Social Economics Impact. Restructuring Impact

A Social Informatics Overview of e-Government Implementation: Its Social Economics and Restructuring Impact – Irwan Sembiring Krismiyati ISSN 1858-1633 2005 ICTS 125 of corruption cases, the improvement of transparency and openness in society, a better convenience for the society, even an increased income and cost reduction World Bank, 2002. RESULT The achievement stage of the implementation of E- Government System in regional Government of Selayar is pictured in the following diagram. Figure 1 Figure 1 The activity network of Selayar Government. From the analysis, which is limited to 19 governmental services only, it can be discussed as follows.

3.1. Social Economics Impact.

There are two kinds of cost component involved in that project investment, i.e. fixed cost and variable cost. Besides that, there is another factor that should be taken into account in calculating the CBA that is benefit. IE states that there are three kinds of benefits[parker 88]. They are explained as follows: 1. Tangible benefit refers to the benefit that has a direct effect to the profit of the company. 2. Quasi-tangible benefit is the benefit that focuses on the improvement of company efficiency. 3. Itagible benefit refers to the benefit that focuses on the improvemnet of company effectivity. Those benefits if quantified in the form of cost then it will be: 1. Cost Reduction The cost reduction occurs as a result of the implementation of IT project. One example is the reduction of employees’ salary as a result of automation. 2. Cost avoidance It points to the cost resulted if the the project is cancelled or delayed to perform. The social economics impact analyzed before and after the implementation of E-Government can be clearly seen in the following table. Information and Communication Technology Seminar, Vol. 1 No. 1, August 2005 ISSN 1858-1633 2005 ICTS 126 Tabel 3.1 The Justification of social economics impact of E-Goverment Implementation in Selayar Regency. A Social Informatics Overview of e-Government Implementation: Its Social Economics and Restructuring Impact – Irwan Sembiring Krismiyati ISSN 1858-1633 2005 ICTS 127 Information and Communication Technology Seminar, Vol. 1 No. 1, August 2005 ISSN 1858-1633 2005 ICTS 128 From the 19 governmental services of E- Government stated above, it can be seen that the total economics benefit is Rp195.622.800

3.2. Restructuring Impact

Value restructuring is a technique used to measure the value of productivity increase as a result of restructuring a job or a function of a particular department as the impact of Information Technology implementation. Tabel 3.1 The justification of economic impact of E-Government implementation in Selayar Regency,South Sulawesi. After it is applied, it is assumed that this system will increase the productivity about 75 for 9 govermental services. With this increase, it can reduce the cost for around Rp 1.978.131. Value acceleration impact from the integrated service unit for a year A Social Informatics Overview of e-Government Implementation: Its Social Economics and Restructuring Impact – Irwan Sembiring Krismiyati ISSN 1858-1633 2005 ICTS 129 Value restructuring impact from integrated service for 5 years.

4. CONCLUSION