Contributions of Information and Communication Technology in the Public Sector: the Case of the Ethiopia Commodity Exchange
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Date
2014-05
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Addis Ababa University
Abstract
The main objective of this case study is to investigate the contribution of
Information and Communication Technology (ICT) to the public sector, with a
particular emphasis on the Ethiopian Commodity Exchange. The study
evaluated the how ICT application of the Exchange support its various
operations and its clients. Descriptive case study research method is used, and
it applied questionnaires and interviews as a data gathering instruments. Data
were acquired through questionnaires to evaluate the contributions of the
application of ICT in the ECX since its formation in 2008, and opportunities
and challenges it created to commodities exporters. In addition to this,
interview guides were prepared and interviews were conducted with ICT/IT
department of the exchange and the Ministry of Communications and
Information Technology senior ICT officer. In the meantime secondary data
analysis conducted to investigate the contributions of ICT to the exchange‟s
operations since its formation in 2008. The research adopted mainly qualitative
data analysis. The application or introduction of intensive ICT technologies in
the Ethiopian commodities market is a new and recent experience. It has not
been explored academically and the researcher considered this as a major
research gap. Hence, in this research I explored what contributions and
changes the ECX brought to the county‟s commodities sectors. The
Government of Ethiopia is the owner of the ECX, and it is established as public
enterprise in 2007 under the proclamation No. 550/07. In this research paper
the theory of E-Government and E-Governance along with economic theories
that justifies the need for institutionalized exchange formation were also
assessed. In the context of this study ICTs was found to be contributing
significantly to the Ethiopian commodities market in its application of various
technological ICT support systems that facilitates the daily transaction
activities of its own and exporters various operations, ICT also enhanced
decision-making capacity, and create an opportunity for a smooth and faster
clearing and settlement of transactions. The most common perceived barriers
felt by exporters are the exchange‟s website was not user-friendly, unable to
know the stock positions at the exchanges‟ hand, frequent communication
breakdown and interruptions, and increased operational costs are among the
few to mention
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Keywords
Ethiopia commodity exchange