EU initiatives in the e-Business domain

1. EU initiatives inthe e-Business domain Geneva, 10 November 2009 P. Potgieser

2. Driving forces • Lisbon Strategy for Growth and Jobs • Completion of Single Market • Promote e-business • Single Euro Payment Area • Key relevance of ICT

3. e-Skills e-Business W@tch e-Invoicing ICT Standardi-sation eBSN Holistic approach ICT related activities DG Entr

4. e-BSN - The e-Business Support Network:enhancing ICT and e-Business uptake • A network of 200 national and regional ICT and e-Business policy makers and experts from 32 EU Member States • Offers a “one-stop-shop” on e-Business Policies for SMEs • Shapes policy trends and supports policy coordination http://ec.europa.eu/enterprise/e-bsn/index_en.html

5. e-BSN: The e-Business Policy evolution First phase: 2000 – 2003 Policies Sponsoring basic ICT infrastructure and Internet Connectivity Second phase: 2004 - 2005 Towards Policies that seek to stimulate the Innovative potential of SMEs. They promote innovative business models enabled by ICT and eBusiness Third phase: 2006 – today Towards sector Specific eBusiness policies. These help SMEs participate in global digital supply chains in specific industry and services sectors http://ec.europa.eu/enterprise/e-bsn/index_en.html

6. Sector-specific pilot actions One large-scale pan-European pilot action in the textile/clothing and footwear sectors started January 2008 (http://www.ebiz-tcf.eu/) More sectors to be supported first half 2009 Streamline entire sectors by digitising whole supply chains helping companies use ICT-enabled solutions Other countries have been increasingly deploying such sector-specific eBusiness policy approach, e.g. ICT-SMEs 2010 (FR), Prozeus (DE) or ‘connected digitally’ (NL)

7. The Sectoral e-Business W@tch • To assess and measure the impact of ICT on ... • enterprises • sectors • the economy in general • To highlight barriers for ICT uptake • To identify public policy challenges • To provide a forum for debate with stakeholders • from industry • from policy • Sector studies • Chemical industries • Furniture • Steel • Retail • Transport & logistics • Banking • Cross-sector topic studies • RFID adoption and impact • Intellectual Property for ICT producing SMEs • ICT and e-business implications for energy consumption • Economic impacts and drivers of ICT adoption and diffusion • Impact on Employment • Productivity (process and production costs) • Innovation http://www.ebusiness-watch.org

8. The European e-Skills Agenda • Background • Growing e-skills shortages in Europe • Fragmented approach and cyclical problem (bubble burst) • European e-Skills Forum and ICT Task Force Report (2006) • Long term problem requiring a coherent and consistent agenda • ICT Industry led-initiative • e-Skills Industry Leadership Board (06/2007)www.e-skills-ilb.org • EU Policy Communications • COM(2007) 496: “e-Skills for the 21st Century: Fostering Competitiveness, Growth and Jobs” (07/09/2007) • e-Inclusion Initiative

9. Implementing the e-Skills Strategy • Good Progress in 2008: • EU e-Competence Framework, www.ecompetences.eu • European e-Skills and Careers Portal, htttp://eskills.eun.org • Successful Multi-stakeholder Partnerships • Report on the Impact of Global Sourcing • Future work (2009-2010) will concentrate on: • European ICT Curriculum guidelines • Relevant fiscal and financial incentives • Better and greater use of e-learning • EU e-Skills Week: awareness raising campaign (1Q2010)

10. ICT Standardisation Policy - Background • An efficient European ICT standardisation policy is key in support of innovation and competitiveness of European enterprises. • At the same time, the formal and unofficial standardisation systems should combine their efforts to better respond to the needs of the society. • DG ENTR study (2006-2007) • Open event of 12/2/2008 • Steering Committee http://ec.europa.eu/enterprise/ict/policy/standards/ict_index_en.htm

11. Stakeholders’ Expectations • Linked to market and policy developments and thus supporting competitiveness and innovation • Accommodate the dynamics of the ICT sector (infrastructures and applications) • Allow for fast standard setting to provide industry/SMEs with high quality standards which balance competitiveness expectations with societal needs • Re-position EU standardisation at global level and strengthen co-operation EU wide and globally • Ensure consumer satisfaction • Strengthen the internal market by fostering reference to standards in legislation / policy on the basis of common criteria for processes • Increase quality, coherence and consistency of ICT standards • Support implementation of standards

12. The White Paper [COM(2009) 324] The White Paper of 3 July 2009 suggests some policy options: • Defining the attributes which make ICT standards eligible for association with EU legislation and policies • Updating the public procurement provisions of Council Decision 87/95/EEC • Fostering synergy between ICT research, innovation and standardisation • Implementing clear, transparent and balanced IPR policies • Enabling the referencing of specific fora and consortia standards in relevant EU legislation and policies subject to a positive evaluation with regard to the above attributes • Creating a permanent stakeholders’ platform

13. Attributes for Eligibility (1) Standardisation Process • Openness: The standardisation development process occurs within a non-profit making organisation on the basis of open decision making accessible to all interested parties. The open standardisation process is driven by the relevant stakeholder categories and reflects user requirements. • Consensus: The standardisation process is collaborative and consensus based. The process does not favour any particular stakeholder. • Balance: The standardisation process is accessible at any stage of development and decision making to relevant stakeholders. Participation of all interested categories of stakeholders is sought with a view to achieving balance. • Transparency: The standardisation process is accessible to all interested parties and all information concerning technical discussions and decision making is archived and identified. Information on (new) standardisation activities is widely announced through suitable and accessible means. Consideration and response is given to comments by interested parties.

14. Attributes for Eligibility (2) Standards • Maintenance: Ongoing support and maintenance of published standards, including swift adaptation to new developments which prove their necessity, efficiency and interoperability, is guaranteed over a long period. • Availability: Resulting standards are publicly available for implementation and use at reasonable terms (including for a reasonable fee or free of charge). • Intellectual property rights: IP essential to the implementation of standards is licensed to applicants on a (fair) reasonable and non-discriminatory basis ((F)RAND) , which includes, at the discretion of the IPR holder, licensing essential IP without compensation. • Relevance: The standard is effective and relevant. Standards need to respond to market needs and regulatory requirements, especially when those requirements are expressed in standardisation mandates. • Neutrality and stability: Standards should whenever possible be performance oriented rather than based on design or descriptive characteristics. They should not distort the (global) market and should maintain the capacity for implementers to develop competition and innovation based upon them. Additionally, and in order to enhance their stability, standards should be based on advanced scientific and technological developments. • Quality: The quality and level of detail are sufficient to permit the development of a variety of competing implementations of interoperable products and services. Standardised interfaces are not hidden or controlled by anyone other than standard setting organisations.

15. Ongoing and Future Work • Public consultation (until 15 September 2009) • Impact assessment (January 2010?) • Proposal for the revision of Council Decision 87/95 and/or Directive 98/34/EC (mid-2010)? • In co-ordination with the horizontal standardisation review

16. Further Information • White Paper http://eur-ex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2009:0324:FIN:EN:PDF • Public Consultation http://ec.europa.eu/yourvoice/consultations/index_en.htm#open • ICT Standardisation - DG ENTR http://ec.europa.eu/enterprise/ict/policy/standards/ict_index_en.htm • E-mail entr-ict-standardisation@ec.europa.eu

17. e-Invoicing… • Simplifies processes, reduces administrative and financial costs, facilitates transition to new business models • Links the procurement and payment process. Full electronic invoice integration can generate substantial cash flow efficiencies and cost reductions • Benefits apply to both the sender and the receiver of an invoice. Can be reaped in private sector and public sector alike. • At EU level, savings potential of moving to e-Invoicing has been quantified at €40 billion annually over 6-year period (study undertaken on behalf of the Commission). • Positive environmental effects by reducing paper consumption

18. Expert Group on e-Invoicing - Mandate • Defined in Commission Decision of 31 Oct. 2007: • Identify: • shortcomings in current regulatory framework • e-invoicing business requirements • relevant e-invoicing data elements • Propose: • responsibilities for standardisation bodies and time schedule • European e-Invoicing Framework (EEI)

19. End Result: EEI Framework • Achieves interoperability of e-Invoicing solutions • Basis for common business rules and technical standards • Increase incentives for electronic trade • Remove barriers to e-invoicing

20. The future e-Invoicing environment

21. e-Invoicing Expert Group Deliverables • Delivered so far… • Mid-Term Report • Code of Practice on e-invoicing in Europe • Provide guidance to tax authorities and businesses To come by end of 2009 • European e-Invoicing (EEI) Framework http://ec.europa.eu/enterprise/ict/policy/einvoicing/einvoicing_en.htm

22. Delivery Information Delivery Guarantee Payment Guarantee Order / e-signature Deviation info Invitation to tender e-Invoice Direct debit adv Statements - tax etc Payment Assurance Payment Account statement E-invoice Content Standards – Link to supply chain and payments Demand estimate Buyer Supplier Offer

23. E-invoice Content Standards – Link to supply chain and payments UN/CEFACT Buyer Seller Goods / Services Information Exchange ISO 20022 Buyers bank Sellers bank

24. Expert Group provisional recommendations on e-Invoicing standardisation • The long-term e-Invoice landscape needs to contain e-Invoice content standards, but in fewer formats and expressions than exist today as this is a barrier for mass adoption. • In this context, the Expert Group makes the following recommendations: • R4.1: The EG recommends that the UN/CEFACT Cross Industry Invoice (CII) v.2 is adopted by all actors within both the private and public sector, as the common reference semantic data model upon which future e-invoice content standard solutions are based. CII v.2 is currently the only international data model that covers the requirements of different industries and sectors. It provides the required connection between the various supply chain messages and is integrated with financial services requirements. UN/CEFACT products and standards are recognised and accepted globally. • R4.5: The EG recommends that UN/CEFACT and ISO, as global standards organisations, should continue to collaborate on the development and maintenance of the CII and implement the model in their own interoperable methodologies and data dictionaries to enable maximum integration of the procurement, invoicing, payment and reconciliation processes. This will continue to foster end-to-end STP and will support migration to SEPA. It will simplify message conversion, integration and communication. It will also help to minimise implementation costs for SMEs. • R4.8: The EG recommends that UN/CEFACT as the supplier of CII should deliver the mechanism to cater for such standardised extensions and recording of subsequent variant usage of the CII and to provide more detailed user guidance on the CII. Recommendations quoted from final draft version of the Final Report. Subject to approval by the Expert Group

25. Observations • It is very hard to find non-technical and non-development-related information about deliverables of UN/CEFACT itself: • Broken links, fragmented multiple websites, unclear status, … • The information available is not suitable for an audience coming from a public or private sector • Progress is measured in ODP, while dd/mm/yyyy would bring the message • The way in which information and deliverables of UN/CEFACT are disseminated is not very well known, as is the way in which stakeholders could interact • It is very hard to find non-technical and non-development-related information about the relation between developments and deliverables of standardisation in general. • This lack of information was the driving force behind the meeting organised by the Commission in 2008 about the UN/CEFACT – OASIS/UBL convergence

26. Further Information • DG ENTR unit web site: http://ec.europa.eu/enterprise/ict/index_en.htm • Contact European CommissionEnterprise and Industry Directorate-GeneralDirectorate:  Innovation Policy Unit D4: ICT for Competitiveness &  InnovationB-1049 Brusselsfax: +32 2 2967019E-mail: entr-ict-for-comp-and-innovation@ec.europa.eu