How your business will benefit from "knowledge economy"

Monday 19 October, 2015 | By: Catherine Pham | Tags: knowledge economy, dsiti, information;

The State Government’s Department of Science, Information Technology and Innovation (DSITI) wants Queensland to become a “knowledge economy”.

First of all, what does that even mean? And secondly, how will small business benefit?

CCIQ’s Policy Advisor Catherine Pham attended an industry workshop held by Deloitte Access Economics, who have partnered with DSITI to discuss their research study around this topic. At the top of the agenda was how to define what exactly is a knowledge economy.

CCIQ favoured the definition of a knowledge economy put forth by the Asia-Pacific Economic Co-operation which is:

“A knowledge-based economy is an economy in which the production, distribution, and use of knowledge is the main driver of growth, wealth creation and employment across all industries.”

Essentially, a knowledge economy is the use of knowledge and adopting innovation to better produce goods and services. The growth of the knowledge economy will gradually transform the way that we do business and how we live our lives for the better. This means that the economy grows, new jobs would be created, and people are more connected than ever before.

As Queensland looks to transition into a knowledge economy, businesses are set to benefit for a number of reasons.

Where your business is located will become of lesser importance as technology can offer benefits of speed and agility, of around the clock operation and global reach. Furthermore, knowledge-enhanced products or services can command price premiums over comparable products with low embedded knowledge.

These examples are just a couple of ways that the knowledge economy can improve business productivity and outcomes. Collectively, our competitiveness will increase and possibly rival other leading countries who are transitioning into a knowledge economy themselves.

The next steps for the department is to collate the views of industry to establish a baseline for future policy development for Queensland Government strategic investment decision-making.

CCIQ will remain involved in the development of the whole-of-government policy program to ensure businesses can take advantage of the future opportunities.

We believe that Queensland must move into a knowledge economy as a matter of sustainability.

The economics of a knowledge economy is not of scarcity, but rather of abundance.

This type of resource cannot be depleted when it is being used – information and knowledge can be shared and actually grow through application.