Lessons from the Lessons from the Greek experienceGreek experience

Robert Shotton DG REGIORobert Shotton DG REGIOEuropean CommissionEuropean Commission

The Starting Point The Starting Point (2002)(2002)

GR +P the least advancedGR +P the least advanced10% GR population connected 10% GR population connected

to internetto internetADSL not offeredADSL not offeredBUT 43% Greek business on BUT 43% Greek business on

internetinternet10 pupils per PC10 pupils per PC

High ambition 2001-High ambition 2001-20082008

Total cost € Total cost € 2.8 billion2.8 billion

Private expenditure € Private expenditure € 0.57 billion 0.57 billion

Public expenditure € Public expenditure € 2.26 billion2.26 billion

EU participation € 1.7 EU participation € 1.7 billionbillion

Seven large projects Seven large projects Training teachers IS € 89.6 millionTraining teachers IS € 89.6 million e-Commerce SMEs € 88.1 millione-Commerce SMEs € 88.1 million Citizen information offices € 71.4 millionCitizen information offices € 71.4 million Networking government € 57.1 millionNetworking government € 57.1 million Networking SMEs € 44.4 millionNetworking SMEs € 44.4 million IS skills for unemployed € 30 millionIS skills for unemployed € 30 million Police on line € 29.2 millionPolice on line € 29.2 million

The problemsThe problems

60% of projects are immature60% of projects are immature Weak change management (especially Weak change management (especially

public administration)public administration) Regions unpreparedRegions unprepared Unsuccessful bidders appeal and Unsuccessful bidders appeal and

cause delayscause delays Service too expensive, low qualityService too expensive, low quality Re-inventing the wheel.Re-inventing the wheel. TOO MUCH MONEY?TOO MUCH MONEY?

Lack of maturityLack of maturity

Project assessmentProject assessment Return for improvementReturn for improvement

Information Society SA - Turnkey Information Society SA - Turnkey managementmanagement Takes over design, tendering and Takes over design, tendering and

procurementprocurement Forums for debate and informationForums for debate and information

E-business, E-health, ICT skills, E-business, E-health, ICT skills, inter-regional group, etcinter-regional group, etc

Weak change Weak change managementmanagement

Business plans ( IS is part of a wider Business plans ( IS is part of a wider project - not an end in itself)project - not an end in itself) Diagnosis, strategic priorities, action Diagnosis, strategic priorities, action

planplan Dedicated team in each MinistryDedicated team in each Ministry

A condition for funding, followed A condition for funding, followed during implementationduring implementation

Regions unpreparedRegions unprepared

Business planBusiness plan Regional IT forum with national and Regional IT forum with national and

international expertsinternational experts Joint action plan with the centreJoint action plan with the centre Priorities, not a shopping listPriorities, not a shopping list Technical assistance during Technical assistance during

implementation?implementation?

Unsuccessful bidders Unsuccessful bidders cause delayscause delays

E-business forum helps service E-business forum helps service industry prepareindustry prepare

Open tendering - technologically Open tendering - technologically neutralneutral

Avoid big central contractsAvoid big central contracts But decentralised contracting But decentralised contracting

more difficult to managemore difficult to manage

Service too expensive Service too expensive and poor qualityand poor quality

Liberalisation - slowLiberalisation - slow Wholesale price of monopoly Wholesale price of monopoly

backbonebackbone How to provide finance for How to provide finance for

local loops?local loops? Fund infrastructure or fund Fund infrastructure or fund

service?service?

Re-inventing the wheel?Re-inventing the wheel?

IT observatory - but not yet IT observatory - but not yet set upset up

Peer review - for regions but Peer review - for regions but not for centrenot for centre

Too inward looking - cultural Too inward looking - cultural phenomenon?phenomenon?

Too much money?Too much money?

Slow absorption - N+2 rule a Slow absorption - N+2 rule a problem?problem?

Pressure to get aheadPressure to get ahead Delivery of technical assistance too Delivery of technical assistance too

slow/inefficient?slow/inefficient?

Quality in danger if credits are at riskQuality in danger if credits are at risk

N+2 N+2

A Mini-CSFA Mini-CSF Education and culture € 421 millionEducation and culture € 421 million Better government € 879 millionBetter government € 879 million Business applications € 902 millionBusiness applications € 902 million Infrastructure € 569 millionInfrastructure € 569 million

A model for the next generation of A model for the next generation of Structural funds?Structural funds?

Good design: but implementation?Good design: but implementation?