Title: INFORMATION AS AN ECONOMIC RESOURCE
1INFORMATION AS AN ECONOMIC RESOURCE
United Nations Economic Commission for Africa
(UNECA)
- Moubarack LO
- (Keynote Speaker)
- (CODI IV)25-28 April 2005 Addis Ababa, Ethiopia
2PLAN DE LA PRÉSENTATION
- INTRODUCTION
- I. INFORMATION AS A KEY FACTOR IN ECONOMIC GROWTH
- II. INFORMATION STRENGTHENS THE COMPETITIVENESS
OF BUSINESSES AND NATIONS IN SEVERAL WAYS - III. AFRICAN COUNTRIES MUST PUT IN PLACE
INFORMATION- AND KNOWLEDGE-FRIENDLY STRATEGIES
3INTRODUCTION
- 3 new attributes of Information
- Information has taken on unprecedented scope as a
result of the rise of the mass media , the advent
of information technology, the spread of
telecommunication networks, and the convergence
of information technology, telecommunications and
audiovisual technologies. - Information has become much easier to create,
gather, process, store, disseminate and use in
day-to-day activities of firms. - Information has the virtually unique capacity to
be used, reused, processed, shared and exchanged
without losing value indeed, it generates added
value through this process.
4INTRODUCTION
- Information or Knowledge?
5INTRODUCTION
- INFORMATION OR KNOWLEDGE ?
A FIRMS REAL STRATEGIC RESOURCE LIES IN
KNOWLEDGE AND UNDERSTANDING RATHER THAN IN
INFORMATION ALONE
6INTRODUCTION
- Some concepts
- INFORMATION GOOD
- INFORMATION AND COMMUNICATION TECHNOLOGIES
- INFORMATION INDUSTRY
- INFORMATION SOCIETY
- INFORMATION ECONOMY
7 I. INFORMATION AND ECONOMIC GROWTH
THE MACROECONOMIC EFFECTS OF INFORMATION
8 I. INFORMATION AND ECONOMIC GROWTH
- ECONOMIC RESEARCH DEALING WITH THE RELATIONSHIP
BETWEEN INFORMATION AND ECONOMIC GROWTH GENERALLY
FOCUSES ON THE IMPACT OF THE INTRODUCTION OF ICTS
ON PRODUCTIVITY. - SOLOW PARADOX (1987).
-
9 I. INFORMATION AND ECONOMIC GROWTH
- THE END OF SOLOW PARADOX
- ECONOMETRIC TESTS RESULTS
- Source Gordon 2000
10 I. INFORMATION AND ECONOMIC GROWTH
- CONCLUSION THE LABOR PRODUCTIVITY GROWTH IS
STRONG AND COULD DERIVE FROM THREE SOURCES
(Haacker-Morsink (2002)) - Capital deepening, which gives workers increased
capital in quantitative and qualitative terms - A higher quality of the labour factor, including
more highly qualified manpower and - Increased total factor productivity (TFP) as a
consequence of technical advances, innovations or
restructuring of a companys working methods.
11 I. INFORMATION AND ECONOMIC GROWTH
- HOWEVER, ECONOMISTS REMAIN DIVIDED ON TWO
QUESTIONS -
- IS THE INCREASED LABOUR PRODUCTIVITY CAUSED BY
ICTS PERMANENT OR TEMPORARY? AND - IF THERE IS AN OVERALL INCREASE IN TOTAL FACTOR
PRODUCTIVITY, IS IT LIMITED TO THE ICT PRODUCTION
SECTORS OR DOES IT INCLUDE USER SECTORS?
12 I. INFORMATION AND ECONOMIC GROWTH
Diagram 1 Explicative factors of the
technical progress in the ICT sectors Source
Bureau fédéral du Plan de Belgique.
13 I. INFORMATION AND ECONOMIC GROWTH
Graph Effect of the growing use of ICTs on
the gross domestic product (GDP) of OECD
countries (Source OECD)
14 I. INFORMATION AND ECONOMIC GROWTH
- Research made in the Global Information
Technology Report 2004-2005, published by the
World Economic Forum, has found that - Countries with GDP less than 5000 enjoy the
highest productivity gain - Trade barrier is one of the critical factors on
the level of ICT usage.
15 I. INFORMATION AND ECONOMIC GROWTH
- ECONOMIC POLICY LESSON FOR LESS DEVELOPED
COUNTRIES (endogenous growth theory) - THEIR GOVERNMENTS MUST PROMOTE GROWTH BY
PROVIDING INCENTIVES FOR AGENTS ACTIVE IN THE
KNOWLEDGE PRODUCTION SECTORS, WHICH ARE
HUMAN-CAPITAL-INTENSIVE AND INCORPORATED INTO THE
GLOBAL IDEAS EXCHANGES NETWORKS.
16I. INFORMATION AND ECONOMIC GROWTH
- AN EMERGING NEW ECONOMY?
- SOME ECONOMISTS (GORDON (2000)
BOSTWORTH-TRIPLETT (2000)) HAVE DOUBT IN THE SO
CALLED DIGITAL REVOLUTION. FOR THEM, THE
IMPACT OF ICT DIFFUSION (TFP GROWTH) IS
CONCENTRATED SOLELY IN THE ICT SECTOR. - IN THE CONTRARY, HAACKER-MORSINK (2002) ESTIMATES
THAT ICT DIFFUSION HAS STRUCTURAL CONSEQUENCES ON
THE ECONOMY SIMILAR TO THE ONES GENERATED BY THE
PREVIOUS INDUSTRIAL REVOLUTIONS (ELECTRICITY,
TRANSPORTATION).
17I. INFORMATION AND ECONOMIC GROWTH
- AN EMERGING NEW ECONOMY?
- THE REAL ECONOMIC FACTS DEMONSTRATE THAT WE ARE
WITNESSING THE EMERGENCE OF A NEW ECONOMY - THIS NEW ECONOMY IS BASED, BUT NOT ONLY, ON
INFORMATION AND ICTS, WHICH BOTH STIMULATES AND
IS SUPPORTED BY THE PROGRESSIVE DOMINANCE OF THE
SERVICE SECTOR IN THE WORLD ECONOMY AND BY
LIBERALIZATION OF THE TRADE IN GOODS, SERVICES
AND IDEAS.
18I. INFORMATION AND ECONOMIC GROWTH
STRONG GROWTH WITH LOW INFLATION
CREATION OF NEW JOBS
ACCELERATION OF SCIENTIFIC INNOVATIONS AND THEIR
DIFFUSION
NEW ECONOMY
RE-ENGINEERING OF THE PRODUCTION METHODS OF
COMPANIES
INTEGRATION OF FINANCIAL MARKETS
EXPANSION OF E-COMMERCE
19 I. INFORMATION AND ECONOMIC GROWTH
- SEVERAL COUNTRIES ARE THUS SEEKING TO MAKE
INFORMATION THE ENGINE FOR THEIR DEVELOPMENT BY
ADOPTING A CLEARLY ARTICULATED VISION - CANADA (to become the first country to build an
e-economy in the twenty-first century) - FINLAND (the most competitive country in the
world) - IRELAND (to be the European E-hub)
- INDIA (major ICT exporter software)
- SINGAPORE (The intelligent island)
- MALAYSIA (Multimedia Super Corridor) .
20 II. INFORMATION AND COMPETITIVENESS
THE MICROECONOMIC EFFECTS OF INFORMATION
21 II. INFORMATION AND COMPETITIVENESS
- While economists continue to disagree as to the
macroeconomic impact of ICTs, this is not true
with regard to microeconomics. - There is a wide consensus to consider that
information and ICT play key roles in the new
competitiveness paradigm and that businesses must
adapt to this new deal.
22 II. INFORMATION AND COMPETITIVENESS
- There have been great changes in the concept of
the competitiveness of business and nations
intangible factors (such as know-how and
technical innovation) have taken on increasing
importance by comparison with tangible factors
(such as raw materials), radically transforming
the manner in which businesses operate.
23 II. INFORMATION AND COMPETITIVENESS
24 II. INFORMATION AND COMPETITIVENESS
- COMPETITIVENESS IS NOW ACHIEVED, NOT BY
DEVELOPING COMPARATIVE PRICE ADVANTAGES AND
COUNTING ON AN ABUNDANCE OF NATURAL RESOURCES,
BUT RATHER THROUGH INNOVATIVE PRODUCTS AND
PROCESSES AND SERVICES PROVIDED TO CUSTOMERS
(MICHAEL PORTER). - IT IS ACHIEVED THROUGH BETTER MANAGEMENT OF
KNOWLEDGE AND COMPETENCIES, GREATER FLEXIBILITY
AND BY DOING BUSINESS _at_ THE SPEED OF THOUGHT
(BILL GATES).
25 II. INFORMATION AND COMPETITIVENESS
INFORMATION AS A FACTOR OF COMPETITIVE ADVANTAGE
(Porter)
Role in the composition of products and services
Facilitate management tasks
Powerful marketing instrument
COMPETITIVE ADVANTAGE
26 II. INFORMATION AND COMPETITIVENESS
27 II. INFORMATION AND COMPETITIVENESS
- NECESSITY FOR THE FIRM TO ORGANISE INFORMATION
MANAGEMENT THROUGH - TECHNOLOGY WATCH
- KNOWLEDGE MANAGEMENT
- ECONOMIC INTELLIGENCE
- BENCHMARKING
28 II. INFORMATION AND COMPETITIVENESS
- CONSEQUENCES FOR THE FIRM
- NEW AND CONTNUOUS INVESTMENTS IN TECHNICAL AND
HUMAN RESOURCES - COMPLETE REDEFINITION OF STRATEGY
(OUT-SOURCING) - CHANGE OF STRUCTURE (A MORE STREAMLINED
ORGANOGRAM PARTICIPATIVE MANAGEMENT) - PUT THE CLIENTS AT THE HEART OF THE FIRM
OPERATIONS.
29 II. INFORMATION AND COMPETITIVENESS
- Roles of the State as strategist
- Acting as a model user of ICTs (E-Government)
- Promoting telecommunications infrastructures and
related policies - Regulating access to information
- Reducing imperfection of information
- Facilitating sharing and protection of
information - (in the framework of the ADPIC Agreement)
- Promoting Information for All (reduce the
digital gap) - Set an example by being transparent.
30 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION EDGE
- IS IT IN AFRICAS INTEREST TO USE INFORMATION AS
A BASIS FOR ITS DEVELOPMENT? - HAS IT THE POTENTIAL TO DO SO?
31 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- MOST AFRICAN COUNTRIES ARE POOR AND KEPT IN A
VICIOUS CIRCLE OF SLUGGISH ECONOMIC GROWTH AND
LOW COMPETITIVENESS - JUST AS POVERTY TENDS TO DIMINISH ACCESS TO
INFORMATION AND KNOWLEDGE SYSTEMS AND PROCESSES,
LACK OF ACCESS TO INFORMATION FLOWS AND KNOWLEDGE
SYSTEMS AND PROCESSES IS ITSELF A SOURCE OF
POVERTY.
32 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
33 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- AFRICA IS POOR BECAUSE
- IT CANNOT EASILY INTEGRATE
- INTO THE INFORMATION AGE.
34 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- THE ONLY WAY OUT OF ITS PREDICAMENT IS URGENTLY
TO ACHIEVE THE VISION OF -
BECOMING A KEY PLAYER IN THE INFORMATION SOCIETY
35 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- THE GLOBAL ECONOMYS TRANSITION TO AN
INFORMATION- AND KNOWLEDGE-BASED ECONOMY OFFERS
TO AFRICAN COUNTRIES NEW OPPORTUNITY TO DEVELOP
COMPETITIVE ADVANTAGES BASED ON THEIR HISTORY AND
ON THE SUBSTANTIVE CONDITIONS WITH WHICH THEY ARE
FAMILIAR.
36 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- 2 MAJOR HANDICAPS FOR AFRICA
-
-
INFORMATION IMPERFECTION
LIMITED SIZE OF MARKET
LOW CONNECTIVITY
LIMITED SPREAD OF ICTS
37 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- These fundamental handicaps, however, should not
be a reason to give up - Africas priority should be to demonstrate
political will, set the process in motion and
firmly commit itself to the pursuit of a
development strategy that gives primacy to the
dissemination of information, knowledge and ICTs.
38 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- NEED OF VISION AND POLITICAL WILL
- African Information Society Initiative (AISI) in
1996 - New Partnership for Africas Development (NEPAD)
- African Union Commission.
- NEED OF SUPPORT FROM INTERNATIONAL PARTNERS
- Millenium Development Goals
- Digital Solidarity Fund.
39 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- NEED OF APPROPRIATE STRATEGIES
- To develop and implement national strategies,
including sectoral strategies, reflected in local
strategies. - The national information and communication
infrastructures (NICI) are sufficiently complete
to serve as action frameworks. -
- .
40 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- Agenda for action
- Mainstream the NICI
- Earmark adequate budgetary resources
- Incorporate an information dimension into every
future public policy structure. - Remodel the regulatory policies in the economic
sphere - Follow-up and assessment.
41 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
VISION
OBJECTIVES
STRATEGIES
ACTION PLAN
42 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
Strategies to be implemented in the Committee on
Development Information (CODI) sectors
43 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- Information and Communication Technologies
(ICTs) - AFRICA CAN CLAIM A PLACE IN THE GLOBAL ICT
BUSINESS - ICT-USE-BASED SERVICES HAVE INCREASED DURING THE
PAST FEW YEARS AND THE SUPPLY IN THAT AREA IS
ALREADY CREATING MANY NEW OPPORTUNITIES IN AFRICA
(EXAMPLE CALL CENTRES).
44 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
-
- ICTS, BY MAKING INFORMATION AND KNOWLEDGE
ACCESSIBLE, CAN CONTRIBUTE TO POVERTY
ALLEVIATION. - BY USING ICT, SMALL PRODUCERS, WHO WERE HITHERTO
AT THE MERCY OF MIDDLEMEN, CAN INCREASE THEIR
INCOMES (SEE MANOBI CASE).
45 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- This calls for the development of a series of
information systems focused on the poor - These information systems may be related to
financially viable markets, income-generating
outlets, government services, governance issues,
health care, HIV/AIDS prevention and treatment,
education and capacity-building programmes. - They must be based on technologies and
applications adapted to the characteristics of
the target groups and to the environments in
which they live - Priority should be given to information systems
using the spoken word ( particularly in local
languages), sound and images or touch-screens.
46 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- To fully achieve the development potential of
ICTs, the emphasis should be on - The legal and regulatory environment
- Development of technical infrastructures
- Content in terms both of marketable products and
services, and of the promotion and development of
African cultural values - Development of the human resources necessary for
emerging areas of specialization, and life-long
training - Encouraging businesses to use information systems
and ICTs in every aspect of their work - Addressing governance issues relating to
information access, dissemination and use - Creation of information systems on markets, using
easily-available, low-cost and user-friendly
terminals.
47 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- Economic Statistics
- The availability of reliable statistical data is
of fundamental importance for private-sector
operators, who use them to make projections and
to take strategic decisions, especially with
regard to investments. - Statistical services should be able to properly
gather, process, analyse, interpret and
disseminate data quickly and impartially using
easily-accessible media. - The development of ICTs offers many opportunities
for statistical services to produce their
statistics more quickly and economically and
allows them to work on microeconomic data, which
they can then easily compile in order to study
larger bodies of data.
48 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- Economic Statistics (Cont.)
- Dissemination of data and consumer relations are
also improved by the emergence of ICTs.
Statistics can thus be posted on a web site and
subscriber companies can receive specific data on
their areas of activity electronically. - Informatics make it possible to draw up
consolidated company balance sheets in the level
of the Central Banks. It makes it possible to
identify a businesss risk potential in the
context of bank loans and thus to reduce
information asymmetry on the financial market.
49 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- Geographical Information Systems
- Measures to be taken at the national and
continental levels include - Sensitizing African decision makers to the value
and utility of studies based on geographical
information systems - Formulating national policies for the management
of geographical information - Strengthening local capacities in the area of
geographical information systems - Improving access to geographical information
- Conducting studies on the use of geographical
information systems in policy formulation - Supporting the African satellites projects.
50 III. STRATEGIES FOR AFRICA IN THE NEW
INFORMATION AGE
- Information services (libraries, archives and
documentation centres) - Information services encourage economic, social
and human-resource development and help promote
intellectual freedom and the preservation of
democratic values and civil rights - Information services are a means of reducing the
existing divide between the infos rich and the
infos poor (specially Public libraries) - Public information services can also be very
useful to small-and medium-sized enterprises and
industries
51MERCI