How does a social development organisation assess the need to invest social funds in Information Technology (IT)? The decision to make an IT investment in anything above standard Microsoft (MS)Office applications requires a careful cost benefit analysis.

In recent times current consideration has resulted in two significant IT investment decisions at the Jamaica Social Investment Fund (JSIF),an agency of the Government of Jamaica, currently manages a portfolio of loans and grants in excess of US$90 million.

The first involves the rationalization of our Fund Manager database to improve our reporting and analysis of our operations and to directly improve our strategic management decisions. The second significant investment has been the redevelopment of our Cost Database infrastructure which will improve accuracy, scoping, estimation, and analysis of our project costs. This is a significant development to support our large civil works portfolio. The JSIF Cost Database represents a significant asset for an agency of government.

In the business of Social Investment, investments made should result in increased benefits and delivery of services to one’s clients. These increased benefits are not always quantifiable in the short or medium term. So, how does one quantify a return on investment for operations?

Since inception, JSIF has had to keep pace with its growing portfolio, manage, monitor, disburse and most importantly be accountable to its partners. In doing so JSIF’s leadership mantra has been that an investment in Information Technology (IT) is a necessity.

JSIF’s IT infrastructure started with skeletal project management software built on abasic platform developed by the Honduras Social Fund.

Now in its fifteenth (15th) year of operation, JSIF has invested approximately 0.6 per cent of its budget on the IT infrastructure that supports its operations. In assessing the return on that investment, we consider that at the very minimum we will see a one per cent return; with an annual budget of J$2.5 billion, this accrues to savings of approximately $25 million annually,arising from the investment.

Implementation of systems and processes are the hallmark of JSIF’s operations: The investment in IT allows JSIF to harmonize multiple dimensions of our operations each contributing to the efficiency in output. JSIF’s proprietary software (coined the Fund Manager) has been has been designed, built and maintained internally and enhanced well above standard Project Management capabilities to integrated multi-modal elements namely:

* Project concept development,

* Project Cost estimating,

* Financial Forecasting & Reporting,

* Environmental Management,

* Auditing

* Fleet management,

* Procurement & Contracting

* Document Management

JSIF’s IT involvement, however, is affected by the ever changing environment. Investment must a have a perspective that includes upgrading hardware, training staff in cutting edge technology and pushing the envelope of software design and enhancement.

Investment in IT succeeds, where the selection and timing of the investment decisions are well directed. Through the leadership of JSIF’s Management , IT infrastructure has kept pace with its growing portfolio. In order to successfully manage, monitor, disburse and importantly account for our growing portfolio; investment in IT was a necessity.

Over the years of the JSIF has proudly operated within the universally accepted standard for social funds, which dictates that funds utilization should fall within the ratio of 25 : 75 for administration to project expenditure. It is within this context that we have assessed the worth of our IT investments. Regardless of our budget over the years our process and systems as facilitated by IT have ensured that efficiency is sustained. The management of social funds imposes a high level of responsibility; each dollar spent on administration must link exponentially to some output; which in the case of the JSIF means additional investment in our communities.

Another major investment in IT that has returned significant returns in the short term was the upgrade of theEnvironmental Management System (EMS)in 2006. This enhancement facilitated recording and management of our efforts to reduce the environmental impacts of our infrastructure projects,converting our carbon footprint to a positive one and significantly contributed to JSIF becoming ISO 14001certified two years later in 2008. This certification has increased our profile with Jamaica’sMulti-Lateral partners who finance development programmes.

Innovative Software development

JSIF’s investment and innovation in IT is not restricted to its internal operations. We also seek to use development funds to finance IT initiatives that will assist Government agencies such as the Office of Disaster Preparedness and Emergency Management (ODPEM), the Planning Institute of Jamaica (PIoJ), the Ministry of National Security (MNS) as well as vulnerable communities. Currently we have invested significantly in two IT development projects that are critical priorities affecting Jamaica’s development at this time. The first isrelated to Natural Hazards and the second to Crime Mapping.

JSIF in collaboration with the Mona Informatix Ltd has created a Disaster Simulation Software (DSS), which based on the Geographic Information Systems platform of Jamaica, simulates the effect on the Built Environment of the natural hazards we are exposed to in Jamaica. The system is quite innovative, interactive and the first of its kind in the Caribbean.

The second significant software development continues with the development of theIntegrated Crime and Violence Information System – ICVIS this addresses the need to provide aportal for information to be used by different crime stakeholders i.e. Police, Ministry of Health, Community Groups, planning agencies, Multi-Lateral Agencies etc.

This portal will allow for data sharing in real-time, while ensuring confidentiality and integrity of the source data or the revelation of confidential details contained within the benign database.

Our lessons learned proves that not every investment in IT provides the deliverables that will match your business needs. For companies seeking to implement technologicalsolutions, one must be wary of being led by the nose by the glitter of promised savings or improved efficiency. Systems which are added must be “cut to the cloth” of what the business needs and not simply be added because of promises proffered.

We have learnt that adding technology must also be accompanied by a change management programme which seeks to engage employees at all level in the “re-culturization” required by users.

There will be resistance and challenges, as the new systems are integrated, these must however be worked through. At the JSIF we attribute success, to efficiency in service delivery while ensuring value for money. Our experience with investment in technology has directly improved efficiencies in service delivery,and theresulting benefits have accrued to the communities we serve.

Contributed by the Jamaica Social Investment Fund (JSIF), one of the Government of Jamaica’s implementing arms for its poverty reduction programme.