How to develop the ICT bilit f i ?capability of a region ?

The example of BarcelonaThe example of Barcelona

Debrecen, 24th April 2008jlehmann@competitiveness comjlehmann@competitiveness.com

AgendaAgenda

Strategic Plan for the development of the ICT inStrategic Plan for the development of the ICT in Barcelona

– The context– The 2 strategic axes

Example of Initiative of Reinforcement of the CompetitivenessCompetitiveness

– The Cluster of Shared Services

April 26, 20082

Strategic Plan for the development of the ICT in Barcelona

Addressing the European innovation gapg p g p– “Achieving an Innovative Europe requires a combination

of a market for innovative goods and services, focussed resources new financial structures and mobility ofresources, new financial structures and mobility of people, money and organisations. Together these constitute a paradigm shift going well beyond the

d i f R&D d i ti li ”(Ahnarrow domain of R&D and innovation policy.”(Aho Report 2006)

April 26, 20083

Strategic Plan for the development of the ICT in Barcelona

Understanding if clustering efforts are helping to U de sta d g c uste g e o ts a e e p g toclose the gap

– “It is important to ensure that clusters are defined in f h k d k l d l hterms of the new market and knowledge relationships

needed for emerging sectors to thrive. It is even counter-productive to reinforce traditional sectoral clusters as these may inhibit the necessary mobility. Firms in traditional sectors are far more likely to find innovative growth by forming new linkages and applying new g o t by o g e ages a d app y g etechnology to their existing products and services. This can be facilitated by opening the clusters to cooperation with and learning from other clusters in the same orwith and learning from other clusters in the same or other sectors.” (Aho Report 2006)

April 26, 20084

Strategic Plan for the development of the ICT in Barcelona

Presented as part of a global plan of regroupment of the innovative companies in Spain (AEI)Timeframe : 4 years Impulsed by the regional government and with p y g gthe support of local ICT association

H t h l i t dHow to help move companies towards new markets and knowledge

April 26, 20085

relationships

The ICT sector in CatalunyaThe ICT sector in Catalunya

1.800 companies, Majority of SMEsj yAlmost 100 000 employeesEstimated turnover: € 18.700 millionsEstimated turnover: € 18.700 millions150 units of R&D

April 26, 20086

The ICT: a key sectorThe ICT: a key sector

A key sector for the competitiveness and theA key sector for the competitiveness and the productivity of the complete society

– The ICT produce 45% of the increase in productivity of p p ythe EU during the last years

– The ICT are responsible for 25% of the increase of the PIB as a wholePIB as a whole

April 26, 20087

The Mission and Objectivesj

To develop the enterprises of the ICT sector ofTo develop the enterprises of the ICT sector of Barcelona, increasing their competitiveness and volume of business and positioning the cluster as a reference of innovation at a international levela reference of innovation at a international level.

Obj iObjectives:Economic growth

fPositioning of innovation at international level

4/26/20088

The Mission and ObjectivesThe Mission and Objectives

At middle-term (5 years)At middle-term (5 years)– Annual growth: 10-12%– Invoicing of 28 millions of eurosg– Creation of 25 000 new jobs in the ICT– Increase the percentage of qualified employees: 35%– Rate of trained employees up to 10% of annual labor

hours– Multiply by 3 the innovative products and servicesMultiply by 3 the innovative products and services

generated and sold by the sector specifically in focused sub-sectors

April 26, 20089

OpportunityProfit of the national and regional will to developp a complete program

A strategic plan for the ICT in Catalunya for the first timeg p y

Involve the large as well as the small companies in large projects

Interact with other European R&D center for each of the focus sub-Interact with other European R&D center for each of the focus sub

sectors: Mobility, health, security…

Transfer of technology via public or private initiative of comunicationTransfer of technology via public or private initiative of comunication

(FBD, IéCat, Forum IBM…)

Chanel and distribute the support and opportunities to the ICTChanel and distribute the support and opportunities to the ICT

companies

Establish relationship between companies and universitiesEstablish relationship between companies and universities

Attract new international companies and specifically their R&D centers

Diffuse more information about the ICT to external companies in order

to increase their competitiveness and improve their innovation cycleApril 26, 200810

2 strategic axes

Reinforce the offer

Volume

Reinforce the offer– Facilitate the growth of ICT

companies

Reinforce the demand– Facilitate the use of ICT

icompanies

Develop innovation andDifferentiation

Develop innovation and added value generationOn a global market withOn a global market with international recognition

4/26/200811

Th Fi t St t i AThe First Strategic Axe

1 Entrepreneurial1. Entrepreneurial development

2. DiffusionVolume3. Quality4. Financing

To promote and reorient existing communication channelscommunication channels

4/26/200812

Programs for « Volumes »Programs for Volumes

Creation

1. Entrepreneurial development Events and Programs

Sensibilisation & diffusion

2. Diffusion of ICT

GrowthInternationalization

– Sensibilisation & diffusion– Orientation & evaluation– Implementation & financing

Company Attraction

3 Q li 4 Fi iCompany quality (processes)

3. QualitySee CapitalRisk Capital

4. Financing

(processes)Employee quality Product quality

Risk CapitalInternationalizationR+D+I

4/26/200813

Programs for « Volumes »Programs for Volumes

1. Entrepreneurial 2. Diffusion of ICT

CreationGrowth

development Events and Programs – Sensibilisation & diffusion

Orientation & evaluationFoster & ChannelFoster & Coordinate

GrowthInternationalizationCompany Attraction

– Orientation & evaluation– Implementation & financing

Foster & Channel

3 Q li 4 Fi iCompany quality (processes)

3. QualitySee CapitalRisk Capital

4. Financing

Foster & Channel Foster & Channel(processes)Employee quality Product quality

Risk CapitalInternationalizationR+D+I

Foster & Channel Foster & Channel

4/26/200814

The Second Strategic Axeg

5 I iti ti f5. Initiatives of Reinforcement of the competitivenessDifferentiationDifferentiation competitiveness

6. Facilitator of innovation

e e t at oe e t at o

innovation

26/04/200815

The proliferation of ICT cluster makes it difficult toThe proliferation of ICT cluster makes it difficult to evaluate them

Do we want to be one more point on the map ?O i l i t ?Or a special point ?

ICT clusters identified in an hour on internet

Positioning of ICT according to official parametersparameters

Source: Global Information Technology Report 2006-2007, WEF

The Second Strategic Axeg

5 I iti ti f5. Initiatives of Reinforcement of the competitivenessDifferentiationDifferentiation competitiveness

6. Facilitator of innovation

e e t at oe e t at o

innovation

The ICT cluster has to position itself in the areas in which it has the best posibility to be innovative andit has the best posibility to be innovative and

competitive according to its local environment. This selection is essential as it is impossible to be good in

26/04/200819

selection is essential as it is impossible to be good in everything.

5. Initiatives of Reinforcement of the5. Initiatives of Reinforcement of the competitiveness (IRC)

Segmentation of the offer and of the demand to id tif t ti lidentify potential successesProcess of “vitalization” of the selected segments on a yearly basison a yearly basis

– Select and work with 2 or 3 segments per year– Ensure the follow-up for each action for these segmentsEnsure the follow up for each action for these segments

for 2 years at least

26 April 200820

The demand in CataloniaThe demand in Catalonia

The 7 segment of the ICT offerDigitalization of the internal processes and reinforcement of the existing systems (ERP, CRM, SCM, RH, BI, AI, Data mining, score board )

Security of the networks and the systems (Identification, Encryption, Anti-virus, Back-up, Fail-over..)

board…)

Outsourcing and creation of new collaborative systems(call center, online supplier selections, auctions, collaboration…)

Extension of the mobility and new possibilities due to the convergence(mobile applications, click to talk, VoIP, Wi-Fi, 3G, videoconf…)

Extension of the revenue source via e-businessExtension of the revenue source via e-business(ex. application: e-tourism, e-advertisement, e-government, online video…)

Career development and individual training(E-learning, HR monitoring system, serious games)

Interactivity between the man and the machine (image voice virtual reality)

April 26, 200822 April 26, 200822

(image, voice, virtual reality)

Opportunity per segment

Digitalization

Shared Services.

Bank and insurance

Telecom y electr.

Turismo Media Industria Health Government

Security

Digitalization

y

Outsourcing

Mobility andconvergence

E-business

Training

I t ti it

26 April 200823

Interactivity

Segments to focus on

E health Mobility E learning

• Integration of information

E-health Mobility

E M dit

E-learning

C ll b ti M diIntegration of information system and hospital management

•Telemedicinei l di l

•Euro-Mediterranean logistical hub

•Collaboration Media and ICT

•Taylor made services

•Virtual medical team

Bank and S it

Shared insurance

SecurityServices

•Digitalization•Security•Mobility

•Digital signature•Secured mobile devices•Secured payment

• The example follows

April 26, 200824

How clustering efforts impact on innovationHow clustering efforts impact on innovation

Contribution to the development of lead marketsContribution to the development of lead markets– The clustering effort can redirect the companies

strategies towards more sustainable business models in new lead markets of products and services,

Help in focusing R&D&I resourcesTh l t i ff t i di t f– The clustering effort can indicate new areas of investment, or could just act as a new way of lobby to obtain more resources by the traditional players

Improvement of human, financial and knowledge mobility

– Removing barriers between the cluster and the neighboring economy and complementary clusters outside or just reinforcing the existing industry links

26 April 200825

j g g y

6. Program to support innovation6. Program to support innovation

University

FBD

Companies AEI

Publicadministration

26 April 200826

Calendar

Action implementationAction implementation

Action implementation

EL

Strategy

Screen

StrategyStrategy

Action implementationStrategyAction implementationStrategy

Action implementation

Action implementation

TER

LEV

E

nin

g

Strategy

Strategy

Screeni

Action implementatioAction implement

l

Action implementation

CLU

ST Strategy

StrategyStrategy

ng Screen

Action implemeStrategy

ing

---Year 1---I---Year 2---I---Year 3---I---Year 4---I

26 April 200827

---Year 1---I---Year 2---I---Year 3---I---Year 4---I

Calendar

Action implementationAction implementation

Action implementation

EL

Strategy

Screen

StrategyStrategy

Action implementationStrategyAction implementationStrategy

Action implementation

Action implementation

TER

LEV

E

nin

g

Strategy

Strategy

Screeni

Action implementatioAction implement

l

Action implementation

CLU

ST Strategy

StrategyStrategy

ng Screen

Action impleme

Horizontal policies

Strategy

AL

ing

Horizontal policies

Regional institutionsOR

IZO

NTA

LEV

EL

---Year 1---I---Year 2---I---Year 3---I---Year 4---I

Regional institutions

HO

26 April 200828

---Year 1---I---Year 2---I---Year 3---I---Year 4---I

Calendar

Action implementationAction implementation

Action implementation

EL

Strategy

Screen

StrategyStrategy

Action implementationStrategyAction implementationStrategy

Action implementation

Action implementation

TER

LEV

E

nin

g

Strategy

Strategy

Screeni

Action implementatioAction implement

l

Action implementation

CLU

ST Strategy

StrategyStrategy

ng Screen

Action impleme

Definition (re-definition) of horizontal policies

Strategy

AL

ing

p

Strengthening of regional institutions

OR

IZO

NTA

LEV

EL

---Year 1---I---Year 2---I---Year 3---I---Year 4---I

g g g

HO

26 April 200829

---Year 1---I---Year 2---I---Year 3---I---Year 4---I

Policy reviewsInstitutional reviews

AgendaAgenda

Strategic Plan for the development of the ICT inStrategic Plan for the development of the ICT in Barcelona

– The context– The 2 strategic axes

Example of Initiative of Reinforcement of the CompetitivenessCompetitiveness

– The Cluster of Shared Services

April 26, 200830

Shared Services in BarcelonaShared Services in Barcelona

Investment Strategies and Location Benchmarking Study, Shared Service Centres for Europe, Oxford Intelligence 2004

Good positioning but with high cost. The best way to increase productivity is to use ICT

26 April 200831

increase productivity is to use ICT.

The Cluster Shared ServicesRegulation Universidad Agencia de empleo

Servicios Complementarios

Regulation,Reglamentation

Universidad, Centro de formation

Agencia de empleo,Trabajo temporal

Certification (ISO, SLA…)

InfraestructuraAl j i t

ProveedoresNivel 1

ClientesShared Services Centers

Market study AuditConsulting

ProveedoresNivel 2

Asociaciones deconsumidores

Alojamiento, Transporte

res

Centros Internos(near/offshore)

HR F&A P&SCIT CRMSW/HW equipamiento

SW Developers Teleoperadores

mid

or

Cliente Externo(near/offshore)

IT Integrador

IT mantenimiento

SW Developers Teleoperadores

nsu

m(near/offshore)

Recursos humanos

Legal Support

HW Developers

Co

n

AdministrationAyuntamiento

AsociacionesAsociaciones sectorial

CongresosEvento Salón

MediaPrensa especializada

32

Ayuntamiento, Gobierno

Asociaciones sectorial,Fundaciones

Evento, Salón Prensa especializada,publicidad

Calendar of the Initiative of Reinforcement of the CompetitivityReinforcement of the Competitivity (IRC)

RETOS DE FUTURO

VISIÓN FUTURO

LANZAMIENTO ACCIONES

1ª PRES.12 Dic.

2ª PRES.21 Feb. 9h30

3ª PRES.11 Abril 9h30

33

What the global tendency of the sector ?What the global tendency of the sector ?

Outsourcing Traditional Outsourcing of Transformation

• Focus Operational

•Everything to reduce cost

• Focus based on the business

• Everything to create value

•Tool to impose control

• Aligned with fixed business process

• Tool to manage insecure environment

•Aligned with business process f ll i th l i t t f th

• Take charge of secondary functions to let the company concentrate on their core business

following the evolving strategy of the company

• Allow the company to adapt to k t h d di t ib t th imarket change and redistribute their

cost to create more value

A tool to decrease costA tool to adapt to strategical change

34

strategical change

Vision of the future for BarcelonaVision of the future for Barcelona

SpecializedSpecialized activity

Specialization ofSpecialization of the activity

Horizontal activity

ExcelenceTransactional

35

ExcelenceTransactional

Activity Added value

Implemented action for the development of the sector

“Structuration” of the clusterStructuration of the clusterLogistic Action Education & HR

Sharing basic training and increase the level of the S a g bas c t a g a d c ease t e e e o t eemployees

Action Operational Excelence

Action Technology

Action Operational ExcelenceDevelop ways to demonstrate the quality of our services

p

Action TechnologyFacilitate the access to the ultimate technologies and attract companies in Barcelona

Action Innovative ServicesDevelop and test with pilots the services of the future

36

Thank youy

jlehmann@competitiveness.com

26 April 200837