1. ASEAN e-Measurement Initiative and Thailand Case Study The Needs and Challenges of e-Measurement in the Developing Countries
Dr. Somnuk Keretho
Director, Electronic Commerce Resource Center
National Electronic and Computer Technology Center
Delegate, e-ASEAN Working Group
Co-Shepherd, ASEAN e-Measurement Sub-Working Group
UNCTAD Expert Meeting
Measuring Electronic Commerce
As an Instrument for the Development of the Digital Economy 8-10 September 2003, Geneva

2. Topics
Needs of Enhancing ICT-related Competitiveness and Monitoring the Development in ASEAN
e-ASEAN Framework Agreement
ASEAN e-Readiness Assessment 2001
Lack of Statistical Data & Methodology
Challenges of Measuring e-Commerce/ICT
ASEAN e-Measurement Framework & Forum
Some Approaches in Thailand
Recommendations to UNCTAD
What has been done so far in ASEAN with respect to ICT measurements (who, what, why).
the ASEAN e-measurement framework and forum
what is it, who participates, objectives, results, future projects etc.
The specific subject areas on e-measurement that were addressed in the past and those that are considered as particularly important for countries in the region.
What about business surveys (the focus of this meeting).
How much is already going on in the region with respect to collecting ICT usage indicators by businesses?
How does the work carried out so far in ASEAN compare with what has been done, for example, at the OECD level (mainly looking at ICT usage indicators).
How can we converge the work at the regional level and harmonise it at the international level?
How can we work towards developing indicators that will be comparable globally?
What can an organization such as UNCTAD do to support the work at the regional level, and to create an international forum for discussion at the international level?

3. Goals, Policy Framework & Assessment
Chinese proverb: If you don't know where you
are going, any road will do.
Humphrey proverb: If you don't know where
you are, a map won't help.
Assessment (Measurement)
Policy Framework (Map/Guidelines
for improvement)

4. #1 Embracing Continuous Improvement (CI) Framework within our National and Regional e-Strategies
PDCA

5. e-ASEAN Framework Agreement
eASEAN Framework Agreement signed by ASEAN Leaders at ASEAN Summit in Singapore in November 2000
Six main thrusts:
Establishment of ASEAN Information Infrastructure
Growth of electronic commerce
Liberalisation of trade in ICT products and ICT services, and of investments
Facilitation of trade in ICT products and services
Capacity building and e-Society
e-Government

6. The Needs of Measuring e-Commerce/ICT in developing countries
ASEAN e-Readiness Assessment 2001

7. ASEAN e-Readiness Assessment (2001) 153 Indicators
Categories
Workforce
Localisation
Public Access points
Home users
Business Users
Education
e-Society
Categories
Communication Infrastructure
Communication Sector
IT Sector
Internet Access Services
ISP Sector
End User devices
Affordability
Categories
Current Status
Taxation
Legal Framework
Payments
Physical Distribution
Infrastructure
e-ASEAN Framework Goals
e-Commerce
Categories
Penetration
Use Type
organisation
Promotion
Liberalising Trade in ICT Goods and Services
e-Government
“ASEAN e-Readiness Assessment: Executive Summary,” 2001
wwww.e-asean.info

8. Overall Mean Scores (infrastructure, e-Society, e-Government, e-Commerce) Varying Stages of e-Readiness (2001)
ASEAN e-Readiness Assessment (2001)

9. Different Stages of e-Commerce Development need Different e-Commerce Strategies
The countries with similar levels of development were clustered
using the four stages of development to identify
their common challenges and potential focus areas

10. Lessons Learned from ASEAN e-Readiness Assessment
Recognizing the needs in monitoring and measuring e-Commerce & ICT development
Lack of many primary data
Lack of appropriate measurement methodologies to collect several reliable statistical indicators.
Ambiguity over definitions & scope of coverage (internationally comparable data are needed).

11. When you can measure what you are speaking about, and express it in numbers, you know something about it; but when you cannot measure it, when you cannot express it in numbers, your knowledge is of a meager and unsatisfactory kind.
—Lord Kelvin

12. Challenges of Measuring and Monitoring e-Commerce/ICT Development
ASEAN e-Measurement Framework
initially proposed during
“The 1st ASEAN Workshop on Measurement of Digital Economy”, September 2002
then endorsed by e-ASEAN Working Group & e-ASEAN Task Force, October 2002, Bangkok

13. ASEAN e-Measurement Framework
Recognizing the challenges & needs of measuring and monitoring the digital economy.
To develop a common reference framework
To establish guidelines on the definitions, data collection and measurement methodologies of ICT and e-commerce indicators (including e-readiness, e-usage and e-impact),
To exchange methodologies & lessons learned
To ensure comparability of data across ASEAN+3 member countries and internationally;
*Endorsed by e-ASEAN Working Group & e-ASEAN Task Force October 2002, Bangkok

14. Measuring ICT/e-Commerce Development
e-Impacts
Value added, return on Investment
employment, R&D and
patents in ICT
industries, trade in ICT
goods, cross-border
mergers, acquisitions
and alliances,
job creation, productivity,
and social impacts
e-Usage
Internet subscribers, PC in
households, Internet use
by households and
individuals, Internet use by
enterprise size and industry,
Internet transactions
e-Readiness
ICT investment, ICT
spending, ICT
occupations,
telecommunication
access paths, broadband
penetration rates,
Internet hosts, number of
Websites, Internet
access prices
OECD/WPIIS

15. e-Measurement Dimension
Demand-Side and Supply-Side Indicators
Demand-Side: ICT Usage
Supply-Side: Infrastructure, ISPs, ICT Industry etc.
ICT Usage
Household surveys
Business surveys
Government surveys
ICT Impact in Business, Government & Society
e.g. impacts to productivity, how ICT could reduce poverty and in what ways.

16. ASEAN e-Measurement Activities in 2003
Establish an ASEAN e-Measurement WG
2nd ASEAN e-Measurement Workshop, 28 Sept 2003, Yangon, Myanmar
Stocktaking ICT/e-commerce surveys in each member country
Discussing on common definitions for a preliminary list of key ICT Indicators
Discussing some model surveys and the data collection methodology

17. Integrating the ICT strategy with measurement activities
Measurement and Statistics should be done to help the Social & Economic Development, not for its own sake.

18. Some Approaches in Thailand

19. #2 Gaining the political view, establishing an institution and securing the funding

20. National Policy Framework
National IT Policy : IT 2010
National ICT Master Plan
Each flagship is defined with measurable goals and timing
A recommended list of ICT indicators
An institution and mechanisms to monitor ICT development are needed.
Ministry of ICT (formed in Oct 2002), tasks National Statistical Office to lead e-measurement activities.
For example,
Some goals for the strategy to promote ICT usage by SMEs are ,000 more SMEs use IT back offices for their internal management by the year 2006,
- The 10% increase of SMEs joining in B2B/B2C Supply Chain Management every year. We need to monitor the progress of our strategy and action plans, are they effective and how much we have reached the target and what are the barriers?

21. Close Collaboration Establishing an e-measurement working group
Ministry of ICT (e-Strategy)
National Statistical Office (e-Measurement)
Ministry of Commerce (e-Commerce Strategy)
NECTEC, Ministry of Science & Technology (R&D)

22. #3 Starting small, then scaling up later and continuously improving.
Iterative & Incremental Approach is a good strategy to explore an unknown and ill-defined territory.

23. Adding few questions to existing surveys
Because of budget constraints, early stages of ICT development, and the learning curves of both users/businesses & statisticians.
Household Survey 2001, Phones/Fax, PC & Internet Usage by Households
Public Survey on e-government 2003
Parent Survey on Children Internet Usage 2003
Business Survey 2002, 2003, 2004
PC, Internet, EC Web + (online volume, 2004)
Manufacture Survey 2003
Agriculture Survey 2004* + linking with the ICT strategy for rural development

24. e-Commerce Web Survey 2000, 2001, 2002
A Semi-Automatic & Low-Cost Project
Thai e-Commerce Websites, starting with the list of .co.th & .com domains
Different Levels of E-Commerce Development and key characteristics
Information (brochure ware)
Interaction (simple forms for download)
Transaction (online ordering, online or offline payment)
Collaboration (XML-based information interchange)
In 2001,
88% of business websites are at “information/brochure ware” level
11% are transaction level – EC web sites
Tourism Industry is the most sophisticated industry in providing more advanced EC services.
Because of this information, Tourism sectors are chosen by government to promote the usage of E-Commerce Technology and Management at the collaborative XML-based level (the new generation of EDI over Internet).

25. Automatic e-Gov Services Survey
Make it automatic, to lower the cost of the survey (SEE Project, see.thaigov.net)
A software search engine is developed to monitor the development levels of e- Government Websites (quarterly survey)
Information (brochure ware)
Interaction (simple forms, e.g. business registration forms)
Transaction (online transaction, e.g. e-Filing)
Collaboration (XML-based information interchange, e.g. e-Government One-Stop Services)

26. e-Commerce Key Players Surveys
Starting ICT Surveys on a small group of key players (applying the golden rule: 80/20)
B2B/e-Marketplace and B2C Survey for ICT business usages, 2002
Using OECD E-Commerce Definition
Modifying OECD Model Questionnaire
e-Payment Survey in Commercial Banks, 2002

27. ICT/EC Usages by Enterprises, 2003
The business list is compiled.
Early forms of questionnaire have been trialed and improved.
Larger scale and separated surveys with more questions will be conducted in 2004.
+Online sales, and purchases volumes

28. Conclusion & Recommendation

29. Conclusion
Integration between ICT strategy/policy and measurement/assessment activities
Develop measurable goals/indicators within the e-strategies
Secure the political will and funding
Create institutional capability
Develop data collection methodologies
Incrementally improve both e-strategy & e-measurement
Collaborate regionally and internationally
Measurement and Statistics should be done to help the Economic Development, not for its own sake.

30. Possible Roles of UNCTAD
Help creating the political will (national EC strategies + e-Measurement + continuous improvement mechanisms)
Recommend the concept to the WSIS process
Develop PDCA guidelines for e-Commerce Policy Framework
Collaborate and assist developing countries to develop national e-measurement strategy
Creating a forum, information & tools exchange between statistical offices from developed countries and developing countries
Sharing models of some specific national surveys on ICT and e-Commerce
UNCTAD EC & Development Report 2004?

31. “In God we trust, all others bring data.”
W. Edwards Deming
Let me end my presentation
By the wording of a guru in quality improvement framework.
“In God we Trust, all others bring data.”
Thank you for your attention.

32. Dr. Somnuk Keretho E-Commerce Resource Center/NECTEC sk@ku.ac.th
Thank You
Dr. Somnuk Keretho
E-Commerce Resource Center/NECTEC