ESTP – Course Structural Business Statistics Norbert Rainer Eurostat, Luxembourg 17-19 October 2012 NACE classification (3) Implementation of NACE Rev. 2, interpretation of NACE Rev. 2, and quality of the NACE coding

Content Implementation of NACE Rev. 2 Interpretation tools and methods Quality of the NACE coding

Challenges of the NACE Rev. 2 implementation First time that a real classification revision was to be implemented Classification is used in a lot of statistical domains Importance of the statistics does not allow to have an interruption in the data provision process Revision of classifications results into breaks in time-series The classification change influenced all steps of the production of statistical data Backcasting requirements Double reporting unavoidable Statistical domains depend on each other Statistical domains depend on business register The whole process takes years It is very costly!

Principles of implementation and issues involved Co-ordination between EU- and national level Co-ordination within the national level within NSI between NSI and other producers of official statistics Smooth and coordinated transition to minimise transition problems Transition to take place at the same time to avoid a loss of coherence of the statistical system Common methodology Co-ordinated information policy

Ex-post evaluation of the NACE Rev. 2 implementation Usefulness of the implementation handbooks Implementation plan Implementation in business registers Sampling designs and weights estimation Back casting Glossary Country experiences and practices Lessons learned for future implementations

Interpretation tools and methods (1) Explanatory notes of NACE Rev. 2 Explanatory notes of CPA and Combined Nomenclature Alphabetical index Classification experts CIRCA discussion forum

Interpretation tools and methods (2) How to find the correct place of a certain activity in NACE Rev. 2: What is the activity in question? What is it not? Similarity between the activity in question and the activities described in NACE Rev. 2 Don't use automatically “other”- classes

Interpretation tools and methods (3) Circa discussion: Coaching activities “Live coaches”: The coaching process addresses specific personal projects, business successes, general conditions and transitions in the client’s personal life, relationships or profession by examining what is going on right now, discovering what your obstacles or challenges might be, and choosing a course of action to make your life be what you want it to be. In the discussion proposed classifications: 70.22 Business and other management consultancy activities 85.59 Other education n.e.c. 88.99 Other social work activities without accommodation n.e.c. 96.09 Other personal service activities n.e.c. A decision is not yet made.

Interpretation tools and methods (4) Circa discussion: Financial market activities Activities of a daughter company, which is doing the financial management for all the companies within the enterprise. In the discussion proposed classifications: 66.19 Other activities auxiliary to financial services, except insurance and pension funding 70.22 Business and other management consultancy activities Decision taken: 66.19 Other activities auxiliary to financial services, except insurance and pension funding. Explanation: The first inclusion in CPA 2008 subcategory 66.19.22 fits to the activities in question. The following is mentioned there: "... arranging corporate financing including debt, equity and venture capital financing“.

Interpretation tools and methods (5) Circa discussion: Installation of wind energy plants The activities include construction of the base plate (pouring of the foundation of concrete), assembly, erection of the wind energy plant and the tower and electro technical installation (installation of control module, wiring, access of electric generator, link to the grid, starting). In the discussion proposed classifications: 42.22 Construction of utility projects for electricity and telecommunications   Decision taken: Explanation: On the basis of a previous discussion about the construction (erection) of solar power plants (with foundations, solar panels, power converters and other necessary technical equipment).

Quality of the NACE coding (1) Importance of the NACE coding Tabulation and structural analysis Definition of survey coverage Criterion for reporting obligation Information basis for coding Business description Information from statistical surveys Information from special register surveys Other sources

Quality of the NACE coding (2) Quality assurance Correct first coding and update Analysis of the change of NACE codes in the past Definition of quality levels Programme of regular checks of the NACE code statistik.at

Thank you for your attention! Please address queries to: Norbert Rainer Contact information: Guglgasse 13, 1110 Vienna phone: +43 (1) 71128-7703 fax: +43 (1) 771128 -7053 norbert.rainer@statistik.gv.at Thank you for your attention!