SCM, standard cost model, administrative bruden, european union, EU, EU policy, Brussels
Reducing unnecessary administrative burdens caused by national and international legislation.
The reference model adopted is the Standard Cost Model (SCM) developed in the Netherlands.
The challenge is to find a right balance.
[...] For instance you cannot find the costs for the time used on filling in forms to get a licence in a company's bookkeeping system. Although such an activity is quite costly for businesses. In the Netherlands alone, all the paperwork companies have to deal with government that costs them 16.4 billion euro a year. This corresponds to of GDP In Denmark the total amount of administrative burdens amount to approximately 4.5 billion euro, equivalent to of GDP. That's why it is important that governments focus on reducing administrative costs for businesses. How to reduce administrative burdens? [...]
[...] Compared to other methods (surveys), the SCM is more action-orientated. The results from the SCM measurements are directly applicable to governments' simplification work, in that the results show the specific regulation in details and which regulations/part of a regulation that are especially burdensome for businesses. Furthermore the measurement also shows which regulations or part of a regulation that businesses find especially irritating/onerous. What are the biggest challenges in a SCM measurements? Carrying out SCM measurements can imply some challenges. One of the most common challenges is determining the population (usually the number of businesses affected by a given regulation). [...]
[...] So what do we do? A-B-C Option keeping the classification as it is Option classification, Category A defined by the Commission Option adopting the EU SCM's four categories, with definition of Category ‘EU' by member states Option (same as 3 but) with definition of the ‘EU'category by the Commission Option with definition and measurement of the ‘EU' category by the Commission Database interoperability -Bottom-up approach -Top-down approach a top-down approach would ensure a greater level of consistency. Summary of main findings the Commission identifies all the IOs/DRs generated by the acquis. [...]
[...] To facilitate the obtainment of this overall target, the Commission proposed a 25% reduction target specifically related to EC legislation and its implementation measures. This specific target will be differentiated across the priority areas once the measurement is finished. MS should set similar targets at national level by October 2008 to be completed by 2012. < number > Why? Reducing unnecessary administrative burdens caused by national and international legislation. The reference model adopted is the Standard Cost Model (SCM) developed in the Netherlands. The challenge is to find a right balance. Why focus on Administrative Burdens? [...]
[...] They can help identify which burdens provide the largest irritation factor for businesses or areas which businesses find inappropriate or difficult to comply with. The results so far In the Netherlands the SCM approach resulted in reduction plans which count up to a € 4.1 billion reduction of administrative burdens in 2007. The first results in Denmark show similar percentages of identified reduction possibilities within selected areas measured with the SCM. Why is the SCM method preferable to other methods? [...]
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