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AN EVALUATION OF THE STRATEGY AND

IMPLEMENTATION OF E-SERVICE SYSTEM
MANAGEMENT IN A...

Article in Journal of Management Information Systems August 2014

DOI: 10.13140/2.1.2247.3603

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 AN EVALUATION OF THE STRATEGY
AND IMPLEMENTATION OF E-SERVICE SYSTEM
MANAGEMENT IN A GOVERNMENT INSTITUTION USING
FRAMEWORK OF INFORMATION TECHNOLOGY
INFRASTRUCTURE LIBRARY VERSION 2
(A Case Study of The System of Information Technology In
The Municipal Government of Yogyakarta)
Sami Kandha Dipura1, Ir. Surjono, M.Phill.2, Dr. Wing Wahyu Winarno, MAFIS., Akt.3
1
Student at Faculty of Engineering in Universtas Gadjah Mada
Jln. Grafika 2 Yogyakarta 5528 INDONESIA
2
Lecturer at Faculty of Engineering in Universtas Gadjah Mada
Jln. Grafika 2 Yogyakarta 55281 INDONESIA
3
Lecturer at Faculty of Engineering in Universtas Gadjah Mada
Jl. Seturan Raya, Sleman Yogyakarta 55281 INDONESIA

samikandhadipura@gmail.com

ABSTRACT This study aimed to measure the effectiveness of

e-service system management in the municipal government of I. INTRODUCTION
Yogyakarta. The measured field had two areas, the area of An evaluation of the service qualities is needed
strategy, and the area of implementation, because these two areas
must be present in any IT system management (ITSM). Both
to see the fit between services which are developed
concepts of strategy and implementation was aligned with the along with its reality conditions. In this study, the
ITIL framework Version 2, ITIL framework could be used as a researcher evaluated the effectiveness of electronic
standard evaluation for IT system in government agencies, the
formulation of the problem in this study was how to measure the
services which is provided by a IT system
level of e-service effectiveness in the area of strategy and in the management by government agencies using the
area of implementation which were governed by municipal Framework of the Information Technology
government of Yogyakarta.
The study was held in three months from 20 September until
Infrastructure Library (ITIL) version 2. The ITIL
20 November 2013. The method which was used in this research Framework itself besides of having a capacity as the
was descriptive-evaluative, with qualitative approach and IT system management, its also can be used as the
deductive reasoning. The sampling method used was non-
probability sampling technique with some judgements.
audit standard for any IT system.
Representative sample of the population of the authorities for the The Empowerment of State Apparatus Ministry
system management of electronic services in the municipal city of of Indonesia had given Yogyakarta city to rank as
Yogyakarta was TIT (Telematics and Information Technology)
Department, its a special agency which was responsible for the
the fourth best nationally in terms of public services
success of e-Government in the municipal Government of [1]. This information prompted the researcher to
Yogyakarta. choose Yogyakarta city as the research site. This
After an examining by the analysis in which the research was
conducted, it could be concluded that in the municipal
study aimed to measure the effectiveness of strategy
Government of Yogyakarta based on framework ITIL Version 2 and its implementation by the Yogyakarta city in the
the area of strategy was less effective (the value was 67.83 %), and management of e-service system using ITIL Version
for the scope of service delivery as part of the area of
implementation in information technology system which was
2.
applied also less effective (the value was 67.17 %), also something After knowing the level of effectiveness in the
similar to the scope of the service support as part of the management of electronic services system using on
implementation area of information technology system
management which was applied also less effective (the value was
ITIL Version 2, subsuquently it would get solutions
63.03 %). The surprising finding of this research was the to the problems being faced based on ITIL Version
maximum achievement of the value for the variable of service 2 as the Best Practices for administrators in the
level management, while the other variables were low. Thus it
could be referred that the municipal Government of Yogyakarta
electronic services management system of
required improvements for the all processes that currently Yogyakarta City.
running in its IT system management for e-services, so that was
supposed to reduce the gap between the plan activities that had
been made and its executions.

Keywords ITIL, ITSM, e-Government, e-Service.

 II. RESEARCH METHODS
The research method used in this research was
descriptive-evaluative method with qualitative
approach and deductive reasoning. The descriptive
method focus on the problems that exist at the time
the research is being done or the problems that are
actual, then describe the facts of the matter which is
being investigated as it is, coupled with a rational
interpretation [2]. While the evaluative method is
the process of judging things based on evaluation
standards that have been determined previously then
a decision is taken according to the object research.
The evaluation standard which was used in this
study was ITIL Version 2, the qualitative approach
mean that the study aimed to understand the
phenomenon of what was experienced by the
administrators through behavior, perception,
motivation, and actions in such view of a holistic
manner [3]. While the reasoning method is a
deductive because the reference standard used was
ITIL theory in accordance with the findings from
the field which were related to conceptual
definitions and operations defined by ITIL as a Best
Practices.
The research material used in this study was the
knowledge of the ITIL [4, 5], the knowledge and
theoretical understanding of the IS-BSC [6] also the
knowledge of ITSM [7], and the data of the
electronic services system of Yogyakarta city which
consisted of secondary data and primary data. The
secondary data consisted of web-based services
management (parent domain: jogjakota.go.id), SMS
Gateway-based services management, other
management such as network infrastructures,
telecommunications, databases, MIS (Management
Information System) applications and the matters
relating to the organization of work processes in TIT
Section in the municipal government of Yogyakarta,
and also informations obtained from official
documents relating to the implementation of
electronic services. While the primary data acquired
from in-depth interviews with administrators and
from paper writing checklist that was ITIL Critical
Success Factors [8, 9, 10].
The ITIL Critical Success Factors has 15 kinds of
variables which are grouped into two areas, the first
is the area of strategy that consists of The Aspect of
Business Planning, The Aspect of Services Planning,
The Aspect of Organization Planning, and The
Aspect of Technology Planning [11]. The total
number of questionaires as its then called ITIL-
Based Balanced Score Card for Strategy area was
229 questions.
The second is the area of implementation that
consists of two scopes, the scope of Service
Delivery which are consisting of Service Level
Management (SLM), Capacity Management, IT
Service Continuity Management (ITSCM),
Availability Management, and Financial
Management. The total number of questionaires as
its then called ITIL Critical Success Factor for
Service Delivery scope area was 228 questions.
Furthermore, the scope of Service Support which
are consisting of Service Desk, Incident
Management, Problem Management, Change
Management, Release Management and
Configuration Management [10, 11, 12, 13]. The
total number of questionaires as its then called ITIL
Critical Success Factor for Service Support scope
area was 279 questions.
The information resource persons who became a
particular one of the data sources must be a resource
that is in accordance with the study subjects that
were policy makers and adiministrator staffs in the
Section of TIT, as its one of the branch in
organization of Yogyakarta municipal government,
also in The Office of Licensing and in The Office of
Public Relations and Information in accordance with
their job descriptions respectively.
A. The Conceptual and Operational Definitions of
The Strategy Variables
Strategy is one of the foundational factor that
determine the success in any system which its
implementations will be running further [14, 15].
The strategy which was mentioned here is based on
ITIL Version 2 standards which were described
according to IT Service Management (ITSM) as
shown in Table 1 below.
Table 1 The Description of the Strategy Components of ITIL Version Table 2 The Description of Implementation Components of
2 [10] ITIL Version 2 [4, 5]

The variables in the scope of strategy ITSM of ITIL The Coverage of Service Delivery Tactical Level
Version 2 Service Level Management Negotiating the terms in a
Business It is a business strategy that focuses on (SLM) Service Level Agreement
Planning what and how the needs of today's (SLA) and ensure that these
businesses can be clearly defined and negotiations are met with
can be facilitated by existing technology their environments.
infrastructure. Capacity Management Ensuring that capacities of
Services Focuses on how to provide Information IT services and IT
Planning Technology services to the needs of the infrastructures are able to
organization (internal and external), how provide service level targets
service processes should be run. thats agreed with the
Organizational The plannings related to organizations effective and timely cost.
Planning goals on how organizations adapt to IT Service Continuity Managing any risk that may
business factors that impact on culture in Management (ITSCM) affect IT services. ITSCM
the management of IT system and how ensures that the IT service
IT can be fully integrated within the providers can always provide
organization. at least a minimum level of
services that have been
Planning Focusing on what and how the plans agreed before, by reducing
Technology affect the use of IT infrastructure both the risks to an adequate state
internally and externally in the midst of and a recovery planning.
the problems and the needs of business Availability Management Defining, analyzing,
issues on how to implement the use of planning, measuring and
IT. improving all aspects of IT
service availability.
Financial Management Managing a budget provision
for IT services, accounting
B. The Conceptual and Operational Definitions of and prescribing costs.
the Implementation Variables The Coverage of Service Support - Operational Level
If just formulating a strategy, it is not a Service Desk A one point of contact
guarantee that the strategy will be implemented between service providers
thoroughly and effectively, in the proses of and users.
changing from Intended Strategy to becomes Incident Management Managing the life cycle after
Realized Strategy is called Implementation. The incident. The ultimate goal is
to return the IT services to
ability to implement a strategy is far more important customers as quickly as
than the strategy itself. In implementing a strategy possible.
of an organization sometimes face some difficulties Problem Management Managing the life cycle of
caused by obstructions within the organization, such all the problems that
as the vision barrier, the people barrier, the occurred. Its main purpose is
to prevent incidents
resources barrier, and the management barrier [17]. occurring.
To overcome these obstacles, the ITIL framework as Change Management Controling the life cycle of
a Best Practices in IT system management aims to all the changes. The goal is
achieve the highest quality in the electronic services, to enable beneficial changes
that provides guidance in running processes or in to be made with a minimum
possible disruption to IT
implementing an IT system which consists of two services.
process coverages that are the Service Delivery and Release Management Its responsible for planning,
the Service Support. The basic concept of these scheduling and controling
coverages and their variables thats based on ITIL the service delivery activities
Version 2 which were described in the following into production environment.
The primary objective of
table 2.
 Release Management is to Level 3.5: Quality Control - Focusing on the review
ensure that the integrity in and verification of the the process outputs to ensure
the production environment
has really protected (well
the appropriate quality targets to be achieved.
controlled) and service Level 4: Information Management - Focusing on the
components have actually governance of the processes and to ensure that there
been delivered to customers.
Configuration Management Its responsible for are sufficient informations in a timely meaning
maintaining information in a which will be generated from the management
manner that is required in processes for supporting decision making.
configuring IT systems.
Level 4.5: External Integration - Checking whether
All variables in the both scopes of strategy and all interfaces and external relationships between
discrete processes and other processes have been
implementation must be measured persentatively
which means showing the actual level of established within the organization. At this level, all
of the ITIL terminology can be fully applied in the
achievement results compared to the ideally based
data brought into the instruments [6]. Especially for running processes of the organizations IT service
management.
the scope of implementation, the data acquisition
results will be performed and analysed according to Level 5: Customer Interface - Focusing on the
ITSM-ITIL theory by Leopoldi [10, 11] that is based external review of ongoing and validation processes
on the 9 levels which consists of 1 1.5 2- 2.5 - 3 to ensure and to maximize customer fulfillment.
- 3.5 - 4 4. 5 the 5. Purpose and definitions for
each level were described as follows.
III. RESULST AND DISCUSSION
Level 1: Pre-requisites - Ascertaining whether the
minimum level requirements of the prerequisites is
A. The Existing Condition
available in the system to support the process. The TIT (TIT means an Indonesian abbreviation
Level 1.5: Target Management - Establishing of Information Technology and Telematics), TIT is
whether there are policies from the organization, a board in Yogyakarta City government
business goals (or purposes of the organization) organization that had been formed based on Mayor
already existed to provide implementation guidance Regulation No. 58 in year 2008 as the center
in the transformation from requirement prerequisites organizer of information technology and
to the next phase. telecommunications in the region of Yogyakarta
Level 2: Process Capability - Checking the activities City, and as the responsible board for the
which are being performed. This level aims to successness of e-Government in Yogyakarta City,
identify whether a set of minimal activities has been municipal government of Yogyakarta had the e-
carried out. Government masterplan based on Mayor Regulation
No. 78 Year 2007. In the achieving of e-government
Level 2.5: Internal Integration - Trying to ascertain based on that master plan, the municipal
whether all activities have been integrated enough to government of Yogyakarta had the long-run planned
meet the objectives in the processes. program that could be described in four phases [18],
Level 3: Production - Checking the actual output of namely:
the processes being carried out to see if all the - Medium Term Development Phase I (2007-2011)
relevant products are being produced (In this case - Medium Term Development Phase II (2012-2016)
the products means the services that have been - Medium Term Development Phase III (2017-2021)
prepared and provided, those products are not in the - Medium Term Development Phase IV (2022-2026)
form of softwares or tools).
 For the Medium Term Development Phase I
(2007-2011), the main targets to be achieved are: Table 1 The Evaluation Results
- Creation of an integrated database.
- Preparation of Standard Operating Procedure Variables Percentage of Average of
(SOP) for IT-based government services. Achievement Achievement
- Provision of adequate infrastructure based on the Values Percentage
needs and resources which were already running. Each Scope
- Development and improvement of the MIS Business 72.66%
(Management Information System) and the Planning
agency's website.
Service 33.33%
Planning Coverage of
B. The Work Structure In The Existing Structure Organization Strategy
Telematics and Information Technology Organizational 90.32%
Board/Department (TIT) had a working structure as Planning 67.83%
shown in figure 1. Technology 75%
Planning

Service Desk 81.40%

Change 89.29%
Management

Incident 42.56%
Management

Problem 4.35% Coverage of

Management Service Suppport
in The
Release 84.44% Implementation
Management Area

Configuration 76.19% 63.03%

Management

Availability 78.26%
Management
Coverage of
Figure 1 Structure and Relationship Chart Work Financial 67.30% Service Delivery
Management in The
With Unit Work of Local Government Apparatus (SKPD)
Implementation
Service Level 100% Area
Management
C. Results of Evaluation 67.17%
In Table 3 there was a percentage figure drawn as Capacity 53.33%
Management
the results of the achievement evaluation based on
the ITIL framework Version 2. ITSC 36.95%
Management

THE AVERAGE OF ACHIEVEMENT PERCENTAGE IN

THE IMPLEMENTATION AREA 65.1%
 While Figure 2 below showed the results of the showed as the difference or gap in numbers between
mplementation evaluation based on the measuring the achievement of strategic scope that was 67.83%
of nine levels according to Leopoldis theory [10]. to 65.1 % as the achievement in the implementation
scope.
After being traced that of interesting slight
disparity, the occurred slight disparity was due to
low achievement in the scope of strategy, especially
in the aspect of the Service Planning which its
achievement was worth only33.33 % (Table 1).
Because of the aspect of service planning was the
first cause, then in this aspect should be addressed
first to be diagnozied, although other aspects and
other processes within the scope of implementation
must also be addressed.
(2) The Scope of Service Support Within The Area of
Implementation In The IT System Management
The scope of Service Support had a weakness
that was in the variable of Service Desk which was
no person thats signied responsible for the service
desk task. In the variable of Change Management
had been no real effort for working in efficiency and
there was no proactive way should be done for
Figure 2 The Average Circumstances In The Ongoing IT anticipations. In the variable of Incident
Management
Management had been no evaluation and
Note: anticipating for the future needs as well as the
- 1 : Pre-requisites Level diagnosis of the running system. In the variable of
- 1,5 : Management Intent Level Problem Management almost no control and
- 2 : Process Capability Level adequate MIS supports for its activities. In the
- 2,5 : Internal Integration Level
- 3 : Products Level variable of Release Management had no review for
- 3,5 : Quality Control Level the services that had been provided so the quality
- 4 : Management Information Level control was only limited if there was a call for
- 4,5 : External Integration Level ongoing problems. And In the variable of
- 5 : Customer Interface Level Configuration Management there was some
weaknesses and lacks of internal integration of
D. Discussions running applications.
To cover up the weaknesses in the scope of
(1)The Area of Strategy In The IT System Management
Service Support as mentioned above, might being
According to Table 1 above, when the strategy
offered was the need for more commitments in the
scope was compared to the implementation scope,
management and full involvement in all levels of
there were no significant gaps. In fact in many
staff in the organization generally in all of being
evaluation cases, usually the strategy scope had
involved boards or sections of Yogyakarta city
worth adrift much higher than the implementation
government, and specially in particular was TIT
scope had, it was based on the assumption that the
Section of the Regional Secretariat of Yogyakarta
scope of strategy showed as "at which point we
City Government. In the scope of Service Support
want? ", And the scope of implementation showed
(at operational level), the main endorsements for the
as "at which point we are now". While the results of
service support scope were identified and measured
this research showed the disparity between both
such as Service Desk (81.40 % achievement) and
scopes was only 2.73 difference points, thats
Incident Management (42.29 % achievement) which these problems then there should be a gradual
were both suited to the needs of the service improvement in all activities which were defined by
fulfillment process, although for Incident the ITIL concepts or the variables, and the
Management still had low value, but other processes approachment might start appointing some
were followed in the work processes that supporting specialized personnels for Services likes Service
Service Support were also important to note, Desk, also the need of continuous improvement in
especially for the Problem Management variable the processes likes capacity management and ITSC
process (which the achievement was only 4.35 %). management, then other management processes and
reducing unnecessary costs. And the need for
(3) The Scope of Service Delivery WithinThe Area of training for related staffs according to their job
Implementation In The IT System Management descriptions that should be improved as mentioned
In the scope of Service Delivery (at the tactical earlier, so some complaints about the personnel
level), some services had not been set, for the shortage can be overcome by those solutions.
example was the processes that involve Capacity
Management (53.33 % achievement) and (4) The Evaluation Results Based on Nine Level of ITSM by
Availability Management (78.26 % achievement) Leopoldi
which were merged in such practice interchangeably From Figure 2 it could be concluded that the
and managed in a less structured way. This led to evaluation for the prerequisites for the service
neglection of key major tasks that affect all management variable was had fully adequate scores
performances of service system. While other as shown in the diagram Figure 2 (83 %). The
processes within the Service Delivery scope had not management information variable had low level in
been fully maximized, for an example was Financial all regions (56 %), the problem management
Management (67.31 % achievement). While the IT variable faced the classic excuse that there were no
Service Continuity Management that although the possible efforts to control the problem before the
percentage was very low (36.96 %) but when the problems occurred. Meanwhile in the Internal
study was being conducted its achievement still Integration level was still very low (50 %) and must
struggle to gain to a higher level and its achievement be driven harder to increase the awareness of
still prominent for sustaining the backup system. internal management. So hopefully there was a
The scope of Service Delivery had some strong need to start setting goals, creating
weaknesses, in the variable of Availabilty appropriate structures, defining and assigning roles
Management, that was the service interfaces and responsibilities for the implementation of IT
currently running less oriented to end users and its service management. The internal integration level
management was less structured. The variable of had not been implemented because there were
Financial Management was weak in the evaluation several other processes that were not yet
of the financing process, and once after post- implemented, for example, as seen in Figure 2 the
acquisition when the project was completed without scores for the other processes were still low (below
any sustainable MIS or documentation that could 60 %).
provide useful information to other relevant parties. In the Level of Information Management could
For the variable of Service Level Management, not be done if some supporting processes were not
despite its score of attainment was at maximum running, reporting structures had not been
level whereas other variables were still low, it determined and the data was not collected to
indicated a wide gap between the plans and its generate reports. The Service Delivery scope is not
executions. The weakness in the Capacity enough if it is supported by products or tools
Management variable was in the scheduling process without special personnels. And therefore, the
for the provision of infrastructure to support future integration between the ideal best practices and the
needs. The weakness in the ITSC management existing processes need to be more attentioned. In
variabel was the lack support from specialized the term of building customer satisfaction and
personnel to the current system, to overcome all quality of service, if only relying on the promises of
the willingness from personnel only, it will be not - PM :
Problem Management
enough, so it should be more special personnels who - IM :
Incident Management
- RM :
Release Management
served in accordance with their disciplines in such - ChM :
Change Management
clarity and certainty that had been prescribed as - CoM :
Configuration Management
applicable duties for them. The following workflow - ITSC :
IT Service Continuity Management
diagram below was a proposal that hopefully could - CpM :
Capacity Management
help understand how ITIL processes could be - AM :
Availability Management
- TIT :
Teknologi Informasi dan Telematika
running to meet the needs of providing services so (Dept. of Information Technology And
that it could reach a good effectiveness in the Telematics)
management of the IT service system by Yogyakarta - SKPD : Satuan Kerja Perangkat Daerah
municipal government. A proposal was represented (Unit Work of Local Government Apparatus)
in the diagram of Figure 3, which showed the flow - APT : Aspek Perencanaan Teknologi
(Technology Planning)
of the processes associated with the roles, each - FM : Financial Management
component of the working processes in the - APB : Aspek Perencanaan Bisnis
management IT service system had been identified (Business Planning)
in the municipal government of Yogyakarta by this - APL : Aspek Perencanaan Layanan
research. (Service Planning)
- SD : Service Desk

IV. CONCLUSIONS AND RECOMMENDATIONS

A. Conclusions

After the e-service system management of the

Yogyakarta municipal government was evaluated by
an analysis technique of the ITIL framework V2-
based method in which the position was identified, it
could be concluded:
1) Based on the analysis method of ITIL framework
version 2, the strategy of e-service system
management which was organized by the
Yogyakarta city was less effective with enough
category (value 67.83 %).
2) Based on the analysis method of ITIL framework
version 2, Service Delivery as part of the
implementation of e-service system management
which was implemented by the Yogyakarta city
was less effective with enough category (value
67.17 %).
3) Based on the analysis method of ITIL framework
version 2, Service Support as part of the
implementation of e-service system management
Figure 3 The Proposed of Structure and Relationship
which was implemented by the Yogyakarta city
Chart Work
was less effective with enough category (value
Note : 63.03 %).
- SLM : Service Level Management
- APO : Aspek Perencanaan Organisasi
(Organization Planning)
B. Suggestions

1) For IT System Management in Yogyakarta city: 2) For Further Research:

Lessons learned from this study, leads us to This study had evaluated the IT service
highlight some recommendations for successful management system based on the framework of
implementation, based on the aspirations from the ITIL Version 2, but its also expected for
IT department and its environmental constraints : further Researchers to use ITIL Version 3.
There must be full commitment and involvement Its also expected for other researchers
of the management for evaluating, anticipating evaluating IT service management system in the
the future needs, and diagnosing the running municipal government of Yogyakarta with
system. theories that were not included in this study or
There should be a gradual improvement approach, by using another framework as a comparison.
starting with the appointment of specialized For researchers who want to examine the same
personnel for service desk function, and method are expected to use a longer time in
continuous improvement activities for problem order to obtain richer data.
management, incident management, capacity
management , and ITSC management.
The need of trainings for the staff and
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