Customer segments Create willingness to connect to ETS marketing. Developing, connecting and operating and connecting the ETS. Implementation Contract management Support Key resources Physical: ETS Systems: information from dataproviders. Human (knowledge): Relation & contract mngt with (new) providers. technical support, helpdesk (forwarding). Low cost operator. Mostly fixed costs, variable costs for integrating new providers. Providers Support obliged communication. Find your lost members Standard format. Information flow and user interface if none exists. EU members states Provide NTS functionality. Revenue streams EU Citizens Automated service using ETS. Data providers: Automated service using ETS. ETS self-service and direct contact as for connection process. Helpdesk. In advisory board represented by umbrella organizations. Channels ETS system Telephone, , social media EU citizens: Citizens in general. Find your beneficiaries (People who want to be found). cross border workers. EU providers Providers (Ist, 2 nd and 3 rd pillar). (National /sectorial )tracking system. EU members states Member states without NTS. Not for profit. Contribution fee: Initial costs: EC subsidy Providers are paying. Project fee: member state for which ETS acts as NTS as requested by member state.

25 TTYPE will make a BUSINESS PLAN Description of STEP s business goals, reasons they are attainable, and plans for reaching them. The STEP business plan focuses on the creation of a European Tracking Service. The plan s primary audience are potential external stakeholders.

26 TTYPE will make a BUSINESS PLAN vision and mission statement business environment analysis and market analysis business description SWOT analysis industry background competitor analysis marketing plan operations plan financial plan

27 How could STEP be organised? STEP has three primary tasks How could STEP be organised? 1. Governance Organising stakeholder involvement 2. Ownership Ensuring legal ownership of the ETS 3. Execution Managing and carrying out STEP s operational activities

28 How could STEP be organised? Our ideas on the organisational / governance model General How could STEP be organised? Assembly Basic legal structure is an association Voluntary members defining its purpose and direction Board monitors the realisation of goals on behalf of the members Operational organisation that realizes the goals Board CEO + Operation Members There are voting members (pension data providers and NTS s) and non-voting members Voting members define board composition Members need to comply with membership regulations Members pay membership fees Conclusion NTS s and pension providers don t just connect to the ETS. They become member of the STEP organisation

29 Questions for first breakout session 1. In general terms, what do you think of this governance and organisational model? 2. What advantages and disadvantages do you see? 3. How could this structure be improved upon? 4. Would you/your organisation become member of such an organisation? How do you see your role in such an organisation? 5. What kind of return do you expect from membership?

30 STEP s expenses Operations Operating ETS systems Maintaining content, helpdesk Connections Realizing new connections to providers and NTS s (legal, technical, etc.) Communications Stakeholder management (incl. PA, PR and lobbying). Partly carried out by CEO, Board and members. Marketing (getting new providers) Campaigns (getting new end users) Business development Developing STEP (and the ETS s) services. Management and staffing CEO plus staff (HR, Facility management)

31 Rough estimate of the yearly costs Activity Phase 1 POC Phase 2 Steady Operations Connections Communication Business development Management + staff + facilities Total

32 Cost and revenue development An impression of how revenues and expenses develop over time Startup Realizing the ETS Start making connections Annual revenue Total annual costs

33 Constructing a revenue model Financing sources EC Members Voting Non voting Investors Financial drivers Not for profit Keep costs as low as possible Increase revenues fast => get economy of scale quickly Strive for long term commitments Guiding principles for the revenue model 1. It should be fair, e.g. contributions should be proportional to size or potential number of users 2. It should encourage making connections, e.g. contributions should be reasonable 3. It should encourage making connections early, e.g. early connectors should not be punished by higher contributions than those that connect later. Basis of the revenue model EC pays starting cost to cover for the realization of the ETS and the original operational costs. STEP connection costs are not billed to the connecting provider / NTS. Providers and NTS s pay contributions in the form of a membership fee to cover for operational costs and connection costs.

34 Alternatives for calculating membership fees Method 1 Fee should be proportional to the number of participants a provider/nts brings in Method 2 Fee should be proportional to the actual use in terms of users actually accessing the ETS Method 3 (additional to 1 or 2) NTS s or providers that have connected (and payed membership fees) early should (partly) be reimbursed if membership fees go down because of rising revenues

35 Questions for second breakout session 1. Do you agree on the guiding principles for the revenue model? How should they be interpreted? 2. Do you agree on the basis of the revenue model? 3. What method should be used for calculating membership fees?

36 first breakout session EXPECTATIONS TOWARDS A PENSION TRACKING SERVICE Every European Group discussion crossborder on elements worker in the business plan needs to have a quick insight in his pension situation. It is our ambition second breakout session to make that happen. COSTS AND GOVERNANCE Group discussion on basic principles in the business plan

37 FEEDBACK FROM BREAKOUT SESSIONS Every European crossborder worker Panel debate needs to have a quick insight in his Valdis Zagorskis pension situation. It is our ambition Ann Verlinden to make that happen. Andrew Nugent Michael Rasch Titus Sips (moderator)

38 Every European crossborder worker WRAPPING UP TODAY, needs to have a quick insight in his pension situation. It is our ambition STEPS FOR TOMORROW to make that happen. Eric van Elburg & Peter Melchior

39 Every European crossborder worker needs to have a quick insight in his pension situation. It is our ambition to make that happen.

40 THANKS FOR BEING HERE WITH US TODAY!