business case
Thursday, June 7, 2007
Faculty of Social and Political Science (FSPS) is a part of well known educational organization that exists in East Java city center. This faculty was held around 50 years ago, and until now have seven departments, with more than 1000 students, 130 lecturers, and 70 administrative. FSPS has almost 50 classes, that been used from 7 am until 4 pm, from Monday to Friday. There is no empty class during that period. It’s mean that the lecturers cannot late or absence during the lecture periods. Because, one lecturer comes late to the class, it will affect the next lecture since the limitation of the number of the class.
The faculty did not want to expand the building because it is costly and spend a lot of time. The faculty argues that the number of class is still appropriate to support study. The problem only occurs when there are many lecturers who not disciplines and not come on time. Many lecturers think that they can teach in any day and any time. It probably happen when the faculty have small number of students, but the increase of the department and students push the lecturer and administrative to obey the timetable that available in the faculty.
On the other hand, the administrative staffs also have the same attitude with lecturer staff. They supposed to help the teaching and prepare for the equipment from the class, white board, LCD projector, and manage the timetable. Many administrative often came late to the campus and going home before the time. It is very difficult to detect their attendance because there is no prove about the attendance time. Once, the staffs come late to the campus, and they have responsibility to prepare the teaching equipment, the result was, the lecture will delay approximately 10-15 minutes, and if the lecturers come late as well, it will increase the delay until 30 minutes.
For some company / organization the attendance has become the important thing, because it influences the effectiveness and productivities of the employee. As a part of well known educational organization, FSPS need to improve their professionalism by giving good service to the customer, and build the better image to the public. Many students enroll to this faculty because it’s credibility and good teaching method.
As the oldest educational organization, FSPS is unbeatable by the other university. It’s easy for FSPS to open new department and still got a lot of student every year. The fact that there are many new and well manage universities that appear as a competitor makes the FSPS try to fix their internal management.
Another problem is very difficult to record the staff’s work overtime. Lazy staff can easily fill the manual presence by cheating the report, asking friends to fill the presence, or many other ways. In contrast, the hard worker staffs feel that they did not get the significant reward on their work. This problem will trigger the gap between the lazy and hard work staffs.
Project Description
The objective of this project is to increase time efficiency, reduce employees’ indiscipline, and maximize the use of classes and teaching method. This project will apply biometric fingerprints sensor as a tool to record time attendance for the employees. So the head of the faculty can make a decision to solve the late coming problem or absence matter for the employees. The head of the faculty also can make a new role in order to reduce this problem. Because, the old presence system is not working properly, and many employees try to manipulate their time attendance.
This new presence system hopefully will help the decision maker to control their staff. Biometric fingerprints sensor will avoid recording the wrong time, this tool also give the real time automatically when the staff put their finger in the sensor. The staff also can’t cheat their attendance by write the fake time attendance or use their friends to write their time attendance.
The scope in this project is including the problem and organization environmental analysis, make the new design of the presence system, choosing the user friendly product, give training and user education about the new presence system. Monitoring the project whether it work proper or not. Including fix the problem that may occur after implements this technology. To avoid the failure while implement the new technology, the organization also hiring the tools provider to maintain the new technology. So this project will guide the user to implement their new technology from the beginning until the system settle.
The goal of this project is to maximize the use of the classes, so in the future if the faculty intends to expand their departments they will be have the empty class. The fix timetable also can easily create without any staffs that come late anymore. The only serious problems that may threat the project work appropriately are cultural and behavioral. Most of the staff are old and have been working for more than 20 years, and they used to work in the relax environment (no time restricted and fix timetable). It supported by the cultural (east / Javanese cultural) that say if time is not important, and is common to come late. This became the big challenge for the project implementation.
The players of this project include the project consultant, consultant here is a group of people who analyst and investigate all of the things that involve in the project making. The faculty leader and management, have role to determine the requirement of the project goals. The biometric fingerprints provider is a company who provide both fingerprints sensor equipment and service for the maintenance. Staffs are a user of the fingerprints sensor. The staffs in this case consist of lecturers, administrative, and the decision maker.
This project will be estimated for six month length. Start from analysis, consultation, choosing the product, data input, implement the technology, and user education or training. The full timeline is enclosed in apendix1.
Environmental Analysis
Biometric fingerprints presence has been applied in some organizations, for example is the pharmaceutical company in the capital city. This technology support the organization activities and the employee also work at the real time. The employees don’t need to be afraid with time miscalculate, because the biometric fingerprints record their attendance and overtime data accurately.
In this organization, presence is been used to measure the salary increasing according to time attendance. The management always checks the attendance of each employee, so they can determine the salary increasing or promote the staff to the higher level.
The time restricted and high level of discipline influence the work efficiency. There is no time wasting and many works can be done on time. The financial benefits, organization didn’t spent extra money to pay the overtime works.
Another example is the use of card presence check in one of educational organization still in capital city. This method is based on manual method of presence, and use the ID card punch as a tool to check the employee attendance. Even though the accuracy level is high, but many human errors can be appears. For instance, because card is not a part of human body, so it can be easily removed from one place to another. Employee still can use the card without coming to the company. The employee can ask his collogues to screen their ID, so the data said that employee is attend but in fact they are not coming to the office.
Problem Analysis
• Many employee come late to the work place
• Still use paper based presence
• Lack of class because of unmanaged time
• Some of lecturer are finish too early because the class will be used by another lecture
• There is no strict regulation about the working hours and penalty
• Strong cultural influence (late is better than never)
• Difficulty managing classes since the increasing the department and student number
Those problem occur because less of self discipline and professionalism, staff feel that they don’t have responsibility to the organization. The head of the faculty have strong tolerant to the staff who not discipline. There are no penalties or memos to remind the indiscipline staff. The result is, the staffs feel free to do anything.
The elements which create those problems are human, regulation, and culture. Human include the staff, the head of the faculty and management.
The impact of these problem is increasing the operational financial, for example, some lectures are held at night because lack of class. It is mean that the faculty should hire additional administrative staff, apply the overtime payment for the lecturer and additional staff, pay for electricity and security.
Available Options
Table 1. Current Presence Method
Tool Advantages Disadvantages
Paper based presence • Inexpensive
• Easy to use (user friendly)
• Didn’t need special technology• • Higher risk of data manipulating
• Inefficient
• No documentation
• Need staff to watch the presence paper
• Lack of consistency
• Easy to make error
FSPS use paper based presence system to record their employee attendance. The employee put their attendance time every time they come to the office and when they give a lecture.
Table 2. The Options
Technology Advantages Disadvantages
ID Card Presence • Less expensive
• Easy to use
• Only need the ID card and card reader
• Efficient
• Accurate
• Widely used • The ID card, can be used by other staff
• Many human error
Biometric Fingerprints • Efficient
• Accurate
• Easy to use
• Use finger as a unique identification
• Have a special software
• Can not be replaced by the other staff
• Avoid • More expensive
• Need special training
After comparing card presence system to biometric system, we decide to implement the biometric fingerprints presence system. The biometric system reduces the misused of the card among the employee. Below, is the specification of two different biometric fingerprints product.
Table 3. Biometric Fingerprints
Product Time-tronic X-100 Punch Clock
Name of provider Ravirachtech.com Sidikjari.com Veritask software
Country of origin India Indonesia USA
Fingerprints Capacity < 100 can be upgraded Up to 1500 4000
Identification speed < 1 second 1,4 second Not mention
Price Not mention +/- AU$ 720 US$ 2599
Picture
Photo: http://ravirajtech.com
Photo: http://www.sidikjari.com
Photo:http://veritasksoftware.com
From those three different types of biometric fingerprints presence tool, we decide to use the home country product, which is X-100. We assume that the X-100 is the best choice because the provider is in domestic area, so it’s easy to make a consultation and can get quick repair if there is something wrong with that tools.
X-100 suitable for small organization with 150-200 employees. The installation is easy and simple, supported by Indonesian language guide book. It is very helpful, and if the company didn’t understand how to install it, they can ring the provider, and then the provider will give some guidance and if possible they can flight directly within 30 minutes.
FSPS can put the X-100 machine in three different places, but still have one computer control. This tool will be put in three different entrances for every building, in order to help the employees reach the closest machine to their office. The map is enclosed in appendix2.
Description
For middle size organization FSPS choose the medium standard technology to support their presence system. This machine is enough to fulfill the organization objective. We not choose the other product because of the location of those product are far away from the organization home base. On the other hand, the time-tronic from India did not support with installation services and consultation, they only sell the product by mail. Punch clock is perfect machine for big company, they offer many software application from recording the time attendance, calculate the salary, extra time calculation. Beside the geographical distance, the price of this machine is very expensive. We think that the FSPS doesn’t need this multi task machine immediately.
As we know that almost 50% of the employees are the old people that never been touch by the technology. This issue becomes the big consideration why we choose X-100 machine. It’s easier to train the employees with simple and friendly machine. The internal technicians also get the benefits by implement this machine, they can maintain the machine independently.
The process while using this machine is quite easy. Every staff who come to the office should put their finger to the machine that been placed in the entrance of each building. For the lecturers they should show their attendance by touching the sensor machine every time they will give and after class.
General Business Benefits
There are two benefits while implement the new technology to support the organization. Those benefits consist of tangible and intangible benefits. A tangible benefit is the benefits that can be measured by the amount of money. It is obvious that the new presence technology will reduce the additional cost especially for overtime staff. For example, for the laboratory staff, they will receive the overtime salary if they work from 5-7 pm. This happen because the unrestricted time table, many lecturers change their laboratory schedule. The overtime staffs usually receive Rp.20.000 /hour. For more detail information will describe bellow.
Table 4. Tangible Benefits
Item Before implement new technology After implement new technology
Laboratory staff 2 people x 2 hours x 3 days x 4 weeks x Rp.20.000 = Rp. 960.000 per month Save approximately Rp.960.000 per month
Casual worker 3 people x 2 hours x 3 days x 4 weeks x Rp.15.000 = Rp. 1.080.000 per month Save approximately
Rp. 1.080.000 per month
Electricity Rp. 500.000 for overtime Save approximately
Rp. 500.000 per month
Cleaning service 2 people x 3 hours x 5 days x 4 weeks x Rp. 10.000 = Rp. 1.200.000 Save approximately Rp. 1.200.000 per month
Total per month Save Rp. 3.740.000 or
AU$ 550 per month
AU$ 1 equal to Rp. 6.800
The intangible benefit is the uncountable benefit. This benefit can’t be measured by number. This benefit can be seen by the improvement of the staff work and the increasing of discipline. No more late staff is the big goal the implementation of new system.
Costs
Tangible cost while implement the biometric fingerprint presence. The costs are including buy the new machine, install biometric presence software, supporting tools such as, computer with Windows XP program, CD/RW, consultation cost. Following that cost for training the staffs and the technicians. Additional cost will be needed for maintenance and evaluation the machine. The costs will be described in the table below.
Table 5. The Project Cost
Item Item number Amount
Biometric fingerprints presence machine type X-100 3 @AU$ 720 = AU$ 2160
Set of Computer Pentium IV, 512MB DDR2, DVD/CD-RW, 40GB, Windows XP 1 AU$ 1000
Installation fee (software and machine) - AU$ 350
LAN for the fingerprints sensor machine 3 AU$ 200
Consultation fee 3 @AU$ 150 = AU$ 450
Staff training 200 employees + technicians @AU$ 15 = AU$ 3000
User education - AU$ 300
Launching program 1 AU$ 500
Maintenance 12 months @AU$ 100 = AU$ 1200
Total Amount AU$ 9160 or
Rp. 62.288.000
AU$ 1 equal to Rp. 6800
The intangible cost consists of the organization operational down-time during the implementation of new presence machine. Some staff should leave their task to help the applying of the system. The internal IT technician should learn about new system, and leave their regular job. Administrative and lecturers should spend their time to learn about the new system. The head of the faculty and management also leave their work because they have to meet the consultant regularly. All of the operational down time can is uncountable. This is part in the cost of new system implementation.
Feasibility
Table 6. Feasibillity
Topic Rating (1-10) Method Used To Determine Feasibility
Operational 9 Will it do the job required
Political 6 Will users accept the change to business practice
Technical 9 Is the technology available locally; has it been tasted
Schedule 9 Will it fit with current timetables; is there a deadline
Economic 7 Cost/Benefit analysis
Legal 8 Are there any legal/contractual barriers
We can predict that the operational level of this machine is almost 90%, after we assessed the machine and the provider credibility. Some organization also applied the same machine and the result is satisfactory. For political aspect, we are afraid that the users still have difficulties to adjust with new presence system. That is a normal thing, because they used to use the old method for a long time. But, we are so confident that the users will change after certain period. The only thing to do is give user education to the user regularly. This technology is available locally, and come from reputable biometric fingerprints presence provider. This technology is widely use in small and large organization. The schedule of the project is for sic months long, there is a strict timetable and deadline. The longer the project the more money will spend, so the faculty and consultant should work as mention on schedule. The actual purpose of this project is not economical benefits, but to increase the professionalism and credibility of faculty staff. Even though in the future the cost benefits will appear but that’s not the primary things. However, the implement of new technology in the faculty will give significant cost benefits in the future. There is no legal barrier when the faculty tried to implement new technology.
Risks
Table 7. Risks
Description Likelihood Impact Mitigating Action
Socialization new technology may difficult to the all staffs Medium High Give reasonable explanation and future benefits about the new technology
Lack of IT staff in the faculty Medium High Hire IT staff to maintain the new technology
It’s hard to implement the new technology to the old generation Medium High Give individual training and guidance
There will be a gap between the old and new generation in the organization Low Medium The head of the faculty should become the bridge for this situation
Spent more money to maintain and upgrade the technology Medium Low Arrange regular budget
Issues
Table 8. Issues
Description Priority Resolution Action
The biometric fingerprint is a new thing for the staffs, and this will make them shock. So user education is needed High Give longer time for trial so the staff can adjust with new system
Many employees still influenced by the Javanese culture High Give reasonable example about the punctual and professionalism
Many lecturer assume that they can teach in any time, not depend on the timetable High Give the new over view about the mission and vision of the faculty
Some staff are didn’t have knowledge about technology Medium Give short training about how to use technology
Assumptions
• There is a special staff to maintain the new technology
• The faculty hire an Effective Working Consultant to help them reduce the ineffective and late problem among the employee
• The currency is in Rupiah and Austalian Dolar
• AU$1 equal to Rp.6.800
• The main computer control is in building 1
• Staff can use any biometric fingerprint machine in the buildings
• The result of the presence machine will be assessed by the head of the faculty.
• The machine is applied for all of the staff including the head of faculty
• This machine will be used for the first year, and after asses the usefulness of this machine, we will continuo to use it.
• There is no contact with the provider, the provider only support the product and help maintain
Conclusion and Recommendation
Conclusion
Late and less commitment is one of problem that occurs in some organization. Many way will be taken to reduce these problem, however some organization still struggling to implement what kind of technology that suitable to their organization. Faculty of Social and Political Science have applied the new technology to solve the late and less commitment problem. This technology is chosen because the root of the problem is that there is actual present system. Many employees use this opportunity to manipulate their attendance time, so the head of the faculty and management have difficulty to determine which on time and late employee.
The benefit of implementation of new technology is mostly intangible benefits. This benefit will appear for the future such as the professionalism of the staff. Professionalism in working place will lead them in to good quality in education, also make the staff feel more confident to face the challenge. The risk of this project can be minimizing with a good communication between faculty leaders and staff.
Recommendation
• Use domestic technology provider, its easier to solve problem
• Use credible technology provider
• Examine the other organization that have the same technology
• Use simple technology to accommodate various of users.
• Stick with the timeline to avoid over budget.
• Hire IT staff to maintain the technology.
• Give proper training to the users.
Word count: 3488
References
Biometric Employee Punch Clock™ 2.4. http://www.veritasksoftware.com/ biopunchclock.html
Time-TRONIX Desktop.http://www.ravirajtech.com/time-tronix-desktop.html
X100.http://www.sidikjari.com/p_x100.php
Posted by noah 1:50 PM
Labels: iinformation technology
1 Comment:
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- Anonymous said...
July 7, 2010 7:39 PMI am not going to be original this time, so all I am going to say that your blog rocks, sad that I don't have suck a writing skills
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