| Australia's
Progress Towards Effective Use of Online Services
- Monitoring policy outcomes and market developments -
CIRCIT at RMIT,
August 1998
Table
of Contents
Introduction
Overview
Objectives for Online
Services
Developing a Monitoring Framework
Availability of Data
Government Uses
Business Uses
Education Uses
Health Uses
Residential Users
Groups with Special Needs
Glossary
Introduction
This is a prototype
site for review and comment.
It reports on,
and presents the working outcomes of, a study into ways of monitoring
Australia's progress in the use of online services. It provides
initial access to documents as work in progress. Over time these
documents can be enhanced with links to their sources, and this
site evolve into a learning environment for the use of online services.
As a prototype
it has many gaps and necessary points of refinement. (Editor: The
original Web version sought feedback so as to assist with further
development, which unfortunately did not transpire.)
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Overview
Australian government
and industry have a major commitment to the use of online services.
Much of what is happening is, however, still exploratory. How can
we understand and share this experience? What assessment can we
make of the effectiveness of strategies to promote the use of these
services? What gaps and needs for action can be observed?
This is the
report of a feasibility study into monitoring Australia's progress
towards the effective use of online services. This project arose
as a recommendation from the CIRCIT Policy Forum in November 1997
on Effective Use of Online Services: How Can Government, Industry,
Business and Community Collaborate? It was supported by the National
Office for the Information Economy; the State Governments of Queensland,
NSW, Victoria, South Australia and Western Australia; the Australian
Telecommunications Users Group (ATUG), the Australian Information
Industry Association, and Nortel Australia.
The objectives
of a monitoring process are to assist the evaluation of national,
state, and organisational strategies through:
• providing a comprehensive picture of the use of online services
in Australia,
• comparing and benchmarking against international developments,
and
• charting paths and stages towards desirable outcomes.
We conclude
that an ongoing process would have developmental benefits. It should
be owned by the National Office for the Information Economy (NOIE)
for the Ministerial Council for the Information Economy and the
Online Council.
The
Approach
and Key Process Conclusions [
PDF: 57 Kb] has a more detailed and reflective consideration
of key issues in this Overview.
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Objectives
for Online Services
Australia
has needed a concise statement of a national strategy for online
services development, with long- and medium-term objectives to focus
monitoring activities. Coincident with the production of this report,
the Ministerial Council for the Information Economy has released
a statement Towards
an Australian Strategy for the Information Economy (July 1998)
as a basis for consultation. This includes a mission statement:
To ensure that
the lives and work of Australians are enriched, jobs are created,
and the national wealth is enhanced, through the participation of
all Australians in the information economy
The government’s
values and vision statements, strategic priorities, objectives and
proposed actions are also articulated.
It provides
a source of relatively detailed objectives, such as:
• making
high communication bandwidth available at low cost,
• access by all Australians to this capability wherever they
live or carry on business,
• raising awareness of online business systems, so that by
the year 2000 every Australian business is aware of the benefits
of doing business online,
• delivering all appropriate government services online by
2001, and
• students leaving Australian schools with the online skills
and knowledge they need to benefit from employment and other online
opportunities.
With its focus
on the health and education sectors, and taken with other objectives
such as that of DIST that 90% of businesses in targeted industries
be online by 2003, a set of long- and medium-term national objectives
is becoming apparent.
The integration
of this set with the framework of this report is a clear next stage
of development of this study.
The
report Towards
an Australian Strategy for the Information Economy had the full
statement of the Ministerial Council.
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Developing
a Monitoring Framework
In developing
a framework for monitoring the effective use of online services,
we have:
• Adopted
a broad definition of online services. Though much of the focus
of the report and the available data revolves around the Internet,
our definition of online services also includes EFTPOS, Interactive
Voice Response (IVR), videoconferencing and other forms of online
communication.
• Distinguished between measures of access, use and effective
use. The concept of "effective use" recognises that online
services need to deliver value to users, content service providers
(government agencies, businesses, schools, etc.), and communications
providers, to be sustainable.
• While recognising that short- and medium-term objectives
are likely to be expressed in terms of access and use, focused on
the means of understanding "effective use" as a longer-term
guide.
• Examined access, use and effective use in the government,
business, education and health sectors, through identifying and
illustrating key online applications.
• Monitored the effective use of online services by residential
users and users with special needs.
• Sought to identify "change issues" - approaches
to barriers - as a likely focus of policy objectives.
• Linked with policymakers and practitioners to confirm and
expand the framework.
This
monitoring exercise reveals the gaps in access, use and effective
use. It is these gaps which suggest a re-examination of policy implementation
and policy objectives.
See Frameworks
for Monitoring Access, Use and Effective Use of Online Services
[
PDF: 41 Kb] for greater detail and definition.
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Availability
of Data
There are a
number of data gathering and research organisations in Australia
and internationally who are collecting information on the use of
online services. We have tried to use quantitative and qualitative
data where available and appropriate.
Integrating
data from different sources raises issues of comparability because
of differences in definition of categories and the nature of the
sample.
In this report
we have used public sources or proprietary data that have been made
available. The most broadly based and regular data collecting exercises
in Australia are those conducted by the Australian Bureau of Statistics
(householder and small business) and Yellow Pages (small and medium
business). Organisations such as www.consult and APT Strategies
specialise in online surveys of users of the Internet, providing
a further source of information.
The comprehensive
data on the use of online services obtained through the Australian
Bureau of Statistics survey on the household use of information
technology has allowed us to test our monitoring framework for residential
users.
Internationally,
there is a dearth of comparative points of reference. We have drawn
on the project conducted by Spectrum Strategic Consultations for
the UK Department of Trade and Industry. Focusing on the use of
information and communication technologies by business (particularly
small and medium), this study is now in its third year. The OECD
and the International Telecommunication Union have been other important
sources.
Data on use
nationally and internationally is patchy for the sector studies.
When available, data tend to illuminate issues of supply and access
rather than use. An increasing amount of data is available from
the use of the services themselves; e.g., the kinds of transactions
or time of day for government electronic service delivery, or usage
statistics associated with websites.
Refer
to Australian
Data Sources [
PDF: 88 Kb] and International
Data Sources [
PDF: 95 Kb] for information about sources considered.
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Government
Uses
Governments
in Australia are under increasing pressure to find more productive
ways of addressing the needs of business users and consumers. They
are now taking advantage of online channels for both the internal
and external delivery of services. In so doing, the aim has been
to make the right information available to more people when required
(including those facing barriers of distance and people with disabilities),
improve the response time of information access and transactions,
and in the long term achieve cost savings through overall efficiency
gains. The introduction of online services has also acted as a catalyst
for the re-engineering of government processes.
We sought to
monitor government online services by examining:
• Electronic
Services Delivery (ESD;
• Inter & Intra-Department/Agency Communications; and
• Whole-of-Government Information Locator.
Departments
and Agencies within Government at the Federal and State levels are
increasingly seen to be at the forefront of the adoption of information
technology and acting as exemplars of technological awareness and
the application of information and communication services. Concurrently,
industry developments, investment in telecommunication infrastructure
and competitive provision of services have emerged as key enablers
of the adoption of online services.
Through the
efforts of the Online Council of Ministers and the Online Council
Officials, supported by OGIT and NOIE, serious attempts are now
being made to promote consistency across governments on a national
scale.
Since some services
cannot be delivered online and others must be delivered via a choice
of delivery channels to address the varying needs of business users
and consumers, traditional channels must be retained. Nevertheless,
the opportunities to realize further economies encourage the integration
of the various service delivery systems. The long-term objective
is to establish common data structures that foster a 'single window'
approach to accessing governments both across departments and agencies
within a given level as well as between Federal, State and Local
Government jurisdictions.
Refer
to Online
Services in Government [
PDF: 70 Kb] for the full sector report.
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Business
Uses
New ways of
conducting business are emerging as the Australian business community
continues to develop its awareness of the Internet and Electronic
Commerce (e-commerce).
Government is
encouraging businesses to embrace the Internet and e-commerce, so
as to increase efficiency, improve productivity, reduce costs, and
access new market opportunities.
Four application
areas are identified:
• Creating
Market Presence (reflecting new market opportunity).
• Customer/Client Management (reflecting increased efficiency
in managing relationships and includes transactions).
• Supply Chain Management (reflecting increased efficiency
and cost savings).
• Work Group Collaboration (reflecting internal efficiency
bringing with it increases in productivity)
Australian business
leaders are becoming receptive to the impact that online services
or e-commerce may have on the way they conduct business. The 1998
Andersen Consulting survey of CEOs found that "eighty per cent
of CEO respondents agree that e-commerce will 'revolutionise' the
way they do business in five years". However, the survey also
indicated that while CEOs highest strategic priorities are to reduce
costs, increase revenues from existing customers, use capital more
effectively and increase revenues by gaining new customers, the
use of online services is a low strategic priority.
Small and medium
enterprises appear to be adopting the use of the Internet at least
comparably with businesses internationally. The most advanced development
is in the activities related to creating market presence and customer
client management.
The financial
services and media sector appear to be applying the services at
a faster rate than other industry sectors. It is within these sectors
that new services such as Internet banking, online share trading
and online magazines are being extensively marketed.
The manufacturing
and retail industry appear to be the most advance in relation to
supply chain management. However for medium enterprises past experience
with EDI has left a negative perception for many organisations.
This, combined with a lack of technical capability has hindered
development within this application.
In the area
of work group collaboration e-mail is being used extensively as
a means of communicating within organisations and externally.
Refer
to Online
Services in Business [
PDF: 71 Kb] for the full sector report.
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Education
Uses
The uptake of
online services in education is being driven by two main forces:
• development
of pedagogical thought which emphasises the advantages of allowing
the learner's needs and preferences to determine the time, place
and form of the learning experience, and
• introduction of government policies which place education
within a global business environment and look to ICS for cost savings
as well as improvement of educational delivery.
In order to
focus on the ideas of use and effective use of online services,
seven categories of educational activity (applications) are identified.
They are:
1. Classroom/remote
delivery
2. Development of learning resource materials
3. Management of learning
4. Collaborative projects
5. Professional development
6. Information for prospective clients
7. Administration.
These are supported
by services that include the Internet, video conferencing, audio
conferencing, proprietary learning management software used on networks
or modem-to-modem, interactive telephony, and some stand-alone multimedia
services.
The use of these
services varies between schools, vocational education and training,
higher education, and adult and community education, and between
public and private educational bodies.
Both Federal
and State/Territory governments are strongly supporting the adoption
of online technologies. DEETYA is strongly involved with the development
of EdNA (Education Network Australia), an initiative which relates
to all educational sectors, and has funded research on the use of
technologies. ANTA is likewise funding development of online projects
and professional development, and is investigating the use of capital
funds for technology rather than bricks and mortar.
At State and
Territory level, the development of online programs and learning
materials is being extensively supported. Virtual Campuses (of varying
kinds) exist or are in development in Queensland, Victoria and South
Australia. These types of development are supported on the strategic
plans of government agencies. Private schools and other non-government
educational organisations are also adopting online services both
for the delivery and support of programs and also as a means of
communication within proliferating consortium partnerships, both
within Australia and overseas. Online services are breaking down
geographical limitations both in the choice of organisation at which
to enrol, and in the formation of organisational partnerships.
Refer
to Online
Services in Education [
PDF: 80 Kb] for full sector report.
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Health
Uses
New visions
of health care are emerging which are driving the uptake of online
services. Consumers are demanding more responsive consumer focused
care; providers recognise the dynamic nature of health care and
seek to be more flexible and responsive to consumer needs, and to
improve the quality of care; and governments seek more efficient
and effective service delivery.
Governments,
particularly at the Federal and State levels, are using on-line
services in the anticipation of cost savings, improving the parity
of health services, and to improve service delivery. There is also
a growing interest in the export potential of telehealth applications
and technologies. The introduction of online services is a catalyst
for restructure in the health sector.
Three areas
of activity have been identified where the use of online services
is rapidly developing. We recognise that there are some limitations
with this applications focus and we are examining other ways of
differentiating the activities associated with the use of online
services in health care. The three key areas are:
• Health
Information Management.
• Professional Development and Continuing Medical Education.
• Remote Consultation and Diagnosis.
In the past
decade, the Commonwealth Government has supported the development
of telehealth. This was prompted by advances in information and
communication services and a resurgence in telehealth activity overseas.
The Department of Health and Family Services has funded numerous
projects. The Department of Industry Science and Tourism, which
is particularly interested in the development of a 'telemedicine
industry' has conducted research into the telehealth market; and
other bodies such as the Health Communications Network have been
established. This company was created to exploit the potential of
the Internet within the health sector.
In the past
few years there has been a push to coordinate activity at a national
level and to respond to the requirements and issues that are arising
through telehealth activities. The creation of the National Telehealth
Committee reporting to the Australian Health Ministers Advisory
Council and the Commonwealth/States Health IT and Electronic Commerce
Committee are leading bodies in the area promoting consistency and
coordination.
Refer
to Online
Services in Health [
PDF: 94 Kb] for the full sector report.
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Residential
Users
Government’s
objective is to extend the range, accessibility and effective use
of online services by residential users. It is believed the greater
use of online services by consumers will improve their social and
economic well-being.
Government and
business are also trying to increasingly deliver goods and services
online so as to become more efficient and competitive. Thus there
is a greater supply of online services.
There is an
increase in household access and use of the PC and the Internet
in the last two years. Australia now ranks in the first three of
selected countries for household and population access to the Internet.
It also has the most even gender balance of Internet users of selected
countries. Despite Internet access having quadrupled in the last
two years, it is not a pervasive household communication channel
as only 12.4 per cent of households have Internet access. The telephone
and the television remain the dominant technologies.
The increase
of household access and use have come together with the increasing
usefulness and affordability of the PC and Internet access over
the last two years. This increase has not been uniform across all
socio-economic groups with the above 39 years old; those not employed
and people in non-metropolitan areas using the Internet less than
others.
The factors
that hold back greater access and use are also those that relate
to a lack of trust, fit with activities and a lack of comfort with
new meanings made by online services. They also relate to relationships
within the household and possibly the design of online services,
for females in the home use the Internet considerably less than
males.
These issues
are further examined as they relate to online shopping and electronic
money. These examples illustrate the continuing mix and match of
new and old communication channels; the continuing popularity of
the traditional though accompanied by an increase in the use of
the online channels; and the greater male usage of online channels
particularly for purchase and payment.
Refer
to Residential
Users of Online Services [
PDF: 140 Kb] for full sector report.
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Groups
with Special Needs
There are particular
barriers to, and potentially particular benefits from, the use of
online services amongst different groups with special needs. These
include
• Non-metropolitan
users
• People with disabilities
• People without online access
At this stage, only the first of these is addressed here.
Non-metropolitan
users
The communications
needs of residents and businesses outside capital cities are receiving
considerable political and other attention. Initiatives such as
local call charging to service centres will have an impact on access
to online services of remote users. The review of the Standard Telecommunications
Service may influence the level of accepted universal service to
accommodate better data transmission. Technology developments, particularly
in wireless and satellite infrastructure, are opening up new avenues
for servicing remote areas.
Broadly speaking,
there are objectives that the
• range
of online services and price to users be reasonably equivalent for
non-metropolitan and metropolitan users;
• particular barriers experienced by non-metropolitan users
be removed; and
• the potential for online services providing particular capacities
to meet needs of non-metropolitan users (characterised by a degree
of remoteness) be realised.
These objectives
are being pursued through a combination of market and government
initiatives. The 1997 report of the Information Policy Advisory
Council "rural®ional.au/for all" provides a considered
view of the barriers, change and development issues for rural and
regional use of online services. It serves as a starting point for
monitoring progress. A summary analysis of the recommendations of
this report and their current status is included in this section.
The advent of
the Regional Telecommunications Infrastructure Fund and its "Networking
the Nation" program is having a significant effect in implementing
many of the recommendations; its evaluation project will be an important
source of information. State Governments have also been active in
developing infrastructure availability; and promoting awareness,
access and skills development programs.
There is still
a lack of equivalence in access to, and use of, services by non-metropolitan
and metropolitan users. Some application developments – such
as telehealth, and web information services for farmers –
are being directed primarily to non-metropolitan users. There may
be some evidence that remoteness is being overcome by greater use
of online services where these are available.
Refer
to Non-Metropolitan
Users of Online Services [
PDF: 56 Kb] for full sector report.
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Glossary
| ABS
|
Australian
Bureau of Statistics |
| ACA
|
Australian
Communications Authority |
| ACCC
|
Australian
Competition and Consumer Commission |
| ACSI
|
Australian
Coalition of Service Industries |
| ACT
|
Australian
Capital Territory |
| AEBN
|
Australian
Electronic Business Network |
| AGPS
|
Australian
Government Publishing Service |
| AHMAC
|
Australian
Health and Medical Advisory Council |
| AIIA
|
Australian
Information Industries Association |
| ANTA
|
Australian
National Training Authority |
| APESMA
|
Association
of Professional Engineers, Scientists and Managers Australia |
| ATM
|
Automatic
Teller Machine |
| ATUG
|
Australian
Telecommunications Users Group |
| AVCC
|
Australian
Vice Chancellor’s Committee |
| BSEG
|
Broadband
Services Expert Group |
| BTCE
|
Bureau
of Transport Communications Economics |
| CEO
|
Chief
Executive Officer |
| CIC
|
Commonwealth
Information Centre |
| CIO
|
Chief
Information Officer |
| CIRCIT
|
Centre
for International Research on Communication and Information
Technologies at RMIT University, Melbourne. |
| CT
|
Computerised
Axial Tomography |
| DEETYA
|
Department
of Employment, Education, Training and Youth Affairs |
| DIST
|
Department
of Industry, Science and Tourism |
| EDI
|
Electronic
Data Interchange |
| EdNA
|
Education
Network Australia |
| EFT
|
Electronic
Funds Transfer |
| EFTPOS
|
Electronic
Funds Transfer at Point of Sale |
| E-mail
|
Electronic
Mail |
| ESD
|
Electronic
Services Delivery |
| GDP
|
Gross
Domestic Product |
| GOLD
|
Government
Online Directory |
| GOLS
|
Government
Online Service(s) |
| GP
|
General
Practitioner |
| GTTC
|
Government
Technology and Telecommunications Committee |
| HICAPS |
Health Insurance Claims and Payments Service |
| ICCP
|
Information,
Computer and Communications Policy Committee of the OECD |
| ICS
|
Information
and Communication Services |
| ICT
|
Information
and Communication Technology |
| IPAC
|
Information
Policy Advisory Council |
| ISDN
|
Integrated
Services Digital Network |
| IT
|
Information
Technology |
| IVR
|
Interactive
Voice Response |
| JITT
|
Just-in-Time
Training |
| LAN
|
Local
Area Network |
| NISC
|
National
Information Services Council |
| NOIE
|
National
Office for the Information Economy |
| NTHC
|
National
Telehealth Committee |
| NTIS
|
National
Training Information Service |
| OECD
|
Organisation
for Economic Co-operation and Development |
| OFTEL
|
Office
of Telecommunications (UK) |
| OGIT
|
Office
of Government Information Technology |
| PABX
|
Private
Automatic Branch Exchange |
| PC
|
Personal
Computer |
| PEG
|
Pharmacy
Extranet Gateway |
| POTS
|
Plain
Ordinary Telephone Service |
| RIRDC
|
Rural
Industries Regional Development Corporation |
| RIN
|
Rural
Information Network |
| ROI
|
Return
on Investment |
| RTIF
|
Rural
Telecommunications Infrastructure Fund |
| SAHC
|
South
Australian Health Commission |
| STS
|
Standard
Telephone Service |
| TAF
|
Telecommunications
Access Forum |
| TAFE
|
Technical
and Further Education |
| TARDIS
|
Telemedical
Applications for Remote Distribution Systems |
| USO
|
Universal
Service Obligation |
| VDU
|
Visual
Display Unit |
| VET
|
Vocational
Education and Training |
| VGEMS
|
Victorian
Government Electronic Messaging Service |
| WAN
|
Wide
Area Network |
| WWW
|
World
Wide Web |
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