COMNET-IT '95

WORKSHOP REPORT CHAPTER 5

Cross Sectoral Impact of IT Policies and Strategies

 

5.0 Introduction

5.1 Capacity Building

5.2 Women in Development

5.3 Industrial Development

5.4 Services Development

5.5 Rural development

5.6 Teleworking

5.7 Case studies highlighting increases in productivity through the use of IT

5.0 Introduction

The workshop explored various issues around the question of cross-sectoral impact of IT. While many of the policy issues address the IT sector itself, other economic sectors, such as finance and banking, transportation and agriculture, are major users of IT. There are, moreover, a set of "cross-sectoral" considerations, such as industrial development, the role of women in development and rural vs. urban considerations which must be examined.

Mr. Charles Hughes, in his paper "Moving Towards the Information Society", outlined the UK's Information Society Initiative and its relevance to small businesses. It is estimated that forty percent of SMEs in the UK do not use any IT. Efforts are underway to show how IT can reinforce the rationale for businesses. Suppliers are being encouraged to develop salient business applications for SMEs. (Hughes, 1995)

Mr. Justin Zake outlined the experience of the Uganda Revenue Authority (URA) in implementing a national level information system. Uganda wished to strengthen public financial management by providing sound financial information systems controls and planning systems. Certain key institutions were selected for the initial implementation of these systems. The Uganda Revenue Authority was one of these, and has carried out a policy analysis based on its experiences. As a result, URA has drawn up a corporate strategy and an information systems and technology strategy. (Zake, 1995)

Mr. David McLean presented a paper on "IS/IT Strategy in the UK and Developing Countries" based in the CCTA's IS Strategy Planning Framework. This approach emphasises the need for IS strategy to be business driven rather than IT led. It ensures that investments in IS/IT can be justified in business terms and wider benefits identified and managed. He stressed the importance of strategic thinking for developing countries and suggested several areas which will need to be addressed. (McLean, 1995)

Ms. Tina James discussed the role of IT in sustainable development from the South African perspective. The CSIR co-operation model was introduced and discussed. The practical uses of this model at the local level were outlined through several examples. One of these, the Small Business Development Corporation, has already made extensive use of IT. (James,1995)

The extensive use of computer-based information systems hold serious implications for management of an maintenance of public records. Mr. Piers Cain dealt with the issue of managing electronic and paper records as a strategic resource for good government. Well structured information must be managed as a key strategic resource underpinning all aspects of public administration. He outlined the problems of introducing electronic records systems and discussed the role of the International Records Management Trust. (Cain, 1995)

While there are some arguments in favour of sectoral, as compared with national or global IT policies, most participants felt that IT strategies should be broad enough to cover all the relevant sectors which includes Government, Business(large & small) and the rest of society. In this context, sectoral uses of IT must be commensurate with broader information policy issues. Sectoral strategies should be integrated with the overall national IT plan to avoid duplication and to optimise the utilisation of scarce national resources. The following are some of the priority areas to be addressed in developing national policies:

5.1 Capacity Building

For any country the implementation of IT across all sectors of society places a strain on resources. Many Commonwealth countries lack the capacity required to reap the full benefits of the new IT tools. They need to build up the capacity of their infrastructure, human resources and institutions. To do this, they must first focus on key sectors for IT, and to focus on IT applications to solve critical problems. In this way scarce resources can be allocated where there is most need. This is a government responsibility and must be undertaken proactively and not be supplier-driven. Specific needs to be addressed are:

a. Sensitising sectoral planners on the IT resources that are available and the possible benefits that could be derived from them. IT managers must develop a better appreciation of the specific sectoral issues and national priorities for capacity building.

b. The integration of national IT policies with other policy areas (industrial, social, economic, etc.) and sector-specific policies such as education, employment and health.

c. The marketing of information technology and information services.

d. The development of tools for measuring the capacity needs within the country, as well as tools to measure the effectiveness of IT. There is a need also to build impact indicators and appropriate monitoring mechanisms into IT policies.

e. Building on the priority already accorded in most countries to the introduction of IT in the public sector. These priorities, usually addressed by government funding, are often in traditional areas like government administration, water resource management, energy production and distribution. They might provide a basis for further expansion of services or as models for other developments.

5.2 Women and Development

Governments need to ensure that women and men have equal access to, and benefit equally from the introduction of IT. The issue has been addressed in a chapter entitled "Information as a Transformative Tool :The gender dimension" by the IDRC Gender and Information Working Group in the recently published book "Missing Links: Gender equity in science and technology for development". (IDRC, August 1995)

5.3 Industrial Development

IT offers a wide range of possibilities for the development of national and local industry , large and small, ranging from products (hardware and software) to services (telematics and content).

Countries which are advanced in IT, such as Singapore and Hong Kong, have stimulated the creation of a large number of companies supplying information and communications related applications and products. Local manufacture in the developing world was strongly recommended by the Mailand Commission in 1984. For developing countries this opportunity can be important. Innovative products can lower the cost of service provision to rural areas or increase the capacity of existing networks. Such products and services might be useful tools for expanding, for example, the export market of South Africa - with a receptive market in the rest of Sub-Saharan Africa where similar obstacles need to be overcome (Song, 1995)

Industrial development might benefit from policy initiatives leading, for example, to specific financial incentives; provision of low-cost shared computer systems and the production of standardised, cheap or subsidised locally-made systems.

5.4 Services Development

Infrastructure does not, by itself, provide for the needs of users. This is done through "services" - structured offerings around which needs can be met. These might be provided by an network or information service provider, by a telecommunications utility or by some other entity such as a cable company. Increasingly, service providers are becoming established in the information sector (e.g. Compuserve), some of which may provide both content and network access, and some only content to be carried by third party network access companies. To succeed in the market-place the services must be cost effective, permanent and sustainable. In some countries policies may be required to ensure that companies can grow, compete and succeed in the information services sector.

5.5 Rural development

While the gap between the IT capacities of the North and the South is a major concern, there are other gaps within national boundaries that need to be addressed. These include the underserved vs. overserved gap which can have various manifestations. (e.g. urban vs. rural, rich vs. poor).

There is a growing literature on universal access which addresses the underserved vs. overserved gap, particularly in the industrialised world and in the context of the Information Highway. There are new ideas being generated for funding rural areas in the developing world (e.g. the ITU's "Worldtel"), and new wireless technologies are particularly adapted to remote and rural regions.

workshop participants suggested that there could be greater co-ordination of aid inputs to rural areas. IT can have a greater impact in underserved areas if it is provided as an integrated rather than on a piecemeal, project basis.

5.6 Teleworking

Telework promises to save travel cost, and the inconvenience of travel. To date much of the literature on telework has focused on the corporate world of North America, but as the practice evolves, and issues such as labour-management issues are resolved, there can be expected to be applications of telework in the developing world. For example, The Chambers of Commerce in East Africa have proposed an Internet connection for small businesses which would provide access to information and data of relevance to such businesses. The development of these services, adapted to the region being served, could gradually build up the capacity for individuals to work from their homes for at least part of the time.

5.7 Case studies highlighting increases in productivity through the use of IT

One of the problems of gaining acceptance for IT is the lack of documented cases of success. Much has been written about IT applications in IT journals and publications, but recognition of IT successes, and in particular evidence of productivity gains, in other sectors is weak. There are some excellent examples of highly innovative and successful applications of IT in other areas, many of which are Government services. One example is the use of IT in the field of meteorology. Another example, is the experience of the International Federation of Red Cross and Red Crescent Societies in introducing IT into their world-wide operations. The Federation assists in the development of national Red Cross and Red Crescent societies and in linking them to facilitate disaster response and development co-operation on a global basis. The Federation recognised the need for the regular collection and dissemination of information and is studying what data is key to a relief operation. It is making plans, through the development of a telecommunications network using the Internet, to link national societies and delegations so that they can take advantage of the information collections, databases and services that have been set up. "The Federation, like many non-governmental and international organisations, is in the 'business' of information. It collects, stores and disseminates information on a regular basis, serving as a kind of clearing house." (Stoddart, 1995)

Participants at the workshop stressed that the "lessons learned" should be shared using on-line techniques, with computer communications networks integral to the process.