Conseil Stratégique des Technologies de l'Information French
Spanish
                                                                        










 

On this site
On the web
> Organization > Members > Work program > Official texts > Address

THEME C : DEVELOPMENT OF BUSINESS USAGES OF INFORMATION TECHNOLOGIES
Need for a sector-based approach

 

The use of ICTs generates productivity and competitiveness. However, this value creation is not the automatic result of investment in ICTs. It is driven by the reorganisation of production processes on the back of real-time circulation and processing of information; such reorganisation is not limited to internal processes but covers all relations and exchanges between companies and their partners.

Analysis of innovative practices - among which those used by French players are still the exception - highlights many areas where such practices can create value. Examples of new practices generated by ICTs include: personalised real-time relations with suppliers and customers at the sales and production end, cooperative design of new products in the development process, immediate application of market information to suppliers and stock management at the distribution end and real-time fleet management in the area of logistics.

Such practices involve networks of human resources. ICTs allow these resources to interact continually according to original patterns, based upon concerted analysis and actions within the company in conjunction with its main economic partners.

Whether the goal is to transform brick-and-mortar sectors or to create new markets, management needs to develop a shared strategic vision with its sector partners in order to make the most of these new opportunities. Innovations sparked by the use of ICTs generally involve relations between businesses, sometimes entailing a radical overhaul of the business model, which can only be effective when implemented by all stakeholders involved.

The stakeholders need to dialogue in order to create value with new usages. This kind of dialogue is not limited to institutional discussions. It requires genuine efforts to define, explain and assume ownership of a new way of "working together" using new tools. This is the level where the cultural change to an "intelligence society" takes place. Moreover, it is essential for the standardisation of data interchange and storage and for the identification of the critical paths which must accompany such ownership.

While these concepts are widely shared by major businesses in all sectors, they are nevertheless difficult to implement due to the need to make sector players see the existence of shared interests or to identify natural leaders who will have a spillover effect on the entire industry.

These difficulties are worse for medium-size industries and even worse for small entities. These are also the businesses which take longest to benefit from the productivity and competitiveness gains generated by ICTs. Many attempts have already been made without much success. Appropriation of ICTs by French SMEs is lagging.

While the link between investment in ICTs and their contribution to growth has been demonstrated at macroeconomic level, their value should also be demonstrated by default at the level of SMEs. It is a matter of survival. Appropriation of ICTs affects their capacity to expand and do business outside their immediate sphere and determines their export opportunities. It determines their relations with customers and their capacity to make technical offers or to submit pricing tenders (online reverse auction) since electronic documents and their date of issue have now legal validity (electronic contracts - French law on confidence in the digital economy (LCEN), Articles 25 and 27).

This last aspect highlights a particular source of opposition and suspicion by SMEs, i.e. knowledge or even the availability of recognised and standardised standards for certification, storage and trusted third parties.

Moreover, the improvement in productivity and competitiveness expected by SMEs because of the way in which ICTs simplify and speed up the dialogue with customers depends as much as upon the SMEs themselves as upon the involvement of their customers.

In conjunction with such organisations as SYNTEC Informatique and Club Informatique des Grandes Entreprises Françaises (CIGREF), the government has laid the groundwork for an approach of this type, particularly in the service sector (mass retailing, financial services, freight transport and logistics, etc.). Here the government acts as the catalyst of common action by the players of the sectors in question. Obviously, the players themselves will have to define the new business model resulting from more intensive use of the ICTs.

Launched by Association Française des Utilisateurs du Net (AFNET), the "Boost Industrie" initiative in the aviation and space sector provides a concrete example of the same concept. It is complemented by the e-PME project and should be extended gradually to other industrial sectors (nuclear, railway, shipbuilding, etc.). This initiative can provide a general methodological framework for the development of a similar approach in other sectors.

Lastly, Mouvement des Entreprises de France (MEDEF) has set up a working group on the use of ICTs by SMEs, whose conclusions appear to be going in the same direction.

PROPOSALS

It is proposed to strengthen and amplify these initiatives according to a coherent overall approach. They should take the form of sector-based analysis and dialogue structures whose members would include businessmen, trade organisations, technical experts and economic intelligence specialists. Such structures would be cooperative and particularly make it possible to share a vision on the innovation expected from ICTs, to determine the impact of public policies in this respect and subsequently to monitor and to provide operational assistance with the implementation of the resulting measures.

Recent experience has shown that support for businesses is useful when it covers both technological and management aspects:

- Technologically, it is necessary to promote standards (in principle international standards) through operational solutions. This applies especially to tier-two companies (industrial logical) and to SMEs in general. However, it is necessary to determine sector maturity in this respect and potential difficulties resulting from the application of sector standards for players who are simultaneously involved in several sectors;

 

 
 
Accueil