Kevin Morley MBA Head of ICT Policy

1. Kevin Morley MBA Head of ICT Policy The Review of the North West Regional Strategy for Information Communication Technology Kevin.Morley@nwda.co.uk 01925 400253

2. Background Jan 2002 Regional ICT Strategy, englandsnorthwest connected launched with a series of indicative actions Apr 2000 First Regional Economic Strategy Apr 2003 Revised Regional Economic Strategy and action plan Rapid rate of change and revised RES means a review of englandsnorthwest connected and action plan is now timely

3. The Evidence Base – Regional ICT Data Collection Initiative • Survey completed first quarter 2004 • 9,000 businesses, 9,000 households, 1500 public sector organisations • ONS approved methodology • Robust at Regional, Sub-Regional and some Local Authority levels • Initial analysis of the data results completed by PA Consulting • Data analysis conducted by a number of organisations • Private and Public sector partners invited to assist analysis • MITER, Microsoft, IBM, LJMU, BT, e-skills UK Evidence Based Policy Making

4. The Ingredients for the right mixture Survey Evidence Conclusions • Key involvement from ICT Corporates and VARs • Increased external knowledge of NW and increased understanding of partner requirements Launch Draft Strategy Consultation

5. Key Findings • Of those businesses not using ICT, a large percentage see no business case for change • New markets and new products are identified as important yet ICT is not being effectively used to assist achievement of these goals • Businesses are not clear on where to go for robust advice on ICT exploitation • There are traditional low and high ICT adopter sectors with low adopters seeing no business case to embark on ‘risky’ ICT adoption • Small firms are not able to exploit ICT as effectively as larger firms • 33% of businesses do not have a web presence • Some sectors have failed to experience productivity gains from ICT adoption and use e.g. Hotels and Restaurants and Construction • Less than a quarter of businesses have been able to innovate products and services with ICT

6. Key Findings • 26% of businesses surveyed do not currently use computer systems • E-commerce exploitation is low amongst businesses • Provision of on-line training is low with 79% of businesses not offering on-line training • Low percentages of businesses use ICT to communicate with customers and suppliers • Only 2% of businesses generate more than half their sales through ICT • 65% of households feel they do not have the necessary ICT skills • Significantly lower use of ICT amongst older age groups • 54% of citizens have not accessed the internet • 74% of those asked would not use the internet for e-government

7. Key Findings • Nearly half of all respondents are not confident in using e-mail • Cost is a leading disincentive amongst citizens • Only 15% of citizen respondents said ICT has assisted learning opportunities • Enhanced work status links to increased take up • 41% of citizens have never personally used a PC • Nearly 70% of public organisations believe there will be a positive impact on the quality of public services through e-government • Where ICT has been implemented with a specific focus over 80% of public organisations have reported a positive impact

8. Conclusions from the data • Lack of trust in the real potential of ICT to deliver – clear ‘selling case’ required • ICT is seen as a luxury item that is far from ‘risk-free’ • Lack of knowledge about what ICT can do for individuals or for business • Lack of awareness about the tangible impact of ICT – real benefits • Absence of effective plans for implementing ICT leading to limited success • ICT is not exploited effectively as a sales/trading platform • Benefits of e-government are not widely known or understood • Lack of clarity about where to go for ICT advice • Absence of advanced skills to enable ICT adoption – low take up driving low demand • Resistance to technology is commonplace in some industry sectors

9. ICT Strategy Review Process • Part of an ongoing process • Discussions with partners continuing • Developing sub-regional Digital Development Agency structures adding a sub-regional emphasis to strategy and activities • 2 consultation events per sub-region, public, private and citizen representation • Consultation responses analysed by end September 2004

10. Key ICT Strategy Themes • Awareness • Providing effective, just-in-time promotion of the benefits of ICT; and in turn providing both businesses and citizens with the opportunity to understand and access the benefits that ICT offers, both universally and personally • Ensuring that businesses and citizens are aware of where to go for appropriate advice and guidance on the opportunities that ICT offers • Skills • Ensuring individuals have the skills and confidence necessary to access the relevant benefits offered by ICT • Enabling individuals and to access opportunities to advance their skills and achieve personal growth through ICT; providing the North West with a more attractive workforce supporting existing and future employers, while improving quality of life

11. Key ICT Strategy Themes • Harnessing the Benefits • Providing an effective support route for advice and guidance, enabling the adoption of ‘just enough ICT’, so that businesses and citizens acquire ICT solutions relevant to their needs, thereby securing maximum benefit – (“what I want, when I want, how I want”) • Enabling businesses and citizens to realise the full potential of the ICT they currently have; acknowledging ICT as a critical tool in delivering business profitability and enhanced quality of life

12. Thank you Kevin.Morley@nwda.co.uk 01925 400253