BRIEFING NOTE 2 May 2010

ICT for Development Policy, Process and Governance

Bonbudong, 3rd Floor Songdo Techno Park 7-50 Songdo-dong, Yeonsu-gu, Incheon City Republic of Korea Telephone: +82 32 245 1700-02 Fax: +82 32 245 7712 E-mail: info@unapcict.org http://www.unapcict.org

United Nations Asian and Pacific Training Centre for Information and Communication Technology for Development (APCICT)

Module 2 -ICT for Development Policy,Process and GovernanceFocuses on ICTD policymakingand governance, and providescritical information about

aspects of national policies, strategies andframeworks that promote ICTD.

Forth APCICT Governing Council Meeting held in Incheon, Republic of Korea. (November 2009)

This briefing note looks at what current(digital) technology is capable of and whatthis implies for policymaking. The firstsection examines the process of craftingpolicies that would be best suited to theneeds of both the government and citizens.It presents an information and communi-cations technology (ICT) developmentmodel and discusses the relationshipbetween technology and policy as well asmulti-stakeholder ICT policymaking. Thesecond section focuses on some of thecritical elements of a national ICT fordevelopment policy, in particular ICTcapacity development, building an ICTindustry, and e-governance. The thirdsection emphasizes the need for an ICTgovernance framework comprised of a setof principles, a decision-making hierarchy,and a tailor-made suite of reporting andmonitoring processes, in order to maximizethe effective use of ICT to achieve nationaldevelopment goals.

This briefing note is drawn from the secondof eight modules of the Academy of ICTEssentials for Government Leaders(Academy). The Academy is a com-prehensive ICT for development trainingcurriculum that aims to equip policymakerswith the essential knowledge and skills tofully leverage opportunities presented byICT to achieve national development goalsand bridge the digital divide. More inf-ormation on the Academy is available at http://www.unapcict.org/academy.

Author: Emmanuel C. Lallana

Policymakers who are unfamiliar with thenew information and communicationstechnologies (ICTs) tend to shy away fromICT policymaking. But leaving ICT policyto technologists is not adviseable becausetechnologists are often unaware of thepolicy implications of the technologies theyare developing and using. This briefingnote on ICT for Development (ICTD)Policy, Process and Governance provides aguide to developing appropriate ICT fordevelopment policies.

Like any other public policy, ICT policy isboth what is articulated in pronouncementsand documents, as well as what is practicedby governments. While public policy aimsfor the public good, public policy does notalways embody the best possible solution toa given issue or problem. ICT policymakingis not only about the best technical/scientificresponse to an issue; it is primarily about thebest technical solution acceptable to all (ormajority of the) stakeholders. This processrequires identification of a suitable ICTdevelopment model, assessment of currentlaws and regulations, and analysis ofstakeholders.

An ICT Development Model

Many countries follow a market-led ICTdevelopment model. Telecommunicationsis a case in point. Today, the private sectoris seen as the main player in telecommuni-cations when only two decades ago,government ownership of telecommunicationnetworks was the norm.

The benefits of market-led ICT dev-elopment model include: 1) boostingconsumer benefits by reducing prices for

Summary

Introduction1

Developing ICTDPolicy2The APCICT Briefing Note Series

aims to provide at-a-glance informationon key information and communicationtechnology for development (ICTD)agendas for high-level policymakersand stakeholders. The series includes:1) highlights of conventional researchpapers, assessment and survey reportsand publications; 2) policy considerationsdrawn from the Academy modules; and3) key challenges and lessons learnedbased on analyses of best practices andcase studies.

BRIEFING NOTE 2 May 2010

services and products and increasing choiceand service quality; 2) reducing the coststructure of exporting and upstream sectorsto improve competitiveness in regional andglobal markets; 3) addressing the lack offlexibility and innovation in the supply-sideof the economy, which will be an increa-sing constraint to growth; and 4) helping toincrease employment rates by creating newjob opportunities and, by doing so,reducing fiscal demands on social security,which is particularly important in an agingpopulation.

But while markets have a leading role toplay in ICT development, this does notmean that government (or the state) andcivil society have no roles to play. Thechallenge is to find the appropriate balancethat will be responsive to the ICT dev-elopment needs of specific countries.

Non-governmental organizations (NGOs)are increasingly recognized as an importantforce in development. The Asian Dev-elopment Bank recognizes the following asthe particular strength of NGOs indevelopment : 1) serving as bridges toaffected communities; 2) ensuring thatprojects are implemented as envisaged; 3)nurturing continuity in project work; 4)advocating for increased transparency andgood governance; and 5) giving voice tovulnerable and/or marginalized groups.

The Relationship between Technologyand Laws

Open markets, deregulation, and libera-lization are not enough for sustained, rapidgrowth of ICT. Policy must also work towardsstrengthening regulatory bodies andformulating new laws for ICTD. This isbecause technological changes normallyoutpace legal and regulatory reforms,leading to a situation where old rules areused to govern new things. Policymakers(and regulators) should assess the extent towhich current laws and establishedregulations hinder or hamper the spread ofnew technology and the development ofnew businesses. For instance, with theadvent of the Internet, there is a need tochange the way the network or infra-structure is regulated. It is now possible totreat service providers as a distinct groupfrom network facility providers. To whatextent have your laws been repealed toreflect this development?

Stakeholders Analysis

Stakeholders are individuals, groups or

organizations with an interest in the policybeing formulated. They represent differentinterests and bring different agenda to thetable. Multi-stakeholder ICT policymakingis an emerging norm. The World Summiton the Information Society recognized that“governments, as well as private sector,civil society and the United Nations andother international organi- zations have animportant role and responsibility in thedevelopment of the Information Societyand, as appropriate, in decision-makingprocesses.”

Multi-stakeholder policymaking is deemedimportant for the following reasons: 1) itpromotes inclusiveness and equity in ICTpolicy and implementation; 2) it expandsthe analytical capability to address ICTpolicy issues; 3) it promotes grass-rootsmobilization and participation; 4) itpromotes the development of focused andholistic action plans; and 5) it fosters thesharing of skills and innovation.

Participants engaging in discussion at the UN-APCICT/ESCAP Partners Meeting of the “Academy of ICTEssentials for Government Leaders,” held in Incheon,Republic of Korea. (November 2009)

The following steps should be consideredin multi-stakeholder policymaking:

1. Identify the main purpose of the analysis.2. Develop an understanding of the system

and decision-makers in the system.3. Identify principal stakeholders.4. Investigate stakeholder interests,

characteristics and circumstances.5. Identify patterns and contexts of

interaction between stakeholders.6. Define options for government.

There are two key points about nationalICTD policy. First, to be effective, thenational ICTD policy must be com-prehensive, addressing both the demandand supply side of the issue. The second

point is that national ICT policymaking isnot a one-time activity. Not all conceivablenational ICT goals can or should beplanned for. Having too many goals at anyone time requires more resources and couldresult in poor allocation of limitedresources. It is instructive to note that themore successful countries have done aseries of national ICT policies with newplans building on the foundation laid byprevious plans.

This section does not attempt an exhaustivediscussion of all the elements of a nationalICTD policy. For illustrative purposes thefocus is on three critical elements of anynational ICTD policy: capacity dev-elopment, building the ICT industry and e-governance. Information infrastructuredevelopment, which is an importantcomponent of a national ICTD policy, issufficiently discussed in the literature ofICTD and is therefore not dealt with in thisbriefing note. Moreover, it should be notedthat infrastructure is ‘necessary butinsufficient’ for ICTD, and infrastructurecannot be the primary focus of a nationalICTD policy.

ICT capacity development

As noted by Bridges.org :“Any technologywill be insufficient if people do notunderstand how to put it to effective use aspart of their lives or their work, eitherbecause they are not trained to use it, orthey cannot imagine the possibilities forhow they could use it” Thus, developingICT skills should be treated as an importantelement of any national ICTD policy.

In developing ICT capacity programmes,policymakers face two general issues. Thefirst is ensuring that all citizens have thebasic competencies to succeed in theInformation Age. This is normally providedfor through ICT literacy courses that shouldbe offered to all citizens. The second issue isdeveloping specialist ICT skills to enablethe country's ICT sector and economy ingeneral to expand in a sustained manner.This requires the development ofspecialized training and advanced ICTcourses, and degrees in universities andcolleges. ICT literacy serves as a foundationfor specialized ICT training.

Building the ICT industry

A national ICT industry is critical because

Elements of a National ICTD Policy3

BRIEFING NOTE 2 May 2010

it is a major economic sector in its ownright. It can also serve as a driver ofproductivity and improved quality for theeconomy as a whole. Policies and strategiesneed to provide the right environment forthe ICT sector - such as ICT hardwaremanufacturing, offshoring and globalsoftware development, and the digitalcontent industry - to flourish and play itsrole in driving social and economicdevelopment.

An area of content development that Asiancompanies can focus on is digital mobilecontent. This includes mobile news, mobiletransport information, mobile financialinformation services, mobile games,mobile music, ring tones and icondownloads, mobile entertainment, andmobile directories.

(UN Integrated Mission in Timor-Leste photo/ AntoninhoBernardino) ICT Infrastructure in Timor-Leste

e-Governance

e-Governance is the use of ICT in thedomain of administration (including publicservice delivery, regulation, law enforcement,security, improving bureaucratic efficiency,and policymaking), and the domain of politics(the range of activities related to howsociety makes decisions and establishesvalues that are binding to its members) atthe local, national and global levels.

A governance perspective is used to highlightnot only the institutional interactions usuallyassociated with public policymaking but alsothe relationship of society to governing. Thisbriefing note dwells on issues related to e-

government, or the “use of ICTs to improvethe activities of public sector organizations.”This focus was chosen because ICTexpenditures by government can influencethe overall development of the local ICTindustry and also because e-governmentmakes possible good governance. Focusingon e-government would also help lower thehigh failure rate of e-government projects indeveloping countries.

Policymakers should be aware of thefollowing reasons why e-governmentprojects fail: 1) lack of internal drivers; 2)lack of vision and strategy; 3) poor projectmanagement; 4) poor change management;5) dominance of politics and self-interest;6) poor/unrealistic design caused parti-cularly by lack of inputs from key localstakeholders, which leads to designs that areover-technical, over-ambitious, or mismat-ched to the local environment (e.g. culture,values and needs); 7) lack of requisitecompetencies; 8) inadequate technologicalinfrastructure (e.g. lack of sufficient com-puters or network); and 9) technologicalincompatibilities. See Briefing Note No. 3for a more detailed discussion of e-government and guidelines for implementinge-government programmes.

ICT governance is about specifying adecision rights and accountability frame-work for the desired ICT use behaviour tobe met. This is a critical but oftenoverlooked element of ICTD policymaking.Governments seeking to maximize the useof ICT in pursuit of development goalsneed to develop an ICT governanceframework. This framework is usuallycomprised of a set of principles, a decision-making hierarchy, and a tailor-made suiteof reporting and monitoring processes.

Australia provides a good example of a setof principles for ICT governance. Theseprinciples are:

1) Establish clearly understood respon-sibilities for ICT.2) Plan ICT to best support the needs of theorganization. 3) Acquire ICT validly. Ensure that ICTacquisitions are made for the right reasonsin the right way, on the basis of appropriateand ongoing analysis. 4) Ensure that ICT performs well whenever

required. 5) Ensure that ICT conforms to all externalregulations and complies with all internalpolicies and practices. 6) Ensure that ICT use respects humanfactors. Ensure that ICT meets the currentand evolving needs of all of the people inthe process.

Creating a decision-making hierarchy forICT is not new to governments. Manygovernments already have a nationalagency in charge of ICT. From currentpractice, there are at least four types of ICTdecision-making bodies: Ministry/De-partment (e.g. Ministry of Communicationsand IT in India), Commission (e.g. HighLevel Commission for ICT in Nepal),Authority (e.g. National ICT DevelopmentAuthority in Cambodia), and Council(Brunei Darussalam IT Council). The issuefor countries with an existing ICT agency iswhether the current arrangement is effectivefor their needs. For countries without anICT agency, the issue is finding a suitablearrangement for effective ICT governance.

The third element of an ICT governanceframework is a tailor-made suite ofreporting and monitoring processes. TheBetter Practice Checklist for ICT AssetManagement developed by the AustralianGovernment’s Information ManagementOffice is an example.

Unfortunately, despite the importance ofICT governance, very few governmentshave adopted an ICT governance fram-ework (i.e. principles, decision hierarchy,and routinized monitoring and evaluationprocesses) at the level of government as awhole or within each government agency.Policymakers seeking to play a leadershiprole in creating an ICT governanceframework in their respective countriesshould start by considering Weill andRoss’s ‘ Top Ten Leadership Principles ofICT Governance’.5 These principles, ada-pted for the public sector context, are:

1. Actively design governance. Managem-ent should actively design ICT governan-ce around the enterprise's objectives andperformance goals.

2. Know when to redesign. 3. Involve senior officials. 4. Make choices.5. Clarify the exception-handling process.6. Provide the right incentives.7. Assign ownership and accountability for

ICT governance.

ICT Governance4

BRIEFING NOTE 2 May 2010

This work is released under the CreativeCommons Attribution 3.0 License.To view a copy of this license, visithttp://creativecommons.org/licenses/by/3.0/

The opinions, figures and estimates setforth in this publication are theresponsibility of the authors, and shouldnot necessarily be considered asreflecting the views or carrying theendorsement of the United Nations.

The designations used and thepresentation of the material in thispublication do not imply the expressionof any opinion whatsoever on the part ofthe Secretariat of the United Nationsconcerning the legal status of anycountry, territory, city or area, or of itsauthorities, or concerning the delimi-tation of its frontiers or boundaries.

Mention of firm names and commercialproducts does not imply the endor-sement of the United Nations.

8. Design governance at multiple organizational levels.

9. Provide transparency and education.10. Implement a common mechanism

across the six key assets (i.e. human assets, financial assets, physical assets,intellectual property, information andIT, relationships)

Audience observes launch of “Academy of ICT Essentials forGovernment Leaders” and the National Workshop on ICT forDevelopment Policy, Process and Governance in, PenomPenhm Cambodia, co-orgnised by UN-APCICT/ESCAP andthe National Information Communications TechnologyDevelopment Authority (NiDA) of Cambodia. (March 2010)

UN- APCICT / ESCAP

APCICT, a regional institute of the UnitedNations Economic and Social Commissionfor Asia and the Pacific (ESCAP), wasestablished and inaugurated on 16 June2006 in Incheon, Republic of Korea. Therole and mission of APCICT is tostrengthen the efforts of the 62 ESCAPmember and associate member countries touse ICTs in their socio-economic deve-lopment through building the human andinstitutional capacity for ICT. In pursuanceof this mandate, APCICT’s work is focusedon three inter-related pillars - Training,Advisory Services and Research. TheBriefing Note Series is part of the researchpillar. Also under the research pillar is aCase Study Series that provides analysesand compilations of best practices and casestudies on different aspects of ICTD andcapacity building in the Asia Pacific region.http://www.unapcict.org

ESCAP

ESCAP is the regional development arm ofthe United Nations and serves as the maineconomic and social development centrefor the United Nations in Asia and thePacific. Its mandate is to foster cooperationbetween its 53 members and 9 associatemembers. ESCAP provides the strategiclink between global and country-level

programmes and issues. It supportsGovernments of countries in the region inconsolidating regional positions andadvocates regional approaches to meetingthe region’s unique socio-economicchallenges in a globalizing world. TheESCAP office is located at Bangkok,Thailand.http://www.unescap.org

The Academy of ICT Essentials forGovernment Leadershttp://www.unapcict.org/academy

The Academy is a comprehensive ICT fordevelopment training curriculum with eightinitial modules that aims to equippolicymakers with the essential knowledgeand skills to fully leverage opportunitiespresented by ICTs to achieve nationaldevelopment goals and bridge the digitaldivide.

Module 1 - The Linkage between ICTApplications and MeaningfulDevelopment

Module 2 - ICT for Development Policy,Process and Governance

Module 3 - e-Government Applications

Module 4 - ICT Trends for GovernmentLeaders

Module 5 - Internet Governance

Module 6 - Network and InformationSecurity and Privacy

Module 7 - ICT Project Management inTheory and Practice

Module 8 - Options for Funding ICT forDevelopment

Module 9 - ICT for Disaster Risk Reduction/Management (to be launched inDecmber, 2010)

Module 10 - Climate Change and ICT (to belaunched in December, 2010)

These modules are being customized withlocal case studies by national Academypartners to ensure that the modules arerelevant and meet the needs of policymakersin different countries. The modules are alsobeen translated into different languages.Furthermore, these modules will beregularly updated to ensure their relevanceto policymakers, and new modules will be

developed that focus on ICTD for the 21stcentury.

APCICT Virtual Academy (AVA - http://ava.unapcict.org)

An online distance learning platform thatbrings Academy training to a wideraudience.

Knolwedge Management e-Collaborative Hub (e-Co Hub -http://www.unapcict.org/ecohub) ; Aresources portal and knowledge sharingnetwork for ICTD.Digital Partnership Network (DPN -http://www.unapcict.org/join_form) ;A collaborative ICTD network ofacademics, development practitionersand policymakers.

Research for ICT Human Capacity Building Analytical studies and cutting-edgeresearch on ICTD and ICT humancapacity building to provide support formaking appropriate decisions on ICTpolicies and sharing of best practices.

Advisory Services Advice and support to partners fordesign, customization, localization androll out of ICTD capacity buildingprogrammes.

Future ICT Leaders Programme Investing in and training the region'sfuture leaders and workforce to developsustainable ICT capacity.