by Estela T. de Guzmanby Estela T. de GuzmanNSO PhilippinesNSO Philippines

UNCTAD-ITU-UNESCAPUNCTAD-ITU-UNESCAP

Regional Workshop on Information Society Measurements in Asia-PacificRegional Workshop on Information Society Measurements in Asia-Pacific

26 -28 July 200526 -28 July 2005

United Nations Conference Center, Bangkok, ThailandUnited Nations Conference Center, Bangkok, Thailand

Compilation of ICT Business Compilation of ICT Business Statistics in the PhilippinesStatistics in the Philippines

2002 SICT2002 SICT … …

Activity of

National Statistics OfficeNational Statistics Office

in collaboration with

Information Technology and Information Technology and E-Commerce CouncilE-Commerce Council

(now Commission on Information(now Commission on Information and Communication Technology)and Communication Technology)

Outline of Presentation

Survey Background Objectives Reference Period Frame Items of Data Collected ICT Framework for Business and Industry ICT Sectors Sampling Design

Outline of Presentation Some Survey Results

% Users of ICT Resources% Users of Network ChannelsInternet Access Rate of ICT UsersUsage of ICT ResourcesE-Commerce TransactionsType of ICT WorkersBarriers to ICT Usage

Issues/Problems Future Work

Objectives of the 2002 SICTObjectives of the 2002 SICTTo measure the following:To measure the following:

• component of ICT resources and their usage

• diffusion of ICT into businesses and industries• e-commerce transactions (e-commerce revenue and

e-commerce purchases

• investments in ICT resources; and

• availability of ICT workers and compensation

paid

• possible barriers to the adoption of ICT.

Reference Period:Reference Period:

Frame:Frame:

2001 2001 (except employment and compensation (except employment and compensation data – data – December 2001)December 2001)

Updated 2001 List of Establishments (LE)Updated 2001 List of Establishments (LE)

Items of Data CollectedItems of Data CollectedEconomic activity or business

Types of ICT Resources usedTypes of Network channels used

Capital expenditures on ICT resources

Usage of ICT resources

Sources of ICT resources

Types of ICT workers

Compensation by type of ICT workerPercent E-commerce sales to total sales

Percent E-commerce purchase to total purchase

Barriers to adoption of ICT

ICT Framework forICT Framework for Business and Industry Business and Industry

ICT InfrastructureICT Infrastructure E-Commerce E-Commerce TransactionsTransactions

E-Business E-Business ProcessesProcesses

Machines (computers)Network channelsSoftwareICT workers

E-sellingE-purchasing

Production processSoftware developmentISPSystems designAnimationTelecommunication Human resource mgtFinancial info systemTrainingR & D, etc.

Classification of ICT IndustriesClassification of ICT Industries

Users of ICT Resources

Non-Users of ICT Resources

ICT Industries Producers Distributors Service Providers

Non-ICT Industries

1994 PSIC

I C T P r o d u c e r s (Manufacturing) Phil OECD* NAICs**

D22110 Publishing of books, brochures, musical books and otherpublications

/ /

D22120 Publishing of newspaper, journals, and periodicals / /

D22130 Publishing of recorded media /

D22210 Printing /

D22300 Publishing and printing activities /

D22401 Reproduction of video and computer tapes from mastercopies

/ /

D22402 Reproduction of floppy, hard and compact disks / /

D22403 Film and video reproduction / /

D30002 Manufacture of electronic data processing equipment andaccessories

/ /

D31300 Manufacture of insulated wire and cables / /

D32100 Manufacture of electronic valves and tubes / /

D32200 Manufacture of semi-conductor devices and otherelectronic components

/ /

D32300 Manufacture of television and radio transmitters andapparatus for line telephony and line telegraphy

/ /

D32400 Manufacture of television and radio receivers, sound orvideo recording or reproducing apparatus, and associated

/ /

D33121 Manufacture of radar equipment, radio remote controlapparatus

/ /

ICT Sectors ICT Sectors (cont’d)(cont’d)

1994 PSIC

ICT D i s t r i b u t o r s (Wholesale and Retail Trade, etc.)

Phil OECD* NAICS**

G51502 Commercial machinery and equipmentwholesaling

/ /

G52334 Radio and television, including parts andaccessories, retailing

/

G52362 Computers, peripherals and accessories,retailing

/

ICT Sectors ICT Sectors (cont’d)(cont’d)

1994 PSIC

I C T S e r v i c e P r o v i d e r s (Telecommunication, Computer and related

services, Motion picture, TV and Radio)

Phil OECD* NAICS**

I64201 Telephone service / / /

I64202 Telegraph service / / /

I64203 Facsimile/telefax service / / /

I64204 Telex service / / /

I64209 Telecommunication services, n.e.c. / / /

K7123 Renting of office machinery and equipment(including computers)

/

K72100 Hardware consultancy / /

K72200 Software consultancy and supply / /

K72300 Software development / /

K72400 Data processing - data conversion services / / /

K72500 Data base activities / / /

K72900 Other computer related activities / / /

K73300 Research and experimental development ininformation technology

/

ICT Sectors ICT Sectors (cont’d)(cont’d)

1994 PSIC

I C T S e r v i c e P r o v i d e r s (Telecommunication, Computer and related

services, Motion picture, TV and Radio)

Phil OECD* NAICS**

M80400 Public higher education /

M81230 Private technical and vocational secondaryeducation

/

M81300 Private technical and vocational post-secondarynon-degree education

/

M81490 Private higher education, n.e.c. /

O92111 Motion picture and video production / /

O92112 Motion picture and video distribution / /

O92132 Television broadcasting and relay station andstudios including closed circuit television services

/ /

O92133 Radio and television program production / /

ICT Sectors ICT Sectors (conc.)(conc.)

Industry Coverage of 2002 SICTIndustry Coverage of 2002 SICT

ECONOMIC ACTIVITYA Agriculture, Hunting and Forestry B FishingC Mining and QuarryingD Manufacturing (Non-ICT )

D* Manufacturing (ICT )E Electricity, Gas and Water SupplyF ConstructionG Wholesale and Retail Trade; etc (Non-ICT )

G* Wholesale and Retail Trade; etc. (ICT )

H Hotels and RestaurantsI Transport, Storage and Communications (Non-ICT )

I* Telecommunications (ICT )J Financial IntermediationK Real Estate, Renting and Business Activities (Non-ICT)

K* Computer and Related Services and Business Activities (ICT )M Education (Non-ICT )

M* Public and Private Higher Education (ICT )N Health and Social Work

O Other Community, Social and Personal Service Activities (Non-ICT)

O* Motion Picture, Radio and TV (ICT )

1994 PSIC

Sampling DesignSampling Design

Geographic domain

Industry domain

National

ICT producers/ distributors/ service providers:

5-digit PSIC5-digit PSIC

Non-ICT industries:

3-digit PSIC3-digit PSIC

Sampling Design Sampling Design (conc.)(conc.)

     ICT producers/ distributors/service providers

Non-ICT industries

ATE 20 & 0ver - 100%

ATE < 20 - sampling

ATE 20 & over – sampling ATE < 20 - out of scope

Sample Size

Total number of samples = 8,555

ATE 20 and over = 4,897

ATE less than 20 = 3,658

Some Results Some Results

of of

2002 SICT2002 SICT

Indicators on Indicators on

Accessibility/Availability Accessibility/Availability

of ICT Resources in 2001of ICT Resources in 2001

(establishments with ATE 20 and over)(establishments with ATE 20 and over)

Indicators

% Users of ICT Resources% Users of ICT Resources – proportion of number of establishments using any or all types of ICT resources to total number of respondents.

ICT Resources - machines and knowledge.

Machines - computers, network channels and telecommunication equipment.

Knowledge - system and application softwares, ICT support services and other components.

Indicators

IndicatorsIndicators

% Users of Network Channels% Users of Network Channels – proportion of number of users of network channels to total number of ICT users.

Network Channels - internet, intranet, extranet, EDI networks, and telecommunication networks.

Internet Access RateInternet Access Rate of ICT Users – proportion of internet users to total number of PC/computer users.

Indicators con’t

IndicatorsIndicators

Fig. 1. Percentage ICT Users by Sector: 2001Fig. 1. Percentage ICT Users by Sector: 2001

59.055.3

60.0

86.488.6

93.2 94.8

79.8

96.6

80.9

99.2 96.6

87.7

100.0

89.693.7

92.0

75.4

80.880.3

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

100.0

A B C D D* E F G G* H I I* J K K* M M* N O O*

Fig. 2. Percentage Users of Network Channels by Sector: 2001Fig. 2. Percentage Users of Network Channels by Sector: 2001

62.0

71.0

56.0

84.282.3

80.0

73.0

87.1

93.8

70.8

98.5

90.5

83.5

98.8

67.4

80.0

88.4

100.0

89.7

80.8

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

100.0

A B C D D* E F G G* H I I* J K K* M M* N O O*

3,147 Users

Fig. 3. Internet Access Rate of ICT Users by Sector: 2001Fig. 3. Internet Access Rate of ICT Users by Sector: 2001

41.0

56.0

22.0

72.4 73.2

49.0

66.064.0

88.4

58.5

71.5

76.2

66.9

95.2

53.5

69.6

81.4

100.0

71.1

87.8

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

100.0

A B C D D* E F G G* H I I* J K K* M M* N O O*

3,147 ICT Users

Fig. 4. Usage of ICT Resources in E-Business Activities: ALL SECTORSFig. 4. Usage of ICT Resources in E-Business Activities: ALL SECTORS

1583

1399

703

1751

740

529

1191

2203

1560

692

400

800

1200

1600

2000

2400

3,147 ICT Users

Fig. 5. Usage of ICT Resources in Specialized E-Business ActivitiesFig. 5. Usage of ICT Resources in Specialized E-Business Activities

24 6

361

296

850

0

100

200

300

400

500

600

700

800

900

ISP

Animatio

n

ICT Training &

Education

Prodn Pro

cess & C

trl

6.03.33.83.8

6.1

0.92.81.4

4.33.7

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

100.0

A B C D D* E F G G* H I I* J K K* M M* N O O*

* Sector with ICT Industries

3,147 Users

Fig. 6. Percent of ICT Users with E-Commerce Revenue by SectorFig. 6. Percent of ICT Users with E-Commerce Revenue by Sector

Fig. 7. Distribution of ICT Workers by SectorFig. 7. Distribution of ICT Workers by Sector

D*6.3%

G4.3%

G*7.2%

M*19.5%

K5.8%

K*23.3%

I2.2%I*

6.6%J

7.0%

D9.3%

Others8.5%

Total ICT Workers

27,386

* Sector with ICT Industries

Why does the digital divide exist?Why does the digital divide exist?

Why the digital divide?

Barriers to ICT Usage by Non-UsersBarriers to ICT Usage by Non-Users

Barriers

Lack of financing

Lack of equipment

Low priority by management

Lack of technical expertise

Obsolete machines

Not relevant to business

Lack of appreciation

Lack of telecommunication facilities

Lack of information

Issues/problemsIssues/problems

1. Conceptual definitions

computer-mediated network

e-commerce revenue

e-commerce purchases

ICT workers

extranet, intranet, WAN, LAN

2. Records not readily available at establishment level, more likely for enterprise.

Issues

Issues/problems Issues/problems (cont’d)(cont’d)

3. No identified source of expertise

4. Frame deficiency

5. Low response rate

Issues

Limitations of DataLimitations of Data

• Data presented are for responding

establishments only.

• 3,579 Good Respondents for ATE 20 and over (73% of total samples)

Limitations

ASEAN E-Readiness AssessmentASEAN E-Readiness Assessment

Stages of Development Emerging Evolving Embedding Extending

Basic infra-structure requirements are in place/ or planned to be in place in a short time.

Political commitment to position the country for ICT revolution

Comprehensive infrastructure framework for ICT development has been established / updated /being modified in the country

General acceptance by citizens, business, and government of dynamics in society caused by technological advances

Incorporating business require-ments to ICT policies, legislation and regulation

Using these to enhance inter-national standing

World class practices

Inventing and re-inventing traditional ways of doing things

Improves productivity and standards of living

Future Work Another round of ICT is scheduled as a

rider to the 2008 Survey of Philippine Business and Industry to be conducted in 2009