eBusiness benchmarking report highlights lessons from good policy practice
The final results of a European Commission report on 'Benchmarking national and regional e-business policies for SMEs (small and medium-sized enterprises),' published on 12 June, highlights a number of lessons which can be learned from good policy practice in encouraging Internet take-up among small businesses. Writing in a foreword to the report, Enterprise and Information Society Commissioner Erkki Liikanen described the study as a launchpad to further action. He said: 'We are keen to take forward the lessons from it, sharing and building on the experience of different Member States and regions.' Mr Liikanen said an e-business network is to be established to share and learn from good practice. The network will act as a follow-up to the benchmarking initiative by bringing together European, national and regional players to strengthen action in support of e-business for SMEs. The report sets out 15 lessons to be learnt from good policy practice in helping SMEs to 'go digital.' The first lesson the report describes is that policy intervention should be underpinned by solid data and research. 'Decision-makers and key stakeholders are more likely to create policies which respond to real needs and which are forward-looking if they are well informed,' the authors state. 'Solid research and baseline data are necessary to identify what the obstacles are, where the market is potentially failing and which policy intervention is needed.' The report also recommends a broad and continuous process of consultation with business in order to ensure flexible and adaptable e-business policies. It says: 'In a dynamic and evolving sector such as e-business, the needs of SMEs will change over time, sometimes rapidly...Policies should be capable of reacting to change and cannot simply rely on one-off statistical evidence.' The report also urges governments to give careful consideration to the best policy 'mix' to address their specific challenges, and to the coordination of policy instruments within a clear overall policy framework. The adaptation of e-business policies at the regional level to meet the needs of different regions and sectors is also recommended. Public-private partnerships will be instrumental in promoting e-business, according to the report. Radical organisational changes are needed to effectively integrate e-business practices, and although public authorities have a role in promoting the use of e-business by enterprises, 'the final responsibility for structural changes remains with enterprises, whether they are large or small.' The report explains that public-private partnerships can pay an important role in this, reflecting the shared interests of public authorities and businesses. SMEs both need and value independent advice, the report says, and can benefit from sharing experiences and tips with other small businesses. The use of media and trusted intermediaries such as chambers of commerce was also found to be useful for 'spreading the word' about e-business. In addition, the report states that 'like other support actions, e-business policies for SMEs should be based on clear targets.' It explains that while setting realistic and achievable targets is a challenge, 'targets should be, as far as possible, adjusted to reality.' It also calls for policies to be backed up by a clear action plan and sufficient resources, and for a process of evaluation to assess policy results against pre-defined objectives. Communication is also considered to be a key element in driving forward e-business goals. 'Put simply, if a policy isn't communicated effectively, it can't reach its target users and thus cannot be effective,' say the report's authors. It calls for each action in support of e-business for SMEs to have a dedicated budget for communication. The report also calls for clear limits to be set on specific e-business policies, so they can be wound up once the original policy objective or market deficiency has been dealt with. But it also argues that the benefits of e-business policy initiatives should aim to create self-sustainable services once they come to an end. And it calls on policy makers at all levels to watch for opportunities to learn from other successful projects as 'a successful policy initiative, no matter where it is designed and implemented, is capable of providing lessons, inspiring and generating ideas for other successful policies.'