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This paper is complementary to more general information papers ANZSIC 2006 Implementation (cat.no.1295.0) and Update on ANZSIC 2006 Implementation (cat.no.1295.0.55.001) which outlined plans for the integration of ANZSIC 2006 across a range of statistics produced by the ABS.
The background to the development and implementation of Australian and New Zealand Standard Industrial Classification (ANZSIC) 2006 (cat.no.1292.0) is discussed in detail in the Information Paper Update on ANZSIC 2006 Implementation (cat.no.1295.0.55.001). ANZSIC 2006 improves the currency and relevance of the classification of ABS data by industry and maximises the global comparability of Australian industry statistics by better alignment of the industrial classification framework with international standards.
The program for implementing ANZSIC 2006 into ABS industry statistics was developed to facilitate the release of the Australian National Accounts (ANA) on the new basis from late 2009. The change for the Quarterly Business Indicators Survey to ANZSIC 2006 is part of a co-ordinated program of changes for statistical collections which supply data to the National Accounts.
INCLUSION OF NON-EMPLOYING BUSINESSES
The inclusion of non-employing businesses which contribute significantly to economic activity is a change in the design of the Survey aimed towards more complete coverage of the economy with respect to measurement of business indicators.
The non-employing businesses added to the frame for the Survey have been included according to the significance of their turnover relative to the industry in which they operate. Specifically, these businesses were measured by their turnover for Business Activity Statement (BAS) purposes, which was compared to total BAS turnover for the industry.
There remains a substantial number of business units operating under an Australian Business Number which are considered 'micro non-employers' and are not included in the Survey as it is considered that their contribution to business indicators would be insignificant.
UPDATED SIZE VARIABLE INFORMATION FOR BUSINESSES ON THE SURVEY FRAME
Information pertaining to the size of each unit on the ABS frame of businesses that is used across economic collections is an important design parameter for stratification purposes. A measure for employment is used for ABS economic surveys in this respect. There are weaknesses to using a count of a business' employees so a Derived Size Benchmark is calculated from information available to ABS through the Australian Taxation Office Business Activity Statement data.
As part of the suite of design changes being implemented from September quarter 2009, the Derived Size Benchmark for each unit on the ABS frame of businesses has been updated according to newly available information and a refined methodology. This has improved the Survey frame by making the categorisation of businesses by their size more representative of their economic contribution. In turn, this leads to more effective representation of selected units for others in each sample stratum. This new size variable is termed Stratification Derived Employment Size (SDES).
COMPLETE ENUMERATION OF UNINCORPORATED JOINT VENTURES
A further change to the frame definition and sample design for the Survey is the complete enumeration (that is, selection of these units with certainty and with a sample weight of 1) of Unincorporated Joint Ventures (UJVs) which contribute significantly to economic activity.
Previously, not all UJVs on the survey frame were selected in each quarter of the Survey. The decision to completely enumerate significant UJVs minimises an area of risk in terms of the sampling error on survey estimates.
CHANGES UNDER STANDARD ECONOMIC SECTOR CLASSIFICATION (SESCA) 2002
The Standard Economic Sector Classifications of Australia (SESCA) (cat.no.1218.0) are a suite of classifications which are applied to institutional units. The main driver for the review of SESCA was the implementation of System of National Accounts 2008 (SNA08). The first SESCA classification reviewed was the Standard Institutional Sector Classification of Australia (SISCA).
The following changes were made to SISCA following the review:
The ABS made a commitment to users to implement the changes stemming from SNA93Rev.1 to coincide with the introduction of the new industry classification, the Australian and New Zealand Standard Industrial Classification 2006 (ANZSIC 2006), in order to avoid having two significant changes to statistical outputs within a short period of time.
Changes under SESCA 2002 (cat.no.1218.0) will have a minimal impact on business indicators estimates and are described for completeness in the description of all changes impacting the Survey.
IMPACT ON TIME SERIES
The changes described in this paper, being introduced for the Business Indicators Survey commencing September quarter 2009, will have statistical impacts on survey estimates. The comparability to published time series of business indicators are affected.
These impacts are being managed for users by the production and release of revised historical series which align past published estimates to the estimates including these statistical changes. Published series, including tables available on www.abs.gov.au are being revised from the inception of each series.
METHODOLOGY FOR BACKCASTING SURVEY ESTIMATES
Data has been collected from a parallel sample of units on the new frame and sample design basis through March and June quarters 2009. The parallel sample was a separate but overlapping survey sample. Parallel estimates have been compiled and analysed but not published through March and June quarters 2009. This has enabled the measurement of statistical impacts. These data will be used to backcast the new estimates to create revised historic series.
The ABS constructed historical ANZSIC 2006 base series for the quarters from September 2006 to December 2008 at the industry division level and subdivision level. This process, referred to as post-stratification, involved allocation of survey data collected under the ANZSIC 1993 industry classification survey design to the ANZSIC 2006 industry classification basis. Information for both ANZSIC codes was available on the Australian Business Register for units in the Survey in the ten quarter period from September 2006 to December 2008.
Proration of data was used to extend each historic base series back to the commencement of each ANZSIC1993 series. The ten quarters of data available measuring the distribution of ANZSIC1993 series data to the ANZSIC 2006 series was the basis for calculating proportions to be applied this process.
The next step was to measure the statistical impacts on each Business Indicators Survey base series, following the changes introduced in the parallel survey for the March and June 2009 quarters. These impacts were the difference between the actual series based on the parallel survey estimates and the survey estimates for the March and June 2009 quarters constructed according to the same parameters as the historical base series. The difference in the level of these two series, termed the statistical impact, has been backcast in the ANZSIC2006 historical series.
The aim of the above process was to create a time series of estimates on an ANZSIC 2006 basis as continuous and comparable as possible and to maintain, as far as possible, the integrity of the period to period seasonally adjusted movements. This has been achieved at the Australia and broader industry and state levels but the process can result in some volatility at the more detailed state by industry division level.
Estimates for March and June 2009 quarters are based on the actual ANZSIC 2006 Business Indicators Survey conducted for these periods and do not incorporate backcast data.
The respective impact of individual design changes can not be identified quantitatively for users. Estimates on the basis of ANZSIC1993 industry classification and net of the various changes described in this paper will not be available for the reference period September quarter 2009 or later.
Changes described in this publication to the frame and sample design and outputs for the Business Indicators Survey will be implemented commencing with the release of September quarter 2009 published outputs for the Survey.
The publication Business Indicators Survey (cat.no.5676.0) and associated data products available through www.abs.gov.au are scheduled for release on 30 November 2009.
KEY CHANGES TO OUTPUTS
Changes to published outputs for the Business Indicators Survey are available in the Downloads tab where a mock publication of September quarter 2009 is available.o published outputs for the Business Indicators Survey are available in the Downloads tab where a mock publication of September quarter 2009 is available. The main changes to the format are that there is no longer an 'Other selected industries' category and all ANZSIC 2006 divisions are listed in the publication where applicable. The other main change is that Inventories is now Tables 1-3 and Sales of Goods and Services Tables 4-8. All published tables have been reproduced without data, incorporating any changes to the format and design, commencing with the September 2009 publication Business Indicators Survey (cat.no.5676.0).
Changes to time series spreadsheets which are published electronically on the ABS web site are available in the Downloads tab where mock Time Series Spreadsheets of September quarter 2009 are available.
For information concerning changes to the Business Indicators, described in this Information Paper, please call Didier Rivet on (02) 9268 4900 or email <email@example.com>.
For more information on the ANZSIC 2006 and its implementation across a range of ABS statistics, please contact Celia Quiatchon, ANZSIC Implementation Manager, on telephone (02) 6252 5604 or email <firstname.lastname@example.org>.
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