Address Infrastructure: For the benefit of all – Danish experiences

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 – [email protected]

2Global Addressing Conference UPU, Berne, 26.-27. October 2015

Overview

Super short Background

Three Case Studies

Conclusion


History


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


1967197519992003

CaseImprovement of unambiguousness in

road names and addresses(2000-2007)

7Global Addressing Conference

Illustration: Finn Jørsbo

Some road names were not unambiguous within the post code

The problem (2000):



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


Approx. 1000 road name conflicts mapped and listed

Volume of the Problem


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


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)


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


Change conflicting road names or

change post code boundaries

The business case


= 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


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)


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


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


National police

Post Danmark

Ambulance services

Public transport

Emergency call centers

The solution


Make address data free of chargefor

commercial and non-commercial use

2003-2005: Free-of-Charge Agreement


Press release:

“From January 1st 2013, the government,

the counties and the municipalities have

agreed …”

Direct impact of agreement


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


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


= 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


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)

27Global Addressing Conference

The problem (2012):


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


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


Improve address coverage, data quality and timeliness.

Improve data infrastructure and -services

Improved address coverage 2015:Vigsø Holliday Centre, Hanstholm, Jutland

Full Cover


Full Cover


Improved address coverage 2015:Gentofte Hospital, Copenhagen

Address as a Service


High quality, current and open address data and web services

Instant Address Data


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!


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


= 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


23 Mill. US$/year

Learning


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


Our perspective: Every citizen and business entity has access to a authentic copy of the official address information


DemocracyTransparency

Good governance

Security

Money tree

… but itis also a

Good addressing is …

Address Infrastructure: For the benefit of all – Danish experiences

Government & Nonprofit

Transcript of Address Infrastructure: For the benefit of all – Danish experiences