Lessons Learned Lessons Learned from the APEC from the APEC

Informatization ProjectInformatization Project

atat2005 APEC Informatization Forum2005 APEC Informatization Forumfor Small and Medium Enterprisesfor Small and Medium Enterprises

August 27, 2005August 27, 2005

byJoo-Yong Kim, Ph.D.e-mail: jooykim@kimi.or.krKIMIKorea Information Management Institute for

SMEs

SME 02/2004 (Mar 2003 – Oct 2004)

1 Informatization Survey(July 2003 – November 2003)

Informatization Policy Forum Informatization Policy Forum (July 15-16, 2004)(July 15-16, 2004)

Training Workshop (October 11-21, 2004)

2

3

Enabling e-MES environment – through survey and e-community based capacity building

Aim and Objectives

• Aim– Provide SMEs with windows of opportunity for upgrading

skills of ICT through the development of e-community models

• Objectives– Share best policies and practices with policymakers and

practitioners in APEC

– Analyze influencing factors and impediments to informatization promotion

– Enhance human capacity of designing, developing, implementing and evaluating SME informatization

Outcomes

• Comprehensive survey report on SME Informatization: – Details for 21 member economies in APEC

(1) Trends (2) Definition of SMEs

(3) Strategy and progress (4) Government Organizations(5) Major policies and projects(6) Efforts from the private sector (7) Overall assessment

– Comparison and analysis

• A proceeding book of a forum with 17 presentations– Diverse discussions with 24 speakers from 11 economies

• A training manual with 11 different topics– Active 23 participants from 11 economies in 11 classes, 2

group discussions and 3 field trips for 11 days– 5 lecturers from APEC economies and 8 from Korea

For detailed information, visit www.apec-esme.or.kr

Support Policy

Spectrum of Programs

Infor-mation

Infra-structure

Financing On site Consulting

e-biz network

High Tier

SME-focused(Group I)

Chinese Taipei, USA

Japan, Korea

Generic ICT(Group II)

Canada, New Zealand

Hong Kong Hong Kong

Australia Australia

Singapore

Low Tier

No Noticeable(Group III)

China, Indonesia, Malaysia, Thailand, Chile, Mexico, Peru, Philippines, Russia, Vietnam, Papua New Guinea, Brunei

Policy comparison

• Public intermediaries specializing in SME informatization– More productive in enforcement of informatization policies

• Specialized intermediary has dedicated human skills and information

• Government has administrative burden and a lack of expertise

• Private intermediaries representing SMEs– Industry and/or trade associations

• e.g. chamber of commerce and federation of small businesses• e.g. industrial complex for SMEs

– More effective in e-community approach• e.g. portal site for common purchase and sale• e.g. infrastructure establishment for common use by SMEs

Intermediary

Influential Factors

• National ICT infrastructure– SMEs in high tier have access to broadband Internet

• at reasonable Internet access cost

• Business Environment– SMEs in high tier are under more pressure to install application

systems from business partners in the value chain

• Supporting organizations– Public intermediaries dedicated to execution of informatization

policies• e.g. KIMI (Korea Information Management Institute for SMEs)

– Private intermediaries such as business or industry associations• e.g. Franchise Promotion Association in Chinese Taipei; Tokyo

Fasteners Cooperative Association in Japan

Findings(1)

• Digital divide exists in APEC

– Huge gap in accessibility to telecommunication infrastructures

• High Internet access fees and low Internet access speed

• High prices of software and hardware

– SMEs in advanced economies are more pressured to adopt informatization from business partners

– Reduction of digital gap is indispensable for the Bogor Goal of “free and open trade and investment” by 2020

• Intermediary’s role gets bigger

– Public intermediaries specializing in SME informatization are effective in promoting and disseminating ICT utilization

Findings(2)

• Sharing and reuse of project results in APEC

– Measurable metrics to assess policies and practices as “Best”

– Inventory management of informatization models

• Do not re-invent the wheel, but innovate the wheel

• CoP (Community of Practices) as a benchmarking site

• Barriers in the sequence of financing, human resources and ICT capability

– Low tier economies are encouraged to undertake government-led network building among stake holders

– Well-programmed human capacity building leads to enhanced awareness

Lessons Learned(1)

• Successful survey in APEC– Sufficient time is essential to obtain cooperation from member

economies

• In particular, it must be sufficient enough for the member economy concerned to verify accuracy of its survey report

– Surveys at the level of individual SMEs art not attempted unless the member economy has done it before

• Open forum to invite demand side of SMEs as well as supply side of Government– More attention should be paid to private sector for their real

voices about informatization

– Programs of human capacity building should also address specific needs of SMEs

Lessons Learned(2)

• Improvement of training workshop– Participants prefer practical experiences of advanced

economies rather than theories

• At the same time, they expect to introduce their economy’s policies and status

– More time should be allotted to group discussions with facilitators and participants

– Participants desired workshop period to be 10 days

Suggestions

Suggestions

• A concrete cooperative mechanism to be established as a channel in APEC – According to “SME Coordination Framework” defined in 2004,

more vivid activities are expected for better cooperation between APEC fora and SMEWG

• For instance, there were talks between TELWG and SMEWG in April, 2005

• Remedy for issues on a voluntary basis– Korea proposed and established “APEC-IC: APEC innovation c

enter for SMEs” in 2005• cf ADOC (APEC Digital Opportunity Center) by Chinese Taipei

– Korea also provides a website for APEC SMEWG in 2005• cf www.apectelwg.org is also administered by Korea

APEC-IC: Main Functions

1st Stage(2006∼07)

1st Stage(2006∼07)

2nd Stage(2008∼09)

2nd Stage(2008∼09)

3rd Stage(2010 ∼)

3rd Stage(2010 ∼)

Training workshop and experiencesharing

Training workshop and experiencesharing

Education &Training

Education &Training

InnovationModel

Development

InnovationModel

Development

NetworkBuilding

NetworkBuilding

APEC SME innovation leadersclub

APEC SME innovation leadersclub

APEC innovationinstitute conferringdiploma

APEC innovationinstitute conferringdiploma

Policy studiesand assessmentmodel development

Policy studiesand assessmentmodel development

Innovation management practices for SMEs

Innovation management practices for SMEs

Award for innovation by APEC leader

Award for innovation by APEC leader

APEC SMEinnovation conference

APEC SMEinnovation conference

Cluster visiting andexperts dispatch

Cluster visiting andexperts dispatch

Joint conferencewith APEC fora

Joint conferencewith APEC fora

Web site and “APEC Innovation Brief for SMEs” during years