Christian Science Monitor
July 20, 2001
Create the 'digital dividend'
By Stuart N. Brotman
As global leaders gather in Genoa, Italy, for their annual economic summit this weekend, the Bush administration has an opportunity to broaden the dialogue on the "digital divide."
What's needed is a consensus on the private sector's vital role in ensuring that digital technologies spread as much as possible throughout the world.
At last year's summit in Japan, a Digital Opportunity Task Force was charged with producing a plan of action. Its recently released report identifies the crucial role that information and communications technologies could play in narrowing social and economic inequalities. Failing to address the digital divide will result in greater marginalization of the poor, the report warns. It proposes building social and technological networks that support global economic development.
But if this plan is to take hold, government policymakers must coordinate with the multinational business community, which is seeking to expand markets through the spread of digital technologies such as the Internet, cellphones, and satellites. It's time to bring together both sides of the equation - social policy and business policy - to address this critical issue as efficiently as possible.
President Bush should focus attention on how joint public-private initiatives can create a "digital dividend" - the profound gains that both business and the broader community will realize when digital networks reach their fullest potential. For example, both government and business are funding workforce training programs that might be more effective if they were developed in tandem. Fewer tax dollars could be spent on training that better meets business needs.
The case for business leaders is compelling. Within corporations of all sizes around the world, managers are confronted with a new digital imperative. Lower-skilled workers, for example, need sufficient training to participate in new forms of work. The gap in digital proficiency dividing high- and low-skilled employees must be bridged. Remote and mobile employees must be able to tap into corporate network resources.
In the area of digital training, workers in developed and developing countries must have the ability to upgrade their skills to keep pace with technology. To remain competitive, managers must boast sufficient digital prowess and resources to attract and retain employees. Today's workforce will slip further behind unless corporations help education systems prepare people to work in the digital economy.
As companies organize themselves and their supply chains through digital networks, the importance of the digital dividend is magnified. Tackling this issue is crucial for companies to optimize their relationships with vendors around the world. Moreover, companies must see working toward a digital dividend as an opportunity to meet new consumer demands, and to create more sophisticated customers for their goods and services.
The global leaders meeting in Genoa this weekend must engage the business community on creating a digital dividend that serves private and public interests at the same time. President Bush and his counterparts should create a new agenda for implementation that promises to deliver action next year, rather than another action plan.