e-Frame Handbook : Map for Policy Use of Progress Indicators Emanuele Baldacci

1. e-Frame Final Conference Amsterdam, 10-11 February, 2014 e-Frame Handbook: Map for Policy Use of Progress Indicators Emanuele Baldacci Italian National Institute of Statistics (Istat) Head of the Department for Integration, Quality, Research and Production Networks Development (DIQR)

2. Outline • Moving from measuring to policy use of indicators • Handbook on measuring progress • Structure • Format • Contents • Concluding remarks Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

3. Moving from measuring to policy use of indicators “In this time of crises, when new political narratives are necessary to identify where our societies should go, the report advocates a shift of emphasis from a “production-oriented” measurement system to one focused on the well-being of current and future generations, i.e. towards broader measures of social progress.” (Stiglitz-Sen-Fitoussi report, 2008) The importance of shifting from measurement to policy use and the importance of providing policy makers with ideas and toolson how to use new measures in their policies best (Giovannini, 4th World Forum 2012) e-Frame Handbook on Measuring Progress • coordinated by Istat in partnership with e-Frame Consortium • final version – June 2014 Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

4. Handbook on measuring progress • Map of policy use of well-being indicators • Results emerged from all e-Frame WPs, in particular from workshops, conferences and stocktaking reports + Other EU projects (Brainpool) + EU Agencies (Joint Research Centre, European Institute for Gender Equality) • At the forefront of the debate: • How to support policy use of WB indicators? • How to support evidence-based decision process? • What successful experiences exist? • What are the limitations? Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

5. Structure Introduction Introducing well-being indicators in policy design A. Measuring well-being and societal progress Thematic topics (wealth, income, subjective well-being, human capital, globalisation, environment, etc.) B. Methodologies and tools for measuring well-being and societal progress Cross-cutting topics (composite indicators, indicators legitimacy and stakeholders inclusion, measuring well-being at local level, dissemination and sharing information, etc.) C. Towards an integrated policy framework for better lives Policy-integrated frameworks for well-being: putting well-being at the core of policy-making, examples and challenges Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

6. Format Template for thematic topics 1. Why it is important 2. Which measures should be considered 3. How to use them 4.Uses to date References Template for methods and tools 1. Why it is important 2. Which initiatives/ tools/ references should be considered 3. How to implement/ exploit them 4.Best practices/ recommendations/ future developments References Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

7. What issues are addressed by the Handbook? • e-Frame Roadmap topics: • concern official statistics • are related to a looking-forward perspective • regard the usage of non-official data • deal with the communication side Main suggestions from the handbook: • Relevant measures and indicators for informing policies • Subject areas that need more research investments • Gaps in available statistical information (availability, accessibility, comparability, etc.) • Frameworks and goals • Models needed (embedding well-being targets, looking at interactions between dimensions and across boundaries, managing trade-offs, etc.) • Practical approach: how to use the proposed indicators and uses to date • Wording: easy to understand, not for specialists but addressed to a wider audience • Recommendations for use Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

8. What can be expected from a “Map of Policy Use” • Instructions for the use of progress indicators in policy making • Check list of progress made and practices • State-of-the-art: • Measures not fully developed and measurement of latent factors • Measures currently produced by official statistics but oftenignoredin policy making • Good practices of cases which moved “Beyond GDP” Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

9. Contents: examples of thematic topics (A) Globalisation: trade flows in value-added terms, spillover effects of global value chains, “job content” of trade, environmental impact of trade (A) Intangibles: computerised information, innovative property and economic competencies (B) Material conditions: experiences “adjusting GDP”, “replacing GDP” or “supplementing GDP” (B) Worker welfare and labour markets. Prospects: job security, career progression, contract quality; Intrinsic job quality: discretion, social environment, physical environment, work intensity; Working time quality: including work duration, and short-term flexibility (C) Subjective measures. Holistic assessments to understand the drivers of well-being; possible cost/benefit and cost/well-being analyses (C) Environmental indicators: Ecosystem integrity; integrated environmental-economic accounting; indicators of environmental policy Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

10. Contents: examples of tools and methodologies Stakeholders: all relevant actors, including “hard-to-reach groups”, media Composite indicators: needed, but with due caution Local level: from local definitions of progress to Small Area Estimates ICT tools: from visualisation tools to Web 3.0 Advanced training: to enhance communication at all levels Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

11. Contents: a policy-integrated framework • Key challenges: • Which specific goals should a policy maker pursue? • How should scarce resources be prioritised? • How to manage trade-offs between different dimensions of well-being? • How to analyse interrelations between different dimensions? • Policy-integrated framework for well-being • Conceptual framework for well-being • Indicators of changes in the relevant outcome measures • Specific process for assessing policy in well-being terms • Targets: • Alignment of outcomes • Analysis of policy options and their consequences • Accountability for results Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

12. Concluding remarks • Still limited policy applications • Importance of settings to assess policy impacts • Need for a conceptual framework to link inputs, outputs and outcomes • Need to find the right balance between comprehensiveness and simplicity (e.g. New Zealand Treasury approach) and between analytical measurements and summary indicators • Focus on shared narrative on well-being and progress • Further research on indicator causal maps and modelling Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013

13. Thank you for your attention Contacts: baldacci@istat.it www.eframeproject.eu Emanuele Baldacci. e-Frame Handbook on Measuring Progress.Amsterdam, February 10th – 11th 2013