ict supported learning in the working culture of micro- enterprises dr sarah skerratt senior...
TRANSCRIPT
ICT supported learning in the working culture of micro-
enterprises
Dr Sarah Skerratt
Senior Researcher & Team Leader
Rural Society Research
Outline of presentation
1. Quick personal background2. “Working culture” of micro-enterprises?3. Contrasts with “language” of national & European support
programmes4. Rural micro-enterprises:
• barriers and solutions to communicating with micro-enterprises through ICTs
• Models from research5. Building on what we have learnt from “delivering” to
“recipients”, towards incorporating:• examples from other ‘sectors’ e.g. community informatics• “co-construction” of relevance
Quick personal background
• I am Leader of the Rural Society Research Team at SAC
• I was with SAC from 1987-1992, working in farm household decision-making/rural sociology
• 1992-2006: PhD (Edinburgh); own consultancy in rural development; Royal Agricultural College; Newcastle Uni; Glasgow Caledonian Uni
• Main research area: evaluating processes of sustainable and resilient rural community development
Working culture of micro-enterprises
• The common characteristic is that the micro-enterprise has little or no capacity for specialist internal management functions such as personnel, accounts etc; typically such functions are performed (if they are consciously performed at all) by the working participants or "owner-managers”
• They include many innovative and pioneering users of technologies, but … they suffer from low capacity to cope with the cost and effort of implementing new systems, migration, keeping up with new releases etc;
• Their decision making processes tend to be idiosyncratic and event driven not planned
• a majority seek to remain small and self contained, because their satisfaction derives from direct involvement in their work and with their customers Source: GAT-G2, 1996
Policy support
AT THE CORE:
• “There is an underlying assumption that the ambition of a small firm is to become a large firm and that economic and employment success is to be achieved mainly by assisting this process” (GAT-G2; 1996).
S.Exec (2001) A Smart, Successful Scotland
Digital connectivity is now considered a lifeline:
• Being part of the “Information Society”, “Digital Age” and “Knowledge Economy” is increasingly viewed as essential to 21st Century living.
European level descriptions of NOT being part of this …
• “As the knowledge-based economy advances, exclusion from ICT becomes more and more a barrier to economic, employment and social opportunities and to using public services.
• Disadvantaged areas and groups are at higher risk of lagging for various reasons including low income and poverty, lack of ICT infrastructures, awareness and training opportunities, or difficulties of access because of disabilities.
• On the other hand, ICT can overcome barriers of distance, distribute more equally knowledge resources, and generate new services…
• Thus, the risks of the digital divide need to be transformed to digital opportunities by actions focused at disadvantaged groups and areas.” (European Commission, 2001, p.17).
However…
• “The diffusion of sophisticated uses of the internet in the form of e-commerce in rural Europe is moving quite slowly for a variety of reasons” (Grimes, 2004)
• “It is clear that many SMEs are not taking advantage of this apparent opportunity” (Cruikshank, 2005)
• “Surveys in several European countries show that SMEs have been slower to adopt e-commerce than their larger counterparts” (Drew, 2003)
Why? Barriers to delivering to rural micro-enterprises
through ICTs
SME barriers in general (OECD, 2004):
• Lack of applicability/unsuitability to the business
• Preferences for established business models
• Enabling factors (availability of ICT skills, qualified personnel, network infrastructure)
• Cost factors (costs of ICT equipment and networks, software and re-organisation, and ongoing costs)
• Security and trust factors (security and reliability of e-commerce systems, uncertainty of payment methods, legal frameworks)
Further influences…
• The importance of risk and uncertainty
• the need to recognise both internal and external relationships
• the ways in which other agents or networks can influence these relationships
• the importance of building trust within such relationships
(Ritchey & Brindley, 2005)
Variation in rural SMEs’ ICT issues
• Online activities still depend on offline infrastructure (Macleod & Grimes 2003)
• Investment costs
• Business size
• Sector
• Awareness and training
• Owner-manager:
– attitudes
– Decision making
– Perception of business path
Barriers to SME e-work
• Di Nicola (2003):
– lack of time for training,
– resistance to changes
– the generational gap
• Hierarchical management:
– Direct supervision with visual control
Barriers to SME e-commerce
• Inappropriate model for their type of business (MacLeod & Grimes,
2003):“These findings agree with other similar surveys of SMEs, which have
concluded that digital technologies are perceived to have little to contribute to the business of SMEs, as they are unable to return
commercial benefits”(p.12)
• Lack of knowledge
• Cost of implementation • constrained about making significant investments in strategies which
have few clear indications of financial returns
• Releasing time and labour for training in ICTs
• The scarcity of skills for e-commerce development in peripheral, rural regions
To complicate things further: different levels of engagement with ICTs
Adoption & continuance…
• Initial and ongoing ICT adoption • “the greatest business benefits of ICTs will be achieved
as businesses make more sophisticated use the technology, however the greater the sophistication the greater the extent of organisational change, and therefore the skills required to manage that change.” (Davies et al 2004)
• “It is important to distinguish between adoption and continuance. It is not sufficient for an SME to adopt e-business; exploitation is the key to success” (Cruikshank, 2005)
• The main benefits of e-business are not in the early stages of adoption but rather in the more sophisticated applications
Improving SME uptake of ICTs& delivery through ICTs
Before we get too depressed…
(1) Change agents => increased adoption
1. Change agents within community => increased trust
2. => customised training
3. Shift from operational to strategic perspective
4. Knowledge providers… selective transmission
(Berranger et al 2001)
Change agents as knowledge providers:
“Communication issues between technology diffusers and first-line adopters are neglected. From the technology supply side, there is a bewildering variety of information sources. Furthermore, the use of technical jargon and the rapid pace of technological advancement serve to increase the level of complexity and uncertainty faced by micro-businesses.” (Berranger et al, 2001, p.200)
(2) Increasing awareness of the impacts on the working culture of micro-enterprises
• ICT in SMEs can bring a real modification in the way of working:
“the introduction of ICT-based processes should take into account the specific culture of the company: the background of the entrepreneur and/or the managers is important as well as their openness to innovation” (Fulantelli & Allegra, 2003).
(3) Adequate training for social changes
• Ongoing training:– “training on the socio-relational and cultural aspects
is extremely important to develop awareness of the social implications of the introduction of new tools and methods of work and to perform the necessary organizational changes.” (Fulantelli & Allegra, 2003)
• “ICTs can generate increased levels of uncertainty and put pressure on the SME’s knowledge and skill base, individual roles and relationships” (Ritchie & Brindley, 2005)
• Centrality of cultural issues (Di Nicola, 2003)
ICT & Relationship Transformation Model in micro-enterprises
(Ritchie & Brindley, 2005)
(4) Gradual change…
• ICT-based solutions should be introduced gradually:
– “sudden transformations risk to fail against unaware and unready business organizations.” (Fulantelli & Allegra, 2003)
7 things that make “delivery through ICT” work
• McCown (2002 a & b) says:(i) Relevance, & therefore Motivation to use the
resource; (ii) Adding value; (iii) Local information; (iv) Quality; (v) Credibility; (vi) Ease of Use; and (vii) Usefulness.
• These 7 points are based on two decades of research into the “problems of user resistance” with farmers
• “Construction of relevance”:– a process, during which the credibility of the ICT
resource is established.
“Co-construction of relevance”…
“In this ‘mutual understanding’ relationship, intervention intent shifts from educating and persuading, to recognition of and respect for other ways of viewing the world… Intervention emphasis shifts from prescribing action to facilitating learning in actions” (McCown, 2002b, p.180;
emphasis in original).
“Co-construction of relevance”…
“In this ‘mutual understanding’ relationship, intervention intent shifts from educating and persuading, to recognition of and respect for other ways of viewing the world… Intervention emphasis shifts from prescribing action to facilitating learning in actions” (McCown, 2002b, p.180;
emphasis in original).
Towards co-construction
