Big Data for Subsidy Mechanism

1. JITENDRA KUMAR M Sc(Statistics), D Phil Department of Statistics, Central University of Rajasthan, Bandarsindri, Kishangarh, District: Ajmer, Rajasthan-305801 Website: www.curaj.ac.in Email: vjitendrav@gmail.com (P); jitendravkarma@curaj.ac.in (O) Big Data for Subsidy Mechanism IAOS2014 Big Data for Subsidy Mechanism

2. Introduction • India is committed to the welfare and development of its people of vulnerable sections as per Directive Principles of State Policy, Fundamental Rights and specific sections, viz., Articles 38, 39 and 46 in the Constitution of India. • India is diverse country but to maintain the diversities in respect to social and economical differences are main concern of the government. • After the independence government has started series of welfare programmes with the intention to integrate economic, social, institutional culture of the society but we are struggling to see the expected results in this. IAOS2014 Big Data for Subsidy Mechanism

3. Continue... • Therefore in due course, there is an urgent need to review the procedure facts of mechanism involved in the distribution and planning of the subsidy and welfare schemes with the objective of up-liftment of weaker sections of the society . • From the beginning of human history, population divided in to two groups: A: one can afford their liability B: others who cannot. IAOS2014 Big Data for Subsidy Mechanism

4. Continue... • Government of India is always concern about the need of common peoples in shaping their happiness and plan several schemes to help them. • Government has anticipated the process of governance to show the way to decrease social and economic inequalities and all constitutional and statutory agencies assigned to protect the entitlements of all marginalised groups. • This is right time to identify to discuss the procedure facts and also evaluate the existing system by the way system should be in position to answer the quarries of the concern which is pre assumed that its state duty. IAOS2014 Big Data for Subsidy Mechanism

5. Continue........ • In practice it is in the present system but the justification are completely through administrative procedure. • Success of the scheme can not to concluded only on the performance of the scheme. It is also depending on planning, implementation and evaluation. • Present era is information era where everyone is full of knowledge about their friends, society and leaders visa-versa. IAOS2014 Big Data for Subsidy Mechanism

6. Continue...... • This is right time to have the governance of state activities through data driven methodology. • It is proven administrative culture that benefits of welfare schemes like subsidy can be maximised only when the distribution of schemes are transparent, well targeted, and suitably designed for effective implementation without any leakages. • This can be realized only through data driven decision process. • Big data can be best option for this. IAOS2014 Big Data for Subsidy Mechanism

7. BigData Big Data refers to datasets whose size is beyond the ability of typical database software tools to capture, store, manage, and analyze. How big size of the data should be considered as big data Physical, Economical IAOS2014 Big Data for Subsidy Mechanism

8. There are few factors that contribute towards data being big… The various sources from where the data of varied genre is hitting the system Huge data chunks coming from various sources VELOCITY VARIETY VALUE VOLUME WhichMAKESDATA‘BIG’?? Data being gathered at an enormous speed- pet bytes of data coming in per minute Valuable data is always allowed into the system or even to assess value it holds IAOS2014 Big Data for Subsidy Mechanism

9. Continue………. • There are lot of information related to nature, science, human and individuals profile. One can not assume its volume. • At a click, we get a lot of words, figures about the search. • There is no theory or science which can please us with the raw form. • We have to structure it and start smiling. • Now the information about the individuals are at one click, Some are generously accessible, some are on demand and some after the administrative approval. IAOS2014 Big Data for Subsidy Mechanism

10. Continue…. • Government/organizations have option to click and which have look for everything. • Through the government, non-government, data are collected for different purpose. we can explore possible analysis about the profile of individual/families/groups for implementation of subsidy mechanism. • This is right time to explore the source of information from the respective areas which is as big as we can think. IAOS2014 Big Data for Subsidy Mechanism

11. Big data Creates Values IAOS2014 Big Data for Subsidy Mechanism

12. Background of Study • India is a welfare state and bearing several social responsibilities by respective mean like providing financial support to educate the people, provide the financial support to the weaker section of the society by multiple means. • Most important acceptable way of social service in throughout the world to help majority of the needy peoples is subsidy. • Existing mechanism of subsidy is formulated with certain objectives and not fulfilling the willingness of a large group of common people and also facing the duplication, corruption diversion of funds etc. IAOS2014 Big Data for Subsidy Mechanism

13. Background of Study • Present era named as information era and there is an urgent need to explore the possibilities of subsidy governance. • After the intervention of IT existing governance system may be regulated through data driven techniques using the various information are available in various format and structures considering the individual, location and economic identity of the beneficiary. • We may use the platform of Big data and this right time to do it. IAOS2014 Big Data for Subsidy Mechanism

14. Classification of Subsidy IAOS2014 Big Data for Subsidy Mechanism

15. Proposed Mechanism • Existing mechanism for distributing of welfare schemes like subsidy from government sources, major hurdles initiated at policy level where everyone is talking about the benefits of respective section but no one is sharing the information in respect to eligibility of beneficiary or success of the scheme. • In recent days there is satisfactory increase on awareness about the government schemes only for those who belongs higher income group or who are social and politically strong. IAOS2014 Big Data for Subsidy Mechanism

16. Continue…….. • There is still a group, who are not aware about their right due to their backwardness on education and fears imposed by local political culture in their mindset. • This is right time for our researches and government to take-care the procedural lacuna and come forward with solutions which will be self guided and transparent. • There is an urgent need of policy reengineering through data driven techniques. IAOS2014 Big Data for Subsidy Mechanism

17. Continue...... • Subsidy schemes will be governed through data driven techniques, where at the planning time of schemes, whole population will be analyzed with the available information and then segment the most disadvantages group in respect to targeted variable. • This will be very critical issue and the marginalized section never be with the majority and also be identified from the all sections of the society based on demographic, geographical, family, wealth and health, parents education etc. IAOS2014 Big Data for Subsidy Mechanism

18. Continue...... • All sections of society will be identified and then existing scheme, which can help to the identified section also be identified and according benefits will be transferred to the beneficiary. • Second, monitoring and renewal of schemes as per social and political thoughts, include collective performance analysis with transparent manner and also with well administered system of evaluation of beneficiary and scheme. IAOS2014 Big Data for Subsidy Mechanism

19. Continue..... • This need that some critical issues of entire mechanism should be addressed in four steps: • Know your beneficiary • Self monitored registration and transparent implementation • Performance of Welfare Schemes: • Renewal of the policy IAOS2014 Big Data for Subsidy Mechanism

20. Know Your Beneficiary(KYB) Individual Know the eligibility of beneficiary Government Government / Non Government data Source IAOS2014 Big Data for Subsidy Mechanism

21. What is KYB? Registration Government Individual Variables of KYB Name Social Category Income Region IAOS2014 Big Data for Subsidy Mechanism

22. Information are required for the subsidy/ Welfare Scheme IAOS2014 Big Data for Subsidy Mechanism

23. Self monitored registration and transparent implementation • Existing welfare schemes are mainly planned with specific subjectively and there are too much intervention of officers. • They are managing the welfare schemes in autocratic manner with the objectives of democratic definition. • This may be implement through self monitored system under which beneficiary will request for benefits. • List of registered beneficiary with all associated information will be displayed to all for transparent administrative system with real time analysis of eligibility. IAOS2014 Big Data for Subsidy Mechanism

24. Performance of Welfare Schemes • This is most important issue which is rarely addressed by existing mechanism of the subsidy or welfare schemes. • At the time of planning, coverage and performance is more influenced by political ambitions of the ruling party. • These may be politically analysed but cannot be planned with the ambitions of some peoples and short term benefits because of it’s impact on next generation. • These should be formulated as a tool of society which could be in position to transfer the benefits to the targeted group and also timely renew to other group of society. IAOS2014 Big Data for Subsidy Mechanism

25. Renewal of the policy • Any institution cannot survive on one way expenditure and government is an institution framed by a well defined constitutional system. • If the additional expenditure of government like subsidy and other welfare schemes will continue, definitely one day government may not be in position to help the concern due to the lack of money, so there will be fair renewal procedure. IAOS2014 Big Data for Subsidy Mechanism

26. Continue..... • Targeted group can be evaluated with the following objectives: • Beneficiary need more time to uplift himself/herself • S/He made honest efforts to come out from the situation • Here person person who improve himself should be awarded as best performer of the domain. • By these objectives renewal of scheme must be implemented to develop two way subsidy mechanisms. IAOS2014 Big Data for Subsidy Mechanism

27. Work Plan Timeline Phase 1 Phase 2 Phase 3 Phase 4 Data Collection Planning & Evaluation of WS Modeling & Analysis Distribution & Renewal • Distribution of Benefits • Scoring of Success of Individual & Scheme • Future need • Census • Population Register • Local body • Self Declaration • Planning of scheme • Target group of subsdiy • Justification of Existing Policy • Model the data • Segregation of Population • Demand of Sheme at Unit Level Activities Identification of most eligible group Most eligible beneficiary • Transparent and democratic allocation Performance indicator Outcomes IAOS2014 Big Data for Subsidy Mechanism

28. Proposed Quantitative Approach of Subsidy The whole population is divided into to two group, who is eligible to belongs in targeted group and who do not. Then allocate the position of selected individual position in the group in respect to the variables under welfare scheme and fit the distribution and estimated the parameters accordingly. C µ IAOS2014 Big Data for Subsidy Mechanism

29. Strengths Weakness Shift only on beneficiary group Progress on Beneficiary but decline on other. Impact Analysis Opportunity Threat Shift of Whole Group No shift on both groups IAOS2014 Big Data for Subsidy Mechanism

30. Hurdles with the proposed mechanism IAOS2014 Big Data for Subsidy Mechanism

31. Benefits of Proposed Mechanism IAOS2014 Big Data for Subsidy Mechanism

32. Quarries Please IAOS2014 Big Data for Subsidy Mechanism

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