The Nature of Information and Systems

Using IT for cost saving in social welfare sector
under budget pressure in Hong Kong

Abstract

The focus of this study is to assess and enumerate the advantages of using Information Technology strategies for increasing the advantage of an organisation. The main problem of the study is to find out how IT has affected the development of Social Welfare Sector in Hong Kong and how they have used these for their advantage. It has been identified that information technology is one of the key factors for the development of different organisations around the world and has largely contributed to the different aspects of business strategies.

The study utilised both the quantitative and the qualitative research methods which takes advantage of both the descriptive and statistical uses of the study. At the same time, both the primary and the secondary resources were used although emphasis was placed on the use of the primary resources. The random sampling was used for the selection of respondents and the tool used for gathering information were the interviews and questionnaires, which was distributed to 200 respondents; out of these, 124 returned the questionnaires, an acceptable number for the correlating assessment of the data. The interviews were done for follow-up questions that needed to be asked to specific respondents. The area of study is limited to the organisation within the location that utilises information technology and was selected randomly.

The findings of the study shows that many of the staff within the organisation has high regard for the importance of information technology and to the development of information technology which has contributed to the strategies used by organisation to advance their competitive abilities. Information technology has also been used for the advancement of the success of an organisation. Moreover, social welfare organisations apply one or more IT systems in order to handle multiple operational areas and thus they are supporting the continued development of information technology. The conclusion has thus found that IT is indeed an important factor for the success of an organisation. IT is also viewed to be one of the significant keys cost reduction. In addition, IT applications benefit social welfare organisations other than reducing costs. The results of the survey and interview indicated other important benefits of IT applications in the social service industry, which in general, are helpful in enhancing the efficiency of public service organisations. However, the study found out that there are certain requirements to be met in order to apply information technologies effectively. Finally, the study identified the importance of the principle of project management in IT application to social welfare organisations.

Keyword List

Social welfare, Social service, Information Technology (IT)

Acknowledgements

Plagiarism Declaration

Table of Contents

Title

Page

Abstract

Keyword List

Acknowledgements

Plagiarism Declaration

Table of Contents

List of Tables

1 Introduction

1.1 Background Outline

1.1.1 Concept of Information Technology

1.1.2 Kong’s Social Welfare Sector

1.1.3 Information Technology and the Social Welfare Sector

1.2 Problem Theme

1.3 Aim and Objectives

1.4 Significance of the Study

1. 5 Scope and Limitations

1. 6 Research Outline

2 Literature Review

2.1 Impact of IT to different Sectors

2.1.1 IT and Business Sector

2. 1.2 IT and the Government

2.1.3 IT and the Health Sector

2.1.4 IT and the Education Sector

2.1.5 IT and the Tourism and Leisure Sector

2.2 IT and Social Services

2.2.1 Application Strategies

2.2.2 Status in Hong Kong

2.2.3 Effects

3.1 Research Methodology

3.1.1 Overview

3.1.2 Method

3.1.3 Approach

3.1.4 Sample and Participants

3.2 Data Collection

3.2.1 Survey

3.2.2 Interview

3.2.3 Ethical Considerations

3.2.4 Data Processing

4 Result Discussion and Presentation

4.1 Results

4.1.1 Interview Results

4.1.2 Survey Results

4.2 Analysis

4.2.1 Strategies

4.2.2 Effects

4.3 Project Outcome

5 Conclusion

5.1 Summary

5.2 Conclusion and Implications of the Study

5.3 Achievement of Project Aim and Objectives

5.3.1 Project Aim

5.3.2 Project Objectives

5.4 Future Development and Recommendations

References and Bibliography

Appendices

Appendix A: Project Specification

Appendix B: Project Plan

Appendix C: Interview Schedule

Appendix D: Questionnaire

Appendix E: Contribution of Voluntary Welfare Agencies in Hong Kong (2006 Estimation)

List of Tables

Table 1 The IT tools that are used by the respondents

Table 2 The Areas that are using IT

Table 3 The reason for applying IT

Table 4 The Planning and Implementation Techniques

Table 5 The Common Problems in IT implementation

Table 6 The Problems encountered during IT implementations

Table 7 Problems in meeting the organizations’ requirements

Table 8 The Advantage of IT

Table 9 Affects of IT to the Social Welfare Providers

Table 10 Effects of It to the Social welfare providers

Table 11 The impact of IT in Improvement of Public Service Delivery

Table 12 Negative Impact of IT to the Social Welfare Industry

Table 13 & 14: Section 1 and 2 Survey Results

35-36

1 Introduction

1.1 Background Outline

1.1.1 Concept of Information Technology

Information Technology Association of America (ITAA) defined Information Technology (IT) as the study, design, development, implementation, support and management of computer-based information systems, particularly software applications and computer hardware. (2007) defined IT as the way of processing data through the use of technologies from computing, electronics and telecommunications to distribute into digital and other forms. The use of IT worldwide has helped many private and public sectors to develop and improve their systems.

The growing significance of creating, processing and management of information has been highly prioritised by most economies worldwide. Perhaps, this transition of resources from the traditional productive activities of industrial and agricultural workers to the handling of information of white collar workers represents one of the major changes of the century. The adoption of information technology is one of the related changes that has transformed to how modern businesses and work activities are conducted.

1.1.2 Hong Kong’s Social Welfare Sector

The social welfare sector is made up of government departments, non-government organizations (NGOs) and members of the private sector that are willing to serve the general public. The main targets of the said sector are those people that are facing difficulties in education, health, economy, social relations and other similar reasons. It also serves to the people who have been affected by natural calamities or disaster like typhoons and earthquakes. The aim of this sector is to provide some form of assistance and opportunities for community members who are in need. Social workers typically would provide fund assistance, education, counselling or emergency feeding for affected individuals.

According to (1998), social welfare in Hong Kong is based on the premise that society has an obligation to assists its member to overcome personal and social problems and to fulfil their role in life to the optimum extent in accordance with the particular social and cultural circumstances of their society. In particular, it recognizes a responsibility to help its disadvantaged members to attain an acceptable standard of living. The extent to which society can meet its obligations and the way in which it does so depends very much on its system of values and the resource available (). (1998) also stated that the programs of the country was designed and developed with cognizance of the innate local values of concern for the family, commitment to self-improvement, self-reliance, mutual support and generosity, reluctance to be dependent upon welfare, high respect for social order and a combination of ingenuity and resourcefulness ()

The background provision of social welfare sector in Hong Kong is very low in comparison to countries with a similar per capita gross national product (). But like the social welfare sectors of most of the countries in the world, there are many groups that are contributing towards the provision of their social welfare services, such as government, different organisations, charitable bodies, religious groups, clansmen associations, employers and a lot more. But the main providers are the Social Welfare Department (SWD) and social welfare agencies (1998).

Like any other countries such as the Philippines, Hong Kong’s social welfare sector is also getting some of its funds from the Lottery and casinos. There are also non-governmental organizations that are helping their citizens in financial and emotional aspect.

1.1.3 Information Technology and the Social Welfare Sector

According to (2000), the increasing availability and application of IT will continue to affect social welfare and social welfare administration in a variety of ways, including how clients access services, how social welfare professionals perform their functions and how clients and social welfare professionals interact ().

IT enables social welfare professionals to perform client interviews, case planning, counselling, home visits and monitoring and evaluation activities via the use of cell phone, e-mail, fax, video conferencing and the Internet (Patti, 2000, p. 62). It also helps to decrease the lag time in social welfare technology sharing. All the new information, ideas, programs and lessons learned by social welfare agencies in one place of the country will be instantly shared with social welfare agencies in other place.

In the Hong Kong setting, a number of social service organisations have also been established to serve the locals. However, similar to other business organisations, agencies within the social welfare industry also go through operational difficulties such as increasing number of targets to serve inadequate resources as well as growing budgetary needs. All in all, the factors affecting the social welfare industry require the employment of means that would promote cost-effective operations. One of these important strategies is the application of information technologies. There had been social welfare organisations in the country that had applied this strategy; however, further studies would have to confirm its efficacy as well as its process of implementation.

A number of international governments have already realised the role of IT in the social service industry. In one of the world summits organised by the United Nations, the application of information and communication technology (ICT) in public service delivery had been discussed (2005). In particular, international governments who had been part of the said gathering had stressed the importance of applying technology not only in improving the delivery of public services but also in alleviating some of the major issues being encountered by most global nations today, such as poverty. In the summit, the eight countries who have attended the gathering expressed their plans on how IT application will be enhanced further for the delivery of most government and social services.

Specifically, the nations who attended the summit intended to use ICT in order to create better disaster and poverty management efforts, education-oriented programs as well as employment and health services. The attendees also discussed how IT was currently applied in their respective countries within the public service industry. Most of the governments have cited that IT has already been used by their social service organisations to improve public information dissemination on health, job offers, disaster relief operations and government programs (2005).

1.2 Problem Theme

The utilisation of information technology in other work sectors and its benefits had long been discussed in literature as well as recognised by various companies. However, the application of technology is not as widespread in the social welfare sector as compared to business industries. This then raises the concern whether IT application has the capacity to improve the operations of groups delivering social services, or whether this will only lead to complications. Naturally, workers and organisation under the social welfare sector would want to improve the services that they provide as well as reduce cost of operation. It is then essential to find out whether this strategy will work in this sector and how this will be applied to achieve successful outcomes.

1.3 Aim and Objectives

This study aimed to determine the specific IT strategies that can increase the effectiveness as well as reduce the operating costs in the social welfare sector. This study was conducted in order to achieve the following objectives:

l To evaluate the current practice of IT usage in social welfare sector.

l To identify and examine the problem found on the real work.

l To make recommendations for a strategic plan for further IT implementation.

l To recommend a solutions for save budget and increase efficient.

1.4 Significance of the Study

Considering the growing demand within the social welfare industry, social service organisations are in need of maximizing its resources in order to operate successfully. One of these important resources is the application of information technology. By means of conducting this study, how technology can assist social service organisations in overcoming its operational issues can be of benefit to the head operators of the industry. This study may also be of significance to agencies that are yet to employ IT systems in their operations. This research can provide an overview or background as to how IT can be of use to the delivery of social services. Most importantly, the increased awareness and interest of the social service agencies on the application of IT will directly benefit the public by receiving more efficient services from the government and other social welfare organisations.

1.5 Scope and Limitations

This study was conducted in the attempt to identify the specific strategies used for IT application within the social welfare industry in Hong Kong. The research covered topics on the use of information technology on the delivery of social services, particularly on its effect on reducing operational costs. The discussion and findings of this research mainly focuses on the status of information technology application in Hong Kong and its social welfare organisations. Information used to answer the research question of the study was derived from both primary and secondary resources. The primary source of data were drawn from the survey questionnaire and semi-structured interview prepared by the researcher. The respondents of the study were randomly selected from different Hong Kong-based social welfare organisations and are working as social workers or employees. The secondary sources of data on the other hand, were taken from published books, journal, magazines as well as online sources discussing the application of information technology and its effect to social welfare organisations. As this study will be utilizing a small sample of participants, the results may not effectively represent the general population. Due to time, budget and effort constraints, this study will be conducted over a limited period of time.

1.6 Research Outline

The entire study is divided into five chapters. The first chapter presents the background of the study, the objectives, research problem and its significance. In the second chapter, literatures and published documents pertaining to information technology, its effect on the social welfare industry and the strategies used for its implementation within the industry are discussed. The research methodology used for this study is discussed in chapter three. Specifically, this chapter focuses on the description of the participants, sampling technique and the research instruments utilised in the process. In chapter 4, the results of the survey and interview are presented. Literatures supporting the findings of the study are also integrated in the discussion section of the chapter. Finally, the fifth chapter summarises the findings of the research; significant conclusions as well as appropriate recommendations are also included in the final chapter.

2 Literature Review

Information Technology indeed helps different sectors and industry in the world. Application of IT is considered as the greatest competitive advantage of any organization and business in the world. It is also consider as a great weapon against the growing market and competition in the world. There is no doubt that modern IT has truly helped to shrink the globe, united different economic, cultural and technical elites and set in motion certain developmental engine that has a significant implication for the health of each country ( 1999). Using its principle of combined telecommunications and computations to obtain, process, store, transmit and output information in any form like voice, pictures, words and numbers. IT has number of ways in supporting different activities and operations of different work sector and different industries all over the world. The use of the said technology has helped many private as well as public sectors in developing and improving their systems.

Information communication or the process of transferring data and information from one location to another with the use of a transmission medium is one of the most important benefits brought about by IT. E-mail is the primary and well known technology using the Internet that helped scientist and researchers who are working on government-sponsored projects to communicate with colleagues who are located in other places. As of today, e-mail has been the primary communication tool that is used for business and personal used.

Another important use of information technology to most work sectors is information retrieval. This feature pertains to the recovery of data stored in particular storage medium. At present, the availability of computers and various information systems help in making information retrieval less tedious and time-consuming. Aside from making the sending and receiving of information easier, information technology had also aided in making production faster. For instance, computers are now being used in several institutions and companies to do certain jobs, which people may not be capable of doing or may be too dangerous for them to handle.

With the materialisation of computer technology, the preparation of invoices, issue checks, tracking of the stock movement and storage of personnel and payroll record can be done by different machineries and modern technologies. The patterns of work in offices have significantly changed through the use of word processing and personal computers. Indeed, the spread of information technology has greatly affected the efficiency and competitiveness of major businesses, structure of the workforce and the economic output in general.

In working organisations, information technology has been a part of its operation and workforce. Eventually, information technology has gained the attention of the organisations’ top management. Various factors had motivated the management division of companies to employ information technology. One of which is the constant and intense competition among similar corporations. Companies had then realised that by employing information technologies in their operations, they do not only become more cost-efficient but they are also able to improve the quality of their services. Another factor that had contributed to the increased need of information technology among working organisations is the necessity for global business operations to communicate through online computerised networks. This is so as to minimise time and distance barriers.

Over the years, IT performance had significantly improved. Sharp experience curves, distributed processing and communication, and integration of alternative technologies have also made information technologies more capable of solving organisational structure and strategy issues. Indeed, information technologies have evolved over time, both in their significance and applications.

2.1 Social Welfare Sector

Social welfare was defined by (1995), as a direct or indirect response to human needs (). It has been a great help in any government and countries whether local and international. The presence of social welfare started during the prehistoric period that was the time, when the mutual aid was a necessity for survival and when the tribe or clan takes good care of its member. Later on, both the religious and political sectors offered help for those who needed it and this has been practiced over many centuries (1995). Social welfare has been practiced by different civilization all over the world since time immemorial. Sumerians planned and organized aid for helpless, this is to follow the objective of their goddess, Nanshe about equity and social justice. Hammurabi also decreed that in the event of calamity, helping the victims is the primary responsibility of the society. Ancient Athenian state used to distribute grain to their citizens during times of famine and inflated corn prices; they also provide pensions for disabled soldiers and for the orphans that have been left by those who were killed in a battle (1995)..

The first law that ever established that cater to the need of social welfare is the Elizabethan Poor Laws of Anglo-American government in 1601. It focuses on laws regarding the responsibilities of the state for their dependent citizens as a whole (Macarov, 1995, p. 4). Another major step about social welfare is the social insurance program of Bismarck in 1880s. Chancellor Otto von Bismarck introduced legislation regarding budget for national insurance (1995). This helps to spread the innovation of insurance to many other countries and used as a reference for social welfare during World War I and II.

Today, social welfare is following the flow of globalization. There are lots of international NGOs. They are catering to people that are in need in the whole world. In USA, they have an international social welfare that helps different countries during calamities and chaos.

In Hong Kong, the presence of social welfare can be traced from around 1841 to 1937. During that time, the government of the country did not want to attract a large number of impoverished people from China and was very cautious in providing social services to the residents. This event give way to various private charitable individuals and institutions that are concerned to come forward and fill in the gaps (2006). According to (1999), four main divisions in the social welfare industry were centered on delivering public social services. These included religious missionaries, Chinese kinship organisations, non-kinship Chinese groups and secular agencies from the West.

The early religious groups in Hong Kong delivered a number of social services to the people including building establishments for the orphans and the blind. Reformatories, hospitals as well as services that enhanced education in the country were also provided through these missionaries. The Chinese kinship organisations were social welfare groups focused on taking care of the elders and the sick as well as in providing proper burial services. The Chinese voluntary organisations during the early times came in the form of temple and neighbourhood committees as well as regional associations. These organisations provide social services that were concentrated on providing assistance for victims of various crimes and human trafficking. The Hong Kong YMCA and the Hong Kong YWCA were some of the earliest voluntary groups that adapted the Western style of delivering social services. These organisations provided services that promote literacy among women as well as interest for sports, health and fitness. Later on, other organisations such as the Christian Youth Welfare Association, Children’s Playground Association, Hong Kong Society for the Protection of Children and the Hong Kong Red Cross were also established (2006).

Because of the growing demand of people for social services as well as the growing number of NGOs in the country, the application It is believed to be a helpful tool that will improve as well as develop the performance of each NGO in serving the citizens of the country.

Another problem that can be seen is the insufficient budgets of each NGO, since most of the budgets of those organizations are from the donations and charity works of kind hearted private individuals and companies. It is believed that IT has the power to lessen the cost of each service that NGOs are offering to the citizens of the world.

2. 2 IT and Health Sector

Health sector is one of the primary concerns of social welfare. Health is the most important issue that the social welfare is catering to. Most of the projects of any Non Government Organizations or NGOs are pertaining to health aspects of a family and the entire community. Most projects of social welfare sectors focuses on diseases and disorders of children and women.

The world’s health care system has transformed significantly during the past two decades (1992). Medical technology is now widely used to make available solutions for the needs of patients in the health sector. (2007) defines Medical technology as the procedures, equipment and processes that are used by the medical sector to improve their services for the patients. The application of IT mainly the use of Internet has affected the flow of information in the health sector. Because of the continuous change in medical technology, people who are involve in medical sector that are notoriously paper-dependent, are in need to go digital (). IT brings the days of the filing cabinet and folders to its end.

Applications like Electronic Patient Record System (EPRS), Electronic Health Record System (EHRS), Computerized Physician Order Entry (CPOE) and Clinical Decision Support System (CDSS) are only the most used information system in the health sector. The said system helps prevent error and lessen the works of the heath workers and serve more patients in a short period of time.

Telemedicine according to World Health Organization (WHO) is the practice of healthcare using interactive audio, visual and data communications. It includes healthcare delivery, diagnosis, consultation, treatment and education and transfer of medical data (2003). In simple words, Telemedicine is medicine practice at distance (2002).

Telemedicine have been applied by many countries worldwide over the years. Africa has accepted the telemedicine technology over the past three years. Some of the organizations and places that have used the said technology are: the University of UniversityTele-radiology between ( 1999).

Hong Kong is also one of those countries that are implementing the use of telemedicine. The said country actually facilitated a seminar in 1997 and 1998 that enabled key speakers from Mainland China and overseas to give presentations and exchange experiences on topics like Chinese medicine over the net. of also has developed a Clinical Gait Analysis System in which the presentations of cases are placed on the Internet as digital videos (1999). According to (1999), physician can also perform 3D biochemical analysis and discuss their findings online so as to facilitate the diagnostic process.

Using this technology, volunteer doctors can communicate easily and eventually exchange information in more faster and in effortless manner. It also open the possibility of distance service, and can be apply if volunteer doctor can’t go to a particular mission, this can help to continue their service even in the presence of distance. As of now IT is widely used in different countries around the globe like USA, India and Hong Kong.

2.3 IT and Social Welfare Sector

IT has a great impact about the way we live, learn, work and play (2002). With the use and implementation of IT to social welfare, it will be easy for different NGOs as well as the government to communicate as well as to save money, since NGOs are operating using money from different private individuals and private companies. It can also help to reinforce the management, communication and delivery of services to different part of the country. The use of IT has a great advantage when applied to any sector and industry. It makes the life of many workers and employees a lot easier. It can help to lessen, reduce and even prevent errors for major processes of many organizations and company, It also help to store important data and use it for future preferences, therefore making the it easy to retrieve data and information.

Application of IT in social welfare have been started even before, as a matter of fact, in 1989, assessed the relationship of social work practice and IT. They consider three aspects that are involved in the said relationship: management of services, societal responsibilities and practice. Management of services focuses on provision and control of services such as accounting, case load, cost-benefit analysis and reorganization of service. On the other hand, societal responsibilities focus on the role of social work in mitigating the possible iatrogenic effects of IT both to the society and to each individual; in assisting the victim using technology; as well as preventing misuse of technology (1989).

The said study shows the application of IT in social welfare during their time. This study only shows that application of IT is really helpful for development and improvement of the social welfare. Unfortunately during their time, the main problem is the refusal factors from the different entities that are involved in the said relationship. Another reason why it was not that successful is that during that time, technology especially computers cost high. Nowadays, application of IT is no longer that expensive and offers a cost-effective return towards its user.

The application of IT to the social welfare is important because it will affect the relationship between NGOs and the citizens of the world in more political and professional aspects ( 1989). It can help to record and monitor the record of the victim as well as the important calamities and other related phenomena. This can be used as a reference for future cases and eventually can help for decision making. This will help to lessen the maintenance cost of information keeping as well as help to minimize the works of the NGOs therefore, organization will be able to save money from getting another employees that will focus on the information gathering and keeping.

This was opposed by the study made by (2002), shows that application of IT in the social welfare sector of Sweden and Denmark, helps to save money because all of the information regarding the citizens, including their names, ages, marital status and other key data are all available from the national system of the said countries. NGOs in these countries will no longer have to conduct preliminary data gathering such as interviews and other data gathering method that will add to the works as well as add to the budget consumption of any NGO.

Since the recent study reflects the modern situations and dilemma of application of IT as well as it was already applied by the said two countries. It is safe to say that application of IT will help improved the operation of many NGOs in Hong Kong.

The use of website will be able to help many NGOs to accumulate money for their fund from any part of the globe. Using the technology of Internet, their organization will be able to advertise as well as inform their citizens as well as their citizens about the mission and vision of their organization and eventually will gain support from different individuals and organization from the other part of the globe. It will help them to save money from getting into another place just to get donations from their sponsor. It will help to save time, effort and money for all of the parties involved.

2.3.1 Application Strategies

One of the most helpful products of IT to the social welfare is the presence of e-government. This IT system can be broadly defined as the concept that helps make governmental transactions simple and efficient (2000). (2001) also suggests that e-government is somewhat synonymous to a virtual state wherein most of the operations, structure and capacity of the government are based on information and communication technology.

The concept and use of e-government had been introduced to public service delivery during the latter part of the 1990s. During this time, both practitioners and scholars were still unaware on how e-government works. Nonetheless, similar to other managerial practices and concepts for public administration, the e-government concept followed the idea behind e-commerce and e-business. In public administration the use of web technologies can actually be divided into two internal and external categories. Internal web technologies pertain to tools that can be used to organise, store and manage huge amounts of information or data.

With these functions, up to date government information can easily be uploaded and downloaded by the clients or displayed on the website on a real-time basis. The internal web function also allows governments to transfer funds through electronic means to other government agencies; the intranet or internet system provided by internal web technology can also be used for relaying information to public employees. Responding to the requests of employees is also made easy through this function (2002). This technology will help boost the communication between the NGOs and the government that is handling necessary information about their citizens. According to the study of (2004) about the application of IT and e-government in the city of Tampere, IT helps the government to centralize the operation of their agencies to the operation and activities of the NGOs, this help different NGOs not to spend moneys about the necessary information about their citizens and help them to get the accurate and reliable information.

External web technologies on the other hand, also provide similar functions as with its internal counterpart. Through this, government linkages with the citizens are established through government web sites. Specifically, these online sites allow government agencies to conduct public relations and communication with the clients. Information or data sharing is also made easy through external web technology; external stakeholders such as the public, interest groups, businesses and non-profit organisations can benefit from this feature. Interactive bulletin boards accessed online also enable government agencies to encourage the public to participate in various government activities such as policy-making; exchanging messages with the people is also easier by posting public notices through the internet (2002).

(2002) noted in her article that e-government is actually made up of four main internal and external aspects. One of these aspects is the development of a secure central database and government intranet. This is for the purpose of observing more cooperative and efficient interaction among different agencies of the government. Another aspect is the delivery of service based on internet services. The application of e-commerce knowledge and expertise in order to conduct better government transaction activities is also an important aspect of e-government. Lastly, e-government is applied to utilise digital democracy, which in turn will create a more transparent and accountable government.

The rise of technology as well as information and communication systems did not only introduce new opportunities for producing or manufacturing fields but also even to those providing public services such as the government. Within the network of information, commerce and knowledge, ICT was able to bring servicing bodies and the public together. Indeed several technologies had already been used in order to support the e-government concept. Some examples are interactive voice response, wireless service delivery, electronic and voice mail, public key infrastructure and electronic data interchange. With this, the government and its officers become more accessible and transparent to the people. This outcome is in fact one of the reasons why governments realised the significant value technology has to their operations.

2.3.2 Status in Hong Kong

Voluntary agencies (see appendix e for table of contribution of voluntary welfare agencies in Hong Kong), has pioneered various kinds of service initiatives in 1960s, it helped to lay a good foundation for the social welfare development in Hong Kong (2007). In response to the rapid economic development, voluntary agencies worked together with the government to develop diversified welfare services to meet the social needs (2007). During 1990s, many welfare agencies cultivated partnership with different sectors in local and international counterparts in order to facilitate the development of society (2007). The social welfare sector of Hong Kong has developed rapidly in the past fifty years, from providing relief work to providing diversified and professional services at international level (HKSS, 2007).

The government of Hong Kong has been active in increasing the awareness and literacy of the locals regarding the use of information and communication systems. Along with its awareness programs, the national government has also encouraged different sectors, including the social service industry, to integrate information technology systems into their operation to support the creation of a more advanced and digitalised society. This effort was stressed further through the development and implementation of the Digital 21 Strategy in 1998 by the national government. This strategy was updated in 2001 and 2003 and aimed to develop and utilise IT infrastructures and applications so as to connect the city via online means. With the Digital 21 Strategy, public services that can be acquired through internet technology have constantly increased. From 2001 to 2003, such services increased from 70% to 90% ( 2004).

In a survey done by (2004), the researcher investigated on how ICT is applied in the social welfare industry of Hong Kong. The research mainly focused on identifying how the country’s NGOs are applying IT in their operations as well as where these technologies are specifically used. The findings showed that computers were the main IT instruments used in the social welfare industry. The networking capability of this IT application was also utilised by the NGOs in order to allow data interchange and sharing. The level of networking within an NGO however was greatly dependent on its size. Specifically, NGOs with greater members demonstrated more advanced connections with their computer units as compared to smaller organisations. This finding actually stress to possible conclusions. One is that NGOs with a larger number of members have access to greater resources to support IT investments. It is also possible that NGOs with more members exhibit greater interest on applying IT systems in their operations (2004).

Aside from using computers, the utilisation of internet technology has been one of the common tools used among NGOs in Hong Kong. NGOs in particular used broadband connection in order to establish faster communication with stakeholders. Electronic mailing or sending e-mails serve as the main communication tool used by NGOs that is based on information technology. The results of the investigations however also identified NGOS with low speed dial-up connection that hinders faster and more efficient exchange of information. Considering that the electronic mailing system has been an essential component of most public and private establishments, this finding suggests that improvements on IT infrastructure, especially in terms of the internet connection speed, are necessary (2004).

The research done by (2004) also found out that majority of the NGOs in Hong Kong use multiple IT applications or systems for their operations. Among the NGOs investigated during the research process, the researcher noted that IT systems are commonly used by these organisations for human resource management, financial management and internal communication. The social service providers realise that IT can actually be used in other aspects of public service; nonetheless, the limited utilisation of IT in the industry constrains this possibility. This limitation was further stressed by another finding of the researcher. In particular, it appeared that staff with sufficient ICT expertise or training is employed by these organisations, especially by smaller NGOs. Without the technical support of IT professionals, developing new and better information systems in these organisations becomes difficult.

2.3.3 Effects

The application of information technology in Hong Kong as well as in other countries has led to positive results within the social welfare industry. These advantages also serve as the main drivers that encouraged other governments and social service organisations to implement IT within the industry. The use of e-government systems for example is beneficial as these lead to operational efficiency. (2000) noted that e-government systems could be used in order to improve operational consistency or reduce errors in the outputs derived from automated tasks. The efficiency of operating procedures can also be improved by means streamlining, reducing operational layers or cost saving. Through e-government, duplication of positions can be eliminated, lessening the time necessary to accomplish various transactions. In addition, distributing different tasks to government employees can help in developing their skills and facilitating career growth. In general, the employment of e-government helps relevant agencies and organizations in making the services they provide better and more accessible.

As the operations and services of the governments are improved through the integration of information technology, their relations with different work sectors as well as the public also improves. Historical documents and publications are typical in governments and social service organizations.

However, through e-government people in need of these documents will no longer encounter much difficulty. By means of various ICT systems, governments can install a program that would not only allow quick data dissemination but also enable effective data storage and preservation. Rather than keep all documents in paper and folder files that do not promote long-term maintenance, saving all historical government files in the computer or online storages can guarantee the life-long availability of these valuable data. Aside from public users, this feature of e-government is also important for bureaucrats especially in keeping track or comparing various statistical findings.

In the United States, the National Archives and Records Administration (NARA) serve as an important storage and collection of historical government information. Through online access, users can easily access these data in a single and comprehensive website. Aside from providing an easy and searchable database, NARA also has a feature that allows users to request for offered documents in non-electronic format. Malaysia also has its Malaysian National Archives which provided a similar purpose. A website that works like a search engine, the Archive helps in preserving materials that pertain to the country’s history ( 2006). These are some of the concrete examples of this IT effect.

Governments can employ e-government initiatives to conduct online monitoring, perform data mining activities as well as track citizen and officer activities. In effect, enhancing administrative control can lead to several positive effects. One of which is the reduction of inefficiencies in the government as well as corruption (2003). By cracking down corruptive and inefficient activities, economic development and stability are promoted. This effect is particularly helpful for nations that are still developing economically. This outcome is also synonymous to the process of increasing government transparency. With poor government transparency the public may be acquiring government or social services through high service costs. This can be resolved through e-government.

There had been limited researches that investigate the status of IT application within Hong Kong social welfare industry. However, the research discussed in this chapter clearly suggests that IT is typically applied by social service providers to ensure smooth and efficient managerial and clerical work activities. Certain factors such as inadequate resources, company size, overall IT usage as well as the access to technical support were identified as essential elements in the successful application and improvement of the organisations’ IT systems ( 2004). In general, IT had been of use to Hong Kong’s social service delivery. However, the absence of certain important factor for IT application appears to hinder further ICT growth within the industry.

IT will help to make the life of those volunteer members of different NGOs to lessen their work. The Internet will have a great part in implementation because it will serve as a medium of communication between the government, the members, the citizens and other entities that are involve in the chain of social welfare.

3 Research Design

3.1 Research Methodology

3.1.1 Overview

This study was conducted for the purpose of identifying the strategies used for applying IT in the social welfare industry in Hong Kong. This research also aimed to determine the effects of IT application in the industry particularly in reducing operational costs. In order to achieve these objectives, social workers or employees working within the Hong Kong’s social welfare industry were randomly selected to participate in the research process. A total of 124 agreed to participate in the survey and interview procedures. These research instruments had been used for data-gathering as these can help the researcher in gathering the most pertinent information that will answer the developed research question. In particular, these instruments were used to obtain data related to the experiences of the selected participants regarding IT application in the social welfare industry. IT strategies, requirements, benefits as well as disadvantages were the main factors considered during the process.

3.1.2 Method

The method that has been used for this study is the descriptive method. (1997) noted that the descripted research is used to obtain information concerning the current status of the phenomena to describe “what exists” with respect to variables or conditions in a situation. This method involved a wide range from the survey which describes the status quo, the correlation study which investigates the relationship between variables, to developmental studies which seek to determine changes over time. The emphasis is on describing rather than on judging or interpreting. The aim of descriptive research is to verify formulated hypotheses that refer to the present situation in order to elucidate it. The descriptive approach is quick and practical in terms of the financial aspect. Moreover, this method allows a flexible approach, thus, when important new issues and questions arise during the duration of the study, further investigation may be conducted. Moreover, the descriptive method is also used for researches that aim to identify and explore the cause or causes of a certain situation. The researcher opted to use this research method considering the objective to obtain first hand data from the respondents.

The descriptive method was advantageous for the researcher due to its flexibility; this method can use either qualitative or quantitative data or both, giving the researcher greater options in selecting the instrument for gathering information. The purpose of this research was to identify the specific strategies for applying IT in delivering social services as well as the impact these technologies have for the industry; the descriptive method is then appropriate for this research since this method is used for gathering prevailing conditions.

3.1.3 Approach

As this research made use of a survey questionnaire to gather data, the quantitative approach was used for this study. The quantitative approach is centred on the quantification of relationships between variables. Quantitative data-gathering instruments establish relationship between measured variables. When these methods are used, the researcher is usually detached from the study and the final output is context free. Measurement, numerical data and statistics are the main substance of quantitative instruments. With these instruments, an explicit description of data collection and analysis of procedures are necessary. An approach that is primarily deductive reasoning, it prefers the least complicated explanation and gives a statement of statistical probability. The quantitative approach is more on the detailed description of a phenomenon. It basically gives a generalisation of the gathered data with tentative synthesised interpretations.

Quantitative approach is useful as it helps the researcher to prevent bias in gathering and presenting research data. Quantitative data collection approaches create epistemological postulations that reality is objective and unitary, which can only be realised by means of transcending individual perspective. This phenomenon in turn should be discussed or explained by means of data analysis gathered through objective forms of measurement. The quantitative data gathering methods are useful especially when a study needs to measure the cause and effect relationships evident between pre-selected and discrete variables. The purpose of the quantitative approach is to avoid subjectivity by means of collecting and exploring information which describes the experience being studied.

Quantitative methods establish very specific research problem and terms. The controlled observations, mass surveys, laboratory experiments and other means of research manipulation in qualitative method makes gathered data more reliable. In other words, subjectivity of judgment, which is not needed in a thesis discussion, can be avoided through quantitative methods. Thus, conclusions, discussion and experimentation involved in the process are more objective. Variables, both dependent and independent, that are needed in the study are clearly and precisely specified in a quantitative study. In addition, quantitative method enables longitudinal measures of subsequent performance of the respondents.

3.1.3 Sample and Participants

The population of the study is made up of frontline social workers, service providers, members of non-government organisations as well as private organisation that deliver social services within Hong Kong. These types of respondents were utilised by the researcher considering that employees or workers of the social welfare industry have the necessary information that will answer to the study’s objectives; moreover, the employees of the industry are one of the most affected groups of IT application in delivering social services in the country. A total of 200 pre-designed questionnaires were randomly distributed for the sample selection.

The random sampling technique was conducted where each member if a population has an equal opportunity to become a part of the sample. As all members of the population have an equal chance of becoming a research participant, this is said to be the most efficient sampling procedure. In order to conduct this sampling strategy, the researcher defined the population first, listed down all the members of the population and then selected the members to make the sample. For this procedure, the lottery sampling or the fish bowl technique was employed. From this, the researcher aimed for a total of 120 valid returns (60%). The actual process resulted to 124 valid returns. These were then used for the analysis.

4 Data Collection

The data for this study was based on both primary and secondary sources. Primary information was gathered through the survey questionnaire distributed to the selected respondents as well as the interview process carried to a few heads of the social service organisations selected for the research. Secondary sources on the other hand, were derived from printed and electronic references; these had been used mainly to support the data analysis.

4.1.2 Survey

The survey questionnaire was used as the main data-gathering instrument for this study. The survey explored the perceptions of the respondents on the application of information technology in their respective organisations. The questions were structured using the Likert format. In order to use the questionnaire as an evaluation tool for the effect of IT application in the social welfare sector, the respondents rated each statement or question in the survey using a Likert scale with a five-point response scale. A Likert Scale is a rating scale that requires the subject to indicate his or her degree of agreement or disagreement to a statement. In this survey type, five choices had been provided for every question or statement. The choices represent the degree of agreement each respondent has on the given question. In order to analyse the results of the questionnaire, the weighted mean computed from each survey item was computed. The weighted mean was used in order to obtain the average values that would represent the sample’s response to each question in the survey. This helped the researcher identify the general response of the participants to the given question or statement.

The Likert survey was the selected questionnaire type as this enabled the respondents to answer the survey easily. In addition, this research instrument allowed the research to carry out the quantitative approach effectively with the use of statistics for data interpretation. In order to test the validity of the questionnaire used for the study, the researcher tested the questionnaire to five respondents. These respondents as well as their answers were not part of the actual study process and were only used for testing purposes. After the questions have been answered, the researcher asked the respondents for any suggestions or any necessary corrections to ensure further improvement and validity of the instrument. The researcher revised the survey questionnaire based on the suggestion of the respondents. The researcher then excluded irrelevant questions and changed vague or difficult terminologies into simpler ones in order to ensure comprehension.

4.1.3 Interview

Aside from the survey method, this study also utilised the face-to-face semi-structured interview method. The researcher developed the interview schedule and served as the interviewer during the interview process. Phone interview are also done when the respondents are not available for personal interview.

Questions pertaining to the strategies, requirements, challenges and effects of applying IT in the social welfare sector were the main components of the interview schedule. This research instrument was selected as it allows the acquisition of insights from selected respondents; with semi-structured interview, interviewees are able to express their feelings, concerns and opinions. This data-gathering tool is useful for both the study and the researcher since it helped in gathering relevant information from specific respondents. In particular, this data-gathering tool allowed the researcher to obtain facts regarding the specific IT strategies employed by the different organisations under Hong Kong social welfare sector. With this method, a total of 30 randomly selected respondents from the survey sample were subjected to a brief interview.

4.1.4 Ethical Considerations

The study involved the use of human participants as well as the acquisition of some confidential company data. Thus, in this research, ethical considerations had been identified and prioritised. Specifically, consent and confidentiality factors were valued in the process. The researcher ensured that these factors were safeguarded during the entire duration of the study. In order to gain the consent of the social welfare organisations’ regarding this study, the researcher secured an approval from both managements by means of a written letter of permission. Securing the permission of the participants was also given importance.

Thus, a written letter explaining the details of the research, its objectives, purpose and procedure was distributed to the selected participants before participating in the actual interview process. The reasons why the employees were selected as respondents was also stated in the consent form; this enabled the employees to connect the research aims with that of the participants’ background. It was also ensured that rapport and trust were built between the researcher and the respondents; this helped in gaining the cooperation of the participants. Although the participants have initially given their consent, the researcher also informed them that they could withdraw even during the research process and even without providing any reason. By giving this freedom, the participants will not feel forced to participate in the process.

The privacy of the respondents as well as the confidentiality of their responses was prioritised by the researcher as well. In order to do so, the names of all parties involved were kept confidential. All details that were related to the study were included in the final report. The researcher also ensured that all data gathered for the study were protected from unauthorised access.

All of the information that has gathered from all the respondents will be used in this study alone.

4.1.5 Data Processing

After gathering all the completed questionnaires from the respondents, total responses for each item were obtained and tabulated. In order to use the Likert-scale for interpretation, weighted mean to represent each question was computed. Weighted mean is the average wherein every quantity to be averages has a corresponding weight. These weights represent the significance of each quantity to the average. To compute for the weighted mean, each value must be multiplied by its weight. Products should then be added to obtain the total value. The total weight should also be computed by adding all the weights. The total value is then divided by the total weight. Statistically, the weighted mean is calculated using the following formula:

The interviewees all answered that their organisations dealt with IT specialist or experts in order to design the proper system suitable for their specific operational needs. The respondents noted that the analysis of the department where the system will be applied serve as the start of the IT planning process. This then allowed both the management and the IT professionals to understand the operational process of that department and pinpoint its specific IT needs. Some of the social workers interviewed referred to this group of assessors as part of the project team. These project teams then serve as the core group responsible for designing the system and ensuring that it will work for the organisation. Training the employees on how these systems work are also part of the team’s responsibility.

5. Have you encountered any problems in relation to IT implementation?

Table 5 The Common Problems in IT implementation

The main problem that majority of the interviewees was inadequate resources, particularly in the financial aspect. The respondents stressed that their organisations are not profit-oriented; hence, it is quite difficult to apply information systems. It is also difficult to make an IT project plan for such organisations where several resource constraints must be considered. They also cannot apply the newest technologies available; the difficulty to update their existing IT operations then makes the organisations less capable compared to other larger social welfare groups. In order for the organisations to overcome this problem, meticulous planning should be done. This however is a long term process that often delays IT gains.

Requirements

6. What resources were used by the organisation for applying IT systems?

Table 6 The Problems encountered during IT implementations

The interviewees noted that the most important resources necessary to apply information technology used by their organisations include human resources, professional expertise, hardware and software, computer units and internet connections. Aside from these, the outputs of the IT project team, which include the system design, implementation schedules and training needs. All of these require financial assistance – an essential resource to make IT implementation possible.

7. What problems did the organisation encounter in meeting these requirements?

Table 7 Problems in meeting the organizations’ requirements

As mentioned in the fifth question, one of the main problems of social welfare organisations in line with IT application is the inadequacy of financial resources necessary to support high-end technologies. Organisations do not have enough funds to invest on costly IT systems. As the skills of the employees are mainly concentrated on delivering social services, the implementation of IT in such organisation would require outside expertise; while this is necessary, this is considered as a required expense for public service organisations. This is then yet another problem encountered by the social service providers.

Effects

8. In what way was IT application able to bring improvements in the internal or external communication needs of the organisation?

Table 8 The Advantage of IT

The interviewees noted that through the use of internet technology, they are able to communicate well with their colleagues and head management. The respondents also noted that organisations that coordinate with government public service agencies are able to establish a faster and more efficient communication channel, especially with external parties. Respondents of the interview noted that one of essential benefits of IT application in social service industry is the enhancement of communication between the organisations and the public. Through online sites, people in need of social services can inquire and contact relevant organisations easily. This feature of IT also serves as an important tool in promoting the present programs and future plans of the organisation to the public. Overall, IT enhances the organisations’ external communication as the people they serve become more aware of the services they offer.

9. How did IT strategies affect the social service providers or employees?

Table 9 Affects of IT to the Social Welfare Providers

The use of computers, internet technology, online databases and websites all facilitated the positive development of the employees of social welfare organisations. Through the training employees underwent in preparation for using IT systems, social workers became more adept in using various information technologies. The application of IT in the operations of social service organisations helped in improving the ease of organizing paper works and other activities, resulting to higher output quantity and quality. As daily responsibilities are accomplished more rapidly, social work employees have more time and resources to concentrate on more pressing matters such as program development and service delivery. The competency of the employees in terms of using IT in most activities in their offices has also been beneficial; specifically, the exposure of the social welfare employees to IT enable them to be more flexible and knowledgeable in handling other forms of technology.

10. Did the use of information systems help the organisation in saving valuable expenses or reducing costs? How was this achieved?

Table 10 Effects of It to the Social welfare providers

Although the application of IT systems in any organisation requires considerable finances, the interviewees agreed that IT is also capable of reducing operational costs. One of the interviewees cited an example. By comparing the conventional communication means (sending mails through postal service, placing phone calls, arranging for document deliveries) and the present online communication strategy, public service organisations can acquire significant savings from deliveries as well as long-distance phone calls. Through these IT-based alternatives, costs incurred due to message or document delivery errors will no longer be encountered. This also applies to the social work employees. As some of the activities of the employees are supported by IT systems, costs brought about by human errors are reduced considerably. In terms of information dissemination, displaying important messages online is easily accessible by a greater number of people. Compared to making printed or broadcasted public information dissemination, online information distribution is more economical.

Application of IT also helps to reduce the amount that is used in saving and storing important information and files about the transactions and activities of most of the social welfare organizations. Before the application of IT, lots of supplies such as papers, ink, folders, envelop and filing cabinets are needed in order to store data. With the use of IT particularly the use of databases, it will not only reduced the amount spent in supplies but also lessen the time that is spent in retrieving data and information.

11. How did this innovative strategy improved public service delivery?

Table 11 The impact of IT in Improvement of Public Service Delivery

The availability of the organisational websites that display the programs, services and future plans of the organisations for the public to view served as an important development in the delivery of social services. The interviewees stated that the increased awareness of the public on the activities of individual social service organisations made the accessibility of social services in Hong Kong more pronounced. The online sites of the social service organisations also made it easy for the people to inquire or obtain important information even without visiting the main offices. Services such as information dissemination can then be delivered to the people even at the comfort of their own homes. The increased awareness of the public on these organisations on the other hand, encouraged the social service sector to continuously develop activities that lead to the development of better programs for the people. As gaining information for program development becomes easier and faster through IT systems, programs developed are of greater quality.

12. In what way did the application of IT systems affect the organisation negatively?

Table 12 Negative Impact of IT to the Social Welfare Industry

While the IT systems employed by the social welfare organisations had been beneficial to the employees as well as the people, the interviewees noted that the application of IT in their operations has also caused some problems. For instance, in times when system malfunction occurs, work disruptions take place. Though proper maintenance of these IT systems is the known solution for this problem, respondents claimed that it is difficult to apply regular IT maintenance considering that this would require additional costs for the organisation. Some employees are also not as open to use technology-based systems for accomplishing their daily tasks. Thus, there are systems installed whose purpose is not optimised. Without encouragement and monitoring, IT application may only lead to company waste.

Security issue is another big deal when it comes to application of IT. Most of the respondents answer that this is the biggest threat when it comes to the use of IT and other Internet technologies. This dilemma can be solved by installation and the use of updated software such as anti-virus, firewall and anti-spyware and malware.

5.1.3 Survey Results

A total of 15 questions/statements were given in the questionnaire, which were structured in likert format. Five choices were provided for the respondents for each survey item; these choices served as their basis for answering the survey. The questionnaire comprised of two parts; one section deals with how social welfare organisation plan, implement and maintain IT systems applied in their operations while the other is centred on the effects of these IT systems. Every member of the research sample answered the questionnaire of which there are 124 participants all in all. After retrieving the accomplished survey forms, the researcher tallied all the responses of the participants. The weighted mean for each survey item was then computed. The interpretation of the calculated mean was based on the Likert table cited and explained in the previous chapter. Below are the results of the survey:

Table 13 & 14: Section 1 and 2 Survey Results

5.2 Analysis

In this section, the thematic process of analysis is applied; sub-themes, based on the interview and survey, are formed in order to answer the research question. Along with the analysis of the results, related literatures are incorporated to support the findings. Major sub-themes for the analysis are comprised of the IT strategies applied in social welfare organisations (IT strategies, requirements, challenges) and their effects to social service delivery (information quality, cost reduction efficiency, relations).

5.2.2 Strategies

IT Strategies

Based from the survey result, the selected respondents strongly agreed that their respective organisations apply multiple IT systems in order to handle different operational areas. These IT systems include the use of computers with internet connection, development of websites and creation of customised database systems for storing and retrieving valuable documents or files. As cited by the interviewees, these systems are typically used in file management, internal communications, human resource management as well as program development. In general, the IT strategies of the social welfare organisations in Hong Kong are concentrated on the use of computers and internet technology. Moreover IT systems in these organisations are typically applied in office and managerial tasks. The study conducted by (2004) in Hong Kong social welfare sector also revealed similar results.

Requirements

The respondents of the survey noted that the requirements necessary to apply information technology effectively are challenging to meet. In the non-profit oriented organisations, financial resources serve as the primary requirement for applying information technology, social service organisations then find it quite difficult to invent much on technology-based operating systems. Aside from funding, human resources, professional expertise, hardware and software, computer units and Internet connections are also considered as important requirements. Respondents also agreed on other essential requirements needed for successful IT application. These include sufficient training, a dedicated department for IT maintenance as well as the active participation of the organisational leaders. Though these factors are recognised as important, the survey results showed that respondents were uncertain whether these had been present during their organisations’ IT application effort. This then suggests that social welfare organisations need to consider these essential requirements in applying IT aside from identifying the type of IT strategy suitable for their needs.

The application of IT in any organisation utilise the concepts of project management; under this principle, organisations are encouraged to develop a particular project team. They are the ones in charge of ensuring that the new systems are effectively integrated to the organisation’s existing operations. In project management, coaching or training the employees who will eventually use the new system is as essential factor. In applying IT systems for example, technical operational skills need to be learned by the users. By means of training, IT can be applied with more successful outcomes. Specifically, as the users are mentored how to use the developed IS/IT systems, users will be more willing to use these new systems for their daily work activities (2000). This is also relevant to the need of establishing a designated department for IT system maintenance. IT experts and professionals can then serve as the mentors of other employees who need further IT learning and assistance.

Like any other solutions, IT has its own share of weaknesses. The primary problem that is caused by implementation of IT is all about technical problems. However, with the presence of effective leaders from the management, these problems will be addressed immediately before they cause delays to the organisation’s IT plans. The active participation of the leaders also helps in motivating other employees of the organisation to be more supportive and cooperative to the changes in the organisation. Overall, leadership is an essential requirement for IT application as leaders have the skills to address different issues that could hinder successful IT application (2003).

Challenges

The survey and interview results both stressed that implementing IT in the social welfare industry is a challenging strategy to apply. The survey findings for instance, indicated that respondents agree that application of IT systems is a costly investment. The interviewees explained further that it is difficult to apply IT systems in their organisations due to insufficient funds for information technology investment. Aside from this, social welfare organisation are not experts when it comes to designing and implanting IT systems; for this reason, the employment of outside assistance, which naturally requires financial support, is a must. In the research of (2004), it has been concluded that certain factors within the organisation that hinder it from applying better IT systems. For one thing, the size of the organisation represents its ability to invest on IT. Thus, smaller social welfare organisations may find IT application a challenge. It can then be said that internal features of the organisation may restrain effective IT application. The presence of these restraining features then makes IT application difficult for social welfare organisations.

5.2.3 Effects

Information Quality

The interviewees stressed that the quality of information given to the people being serve by their organisations had improved through the application of IT, particularly database systems. The respondents explained that as the storage and retrieval of information becomes easier through IT assistance, the development of programs that require these stored data become more organised and effective for specifically targeted groups. The creation of the organisational websites online also increased the accessibility of the organisation’s activities, services and plans to the public. Moreover, through internet technology, the dissemination of information to the public becomes more interactive for the online visitors, making data relayed comprehensive and interesting.

Cost Reduction or Savings

The respondents agreed that the application of IT in social welfare organisation lead to significant reduction in expenses. Though the interviewees declined to give specific figures or percentages, they explained how the organisations were able to achieve this important outcome through IT systems. In communication for example, sending messages via conventional means to different agencies or other organisations is more costly as compared to sending e-mails or instant messages. Delivery of few documents or files can also be done online; this is also a cheaper alternative than using courier services. As activities of the social service organisation become more and more dependent on IT systems, human intervention becomes less necessary. This in turn limits the costs derived from human errors. With better and faster work outcomes through IT, resources such as time, energy and money are saved. The use of websites for information dissemination is also an important factor that helps in reducing operational costs. Instead of using print outs of broadcasted messages to communicate to the public, the social welfare organisations can make use of their official websites, that is not only economical but also more effective as it can reach a greater number of people.

A number of related literatures have also concluded that savings or cost reduction can be achieved through IT application; there are several means on how this can be achieved With information systems, provision overlaps can be determined immediately, resulting to time savings to these agencies (2002). During the Philanthropy News Network’s Nonprofits and Technology conference in Seattle in 1999, most of the speaker stated that IT can help many nonprofits organization to: become more effective in daily operations; plan financial aspects more effectively; improve fundraising efforts; and shield the organization against the effects of staff turnover (2005).

Efficiency

In the survey result, the respondents agreed on a number of operational factors that stress the ability of IT to enhance organisational efficiency. Specifically, the survey showed that respondents agree that IT improves internal communications. Technology also facilitates the establishment of stronger relations and the development of better quality social service programs. IT is also a useful tool in improving the employees’ productivity as well as in ensuring that databanks of the organisation are well-organised. The interviewees noted that the training the employees went through made them more adept in using different IT systems. As the speed and quality of their work are increased, the overall performance of the employees is improved.

Moreover, the training made the employees more competent as they become more capable in handling activities that need both decision-making and analytical skills. Aside from the skills, the communication within the workplace, which is very essential is social service organisations, is also said to improve through IT systems. In particular, the use of internet technology allowed the social workers to communicate and relay messages to others in a faster and more efficient manner. The application of IT systems not only improves the communication within the organisation; this strategy also facilitates the establishment of better communication channels between the organisation and the people it serves, helps in building better relations among the organisation and the public. From these developments, it is clear that IT application leads to the development of a more efficient organisation. Other researches in the past have also obtained similar findings.

In one research, the case of the Swedish health and social services was taken into account. The findings of this research revealed that efficiency in terms of employee productivity was observed in these organisations. Specifically, the use of computerised case management systems allowed the social workers to increase the number of cases that each employee can analyze. Through the use of automated systems, the employees are able to work faster and more actively. This then helps in promoting public safety and good health (Andersen & Danziger 2002). In other studies, public service organisations typically encounter greater efficiency through IT application in performing managerial tasks. For instance various studies have noted that efficiency in social welfare organisations are observed as IT is used for document administration, human resource management as well as case administration (2002).

The performance of the managers also becomes more efficient through IT systems. Specifically, managers can use IT in order to acquire performance and operational data, which is useful in resource allocation as well as in employee performance monitoring. In some cases, rather than the manager performing the information retrieval, an administrative staff member or information employees may do this task. The generated information is then given to the manager for interpretation and application (1994). In any case, the end result is the same – social welfare managers become more efficient in performing their responsibilities through IT systems.

The efficiency of the social welfare organisations has been enhanced by IT application as the decision-making skills of the employees or social workers are improved. For example, the utilisation of geographic information systems (GIS) has been helpful as these provide the digitised map representation of governments’ jurisdiction and service sites. Through this technology, the planning and implementation of public service programs such as utility provision, road construction, redevelopment efforts and other similar activities become less complicated. Moreover, as these systems provide economic and demographic information, deciding which social welfare programs are useful for each service area becomes easier and more efficient (2000).

The availability of various software programs and database systems like Microsoft Office and WordPerfect Office also contributed to the increased efficiency in the social welfare industry. Through these technology-based instruments social workers as well as public officials are able to obtain and present information in a more sophisticated manner. Moreover, the improved presentation of information helps social welfare analysts in producing better analytical findings. In turn, this also help in making good decision useful in managing human resources, developing policies and designing public services or programs (1994;1994).

5.3 Project Outcome

This research was conducted for the purpose of identifying the different IT strategies applied in Hong Kong’s social welfare industry. Furthermore, the research was done in order to determine how these systems could be of benefit to social service organisations, particularly in reducing costs. Based from the findings of the research process as well as the relevant literatures gathered, IT applications do benefit the social welfare industry. At present, social welfare organisations in Hong Kong are applying this innovative strategy through the installation of computer unit, use of internet technology as well as the development of database systems and customised programs. The impact of these applications to cost reduction had been significant. Specifically, social service organisations save on expenses through IT systems as they help in reducing company wastes, limiting human errors, improving internal communications as well as increasing the speed of work processes. These effects have also been supported by a number of previous researches.

Although the application of IT within the social welfare industry has been identified as beneficial to the social welfare industry, the project also stressed the challenge of applying this strategy. As the respondents answered in the survey and explained in the interview, IT applications are quite difficult to implement considering that the organisations within the social welfare industry are nonprofit-oriented. Moreover, a number of requirements and resources must be available in order to support such operational strategy. From this project outcome, it becomes clear that certain sacrifices must be made so as to obtain the benefits of IT application. Most importantly, the findings of the project stress the need for social welfare organisations to conduct extensive planning and preparation in order to ensure the successful implementation of applying IT systems.

6 Conclusion

6.1 Summary

This study was done in order to determine how information technology is applied among organisations operating within the social welfare industry. The research was also conducted for the purpose of identifying the impact of this strategy to the organisations, particularly in cost reduction. Using Hong Kong social workers as respondents, the researcher used the interview and survey method to gather data that will answer the developed research question. The survey was structured in Likert format; results were obtained by computing the weighted mean. The result of the interview on the other hand, was presented in narrative form. The analysis of both the interview and survey results was structured based on thematic analysis where sub themes were developed. Specifically, the sub themes of the analysis include the strategies applied by the social welfare organisations and the effect of these IT systems to their operations.

6.2 Conclusion and Implications of the Study

A number of important conclusions and implications can be drawn out from the findings of the study.

1. Social welfare organisations apply one or more IT systems in order to handle multiple operational areas. .
As indicated in the findings of the study, social welfare organisations in Hong Kong apply IT strategies such as computer networking, internet technology, online sites and database systems so as to manage various activities such as human resource management, data storage and retrieval as well as social welfare program development. Organisations in the social welfare industry then benefit from IT applications as specific IT systems are made or can be made available to suit their specific needs.

2. Applying information technology is useful in cost reduction.
The respondents explained that the ability of information technology to develop the communication systems of their organisation as well as speed up common work processes are the main factors that lead to cost reduction. Moreover, as the common manual activities of the social welfare organisations are automated through IT systems, chances for error and resource waste are reduced considerably. Means of storing and gathering information are also improved through the use of IT applications; statistical reports, demographics and other relevant data for social welfare project development are then easily accessed. With this development, creating and implementing public services or social welfare programs are enhanced as programs are developed specifically for certain service areas.

3. IT applications benefit social welfare organisations other than reducing costs.
The results of the survey and interview indicated other important benefits of IT applications in the social service industry, which in general, are helpful in enhancing the efficiency of public service organisations. As supported also by relevant literatures, IT systems help in making public service units more coordinated, leading to better service delivery. Through improved communication systems, the relation between the social service providers and the public is improved as well. This in turn, helps in increasing the people’s responsiveness and cooperation in various services and programs implemented by social service organisations. In terms of information quality, the use of software programs and database programs are helpful in achieving this purpose.

4. Certain requirements must be met in order to apply information technologies effectively.
Although the use of IT as a strategy in achieving organisational efficiency, certain factors and requirements must be considered by the organisations before IT can be applied in their operations. Resources such as finances, time, energy and human resources must be taken into account. In addition, IT professionals or experts must be employed for this strategy considering that social service providers are not particularly skilled in designing, implementing and monitoring IT applications. A group that will function as the project team is also considered as an important element in making IT work for social welfare organisations. These requirements make IT applications in nonprofit-oriented organisations such as those in social services challenging. This finding emphasises that the necessary resource allocations must first be considered before the gains of this strategy can be fully achieved.

5. The principle of project management is essential in IT application.
Applying information technology does not only involve the identification of the specific system appropriate for the needs of social welfare organisations. The implementation and maintenance of these systems must also be carried out, specifically by IT experts or professionals. The actual designing and application of these systems also require technical knowledge. As this strategy involves multiple tasks, a project team with skilled members is essential. Moreover, a project team will be useful in addressing possible problems that could rise before, during and after the IT systems are applied; the team will then help ensure that the entire process of applying information technologies will go smoothly and with less risks. This finding clearly stresses that the actual instrument for IT application are not the only elements necessary the strategy to work; intangible factors such as management and skills are also important.

6.3 Achievement of Project Aim and Objectives

6.3.2 Project Aim

This study aimed to determine the specific IT strategies that can increase the effectiveness as well as reduce the operating costs in the social welfare sector. Based from the findings, although IT is not quite easy to implement in this industry, but most of the respondents and literatures supported IT is helpful and effective, and saving in running cost significantly.

6.3.3 Project Objectives

The main objectives is to evaluate the current of IT usage in social welfare sector, identify and examine the problem on real work, then make recommendation for strategic plan of IT implementation to increase efficient and save budget.

Although it is difficult to show the amount that is saving after IT implement, but many cases can proof that IT application can increase effectiveness. With the use of electronic communications, human resource and time effort will be reduced. All studies and research show IT implementation in social welfare sector is in a positive influence.

6.4 Future Development and Recommendations

Technology is an aspect of present work sector that goes through continuous development; thus, in the future, it is expected that better systems and new software programs will be made available for organisations, including those in the social welfare industry, to use. With this natural development, it is then likely for organisations to acquire even greater benefits from IT – perhaps, higher cost reduction, faster services, more efficient information exchange, stronger relations with the public and other similar outcomes. With the growing recognition for the role and significant purpose of IT in achieving better social service operations, it is also possible that more and more organisations in the industry will invest on IT applications in the future. Furthermore, rather than using IT systems for doing managerial and office activities only, the diversification of IT use in other operational areas of social welfare organisations may be observed in the future as well. Should these developments occur in the future, the people, particularly the population targets of these organisations will expect better and more effective social services and programs.

In order to support a brighter future for IT utilisation among social welfare organisations in Hong Kong and the rest of the world, the following organisations that could be of use in the implementation of this strategy are developed:

1. In applying IT systems in social welfare organisations or in any other establishments, it is important that a project team and plan be developed.
As mentioned in the study implications, the project team will serve as the facilitators for the smooth implementation of IT in the organisation. A project plan must also be developed by the team; this plan will be of use in directing the multiple activities involved in IT implementation. IT implementers make use of the project plan in order to observe a step-by-step system of implementation. This is particularly useful in ensuring that the resources necessary for every project task involved had all been accounted for. The plan also allows the project initiators to recognise and note down all the resources necessary to make the strategy work. In this way, waste of resources will be avoided.

2. IT systems are costly, thus, less costly options must be considered.
Though social welfare organisations may not have enough funds to support and invest on modern technologies, operators and users can go for inexpensive system alternatives. For this recommendation, it is also suggested that an initial analysis of the area where the system will be applied is done. Through this, the specific IT needs of the department can be pointed out.

3. Regular maintenance and monitoring of systems must be done when using IT as an operational strategy. .
The application of IT systems does not stop on the installation of the needed technologies. In order to ensure that the organisation can use these major investments for a long time, monitoring for maintenance purposes must be incorporated in the project plan. This will prevent major company losses and work disruptions from happening. The most important part of the software managements and implementation is the maintenance phase. This is to make sure that the system is working in accordance the rules and polices of a certain organization.

4. Organisations adopting the IT strategy from greater efficient must use the customisation approach. .
The customisation approach pertains to the strategic technique wherein changes in the organisation are done in accordance to its specific need and work environment. Each social welfare organisation operates in a different environment, serves a different service area, targets a diverse population group and implements a different program; for this reason, it is not appropriate for organisation to pattern their IT systems to those used by other similar establishments or companies. Each IT application serves a different purpose; organisation must then be aware of these functions so as to develop a system that is truly suitable for their needs. This recommendation will then facilitate the creation of more cost-effective system designs.

Appendix A: Project Specification

Intention – no customer involved and project results will be used to produce a research paper.

Project Title

Using IT for cost saving in social welfare sector under budget pressure in Hong Kong

Project Topic Area Overview

In Hong Kong, many non-government organisations (NGOs) provide social welfare services to the public, nowadays every industry run for productivity enhancement and cost effectiveness, even NGOs also facing reduce budget and government Lump Sum Grant (LSG) policy, resources decrease substantially, so cost saving was a new challenge to those organisation and service provider.

To improve welfare services with the lack of budget, broaden sources of income must be an effective way, but everyone think use of IT system may help to simplify the work, then reduce labor and time, thus reduce expenditure. How these advantages could bring to social welfare sector, let them enjoy the fruitful result with new technology, and importantly to save resource, reduce the pressure of budget. Aim to providing the same level of services with less labour involve and arise efficient.

Situation Overview

The research is set independently to get user comment, focus on the needs for the service provider, and study the feasibility of promoting IT in social services sector.

Presenting Problem Theme

Can IT system increase the working efficient, or it will make the work more complicated? Everyone want to improve service and saving cost with IT implementation, but how to make it success, a feasibility study and strategic plan can help.

Personal Theory

Resource must be a main concern for IT implementation, purchase of hardware and software, hire of IT expertise, system design…etc, all of these are countable capital, but computerisation is not just go to buy a computer and put on the desk, many study and plan was behind. Social welfare sector is not a profitable business, while people talking cost-effective, social services may not have a profit; also when IT solution was implemented, there are not easy and clearly perceive how much cost was save, so the result of IT implementation may not be seen in a short period of time, and the system may not improve service or reduce budget in a very direct way, a long termed strategy plan is need. So how to convince the managerial to invest in the IT system need a strong reason and hope the answer can find in this report.

Form of Answer

The expected form of answer will be a feasibility report, describe the functionality of implementing IT solution in social service organisation. A number of questionnaire and survey question will be set, content will be around the situation of work, using of computing, and the hope for the IT system; aim to support with the research question, make assumption to the problem. With reference and consolidation with the research result, complete a report with varies recommendations and strategic issue about implement IT solution to save cost.

Research Question

How can IT be used in social welfare sector to increase effectiveness thus reduce operating cost?

Strategic value

To determine the problem and needs of social service sector, and provide IT strategies that can increase effectiveness and reduce operating cost. Describe the critical success factor for develop IT solution, how to create a high usability and functionality system, that suit for the special need in this sector, to reduce manpower, increase the efficient and arise the service level to the client, thus reducing operating cost.

Ethical Overview

There are no current users of the process being research, and there is no beneficial conflict all the person to be interview. It is not seem to be any ethical consideration.

Aim

To determine IT strategies that can increase effectiveness and reduce operating cost in social welfare sector.

Objectives

To evaluate the current practice of IT usage in social welfare sector.

To identify and examine the problem found on the real work.

To make recommendations for a strategic plan for further IT implementation.

To recommend a solutions for save budget and increase efficient.

Research Design – Research Method

The research method will be quantitative – survey. Through out some interview and questionnaire to the agency head, social service centre in-charge personal, frontline social worker and those client that receive such services, to gather idea and information.

Research Design – Phase 1: Primary Data Collection Process

How can IT be used in social welfare sector to increase effectiveness thus reduce operating cost? Most of the literature state about the strategic fact and the figure of past experience. Through out a research such as survey, interview or questionnaire, can get a real details and users expectation, and the data are more updated, which can help in review and analysis to the problem.

Basic Activity for Generation Data

The basic idea is to invite those social service units which have success or un-success cases of implement IT, make interview and questionnaire to client, social worker and service provider, to collect the information surrounding the problem that they are facing with limited resource and their ideal IT solution. The basic activity for generation data is to identify the strategy for promoting IT in social service sector to arise efficient and save operating cost.

Primary Data

The research result by questionnaire and survey, including of: utilization of computer, IT skill level, software that common use, computerization inclination and acceptance, expectation to IT solution, etc. And some ideas and viewpoints for the person who invited for the face-to-face interview.

Location

The sample frame is the frontline social worker, service provider, and the client, these persons will select from Hong Kong social welfare department, non-government organization, and all kinds of private society which providing social services. Sampling size will be around 120 valid returns out of 200 samplers.

Collection Protocols

A pre-designed questionnaire will sent to 200 randomly selected samplers, there would be around 50 questions; they need to answer all those question independently. For the survey, the interview use face-to-face base to the selected candidate, beside answering of preset questions, and sharing their opinion and details suggestion to the discussing scope.

Primary Data Collection Presentation

From such primary data, will be analysis and generation the result in table and chart format, to support the answering the research question. The set of primary data will be available in the project document appendix and will be presented in tables and charts format.

Research Design – Phase 2: Processing and Presentation

In this phase, the primary raw data was collected, to analyze these qualitative data, and it will be consolidate, analysis, calculate and collate. Then present the processed data in table or graphic form and extract the graphs features.

Primary Data Manipulation

Analyse the raw primary data from phase 1, with use a set of metric and statistic issue, describe the data, and inference some outcome and recommendation; use of many different measurement method, to check and measure the accuracy for those data. For the result from interview, such as comment or idea, we can diversify to different category, for the use of reporting in different issue and state recommendation.

The result will use to answer the research question; it is preferable that the result can match with the hypothesis. Then we can base on the result to know what is the need, the want and how to help to the social worker and client, make assumption of the feasibility and the usability for implementing IT solution in their sector of business, then make suggestion and recommendation to those service providers, for the next step to build the system.

Result Processing and Presentation

All the raw data after analysed is the most valuable source for the report, support each other to secondary data and literature. After the contextual primary data analyse, the finding will show in the report to support with the research question, those result will display in simple chart or table format, let reader easier to get the impact; the opinion from interview and survey will also show in the content, the idea will firstly analyse and combine, show to support the research question and state recommendation to the feasibility study.

For the raw primary data, can show in the project document appendix in tables and charts format, with number and percentage, for a reference to the reader.

Logistics and Tools -Resources Required

The logistic and research procedure perform by the researcher solely, the only costing will be the printing of questionnaire and postage fee, and no more human resource is need.

Outline Content List for Project

Appendix B: Project Plan

Appendix C: Interview Schedule

IT Strategy and Application

l What were the types of information technology systems that your organisation had installed?

l In what areas of the organisation were these systems used?

l What were the company’s objectives for applying these IT systems?

l How were these systems planned and implemented?

l Have you encountered any problems in relation to IT implementation?

Requirements

l What resources were used by the organisation for applying IT systems?

l What problems did the organisation encounter in meeting these requirements?

Effects

l In what way was IT application able to bring improvements in the internal or external communication needs of the organisation?

l How did IT strategies affect the social service providers or employees?

l Did the use of information systems help the organisation in saving valuable expenses or reducing costs? How was this achieved?

l How did this innovative strategy improved public service delivery?

l In what way did the application of IT systems affect the organisation negatively?

Appendix D: Questionnaire

IT Strategy and Application

1. The organisation applies multiple IT systems to its different operational departments.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

2. The organisation sought the assistance of IT professional or experts in selecting and implementing the IT systems.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

3. Social service providers are given sufficient training on how these IT systems are to be used.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

4. A department dedicated for IT technical support and maintenance is found within the organisation.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

5. Applying IT systems is challenging particularly in terms of the requirements it demands for efficient implementation.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

6. Leaders of the organisation have been active in supporting the organisation’s efforts to apply IT in its operations.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

7. The organisation encountered problems during the planning and implementation of the IT systems.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

Effects of IT Application

8. IT application has been helpful in improving the speed of service delivered by the social welfare organisations to the public.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

9. The application of IT systems led to significant expenses and losses for the organisation.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

10. Internal communications was achieved through the application of IT systems.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

11. The application of IT systems led to significant cost reduction for the organisation.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

12. IT systems encouraged social service employees to become more productive.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

13. The application of IT systems helped in organizing databases and documents used by the organisation.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

14. The use of IT system led to the development of more quality service programs and delivery methods.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

15. IT applications facilitated the creation of stronger relations between the organisation and the public.

Strongly Agree

Agree

Uncertain

Disagree

Strongly Disagree

Appendix E: Contribution of Voluntary Welfare Agencies in Hong Kong (2006 Estimation)

No. of Voluntary Agencies

~370

% in Provision of Welfare Services

90%

Benefited Service Recipients (men-times)

~57 million

Employed Staff

~40, 000

Service Units Around

~3,400

Source: (2007)

The Nature of Information and Systems

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