Ireland has yet to fully embrace the economic and social opportunities presented by the internet. That’s according to the Digital Hub Development Agency (DHDA), which today (27.07.11) published its annual report for 2010.

 

Speaking at the launch of the report, Philip Flynn, Chief Executive Officer of the DHDA, highlighted the potential cost savings, time efficiencies and service improvements that could be delivered by public and private sector organisations through increased use of the internet and digital media tools.

 

“The internet has now become both a global cultural phenomenon and a disruptive economics engine – and this presents an opportunity on all fronts for increased income, cost savings and efficiencies, and improved customer service,” he said. “If harnessed well, it will allow our arts and cultural products to extend their reach to global audiences and our indigenous commercial businesses to grow and expand in world markets.

 

“Despite the huge advancements of recent years, many organisations have been slow to embrace the internet opportunity. Recent surveys indicate that only 20 per cent of SMEs in Ireland are truly active on the internet, for example, compared to 40 per cent in our nearest competitor market, the UK.

 

“Furthermore, Irish people spend approximately €3 billion online per annum, but €2 billion of this is being spent on products and services that originate outside this country. We see no reason why this imbalance cannot be redressed quite quickly through targeted stimulus programmes to get new businesses online and support existing SMEs to expand their online presence.

 

“Younger generations – who have grown up with the internet and cannot imagine a world without it – expect to be able to conduct almost all transactions online. And, indeed, people of all ages now want convenience and choice when it comes to their interaction with public and private sector organisations.

 

“While there are notable exceptions, public institutions and SMEs in Ireland generally have been slow to capitalise on the potential offered by the internet. We need to convince them that they can save time and money – and offer a better service – through the use of online tools.”

 

Mr. Flynn cited a number of basic ways in which public and private sector organisations can use the internet to offer better services and achieve efficiencies, including:

“These aren’t revolutionary suggestions and many organisations are already employing some of these measures,” he said. “But what we need to see is the use of online tools integrated across all business functions and mainstreamed throughout our public and private sectors. Digital content and digital platforms continue to expand globally and, in particular, there has been explosive growth in the use of mobile applications and services. People have come to expect ongoing technological innovation, increased portability of technology and services, and the best possible value for money.

 

“What was once a novelty is now commonplace; what used to require a powerful desktop computer is now expected on mobile devices; and, through the astounding advances in smart phones, people are now effectively carrying powerful computers in their pockets. Our SMEs and public sector organisations must adapt accordingly.”

 

Leonard Donnelly, Chairperson of the DHDA, said greater use of the internet would not only lead to Irish organisations becoming more efficient and achieving cost savings but would also – ultimately – create new jobs.

 

“I have seen firsthand the pace at which competing countries are moving to focus, coordinate and mobilise their strategies for the digital economy and the digital society,” he said. “The DHDA sees a gap here and we are keen to assist a national effort in any way that we can. Over the coming year, our priority is to work with the Government to develop a cohesive internet strategy for Ireland. We must foster a spirit of technological advancement and creativity across the country, from our schools to our boardrooms.

 

“Embracing the untapped potential of the internet allows organisations to be more efficient and cost effective, and to deliver better services to their customers. But, crucially, it also leads to a growth in jobs. The internet has the potential to offer a huge wave of new, sustainable Irish jobs: the DHDA estimates that up to 7,000 jobs could be created in this area in the medium term. Our challenge now is to achieve national buy-in for getting Ireland fully online. We need to ensure that all organisations – in both the private and public sectors – are fully behind the digital agenda.”

 

The DHDA annual report for 2010 is available to download from our publications page.