The Scheduled 2011 Economic Census in Korea

1. The Scheduled 2011 Economic Census in Korea 6 July, 2009 Lee, Tae-sung DirectorGeneral, Economic Statistics Bureau The Korea National Statistical Office

2. 1. Opening Remarks □ Thank you for coming from afar to participate in this workshop. □ It is my pleasure to meet so many statistical experts at this event. □ I appreciate this opportunity to report on the KNSO's preparation for the 2011 Economic Census.

3. 2. Background Information on KNSO’s Economic Census □ Two different censuses have been conducted every 5 years. • - Industrial census: years ending in 3 and8 • - Service industry census: years ending in 0 and 5 □These censuses did not cover all industries. - Sectors including agriculture, fishing, construction, transportation were excluded. It is difficult to analyze the overall industry structures based on the same reference years.

4. □ The Korea Development Institute recommended the introduction of the Economic Census. (Dec. 2003) • - Unification of reference years and standardization of survey items □ KNSO decided to conduct the Economic Census. (May 2007) • - KNSO abolishedtwo previous censuses. • - The Census will be conducted in 2011 after thorough research and preparations from 2007 to 2011.

5. 3. Status of Preparation for the Economic Census in 2011 (1) Basic Plan □ The Census covering all industries will be conducted every 5 years. (years ending in 0 and 5) • - Sectors including agriculture, fishing, construction, transportation • that were excluded from the previous censuses will be included. ․ Among KSIC(21of sections), T(employment activity in household, etc.) and U(international and foreign organization) will be excluded. □ Increase the comparability and the usage of industrial structure statistics by unifying the definitions and classifications • ex) Definition of employees, reference time for estimating the number of employees, etc.

6. □ To minimize the response burdens through expanding the use of administrative records i.e.) Electricity, gas, water supply, education, etc. □ To complete the Economic Census thorough preliminary preparation - find out possible problems⇒remove the drawbacks for successful census

7. <Reference> Major Procedures for the Economic Census Step 1. Survey planning - Establishment of basic schedules - Maintenance and organization of establishments - Selection of enumeration items questionnaire design - Pilot survey and rehearsal survey - Securing the budget - Approval for compiling statistics and enactment of regulation for the economic census - Setting up the enumeration district - Survey system and mobilizing manpower - Uses of administrative data - Publicity Campaign - Setting up the survey foundation by e-census integration system Step 2. Conduct of the main survey - Survey methodology - Field survey and survey advice Step 2. Conduct of the main survey - Survey methodology - Field survey and survey advice Step 3. Data processing - Data entry (by the Intelligent Character Recognition, ICR) - Electronic editing and  summarization of survey results Step 3.Data processing - Data entry (by the Intelligent Character Recognition, ICR) - Electronic editing and  summarization of survey results Step 4. Data analysis and release - Level analysis - Publication of survey results (quick publication and final publication) Step 4. Data analysis and release - Level analysis - Publication of survey results (quick publication and final publication) Step 5. Post-Evaluation report

8. (2) Progress in Preparation -As of 6 July 2009 2007 • - Compiled both domestic and overseas data • Conducted a research on methodologies of • conducting the Economic Census(by KIET) 2008 • - Held meetings with experts and conducted thorough • reviews • Established basic schedules for the Economic • Census(Oct.) • - Conducted the 1st pilot survey(Nov.) 2009 • - Operating the T/F team • * To review major issues such as questionnaire design, data collection, use of administrative data, data processing methodologies • * Conducted the 2nd pilot survey (June) • * Data processing and data analysis are underway. • - Approximately $50,000,000 reflected on the mid-term budgeting plan

9. Lessons Learned in the Preparation of the Census • □ The establishment lists should be revised thoroughly prior to the field survey. • - Reflect establishment changes in suspending, closing and transfer, newly opening on the business register • □An easy-to-understand questionnaire for respondents and case-oriented training program for surveyors is needed. • - Guidelines and case-oriented manual for enumerators • * Actively reflect demands in statistics from users

10. □ Expand use of administrative data to reduce the response burdens and expenses • - The number of small establishments with employees less than 4 is 84%of the total. • □Set up clear correlation between the census conducted every 5 years and annual surveys • - Differentiation of the size of coverage, survey items and survey methodology • □New methods to survey for headquarter and branch offices • - Both headquarters and branch offices are surveyed • →If the headquarter is available to provide the business records of • branch offices with enumerators, the headquarter conduct • a collective survey of branch offices.

11. (3) Future procedures □Organization and maintenance of business establishments • - Since 1994, the KNSO has conducted the National Census of Establishments. • ․ Location, industrial classification, number of employees • ․ Enumerated by local governments • - Revised the establishment using the survey results from the National Census • of Establishments and all kinds of administrative records. • - Finalize the establishments list through setting up the enumeration districts • (Feb. 2011) in April 2011

12. □Selection of survey items and questionnaire design • - Reflect the demands of policymakers and businesses • - Make the questionnaire easy and convenient for both enumerators and • respondents. □Conducting the pilot/rehearsal survey • -Conducting the 3rd pilot survey: October 2009 •   ․ To review possibilities of data collection on new enumeration items requested by • statistics users, data collection by industry, and data processing methodology and • uses of administrative records • - Conducting the rehearsal survey (from May to July 2010) •  - Questionnaire design, approval of compilation of statistics and establishment • of regulations of the Economic Census

13. □ Uses of administrative data • - In cases where administrative data is available, it replaces census • data • ․ Electricity, gas, water supply, education, etc. • - Expand use of tax data from the National Tax Service □ Publicity campaign - Activities through local governments, various institutes, respective divisions • - Official documents for publicity campaign will be forwarded to • business establishments prior to the field survey.

14. □ Survey Methodology • - Interview survey : 20,000 enumerators, 3,300,000 business establishments • for interviewing survey (employed by local governments) • - Administrative records and Internet survey will also be used • ․ survey items : organizational type, industrial classification, number of • employees, etc. • - Industrial characteristics related items : both conduct the census and sample • survey • ․ establishments with more than 5 employees : census • ․ small business establishments with less than 4 employees : sample survey • - In cases in which a headquarter is able to enumerate data on the business • records of branch offices, the headquarter will conduct the collective • enumeration for branch offices.

15. □ Setting up the survey infrastructure and data processing • - Development of E-Census integrated system • ․ covers all procedures of enumeration such as enumeration management, • Internet survey, data entry in the field, electronic editing, summarization of • results by one system • - Data entry(WEB →ICR) • ․ reduces the time spent and errors in data entry □ Dissemination of the Census results • - Timely publish provisional results on major items in Dec. 2011 and publish • the final results in May 2012 □ Publication of the post-evaluation report • - Summarize all the problems and feasible improvements presented • during the 2nd Economic Census and will be reflected on the next census

16. 4. Provisional Advantages of the Economic Census □ Increases the synergy effects in utilization of statistical data • - Industrial structure analysis on overall industries • - Comparative analysis between industries during a certain time period □ Widely serves as basic data for various statistical survey, estimating GDP, etc. □Avoids duplicated enumerations and reduces the response burdens and expenses

17. 5. Closing Remarks □ It is my hope that the presentation and debate during the workshop period will help the KNSO better prepare and carry out the 2011 Economic Census. □ There is an urgent need for benchmarking the NSOs with ample experiences in the field such as USA, China and Japan □ I hope this workshop will assist inexperienced countries with the preparation and development of its Economic Census.

18. Thank you