Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre Paul Keegan Deputy Director UK online for business

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre why SMEs are so important –economic –social the need to invest in ICT in training a unique opportunity – and threat the benefits of ICT to SMEs … … and to the local economy – = 5 how UK online for business intends to support you

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre SMEs and the South East Economy 630,000 businesses in South East 58.4 % of all employees in SMEs 49.2% of turnover by SMEs

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre  Local Government employs one tenth of the country’s workforce  Every minute council officers spend £200,000 on goods and services + £20,000 on administration  £25 billion per annum in England and Wales  £2.5 billion on transactions

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre  800,000 firms currently supply goods and services to Local Authorities  Many are not e-enabled  Many only supply locally  All Local Authority purchasing to take advantage of e- procurement by 2005  Significant risk to supplier SME’s

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre  a significant opportunity to invest in ICT with a real and compelling business case  non e-enabled suppliers WILL be excluded

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre The benefits of ICT to SMEs ability to supply LAs – and other organisations requiring e-procurement automated processes free staff for value-adding activities improved cashflow enhanced customer service lower costs – reduced stock levels etc

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre The multiplier effect in the local economy = 5 as firms invest in ICT, local trading becomes more efficient repetitive administration jobs replaced by value-adding jobs skilled workforce attracts firms to area ICT support firms develop – and then win business in neighbouring LAs increased competition drives efficiency and lowers prices – stronger local firms win against weaker firms in other areas

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre Not simply economic benefits small businesses increase opportunities for groups that are otherwise disadvantaged or excluded “discrimination or disadvantage is one of the factors influencing some members of ethnic minorities to set up in businesses.” SBS Small Firms : Big Business

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre The Opportunity for UKon4b To help ensure that the businesses involved can continue to do business with the LAs when they go live with e-Procurement To use the e-Procurement agenda as a driver for greater adoption of ICT by businesses and its fuller integration within their business process to increase productivity and competitiveness

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre UKon4b as a knowledge provider UKon4b has the content and collateral –which can help lever the resources to assist affected SMEs not only to access the e-procurement opportunity –but also appreciate and take advantage of the wider competitive advantage offered by the investment in ICT Web based resource to be created by UKon4b for all channels including a “roadmap” written by our industry partners for the SME supplier adopter highlighting all the benefits of ICT investment and spelling out the harsh alternative.Target date July 2003

Slough Borough Council Marketplace Event Thursday 5 th June 2003 Thames Valley Athletics Centre Paul Keegan UK online for business