In a recently-published draft report the National Office for the Information Economy (NOIE) said that information and communication technology (ICT) had made a significant contribution to Australia's recent productivity growth, but structures left over from the industrial economy could inhibit similar performance being achieved over the next five years.
"It now appears that many of the productivity gains are taking place within the enterprise and are being constrained by the static industry structure around them," read the NOIE report. "Many new ways of delivering services do not fit the economic, social and regulatory structures -- the 'structural arrangements' -- inherited from the industrial economy".
"Service activities in the industrial economy were based on distinct infrastructure platforms for each service and provider, on clear boundaries between enterprises and sectors and the standardisation of services by the provider.
"Service activities in the information economy are based on multi-channel, multi-platform approaches, on shared infrastructure and on the construction of personalised services for the customer.
"It requires the creation of new transaction infrastructures -- for example, authentication and payments systems -- to underpin the provision of more advanced electronic services".
NOIE added that while costs and disruptions associated with the move to new technologies had previously been limited to specific industry sectors, the impact of a shift to an information economy was far more general.
"In the move to the information economy, the transition occurs everywhere and the costs of transition potentially impact on everyone".
NOIE warned that a range of new issues had arisen -- and some old barriers had re-emerged in new forms -- that could prevent the strong performance of the last five years from continuing. It said barriers have emerged:
- In the underdeveloped markets for new infrastructures needed to support sophisticated transactions;
- In strategic government participation in ICT investment and in information markets;
- In the business environment for innovation and the productive application of ICT;
- In the security and robustness of key infrastructures;
- In the frameworks that promote trust in online service provision;
- In the capabilities of communities, organisations and individuals to participate in the information economy.
It is for this reason the NOIE is developing a New Strategic Framework for the Information Economy, and is seeking submissions to the paper by August 15. The framework will address structural and other barriers to the productive and secure use of ICT.
The NOIE said the government as having three roles in managing Australia's transition to the information economy -- an economy where information and knowledge are intensively used to enrich commercial and social relationships. The roles of the government are viewed as:
- Remove barriers and promote the infrastructure and institutional environment needed to support information economy development.
- Set an example to be followed, and use new technology to achieve substantial improvements in citizen access, efficiency and effectiveness of service delivery.
- Ensure that particular sectors, groups and regions of Australia are not left behind.
