GREECE’S COURSE TOWARDS THE INFORMATION SOCIETY
A study submitted in partial fulfillment of the requirements for the degree of Master of Science in Information Management
at
THE UNIVERSITY OF SHEFFIELD
by
STAVROS FOUNTZOULAS
September 2007
ABSTRACT
Contemporary Europe is gradually becoming an information society, and the impact of this change is felt on all sectors of human activity. The adoption of new integrated information systems and the broad diffusion of information and communication technologies lead to dramatic changes in society and economy. The rate for the diffusion of new technologies is a mark of development within a society. The present paper examines Greece's course towards the information society, through the study of European and Greek action plans developed in the past and up to date. The theoretical approach followed highlights the technological dimension of the information society, without however disregarding the fact that the information society is above all a sociological phenomenon. We also describe the expectations and expected impact from the implementation of a global policy on information society. There follows a concise analysis of the European and Greek approach, through the analysis of actions plans, initiatives and overall strategies on the information society. Special emphasis is placed on the identification of the contemporary problems and challenges faced by Greece. A special mention is made on the prevailing situation within the public sector and on how e-Government can contribute to the modernization of public administration. Through the presentation of secondary statistical data and the comparison of Greek ratings with the respective European scores in certain indicators, we determine Greece’s position in Europe. The results support the finding that, although Greece is facing various problems, it is heading in the right direction. We suggest actions to activate the necessary mechanisms to aid the improvement of its performance.
2
TABLE OF CONTENTS
Chapter One 1. Introduction...... 4
Chapter Two 2. Theoretical Framework…………………………………………………………...9
Chapter Three 3.1 Information Society as a Global Phenomenon: Expectations and Consequences...……………………………………………………………………..15 3.2 The European Union’s Approach to Information Society...... 18 3.2.1 The White Paper 1993 and the Bangenmann Report……………………...19 3.2.2. e-Europe 2002………………………………………………………………..20 3.2.3 e- Europe 2005………………………………………………………………..22 3.2.4 i2010...... 23 3.3 The Greek Approach to Information Society………………………………...24 3.3.1 Policy Text 1995………………………………………………………………24 3.3.2 The White Paper 1999………………………………………………………..25 3.3.3 Information Society Operational Programme 2000-2006………………….26 3.3.4 The Greek Digital Strategy 2006-2013………………………………………28 3.4 Challenges for Greece…………………………………………………………. 29 3.5 e-Government as an Agent of modernization in Public Administration……33 3.6 Public Administration in Greece: the Present Situation……………………..35
Chapter Four 4. Methodology……………………………………………………………………...37
Chapter Five 5. Defining Greece’s position in the European Information Society…………… 41 5.1 Computer Availability and Level of Internet Access – Households………... 45 5.2 Computer Availability and Level of Internet Access – Enterprises………... 49 5.3 Broadband Access……………………………………………………………....51 5.4 eGovernment Figures…………………………………………………………..54 5.5 General Comments……………………………………………………………..57
Chapter Six 6. Conclusion..……..………………………………………………………………...61
7. Appendix………………………………………………………………………….65
8. References.…...……………………………………………………………...... 78
9. Acknowledgements……………………………………………………………….88
3 CHAPTER 1 "All persons are entitled to participate in the Information Society. Facilitation of access to electronically handled information, as well as of the production, exchange and diffusion thereof constitutes an obligation of the State, always in observance of the guarantees of articles 9, 9A and 19."
Article 5a § 2 of the GREEK CONSTITUTION 1. Introduction It is generally accepted that the contemporary European society is one where restrictions as to the traffic of goods, passengers, ideas and, even more, information, have now vanished. The digital revolution of the World Wide Web and the adoption of modern information and communication technologies (ICTs) have had a huge impact on European societies and helped them realize the urgent need for the implementation of a comprehensive strategy on information society, which will enable modernization in all sectors of their socioeconomic activities and render them more competitive. Anastasiadis follows this opinion and he adds that this would allow their equal, rightful participation in the new globalized arena, while limiting the danger of exclusion from international developments (Anastasiadis, 1999). The term information society is fairly recent and describes societies in which a broad spectrum of everyday human activity is linked to the use of ICT applications (Strategy Paper, 2002). The term is more popular in Europe, while the United States prefers that of the information superhighway (Anastasiadis, 1999). While both term stress the significance of information in everyday citizen life, the European term is described as more socio-centric, as it is based on the values of European integration aiming to a social state and social cohesion (Servaes and Burgelman, 2000).
Why though is such great significance placed on what is termed the digital revolution, and, in the end, what is so revolutionary that it diversifies this type of revolution from all preceding revolutions (Castells, 1996)? In an attempt to answer this question, Castells focuses on the fact that information can easily be disseminated, while having the capacity to self-expand and reform (Castells, 1996). This reformation and expansion of information, Burke adds, can only take place in a networked society that encourages the dissemination of information, bearing a broader social and economic impact (Burke, 2006).
4 Arguing in the same direction, Anastasiadis supports that the primal relationship between humans and information is revolutionized as the role of information now concern its use as a tool for economic or social development (Anastasiadis, 1999). Thus, in order to use information efficiently and take advantage of it to improve all levels of society, we must identify an information policy that will aid states and societies to achieve their goals. For Burger, an information policy is a type of social mechanism used to control information while, for Weingarten, “a sum of laws, regulations and policies encouraging, discouraging or regulating the creation, use, storage and communication of information” (Priftis and Oppenheim, 1999).
Taking these facts into account, near the beginning of the previous decade, the European Union (EU) initiated an overall policy aiming primarily to boost the development and competitiveness of European economies, whilst supporting social cohesion. As Figel notes, the role of ICTs in this ambitious aspiration is significant (Figel, 2004). However, while the EU has repeatedly supported specific policies for the establishment of a Pan-European strategy on the information society, some countries have failed to respond to this lengthy procedure. For example, Greece failed to fully adopt these EU policies. As a result, today it heads the rear, behind most of its European counterparts (Buhalis and Deimezi, 2003).
We should note however that, albeit belatedly, Greece developed national strategies on the information society, already from the end of the past decade. Thus, the particularity of the Greek case lies in the inability of all Greek governments to create the necessary infrastructures and conditions to establish and support the implementation of an information policy leading to an information society (Liargovas and Tsipouri, 1997). As the Greek state has exhibited its interest in the specific field, and as the required political will for innovation and modernization was present, other factors must have hindered this process, in which case, we ought to investigate their nature.
The present study investigates Greece’s course towards the information society through the examination of the European framework and the Greek initiatives developed in the past and up to date, with a comparative presentation of statistical data on Greece deriving from relevant indicators and the respective EU percentages.
5 Special focus shall be placed upon the determination of the factors impeding the development process, while particular mention will be made of the existing situation in Greek public administration. We shall also examine the role of e-Government in the effort to modernize the public sector, and as a factor able to contribute to the creation of an interactive relationship between the state and its citizens, leading to a qualitative upgrading of their communication (Hahamis et. al, 2005).
Previous studies have proven that the particularity of the Greek strategy towards the information society lies in the role played by the state in the implementation of the strategy and the adoption of interventive policies (Iosifidis and Leandros, 2003). Another research also focused on the examination of the eccentric Greek attitude towards the information society and on how exactly the state’s extremely interventive participation differentiates Greek policy on information society to those of its European partners (Boucas). In an attempt to evaluate the use of the internet and the development rate of e-commerce in Greece, a third study examines the information society’s rate of development in Greece, compared to other countries (Xanthidis and Nicholas). There is a gap in research as regards to the detailed determination of the factors impeding Greece’s course and to how e-government and the general modernization of the public sector may contribute to the development of the information society.
This exactly is what this study is attempting to cover, by studying the general course of Greece towards the information society and examining the particular problems faced in this course. At this point, we should note that the study does not present primary data, but is limited to a selection of useful information from a variety of sources. For this reason, the methodology followed is based on the quantitative analysis of data from various statistical surveys and the descriptive presentation of these data, to answer the research question. The study presents data relating to the information society, which can help us reach some conclusions, while making some observations that could form the basis of future research.
As regards to the structure of the present study, the 2nd Chapter features a presentation of the theoretical framework of information society and information policy. In the theoretical framework, we report various opinions by contemporary theorists as to the
6 nature of information society, while particular emphasis is placed on the various interpretations through which we can approach the information society phenomenon according to Webster’s theory. There follows a theoretical analysis concerning information policy and how this contributes to a formulation, development and implementation of the policies on information society.
Chapter 3 presents an extensive literature review that will allow us to fully understand both the European and Greek approach to the information society. Subsequently, we present the information society as a global phenomenon, as well as the expectations and expected impact from the transition of an industrial society to a society of knowledge and information. The information society is not an exclusively European or Greek, but a global phenomenon. Thus, we must also report on developments at a global level, the opinion of international organizations and the suggestions of international authorities on how the world should get prepared for the forthcoming changes. We have a presentation of expectations and the positive impact of the information society on society, as well as an identification of the concerns and fears on the possible negative impact from these abrupt and dramatic changes.
This is followed by an analysis of the European approach, from the adoption of the White Paper of 1993 and the Bangemann Report of 1994 to the initiative e-Europe, ending with i2010, the EU’s current strategy on the information society. It is important to understand the targets, expectations, priorities and estimations of the European states, as expressed through various action plans, as these in part dictate the Greek approach we shall examine subsequently. We present the Greek institutional framework on the information society, which started with the Policy Text of 1995, was validated by the White Paper of 1999, upgraded with the 2000-2006 Operational Programme, to end now with the current Greek strategy on the digital development of Greece through the Digital Strategy 2006-2013 action plan.The analysis of the challenges faced by Greece forms an important part of this chapter, as we determine the urgent problems it encounters, to which it must provide an immediate solution. Finally, we focus on the issue of modernizing the public sector and the auxiliary role that e-Government can play in this direction. The chapter ends with a description of the present situation in Greece as regards to public administration and the use of e- Government applications.
7 Chapter 4 is dedicated to the methodology used in this study. We conduct a presentation of the theoretical problem of quantifying information society. We examine the opinions of various theorists and then present the method, data and sources that formed the basis of the present dissertation.
In the ensuing Chapter 5, we present a descriptive analysis of statistical numerical data, collected from surveys by Eurostat, the Greek Observatory on the Information Society, and various international organizations. We present the general listing of Greece in the world and in Europe, followed by an analytical presentation of data relating to computer availability and internet access, broadband access, ICT penetration rates and data relating to the development of e-Government. These data give a clear image of Greece’s position in information society in relation to the EU and are particularly significant, as they will allow us to provide an evidence-based answer to the research question.
In the end, we undertake a brief but summational description of a case country’s results in the field of the information society. The country was chosen for its basic geographic and internal similarities to Greece (peripheral zone - homogenous population). Finland could form a good role-model for Greece and one it should follow to improve its own position in the information society.
Chapter 5 includes the dissertation’s conclusion, presenting a general recapitulation and ending with significant results on the Greek case, its course towards the information society and the final position it holds in this.
8 CHAPTER 2
2. Theoretical Framework It is generally accepted that the information sector plays a major role in the way our modern society develops (Strategy Paper, 2002). To examine the position of Greece in what is called the information society, it is very important to analyze the different perspectives of this particular term on a theoretical level. It is also useful to specify the role of information society as conceptualized by several theorists, and proceed to the examination of the nature of information policy and how this is connected to the development, configuration and final implementation of information society.
For Webster, as for the majority of the theorists who work on the phenomenon of information society, the term has a very general meaning, covering a wide range of human activities (Webster, 1995). In addition, the term changes according to social trends and cannot therefore be described as static (Strategy Paper, 2002). For others, information society is one of the most important socioeconomic and political challenges of the 21st century and is capable of creating a prosperous and developed socioeconomic area (Daousi, 2001). In most cases, the term is favorably used to describe a broad technological revolution in the field of information and telecommunications (Webster, 1995); however, many critics argue that information society actually has a multidimensional character which may lead to serious consequences in the social environment (Kallas, 2006). Kallas also supports that the term is more empirical than theoretical and that it refers to a number of phenomena concurrently taking place in modern society.
More specifically, in his “Theories of the Information Society” (1995), Webster argues that there is a number of semantic definitions concerning the term information society. In this way, Webster presents the multidimensional aspect of the term and indicates the different theoretical frameworks in which one can approach this phenomenon. He suggests a technological, economic, occupational, spatial and cultural theoretical context to approach information society (Webster, 1995).
9 Undoubtedly, the rapid development of information systems and their extended use in almost every sector of social activity, rationalizes the popularity of a technological framework of information society (Webster, 1995). The technological achievements of modern society, the development of information technologies and telecommunications, together with the cost reductions and increased capabilities that such systems offer, are basic if not fundamental characteristics of a technological society (Webster, 1995). Networking between integrated information systems and the direct provision of information through the World Wide Web are also basic assets of a networked society (Burke, 2006). Therefore, it would be rather difficult - and in some cases superficial - to ignore the role of technology in what is known as the information society. Technology today is not only an integral part of society but of human nature as well; apart from that, as Webster points out, the technological impact is so important nowadays that technological innovation along with the “long waves” of economic development can create new typologies of political and economic systems (Webster, 1995).
The economic aspect of the term concerns the role of the information sector in the economy and the transition from an economy of goods to an economy of knowledge. Knowledge has always been considered a dynamic element for society and is also a requirement for economic development (Webster, 1995).
Some theorists, like Porat and Machlup, used statistics to create an appropriate theoretical framework to determine the extent at which knowledge has affected economy (Webster, 1995). Machlup used the model of several industrial fields and concluded that the percentage of information penetration into US economy was particularly high at that period (Webster, 1995). Porat adopted Machlup’s approach, overlapped the deficiencies of the previous theory and finally figured that the economic structure is categorized into a primary, secondary and a non-information sector (Webster, 1995). This categorization, together with Machlup’s findings, enabled Porat to conclude that US economy was information-based, with information goods and services predominating in American economic activity (Webster, 1995).
10 Another definition of the information society, closely related to the economic, is the occupational. This definition focuses on the ability of information society to induce occupational change and mainly describes the increasing numbers of the contemporary workforce focused on processing information (Webster, 1995). Other definitions include a spatial and cultural approach to information society; the first is related to information networks and how these can create links between the organization of time and space, while the second concerns the cultural change introduced through the global information flow and the media in our daily lives (Webster, 1995).
This paper will focus on the technological and economic definitions of the information society without overlooking its social and cultural implications. Following the techno-economic paradigm, there will be an attempt to critically analyze the process of Greece’s move towards the information society. However, even though theory in the area of information policy is abundant, Webster seems very skeptical about how we can judge a society to have entered the information age (Webster, 1995). He continues that it is very difficult to overlook technology’s role when talking about information society (Webster, 1995). Even though there are numerous arguments on this issue, the majority at least should recognize that, in the past, technological evolution was highly connected to economic development. Consequently, according to Webster, the established IT systems, along with economic development, form today the basic elements that can lead a society to the information age (Webster, 1995).
Webster’s theoretical analysis raises several crucial questions on all these semantic definitions, and foremost on the technological one, regarding measurement and the rather difficult procedure of creating an appropriate scale by which one can judge whether a society has entered the information age (Webster, 1995). Webster claims that a society which produces knowledge is not just based but rather dependent on information and communication technologies (Webster, 1995); therefore, the technological definition seems to be the most appropriate. Webster also points out that, in the information age, technology actually plays the same role that mechanization played during the industrial revolution (Webster, 1995).
11 But still how can we measure IT diffusion within a society? Do we have to look at government investments in this particular sector or examine how much IT is used by each person individually? In our modern society, technological innovation is so rapid that humans are sometimes incapable of following its developments. There is an abundance of announcements regarding future evolutions but these cannot be interpreted as a serious criterion to estimate how much technology exists in a certain society (Webster, 1995).
The sociological dimension of technology itself demonstrates that the invention of technology necessarily precedes its impact on society (Kallas, 2006). This happens because humans, who are members of a society and potential users of the new technology, must first accept it and then adjust to it for technology to become part of this society (Webster, 1995). Webster further explains that this acceptance is not a simple process; on the contrary, it has serious political, social and cultural implications which must be taken into account in all such cases (Webster, 1995). Kallas follows Webster’s rationale and supports that information technology is more or less of social making. Therefore, its progress is both unbounded and dependent on the social conditions that modulate it (Kallas, 2006). Kallas concludes that modern information systems are not just information machines; they are social systems, the further development of which is not only based on technical criteria (Kallas, 2006).
Castells claims that technology is a fundamental dimension of social change and societies are constantly changing through a rather complicated interdependency of economic, political and social factors, until there is a qualitative change (Castells, 1996). Therefore, information society does not only describe a technological revolution but a greater social transformation that will in turn modulate new ways of production, consumption and social making (Castells, 1996). For Castells, the new technological standard brought about by the information revolution of the 19th century is only one reason for the creation of an information society. The socioeconomic procedure of reconstructing capitalism and state socialism along with the values presented by the social movements of the 1960s and 1970s have additionally contributed to the modulation of the information society (Castells, 1996). He finally supports that there are no technological revolutions without cultural variation.
12 A main characteristic of the information society is the extensive production and distribution of information along with the involvement of information in every process related to productivity (Collombeti and Paolini, 2006). Therefore, information acquires great value since it is capable of rectifying social reality (Garnham, 2001). However, as Castells points out, this is nothing new, since information and knowledge have always played an important role even in previous centuries. What happens today is the establishment of a new context where epistemological knowledge acquires greater value, as it interacts between science, technology, wealth, power and communication (Castells, 1996). In other words, we have a codification of knowledge and its transformation into digital content (Castells, 1996).
For a harmonious implementation and operation of the information sector within the social environment, we must modulate and establish an information policy that will promote information development (Priftis and Oppenheim, 1999). Although the term information policy first appeared in colonial America, it became more widely accepted during the 1960s, and even more now, as it is closely linked with information society (Browne, 1996a). However, the term’s content has digressed from its original meaning. Thus, while, in the past, information policy was expressed as a consequence of other policies, such as, for example, national security, it wasn’t until the 1960s that it started acquiring a closer link with the actual concept of information (Browne, 1996a).
In an attempt to define information policy, Duff notes that issues relating to the freedom of information are deeply rooted in this type of policy (Duff, 2004). According to Duff, information policy includes a list of issues also relevant to data protection and security, libraries and archives, classified government information and copyright (Duff, 2004). This list testifies to the multidimensional and comprehensive nature of information policy, as it forms part of various approaches, including politics and economics, sociology and IT. Through the encouragement of e-commerce, copyright laws, privacy regulations, and access to a wide range of services, information policy can significantly contribute to the general social and economic status of each country (Priftis and Oppenheim, 1999).
13 Information policies usually include the creation of information infrastructure, direct access to data, training of labor and familiarization with modern IT systems, co- operation with international organizations for the adoption of new technologies and the modernization of the current information infrastructure (Priftis & Oppenheim, 1999). The formulation of an information policy has a great extent of interdependency on other policies and thus contributions and an engagement to a common goal is needed from various groups and experts (Priftis and Oppenheim, 1999). According to Duff, the concept of a national information policy is gaining increasing significance, as the IT revolution creates harsh competition in a globalized environment (Duff, 2004). Duff continues by supporting that, in any case, information policy is now linked to the information society and must form an integral part of the broader process for a society’s development at IT level (Duff, 2004).
Browne notes that, although in the past governments exhibited no particular interest in the development of this type of policy, today the American and European societies are highly dependant on the information sector and the fact that we head towards an information-based society makes the need for the adoption of an information policy even more urgent (Browne, 1996). Browne conducts an excellent analysis on information policy and supports that Webster’s different approaches to information society have significantly aided not only in the development of a contemporary information policy theory but also in our understanding of the conditions in which modern governments formulate such policies (Browne, 1996).
More specifically, Browne refers to the fact that policy makers understand the concept of information as a tool to formulate and implement government practices, while the introduction of the information society also places independent significance on information and concerns its use for a country’s financial and social prosperity (Browne, 1996). However, such policy needs to be in accordance with the political and economic requirements of the society and consistent with strategic goals at a national level (Browne, 1996). There are thus various formulation and implementation strategies, depending on the targets a specific society aspires to. This means that it is subject to rationalization based on specific criteria. For this reason, in order for an information policy plan to be successful it has to be determined through certain governmental directives and linked to the national budget (Browne, 1996).
14 CHAPTER 3
3.1 Information Society as a Global Phenomenon: Expectations & Consequences As mentioned in the theoretical framework of the previous chapter, digital technologies contribute significantly to the modulation of new global, social, economic and political changes. These changes have a direct impact on humans as individuals and on society as a whole and cover a broad spectrum of human activities from public administration, education, business and productivity to entertainment (Tasiopoulos, 2001). Thus, it makes sense for states, international organizations and other groups to take a major interest in understanding what information society is and how they can build this type of society in a global environment.
Previous discussions regarding information society resulted in the creation of a universal will to develop the required infrastructure for a smooth transition of less developed countries to the information age. The UN General Assembly admits that there is a great need for an interrelation between the potential of knowledge and technology in order to accomplish the targets for the new millennium (IANWGE, 2002). For this reason, information society is strongly connected to actions against poverty and it is generally considered an auxiliary tool that can lead to equal participation in what is called the information revolution for all countries (IANWGE, 2002).
The group of the seven wealthiest economies of the world (G7) has also recognized the importance of information society and has repeatedly encouraged all countries to make substantial efforts that will allow them to take part in the new global environment, access international networks and avert any risks related to exclusion from information developments (Brown et al.). International discussions regarding information society concluded that a modernization of the current information infrastructure is needed to encourage the overall development process. The promotion of general practices, such as access to information networks, and the encouragement of specialized practices such as e-learning and e-medicine, are fundamental prerequisites for the development of information society in the future (Liargovas and Tsipouri, 1997).
15 Recently, the G7 underlined the great significance of the information sector for the economy and stressed the necessity of establishing new routes for an international dialogue to reinforce countries in need of support (WCSDG, 2004).
It becomes obvious that the term information society has today achieved great importance as it is connected to a broad developmental implementation process on a worldwide level. It is therefore understandable for the modern world to have great expectations from the role of information society; concurrently however, there is a rather skeptical approach related to the negative consequences that information society and information and communication technologies (ICT) might introduce.
It is expected that the adoption of modern ICT applications will facilitate citizen access to public administration services and lead to a reinforcement of citizen participation in policy planning and decision-making (Marseglia). This means that democracy, institutions, and control on public authorities will be enforced. Apart from that, social welfare systems will also feature great benefits especially for sensitive social groups, such as people with special needs and the elderly (Anastasiadis, 1999). The development of electronic networks in public services will significantly limit bureaucracy and drastically improve the relationship between the State and the citizen (Strategy Paper, 2002).
Moreover, in the labor sector, numerous new jobs will be created, leading to the modernization of the labor environment and the improvement of productivity (Anastasiadis, 1999). The private sector is to play a vital role in this direction; in the new globalized market, the need for survival in a very competitive business environment will necessitate networking between different markets and suppliers while the development of electronic commerce will give a new turn to consumer demands (Strategy Paper, 2002). Consumers will have unlimited choices when choosing a product while the collapse of monopolistic behaviors in the market will lead to price reductions and improve the quality of offered products and services (Anastasiades, 1999).
16 Furthermore, progress will also be made regarding district regions, since communication with centered areas will be easier, faster and cheaper, enabling the development of distance learning and training for citizens of isolated regions (Anastasiadis, 1999). Overall, we will experience a limitation of the obstacles and inequalities that were mainly created by the current industrialized society (Anastasidis, 1999).
However, even if the emerging expectations have created a sense of enthusiasm about the future, there are several critical voices supporting that this will also entail various social sequences. Unemployment figures will rise considerably since a vast number of jobs will vanish (Anastasiadis, 1999). The replacement of the human factor by intelligent technological systems may be responsible not only for the increase of unemployment and part-time employment but also for the depreciation of human capability. It is expected that, in the future, people will spend most of their productive age as part-time employees (Anastasiadis, 1999); under such circumstances, the risk for people who are not familiar with modern ICT applications and people who belong to certain sensitive social groups is even greater.
The wealth of information now available may have serious sequences, as there is no system to control and validate it. Electronic crime, child pornography, electronic piracy and electronic fraud are only a few examples of how information can be detrimentally used. At the same time there is great concern regarding the protection of personal data and intellectual property rights.
The society of economy is now being transformed into a society of knowledge and this will result in a readjustment of the educational procedure. There are certain concerns that the rich-poor divide will become greater, as the latter may be unable to access information (Anastasiadis, 1999). Other negative sequences regarding information society concern the enforcement of cultural stereotypes and the risk of losing national identity and language through the assimilation of global trends (Anastasiadis, 1999). Conclusively, there are also risks concerning the environment; the massive utilization of the advantages offered by technology will probably lead to an enormous increase in the demand for consumer products with negative results for sustainable development (Anastasiadis, 1999).
17 3.2 The European Union’s approach to Information Society Through a series of decisions and directives and with the participation of all community institutions, the European Union supports its belief that information society has a great importance for 21st century Europe (Figel, 2004). Having realized that the forthcoming competition would be harsh, mainly from the United States and Japan (see Figure 1), EU created a number of trans-European research networks to investigate the potential for an information society policy across Europe (Servaes and Burgelman, 2000). The EU’s difficult mission was primarily focused on the smooth transition of its member-states to the information age and on encouraging national authorities for full participation in this common goal. The mission was difficult due to a diversification of policies in each member-state according to their particularities, which are heavily determined by national political objectives (Servaes and Burgelman, 2000); therefore, a common strategy had to be implemented.
Figure 1
18 Before attempting a review of the Community’s approach towards information society, it should be noted that the existing EU policy in the information sector is based on previous strategic choices and reflects the composite result of two broader social concerns. The first has a rather technology- and market-oriented focus and sets as a priority the confrontation with certain difficulties at European and national level regarding the decretive context of telecommunications (Servaes and Burgelman, 2000), while the second gives particular emphasis on the human factor, and examines information society through its sociological dimension (Anastasiadis, 1999). The composite result of these two concerns was to formulate an implementation policy plan that could counterbalance the need for rapid transition and the need for a safe process for all citizens.
Thus, Europe approached information society with citizens and the values of European integration as its top priority. There are certain signs to imply that Europe was already alert by the time the concept of information society was officially introduced by the Clinton – Gore administration (Servaes and Burgelman, 2000). Although it is true that Europe lagged behind its major global competitors, the focus of European policy was not just to obtain technological development or deregulation of the telecommunications sector. The whole plan’s goal was to create a strategic policy that would ensure coherence between member-states, bring periphery closer to centralized areas, and improve existing European technological know-how; in doing this, it would then be possible to avert the risk of foreign players dominating the European market (Liargovas and Tsipouri, 1997).
3.2.1 The White Paper 1993 and the Bangemann Report The EU launched its comprehensive policy in the field of information society with the publication of the White Paper for Growth, Competitiveness and Employment in 1993, followed by the Bangemann Report in 1994. The two initiatives, which express a rather socio-democratic concern, are primarily focused on the deregulation of telecommunications and on the significant role the private sector can play in the development of the information society (Servaes and Burgelman, 2000); however, neither the White Paper nor the Bangemann report clearly outline the services that are expected to be initiated or funded by the private sector (Liargovas and Tsipouri, 1997).
19 The White Paper gives certain directions concerning the deregulation of telecommunications to enhance competitiveness, rapid standardization and infrastructure development (Europa). It also stresses the importance of information society for development and competitiveness in a European environment; therefore, the community policy must be intensified to follow the rapid changes of the market (Europa). These changes are not simple; on the contrary, they entail risks of failure, necessitating a combination of community and public interventions, which will operate as a safety valve for the less developed countries and their transition to the new age (Liargovas and Tsipouri, 1997). Public intervention aims to protect national economies from market imperfections while the community intervention is related to the creation of interactive European networks that will deal with the existing obstacles caused by insufficient interoperability (Liargovas and Tsipouri, 1997).
The Bangenmann report was conducted at the same direction and expresses the same thoughts as the White Paper. This report, which was finally adopted as policy text by the Council held in Corfu, Greece in 1994, proposes inter alia the suppression all monopolistic structures, the establishment of a communal coordinative principle and the creation of trans-European networks for public administration (Bangenmann, 1994).
These thoughts formed the basis for the determination of the EU policy for information society. For Europe, information society was no longer a vision, but a tangible reality (Bangenmann, 1994). In December 1999, the Commission approved the e-Europe initiative, which was finally accepted by the European Council of Lisbon in 2000. This initiative aimed to render Europe the most competitive and robust knowledge-based economy in the world (Liargovas and Tsipouri, 1997).
3.2.2 e-Europe 2002 The e-Europe 2002 Action Plan is part of the general Lisbon strategy for economic, social and environmental renewal. Its objectives are included in three main categories that concern the extension of fast, cheap and safe Internet connections in Europe, the creation of a favorable environment for investments in competitive communication networks and, finally, the reinforcement of Internet use with emphasis upon consumer training and protection (CEC, 2000).
20 The action plan makes a series of recommendations that will enable member-states to conduct a smooth and rapid transition to information society. More specifically, with regard to faster and cheaper Internet access, the initiative proposes to redefine the operational framework in the telecommunications sector, to substantially increase competitiveness and reduce prices (CEC, 2000). Funding programs will also support research centers and universities to provide them with rapid Internet access, while particular emphasis is given upon the collaboration between the private and public sectors, to promote technology and ensure network safety and personal data security (CEC, 2000). Regarding investments and skills, the action plan stresses that there is a great need for collaboration between member-states and social partners so that European citizens can acquire knowledge and adjust to modern information systems (CEC, 2000). Thus, equal Internet access must be ensured for all citizens.
The reinforcement of Internet use mainly concerns the acceleration of electronic commerce, electronic access to public services, and electronic medicine. According to the e-Europe 2002 Action Plan, there has to be an effort to strengthen consumer confidence in e-commerce, to revise the existing legislative context for intellectual property and improve legal consolidation for products and services offered electronically (Europa1). Public administration must work in the same direction to ensure electronic access in all basic public services up to 2003 (Europa1).
The e-Europe 2002 Action Plan was successful, and prices for Internet connections were significantly reduced, with the number of households connected to the Internet increasing by more than 40% (CEC, 2002). Additionally, there was an increase in the number and quality of e-government services as basic public services are now available electronically (CEC, 2002). It should be noted that the widespread adoption of broadband connections and the development of economic and social activities, based on broadband networks, is expected to have a significant long-term impact on productivity (CEC, 2002). The next step concerns the modernization of public administration and the further development of e-business and e-commerce.
21 3.2.3 e-Europe 2005 The action plan e-Europe 2005 succeeded the e-Europe 2002 initiative, which was mainly focused on the extension of Internet connectivity in Europe. The new initiative was approved by the European Council of Sevilla in June 2002 and is included in the general EU policy on the development of the information society (Europa2). The e- Europe 2005 initiative supplements the previous one; it generally aims to improve the quality and safety of broadband services that can finally lead to the improvement of the quality of life for all European citizens.
The e-Europe 2005 Action Plan, which follows the same approach as previously described for e-Europe 2002, also focuses on Internet users, while one of its main goals is to strengthen employability and social cohesion between EU member-states (CEC, 2002). The difference is that the new initiative is primarily focused on the functionality of modern public service networks. Hence, it proposes to establish a committee that will monitor and facilitate interoperability between trans-European e- Government services for citizens and enterprises, to create public points for Internet access and ensure broadband connection for all public services until 2005 (CEC, 2002).
As regards to e-learning, there is a series of recommendations, such as broadband connections for all schools and universities, training of adults for the acquisition of certain skills that will enable them to meet the requirements of the new digital society (Europa2). The role of technology in the health sector is also mentioned, with recommendations for the installation of health information networks by the member- states (Europa2). It also proposes redefining the relative legislation concerning e- commerce and the installation of a European network capable of supporting small and midsized enterprises (Europa2).
Particular importance is given to the information infrastructure security, proposing the creation of an operational team to ensure cyberspace safety, crack down on criminal activities and directly confront e-crime. Finally, it stresses the need for security in information dissemination between public services (Europa2).
22 3.2.4 i2010 i2010 is the new strategic plan of the European Commission; it is included in the general strategy of Lisbon and determines the general political direction for information society and the media. It mainly aims to encourage knowledge and innovation in order to strengthen development and create more and improved vocational opportunities (CEC, 2007). i2010 is actually a sequence of the previous European initiatives e-Europe 2002 and 2005, in the general effort of the European Union and its member-states to jointly confront the challenges concerning the information society. Thus, the three objectives of the new blueprint, as determined by the Commission, concern “creating a single European Information Space, strengthening innovation and investment in information and communications technologies (ICT) research and achieving an inclusive European information and media society” (Europa3).
Finally, the crucial targets that the Commision primarily sets concern:
• the completion of a Single European Information Space to enhance
competitiveness in the information sector;
• strengthening Innovation and Investment in research related to ICT;
• achieving an Inclusive European Information Society in order to promote
growth and employment.
23 3.3 The Greek approach to the information society As we described in the previous unit, the basic target for European policy is the successful entry of member-states in the information society. To this end, the EU undertook a series of initiatives and proceeded to the implementation of strategic action plans to reduce the gap between member-states and encourage EU cohesion (Europa).
As happens with other member-states, Greece’s prospects for the development of an information society are closely linked to developments on a European and global level. Greece has been an EU member-state since 1981, and has thus participated fully in both the decision-making process and the adoption of community development and policy programs for over 25 years. Despite the fact however, that it has been a member of the European family for just under three decades, Greece has a history of spectacular failures as regards to the timely implementation of the European policy for the information society (Buhalis and Deimezi, 2003). This raises certain questions as to how binding this EU policy is for member-states and as to the future of information society in general (Tsatsou, 2004). Let us have a look at Greece’s up to now course towards information society, the efforts realized at national level and the implementing authorities.
3.3.1 Policy Text 1995 Greece’s information sector policy first appears in 1995, with the publication of the text “The Greece policy on information society: A tool for Employment, Development and Quality of Life”, signed by the then Minister of Industry and later Prime Minister, Mr. C. Simitis. This text constitutes the Greek government’s first official effort for the formulation of a policy, setting four targets/milestones: the development of Greek entrepreneurial access to IT infrastructure markets, the development of household access to IT infrastructure, the expansion of public transactions through electronic means and the mineralization of the information gap between Greece and its partners. The time-frame for the achievement of these targets is set at 10 to 15 years (Strategy Paper, 2002).
24 3.3.2 White Paper 1999 At a time when other counties were already marching ahead, the Greek political leadership suddenly awakened to the fact that the lack of an overall policy and the delay in the implementation of the required measures will condemn Greece to isolation and exclusion from European and global developments (Strategy Paper, 2002). The Greek information society policy starts officially in 1999, with the publication of the White Paper “Greece in the information society: Policy and Actions”. The White Paper constitutes a comprehensive policy and expresses the government’s will for the country’s equal participation in the information society (Strategy Paper, 2002). It defines the information society as “a type of financial and social development, where the acquisition, storage, process, evaluation, transfer and dissemination of information leads to the creation of knowledge and the fulfillment of the needs of both individuals and enterprises, thus playing a central role in economic activity, the production of wealth and the determination of the citizens’ quality of life” (Strategy Paper, 2002).
Greece’s overall policy on information society is based on certain main principles, such as innovation and business initiatives, democracy and personal freedom and, finally, equal opportunities and solidarity (Strategy, Paper, 2002). The White Paper also describes this new era’s targets: improvement of the services offered to citizens and businesses, improved quality of life, robust economic development, digitally- oriented educational systems and research, increase of employment and competitivity, regional development, development of a national communication and mass media infrastructure, democratic control and safekeeping of citizen rights (Strategy Paper, 2002).
The text also aims to inform and sensitize citizens as to the opportunities presented in the course towards the information society, while stressing that this course depends on the collaboration between the public and private sectors and the active participation of citizens. The White Paper characteristically states that the private sector’s role is crucial, as investments, the introduction of contemporary technologies in the manufacturing of new products and the creation of new vocational opportunities will render Greece more competitive (Strategy Paper, 2002).
25 The state’s role is strategic, as it has the capacity to promote economic and social changes, invest in human resources and safeguard citizen rights and interests in the digital era (Strategy Paper, 2002). In addition, the creation of a flexible and constantly developing institutional framework and the assurance of healthy competition will bring Greece closer to European market standards. It is finally reported that the active participation of citizens is catalytic in the overall renewal process, as the information society is a democratic society where all citizens participate actively at individual or collective level (Strategy Paper, 2002).
3.3.3 Information Society Operational Programme 2000-2006 The 2000-2006 period is a crucial point for Greece, as it will determine the country’s subsequent development course. In the framework of the 3rd Community Support Framework (CSF), Greece will attempt a technological revolution in its most significant sectors, those of national economy and public administration, with prospects for the expansion of the new conditions in the whole spectrum of social and political life (Bucas). The new Information Society Operational Programme (OP) 2000-2006 constitutes a significant Greek effort in the direction of the White Paper 1999, defined through a group of comprehensive and complemental interventions in various sectors of financial and social life, aiming to catalytically contribute to the development of the information society in Greece (INFOSOC).
The 2000-2006 OP’s aim is to implement the main points of the Greek Government’s White Paper, achieving in parallel the targets set out in the context of the e-Europe initiative, the e-Europe 2002 action plan and the subsequent plan e-Europe 2005 (INFOSOC). In the framework of the Operational Programme, it proposes the use of over 2.4 billion euro of public financing, an expenditure level equivalent to those of the most ambitious regions in W. Europe (INFOSOC).
Past experience and the need for radical structural changes testified to the need for decisive action, new intervention implementation mechanisms and the use of all existing know-how to reduce the gap between Greece and the other EU member-states (OPIS, 2004). The OP’s long-term goal is to form a design and implementation standard for a new generation of interventions that will produce revolutionary changes in public administration.
26 The OP’s general report just before the announcement of its guidelines focuses on the fact that Greece faces particular difficulties on both the full adoption of EU policies on information society and the fact that it is unable to attract investments that will aid the country in overcoming the inefficiency of its services and mechanisms, leading to a faster development of basic communication services in a fully deregulated environment (OPIS, 2004). It also reports that Greece is noted for its limited resources in trained labor and the lack of motives for postgraduate studies. As the information society is a society of knowledge, the development of human resources must form a central axis for all policies (OPIS, 2004). To this end, the report stresses the need to prioritize the adjustment of educational infrastructure to the new status quo. Thus, the redefinition of the educational process and the need for continued learning form key issues for societies that wish to be included in the information society (OPIS, 2004).
The Operational Programme features general and specific targets. The general targets concern citizen services and the improvement of their quality of life, as well as human resources (HR) development. More specifically, it attempts a series of interventions pertaining to the introduction of ICT in public administration, health, transport and the environment, leading to an improved content of services. In addition, as regards to HR development, it suggests the creation of the appropriate conditions to boost the development process, productivity and competitivity (OPIS, 2004). It also includes actions to support employment through new technologies and adjust educational needs to the digital era, while it makes specific mention of the implementation of actions for the protection of Greece’s cultural inheritance and the promotion of the Greek language and civilization (OPIS, 2004). In order to achieve these general targets, the Business Program sets a series of specific targets (OPIS, 2004), such as: • Education & Culture, allocated 17.03% of total public expenditure. • Citizen services and improvement of quality of life, allocated 38.37% of total public expenditure. • Development and employment in the digital economy, allocated 25.32% of total public expenditure. • Communications, allocated 15.35% of total public expenditure, and • Technical support, allocated 3.75% of total public expenditure on the Operational Programme.
27 3.3.4 The Greek Digital Strategy 2006-2013 Greece recently established a new strategy for the digital development of the country under the ‘Digital Strategy 2006-2013’. The new integrated digitalization plan, developed by the Greek Information Technology Committee in 2005, aims to lead Greece to digital development until 2013. Its main objectives are to enhance the role of the Operational Programme according to the new EU strategy i2010 and to create the conditions required for an unprecedented “digital leap” in Greece (HITC). This action plan actually replaces the White Paper of 1999 and follows a rather realistic approach to identify the current gaps and deficiencies in the Greek digital environment. The whole strategy took into consideration the international experience and the best practices of certain countries, previous and current international and European digitalization policies and a comprehensive identification of the current conditions concerning information infrastructure in Greece.
The objectives of the new strategic plan can be distinguished into two broad categories and concern the improvement of productivity and the quality of life of the Greek citizens (HITC1). It is expected that the above objectives will be accomplished through the reorganization of the public sector and the enhancement of business skills. In order to achieve these goals, the plan examines how the state can improve its productivity by using ICT applications and to what extent the information sector can contribute to the development of the Greek economy (HITC1). It also explores why Greek enterprises cannot benefit from the adoption of ICT and why business activity in the technological sector remains low (HITC1). As far as quality of life is concerned, the new strategic plan examines the reasons for which Greek citizens hesitate to adopt ICT to improve their daily life and to what extent e-Government services are available for citizens (HITC).
The basic directives of the Digital Strategy 2006-2013 are six (HITC1): • Promotion of ICT use in all enterprises to improve the productivity of Greek economy. • Technological reorganization of the public sector to improve its internal operations.
28 • Promotion of entrepreneurship in every sector, especially those related to IT activities. • Exploitation of ICT by citizens to improve their daily life. • Development of digital services to confront bureaucracy. • Strengthening the ICT sector.
The new plan emphasizes the fact that broadband internet connectivity is the common denominator for all the above goals; it also stresses that human capital is to play a key role in the whole implementation process (HITC). Finally, we should mention that the new Greek initiative is in full compliance with i2010 while the whole implementation process will be monitored by the Greek Information Society Observatory.
3.4 Challenges for Greece From the up to now description of the community and Greece framework on information society, it is obvious that major changes are taking place at both EU and national level. Greece’s particularity lies in the fact that, while it is an EU member- state, it is in the 24th place of the global list pertaining to human development for 2006, and, while, in theory, it belongs to the club of developed countries, it still presents significant failings in the dissemination of technology and the improvement of its technological infrastructure.
Admittedly, albeit a significant improvement has taken place compared to previous years, the path to information society still remains a difficult challenge for Greece, since a variety of problems and difficulties prevented the country from following a successful implementation policy in the information sector (HITC1). Such problems mainly concerned the traditional structure of the Greek economy and inadequate investments in the research and development of modern ICT technologies (Liargovas and Tsipouri 1997). More specifically, relevant studies show that there is widespread ignorance as to the content of IT, amongst both citizens and decision-making centers, to the extent that, more and more, mention is made of Greece’s particular type of digital illiteracy (Dimitriadis and Maniadakis, 2006).
29 Although the majority of young people have a good understanding of IT, the rest of the Greek population is not familiar with modern technologies and this will become an obstacle for the diffusion of ICT in the future (Dimitriadis and Maniadakis, 2006). In addition, Greece sees no investments in IT (EFILWC, 2004). The country’s lack of a relevant policy for a long number of years, along with the predominating industrial and labor practices, not only do not promote the development of an information-based society, but also widen the gap between Greece and other EU countries (EFILWC, 2004). Thus, Greece stalled in the field of the information society, as inactivity, the lack of appropriate initiatives and preparation lead to a digital retrogression (Tsatsou, 2004).
The White Paper of 1999 clearly mentions that the country’s equal participation in information society is a goal of great importance for Greece, while it also points out the risk for Greece’s exclusion from developments in Europe and elsewhere in the world (Strategy Paper, 2002). Until recently, the machinery of state showed no particular interest in funding research programs and promoting the IT sector through public cash (HITC). On the contrary, it relied greatly on European funds, which, albeit provided by the EU, where inefficiently absorbed by Greece, as the country failed to develop them efficiently in order to proceed to structural changes (HITC). In addition, the systems of research and development in Greece work under the supervision of universities and the lack of interoperability between academics, business and government hinders further development (ECO, 2007).
Admittedly, over the past few years, Greece has achieved significant development levels mostly due to its efforts pertaining to the introduction of the Euro currency and the funds accumulated through the organization of the Athens 2004 Olympic Games (Buhalis and Deimezi, 2003). Today, Greece is regarded as one of the most rapidly developing economies in Europe, with a development percentage above the EU average (Spanos, 2005). Despite this, the starting point remains low; the introduction rate for new technologies is amongst the lowest in Europe already since 1999, while the Greek economy’s traditional and chronic problems remained unsolved (EFILWC, 2004).
30 Despite the reformation of the Greek economy, its structure remains largely traditional, lacking in research and investments in new products. The absence of heavy industry, the low dissemination rate of new technologies and the limited IT sector hinder overall progress (EFILWC, 2004). In addition, the post-euro era does not indicate a cloudless future for Greece. The huge deficit of current transactions, the low rates of savings and the high rates of loans are indicative of why Greece has an inadequate position internationally and is incapable of attracting new investments that could enhance productivity and increase employment rates (Kefalas, 2007). Additionally, the development of genuine and healthy business activity is hindered by government’s involvement in the economy, while bureaucracy dominates the entire public administration (Economist Intelligent Unit, 2005).
The public services and public sector mechanisms are largely incapable of meeting the demands of this new era. Bureaucracy, insufficient planning and inappropriate – if not inexistent – infrastructure not only hinder the assimilation and use of new technologies but also concurrently inhibit the development process. As a result, on an international level, Greek competitivity falls behind not just the developed regions of N. America (USA, Canada) and N. Europe (GB, Nordic countries) but even countries that have just entered the European family and have not yet fully adjusted to the community status quo (Hungary, Poland, Czech Republic).
And while we would expect Greece to focus its attention on education and realize huge investments in the educational sector, relevant studies show that the Greek educational system is not based around the idea of continued learning (Tamvakeraki and Amanatidou). Constitutional barriers that have just now been lifted, for the establishment of foreign private universities that could offer knowledge and experience hindered the modernization of Greek education. The effective legal framework, while securing the right to a free public education for all Greek citizens, does not provide for the modernization of existing infrastructure, leading to decreased competitivity for Greek graduates compared to other countries and a high percentage of student departures to third countries, mainly to the US and Britain.
31 As regards to the telecommunications sector, Greece has been classified as a problem country due to its non-compliance with and inability to apply EU policy on telecoms legislation (EU Press Releases, 2006). At this point, we should remind that, as an EU member-state, Greece is obliged to comply with the European institutional framework, adopt European regulations and incorporate them in national legislation. Due to its non-compliance with the European policy on telecommunication, the European Court sentenced Greece for the non-modernization of its legislative framework and its obstruction of the free market development (EU Press Releases, 2006). Today, although deregulation has been obtained, some problems still remain because of the traditional economic power structure (Economist Intelligent Unit, 2005). At the same time though, steps are made, with initiatives like the National Committee on Telecommunications and Postal Services (EETT), which undertook the harmonization of Greek with European legislation on telecommunications.
We should accept that these failures to adopt specific policies and laws might be the result of broader cultural variations or even geographic particularities and are often linked to the general attitude of a people or a whole society (Tsatsou, 2004). For example, some studies report peripheral disparities that impede the balanced development of the information society (Damvakeraki and Amanatidou). In the case of Greece, we may talk of an unequal distribution of the development process between urban centers and isolated border areas or the country's thousands of islands (Damvakeraki and Amanatidou).
Finally, we should note that, although Greece still has much to do in order to take advantage of the opportunities offered by ICT, certain exiting data support its place as a potential leader in technological development. It is a happy fact that both the White Paper and the Business program admit the need for new regulations in important sectors, such as the protection of personal data and copyright, as well as active citizen participation (Strategy Paper, 2002). However, the use of new technologies is impeded by citizen concerns regarding the protection of their personal data and the possible political control over the provided information (Strategy Paper, 2002).
32 3.5 e-Government as an agent of modernization in Public Administration From the previous detailed description of the Greek and European frameworks, it is obvious that the modernization of public administration through ICT forms one of the main targets of both the Greek and European policy on the information society. The same framework includes the promotion of e-Government services to improve state- citizen relationships (CEC, 2003). The European Commission defines e-Government as “the use of information and communication technologies in public administrations combined with organizational change and new skills in order to improve services and democratic processes and strengthen support to public policies” (CEC, 2003).
The modernization of the public sector is mentioned in all major European initiatives; e-Europe 2002 aims to promote electronic access to public services in order to increase the number of public services available electronically (CEC, 2000). e-Europe 2005 focuses particularly on the modernization of public administration and the functionality of the modern public services networks, while encouraging the use of broadband connections for all public services until 2005 (CEC, 2002). The strengthening of e-Government services is a fundamental goal for e-Europe 2005 as it can improve the quality of the provisioned services; reinforce transparency in the public sector and limit bureaucracy (CEC, 2003). To achieve these goals, the state must feature a good internal system, trained personnel, digitally-aware citizens and interoperable and reusable information systems (CEC, 2002).
A large part of the i2010 initiative is dedicated to the description of its targets pertaining to public administration and the enactment of e-Government (CEC, 2007). The e-Government Action Plan describes the intent for efficient public services focusing on the actual needs of citizens (CEC, 2006). It also suggests priorities that should be recognized in order to accelerate the deployment of e-Government in Europe. These priorities concern modernizing public services, improving their quality, boosting efficacy, minimizing bureaucracy and, finally, increasing interoperability between the networks and services offered to citizens (CEC, 2006).
There is general planning to enable Greece to face the challenges of our modern age and to accord new ways of communication between the state and its citizens. The enactment of e-Government is becoming an apparent need for every European state
33 that wants to be present in a constantly changing European society (Nerantzis). For this reason, the fact that Greece makes great efforts to develop e-Government services and to modernize its current public administration operational environment is very encouraging (Boufeas et al., 2004).
The Greek policy for the modernization of the public sector is no different to that of Europe. This could not be otherwise, firstly because the financing of modernization programs requires approval by the Commission, and, secondly, because member states strive to cover and bridge the gaps of EU policy. Already in 1995, the Policy Text speaks of the expansion of public transactions through electronic means, while the White Paper 1999 describes the improvement of services offered to citizens and businesses in order to achieve an improved quality of life (Strategy Paper, 2002). There is also a chapter on the potential role of ICT, focusing on issues of transparency and democratic participation. It is concurrently stressed that the introduction of new technologies in public administration facilitates the decentralization of the state’s executive functions and the reorganization of public services (Strategy Paper, 2002).
The White Paper 1999 constitutes a central tool of Greek policy in its effort for a technological revolution in the main sectors of national economy and public administration, through a series of radical interventions. The Paper reports that the State is the largest information holder in Greece and that these assets are important for both the sate per se and for citizens and businesses (Strategy Paper, 2002). It stresses that the primary target is the digitalization of existing information, its organization in databases and the assurance of citizen access to these databases (Strategy Paper, 2002).
The final target is for public administration to play a decisive role in the development process and the course towards the information society (OPIS, 2004). To achieve the above targets, the Operational Programme 2000-2006 provides the formulation of a regulatory framework for the creation, distribution and processing of information in both the public and private sector, in combination with:
34 a) the briefing of citizens and businesses to minimize any reservations as to the use of new technologies, b) institutional regulations to ensure the protection of confidential personal data and c) the gradual establishment of an operational framework for the IT market in a state of free competition (OPIS, 2004).
The initiative for the Digital Strategy 2006-2013 also reports that public sector productivity can be improved using ICT (HITC1). To this end, it suggests a reorganization of the public sector through technological means in order to improve internal functions. Finally, it clearly states the potential of digital services and their capacity to minimize bureaucratic requirements (HITC1).
3.6 Public Administration in Greece: The present situation Admittedly, the state of public administration in Greece has improved drastically over the past few years. However, it is still noted for its failings and shortcomings, such as limited efficiency due to its bureaucratic structure of the public sector and the lack of interoperability (HITC). The general plan on public administration in Greece is based on two interventions. The first concerns the promotion of e-Government with the introduction of ICT at a functional level and the second issues of institutional modernization (HMPAD). Thanks to the implementation of the Operational Programme 2000-2006, which was responsible for the financing of ICT infrastructure and services in basic sectors of public administration, Greece managed to greatly develop e-Government citizen services. Some of the main successful cases include (Strategy Paper, 2002): • TAXISnet, for the development of e-transaction services with tax authorities. It features an electronic submission of income tax, individualized e-information on tax return results and the issuing of electronic certificates. • IKAnet, for Social Insurance Fund transactions and information services. • SYZEFXIS, aiming to the formulation of a unified technological and operational environment for the broadband communication between public services, citizens and businesses. • KEP (Citizen Services Centers), offering immediate access to over 1000 administrative service transactions. • Other notable examples include KLEISTHENIS and POLITEIA.
35 Despite the marked progress, Greece still ranks below the EU25 average. According to the United Nations Center’s Report for Public Service Professionalism, there are certain administrational deficiencies that hinder the provision of e-Government services in Greece and the modernization of public administration in general (eUser, 2005). These deficiencies include the Greek bureaucratic administrative mechanism, the independent integration of information systems by each individual organization, impeding interoperability, the low level of investments in ICT infrastructure and finally the lack of ICT education and skills among the public administration personnel (eUser, 2005).
The Information Technology Committee, which prepared the final proposal for the Digital Strategy 2006-2013 plan, also acknowledges that the public sector suffers from a variety of problems shared with those identified in the UN report. The Committee noted that ICT exerts a limited influence on public sector productivity, while the responsibilities lie with the Greek state, as the realized administrative reformation is minimal (HITC). In addition, expenditure on ICTs is limited compared to GNP while the public sector consequently faces problems with the efficient implementation of ICTs (HITC). The overall result is marked by limited digital services to citizens, while the available e-Government services are relatively few compared to other European countries. Thus, the state’s introvert approach to ICT and the lack of interoperability lead to a limited exploitation of new technologies by both citizens and businesses (HMPAD, 2006).
In fact, the few improvements realized to date to upgrade the internal function of public administration are limited only to institutional interventions. This means that the existing regulatory framework, the structure, services and human resources lead to the inefficiency of public services (HMPAD, 2006).
Another characteristic of the public sector is the large number of procedures with a negative impact on both citizens and public interests. In addition, the complexity of the regulatory framework, coupled with the lack of interoperability between different services and administration levels inevitably lead to the public sector’s inability to contribute efficiently to the country’s economic and social development (HMPAD, 2006).
36 CHAPTER 4 4. Methodology As mentioned already in the study’s theoretical analysis, the information society can be described as a contemporary global phenomenon with broader financial, social, technological and cultural dimensions. The expectations born from the development of the information society are great and concern not only financial prosperity and technological innovations, but also a broader social reorganization, covering almost all fields of human activity. The present study attempts to examine the extent to which Greece has moved towards this information society and its position compared to other EU member-states. It is thus crucial to explain the methodology implemented in order to reply to the research question.
The critical approach for this study includes firstly, the recognition that Greece constitutes an EU member-state and thus follows specific policies determined at European level and, secondly the fact that Greece will be compared to the EU itself as a unified political entity. In other words, the EU, expressing statistical data based on the community average, will form the reference factor that will allow us to conclude whether Greece has proceeded – and to what extent – towards the information society.
One of the main issues troubling researchers in their attempts to examine the phenomenon of the information society is that of the relative difficulty in determining a scale to measure a society’s entry to the "digital age”. For Webster, this is an important issue, while researchers disagree on whether this measurement is possible and which method should prove more efficient (Webster, 1995). For this reason, some are satisfied with a general description of the technological innovations taking place in a society, deeming this sufficient, approaching the phenomenon therefore through its purely technological dimension (Webster, 1995). At the same time though, others find fault with this approach, as they believe that the measurement issue may hinder industrial development and the implementation of public policies (Webster, 1995).
Admittedly, significant efforts have been made over the last few years to understand the impacts of this technological revolution and this is why the measurement issue is of such great importance. The main issues raised concern how one can measure the
37 diffusion of information in a society and the exact point at which a society stops being classified as industrial and is said to have entered the digital age. In addition, what variables should be used to measure this diffusion? For example, should we measure public expenditure or investments in the ICT sector, should we measure the width and quantity of technology in society as a whole or should we examine the use and familiarity with IT of each individual citizen (Webster, 1995)?
In full accordance with Webster’s opinion as to the gravity of the measurement of technology in a society, Brynjolfsson and Kahin characteristically report that, if we really want to understand the impact of IT on economy and society, the measurement process must be improved. They believe that computers and the internet have brought about drastic changes in the production process and suggest that a study on digital economy should examine the demographic characteristics of users and well as then socioeconomic consequences of the digital revolution on productivity (Brynjolfsson and Kahin, 2000). Such data must mainly originate from state statistical services, conducting surveys on a national level (Brynjolfsson and Kahin, 2000).
In his book, Lubbe states that an extensive literature review is required in order to conduct a thorough research (Lubbe, 1999). This is exactly what we attempted in the previous chapter, where we fully analyzed the Greek and European framework on information society to eliminate gaps in the subsequent analysis. Thus, to study the Greek course towards an information society, it makes sense to follow a deductive quantitative approach, focusing on the descriptive analysis of statistical data.
A quantitative analysis attempts to approach a given situation by presenting and interpreting numerical data, or verifies the data of past researches in order to measure trends pertaining to a specific phenomenon. In addition, quantitative methods are deemed efficient in our effort to quantify social phenomena through the analysis of numerical data, and tend to be deductive, as, in reality, what they examine is theory. A deductive reasoning allows us to particularize the subject we want to examine based on a theory of our choice and subsequently gather data that will allow for the verification of the existing theory. A descriptive or observational approach is used to recognize and describe problems in current situations and attitudes, excluding any intervention that could alter or modify them.
38 Indeed, Browne supports that a descriptive approach is able to present real-life policy activities and ideas in the practice of information policy (Browne, 1996). This is regarded as the best method for case studies and cross-sectional researches. For this reason, an approach to the phenomenon of the information society through a quantitative analysis will facilitate our understanding of this phenomenon as a result of an interaction between various social infrastructures (Ricci, 1995).
The study on Greece’s course towards the information society is a characteristic case of a study attempting to examine a social phenomenon and determine a country’s development level in a specific field. This fully justifies the selection of the above method. As stressed during the theoretical analysis, the concept of the information society is open to various interpretations, with first and foremost that based on its technological nature (Webster, 1995). At the same time though, its sociological dimension should not be overlooked. The objective aim of the present study is not only to measure the level of technology used in Greece, but how this diffusion of technology is expressed within Greek society and how citizens participate in this process. By comparing Greece’s policies to those of Europe, we will be able to identify gaps and trends within the information sector and interpret these results as what they actually mean for Greece. It is important to understand why Greece has not managed to completely assimilate the European procedures and what halted Greece’s development of national information policies. Moreover, it is important to realize what efforts take place today for the modernization of the public sector in particular, as a factor capable of developing modern services for citizens in real time.
To this end, we selected various indicators that can reveal specific trends, situations and current practices. Thus, we shall examine indicators relating to technology, such as technological diffusion indicators (number of telephone lines, mobile telephony, number of PCs and internet users), broadband accessibility and e-Government indicators. It is very important to examine the position of Greece regarding internet and PC usage together with broadband access. These indicators can give significant information as to what extent households and enterprises use technology in everyday life. Even though the above indicators can only present us with a general picture of Greece’s status as concerns technological progress, this image can be regarded as representative. E-Government indicators such as online sophistication, online
39 availability or e-readiness give also significant data as to what extent people and enterprise interact with their public authorities electronically. We note that, in order to eliminate unreliability in the provided information, these indicators have been colleted either from official government sources or from international organizations.
These numerical data, along with the analysis of the Greek and European constitutional frameworks, will help us create a comprehensive overview of the current situation and to provide a solid base for future research. This study does not include personal interviews but is based on secondary research giving statistical information. An effort has also been made to include some best practices from countries that have successfully processed towards the information society and compare them to the Greek case.
Finally, this research used a range of resources, mainly provided by official Hellenic Government and EU documents. Significant resources were also used from the library of the Panteion University of Athens but the most important information related to this research originate from the Greek Information Society Observatory, the Managing Authority of the Greek Operational Programme 2000-2006, the EU portal on Information Society, Eurostat and several credible academic resources available on the web.
40 Chapter 5 5. Defining Greece’s Position in the European Information Society As we explained in the previous chapter, the present research is based on the descriptive analysis of statistical data pertaining to Greece, while we will attempt a comparison with other EU countries, and mainly with EU as a whole, in order to ascertain Greece’s comprehensive position in Europe, as regards to its course towards the information society.
Looking at the UN’s Human Development Report 2006, we note that Greece holds 24th position in the world list, out of a total of 177 countries all over the world (UNDP, 2006). By comparison, this position places Greece in 14th position in the EU- 27, ahead of all 2004 and 2007 enlargement additions, as well as Portugal. Even though Greece’s general listing may seem optimistic to some, an examination of specific indicators, mostly relating to research and development (R&D), IT infrastructure and the creation of knowledge, results are rather off-putting and reflect the image of a country that is heading for serious problems in a wide range of its social and financial activities, unless it takes action immediately. The main problems Greece is called to face today concern a low technology diffusion rate, an insufficiency of investments in research and the modernization of existing infrastructures, as well as a relatively limited and immature IT sector (eUser, 2005a).
Chart 13 of the HDI (see Table 1 below) presents data on technological diffusion and the creation of new technology (UNDP, 2006). Greece appears to have improved according to all indicators of the period 1990-2004, allowing us to speak of a relative development. There is a satisfactory increase of some basic ICT diffusion numbers – such as the number of computers and internet users – but, as we will see further down, Greece remains but the leader of Europe’s rear guard as regards to ICT infrastructure, with the exception of landline, and mainly mobile, telephony. Progress is slow; the big leap has not yet taken place in Greece, while its position within Europe seems worse than in past years, as it is pushed aside by many former Eastern block countries as regards to the diffusion of new technologies.
41
Table 1: Technology Diffusion and Creation – High Human Development Rank Source: United Nations Development Programme 2006
42 While indicators for telephone mainlines and cellular subscribers show an upwards tendency, with the cellular subscriber indicator skyrocketing to 999 subscribers per 1,000 people in 2004, compared to 0 in 1990, we note that the number of internet users is at a rather low level, compared to other EU countries. R&D expenditure is also extremely low, absorbing just 0.6% of GDP, ringing Greece nearly to the last position in the EU. This low R&D percentage raises questions as to where Greece spends its funds and where its priorities lie. Chart 19 of the HDI on public spending (see Table 2 below), presents data including expenditure on health, education and defence (UNDP, 2006)
Table 2: Priorities in Public Spending – High Human Development Rank Source: United Nations Development Programme 2006 43 In an era where knowledge and information constitute the main field of competitiveness in the new globalized arena, one would expect that education expenditure indicators for a contemporary EU state would be high. On the contrary, although Greece has significantly increased spending on education, to 4.3% in 2004 compared to 2.3% in 1991, not only does it rank in one of the lowest positions in the EU, but appears to be spending less than countries that are not even included in the high human development ranking, i.e. third world or developing countries. For example, it ranks below Ethiopia, which spends 4.6%, Uganda with 5.2% and Malawi with 6% (UNDP, 2006).
It is astonishing that, after 14 years, Greece still spends 4.2% of GDP on defence, a sum just slightly smaller than the 4.5% of 1990. This places the country, together with Bulgaria, in the first position of the EU and in the first twenty on a global level (UNDP, 2006). Characteristically, we note that Greece’s spending on defence exceeds even the USA’s 4%. This is extremely important as it reveals that Greece pays particular attention to national defence issues, while the country’s key geopolitical location in the Balkans and the broader region of the Eastern Mediterranean, coupled with factual problems with neighbouring countries constitute obvious reasons for the Greek state to keep the expenditure on defence at relatively high levels. In no case should this high expenditure on defence be linked to low investments in technology or ICT, first because Greece possesses a military industry and it thus needs knowledge to modernize its warfare, and secondly because relevant studies that tried to link expenditure on defence with spending on technology showed that there is absolutely no correlation (Athanasiou et al.). In any case though, and through objective observation, the researcher should not ignore this data and fail to report it, as an actual fact.
Let us have a look at the main indicators pertaining to technology and relating to the development of the information society in Greece.
44 5.1 Computer Availability and Internet Access – Households
As we see in Table 3, although we have a gradual increase of the percentage of households with computers in Greece, this is a stable but slow trend (see Graph 1). The Greek percentage for 2006 reaches 37% and brings Greece to the 25th position in EU-27, a long distance from the EU average of 60%. The first place is occupied by the Nordic countries Denmark and Sweden, with respective percentages of 85% and 82%. Greece, Romania and Bulgaria – all three Balkan countries – take up the last three positions (Eurostat).
Country 2004 2005 2006
Austria 59 63 67 70 Belgium : : 57 60 Bulgaria 15 : 21 Czech Republic 30 30 39 50 Cyprus 47 46 52 40 Gre e ce Denmark 79 84 85 30 EU 27 Estonia 36 43 52 20 Finland 21 36 53 10 France 50 : 56 0 2004 2005 2006 Germany 69 70 77 Greece 29 33 37 Hungary 32 42 50 Ireland 46 55 59 Graph 1: Italy 47 46 48 Diagrammatic representation of Table 3. Greece – EU comparison 2004-2006 Latvia 26 32 41 Source: Eurostat Lithuania 27 32 40
Luxembourg 67 75 77
Malta NA NA NA Netherlands : 78 80 Poland 36 40 45 Portugal 41 42 45 Romania 12 : 26 Slovakia 39 47 50 Slovenia 58 61 65 Spain 52 55 57 Sweden : 80 82 : = data not available United Kingdom 65 70 71 EU27 51 58 60
Table 3: Households – Availability of Computers 2004-2006 Source: Eurostat
45 Admittedly, a relevant survey conducted in Greece revealed a general upwards trend. In particular, 42% of Greek households offered a positive answer to the question “Do you own a computer?” marking a significant 3% increase compared to 2005 (GISO, 01/2007). Laptop ownership marked an even more significant increase, with positive answers reaching 16%, compared to 11% for the previous year (GISO, 01/2007). According to data from the same survey, computer owners tend to be male, young (16-24 age group), hold a tertiary education degree (62%) and reside in Athens (52%). Finally, the overall national figure for computer ownership and use marks have a 2% increase, from 35% in 2005 to 37% in 2006 and correlates with a fall in the use of computers outwith work or home, as for example in internet cafés (GISO, 01/2007).
Country 2004 2005 2006 Austria 45 47 52 60 Belgium : 50 54 Bulgaria 10 : 17 50 Czech Republic 19 19 29 40 Gre ece Cyprus 53 32 37 30 Denmark 69 75 79 EU 27 20 Estonia 31 39 46 Finland 51 54 65 10 France 34 : 41 0 Germany 60 62 67 2004 2005 2006 Greece 17 22 23 Hungary 14 22 32 Ireland 40 47 50 Graph 2: Italy 34 39 40 Diagrammatic representation of Table 4. Greece – EU comparison 2004-2006 Latvia 15 31 42 Source: Eurostat Lithuania 12 16 35 Luxembourg 59 65 70 Malta NA NA NA
Netherlands : 78 80
Poland 26 30 36 Portugal 26 31 35 Romania 6 : 14 Slovakia 23 23 27 Slovenia 47 48 54 Spain 34 36 39 Sweden : 73 77 United Kingdom 56 60 63 : = data not available EU27 40 48 49
Table 4: Households – Level of Internet access Source Eurostat
46 In Table 4 above, we note that the marker for internet use in Greece is also rising (Eurostat). However, this is not enough to take Greece to a high position within the EU. On the contrary, it still holds the 25th position in EU-27, guarding the rear, alongside Bulgaria and Romania while the gap concerning the level of households’ internet access between Greece and EU remains stable (see Graph 2). It is interesting to note that, although in 2004 Greece was ahead of Hungary and Lithuania, and finally surpassed the Czech Republic in 2005, it then fell behind these three countries in 2006. The Greek percentage of 23% is far below the EU average of 49%, and even further below Holland, Denmark and Sweden, with 80%, 90% and 77% respectively. Meanwhile though, according to a survey by the Observatory for the Greek Information Society, there was a significant increase in the number of Greek households with internet access, which reached 27.5% in 2006, compared to 24% in the previous year (GISO, 01/2007).
As reported in the survey, the main reason for the limited use of the internet in Greece is the lack of the necessary access tool, i.e. the computer, while a significant number of participants answered that they do not need it or that it is not part of their lives. Other reasons concern the lack of relevant skills or the relatively high access cost (GISO, 01/2007).
Graph 3 - Source: Eurostat
47 In general however, as regards to households, the results of the latest surveys on eEurope indicator in Greece, present a rather optimistic picture. Greek familiarization with computers and internet access is on the increase, both at home and at work/school (GISO, 01/2007). At the same time though, we should note that a significant part of the Greek population does not follow developments in the field of technology. As a result, overall use indicators digress greatly from those of the remaining EU countries and far down the Lisbon targets (see Graph 3 above). Under this light, age is the main determining factor for the use of ICT (Karounos, 2003); the main problem concerns the population over 65, where we have an almost nilpotent use of new technologies (GISO-1, 03/2007). If we take into consideration the fact that Greece's population is constantly ageing, coupled with the digital illiteracy of the older generations, all we can expect is even more disappointing results in the future.
In a relevant survey on behalf of the Observatory for the Greek Information Society, computer use in Greek schools was 99% in 2006 (GISO-2, 03/2007). Despite this overall increase of the use of both computers and the internet though, the percentage of Greeks who use the internet for educational purposes is just 7.4% according to Eurostat sources, below the EU average of 8.3% (Eurostat). The list is headed by Finland with 24%, while Poland and Bulgaria are in the last EU positions, with 3.7% and 2.3% respectively (Eurostat).
On the other hand, according to Eurostat, Greece is in a strong position as regards to the percentage of enterprises using e-learning applications to train and tutor their employees (Eurostat). With 42%, Greece is quite ahead of the EU average of 21%, whilst presenting a significant and stable upwards trend throughout the 2004-2006 period. This takes the country to one of the first EU positions, alongside Lithuania (44%), Slovenia (42%) and Finland (41%) (Eurostat).
48 5.2 Computer Availability and Internet Access – Enterprises
Greek businesses appear quite modern, taking Greece above the community average in all major indicators (Eurostat).
Country 2004 2005 2006 Austria 96 97 98 99 Belgium 98 97 97 Bulgaria 83 85 89 98 Czech Republic 96 96 97 97 Gree ce Cyprus 93 94 95 96 Denmark 98 98 98 EU 27 95 Estonia 93 92 94 Finland 98 99 99 94 France : : 99 93 1st Qtr 2nd Qtr 3rd Qtr Germany 97 97 96 Greece 95 98 97 Hungary 91 88 89 Graph 4: Diagrammatic representation of Table 5. Ireland 96 97 97 Greece-EU comparison 2004-2006 Italy 97 96 96 Source: Eurostat Latvia 87 86 92 Lithuania 91 93 92 Luxembourg 97 98 98 Malta : 93 : Netherlands 95 95 100 Poland 92 93 93 Portugal 92 91 95 Romania : : 77 Slovakia 77 97 97 Slovenia 95 98 97 Spain 97 98 98 Sweden 97 96 96 : = data not available United Kingdom 94 94 96 EU27 95 95 96
Table 5: Enterprises – Availability of Computers 2004-2006 Source Eurostat
We should note that the main determining factor relating to the adoption and use of contemporary technologies it that of the size of an enterprise (Karounos, 2003). This means that, the larger the business, the larger the ownership of computers and the use of the internet (Karounos, 2003). Relevant surveys conducted in this period usually measure business with ten or more employees. In Greece, such businesses are usually large enterprises, which may explain the high indicators.
49 Thus, the percentage of Greek businesses using computers reaches 97% (see Table 5), promoting Greece just above the EU average of 96%, a position shared with model countries, such as Belgium and Ireland, while it seems to surpass countries with a highly developed IT sector, such as Sweden and the UK, both at 96% (Eurostat).
Country 2004 2005 2006 Austria 94 95 98 96 Belgium 96 95 95 94 Bulgaria 62 63 75 Czech Republic 90 92 95 92 Cyprus 82 85 86 90 Gree ce 88 EU 27 Denmark 97 97 98 Estonia 90 90 92 86 Finland 97 98 99 84 France : : 94 82 Germany 94 94 95 2004 2005 2006 Greece 87 92 94 Hungary 78 78 80 Ireland 92 92 94 Graph 5: Italy 87 92 93 Diagrammatic representation of Table 6. Latvia 74 75 80 Greece – EU comparison 2004-2006 Lithuania 81 86 88 Source: Eurostat Luxembourg 90 92 93 Malta : 90 : Netherlands 88 91 97 Poland 85 87 89 Portugal 77 81 83 Romania 52 : 58 Slovakia 71 92 93 Slovenia 93 96 96 Spain 87 90 93 Sweden 96 96 96 United Kingdom 90 90 93 : = data not available EU27 88 91 92
Table 6: Enterprises – Level of Internet access 2004-2006 Source: Eurostat
A similar picture is presented by Eurostat’s data on internet access amongst Greek enterprises (see Table 6). Greece achieves a 94%, above the EU average of 92%, and in a better position than the UK (93%). The last place is yet again taken by Bulgaria and Romania, with respective percentages of 75% and 58% respectively.
50 As a complement to the presentation of Eurostat’s data, it is useful to report the last measurements conducted in Greece on behalf of the Observatory for the Greek Information Society on SMEs. In 2002, 92% of SMEs owned a computer, while 82% had access to the internet (Karounos, 2003). These performances are near the EU average – 94% for computer ownership and 83% for internet access but contradict to other findings of the Observatory for the Greek Information society in 2005 which noted that only 38% of the Greek SMEs had internet access (OGIS, 2005). As mentioned previously, large enterprises use basic ICTs on a large scale, with computer ownership percentages at almost 100%, while 90% appear to have a website (Karounos, 2003). All above percentages show a tendency to converge with EU averages and are crucial for the future of the Greek business environment.
5.3 Broadband Access
Broadband is an advanced and innovative environment in which high speed internet access and the appropriate infrastructure can lead to the development of broadband applications and services (Stategy Paper, 2002). Broadband is gaining increasing significance today (Wray, 2007) and constitutes a central target of all European action plans, while it is expected to play a leading role in the modernization of the public sector and public administration in particular. In this way, the broadband access indicator can be regarded as representative of the introduction of new technologies in the digital era, while the infiltration percentage reflects the extent of a society's acceptance and development towards modern technologies.
Graph 6 – Source Eurostat
51 Until recently, broadband access data for Greece were disappointing. Although we should accept the fact that Eastern Europe shows a slight delay in the infiltration of broadband access, compared to the US (Wray, 2007), this in no case justifies Greece’s 2.7%, markedly below the EU average of 14.8% (Graph 6) (Eurostat). International reports characteristically state that Greece is the least developed EU state-member as regards to broadband access, while demand is relatively low, compared to other EU countries (Point-Topic, 2007). However, Greek enterprises seem to be in a better position compared to Greek households at the EU level regarding the use of broadband connections (see Graph 7 and 8) (Eurostat). Based on the reports, Greece is included in the underdeveloped broadband markets, as regards to both size and competitiveness, while the National Telecoms Provider (OTE) is accused for delaying the promotion of broadband services in the Greek market, and deliberately postponing the development of broadband plans, aiming to continue taking advantage of high- per-minute dial-up charges (Point-Topic, 2007).
80 35 70 30 60 25 50 Gree ce 20 Gree ce 40 EU 27 15 EU 27 30 20 10 10 5 0 0 2004 2005 2006 2004 2005 2006
Graph 7: Graph 8: Broadband acess/enterprises. Broadband access/households. Greece – EU comparison 2004-2006 Greece – EU comparison 2004-2006 Source: Eurostat Source: Eurostat
The situation improved significantly from the moment the National Committee on Telecommunications and Postal Services (EETT) decided to proceed to the harmonization of the Greek legislative framework on telecommunications with that of Europe, something Greece should have done years ago and for which it was sentenced by the European Court (EU Press Releases, 2006). In this way, the EETT set in the Greek market on a course focusing on development and competitiveness similar to that of the countries of Western Europe.
52 Despite the negative course of the last three years, 2006 was defined as the year of regulatory changes, while 2007 as the year Greece makes the leap in the sector of broadband connections (EETT, 2007).
Based on the data from the European Commission’s CoCom (Communication Committee), the EETT proceeded to the publication of a report in which it states that Greece is expected to present the highest broadband development rate amongst all EU member-states for the period 06/2006 – 06/2007 (EETT, 2007). The same report also states that Greece managed to move away from the last position as regards to the penetration broadband access rate, reaching 7.2%, compared to the EU average of 16.2%. These new data are particularly encouraging, as they underline that the number of broadband connections in Greece is displaying rapid progress, rising by 55% at the end of the year 2007 (Graph 9). Coupled with the fact that more than 2000 new broadband connections are now being installed every day, it creates great expectations for the future, while, according to the EETT’s forecasts, Greece is estimated to surpass the 1 million mark until the end of the current year (EETT, 2007). 18 16 14 12 10 Greece 8 EU 27 6 4 2 0 2006 2007
Broadband access collocation. Greece – EU comparison 2006-2007. Source: Eurostat – EETT
These new data present a new image of Greece. The annual increase of broadband penetration in Greece is now calculated at 4.2% for the period June 2006 – June 2007, while the respective EU indicator for the 2005 – 2006 period was 4.12%. In fact, if we take into consideration the fact that broadband development in Europe is not rapidly accelerating, then, according to the EETT's estimations, we should expect Greece to surpass the EU average as regards to broadband penetration, for the first time (EETT, 2007).
53 5.4 e-Government Figures
As noted in the previous chapters, the development of e-Government now constitutes one of the main targets for the Greek Digital Strategy 2006-2013. However, according to the official data released by the Greek government and various international reports, the development of e-Government is not on par with the majority of EU states, and thus below the community average (Boufeas et al., 2004).
The data published by the Hellenic Federation of Enterprises (HFE) in November 2005 reported that only 32% of public services in Greece were offered online (HFE, 2005). The offered services are still in an immature stage and mostly concern the downloading of documents and the provision of general information, while the percentage of public service-citizen interactivity remains very low (GISO, 06/2007). We should note however that there are also services offered by highly advanced systems. These mostly concern the submission of income tax statements and other tax services (GISO, 06/2007).
Graph 10 – Source: Eurostat
54 The HFE's data are in harmony with the results of the web-based survey on electronic public services, which was prepared for the European Commission in 2004 by Capgemini. This survey reports that, although Greece presents a low infiltration rate for e-Government services, there is, however, a significant and stable improvement compared to previous years, especially as regards to the online sophistication indicator, which was 61% in 2004, with Austria and Sweden marking the highest percentages of 89% and 87% respectively (Capgemini, 2004). At the same time though, the indicator for fully online available services takes Greece below the EU average of 40%, marking a percentage of online availability of 32% (Capgemini, 2004).
Even though the percentage of Greek citizens using online services for their transactions with the state is quite low, at only 9%, compared to the EU average of 24%, the percentage of businesses using the internet to the same end stands at 84%, placing Greece in the 5th position of the general list of the EU-27 and impressively higher than the EU-27 average of 63% (see Graph 11) (Eurostat). TAXISnet is a main reason for this extremely high Greek percentage, as surveys include only businesses with ten or more employees (GISO, 2005). This means that they do not cover SMEs, which in Greece have fewer than 10 employees. On the contrary, the reason why citizens do not regularly use online citizen services is that they are not as developed as those used by businesses.
100
80
60 Gree ce 40 EU 27
20
0 Indivinduals Enterprises
Graph 11: Collocation of e-Government usage by individuals and enterprises. Greece – EU comparison 2006 Source: Eurostat
55 Relevant studies support that the reason behind Greece’s low score in this category is due to the general inadequacy of public administration in Greece, caused by bureaucratic complications (eUser, 2005a). However, this is but a sole indicator, and it would be superficial to judge the overall situation in public administration just by this (GISO, 10/2006).
There are though other UN data and specifically from the Digital Divide Report: ICT Diffusion Index 2005 that point in the same direction, i.e. to the fact that Greece shows innate problems as to the modernization of public administration. The report holds a presentation of comparative results in Greece over the past three years, as regards to certain indicators relating to e-Government. The e-Government reading index is a combinational indicator that simultaneously measures the web measure index, measuring online services currently offered by the state, the telecommunications infrastructure index, which measures computer infiltration, and the internet and the human capital index, which measures the sum of the degree of literacy and gross enrolment ratio (UN, 2006). On this issue, we note that although Greece exhibits a certain overall improvement, this is negligible and not only does it bring the country no closer to its European partners, but, on the contrary, demote Greece by eight positions in the 2003-2005 period and increase its distance from other EU states.
Greece presents a similar picture as regards to the ICT diffusion index, which comprises of two different indicators, the access index and the connectivity index. The first is the sum of indicators attempting to describe accessibility to new technologies, such as per capita income and the cost of telecommunications services and products, while the second concerns telephony and computer infiltration indicators and measures infrastructure in general (Capgemini, 2004). Through these, we see that Greece follows a constantly downwards course, at the time when the majority of EU states and mainly the countries of the former Eastern block are making veritable leaps in development (UN, 2005). The image is the same as regards to the e- participation index, which offers a qualitative measure of online citizen participation in public policy and decision-making (UN, 2005).
56 Apart from the international reports though, the Observatory for the Greek Information Society also published some very significant data on the breadth of e- Government services in Greece, collected from Ministries, General Secretariats and other Public Administration authorities (OGIS, 06/2007). Based on the aforementioned survey, the number of basic public services fully available online marked an increase from 5 (25%) to 8 services (40%) in 2006. It is noteworthy that no administrative region offers electronic access to services for citizens, while Prefectures and Municipalities offer this option at percentages of 27.45% and 18.29% respectively (OGIS, 06/2007). The main shortcomings arising from the examination of the statistical data provided by the survey concern the facts that most services provide information almost exclusively in Greek, prohibiting access to immigrants residing in Greece and making up 10% of the population, disabled access standards are not complied with, obstructing this population group in accessing the opportunities offered by the internet for the electronic provision of information, while contact data with the competent authorities are insufficient, complicating the participation of Greek citizens in public dialogue - e-democracy (OGIS, 06/2007). An overall comment regarding the development of e-Government in Greece is that despite the negative ranking in most of e-Government indicators, it has managed to improve its performance in e-Government readiness (see Apendix), reaching 35th position in 2006 compared to 54th in 2005 (HFE, 2007).
5.5 General Comments The above analysis of statistical data presents a clear picture on the position of Greece in the European information society. The general impression created at first sight is that Greece wants to move ahead, but cannot or it does it slowly. Thus, we must determine the factors, apart from those analyzed in a previous chapter, that impede Greece’s development into a contemporary state with a strong IT infrastructure that will allow it to boldly and equally enter the modern European, and global, competitive environment. The problems faced by Greece, apart from the lack of infrastructure, know-how, planning and organization, compliance with contemporary requirements for the state's efficient reformation, also include other problems, one could include under an umbrella of socio-political, cultural and geographic particularities.
57
Map 1 – Source: Eurostat
As an example, relevant studies exist that examine peripheral disparities and how these influence the attitude of a people or a society as regards to the adoption of new technologies (Tsatsou, 2004). If we take a close look at the above Map 1, we will see that Greece forms part of an overall poor and impoverished region. Indeed, the Balkans are Europe’s poorest area, they witness the largest turbulence as regards to foreign policy and security, while constituting perhaps the only region in Europe with such diverse nations and cultures in such a limited geographic area. The area is not randomly noted for the low diffusion rates of new technologies, just as the Nordic countries for example are not randomly noted for their strength and progress.
Until recently, Greece was the only Balkan member of the EU-27 and the only country not to border any other EU member. For this reason, Greece did not benefit from the advantage of the potentially positive interaction between adjacent countries. The Nordic countries for example, constitute a united development and collaboration area, in which the included countries have built strong ties in the field of research and technology. On the contrary, the Balkans is an arena for conflicts, suspiciousness, geographic pretensions and nationalism. In such an environment, it is difficult for a country to head towards development, disregarding matters that concern its political and national security.
58 The above opinion does not attempt to justify the existing situation in Greece. It is reported as a comment that could form the basis of future research. However, Greece is an EU member and could easily follow the example of states that have proceeded to significant regulatory changes in order to achieve current development levels.
Perhaps the best example for Greece is that of Finland, as this too is a small country in the periphery of the EU, with a homogenous population and no internal conflict problems. Finland is suggested as the modernization model Greece should follow because, over the past few years, the Finnish have achieved important feats that aided their country in escaping the isolation of the previous decades. The country’s significant investments in education, training and research form the backbone followed by Finnish governments (EUPA, 2000). Amongst else, these investments boosted the field of research and technology, with technological innovations now regarded as a Finnish trademark (eUser, 2005). By investing in research and technology, the Finnish also managed to create one of the world’s largest mobile phone manufacturer, NOKIA, establishing the country as a world leader in technological innovation (eUser, 2005).
The development of sufficient, appropriately trained HR, in combination with the more general Finnish attitude, which places emphasis on social cohesion, equality and technological development, today provide Finland with all necessary tools for continuous, sustainable development in all levels of the country’s social and economic life (eUser, 2005). The decisive reformation of the traditional Finnish economy, based on agriculture, and its conversion into an economy of services and industrial production, promote Finland to the club of the world’s most advanced states. The timely deregulation of the telecoms market and the fall of internet connection costs allowed Finland to be regarded by others as a model-country (eUser, 2005).
With the design of a timely strategy on the role of ICTs in public administration, which started already in 1994, and targets such as interoperability and the collaboration between public services, Finland managed to create an institutional framework for e-government that brings the country to a leading position on a global level (EUPA, 2000). Suggestively, we note that, in 2000, 90% of Finnish public services offered online information and services, there were 29 interactive customer
59 services, while 1400 free internet access points were created for those who did not have access to the internet and wanted to contact a public service (EUPA, 2000).
Thus, based on the above feats of the Finish case, one can easily see why Finland should form a model for Greece and that e-government does not concern only an isolated technological aspect or target. It actually consists of a deep transformation of the current relationship between administration, citizens and enterprises and therefore concerns the entire socioeconomic environment (Georgiadis).
60 CHAPTER 6 6. Conclusion The present dissertation examined the course of Greece towards the information society, presenting statistical data from previous researches and comparing them with the corresponding EU indicators. These results are important for policy makers who will shape future information policy and may lead to a revised opinion on what is a modern information society in Greece.
We conducted a thorough effort for the analytic description of the theoretical framework of the information society, which is expressed through a composition of opinions of modern and older theorists, on this phenomenon. Admittedly, Webster’s theory was the catalyst for the in-depth comprehension both of the concept of the information society and that of information policy in general. The conclusion we finally arrive to through this theoretical analysis is that although information society can be seen as a phenomenon primarily related to the development of modern technologies, it is however above all a social phenomenon in which technology plays an important role.
We presented data proving that Greece faces problems in its course towards the information society, mostly linked to the structure of Greek economy, the lack of investments in the R&D sector and the limited diffusion of ICT technologies across the entire spectrum of Greek society. A certain degree of optimism is however allowed, as the data we presented reveal indications that Greece is taking decisive steps towards its technological development. The basic indicators with which we attempted to quantify the phenomenon of the information society, albeit low compared to the community average, display an upwards trend in their majority.
Thus, we have an increase in both computer and internet use by Greek households and businesses, increased broadband access penetration as well as an increase of the basic indicators concerning e-government.
The e-government sector was not arbitrarily examined in this dissertation. According to modern administrative scientists, e-Government is now a particularly important
61 administrative trend that can significantly contribute to the modernization of public administration and the qualitative improvement of citizen-state relationships (Psihogios, 2006). Bureaucracy, the negative attitude of public sector employees and the overall lack of organization of the Greek public sector impede the consolidation of e-Government applications by citizens, and, to a lesser extent, by businesses.
However, the general impression is that Greece is moving in the right direction, but that it must accelerate this modernization process if it wishes to jump on the digital conversion bandwagon (CG, 2006). Thus, the reason for the overall negative impression as to Greece's course, concerns the fact that Greece is not significantly improving its ratings, compared to other countries, which, based perhaps less on superior know-how, but with a stronger will to modernize, surpass Greece, leaving it in lower positions than those of the previous years. This means that the problem lies not in Greece’s slow pace, but in the faster pace of other countries, rendering the revision of the overall Greek strategy imperative.
At this point however, we should note that the older Greek action plans have just expired and it is thus relatively early to proceed to a general evaluation of the Greek strategy, as time is needed for the results of its strategy up to now to be felt. It is definitely positive that the current government has proceeded to an overall redefinition of the country’s digital strategy for the 2006-2013 period.
The study’s basic conclusion is that, albeit difficulty, Greece manages to hold on to decent global ratings as regards to the development of certain indicators pertaining to the information sector. On a European level however, its position has not displayed any marked progress. Steps towards development are stable; what Greece has failed to do over a period of years, is to make its great leap on the course towards the information society. The bureaucracy-laden public sector, coupled with grave shortcomings in infrastructure and Greek indifference as to the adoption of new technologies, create a negative environment for the progress of the information society in Greece.
We also conclude that, in essence, the issue of a society’s restructuring is not exclusively one of technology, but has deeper sociological ramifications. In fact, the
62 information society is above all a society, and essentially concerns a broader social restructuring caused by the interactive relationship between ICTs and the overall social structure. The emphasis placed upon its technological dimension should not intimidate the Greek public. On the contrary, it should alert citizens and lead them to an active participation in global developments, in order to strengthen the country’s position on both a European and global level. It is a ad fact that the majority of the Greek population states that they have no interest in the internet and that it has nothing to offer them. This shows that Greece’s problem concerns a lack of mechanisms to sufficiently inform citizens, with first and foremost that of a defective educational process. Only through the redefinition of the educational process and the systematic familiarization of Greece's younger generation with ICTs can Greece aspire to a better future. Older generations must simply strive to access information and adjust to these new developments.
The example of the mobile telephone penetration percentage in the Greek market, which stands at 130%, reveals that the Greek population is willing to accept the use of new technologies directly linked to its everyday life, and that it does not shun the adoption of new technology and communication applications (Economist Intelligent Unit, 2005). The Greeks strongly support R&D. They were always a pioneering people as regards to new inventions and take pride in their ancient heritage. The significant number of Greek researchers, the frequent scientific publications by Greek authors and the international presence of Greece in R&D forums fully justify the above opinion.
In any case, Greece’s overall economic and geographic positions leave the country no option but to invest in new technologies. The timely awareness of the fact that technological development is directly linked to the country’s predominance on a global and European environment may only lead to positive results. Greece’s geographic location, far from the focus of European developments is a mixed blessing. On the one hand, it condemns the country to the outskirts of the European periphery, while, on the other, it places it at the crossroads of Europe, Asia and Africa. It is this location that has, for centuries now, provided Greece with a significant competitive advantage, as developments in the broader Eastern Mediterranean basin have been in the limelight for years.
63
It is positive that the current Greek government recognizes the significance of development in the filed of ICTs, while the country’ Prime Minister, Mr. Constantine Karamanlis, set the country’s technological development as a top priority of governmental strategy, supporting that this can directly influence the reinforcement of Greece’s position as a regulatory agent in the broader region of the Eastern Mediterranean.
Despite its deficiencies, Greece is determined to play an important role in this sector and not to be left behind. By reviewing the reasons behind the wrong management choices of the past, making use of the funds accumulated through the organization of the 2004 Olympic Games and developing a strategy to support its great leap towards the information society in the immediate future, Greece shall finally succeed in gaining the position it should justly occupy as a contemporary EU member-state.
TOTAL WORD COUNT: 17893 (Abstract Included)
64
7. Appendix
Source: United Nations, Global e-Government Readiness Report (2006)
65
66
67
68
69 Source: United Nations -The Digital Divide Report: ICT Difussion Index 2005
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71
72
73
74
75
76
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9. Acknowledgements
Firstly, I would like to thank my supervisor Dr Kendra Albright for her useful advice and directions on how to build my research. Her pleasant personality combined with knowledge and expertise were elements of particular importance during the whole research period. I would also like to thank the personnel of the Centre of European Documentation of Panteion University of Athens for giving me certain resources related to my research. Most importantly, I thank my parents Panagiotis and Ekaterini Fountzoulas who made all of this possible. I dedicate this dissertation to them for their endless love, devotion, patience and encouragement.
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