Data Ecosystem: Expanding Mexico's Business Frontier
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Data Ecosystem: Expanding Mexico's Business Frontier

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Diego Valverde By Diego Valverde | Journalist & Industry Analyst - Wed, 10/23/2024 - 11:40

While transparency and public access to information have long been recognized as critical to fostering social and economic development, significant barriers remain in translating Open Data into actionable insights for effective decision-making, says Adrián Alcalá, Commissioner President of the National Institute for Transparency, Access to Information, and Protection of Personal Data (INAI). 

He highlights a key issue: the inconsistent quality and accessibility of data across various government levels. This fragmentation hampers the potential of Open Data to drive substantial progress in areas such as anti-corruption efforts, disaster response, and financial transparency.

To address these gaps, Mexico's "Open Mexico" strategy, approved in October 2023, lays the groundwork for a cohesive data ecosystem that supports the generation, dissemination, and utilization of Open Data across all tiers of government. By aligning with the General Law of Transparency and Access to Public Information (LGTAIP) and adhering to international standards like the International Open Data Charter, the initiative aims to modernize how data is managed and applied within the country.

At the core of this strategy is the integration of Open Data into decision-making processes, ensuring that data is not only available but also leveraged effectively. Key objectives include fostering the analysis and repurpose of data to promote innovation and more informed public policies. This framework emphasizes the need for accessible, high-quality data that can be used by both public and private sectors to generate meaningful outcomes.

The advantages of open data are extensive, positioning it as a crucial asset in our society and the foundation of effective decision-making. “When digital resources are open and accessible, they can yield significant benefits across various sectors, contingent on their effective application,” says Alcalá.

In the context of natural disasters, for example, open data can pinpoint locations for aid distribution and provide real-time communication. These capabilities have been critical during past earthquakes and could have provided essential support during recent events, such as Hurricane Otis. Beyond disaster response, open data enhances the monitoring of healthcare systems, facilitating the identification of public health challenges and medication shortages. 

According to INAI, leveraging geo-referenced data is essential for combating poverty and ensuring transparency in public spending. The availability of open datasets allows for the identification of vulnerable communities and supports the tracking of government expenditures, ensuring that resources are allocated in alignment with established priorities. By enabling stakeholders to analyze trends and allocate resources effectively, open data fosters a more responsive and accountable public health infrastructure.

For stakeholders to effectively leverage open data, standardization is essential, emphasizes Alcalá. Standards play a crucial role in ensuring consistency, accessibility, and interoperability, which are vital for integrating datasets from multiple sources. By establishing a unified framework, standards allow Open Data to be leveraged for innovation, informed public policies, and compliance with national and international regulations. 

"Standards allow open data to serve as a foundation for innovation and public policy, ensuring compliance with both national and international regulations," said Alcalá.

Among the benefits, standards promote compatibility by providing a common structure that facilitates use of data across different systems and applications, enhance the analysis and comparison of data from various sources, and improve data organization and accessibility, making information more searchable and usable. By enabling the integration of datasets under a cohesive framework, standards ensure that open data can be efficiently reused for multiple purposes. 

Despite the objectives of INAI’s Abramos Mexico initiative to establish a comprehensive National Open Data Policy through collaboration between civil society and the public sector, many governmental entities still struggle to optimize their use of available data. This shortcoming significantly hinders their capacity to conduct in-depth analyses that could enhance public policies and inform business decisions. Adrián Alcalá emphasized this point during the MAICDS 2024, highlighting the urgent need for entities to leverage open data effectively to drive improvements in governance and economic performance.

Main Challenges:

  • Data Quality: Many available datasets lack consistency and updating, which hinders their effective use in analysis and decision-making.

  • Limited Technical Capacity: Both the public and private sectors face challenges in training personnel to manage, analyze, and exploit open data. Without significant investment in training, the potential of data will remain untapped.

  • Culture of Openness: While access to data is guaranteed by law, there is a lack of organizational culture geared towards data-driven decision-making. Without an institutional shift towards transparency and innovation, adoption of these policies will be limited.

  • Insufficient Technological Infrastructure: Interoperability between systems remains an obstacle. Data platforms must be aligned with international standards to ensure greater connectivity and leveraging of information.

In the long term, initiatives like Abramos Mexico and integration with the National AI Plan (PlanDAI) is expected to establish a robust and sustainable open data ecosystem. According to Alcalá, “in the coming years, interoperability and data quality will improve, driving greater multi-sector collaboration between government, business, academia and civil society.” He emphasized the critical role of collaboration in achieving these goals, noting that citizen participation and multidisciplinary teams can enhance the relevance of data and stimulate innovation.

To foster civil participation, mechanisms such as hackathons, social innovation labs, and local open data networks will enable citizens to engage more actively, allowing open data to be utilized innovatively to address social and economic challenges. In addition, the use of geo-referenced data and transparency in public spending will be key areas where open data can generate a transformative impact.

“With a continued commitment to open data, Mexico can consolidate itself as a regional leader in transparency and the use of open data, allowing both the public and private sectors to make more informed decisions aligned with the needs of society,” concluded Alcalá.

Photo by:   Mexico Business

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