ICT for Competitiveness and Innovation Costas Andropoulos Head of Unit - ICT for Competitiveness and Innovation Athens 20 January 2009

The Key Relevance of ICT  Represents with 670 Billion Euro over 6 % of EU GDP and employment in  Software has a share of 11.3 % and IT services 20.9 % of the total ICT market value.  50 % of the EU productivity growth, (1,1% between ) comes from ICT. EU ICT Sector Relevance of ICT  Impacts the competitiveness as an enabling technology.  Enables process and product innovations.  Improves business processes along the whole value chain.  According to a recent study* “Money spent on computing technology delivers gains in worker productivity that are three to five times those of other investments”. ICT as General Purpose Technology *Study by the IT and Innovation Foundation

THE COMPETITIVENESS & INNOVATION framework PROGRAMME - CIP Entrepreneurship and Innovation Programme (EIP) Information Communication Technologies Policy support Programme (ICT PSP) Intelligent Energy Europe (IEE) Better access to finance for SMEs through venture capital investment & loan guarantee instruments Business & innovation support services delivered through a network of regional centres Promotion of entrepreneurship & innovation Support for eco-innovation Support for policy-making that encourages entrepreneurship & innovation Developing a single European information space Strengthening the European internal market for ICT & ICT- based products & services Encouraging innovation through the wider adoption of & investment in ICT Developing an inclusive information society & more efficient and effective services in areas of public interest Improving of quality of life Fostering energy efficiency & the rational use of energy sources Promoting new & renewable energy sources & energy diversification Promoting energy efficiency & new energy sources in transport ~2,170 M€~730 M€ Source for further information:

The ICT-related CIP programme at a glance The ICT PSP runs from 2007 to 2013 and builds on the aims of the previous e-TEN, Modinis and e-Content programmes and will support the aims of the integrated strategy i European Information Society 2010.e-TEN Modinise-Contenti European Information Society 2010 Develop show cases of ICT based innovations. Analyse current, and prepare for future developments. Diffuse widely the results. The aim ICT PSPParticipants of the programme The programme is open to legal entities established in the EU. Legal entities established outside the EU may participate on equal terms. Other third countries may participate on a case-by-case basis but will not receive any funding.

ICT PSP priorities and instrument Those that support EU ICT policy objectives. Those that support innovation policy objectives. Focus on areas that need financial intervention at EU level. Readiness of the stakeholders to mobilise financial and human resources to carry out the actions. Priorities Building on interoperability initiatives in member states / associated countries. Stimulating innovative use of ICT in public & private sector. Thematic Network: Mobilisation/Exchanges between practitioners & policy makers. Best practice network: Combining consensus building / awareness raising / large scale implementation only for supporting Digital library. Main Instruments Source for further information:

The e-Business Support Network Enhancing ICT and e-Business uptake for SMEs e-BSN 200 national and regional ICT and e-Business policies for SMEs in 30 countries. Policy shifts  from sponsoring ICT investment towards coaching SMEs to innovate through ICTs  towards sector specific policies. e-BSN portal offers a “one- stop-shop”. e-BSN shapes policy trends and supports policy coordination. Sector specific policies help SMEs participate in global digital supply chains. A wide range of e-Business policies at European, national and regional level are increasingly backing up this new trend.

The e-Business Guide for SMEs Intelligent application that helps SMEs self-diagnose e-Business needs, proposes solutions using local ICT service providers.

Sector-specific pilot actions Streamline entire sectors by digitising whole supply chains helping companies use ICT-enabled solutions One large-scale pan-European pilot action in the textile/clothing and footwear sectors started January 2008 ( tcf.eu/) tcf.eu/ More sectors to be supported first half 2009

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) EU Policy Communications  COM(2007) 496: “e-Skills for the 21st Century: Fostering Competitiveness, Growth and Jobs” (07/09/2007)  e-Inclusion Initiative

Implementing the e-Skills Strategy Good Progress in 2008:  EU e-Competence Framework,  European e-Skills and Careers Portal, htttp://eskills.eun.orghtttp://eskills.eun.org  Successful Multi-stakeholder Partnerships  Report on the Impact of Global Sourcing Future work ( ) 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)

Obstacles to e-Invoicing Economic dimension of e-invoicing DG MARKT- commissioned study  €238bn over 6 years EACT - CAST project  Average processing cost of paper invoice €30  80% cost saving possible with e-invoicing  10 billion invoices/year in EU  = €240bn per annum Case study: Denmark  Danish Government G2B savings € million/yr Case study: France  In 2001, B2B savings of €40bn Importance for SMEs Reduce transaction processing time and costs. Ensure ‘SME- friendly’ formats supported. Legal certainty. BUSINESS LEGAL TECHNICALBUSINESS e-Invoicing

e-Invoicing Expert Group The European Commission set up an Expert Group on e-Invoicing:  to identify shortcomings in the regulatory framework, business requirements and data elements.  to propose the European e-Invoicing Framework and responsibilities for standards. Members: representatives of the public sector, financial service providers, standardisation organizations, SMEs... Expected Deliverables January 09  Mid-term report (including views on Equal Treatment) Spring 09  EEI Recommendation Dec 09 – EEI Framework  Basis for common business rules and technical standards  Increase incentives for electronic trade  Remove barriers to e-invoicing

Further Information DG ENTR unit web site: Contact European Commission Enterprise Directorate-General Directorate: Innovation Policy Unit D4: ICT for Competitiveness & Innovation B-1049 Brussels fax: