IT architect on why housing and utilities today is a platform for the development of the digital sector

Vitaly Pustovoytenko is one of the creators of the city services “SmartCity” and the founder of the start-up project eknot.me. Journalist Dilara Aronova spoke with him about how to make a city smart and why digitalization is better than neighbors’ chats on WhatsApp.Vitaly, what does the Center for Sustainable Development of the Capital, where you work, do?We have four areas of activity. The first is the creation of mobile applications in the “SmartCity” series (operating in Nur-Sultan, Kostanay, Kyzylorda, Taldykorgan, Aktau, Uralsk, Kokshetau, Shymkent, Semey, and Ust-Kamenogorsk). For this project, we received the award “Best IT Solution for the City” at the international forum on digitalization “Digital Almaty”: The Digital Future of the Global Economy. The second is electronic housing and utilities services, which we have spun off into a separate project, eknot.me. The third is Big Data. The fourth is helping domestic universities implement digitalization into their processes.[caption id="attachment_201" align="alignnone" width="352"] Vitaly Pustovoytenko, Image source: Stopfake.kz[/caption] Are the “SmartCity” applications the same for each region, or do they have their own features?The functionality is basic — government and private city services, interaction between citizens and the authorities. However, there is specific functionality in some regions. For example, in Shymkent, they decided to fully link transport cards with the application. There is no point for a person to order a plastic card, go somewhere to pick it up, and spend time on it. They can issue an electronic card directly in the application and use it from their phone. And if they do have a physical card, it can be easily linked to the application. Just like with the electronic one, the history of trips and payments will be available.[caption id="attachment_202" align="alignnone" width="512"] Smart Astana, Image source: inbusiness.kz [/caption] The application can also be used to track bus movements. But sometimes people complain about incorrect operation. What could this be related to?Our application is an aggregator. If we do not receive certain data from the “other side,” then you will not see them in “SmartCity.” In December, we plan to launch two alternative data transmission channels in cities where such problems occur. The launch of online displays for each stop is also underway. Previously, one had to open the general list of routes, find the necessary one, and see when the bus would arrive in your direction. Now, it is enough to scan the QR code of this stop to find out which buses circulate around it and when the one you need will arrive. The application works well with cartographic data. Some regions used this function to track people under home quarantine during the pandemic.How effective was this measure?I am not allowed to disclose figures, but I can say that it allowed us to track both residents' compliance with quarantine and the effectiveness of the work of local services. How promptly they responded to violations. Of course, there were glitches. The application is designed for a city. And if a resident of a suburban private sector turned on the “I am on quarantine” function, their exit to their own yard could be interpreted by the application as a violation. Services responded, and people were worried. We made a clarification for rural areas. Of course, nothing will stop someone who wants to violate the rules, and they will find a way to bypass this control. But for those who took their quarantine responsibly, our service disciplined them. Because it helped not only to control themselves but also to see analytics on everyone who turned on this function. For example, the map showed which district had more people on quarantine, and one could conditionally conclude that this house was an infection hotspot.[caption id="attachment_203" align="alignnone" width="512"] Quarantine, Image source: newtimes.kz[/caption] Control over houses is one of your major projects. What does Eknot.me do?The transition of houses from Housing Construction Cooperatives (HCC) to Homeowners' Associations (HOA) created a need for new products. Eknot.me is the same community, but electronic. A digital node that orbits a large pool of services from our partners. This includes conducting moderation of meetings and online voting by owners, providing accounting services for HOAs, as well as legal services and platforms. By signing a contract with Eknot.me, an HOA gets the opportunity to hold meetings on our platform via video conferencing, put issues up for discussion, vote online, send out mailings, and properly maintain accounting.[caption id="attachment_204" align="alignnone" width="512"] WhatsApp, Image source: wasapeamos.com[/caption] In essence, this is structuring the unorganized discussions of neighbors in WhatsApp chats?Ideally, we would like to reach exactly that. So that all issues concerning the house are discussed on the platform. In the messenger, everything gets lost and it is difficult to understand who said what regarding which issue. Here, each issue is put up for discussion, registered, and definitely will not get lost. For example, three issues — landscaping the playground, insulating the courtyard, and paying for intercom services. All applications are submitted to the dispatcher, where you can track the status of their execution. Since the execution is carried out by the people themselves, the platform allows them to control themselves and not let the issue slide. This system is for those who want to optimize their work and save money. For example, you can hire an accountant for the HOA staff. But does he know which reports need to be submitted? We conducted analytics. There are cases where HOA accountants submit tax reports using form No. 910, although they should use No. 200. The services of an accountant through the service may cost a 50-apartment building 10 thousand tenge per month. Such prices are not available on the market. But with us, it is possible. Because the accountant serves several HOAs across the country. And the cost of his services can be divided among them. In addition, accounting is kept in a licensed version of accounting software, accountable to all residents.How many HOAs have already used your services?I will tell you about our sales funnel. We conducted 250 online meetings where we talked about all the advantages of working with the platform. As of today, 30 HOAs from all over Kazakhstan have registered. Seven of them have connected to accounting. Eight have already held their first online votes. Some are in the stage of concluding contracts. We can already say that tax deductions from HOAs have increased.How do you work with Big Data?Based on open data and that provided to us by the government agency that ordered the analytics. In addition, we connect our own mechanisms. For example, analysis of classifieds portals. Thus, it is possible to adjust training programs for colleges and universities and identify in-demand specialties. The system analyzes job vacancies, breaking them down into skills and abilities needed by employers. It becomes clear that, for example, in this region, specialists in the machinery industry or programmers with knowledge of Python will be in demand in the coming years. This allows the education system to be close to the market. The development of Big Data in government management will allow reforming, for example, state statistics. The number of statistical reporting forms can be significantly reduced. And instead of them, data will be formed based on big data.All your projects involve specialists from different regions. How do you make the selection?Even when we launched “SmartCity,” we got acquainted with the local community. We looked at who works actively and how we can be useful to each other. We managed to find interesting solutions. The cost of some services in the regions is lower, so our consumer can receive them at a favorable price. And since there are many consumers (because the project operates throughout the country), the total cost of a specialist's services becomes very competitive. We are building an eco-system and creating a pool of partners. We strengthen each other. And even give an impulse for the development of regions by creating new jobs. Housing and utilities is exactly the sphere that can give synergy to all people involved in its development. Therefore, this is a very interesting experience. And I think we have not yet revealed all its facets.