MModernisation of EEuropean EEnterprise and TTrade SStatistics - MEETSMEETS and EGR

Q2010 Conference in Quality Helsinki, May 2010Eduardo Barredo Capelot

Problem statement

New requirements for statistics emerge Reduction of response burden Limited or decreasing resources in national statistical

authorities Need for efficiency gains at the ESS level Revision of outdated requirements New methods for producing statistics Initiative is needed to handle these changes efficiently

Commission Communication (404) 2009 describing the vision for European statistics in the next decade

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Communication (404) 2009 Fundamental dilemma between new demands (mostly multi-

dimensional) and limited resources Only possible way forward – more efficient data production

systems Integration – from stovepipes to integrated production

systems – data warehouses and linking Use of data currently existing in the statistical system

(warehouses and linking) and in the economy (admin data) – from collectors to re-users

Development of joint “statistical infrastructure” (methodology, metadata, common revision, dissemination, etc.)

ICT developments – current tools to be exchanged Legal and financial developments Cooperative networks - ESSnets

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MEETS programme

To move along the strategy mentioned above for the area of business and trade statistics

Regulation of the European Parliament and of the Council of end 2008 on MEETS

Articulated in annual programmes, which are adopted through Commission Decisions after endorsement by the ESS Committee

The 2011 programme will be brought to BSDG in June 40 million euro; programme running until 2013 Strategy of the “elephant” – declined in objectives, programs

and actions. Accompanied by FP7 BLUE project

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Objectives of the MEETS programme

- 1 - To review priorities and develop target sets of indicators for new areas

- 2 - To achieve a streamlined framework for business-related statistics

- 3 - To support implementation of a more efficient way of producing enterprise and trade statistics

- 4 - To modernise Intrastat

Further broken down into ~ 25 projects

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Objective 1 – Development of new areas of indicators and identification of areas of lesser importance

• define priority areas and define target set of indicators (globalisation, entrepreneurship);

• support Member States in developing and testing statistics in the priority areas in a harmonised manner (with financing);

• conduct a regular review of priorities, and identify areas and characteristics which are of lesser importance – not much success!.

Objective 2 – Action 2.1 – Integration of the legal framework and the methodology

Review existing legal acts – ESSnet on consistency to be launched – analysis of statistical units, characteristics, variables, etc;

Main objective – analysis of inconsistencies and possible proposals for changing legislation

Launch studies aimed at harmonisation of methodologies

Studies on consistency between areas of business and trade and balance of payments statistics

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Objective 2 – Action 2.2 – Development of statistics on enterprise groups

Complete the Community register of multinational enterprise groups - EGR

Support of actions in Member States to develop more efficient data collection methods for enterprise groups

Set up specific EU surveys on enterprise groups

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Objective 3 – The implementation of smarter ways to collect data

Action 3.1: make better use of data that already exist in the statistical system, including the possibility of estimations – support actions in Member States to create data warehouses, and methodological studies on linking data from different sources - ESSnet

Action 3.2: make better use of data that already exist in the economy – support actions on the use of administrative data – ESSnet and individual grants

Action 3.3: develop tools for a more efficient data production – support actions that facilitate the data transfer from enterprises to NSI

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Objective 4 – the modernisation and simplification of Intrastat

Action 4.1: analysis and reduction of asymmetries Action 4.2: better use of administrative data Action 4.3: data exchange

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What is the EuroGroup Register

EGR Central system

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Problem Statement

The problem ofThe growing importance of multinational enterprises and a lack of information on globalization processes

Affects Eurostat, NSIs, ECB and NCBs

the impact of which isnew ways of collecting of data and compiling statistics on enterprise groups, active in the EU, are needed

a successful solution would

provide an infrastructure for the production of coordinated and consistent statistical output on globalisation

provide an infrastructure for co-ordinated statistical output at group level on globalisation related issues.

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EGR ambitions

to become a platform that supports the production of micro based statistics on globalisation in Europe

by offering compilers access to integrated and up-to-date register data on multinational enterprise groups

by way of collecting, comparing and selecting information from different commercial and institutional sources

the EGR provides a set of pooled information that allows compilers of statistics to organise the data collection and to produce statistics on the basis of shared and coordinated information basis.

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The objectives“Seeing the whole elephant”

Benefits:

Units: have a common coordination frame on multinational groups

Identifying correct population in scope for surveys

Variables: improve quality by sharing information available (only) at national level

Complete group structures and crucial variables (ex. UCI, etc.)Major events of transformation

Costs: coordinate the use (and acquisition) of commercial data

Avoid “double – buying”Coordinated use of information about affiliates outside EU

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What are the main stakeholders?

All those compilers dealing with globalisation

Inward and outward FATS

Foreign Direct Investment

External trade statistics

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Brief History for EGR Project2004: Feasibility Study of identifying and recording Multinational

Enterprise Group

2006: Pilot project of EuroGroup Register (Prototype)

2008: Revised Business Register Regulation 177/2008

Data exchanges (micro level)CSP 2008-2012: Community statistical register on

multinational enterprise groupsThe EGR is part of the MEETS Programme

2008: Start the EGR Project ESSnet on EGR

2009: the EGR network is established 1° EGR Cycle: Data Exchange Eurostat/NSI First population frame (ref. 2008)

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Legal frame for Data Exchanges

REGULATION (CE) N. 177/2008 OF THE PARLIAMENT AND THE COUNCIL

20 February 2008

Art. 11Data Exchange b/w

Commission (Eurostat) and

National Statistical Institute

Art. 12Data Exchange b/w

Commission (Eurostat) and

National Central Banks

Implementing RegulationN. 192/2009

11 March 2009

Implementing RegulationN. …./20…

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First EGR Cycle in 2009 (Ref. Year 2008)

1° EGR population Frame (Ref. Year

2008)

February – April 2009

May – September 2009

December – March 2010

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EGR First Cycle

4. May 2009 ― EGR processed NSA LeU datasets (linked the units)

3. February–April 2009 ― NSAs linked units in datasets to units in their registers

5. May–August 2009― NSAs processed LeU and Rel datasets

6. September 2009–December 2010 — EGR processed NSA LeU and Rel datasets, derived preliminary MNEs

7. October 2009 ― NSAs validated UCIs of the 500 biggest MNEs (CDP data) and identified UCI special cases

8. January–February 2010 ― NSAs validated MNE structures, added the Enterprise, determined GDC and RU

9. March–April 2010 ― EGR processed the data received and derived final MNEs

10. April 2010 ― EGR sent final frame to NSAs

1. January 2009 ― EGR received data from private sources (D&B and BvD).

2. January–February 2009 ― EGR processed data from private sources

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Work conducted by countries

- First data exchange – NSA linked units in data Sets to units in their registers, and evaluated the quality of the national ID- Second data exchange – NSA confirmed the statusof LeU (active, duplicate, liquidated, inactive, etc.), and confirmed relationships between residentunits and foreign parents (active, ceased, wrong, etc)They also added missing LeU and relationships- Third data exchange – identification of top 500 MNE(number of employees, subsidiaries located in several countries, threshold for member units) andidentification of UCI

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Information stored in the EGR (v.1.0)

22 ESSnet on EuroGroups RegisterEGR workshop, 27 - 28 April 2010 Rome

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EGR Project: Actors & Roles

Data providers

to NSI

EGR Users/

stakeholders

EGR national registers

operations

EGR users/stakeholders

EGR Programme

Manager

EGR Steering Group

Working Group BR

& Statistical

Units

BvD & Duns

Bradstreet

CommercialData

Sources

Eurostat: EGR

Central System

operations

Supervise ESSnet

Manage contracts

Coordination of

stakeholders

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ESSnet on EGR methodology

ESSnet on EuroGroups RegisterEGR workshop, 27 - 28 April 2010 Rome

Legal basis: - Framework Partnership Agreement ISTAT- Eurostat (4 Years)- 3 Multi Beneficiary Grant Agreement (financing)

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6. Documetation

Next steps

October 2010:

1. Definition of the 2010 EGR population of 10 000 MNEs

2. Main features and content of EGR version 2.0• FATS and FDI requirements

3. IT architecture EGR version 2.0• Remote access

January 2012:

Start implementation of EGR version 2.0

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