MCA IT Roadmap April 2018

Roadmap for next version
of MCA21
Ministry of Corporate Affairs
April 2018
Contents
1 Preface
2 MCA21: Journey so far
3 Formulating IT strategy framework
4 IT Strategy governing principles
5 System architecture
6 IT operating model
7 Emerging technologies
8 Risk management
9 IT roadmap
10 Critical success factors
11 References
Roadmap for next version of MCA21
List of figures
Chapter Figure Name Page No.
1 1.1 Approach to IT strategy 8
2 2.1 EoDB Ranking 12
3.1 IT Strategy Framework 14
3 3.2 IT Framework Pillars 16
3.3 Global and domestic IT trends 21
5.1 MCA21 system architecture 28
5.2 Integration stakeholder analysis 29

5
5.3 Application architecture 31
5.4 MCA21 module functionalities 32
6.1 Organization structure 35

6
6.2 Governance structure 36
9.1 MCA21 initiatives 47

8
9.2 Quick Wins 48
Page No. 3
List of tables
Chapter Figure Name Page No.
3.1 MCA processes 17

3
3.2 MCA stakeholders 18
5.1 Architecture principles 27
5 5.2 Types of users 30
5.3 Types of access channels 30
Page No. 4
List of abbreviations
Related to Organizations/ Stakeholders
Department of Industrial
1. Central Registration Centre CRC 15. DIPP
Policy & Promotion
Central Bureau of e-Gov.

2. CBI 16. e-Governance Cell
Investigation Cell
Corporate Data Insolvency and Bankruptcy

3. CDMO 17. IBBI
Management Office Board of India
Insurance Regulatory and

Indian Corporate Law
4. Development Authority of IRDAI 18. ICLSA
Services Academy
India
Investor Education and Institute of Company

5. IEPFA 19. ICSI
Protection Fund Authority Secretaries of India
Indian Institute of Corporate

6. IICA 20. Income Tax Department CBDT
Affairs
Institute of Chartered Ministry of Corporate Affairs –

7. ICAI 21. MCA - HQ
Accountants of India Head Quarters
Ministry of Corporate Affairs –

8. Infosys Limited Infosys 22. DIN Cell
DIN Cell
National Company Law

9. Ministry of Corporate Affairs MCA 23. NCLT
Tribunal
National Institute for Smart National Financial Reporting

10. NISG 24. NFRA
Government Authority
National Company Law

11. NCLAT 25. Official Liquidator OL
Appellate Tribunal
12. Registrar of Companies RoC 26. Regional Director RD
Securities and Exchange

13. Reserve Bank of India RBI 27. SEBI
Board of India
Serious Fraud Investigation Telecom Regulatory Authority

14. SFIO 28. TRAI
Office of India
Page No. 5
List of abbreviations
Related to MCA21
1. Articles of Association AoA 18. Authorizing Officer AO
2. Branch Office/Back Office BO 19. Certificate of Incorporation COI
3. Company Identification CIN 20. Certified Filing Centers CFC
Number
4. The Companies Act, 2013 CA 2013 21. Digital Signature Certificate DSC
5. Director Identification Number DIN 22. Designated Partner DPIN
Identification Number
6. Enterprise Management EMS 23. eXtensible Business Reporting XBRL
System Language
7. Foreign Company FC 24. Front Office FO
8. Foreign Limited Liability FLLP 25. Ease of Doing Business EoDB
Partnership
9 The Insolvency and IBC, 2016 26. Hardware H/w
Bankruptcy Code, 2016
10. Investor Education and IEPF 27. Information Technology IT
Protection Fund
11. Joint Director JD 28. Information and ICT
Communications Technology
12. Liaison Office LO 29. The Limited Liability Partnership LLP Act
Act, 2008
13. Limited Liability Partnership LLP 30. Limited Liability Partnership LLPIN
Identification Number
14. Project Management Unit PMU 31. Memorandum of Association MoA
15. Permanent Account Number PAN 32. Project Office PO
16. Special Purpose Vehicle SPV 33. Straight Through Process STP
17. Tax Deduction and Collection TAN 34. Service Level Agreement SLA
Account Number
Page No. 6
Chapter 1: Preface
Ministry of Corporate Affairs (MCA) is responsible for the governance and formulation of
regulatory and administrative framework for corporates in India. The prime objective of MCA
is to ensure alignment and contribution of corporates towards the national development
agenda of the Government of India. The Ministry envisions to “be a facilitator of world class
governance of corporates”.
MCA implemented MCA21 version 1 in 2006 to automate the manual processes carried out at
MCA offices. The current version of MCA21 version 2 has matured and stabilized since its
implementation in 2013. Challenges like slow response time, low integration with other
Government departments etc. are still associated with the system. To address the current
challenges and create a better and more effective system, MCA visioned for the creation of a
comprehensive IT roadmap. This IT roadmap envisions to:
• Align MCA 21 with global standards
• Capability development for best in class service delivery
• Leverage emerging technologies
• Enhance service delivery and user experience by reduction of system response time
• Upgrade underlying technology and infrastructure
For formulating the roadmap, an in-depth assessment of current MCA requirements was
performed. This included - a high level assessment/gap-analysis of MCA 21 portal in terms of
planned vs. achieved objectives, assessment and documentation of current challenges and
business needs, and analysis of global technology trends. For ensuring the development of a
holistic roadmap, a stakeholder centric approach was adopted to execute the above
mentioned exercises. MCA senior officials provided key insights and guiding principles for the
design principles and critical objectives of the next version of MCA21 .
The diagram below provides the approach followed while designing the IT strategy
framework.
MCA’s strategy
document
Strategic inputs were
taken from MCA's
strategy document and
its growing business
needs
Business needs Initiatives Draft roadmap
Current state document
assessment
Based on the current The future state Based on the input
The current status of state assessment, vision and to be received from MCA
applications, gaps and opportunities architecture during workshops,
infrastructure, security were identified which along with the meetings and
and processes was frame the strategy required discussions, the draft
assessed framework initiatives to deliverable
meet the is prepared and
Trends and leading objectives of submitted to MCA for
practices MCA has been review
identified
Latest trends in IT,
corporate administration
authorities across the
world were taken into
account
Fig. 1.1 : Approach to IT strategy
Page No. 8
Initially the internal and external stakeholders of MCA were identified. Their expectations from
MCA21 and the existing issues or scenarios being faced were consolidated. On documenting
and establishing stakeholder expectations, the efforts were channelized towards developing
business needs for the next version of MCA21. Accordingly, a secondary research on global
trends and practices were carried out to identify key areas of improvement for MCA21.
Brainstorming sessions with stakeholders were conducted for defining the To-Be state and
identifying the IT initiatives for MCA. The exercise was aimed to capture all critical business
processes and requirements in the IT strategy framework in consultation with all stakeholders
as a first step towards achieving the vision of MCA.
In order to leverage IT for inducing a major transformation, an IT strategy framework was

constructed for laying the foundation for the next version of MCA21. This framework was
defined based on the strategic inputs and directions received from MCA. MCA's IT strategy
framework was defined This addresses the changes envisaged in the quantum leap and
incremental transition from MCA21 version 2 to version 3. Further as part of the framework,
the system architecture and the IT operating model was defined. Key emerging technologies
and digital trends were identified to be leveraged for MCA21 system to further smoothen the
processes and services offering to corporates and within MCA. The roadmap defines MCA's
short-term and long term IT initiatives. Designing the IT framework will significantly improve
the efficiency and transparency in service delivery and disseminating corporate data to
public.
The IT roadmap defined for MCA is ambitious but realistic. This will definitely provide
directional support to MCA to achieve its vision and also improve India’s EoDB rank. It is
expected that combined efforts may be required from both internal and external stakeholders
to make revamping MCA21 a success. It is recommended to have periodic reviews of this
roadmap for next version of MCA21 to ensure that the defined IT initiatives are kept relevant
in response to changes in operational and technical environment.
Page No. 9
Chapter 2: MCA21: Journey so far
Ministry of Corporate Affairs (MCA) is a governing body looking after the regulatory and
administrative framework for corporates with a motive to make them effective contributors to
the national development agenda. The Ministry is primarily concerned with administration of the
Companies Act 2013, the Companies Act 1956, the Limited Liability Partnership Act, 2008 &
other allied Acts and rules & regulations framed there-under mainly for regulating the
functioning of the corporate sector in accordance with law.
The Ministry is also responsible for administering the Competition Act, 2002 to prevent
practices having adverse effect on competition, to promote and sustain competition in markets,
to protect the interests of consumers through the commission set up under the Act. Besides, it
exercises supervision over the three professional bodies, namely, Institute of Chartered
Accountants of India(ICAI), Institute of Company Secretaries of India(ICSI) and the Institute of
Cost Accountants of India (ICAI) which are constituted under three separate Acts of the
Parliament for proper and orderly growth of the professions concerned.
The Ministry also carries out the functions of the Central Government relating to administration
of Partnership Act, 1932, the Companies (Donations to National Funds) Act, 1951 and Societies
Registration Act, 1980.
The need for a robust, automated system was perceived for enabling MCA carry out its
functions effectively. With ever increasing corporates and the increasing footprint of digital, the
challenges faced by MCA also increased. These include - requirement of physical presence,
limited payment options, limited access points, long queues at ROCs, manual record room
maintenance and paper based transactions. The implementation of an automated IT system
would address and provide a solution to all the mentioned issues .
MCA implemented MCA21 version 1 in 2006 to automate the manual processes carried out at
MCA offices which in turn would address the issues as mentioned above. Key achievements of
the V1 system included:
• Procedural uniformity across all offices
• Speed and certainty of service delivery, with ease of access
• Transparency
• Establishment of a dependable data for effective compliance management
• Platform for further processes refinement
• Empowerment of the citizen/investor
MCA21 system won many prestigious awards such as the National e-Governance Award
(2007) and Prime Ministers Award for excellence (2007) for envisaging such a system. Over
the years of using the system, MCA faced the following challenges:
1. No Straight-thru Processing 6. Sub-optimal User Experience
2. Lack of configurability 7. Lack of collaboration features
3. Technology obsolesce 8. Redundant reports
4. Data Integrity Issues
5. Temporary recovery scripts
In 2013, MCA21 version 2 was implemented with improved functionalities across all MCA
offices in India. The key differentiators of the v2 system are listed below:
1. Seamless STP workflow 6. Enable 360 degree view
2. Configurable Design 7. Enhanced user experience
3. New Architecture Platform 8. Personalized dashboards
4. Data Integrity 9. Optimized reports.
5. Standard programs.
Page No. 11
In the World Bank’s Ease of Doing Business index 2018 for 190 countries, India jumped 30
places to fix a spot in the list of top 100 nations. Thereby making India the fifth best
performing nation across the globe in reforming business environment. Substantial reforms
were made by the Government in the ten parameters as shown in the graph below:
Fig. 2.1: EoDB ranking
India has to further take certain necessary steps towards improving its EoDB ranking. In
this regard, the Indian Government has already started proposing major reforms to the
various ministries. One of the ministries responsible for this, is Ministry of Corporate
Affairs (MCA). MCA is accountable for enhancing 3 out of 10 indicators namely –
• Protecting minority investors
• Starting a business
• Resolving insolvency
For instance in the parameter starting a new business, MCA has taken the initiative in the
current version of MCA21, of merging the company incorporation application with that of
PAN and TAN application with CBDT.
Although MCA21 has matured over its course of implementation, it still faces challenges
such as low integration with other stakeholders for increased transparency, system/ data
vulnerability, technology obsolescence, shortage of skilled manpower resources,
unscrupulous business practices etc. To curb the current challenges, MCA21 v3 system
was envisaged which would be based on a strong IT strategy framework. This document
will provide the roadmap for the MCA21 version 3 for a period of next 10 years.
Page No. 12
Chapter 3: Formulating IT strategy
framework
To be able to comprehensively cover all aspects of IT, existing industry standard IT

frameworks including The Open Group Architecture Framework [TOGAF®], ITIL, COBIT5
etc. along with the inputs from the frameworks for some developed countries like New
Zealand and Singapore were evaluated. The Singapore e-Government framework was
guided by a vision to delight customers and connect citizens through infocomm. New
Zealand Government ICT Strategy 2015 was developed to offer several emerging game-
changing trends, that provided new opportunities to support better public services and
agency transformation agendas by putting citizens and businesses at the centre of design
and delivery of digital services. These inputs laid the foundation for designing a customized
IT Strategy Framework for the next version of MCA21.
The IT Strategy also takes strategic directions from MCA strategy document 2017 - vision
and mission, inputs from the current state assessment carried out at MCA, business needs
identified and the global trends and practices.
The diagram below is the IT Strategy framework designed for MCA21 next version.
Strategic input and directions
Trends and
MCA strategy Current state Business needs
practices
Fig. 3.1 : Strategic inputs

and directions
IT strategy governing principles
Architecture principles IT Operating model
Organization Governance
Structure structure
System architecture Service delivery Sourcing
model model
IT Policies and Processes
Emerging Technologies
Risk Management
IT Roadmap
Fig. 3.1 : IT Strategy framework
Page No. 14
In this chapter, a detailed description of the strategic input and directions which laid the
foundation for formulating the IT strategy framework for MCA are captured. The chapter is
based on the MCA’s strategy document 2017, inputs gathered during the current state
assessment at MCA, the business needs identified during discussions with various user
groups and stake holders and the national as well as international leading trends and
practices.
3.1 MCA strategy

To understand MCA’s current strategy a deep dive into their current strategy document
published in 2017 was conducted. the document identifies the key strategic actions
needed to be taken for building a relationship of trust among stakeholders. The stake
holders include the government, companies, professionals, citizens and society at large.
The document clearly identifies the MCA’s vision:
“To be a facilitator of world class governance of

corporates.”
The document also defines the MCA’s e-Governance vision as:
“MCA21 offers automation of business processes

leading to efficiency, transparency, 24X7 availability
of e-services with speed and certainty”
There are four strategic themes defined in the MCA strategy document:
1. Policy initiatives
2. Regulatory framework
3. e-Governance
4. Institutional capacity building
The e-Governance Action plan for 3 and 7 years are as below
3 years 7 years
• Convergence of Corporate Data

• Development of enforcement module Management (CDM) with MCA 21
• Development of Official Liquidator • Redesigning MCA 21 architecture
module • Integration of early warning system
• Integration with Aadhar for e-KYC with MCA21
• Integration of MCA 21 with CBDT for • Real time data sharing with CBDT,
allotment of PAN at the time of IBBI, RBI etc.
incorporation • Strengthening of enforcement module
This IT strategy document will be an extension to the “e-Governance” strategic theme.
Page No. 15
3.2 Current assessment

A comprehensive As-Is assessment was done to understand the functioning of the
departments, operational and organizational hierarchy, roles & responsibilities, services
provided, issues/challenges faced, priority areas, IT infrastructure availability etc. The current
assessment study focussed on three pillars (People, Process and Technology) to study all the
major aspects of MCA21.
Major pillars for current

assessment phase
People Process Technology

Organization Approach ICT landscape
structure for followed for the and architecture
manpower major services including the
profiling provided by system
mapping their MCA to the architecture for
skills and various the next version
competencies stakeholders of MCA21
internally and
externally
IT Strategy framework pillars
Fig. 3.2 : IT framework pillars
In this phase, current state information was gathered regarding processes, technology and
people in discussion with various stakeholders from different offices of MCA like RoCs, RDs,
OLs, CRC, NCLT etc. the information received was analysed for identifying the challenges in
the current state of MCA21. The data collection methods adopted during the execution of this
phase were:
• Personal interviews
• Stakeholder workshop
• Questionnaires
• Video calls/conference calls
The As-Is study could be categorized in four key activities:
A. Identification and categorization of the processes

B. Stakeholder identification
C. Understanding current technology landscape
D. Feedback of the current MCA21 system through questionnaires
E. Identification of key challenges
Page No. 16
These are have been discussed in detail as follows:
A. The identification and categorization of the processes was done conceptually by first listing
down all the major services provided to the business users on the MCA21 system. The
table below represents the list of key processes grouped into the seven major categories:
Main Process Category Sub Process

A.1. STP Form A.1.1. Processing of STP Form
A. Processing of form A.2.1. Processing of Non STP
A.2. Non STP Form
Form
B.1.1 Allotment of DIN
B. DIN Services B.1. DIN Services
B.1.2 DIN surrender
C.1. Company/LLP related
C.1.1 Reserve name
services
C. Incorporation C.2. Company related services C.2.1 Incorporation
C.3. LLP related services C.3.1 Incorporation
C.4. Foreign company/ LLP C.4.1 Registration
D.1.1 Annual filing of
D.1. Annual Filing
companies/LLP/FC
D.2.1. Change in company/ LLP/
D.2. Change services
FC particulars
D. Execution D.3.1. Event / compliance based
D.3. Event based Filing
filing for company/LLP/ FC
D.4.1. Approval from HQ
D.4. Approval services D.4.2. Approval from RD
D.4.3. Approval from RoC
E.1. Liquidation E.1.1. Liquidation of company/ LLP
E. Closure E.2. Strike off E.2.1. Strike off of company/ LLP
E.3. Closure of FC E.3.1. Closure of FC
F.1.1. Update of master data &
F.1. Master data services
Signatory Details
F. Informational Services
F.2.1. Certified copies
F.2. Document related services
F.2.2. View public documents
G.1. Payment related services G.1.1. Refund of fee
G.2.1. Complaint handling for
Investor/serious complaints
G. Other services
G.2. Complaint services G.2.2. Technical complaints
G.2.3. Inspection and investigation
G.2.4. Court cases management
Table. 3.1 : MCA processes
Page No. 17
B. MCA has a large and complex ecosystem of stakeholders directly or indirectly availing the
services of MCA. The correct stakeholder mapping is important to perform an assessment
of their expectations from the next version of the MCA21 and capture the challenges faced
by them in carrying out their day to day operations. Therefore, a detailed stakeholder
analysis was carried out which contributed in establishing, designing and building their
relationship with MCA21 system. The major stakeholders covered during the study of
current state for understanding the processes and challenges faced by them are as follows:
S. No. Name of Stakeholder S. No. Name of Stakeholder

MCA Departments
1. Registrar of Companies 7. Regional Director
2. Central Registration Centre 8. Official Liquidator
Investor Education and Protection Fund
3. MCA – DIN Cell 9.
Authority
4. Serious Fraud Investigation Office 10. e-Governance Cell
Indian Corporate Law Services
5. 11. Project Management Unit
Academy
6. Cost Audit Branch
Independent Subsidiaries of MCA
12. National Company Law Tribunal 16. National Company Law Appellate Tribunal
Insolvency and Bankruptcy Board of
13. 17. Corporate Data Management Office
India
Professional institutes – ICSI, ICAI,
14. 18. Competition Commission of India
ICMA
15. Competition Appellate Tribunal
Other Stakeholders
Business/Registered Users such as
Director, Manager/Secretary, Other
19. 23. Central Board of Excise & Custom
Company Users, Practicing
Professionals
20. Reserve Bank of India 24. Courts
21. Sectoral regulators such as SEBI 25. Researchers & Analysts
22. CBI, Police department 26. Citizens
Table. 3.2 : MCA stakeholders
Page No. 18
C. The key focus of current assessment phase was to assess the current technology
applications landscape. This will help in understanding the current state of automation at
MCA in detail and identify the scope for improvement. Below diagram represents the current
state of automation for the processes covered in the current assessment study:
MCA core services
DIN Services Incorporation Execution Closure Informational Modules
Event based filing
Approval services
Document related
Change services
Allocation of DIN
Reserve name –
related services
Incorporation –
FC registration
Company/LLP
Company/LLP
DIN surrender
Closure of FC
Annual Filing
Enforcement
Prosecution
Master data
OL Module
Liquidation
Strike-off
services
module
module
Document Trainings Other Other Services
Reports
management Services
Complaint related
Change Request
related services
Documentation
Payment related
Dashboards
File tracking
Help Desk
Reporting
Trainings
Ticketing
services
services
Investor
DMS
D. To understand the current state of the MCA21 system across the organization, a
questionnaire was administered to all stakeholders within internal offices and external
stakeholders. Apart from this detailed discussions were held in various field offices of MCA.
The graph below summarizes the overall rating of the MCA21 system on the various
parameters in different areas i.e. Process, Technology, and People.
Meets No Poor, 1,
MCA 21 e- Expectatio Overall rating response, 6%
governance ns, 1, 4% for MCA21 1, 6%
implementation
No is in progress, 1,
response, 5%
4, 18%
Poor, 1,
5%
Meets Needs
expectations improvement
Needs , 8, 44% , 8, 44%
improve
ment, 15,
68%
Internal stakeholder External stakeholder
Page No. 19
E. Based on the study of the current assessment of the processes and services of MCA, the
following challenges were identified from the purview of both external and internal
stakeholders. These challenges are around the identified three pillars of Process, Technology
and People in relation to MCA21 system.
The key challenges currently faced by the internal users are as follows:
Manual processes
Low integration with other No real time data updation
pertaining to preparation of
stakeholders to have a and manual updation of
reports, RD approvals,
seamless two way flow of reports resulting in delays
change requests, hearings,
information and low reliability.
sending notices, etc.
Improper data Inappropriate training and

Data loss during migration
presentation in record room capacity building measures.
of portals and changes in
making it difficult to search Shortage of SMEs and staff
versions
specific documents. at MCA offices
Frequent application Certificate is generally No on line communication

unresponsiveness, outdated issued for establishing a or data exchange with other
hardware and low network business account with departments, authorities and
bandwidth Financial Institutions offices
The key challenges currently faced by the external users are as follows:
Inefficient help desk No standardisation of

Slow response time of
support and limited access manual processes and lack
system during peak filings
channels of status tracking mechanism
Cumbersome process of
No insightful information
downloading public
for foreign investors or for Delay in dispatch of
documents or obtaining
specific sectors or industry Orders
copies of documents filed
on MCA Portal
manually
Frequent delays in
No real time updation of
processing manual Ambiguous and incorrect
reports and FAQs available
applications and low resubmission remarks
on MCA portal
transparency
Page No. 20
3.3 Trends and practices
To proceed towards the achievement of MCA’s vision of becoming world class facilitator of
governance of corporates through administration of Companies Act, 2013 and other allied
statutes, it is imperative to identify the key global practices and trends that are adopted by
other countries leading the domain of Ease of Doing Business. Developing an understanding
of their adaptability in Indian legislative framework and government structure is crucial for
the success of defining the strategies to be incorporated for MCA21. In order to design IT
Strategy of MCA, the leading/ emerging global practices followed by Top 25 countries as per
the “Ease of Doing Business” (EODB) index established by the World Bank Group were also
studied. Further, in addition to the best global trends and practices, the functional structures,
functionalities and technologies successfully adopted by other Ministries and Departments in
India were studied and analysed. These exercises were conducted to help MCA in making it
easier to run a business without jeopardizing the intended goals of MCA’s legal framework.
The identified practices and trends assist MCA in leveraging industry proven technologies
and functionalities which are accepted globally, improve mechanism for ensuring data
integrity and enhance user experience.
Based on the secondary research of the national and international Governments, ideation on
the globally accepted trends and practices in relation to corporate governance and ease of
doing business was performed.
Fig. 3.3 : Global and domestic IT trends
Page No. 21
According to the study of the various functionalities being used in different Ministries in India,
certain functionalities were identified for MCA. For instance -
1. Ministry of External Affairs, CBDT, Courts, Ministry of Power has created a mobile app
for citizens which can also be introduced in MCA for front office users
2. CBDT introduced functionalities like chat-bots, e-hearings, social media analysis which can
be considered for deployment in MCA
3. Government of Andhra Pradesh and Courts have introduced e-Orders
Secondary research was also done on similar ministries in the top 25 countries according to the
EoDB rankings in the World Bank Report 2018. The list below shows certain globally accepted
functionalities to be adopted in MCA:
1. Data Sharing – Singapore, Georgia, Norway, United Kingdom, Australia, Germany, New
Zealand, Canada, France, Great Britain, Japan, Russia, Ireland, Denmark
2. Social Media - New Zealand, Singapore, Denmark, Norway, United Kingdom, United States
Estonia, Finland, Australia, Taiwan, Lithuania, Canada, Latvia, United Arab Emirates
3. Mobile Application – New Zealand, Singapore Hong Kong, Georgia United States, United
Kingdom, Australia, Germany, United Arab Emirates, Thailand, Malaysia, Bangladesh Ireland
4. Digital Mailbox – Denmark
5. Instant Incorporation – New Zealand
6. Live Chat – Singapore, Macedonia, United Arab Emirates, Mauritius
7. Call Back - United Arab Emirates, Macedonia
8. E-Appointment – Singapore
9. iXBRL – United Kingdom, United States
10. Skype screen sharing – New Zealand
11. Certificate of Good standing - United Kingdom, United States, Singapore
3.4 Business needs

Primarily, based on the current assessment carried out by conducting discussions with various
stakeholders across MCA, the gaps and issues identified were categorized into external and
internal stakeholder categories as shown below:
External stakeholders:
1. Lack of efficient helpdesk support
2. Response time of MCA21 is significantly slow usually around peak filings
3. Non - availability of updated information
4. Non – availability of tracking manual processes
5. Time taking process of receiving manually filed documents
Internal stakeholders:
1. Major scope for GPR in enhancing existing functionalities and introducing new functionalities
2. Automation of various manual process to the extent possible
3. Ability to exchange information with other Government departments over IT is absent
4. Less training and capacity building initiatives undertaken
5. Lack of analytical capabilities
In the following chapters of the document, the IT strategy framework are explained in detail.
Starting with the requirement of IT strategy governing principles, system architecture, the
organization structure leading to defining the IT roadmap for the next ten years.
Page No. 22
Chapter 4: IT strategy governing principles
Technology solutions acquired in the future will be based on open, standard market winning and
proven technologies. These solutions need to be highly reliable and continually available to
support a 24X7 operation for the next 10 years. A common standard operating environment will
be deployed across all the services of MCA to support a more efficient, simple and a
robust work environment. These solutions will support the needs of the MCA’s workforce and
external users, ensuring appropriate access to deliver stakeholder specific
requirements. The outcomes stated above have been adhered to and translated into specific
architectures principles as follows:
MCA and IT implementation stakeholders must have a common vision of

both its core functions and the role of technology for enhancing these core
Common Goal functions. They jointly have the responsibility for defining IT needs and
ensuring that the systems delivered by the development team provides the
projected benefits.
The technical architecture of MCA21 system must be driven by the core

MCA’s processes
processes of MCA. There must not be a deployment of technology for
drive technical
technology’s sake. Effective deployments are focused on the mission and
architecture
goals of the department
It should be ensured that the new information systems are implemented

only after the processes have been thoroughly analysed, simplified, or
Reengineer first otherwise redesigned. This avoids automation of flawed processes. Focus
to be on more streamlined, efficient, and cost effective work processes.
Automation of these processes will be easier to implement and maintain.
Design the system keeping open opportunities of integration with external

stakeholders such as NCLT, SEBI, CBDT etc. Components must be built
Design for sharing such that the common data getting generated is sharable from the
beginning. It is difficult and expensive to do so post implementation of the
whole system
The designed infrastructure should neither be of over capacity nor be of

under capacity. Effective sizing should be done at the beginning of the
Design for scale-up
implementation keeping in mind the growing scale of data and users for
MCA on a daily basis
Page No. 24
Priority should be given to products adhering to industry standards and

Use industry
open architecture. This provides ability to leverage the knowledge &
standards
efforts of others and the risk is also reduced.
Set the right results expectations among development staff and users/
Set realistic external stakeholders regarding quality, cost, and delivery time of new
expectations systems. Recognizing that trade-offs in these three attributes are critical to
realistically meeting the requirements.
The logical design of components, subsystems, application systems and

databases should be clearly partitioned. These partitions must have well-
Modular Designing defined interfaces established. Modular design is more adaptive to
changes in internal logic, platforms, and structures which will help MCA to
add more services over the period of 5 years.
The risk management process should involve the stakeholders at each

and every step of decision making. They should remain aware of even the
Risk Management
smallest decision made. It is further in the interest of the organization to
understand the role the stakeholders can play at each step
Applications and technology components should be implemented in such

a manner that performance measurement and quality assurance data may
Design for
be captured to support management and analysis of the IT environment.
performance and
The most effective use of systems can only occur if it is known when they
reliability metering
are approaching limits. Forecasts for upgrades for capacity or to cure
reliability issues can only come from regular monitoring.
Page No. 25
Chapter 5: System architecture
. Structure structure

model model
Risk Management
IT Roadmap
5.1 Architecture Principles

Architecture principles are the overarching set of guidelines and rules that form the basis of the
system architecture. These principles have been identified based on the analysis of business needs
and requirements emanated out of the discussion with the stakeholders, MCA strategy and global
trends and practices relevant for MCA. Architecture principles shall encompass both the aspects of
IT function:
 The management of the IT function
 The portfolio of IT Systems and services provided to support the functions on MCA
IT Management Principles IT Portfolio Principles

► Philosophy and direction for how we ► Philosophy and direction for how we
manage IT architect and develop systems and
► Address the three IT mega-processes: services
Develop IT Capabilities, Operate/Support ► Address architecture, technology and
IT Capabilities, Plan & Manage IT characteristics (e.g. supportability) of the
Capabilities IT portfolio
► Address roles/responsibilities at the
macro level (e.g. ownership)
These principles shall act as the founding guidelines for the next version of the MCA21 system and
have been categorized into architecture domains as depicted in the table below.
Classification Principle
Business principles (BP) BP 1: Business Continuity
BP 2: Maximising use/ accessibility
BP 3: Compliance with Statutory Obligations
BP 4: IT Responsibility
BP 5: involvement of all stakeholders
Application principles AP 1: Separation of concern
(AP) AP 2: Ease of use
Data principles (DP) DP 1: Data is an asset
DP 2: Data is shared
DP 3: Data is Accessible
DP 4: Data will be Analysable
Technology principles TP 1: Requirement- based change
(TP) TP 2: Control Technical Diversity
TP 3: Interoperability
Security principles (SP) SP 1: Policy-driven
SP 2: Open architecture: Multi-vendor and multi-protocol support
SP 3: Risk management and mitigation
Mobility principles (MP) MP 1: End Users’ Ease of Use
MP 2: Adaptable and interoperable with future technological parameters
Table. 5.1 : Architecture principles
Page No. 27
5.2 System Architecture

A key ‘ask’ that organizations seek, is a viable mechanism to collate and optimize various
fragmented processes that are being implemented in silos into an integrated environment that
adapts to change and supports the delivery of enterprise strategies. Effective management and
successful leveraging of IT is considered as one of the key factors to achieve a competitive
advantage. Architecture is defined as a fundamental structural mechanism, which embodies in
its components, their inter-relationships to each other and the environment. System architecture
is the implementation of logic for business processes and IT infrastructure, thereby reflecting the
integration and standardization requirements of the organization’s operating model.
MCA requires an inter-linked system architecture covering all the domains including:
• Data
• Application
• Technology
• Security
• Mobility
• Interoperability
This will provide a well defined baseline for all MCA back office processes and current services
offered to the corporates.
The proposed system architecture for MCA21 application is as below:
Fig. 5.1 : MCA21 system architecture
Page No. 28
5.2.1 Integration
Currently MCA has limited integration with CBDT for PAN/TAN issuance while company
incorporation. Due to this lack of system integration with other Government
departments/Ministries, it becomes a hassle for exchanging information between each
other. Therefore, seamless flow of information and data exchange are the key enablers for
realisation of the vision of MCA in the coming years. Furthermore, seamless flow of
information and data exchange are essential to develop and instil a culture of transparency
and accountability between the Government and the end users (corporates, professionals
etc.), in addition to the need for inter department convergence.
There is a need for greater collaboration to provide improved e-Service delivery to the
corporates and also respond to policy related changes with better agility to realize digital
governance.
Stakeholders identified for integration with MCA21 system are as below:
INDEPENDENT
EXTERNAL STAKEHOLDERS
SUBSIDIARIES
IBBI CBDT, CBEC,

SEBI
GSTN
NCLT/NCLAT
STOCK
COURTS
SFIO EXCHANGES
IEPF Authority DIPP, RBI, EBIZ REVENUE

DEPARTMENTS
MCA21
IICA/ ICLS
ENFORCEMENT
DIRECTORATE FIU and IU
CDM
CBI & POLICE
CSR Cell DEPARTMENTS BANKS
Objectives of integration
Advanced Integrated alerts & Bulk data Enhanced help desk

Analytics warnings support
exchange
Integrated Strengthening of Reporting & Online approvals, NoC

investigation EWS and Report sharing
governance
mechanism
Integrated process of e-Communication 360 degree view of Unified Charge

stamp duty payment platform Registry
master data
Fig. 5.2 : Integration stakeholder analysis
Page No. 29
5.2.2 User Access channels
Users: The users of the application consist of people accessing the application and systems
which access the presentation layer of the application to populate results to their end users.
The types of users depicted above have been described below:
User Type Description

External External users are of 3 types:
Users • Business entities
• Independent subsidiaries such as IBBI, NCLT etc.
• External stakeholders such as SEBI, CBDT etc.
Users external to MCA using the front-office for daily transactions
Internal users Users internal to MCA using the back-office for daily transactions
Table 5.2 : Types of users
Access Channels:
Provide a means for users to communicate with the requested applications using the
devices discussed above and serving as the mechanism for the application to
communicate responses to the users. Some of the envisaged
Channel Type Description

Website Website is one of the most convenient ways to access information. It
shall enlist and provide various services by interacting with backend
systems
Mobile app Mobile app shall act as a convenient extension to the website and shall
provide select services through mobile/ tablet devices across multiple
platforms
IVRS Interactive Voice Response System (IVRS) shall allows stakeholders to
navigate to the right support executives based on their query type
through series of keypad presses
Social Media Create a social media presence to receive stakeholder feedback as well
as monitor sentiments
Chatbots Chatbots interact and resolve queries of users and build up knowledge
base for frequently asked questions and their response
Helpdesk A helpdesk provides support to the user through various means like
telephone calls, live chat, email etc. The helpdesk is envisaged to
create ticket log of queries received from the end users through any
medium
Table 5.3 : Types of access channels
Page No. 30
5.2.3 Application modules
Application layer within the system architecture captures the current application landscape in
line with the business requirements of MCA. The layer components identify the current set of
application assets and also enlists future enhancements thereby helping in creating a
comprehensive application portfolio. A mapping of the current and future IT systems to
application taxonomy has been established which to enable MCA identify opportunities of
sharing, reusability and consolidation.
The application layer for MCA is based on a simple hierarchical structure made up of
application domains, which are divided into following application areas:
• Shared services
• MCA core services
• Back office services
• Productivity suite
• Support services
• System health
Below is the diagrammatic representation of the application architecture for MCA:

Shared Services
Knowledge
Reporting engine Dashboard engine Payment gateway
management
MCA Core Services
Form
DIN services Incorporation Execution Closure Enforcement Helpdesk
processing
Feedback &
Master data Payment XBRL E-stamping E-hearing E-appointments
Suggestions
Instant company Alerts and Certified true

Analytics registration
E-orders E-notices E-reports
warnings copies
Awards & Online CSR Hearing & Compliance

Training Digital mailbox Voice search
Recognition contribution Notice board ratings
Back-office Services
Training and Project Visitor Payment Performanc Human Finance and Procurement
learning office management reconciliation e appraisal resources accounts
Productivity Suite
Enterprise content Ticketing End user eFiling and

Analytics Office suite
management system tool tools paperless office
Support services
Identity and access

Data encryption
management
System Health
Virtualization and cloud Infrastructure

enablement tools management
Fig. 5.3 : Application architecture Existing modules New modules Out of scope modules
Page No. 31
The services currently offered by MCA to the corporates, professionals, other Government
departments, citizens etc. are covered under the existing functionalities tab in the diagram
below. These service are categorized under broad heads i.e. Enforcement, e-Form workflow and
incorporation related functionalities. Apart from these, based on the current assessment study
and global trends & practices, more functionalities were identified for MCA to add in its bouquet
of offerings. The diagram below provides a landscape of all the functionalities currently offered
and to be offered in future wherein the new functionalities are indicated under the new
functionalities tab.
MCA21 core services:
MCA21 Application
Existing Functionalities
Enforcement E-form Workflow Incorporation
Complaints MCA-HQ One stop Registration
Integrated Bank Account

Technical Scrutiny RD
opening
Online approvals of
Inspection RoC
sectoral regulators
Investigation Instant company/LLP

OL
incorporation
Prosecution
E-Hearings, E-appointments, E-Orders & E-Notices, E-Certified True Copies

New Functionalities
Statistics, Analytics and Reports

Digital Mailbox/ Interactive Dashboard
Alerts, Warnings and Notice Board
Master Data
Trainings & Development
Helpdesk Support, Feedback & Escalation
Data Sharing
Fig. 5.4 : MCA21 module functionalities
Some of the new functionalities that require immediate attention are master data information for
the stakeholders, enhancing the existing helpdesk by introducing chat-bots, introducing trainings
for the BO users to make them aware of the current MCA21 system and providing analytics
capability to some of the top officials in MCA.
Page No. 32
5.2.4 Cloud computing
Cloud computing is a model for enabling convenient, on-demand network access to a shared
pool of configurable computing resources (e.g., networks, servers, storage, applications, and
services) that can be rapidly provisioned and released with minimal management effort or
service provider interaction.
Cloud model promotes availability and is composed of five essential characteristics:
On-demand Broad network Resource Measured
Rapid elasticity
self-service access pooling Service
In order to utilize and harness the benefits of cloud computing, Government of India has
provided an important cloud platform which has been coined as “Meghraj”. As per the Meghraj
policy, Government of India has already setup GI cloud, Government of India’s cloud computing
environment. GI cloud is a set of discrete cloud computing environments spread across multiple
locations, built on existing or new (augmented) infrastructure, following a set of common
protocols, guidelines and standards issued by the Government of India. In this regard, MeitY
(Ministry of Electronics and Information Technology) has provisionally empanelled the CSP’s
(cloud service providers) for a variety of cloud deployment and service types.
IT cloud migration roadmap

MCA, needs a scalable architecture to support on-demand capacity during peak filling periods.
Cloud shall address scalability requirements and will augment data centre capacity to take
advantage of value added services and rapid development and delivery of services.
Cloud migration options for MCA
Rehost Replace Refactor Rebuild Revise
5.2.5 Network
The Data Center (DC) and Disaster Recovery (DR) center is connected to MPLS cloud
through bandwidth link of 400 Mbps. The MCA back office users access the application
deployed in the DC through dedicated MPLS intranet link, while front office users access
the MCA services through separate link, which connect MCA network with the public
internet.
Software Defined Networks posing a series of network objects in a highly automated
routine can be married to machine learning based intelligence to create an Intent Based
Network to monitor overall network performance, identify issues and solve them by offering
better access control, immense scalability, security and multi-vendor device management
In order to effectively and technically manage the functioning of the MCA21 system, an
efficient team with required skill sets is mandatory. The next chapter details the IT operating
model which explains the organization structure, governance structure, right mix of sourcing
model etc. responsible for managing the IT operations in MCA.
Page No. 33
Chapter 6: IT operating model

model model
Risk Management
IT Roadmap
6.1 Organization structure
As a result of increasing business requirements, as well as for the implementation of the proposed
IT Strategy initiatives, it is expected that the workload of the e-Governance Division will increase
substantially in the coming years, resulting in increased effort required in the e-Governance
Division.
The existing organization structure of the e-Governance Division lacks the required skill sets and
capacity in the areas of technology, security, domain (Company Law, Insolvency Law and other
related laws), data analytics, forensic audits, artificial intelligence, IT infrastructure, Accountancy,
etc. Therefore, the proposed SPV will facilitate acquisition of relevant expertise for building multi-
disciplinary core teams in the above stated fields and facilitate optimum utilization of technology
infrastructure and resources. The proposed SPV will also provide cutting-edge technology for
system and data protection along with dedicated monitoring mechanism.
In order to effectively deliver its mandate, it is essential that a robust IT functional organization
structure be implemented for e-Governance Division. The following figure illustrates the proposed
functional organization structure of SPV.
MCA21 SPV
PMU & Big Data System

IT team
Helpdesk Analytics Integrator
• IT PMU • Data
• Program Analytics
Manager Leader • Transition /
Network
• Project • CDM Team Delivery Data Advanced
Application and
Manager managemen Technology
Manager • Big Data solution infrastructur
• Business experts • Software t & security
e
Group
solutions developer
lead • Establishmen • Develope • Database • Technical • Innovation
t Functions r manager analyst leader
• Technology • UX • Data • Network • R&D lead
lead • IT Infra designer analyst engineer • Engineers
• IT Helpdesk • SLA and • Business • Platform • Cloud • External
• Professional Business analysts architect computing ecosystem
Service • Solution • Head of resources manager
• Field SPOC architect IT • Infrastructu • Developers
Delivery
• Tester Security re analyst
• Domain • Security
Expert(s) experts
Fig. 6.1 : Organization structure
Page No. 35
6.2 Governance structure
An effective IT function should be governed in a manner that both obligates and empowers team to
help the organization manage its overall level of risk, rationalize its overall costs and realize
increased value from its IT investment. IT governance is essential to ensure IT system is delivering
according to business requirements and that service delivery is in line with IT Strategy, objectives
and standards. To ensure that governance is embedded into the IT organization and enables IT in
delivering services, a clear governance structure is required to be empowered and supported with
the right tools, policies, processes and procedures.
MCA shall establish a 100% Government owned SPV (Special Purpose Vehicle) under Section 8 of
the Companies Act, 2013, in the name and style of “MCA21” for Data Analytics, Process Automation,
Artificial Intelligence, Data Dissemination and Integration with other departments/ regulators. The
SPV shall also do implementation, operation & maintenance of MCA21 Project and other e-
governance initiatives of MCA.
Though the governing board of the proposed SPV will be independent in its decision making
process, the strategic control over key functions and material decisions will be exercised by MCA.
Below is the governance structure proposed for SPV:
Chairman (Secretary, MCA)
Governing Board of Directors and KMPs

Independent
CEO - JS MCA CS CFO CTO
Executive Directors
Directors Retired MCA
officials
Dy. CEO –
Director
MCA
Admin, Legal Big Data Information
Finance & PMU &
& Enforcement Analytics Technology
Admin Unit Helpdesk
unit Unit Unit
Fig. 6.2 : Governance structure
The diagram above provides the overall guidance for setting up the governance structure.
MCA needs to detail out the roles and responsibilities of the above governance bodies and
staff of the governance structure. The outcome of this activity needs to be in line with the
functional IT organization structure and sourcing model.
Page No. 36
6.3 Service delivery model

One of the proposed service delivery models for MCA could be the data sharing revenue
model catering to the Government departments as well as private bodies like corporates,
professionals etc.
Stakeholders for data exchange
Government Authorities and Departments Private bodies and individuals*
CBDT Professionals
CBEC/ GSTN Credit Rating Agencies
RBI & EBIZ Corporates
SEBI Stock Exchanges
E-Courts RTAs and Investment Bankers
DIPP Researchers & Analysts
Revenue Departments Banks
Sectoral Regulators – IRDAI/TRAI Financial Institutes
IBBI Information Utilities
NCLT/ NCLAT Depositories
SFIO Investor advisors
CDM** Other researchers & analysts
CBI
*Two way data exchange is not applicable on
Police Departments
private bodies and individuals
Institutes – ICSI, ICAI, ICMAI
Data to be shared Revenue Model
Documents Sharing Subscription Fee Revenue Model
► Seamless documents exchange with various • Feature differentiation model - either

stakeholders based on functionality or on volume
► Facility to download documents in bulk • Monthly/Annual subscription fee
► Facility to upload list of companies/ LLPs for • Free access to independent subsidiaries
downloading documents in excel or PDF – OCR • Freemium Approach
Data Exchange
Usage Fee Revenue Model
► Real time exchange of information filed with
different government authorities • Based on Number of companies,
► Two way exchange of data filed by stakeholders number of years or number of requests
► Facility to download data in excel, XML and PDF for data download
formats
► Structured information dissemination
Analytics and Reports Analytics & Reporting as a service
► Client accessible through the internet on laptops • Transaction fee based on requests
or any mobile device • Fee based on access rights for
► Delivery of both standardized & customized analytical tool/functionality
reports basis on data filed with MCA & other
departments
► Access to analytical tools of other departments
**One seamless and integrated technological platform for data sharing and operations of CDM
Page No. 37
6.4 Sourcing model

The sourcing model for IT function needs to account for the strategic significance of the IT services
and initiatives to be undertaken in order to determine the appropriate model. Sourcing model will
detail how the organization will interact with other organizations/vendors, how it enters into
transactions & processes it and the business opportunity the organization is seeking to exploit.
e-Governance projects in a Government department are mostly citizen oriented and usually carried
out in partnership with the private sector. The MCA21 project will require highly skilled resources
with domain expertise to work on the project. The model for engaging the right set of people at
correct market rates needs to be thoroughly evaluated. Also high end technology is required for
successful implementation of all the IT initiatives identified for MCA. The selection of the right
system integrator plays an important part in effectively and efficiently implementing the MCA21
system thus accomplishing the objective of the IT roadmap.
For the sourcing model to ensure sustainability, MCA can select the right mix of sourcing model
from the below models which are commonly adopted in Indian Government:
• Government owned
• Outsource
• Public Private Partnership
6.5 IT Policies and Processes

The IT policy safeguards the IT assets and the information/ data residing in IT assets against any
vulnerabilities, that may arise within the IT infrastructure. Therefor a need arises for MCA to
formulate a detailed IT policies and processes document which should be circulated among the
MCA21 stakeholders with a clear mandate to be strictly adhered. The IT policies that need to be in
place for MCA are given below:
• Information Security Policy
• Internet and e-mail Policy
• User data back up policy
• Asset use policy
• Archive and restore policy
• Disaster recovery and BCP policy
• Work station security policy
• Authentication policyProcedures:
Some IT processes required to be followed in MCA are:

• To define and implement policies, processes to apply security solutions for secure IT and
infrastructure, which safeguards the IT assets and ensure efficient utilization for business
operations
• To meet regulatory and other legal requirements
• To ensure information security trainings for users and refresher trainings
• Reduction in information security incidents
• To establish a sustainable operation plan for business in line with the ISO standards
Over the years, technology has taken over the real world with virtual world in a way that it has
brought a massive disruption in almost all the sectors/industries across countries. The next chapter
describes how the emerging technologies can be leveraged in MCA to make the processes more
faster and better for both the internal as well as external stakeholders.
Page No. 38
Chapter 7: Emerging technologies

model model
Risk Management
IT Roadmap
The pace of technological advancement has shot up in the last few years and has brought
massive disruption in almost all the sectors/industries across countries. In many countries,
Estonia for instance - blockchain has paved a path for an integrated platform for both the
Government agencies and citizens resulting in a rapid development of the nation.
Emerging technologies like AI, Machine Learning, IoT, Social Media, Analytics, Cloud, RPA,
Blockchain etc. has been widely accepted by the Governments all around the globe. Indian
Government also needs to actively gear up in terms of leveraging the emerging technologies
in the day to day office processes. For instance, development of Smart Cities is an initiative
towards an innovative and integrated ecosystem by leveraging IoT.
The advantages of using some of these emerging technologies has been illustrated below:
Blockchain Robotics Process Automation

A piece of software that mimics human
Distributed ledger that receives, validates behaviour which is typically rule based and
and stores transactions permanently requires digital inputs
“Blockchains are Consistency Productivity

digital tools for Identical processes Freed up human
building trust in and tasks, eliminating resources for higher
data. … They bring output variations value-added tasks
with them built-in
integrity and Audit trail Accuracy
immutability. You Fully maintained logs The right result,
can only write new essential for decision or calculation
data, nothing is ever compliance the first time
removed or
deleted.”* Scalability
Instant ramp up/down to match demand peaks
Machine Learning Big Data Analytics

Growing volume of structured, unstructured
An iterative process which employs
and multi-source information
software codes, statistics, mathematical models
and Artificial Intelligence to forecast and
predict future behaviours, outcomes and Veracity
trends Velocity
Quality of data and
Streaming data reliability on data
Creation of single view milliseconds to seconds
to respond
Profiling & Identify Unique
Standardization records Variety
Volume
Linking & Classification & Structured, unstructured,
Relationships Tagging text, multimedia Terabytes to exabytes of
existing data to process
Page No. 40
In this report, an analysis of how MCA can leverage the emerging technologies in the
existing MCA21 system has been performed. Certain emerging technologies i.e. RPA,
Blockchain, AI, ML, Social, Mobile, Analytics have been identified for implementation in MCA
in the coming three to five years. Some of the processes in MCA where these technologies
could be implemented have been highlighted in the table below:
Blockchain Robotic Process Automation
One Corporate One Filing: First level verification:

All registered corporates have to submit certain Basic first level validations of attachments
financial documents as part of compliance to for STP/Non STP eforms. The system
various ministries on periodic basis. based on the business logic configured will
The major issue being faced today is one perform the verification of the attachments.
ministry do not have the access to the Reporting:
documents submitted by corporates to the Automatic mailers of reports to be
other ministry. For resolving this issue, a single generated on a periodic basis based on
integrated online platform will act as a one stop the business logic defined. The users will
shop for corporates to file the financial receive the periodic reports on the email
documents and also the various ministries will without accessing the system again and
also have access to the documents submitted again.
by the corporates.
Machine Learning Analytics
Helpdesk Support: Analytics:

Chat bot is the need of the hour. This will Analytical services will be an important decision-
provide the first level response through live making support for other government
chat. departments and business users. They help to
Experience based learning: assess the credit worthiness, risks and business
Like humans, machines can also learn from valuations for the use of market researchers and
the past experiences. There can be multiple investors study and analysis perspective.
instances in MCA where this can be applied Interactive dashboard:
like In case of OCR, system will learn the MCA may also extend its existing user dashboard
different formats and templates used in the and add functionality for posting all notices,
uploaded attachments/ documents, and orders and official correspondences on user’s
thus can take necessary actions based on login based dashboard, so that users may
the compliances to be met anytime log in to access and download all notices
and correspondences received from MCA and its
offices.
Page No. 41
Chapter 8: Risk management

model model
Risk Management
IT Roadmap
As Ministry of Corporate Affairs (MCA) is implementing IT strategy, a variety of internal and

external factors are driving the change. IT strategy needs to be cognizant of these changes
and address the risks emerging out of these changes in a better and controlled manner.
Risk management is considered one of the most critical processes within any project
regardless of size, activity or sector. It is the process whereby decisions are made to accept a
known or assessed risk and / or the implementation of actions to reduce the consequences or
probability of occurrence.
Risks in e-governance implementation can come from uncertainty in factors external to the
entity such as economic cycle, job market scenario, psychographic factors as well as internal
factors such as employee resistance, low adaptability and poor budgeting
The objectives of Risk Management are mentioned below:

 Ensure project issues are identified and managed appropriately;
 Provide visibility, within the project, of the time and cost impact of an issue and the cost of
any corrective actions; and
 Provide visibility of project issues, ensuring they are escalated appropriately
 Provides a standard framework for risk assessment and risk mitigation
The benefits of systematic risk identification and risk management include:

 More realistic project planning;
 Actions being implemented in time to be effective;
 Greater certainty of achieving project goals and project objectives;
 Improved loss control;
 Improved control of project and business costs;
 Increased flexibility as a result of understanding all options and their associated risks.
Given the enormity and complexity of the project, it is imperative that impediments are foreseen
and assessed in advance and strategies are developed to effectually counter them over time.
The risks emerging out of these changes w.r.t people, process and technology have been
categorized as below:
 Strategy risk: Risks that are related to the strategy of MCA for implementing e-governance
initiative
 Technology risk: Risks that are related with the implementation of e-governance initiative
 People risk: Risks that are related to the personnel who would be users of the implemented
technology. It would include both internal as well as external stakeholders.
 Process risk: Risks that are related to the reengineered processes and their IT
implementation
 Implementation risk: Risks related with the implementing agency selected for putting
resources for e-governance initiative
Page No. 43
The following table summarizes the key risks identified for the implementation of the IT Strategy, and
the estimated probability and impact of these risks on the implementation progress. Key mitigation
actions for mitigating these risks have also been enumerated.
Risk Mitigation strategy

R1 Lack of active participation from  Create a Special Purpose Vehicle (SPV) with representation
various officials/ stakeholders of from various Affairs to monitor IT strategy implementation
MCA  Provide regular updates on project progress, risks and value of
strategic IT initiatives to all stakeholders of the SPV
R2 Dependency on in-progress or  Maintain a risk and dependency log to capture dependencies
planned initiatives and impacts due to change in timelines
 Consider architectural and technology impacts while
implementing new solutions
R3 New business demands/re-  Ensure business demands are captured well in advance and
prioritization of existing initiatives prioritized
R4 Cost overrun/unavailability of  Establish change management to control scope creep

budget  Establish strong investment monitoring and escalation
mechanism
 Establish robust funding mechanism and clearly articulate
return on investment (RoI)
R5 Poor change management and  Develop change and communication management approach to
communication identify stakeholders and impacts
 Provide trainings on enhancements/system changes
R6 Lack of experienced vendors for  Maintain current in-house capabilities or existing contracts till
outsourcing or knowledge new vendor are identified
transition to new vendors  Establish robust processes and strong RFP requirements on
transitioning existing process knowledge to new vendors
R7 Adoption of new technology  Phased manner roll out and prioritization of activities
 Effective capacity building and change management
R8 Lack of adequate training or skill  Develop detailed training plan and calendar and identify
gaps process and technology training requirements
 Embed training and knowledge development within IT goals and
objectives
R9 Poor monitoring and tracking of IT  Ensure experienced and seasoned professionals are on-
strategy implementation boarded for effective implementation of strategic IT initiatives
 Proper roles and responsibilities of each stakeholders within the
organization and ensure proper monitoring of each activities as
per the time schedule.
 Governance structure in place for effective monitoring
R10 External political/economic  Formation of Special Purpose Vehicle (SPV), will work
uncertainties and implications independently, with its own rules and regulations and will have
minimum interference from political or economical sectors
R11 Resistance in application portfolio  Generate awareness about benefits of consolidation/integration

consolidation of applications, which will ease the working of MCA officials and
will improve the efficiency
 Identify integration and data consolidation points and impart
trainings to all stakeholders of MCA.
Page No. 44
Chapter 9: IT roadmap

model model
Risk Management
IT Roadmap
The IT roadmap for next version of MCA21 has been designed keeping in mind the maturity
of the current MCA21 system and its stakeholders as the transition from current version of
MCA21 to next version is envisaged to be a combination of quantum leap and incremental
changes. Quantum leap majorly entails the leveraging of emerging technologies and
introducing various new functionalities for building a robust and efficient MCA21 system
whereas incremental changes mostly considers the improvisation of the existing MCA21
version. These areas will be covered gradually over a period of time during or before the
implementation of MCA21 system version 3.
The milestone based approach will help the stakeholders to positively accept the changes in
the system thereby leading to the overall success of the system implementation. Therefore,
the IT initiatives have been grouped under categories and phases based on their urgency in
MCA. The implementation plan for MCA21 version 3 for next ten years has been broken
down into three milestones – first three years, three to five years and five to ten years. Also
the initiatives have been categorized under four headers i.e.
• Improvement means enhancing the existing MCA21 version 2
• Integration means providing system capability for exchanging information between MCA
and other Government departments
• Innovation means leveraging the emerging technologies
• Institutional Capacity means building the required skill sets in the MCA back office
employees
This IT roadmap will assist MCA in moving from ‘what’ to ‘when’. Hence, the IT initiatives have
been classified as short term initiatives (named as quick wins) and long term initiatives. The
initial three years are the quick wins which can be considered for implementation in the short
term probably before next version of MCA21. Improvising the existing system like redesigning
the website, improving the master data, establishing integration with significant government
bodies, introducing mobile app for both back end users as well as front end users, leveraging
cloud environment for hosting purpose, designing training and development module for back
end users are some of the key initiatives to be taken up during one to three years. These
initiatives can be taken up in the same system or developed separately and then integrated in
the MCA21 version 2. Timely taking up the integration initiatives will help MCA in exchanging
information with other Government departments in a more efficient manner. Also the initiatives
mentioned under the institutional capacity will help in enabling the back office employees in
effectively performing their responsibilities and duties.
Similarly, other IT initiatives have been identified in three to five years and five to seven years
under the four heads to be taken up gradually by MCA in the next version of the MCA21
system to achieve the vision of providing world class governance of corporates.
Page No. 46
The diagram below highlights the list of initiatives to be taken up during different milestones under
the four categories.
Fig. 9.1 : MCA21 initiatives
Some of the short term initiatives highly recommended to be taken up for implementation in the
existing MCA21 version 2 system have been highlighted in the diagram below.
This will improve the existing MCA21 system, enhance the institutional capacity in MCA and also
leverage certain emerging technologies to further improvise the current ways of working like
introducing chat-bots to enhance the helpdesk support, machine learning capabilities of system to
perform first level verification of STP forms in the system itself. These initiatives have been
identified to be beneficial for both front office and back office users as these will enable them to
carry out the functions in a more streamlined and efficient manner.
Page No. 47
Mobile App
Introducing mobile apps for both the
front end and back end stakeholders
Analytics
Strengthen the current capabilities
of CDM to provide valuable
insights to the MCA stakeholders
Training and
capacity building
Design and implement web based
training modules in the system for
BO users
Machine Learning
Implement machine learning to
perform a basic review of the
attachments provided in the e-forms
especially non- STP e-forms.
Helpdesk support
Enhance the existing helpdesk
services and introduce the
functionality of chat bots for first
level support
Fig. 9.2 : Quick Wins
The next chapter highlights the critical success factors which are the key parameters that
will have a remarkable impact on how successfully and effectively the IT roadmap will be
implemented in the coming years.
Page No. 48
Chapter 10: Critical success factors
A clearly defined leadership structure that has the ability to marshal

Leadership resources for a coordinated effort for providing a quantum leap towards an
effective and integrated system.
MCA needs to maintain a transparent relationship with independent

subsidiaries such as IBBI, NCLT etc. and external stakeholders such as
Relationship
SEBI, CBDT etc. Interaction with these agencies is an important step in
Management
ensuring a robust integrated network but also in ease of on-boarding these
agencies on our system in the due course of the IT Roadmap.
The effective use of information technology on account of the large

amount of data it receives and stores, and the complex analysis that are
Keeping Pace with carried out on this data. The rapid and unrelenting pace of technological
technology change requires MCA to stay abreast of technological developments and
to have access to personnel who have knowledge in advanced
technologies.
Implementation of new technologies in the coming years would surely

Effective Change require an effective Change Management framework. Effective technology
Management change management ensures that changes to the MCA21 system are
introduced in a properly controlled and coordinated manner
MCA needs to monitor and manage the pace at which the new
Quick Technology
technologies are getting introduced to the pace at which they getting
Adoption
adopted for effective results.
Page No. 50
Chapter 11: References
http://www.doingbusiness.org/rankings
World Bank Report on doing business - 2018
https://www.incometaxindia.gov.in/Pages/default.aspx
https://services.gst.gov.in/services/login
https://www.gstn.org/
http://meity.gov.in/
https://powermin.nic.in/
http://nclt.gov.in/
http://www.mca.gov.in/MinistryV2/
http://www.mca.gov.in/Ministry/pdf/UnifiedManualofMCA.pdf
http://www.mca.gov.in/Ministry/pdf/inductionmaterial.pdf
goir.ap.gov.in
https://cloud.gov.in
Gartner report on top 10 Digital Trends 2018
http://www.ibbi.gov.in/
http://sfio.nic.in/
http://www.icsi.edu/
https://www.icai.org/
http://www.iica.in/
http://www.iepf.gov.in/
http://www.mca.gov.in/XBRL/index.html
https://www.mygov.in/
http://dipp.nic.in/
https://www.rbi.org.in/
http://ebiz.gov.in/app/login
http://www.makeinindia.com/home
https://gem.gov.in/
https://www.limbs.gov.in/main.asp
http://www.ecourts.gov.in/ecourts_home/
Websites of various High Courts
http://www.digitalindia.gov.in/
http://www.cca.gov.in/cca/
http://tourism.gov.in/
http://mhrd.gov.in/
http://mha.gov.in/
https://www.sebi.gov.in/
https://www.nseindia.com/
http://www.mea.gov.in/
Websites of top 25 countries according to EoDB World Bank report
Page No. 52
Page No. 53

MCA IT Roadmap April 2018

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MCA IT Roadmap April 2018

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Roadmap for next version

2 MCA21: Journey so far

3 Formulating IT strategy framework

4 IT Strategy governing principles

10 Critical success factors

Chapter Figure Name Page No.

1 1.1 Approach to IT strategy 8

2 2.1 EoDB Ranking 12

3.1 IT Strategy Framework 14

3 3.2 IT Framework Pillars 16

3.3 Global and domestic IT trends 21

5.1 MCA21 system architecture 28

5.2 Integration stakeholder analysis 29

5.4 MCA21 module functionalities 32

6.1 Organization structure 35

9.1 MCA21 initiatives 47

Chapter Figure Name Page No.

3.1 MCA processes 17

5.1 Architecture principles 27

5 5.2 Types of users 30

5.3 Types of access channels 30

Central Bureau of e-Gov.

Corporate Data Insolvency and Bankruptcy

Insurance Regulatory and

Investor Education and Institute of Company

Indian Institute of Corporate

Institute of Chartered Ministry of Corporate Affairs –

Ministry of Corporate Affairs –

National Company Law

National Institute for Smart National Financial Reporting

National Company Law

12. Registrar of Companies RoC 26. Regional Director RD

Securities and Exchange

Serious Fraud Investigation Telecom Regulatory Authority

Fig. 1.1 : Approach to IT strategy

In order to leverage IT for inducing a major transformation, an IT strategy framework was

Fig. 2.1: EoDB ranking

To be able to comprehensively cover all aspects of IT, existing industry standard IT

Strategic input and directions

Fig. 3.1 : Strategic inputs

IT strategy governing principles

Architecture principles IT Operating model

IT Policies and Processes

Fig. 3.1 : IT Strategy framework

3.1 MCA strategy

“To be a facilitator of world class governance of

The document also defines the MCA’s e-Governance vision as:

“MCA21 offers automation of business processes

The e-Governance Action plan for 3 and 7 years are as below

• Convergence of Corporate Data

This IT strategy document will be an extension to the “e-Governance” strategic theme.

3.2 Current assessment

Major pillars for current

People Process Technology

IT Strategy framework pillars

Fig. 3.2 : IT framework pillars

The As-Is study could be categorized in four key activities:

A. Identification and categorization of the processes

These are have been discussed in detail as follows:

Main Process Category Sub Process

S. No. Name of Stakeholder S. No. Name of Stakeholder

MCA core services

DIN Services Incorporation Execution Closure Informational Modules