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1st International EIBURS-TAIPS TAIPS conference on:
                       “Innovation in the public sector
                     and the development of e-services”



   How advanced are Italian regions in terms
            of public e-services?
 The construction of a composite indicator to analyze patterns
               of innovation in the public sector


Luigi Reggi, Davide Arduini, Marco Biagetti and Antonello Zanfei
                    EIBURS-TAIPS team, University of Urbino



                               University of Urbino
                                April 19-20, 2012
Aims and scope
• Providing evidence on regional differences in the
  diffusion of public eServices in Italy with a focus on
   – different types of public eServices: beyond a
     monodimensional analysis based on e-gov
     diffusion
   – not only front- but also back-end issues
   – different channels for service delivery
• Providing a sound, open and transparent
  methodology for constructing a public eServices
  composite indicator based on OECD/EC-JRC
  Handbook
Composite indicators (CI)
   A composite indicator is formed when individual indicators
   are compiled into a single index, on the basis of an underlying
   model of the multi-dimensional concept that is being
   measured (OECD Glossary of statistical terms)

• Composite indicators are increasingly used by
  statistical offices, international organizations (e.g.
  OECD, EU, WEF, IMF) and academic researchers to
  convey information on the status of countries in
  fields such as the environment, economy, society
  or technological development: Cox et al., 1992;
  Cribari-Neto et al., 1999; Griliches, 1990; Huggins
  2003; Grupp and Mogee 2004; Munda 2005;
  Wilson and Jones 2002; among others

• The proliferation of these indicators is a clear
  symptom of their importance in policy-making,
  and operational relevance in macro and micro             Searching “Composite indicator” in
                                                           Google Scholar => 5x increase in 6 years
  economics in general (Granger, 2001)
                                                                                  (Saltelli, 2011)
Pros and cons of CI
                         Pros                                                    Cons
   Can summarize complex or multi-dimensional              May send misleading policy messages if they
    issues in view of supporting decision-makers.            are poorly constructed or misinterpreted.
   Easier to interpret than trying to find a trend in      May invite simplistic policy conclusions.
    many separate indicators.                               May be misused, e.g., to support a desired
   Facilitate the task of ranking countries on              policy, if the construction process is not
    complex issues in a benchmarking exercise.               transparent and lacks sound statistical or
   Can assess progress of countries over time on            conceptual principles.
    complex issues.                                         The selection of indicators and weights could
   Reduce the size of a set of indicators or include        be the target of political challenge.
    more information within the existing size limit.        May disguise serious failings in some
   Place issues of country performance and                  dimensions and increase the difficulty of
    progress at the centre of the policy arena.              identifying proper remedial action.
   Facilitate communication with general public            May lead to inappropriate policies if
    (i.e. citizens, media, etc.) and promote                 dimensions of performance that are difficult to
    accountability.                                          measure are ignored.

                                                                      (Saisana and Tarantola, 2002; OECD, 2008)
Selected CIs in public e-services field (1/2)
                                           Time Number of
                                 Composite                                                                                            Aggregation
               Field/Source               coverag countries                       Sub-indicators
                                  Indicator                                                                                           methodology
                                             e     covered
                             e-Government        191        Web presence
                                          2001-                                                                                       Equal
              United Nations Readiness           Member     Telecommunication infrastructure
                                          2010                                                                                        weighting
                             Index               States     Human capital
eGovernment




                                                     198
              Brown            e-government 2001 -                  availability of publications, databases and number of on line     Equal
                                                     Member
              University       index        2007                    services                                                          weighting
                                                     States

                                                                 Online sophistication of the 20 basic services (4 stage maturity
              European
                               e-government 2001 -   32 European model: information available on-line, one-way interaction,       Equal
              Commission /
                               index        2010     Countries   two-way interaction and transaction)                             weighting
              CapGemini
                                                                 Full online availability of the 20 basic services

                                                                    Service Maturity Breadth (number of services offered through
                                                     33 EU          the Internet from the 67 identified services)
              Torres et al.    Service                                                                                           Equal
                                              2004   municipaliti   Service Maturity Depth (3 stage maturity model: simple
              (2005)           maturity Index                                                                                    weighting
                                                     es             information dissemination, one way communication, service
                                                                    and financial transactions)
                             e-Government
                                                     95 Member                                                                        Equal
              Kovačić (2005) Readiness    2003                 Based on United Nations data and methodology
                                                     States                                                                           weighting
                             Index
              Baldersheim et              2004       75 Nordic     Information features of the web sites (refers to the contents
              al. (2008)                             municipaliti of communication channels between citizens and town hall)
                             Innovation                                                                                               Equal
                                                     es            Communication features of the web sites (refers to the extent
                             score                                                                                                    weighting
                                                                   of interactivity of web sites, or how citizens can actually
                                                                   communicate via municipal sites)
                                                     1,176 Italian                                                                    Multiple
              Arduini et al.   Front Office
                                              2006   municipaliti Availability and level of interactiveness of 266 on line services   Correspondenc
              (2010)           Index
                                                     es                                                                               e Analysis
Selected CIs in public e-services field (2/2)
                                            Number of
                                 Time                                                                                 Composite        Aggregation
                  Field/Source              countries                           Sub-indicators
                               coverage                                                                                Indicator       methodology
                                             covered
eProcurement




                                                                                                                    eProcurement
                                                             -   eNotification, eSubmisssion and eAwards services   availability for
                                                                 provided by eProcurement platforms in the public   the pre -
                  European                32 European            sector                                             award phase        Equal
                                 2010
                  Commission              Countries          -   eOrdering, eInvoicing and ePayment services        eProcurement       weighting
                                                                 provided by eProcurement platforms in the public   availability for
                                                                 sector                                             the post -
                                                                                                                    award phase


                  European
                  Commission –            906 acute          -   Infrastructure Dimension                           Composite
eHealth




                                                                                                                                       Multivariate
                  Joint                   Hospitals in the   -   Application and Integration Dimension              index of
                               2010                                                                                                    Statistical
                  Research                27 European        -   Information flows dimension                        eHealth
                                                                                                                                       Analysis
                  Centre                  Countries          -   Security and privacy dimension                     deployment
                  (Seville)

                                          2 County
eTransportation




                                          Metropolitan
                                                             -   Real-time network information                      Advanced
                                          Transportation
                  Horan et al.                               -   Whether traffic or transit                         Travel             Equal
                                 2006     Authorities
                  (2007)                                     -   Traveler information such as route guidance or     Information        weighting
                                          (Los Angeles
                                                                 destination information                            Systems Index
                                          and
                                          Minneapolis)
CIs in public e-services field
Existing CIs in public eServices field
 • are specific to a single domain / type of eService
 • employ simple equal weighting as standard aggregation
   method (with a few exceptions)
 • do not assess results with Uncertainty or Sensitivity
   Analysis (UA – SA)

Critical remarks have been raised against EC
eGovernment bechmarking index. Criticism is mainly
focused on theoretical framework, indicators chosen,
aggregation scheme adopted (Bannister, 2007; Bretschneider et           al,
2005; Fariselli & Bojic 2004; Goldkuhl & Persson, 2006; Jansen, 2005)
What is new in our methodology
       for a Public eServices CI
1. Expanding the scope of the analysis of eServices diffusion
   – A holistic view to capture the wide spectrum of public e-services in different domains
     (in our case: eGov, eEducation,eTransportation) and the different aspects of service
     provision (e.g. technical and organizational change within PAs and new service
     implementation)

2. Improving the quality of the framework
   – Using more sophisticated indicators both on quality of services offered and back
     office changes
   – Robustness check of the framework / classification of indicators

3. Developing a sound, open and transparent methodology
   – Asking experts to assess the importance of basic indicators
   – Real benchmarking: measuring the distance from the efficiency frontier
   – Tracing back the contribution of the different aspects of eService diffusion (e.g. back-
     and front-end issues) to intermediate and final indices
   – Checking the robustness of results by reiterating the calculation of the CI with 12
     other different methods (Uncertainty Analysis)
Public e-Services diffusion:
                        a broad definition
Aims                                               Dimensions of ICT diffusion
   Efficiency and effectiveness of public             Service provision - front end
   service (Fountain, 2001; Codagnone e Undheim,      Internal processes / interoperability /
   2009)                                              information integration - back end (Millard,
   Transparency (Wong & Welch, 2004; Meyer,           2004; Pardo and Tayi, 2007; OECD, 2007)
   2009, Dawes 2010)                                  Decision- / policy –making
   Participation (Noveck, 2008)                       (Lampathaki et al., 2010)

Providers                                          Channels
   Government: central / local agencies,              Institutional websites, public websites
   public companies                                   Public kiosks
   Third party players - PPPs, apps                   Digital TV
   development (Brito, 2009; Eaves, 2010)             Mobile apps
   NGOs, citizens - self-help, collaboration          (Pieterson et al., 2008)
   (Noveck, 2008)

Data sources                                       Domains
                                                                                          Main focus of
                                                      eGovernment                         existing CIs /
   Government                                         eEducation                          benchmarking
   Citizens / NGOs / businesses:                      eTransportation                     exercises
   crowdsourcing (Osimo, 2008; Robinson et al.,       eHealth                             Scope of our
   2009; Chun et al., 2010)                                                               analysis
                                                      Smart cities
Public eServices CI
                        - our framework -
• Existing theoretical frameworks are mainly focused on
  eGovernment and based on stage models implying linear
  progression (Lee, 2010)
  [i.e. from stage 1 = input/eReadiness to stage n = outcome]
   – academic papers (Andersen & Henriksen, 2006; Hiller & Belanger, 2001; Layne & Lee,
     2001; Moon, 2002; Siau & Long, 2005; Scott, 2001; West, 2004)
   – institutional reports (Center for Democracy & Technology, 2002; Grant & Chau, 2005;
     United Nations, 2001, 2003, 2005, 2008)
   – private consulting firms reports (Accenture, 2003; Deloitte Research, 2000)

• Most available frameworks can hardly be applied to the
  construction of our CI
  “Too often composite indicators include both input and output
  measures. […] However, only the latter set of output indicators should
  be included if the index is intended to measure innovation
  performance”
                                 (OECD/EC-JRC Handbook on Constructing CIs, p.6)
Public eServices CI
                                   - our framework -
PILLAR
                                          Public eServices Composite Indicator




                                                                                   ₋ Mobility
                     ₋ Intranet                                                      monitoring
                                                             ₋ Certified e-mail      systems
                     ₋ Interoperability
                                                             ₋ eProcurement        ₋ Interoperability
                       & integration
                                                             ₋ Document              & integration
                                                               workflow
                     ₋ School website                                              ₋ Travel planner
                     ₋ Restricted areas                                            ₋ Info on traffic
                       for information                                               and parking
                       services                              ₋ Fully interactive   ₋ Multi-channel
                                                               service provision     delivery
                     ₋ Interactive
                                                             ₋ On line payments    ₋ Technology on
                       whiteboards
         didactics                                           ₋ Multi-channel         board of public
                     ₋ Repositories of
                                                               delivery              transport
                       documents
                     ₋ Wiki platforms                                              ₋ electronic displays
                                                                                     on the street

    SUB-PILLAR                   INDICATORS
Data sources
Domain            Statistical units            Source
eEducation        1,600 schools                Between. Survey “Service e-
                                               Platforms”, 2010
eGovernment       5,762 municipalities, 100    Italian Institute of Statistics. Survey
                  Provincial governments       “Information and Communication
                  and 22 Regional              Technologies in Local Public
                  governments                  Administrations”, 2009


eTransportation   117 local public transport Between. Survey “Service e-
                  companies                  Platforms”, 2011


                                              Valle d’Aosta and Molise (0,7% of total
                                              Italian population) were excluded from
                                              the analysis due to poor data quality in
                                              the eTransportation survey
Basic indicators selection &
      robustness check of the framework

• An initial set of 30 indicators were assigned to each
  “pillar” (e-service domain) and “sub-pillar” (aspect of
  innovation activity being considered)
• 8 Principal Component Analyses and KMO tests were
  performed (1 for each sub-pillar) to check the
  consistency of the framework
• We applied the eigenvalue-one criterion [only one
  eigenvalue should exceed the unity (Kaiser, 1960)] to
  make sure that indicators in each sub-pillar share no
  more than 1 underlying dimension
• 6 indicators that did not pass this test have been
  discarded
Pillar                Sub-pillar      code                             BASIC INDICATORS SELECTED
                                       E1.1   Teachers using interactive whiteboard
                   ICT in didactics    E1.2   Schools extensively using online text and file/document collections
                                       E1.3   Schools extensively using wiki platforms
 eEducation


                                       E2.1   Schools with website
                                       E2.2   Schools providing restricted access areas for web-based info services to teachers
                   Online Services
                                              Schools providing tools to share training aid files on the web (assignments. audio/video of
                                       E2.3
                                              lessons. etc.)
                   ICT and changes     E3.1   School information system integrated with the National Educational Information System
                      in internal      E3.2   Schools information system integrated with the National Library System
                     organization
                                       E3.3   Schools with Intranet
                                       G1.1   Municipalities with certified e-mail
 eGovernment




                   ICT and changes
                      in internal      G1.2   Municipalities using e-procurement
                     organization      G1.3   Municipalities using document workflow (full case handling)
                                       G2.1   Municipalities providing fully interactive services on the web
                   Online services     G2.2   Municipalities allowing online payments
                                       G2.3   Channels other than the web used to offer public services
                                       T1.1   No. of technological systems on board
                     ICT during               Cities providing information to travelers about traffic or parking by means of electronic
 eTransportation




                                       T1.2
                   transportation             displays
                                       T1.3   Buses with on-board computer
                   ICT and changes     T2.1   Cities with data interchange with other entities
                      in internal      T2.2   Cities with a managing authority for local mobility
                     organization      T2.3   CIties with a mobility monitoring system
                                       T3.1   No. of channels used to inform passengers
                   Online services     T3.2   Cities that provide information to travelers about traffic or parking on the web
                                       T3.3   Cities that offer timetables with route planning (travel planner) on the web
Steps for computing CI
• What is the relative importance of each Basic
  Indicator?
• How to aggregate the Basic Indicators in order
  to measure the level of development of each
  region in eEducation, eGovernment and
  eTransportation?
• How to calculate the final score?
• What is the robustness level of the results we
  obtained?
Gathering expert opinion through
         Budget Allocation (BA)
What is BA?
Experts are given a “budget” of N points, to be distributed over a
number of individual indicators by “paying” more for those indicators
whose importance they want to stress.
(Moldan and Billharz 1997)
                                      (a) Randomly selected from the
                                          corresponding authors of 751 top-journal
Phases:                                   articles reviewed by Arduini and Zanfei
                                          (2011). => 100 papers extracted.
1. Selection of experts for           (b) Also included 15 participants at the 1st
                                          International EIBURS-TAIPS Conference
   the evaluation                         that present papers on eServices
                                          diffusion
2. Allocation of budget to
                                      An on-line questionnaire was administered.
   indicators
                                      Experts were asked to allocate a 100 points
                                      budget within each sub-pillar, so that the
3. Calculation of weights             total number of indicators to evaluate is < 4
                                      (Bottomley et al., 2000)
Results of BA
100
 80
 60
 40
 20
  0




                                                                                                               T1.1
                                                                                                                      T1.2
                                                                                                                              T1.3
                                                                                                                                     T2.1
                                                                                                                                            T2.2
                                                                                                                                                   T2.3
                                                                                                                                                          T3.1
                                                                                                                                                                 T3.2
                                                                                                                                                                        T3.3
                           E2.1




                                                       E3.2
      E1.1
             E1.2
                    E1.3


                                  E2.2
                                         E2.3
                                                E3.1


                                                              E3.3




                                                                                   G1.3
                                                                     G1.1
                                                                            G1.2


                                                                                          G2.1
                                                                                                 G2.2
                                                                                                        G2.3
                                                Mean                        Max                    Min                       Median


 No expert consensus on the appropriate set of weights
      (Mean coef of var among indicators = 0.4426)
       – High variation / disagreement
       – No single pair of expert suggesting similar weights
 We must choose a statistical method to calculate
  weights, while trying not to waste the information
  provided by the experts
Combining Benefit of the Doubt (BoD)
   approach with expert opinion
• BoD is a method for data aggregation based on Data
  Evelopment Analysis (DEA) (Melyn & Moesen, 1991, Cherchye et al., 2007)
• BoD advantages
   – objective statistical/mathematical approach
   – it measures “efficiency” => compares a region’s performance
     with a benchmark in a multi-dimensional space
   – the algorithm tends to use those indicators where the region
     shows better performances
       • no other weighting scheme yields higher composite indicator value
         (political acceptance)
       • reveals policy priorities / past choices
       • embeds concern for regional diversity
• BoD + Expert constraint (Cherchye et al., 2008)
   – We impose that the use of each indicator is limited by expert
     opinion. The MIN (MAX) use of an indicator corresponds to
     the MIN (MAX) weight it has received from the experts
Benefit of the Doubt (BoD) approach
      through Data Envelopment Analysis (DEA)

Through DEA we estimate an
efficiency frontier used as a
benchmark to measure the relative
performance of regions

Indicator = ratio of the distance
between the origin and the
actual observed point and that
of the projected point in the
frontier

In our case, CIs of the 3 pillars
are the distance from an ideal      Source: rearranged from Mahlberg and Obersteiner (2001)
case with 100% on all basic
indicators
Benefit of the Doubt (BoD) approach
 through Data Envelopment Analysis (DEA)
       Linear programming problem




                                                    j indicates the region
s.t.         indicators   weights                   i indicates the indicator



                              bounding constraint


                              non-negativity constraint



                                                                       (Charnes et al, 1978)
The “pie-share” constraint
• Applying only the bounding and the non-negativity
  constraints may allow for extreme scenarios (Cherchye L.,
  2008)
   – If a region’s value of one sigle indicator dominates those
     of other regions, that region will get the max score of 1
     even if it has very low values in the other indicators

• We introduce a pie-share constraint that incorporates
  expert opinion (Wong and Beasley, 1990)


   Li = lower bound = MIN expert weight from BA
   Ui = upper bound = MAX expert weight from BA
Results
• In the following slides the resulting scores and
  ranks from the constrained optimisation are
  presented
• The score:
  – represents a measure of a region’s efficiency
    compared to the benchmark (the “ideal case”)
  – is the sum of the pie-shares of each indicators,
    that we have grouped toghether at a sub-pillar
    level (aspect of innovation activity being
    considered)
0,80
eEducation
                  0,60
                  0,40
                  0,20
                    -
                            LOM EMR LAZ VEN TOS CAL BOZ SAR PMN PUG ABR MAR LIG CAM UMB BAS FVG SIC TRE

                  0,50
eGovernment




                  0,40
                  0,30
                  0,20
                  0,10
                  0,00
                            EMR BOZ TOS VEN LOM MAR FVG UMB PMN PUG SIC CAM LAZ LIG SAR CAL ABR BAS TRE
eTransportation




                  1,00
                  0,80
                  0,60
                  0,40
                  0,20
                        -
                            BOZ EMR TRE LIG FVG TOS MAR UMB CAM VEN LOM CAL PMN BAS SAR ABR LAZ PUG SIC

                                          Online Services
                                          ICT and changes in internal organization
                                          ICT in didactics (eEdu) or during transportation (eTran)
Results per pillar (1/4)
                       scores
• The highest variation in the scores can be found
  in eTransportation domain, while eEducation
  performances seem not to vary much
• eGov results for Lombardy, Piedmont and
  Province of Trento are lower than expected.
  – This is probably due to the high proportion of very
    small municipalities
Results per pillar (2/4)
                       rankings
• The 3 rankings differ substantially
  => significantly different regional patterns
  – Very high variations in the ranking for the Province of
    Trento and Lazio. Medium-high variation for
    Lombardy, Calabria, Campania
  – Other regions show a more homogeneous approach
    to public eServices development which is
    characterized by different trajectories of diffusion
     • High scores for EMR, TOS, BOZ | medium scores for VEN
       MAR PIE | low scores SIC, BAS
Results per pillar (3/4)
                      pie shares
Tracing back pillar results through “pie shares”
 • eEducation - Pie shares are more or less fixed, i.e. all
   regions use the same “mix” of indicators to
   maximize their score, under the expert constraint.
   This is due to quite similar relative values of each
   indicator and to the specific combination of bounds
   that experts have imposed
 • eTransportation – Pie shares are flexible, so each
   region chooses its own set of weights revealing the
   areas where investments have been made
 • eGovernment – intermediate case
Results per pillar (4/4)
                    pie shares
• Indicators related to ICT diffusion in internal
  processes and organizational changes have a major
  role in computing the final score of all public e-
  services categories (eEdu, eGov and eTra)
• The importance of back office re-organization
  through ICTs has emerged in the literature on the
  development of organizations, which has
  emphasized the essential role of skills that
  characterize the different components of an
  organizational structure (Fountain and Osorio-Ursua,
  2001; Fountain, 2003; West, 2005; Helfat et al.,
  2007)
Final steps to the CI

1. Normalization: MIN-MAX,
   where MAX is the region with
   the highest score

2. Final aggregation through
   Geometric Mean
   – the marginal gain of an increase
     in a low score is much higher
     than in a high score
   – a region has more incentive to
     address the dimensions where it
     is weak
Final scores
and rank
Region    CI    Rank
EMR      0,94     1
 BOZ     0,93     2
 TOS     0,80     3
 VEN     0,73     4
 FVG     0,70     5
MAR      0,69     6
 LIG     0,68     7
 LOM     0,67     8
UMB      0,65     9
CAM      0,63    10
PMN      0,59    11
 CAL     0,57    12
 TRE     0,53    13
 LAZ     0,52    14
 PUG     0,52    15
 SAR     0,51    16
 ABR     0,45    17
 BAS     0,45    18
 SIC     0,38    19
Uncertainty Analysis (UA)
• UA is a robustness assessment of a CI (Saltelli et al, 2008)

• The uncertainties in the development of a composite
  indicator will arise from some or all of the steps in the
  construction line (Saisiana et al, 2004)
    (a) selection of subindicators
    (b) data selection
    (c) data editing
    (d) data normalization
    (e) weighting scheme
    (f) weights' values and
    (g) composite indicator formula
    (e) level of aggregation where the methodology applies
12 alternative scenarios (+ baseline)
            weighting scheme             level of the method            Aggregation         Data normalization

       DEA Pie shares (min-max
S1               BA)                         domains                   Geometric              No rescaling
S2     BA mean weight+EW+EW                 sub-pillars                  Additive               Minmax

S3    BA median weight+EW+EW                sub-pillars                  Additive               Minmax
                                                                  Additive, geometric on
S4     BA mean weight+EW+EW                 sub-pillars                  domains                Minmax
                                                                  Additive, geometric on
S5    BA median weight+EW+EW                sub-pillars                  domains                Minmax

S6    DEA Pie shares (min-max BA)            domains                     Additive             No rescaling
S7                EW                              -                      Additive               Minmax
                                                                  Additive on pillars and
S8           PCA+EW+EW                      sub-pillars                  domains                Minmax
                                                                    Additive on pillars,
S9           PCA+EW+EW                      sub-pillars           geometric on domains          Minmax
S10         PCA+PCA+EW                  sub-pillars+pillars              Additive               Minmax
                                                                  Additive, geometric on
S11         PCA+PCA+EW                  sub-pillars+pillars              domains                Minmax

S12         PCA+PCA+PCA             sub-pillars+pillars+domains          Additive               Minmax
                                                                  Additive, geometric on
S13         PCA+PCA+PCA             sub-pillars+pillars+domains          domains                Minmax
Results of UA
1.00
0.90
0.80
0.70
0.60
0.50
0.40
0.30
0.20
0.10
0.00
                                                       UMB
                                     MAR




                                                                                                 SAR
       EMR




                                                                                                       ABR
                         VEN




                                                             CAM
                                                                   PMN


                                                                               TRE
                                                 LOM




                                                                         CAL
                               FVG




                                                                                           PUG
                                                                                     LAZ
             BOZ




                                                                                                             BAS
                   TOS




                                                                                                                   SIC
                                           LIG




                                                                                                 Lowest
                                           Highest uncertainty:                                  uncertainty:
                                           range = 0.367                                         range = 0.167
Differences in rankings compared to baseline scenario
Regions   S2   S3   S4   S5   S6   S7   S8   S9   S10   S11   S12   S13   S Borda   S Condorcet
PMN       -3   -3   -3   -3   0    -1   -2   -2    0     0     2     0         -1            0
LOM       4    4    4    4    1    4    4    4     5     5     5     3         5             5
BOZ       0    0    0    0    0    0    0    0     0     0     0     0         0             0
TRE       -2   0    -3   -3   1    -3   -3   -3    -2    -3    -3    -5        -2            -2
VEN       -1   -1   -1   -1   0    -1   -1   -1    -1    -1    0     1         -1            -1
FVG       -1   -1   -1   -1   0    -1   -1   -1    -1    -1    -2    -2        -1            -2
LIG       -3   -3   -3   -3   1    -2   -3   -4    -5    -5    -6    -6        0             1
EMR       0    0    0    0    0    0    0    0     0     0     0     0         0             0
TOS       0    0    0    0    0    0    0    0     -1    -1    -2    -1        -1            -1
UMB       0    0    1    1    0    1    1    1     -1    1     -1    0         1             1
MAR       -1   -1   -1   -1   -2   -1   -1   -1    -1    -1    0     0         -4            -6
LAZ       6    6    5    5    0    4    5    5     6     4     6     6         5             4
ABR       0    0    0    0    0    0    0    0     0     0     0     1         0             0
CAM       -3   -5   -3   -3   0    -5   -1   0     1     1     -2    -2        -4            -4
PUG       4    3    4    3    0    4    1    1     2     2     4     5         4             6
BAS       0    0    0    0    0    0    0    0     -1    -1    -1    -1        0             0
CAL       0    1    0    1    -1   -2   0    0     -2    -2    -2    -2        -1            -4
SIC       0    0    0    0    0    0    0    0     1     1     1     2         0             0
SAR       0    0    1    1    0    3    1    1     0     1     1     1         0             3
Results of UA
• CI final scores based on BoD weights are
  among the best possible results a region can
  obtain

• Good robustness level, especially for top and
  bottom ranked regions
  – 13 regions out of 19 show only a 0/1/-1 shift
    compared to the median rank
Conclusions 1/2
From a methodological point of view

   – BoD approach combined with BA is an effective way
     incorporate both regional choices and expert judgment
     into CI

   – Geometric aggregation gives higher scores to regions
     showing a more balanced eServices diffusion among the 3
     domains

   – Uncertainty analysis on rankings shows high robustness
     levels for top and bottom ranked regions
Conclusions 2/2
Main findings and implications from our analysis:

   – ranking reflects hierarchy of regions in terms of per capita
     income and industrial development: current development
     of public eServices does not seem to correct unbalances
     between regions lagging behind and frontrunners

   – high heterogeneity in terms of mix of e-service
     proficiency: need for a regional differentiation of e-service
     promotion policies ;

   – there is more cross regional variation in terms of
     eEducation and eTransportation than in terms of eGov:
     human capital formation and mobility enhancing are
     bound to be the real distinctive assets of regions

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How advanced are Italian regions in terms of public eServices

  • 1. 1st International EIBURS-TAIPS TAIPS conference on: “Innovation in the public sector and the development of e-services” How advanced are Italian regions in terms of public e-services? The construction of a composite indicator to analyze patterns of innovation in the public sector Luigi Reggi, Davide Arduini, Marco Biagetti and Antonello Zanfei EIBURS-TAIPS team, University of Urbino University of Urbino April 19-20, 2012
  • 2. Aims and scope • Providing evidence on regional differences in the diffusion of public eServices in Italy with a focus on – different types of public eServices: beyond a monodimensional analysis based on e-gov diffusion – not only front- but also back-end issues – different channels for service delivery • Providing a sound, open and transparent methodology for constructing a public eServices composite indicator based on OECD/EC-JRC Handbook
  • 3. Composite indicators (CI) A composite indicator is formed when individual indicators are compiled into a single index, on the basis of an underlying model of the multi-dimensional concept that is being measured (OECD Glossary of statistical terms) • Composite indicators are increasingly used by statistical offices, international organizations (e.g. OECD, EU, WEF, IMF) and academic researchers to convey information on the status of countries in fields such as the environment, economy, society or technological development: Cox et al., 1992; Cribari-Neto et al., 1999; Griliches, 1990; Huggins 2003; Grupp and Mogee 2004; Munda 2005; Wilson and Jones 2002; among others • The proliferation of these indicators is a clear symptom of their importance in policy-making, and operational relevance in macro and micro Searching “Composite indicator” in Google Scholar => 5x increase in 6 years economics in general (Granger, 2001) (Saltelli, 2011)
  • 4. Pros and cons of CI Pros Cons  Can summarize complex or multi-dimensional  May send misleading policy messages if they issues in view of supporting decision-makers. are poorly constructed or misinterpreted.  Easier to interpret than trying to find a trend in  May invite simplistic policy conclusions. many separate indicators.  May be misused, e.g., to support a desired  Facilitate the task of ranking countries on policy, if the construction process is not complex issues in a benchmarking exercise. transparent and lacks sound statistical or  Can assess progress of countries over time on conceptual principles. complex issues.  The selection of indicators and weights could  Reduce the size of a set of indicators or include be the target of political challenge. more information within the existing size limit.  May disguise serious failings in some  Place issues of country performance and dimensions and increase the difficulty of progress at the centre of the policy arena. identifying proper remedial action.  Facilitate communication with general public  May lead to inappropriate policies if (i.e. citizens, media, etc.) and promote dimensions of performance that are difficult to accountability. measure are ignored. (Saisana and Tarantola, 2002; OECD, 2008)
  • 5. Selected CIs in public e-services field (1/2) Time Number of Composite Aggregation Field/Source coverag countries Sub-indicators Indicator methodology e covered e-Government 191 Web presence 2001- Equal United Nations Readiness Member Telecommunication infrastructure 2010 weighting Index States Human capital eGovernment 198 Brown e-government 2001 - availability of publications, databases and number of on line Equal Member University index 2007 services weighting States Online sophistication of the 20 basic services (4 stage maturity European e-government 2001 - 32 European model: information available on-line, one-way interaction, Equal Commission / index 2010 Countries two-way interaction and transaction) weighting CapGemini Full online availability of the 20 basic services Service Maturity Breadth (number of services offered through 33 EU the Internet from the 67 identified services) Torres et al. Service Equal 2004 municipaliti Service Maturity Depth (3 stage maturity model: simple (2005) maturity Index weighting es information dissemination, one way communication, service and financial transactions) e-Government 95 Member Equal Kovačić (2005) Readiness 2003 Based on United Nations data and methodology States weighting Index Baldersheim et 2004 75 Nordic Information features of the web sites (refers to the contents al. (2008) municipaliti of communication channels between citizens and town hall) Innovation Equal es Communication features of the web sites (refers to the extent score weighting of interactivity of web sites, or how citizens can actually communicate via municipal sites) 1,176 Italian Multiple Arduini et al. Front Office 2006 municipaliti Availability and level of interactiveness of 266 on line services Correspondenc (2010) Index es e Analysis
  • 6. Selected CIs in public e-services field (2/2) Number of Time Composite Aggregation Field/Source countries Sub-indicators coverage Indicator methodology covered eProcurement eProcurement - eNotification, eSubmisssion and eAwards services availability for provided by eProcurement platforms in the public the pre - European 32 European sector award phase Equal 2010 Commission Countries - eOrdering, eInvoicing and ePayment services eProcurement weighting provided by eProcurement platforms in the public availability for sector the post - award phase European Commission – 906 acute - Infrastructure Dimension Composite eHealth Multivariate Joint Hospitals in the - Application and Integration Dimension index of 2010 Statistical Research 27 European - Information flows dimension eHealth Analysis Centre Countries - Security and privacy dimension deployment (Seville) 2 County eTransportation Metropolitan - Real-time network information Advanced Transportation Horan et al. - Whether traffic or transit Travel Equal 2006 Authorities (2007) - Traveler information such as route guidance or Information weighting (Los Angeles destination information Systems Index and Minneapolis)
  • 7. CIs in public e-services field Existing CIs in public eServices field • are specific to a single domain / type of eService • employ simple equal weighting as standard aggregation method (with a few exceptions) • do not assess results with Uncertainty or Sensitivity Analysis (UA – SA) Critical remarks have been raised against EC eGovernment bechmarking index. Criticism is mainly focused on theoretical framework, indicators chosen, aggregation scheme adopted (Bannister, 2007; Bretschneider et al, 2005; Fariselli & Bojic 2004; Goldkuhl & Persson, 2006; Jansen, 2005)
  • 8. What is new in our methodology for a Public eServices CI 1. Expanding the scope of the analysis of eServices diffusion – A holistic view to capture the wide spectrum of public e-services in different domains (in our case: eGov, eEducation,eTransportation) and the different aspects of service provision (e.g. technical and organizational change within PAs and new service implementation) 2. Improving the quality of the framework – Using more sophisticated indicators both on quality of services offered and back office changes – Robustness check of the framework / classification of indicators 3. Developing a sound, open and transparent methodology – Asking experts to assess the importance of basic indicators – Real benchmarking: measuring the distance from the efficiency frontier – Tracing back the contribution of the different aspects of eService diffusion (e.g. back- and front-end issues) to intermediate and final indices – Checking the robustness of results by reiterating the calculation of the CI with 12 other different methods (Uncertainty Analysis)
  • 9. Public e-Services diffusion: a broad definition Aims Dimensions of ICT diffusion Efficiency and effectiveness of public Service provision - front end service (Fountain, 2001; Codagnone e Undheim, Internal processes / interoperability / 2009) information integration - back end (Millard, Transparency (Wong & Welch, 2004; Meyer, 2004; Pardo and Tayi, 2007; OECD, 2007) 2009, Dawes 2010) Decision- / policy –making Participation (Noveck, 2008) (Lampathaki et al., 2010) Providers Channels Government: central / local agencies, Institutional websites, public websites public companies Public kiosks Third party players - PPPs, apps Digital TV development (Brito, 2009; Eaves, 2010) Mobile apps NGOs, citizens - self-help, collaboration (Pieterson et al., 2008) (Noveck, 2008) Data sources Domains Main focus of eGovernment existing CIs / Government eEducation benchmarking Citizens / NGOs / businesses: eTransportation exercises crowdsourcing (Osimo, 2008; Robinson et al., eHealth Scope of our 2009; Chun et al., 2010) analysis Smart cities
  • 10. Public eServices CI - our framework - • Existing theoretical frameworks are mainly focused on eGovernment and based on stage models implying linear progression (Lee, 2010) [i.e. from stage 1 = input/eReadiness to stage n = outcome] – academic papers (Andersen & Henriksen, 2006; Hiller & Belanger, 2001; Layne & Lee, 2001; Moon, 2002; Siau & Long, 2005; Scott, 2001; West, 2004) – institutional reports (Center for Democracy & Technology, 2002; Grant & Chau, 2005; United Nations, 2001, 2003, 2005, 2008) – private consulting firms reports (Accenture, 2003; Deloitte Research, 2000) • Most available frameworks can hardly be applied to the construction of our CI “Too often composite indicators include both input and output measures. […] However, only the latter set of output indicators should be included if the index is intended to measure innovation performance” (OECD/EC-JRC Handbook on Constructing CIs, p.6)
  • 11. Public eServices CI - our framework - PILLAR Public eServices Composite Indicator ₋ Mobility ₋ Intranet monitoring ₋ Certified e-mail systems ₋ Interoperability ₋ eProcurement ₋ Interoperability & integration ₋ Document & integration workflow ₋ School website ₋ Travel planner ₋ Restricted areas ₋ Info on traffic for information and parking services ₋ Fully interactive ₋ Multi-channel service provision delivery ₋ Interactive ₋ On line payments ₋ Technology on whiteboards didactics ₋ Multi-channel board of public ₋ Repositories of delivery transport documents ₋ Wiki platforms ₋ electronic displays on the street SUB-PILLAR INDICATORS
  • 12. Data sources Domain Statistical units Source eEducation 1,600 schools Between. Survey “Service e- Platforms”, 2010 eGovernment 5,762 municipalities, 100 Italian Institute of Statistics. Survey Provincial governments “Information and Communication and 22 Regional Technologies in Local Public governments Administrations”, 2009 eTransportation 117 local public transport Between. Survey “Service e- companies Platforms”, 2011 Valle d’Aosta and Molise (0,7% of total Italian population) were excluded from the analysis due to poor data quality in the eTransportation survey
  • 13. Basic indicators selection & robustness check of the framework • An initial set of 30 indicators were assigned to each “pillar” (e-service domain) and “sub-pillar” (aspect of innovation activity being considered) • 8 Principal Component Analyses and KMO tests were performed (1 for each sub-pillar) to check the consistency of the framework • We applied the eigenvalue-one criterion [only one eigenvalue should exceed the unity (Kaiser, 1960)] to make sure that indicators in each sub-pillar share no more than 1 underlying dimension • 6 indicators that did not pass this test have been discarded
  • 14. Pillar Sub-pillar code BASIC INDICATORS SELECTED E1.1 Teachers using interactive whiteboard ICT in didactics E1.2 Schools extensively using online text and file/document collections E1.3 Schools extensively using wiki platforms eEducation E2.1 Schools with website E2.2 Schools providing restricted access areas for web-based info services to teachers Online Services Schools providing tools to share training aid files on the web (assignments. audio/video of E2.3 lessons. etc.) ICT and changes E3.1 School information system integrated with the National Educational Information System in internal E3.2 Schools information system integrated with the National Library System organization E3.3 Schools with Intranet G1.1 Municipalities with certified e-mail eGovernment ICT and changes in internal G1.2 Municipalities using e-procurement organization G1.3 Municipalities using document workflow (full case handling) G2.1 Municipalities providing fully interactive services on the web Online services G2.2 Municipalities allowing online payments G2.3 Channels other than the web used to offer public services T1.1 No. of technological systems on board ICT during Cities providing information to travelers about traffic or parking by means of electronic eTransportation T1.2 transportation displays T1.3 Buses with on-board computer ICT and changes T2.1 Cities with data interchange with other entities in internal T2.2 Cities with a managing authority for local mobility organization T2.3 CIties with a mobility monitoring system T3.1 No. of channels used to inform passengers Online services T3.2 Cities that provide information to travelers about traffic or parking on the web T3.3 Cities that offer timetables with route planning (travel planner) on the web
  • 15. Steps for computing CI • What is the relative importance of each Basic Indicator? • How to aggregate the Basic Indicators in order to measure the level of development of each region in eEducation, eGovernment and eTransportation? • How to calculate the final score? • What is the robustness level of the results we obtained?
  • 16. Gathering expert opinion through Budget Allocation (BA) What is BA? Experts are given a “budget” of N points, to be distributed over a number of individual indicators by “paying” more for those indicators whose importance they want to stress. (Moldan and Billharz 1997) (a) Randomly selected from the corresponding authors of 751 top-journal Phases: articles reviewed by Arduini and Zanfei (2011). => 100 papers extracted. 1. Selection of experts for (b) Also included 15 participants at the 1st International EIBURS-TAIPS Conference the evaluation that present papers on eServices diffusion 2. Allocation of budget to An on-line questionnaire was administered. indicators Experts were asked to allocate a 100 points budget within each sub-pillar, so that the 3. Calculation of weights total number of indicators to evaluate is < 4 (Bottomley et al., 2000)
  • 17. Results of BA 100 80 60 40 20 0 T1.1 T1.2 T1.3 T2.1 T2.2 T2.3 T3.1 T3.2 T3.3 E2.1 E3.2 E1.1 E1.2 E1.3 E2.2 E2.3 E3.1 E3.3 G1.3 G1.1 G1.2 G2.1 G2.2 G2.3 Mean Max Min Median No expert consensus on the appropriate set of weights (Mean coef of var among indicators = 0.4426) – High variation / disagreement – No single pair of expert suggesting similar weights We must choose a statistical method to calculate weights, while trying not to waste the information provided by the experts
  • 18. Combining Benefit of the Doubt (BoD) approach with expert opinion • BoD is a method for data aggregation based on Data Evelopment Analysis (DEA) (Melyn & Moesen, 1991, Cherchye et al., 2007) • BoD advantages – objective statistical/mathematical approach – it measures “efficiency” => compares a region’s performance with a benchmark in a multi-dimensional space – the algorithm tends to use those indicators where the region shows better performances • no other weighting scheme yields higher composite indicator value (political acceptance) • reveals policy priorities / past choices • embeds concern for regional diversity • BoD + Expert constraint (Cherchye et al., 2008) – We impose that the use of each indicator is limited by expert opinion. The MIN (MAX) use of an indicator corresponds to the MIN (MAX) weight it has received from the experts
  • 19. Benefit of the Doubt (BoD) approach through Data Envelopment Analysis (DEA) Through DEA we estimate an efficiency frontier used as a benchmark to measure the relative performance of regions Indicator = ratio of the distance between the origin and the actual observed point and that of the projected point in the frontier In our case, CIs of the 3 pillars are the distance from an ideal Source: rearranged from Mahlberg and Obersteiner (2001) case with 100% on all basic indicators
  • 20. Benefit of the Doubt (BoD) approach through Data Envelopment Analysis (DEA) Linear programming problem j indicates the region s.t. indicators weights i indicates the indicator bounding constraint non-negativity constraint (Charnes et al, 1978)
  • 21. The “pie-share” constraint • Applying only the bounding and the non-negativity constraints may allow for extreme scenarios (Cherchye L., 2008) – If a region’s value of one sigle indicator dominates those of other regions, that region will get the max score of 1 even if it has very low values in the other indicators • We introduce a pie-share constraint that incorporates expert opinion (Wong and Beasley, 1990) Li = lower bound = MIN expert weight from BA Ui = upper bound = MAX expert weight from BA
  • 22. Results • In the following slides the resulting scores and ranks from the constrained optimisation are presented • The score: – represents a measure of a region’s efficiency compared to the benchmark (the “ideal case”) – is the sum of the pie-shares of each indicators, that we have grouped toghether at a sub-pillar level (aspect of innovation activity being considered)
  • 23. 0,80 eEducation 0,60 0,40 0,20 - LOM EMR LAZ VEN TOS CAL BOZ SAR PMN PUG ABR MAR LIG CAM UMB BAS FVG SIC TRE 0,50 eGovernment 0,40 0,30 0,20 0,10 0,00 EMR BOZ TOS VEN LOM MAR FVG UMB PMN PUG SIC CAM LAZ LIG SAR CAL ABR BAS TRE eTransportation 1,00 0,80 0,60 0,40 0,20 - BOZ EMR TRE LIG FVG TOS MAR UMB CAM VEN LOM CAL PMN BAS SAR ABR LAZ PUG SIC Online Services ICT and changes in internal organization ICT in didactics (eEdu) or during transportation (eTran)
  • 24. Results per pillar (1/4) scores • The highest variation in the scores can be found in eTransportation domain, while eEducation performances seem not to vary much • eGov results for Lombardy, Piedmont and Province of Trento are lower than expected. – This is probably due to the high proportion of very small municipalities
  • 25. Results per pillar (2/4) rankings • The 3 rankings differ substantially => significantly different regional patterns – Very high variations in the ranking for the Province of Trento and Lazio. Medium-high variation for Lombardy, Calabria, Campania – Other regions show a more homogeneous approach to public eServices development which is characterized by different trajectories of diffusion • High scores for EMR, TOS, BOZ | medium scores for VEN MAR PIE | low scores SIC, BAS
  • 26. Results per pillar (3/4) pie shares Tracing back pillar results through “pie shares” • eEducation - Pie shares are more or less fixed, i.e. all regions use the same “mix” of indicators to maximize their score, under the expert constraint. This is due to quite similar relative values of each indicator and to the specific combination of bounds that experts have imposed • eTransportation – Pie shares are flexible, so each region chooses its own set of weights revealing the areas where investments have been made • eGovernment – intermediate case
  • 27. Results per pillar (4/4) pie shares • Indicators related to ICT diffusion in internal processes and organizational changes have a major role in computing the final score of all public e- services categories (eEdu, eGov and eTra) • The importance of back office re-organization through ICTs has emerged in the literature on the development of organizations, which has emphasized the essential role of skills that characterize the different components of an organizational structure (Fountain and Osorio-Ursua, 2001; Fountain, 2003; West, 2005; Helfat et al., 2007)
  • 28. Final steps to the CI 1. Normalization: MIN-MAX, where MAX is the region with the highest score 2. Final aggregation through Geometric Mean – the marginal gain of an increase in a low score is much higher than in a high score – a region has more incentive to address the dimensions where it is weak
  • 29. Final scores and rank Region CI Rank EMR 0,94 1 BOZ 0,93 2 TOS 0,80 3 VEN 0,73 4 FVG 0,70 5 MAR 0,69 6 LIG 0,68 7 LOM 0,67 8 UMB 0,65 9 CAM 0,63 10 PMN 0,59 11 CAL 0,57 12 TRE 0,53 13 LAZ 0,52 14 PUG 0,52 15 SAR 0,51 16 ABR 0,45 17 BAS 0,45 18 SIC 0,38 19
  • 30. Uncertainty Analysis (UA) • UA is a robustness assessment of a CI (Saltelli et al, 2008) • The uncertainties in the development of a composite indicator will arise from some or all of the steps in the construction line (Saisiana et al, 2004) (a) selection of subindicators (b) data selection (c) data editing (d) data normalization (e) weighting scheme (f) weights' values and (g) composite indicator formula (e) level of aggregation where the methodology applies
  • 31. 12 alternative scenarios (+ baseline) weighting scheme level of the method Aggregation Data normalization DEA Pie shares (min-max S1 BA) domains Geometric No rescaling S2 BA mean weight+EW+EW sub-pillars Additive Minmax S3 BA median weight+EW+EW sub-pillars Additive Minmax Additive, geometric on S4 BA mean weight+EW+EW sub-pillars domains Minmax Additive, geometric on S5 BA median weight+EW+EW sub-pillars domains Minmax S6 DEA Pie shares (min-max BA) domains Additive No rescaling S7 EW - Additive Minmax Additive on pillars and S8 PCA+EW+EW sub-pillars domains Minmax Additive on pillars, S9 PCA+EW+EW sub-pillars geometric on domains Minmax S10 PCA+PCA+EW sub-pillars+pillars Additive Minmax Additive, geometric on S11 PCA+PCA+EW sub-pillars+pillars domains Minmax S12 PCA+PCA+PCA sub-pillars+pillars+domains Additive Minmax Additive, geometric on S13 PCA+PCA+PCA sub-pillars+pillars+domains domains Minmax
  • 32. Results of UA 1.00 0.90 0.80 0.70 0.60 0.50 0.40 0.30 0.20 0.10 0.00 UMB MAR SAR EMR ABR VEN CAM PMN TRE LOM CAL FVG PUG LAZ BOZ BAS TOS SIC LIG Lowest Highest uncertainty: uncertainty: range = 0.367 range = 0.167
  • 33. Differences in rankings compared to baseline scenario Regions S2 S3 S4 S5 S6 S7 S8 S9 S10 S11 S12 S13 S Borda S Condorcet PMN -3 -3 -3 -3 0 -1 -2 -2 0 0 2 0 -1 0 LOM 4 4 4 4 1 4 4 4 5 5 5 3 5 5 BOZ 0 0 0 0 0 0 0 0 0 0 0 0 0 0 TRE -2 0 -3 -3 1 -3 -3 -3 -2 -3 -3 -5 -2 -2 VEN -1 -1 -1 -1 0 -1 -1 -1 -1 -1 0 1 -1 -1 FVG -1 -1 -1 -1 0 -1 -1 -1 -1 -1 -2 -2 -1 -2 LIG -3 -3 -3 -3 1 -2 -3 -4 -5 -5 -6 -6 0 1 EMR 0 0 0 0 0 0 0 0 0 0 0 0 0 0 TOS 0 0 0 0 0 0 0 0 -1 -1 -2 -1 -1 -1 UMB 0 0 1 1 0 1 1 1 -1 1 -1 0 1 1 MAR -1 -1 -1 -1 -2 -1 -1 -1 -1 -1 0 0 -4 -6 LAZ 6 6 5 5 0 4 5 5 6 4 6 6 5 4 ABR 0 0 0 0 0 0 0 0 0 0 0 1 0 0 CAM -3 -5 -3 -3 0 -5 -1 0 1 1 -2 -2 -4 -4 PUG 4 3 4 3 0 4 1 1 2 2 4 5 4 6 BAS 0 0 0 0 0 0 0 0 -1 -1 -1 -1 0 0 CAL 0 1 0 1 -1 -2 0 0 -2 -2 -2 -2 -1 -4 SIC 0 0 0 0 0 0 0 0 1 1 1 2 0 0 SAR 0 0 1 1 0 3 1 1 0 1 1 1 0 3
  • 34. Results of UA • CI final scores based on BoD weights are among the best possible results a region can obtain • Good robustness level, especially for top and bottom ranked regions – 13 regions out of 19 show only a 0/1/-1 shift compared to the median rank
  • 35. Conclusions 1/2 From a methodological point of view – BoD approach combined with BA is an effective way incorporate both regional choices and expert judgment into CI – Geometric aggregation gives higher scores to regions showing a more balanced eServices diffusion among the 3 domains – Uncertainty analysis on rankings shows high robustness levels for top and bottom ranked regions
  • 36. Conclusions 2/2 Main findings and implications from our analysis: – ranking reflects hierarchy of regions in terms of per capita income and industrial development: current development of public eServices does not seem to correct unbalances between regions lagging behind and frontrunners – high heterogeneity in terms of mix of e-service proficiency: need for a regional differentiation of e-service promotion policies ; – there is more cross regional variation in terms of eEducation and eTransportation than in terms of eGov: human capital formation and mobility enhancing are bound to be the real distinctive assets of regions