7. Achieving our digital potential
7.2 Productivity: Achieving a creative, knowledge-based, high-income economy
Digital innovation, technology-based productivity solutions and worldclass ICT-based skills and training are vital to achieving our digital potential and improving New Zealanders’ quality of life.
Increasing productivity and innovation is a key to transforming our economy. How can digital technologies be leveraged in the quest for higher productivity? – Summit challenge
Innovative digital exports
There are major export opportunities for innovative New Zealand digital content and services. Right Hemisphere is an excellent example of innovation in 3D digital graphics and applications. The time is
ripe to build on this and the successes of other kiwi firms. Part of the challenge is to identify and select the niches in which we have competitive advantage in the global environment. Connecting the digital commercial opportunities with New Zealand’s cultures and lifestyles to increase both social and economic value is a particular challenge for our creative and media industries, as well as for our small innovative start-ups.
Research and development of worldclass digital technologies such as in the pastoral and food industry will play a major role in the future growth of the largest sectors of our economy and in the development of new, smart and innovative businesses.
Productivity growth
We know that New Zealand is being held back by its low productivity. Digital technologies are key to solving the problem and improving our living standards. Using digital-based technology and broadband throughout the whole economy, as a contributor to business innovation, productivity improvement and the process of becoming more internationally competitive, is the way to get the biggest payoff. The Economist Intelligence Unit surmised that New Zealand could boost its GDP by $13.1 billion by 2030 (10 per cent of current GDP) if it could move into the top quartile for broadband performance in the OECD by 2015. The challenge is for industry sectors and individual firms, large and small, to coordinate their efforts around better digital technology utilisation.
BRINGING ICT PRODUCTIVITY SOLUTIONS TO THE FARM GATE //////
Farmgate is an agricultural ICT research initiative that seeks to improve the efficiencies, productivity and marketing of New Zealand primary sector products through innovative uses of ICT. Launched by independent research company MediaLab in 2004, Farmgate has drawn in government funding partners, cross-sector partnerships and farmers themselves to create innovative farming solutions.
Farmgate’s Remote Effluent Monitoring System for dairy farmers involves Massey University, Telecom and BayCity Technologies. It is essentially a productivity solution that also helps to manage a farm’s environmental sustainability. Information collected at farm monitoring sites can be distributed via mobile and wireless networks and can be accessed by farmers via website, email or text message.
“Effluent is a resource on a dairy farm – when applied properly, it aids pasture growth and ultimately leads to increased milk production,” says MediaLab’s CEO Phil Shepherd. “But if distributed at the wrong time, it can pollute both groundwater and streams. The remote effluent monitoring tool will be demonstrated at field days in 2008 and be taken to the market later in the year.” |
Action table
The following table lists actions where the use of digital technology can assist in improving our productivity. A couple of examples are included but your contribution is needed to fill out this table.
| Action |
Lead |
Timing |
Budget |
| The establishment of Nextspace to accelerate digital exports in 3D graphics |
Ministry of Economic Development |
2008-10 |
$7 million |
| Develop the Business Portal as the universal gateway to government for business |
Ministry of Economic Development |
2008-09
|
Baseline |
| ... |
... |
... |
... |
| ... |
... |
... |
... |