COSTS & BENEFITS OF ICT COSTS & BENEFITS OF ICT National Seminar 16 National Seminar 16 th th December December 2009 2009 Rop Kiplagat Rop Kiplagat Marcel Werner Marcel Werner
Dec 20, 2014
COSTS & BENEFITS OF ICTCOSTS & BENEFITS OF ICT
National Seminar 16National Seminar 16thth December 2009 December 2009Rop KiplagatRop Kiplagat
Marcel WernerMarcel Werner
Why computerization?Why computerization?
Information and Communication Information and Communication TechnologyTechnology
Mobile Telecom
Information and Communication Information and Communication TechnologyTechnology
Internet everywhere
Information and Communication Information and Communication TechnologyTechnology
Computers in all offices and companies
Information and Communication Information and Communication TechnologyTechnology
Software made for Kenya
Information and Communication Information and Communication TechnologyTechnology
It’s the people that make your success!
Computerization?Computerization?
ICT can make money for your co-opICT can make money for your co-op
For whom?For whom?
Farmer associations with 100-plus membersFarmer associations with 100-plus members
– Willing to improve livelihood of the membersWilling to improve livelihood of the members– Ready to invest in efficiencyReady to invest in efficiency– Computer knowledge = not essentialComputer knowledge = not essential
BenefitsBenefits
• Administration efficiencyAdministration efficiency– Accurate pay-out & reporting– Duplication & complaints eliminated
• Business growth– More members– Discover where to save costs– Healthy cash-flow
CostsCosts
• The BoxThe Box
• ServicesServices
We will see: Computerization costs 1 - 2 % of SBO turn-over
Investments; Services
• Minimal investment: one computer + printer• Training: light training for clerk• Service: payment preparation outsourced• Service: computer + printer
Small society < 100 members
Society does data entry members’ deliveries; service provider does payment preparation and maintains the computer + printer. No need for computer network.
Investments; Services
• INVESTMENT– One computer + printer Ksh 60,000– Training & set-up Ksh 40,000
• SERVICE INSTALLMENTS– Payment preparation (12 mo) Ksh 60,000 – Equipment (12 mo) Ksh 15,000– Ink cartridges Ksh 5,000– Backstopping Ksh included
Small society < 100 members
Investments; Services
• Investment: two or more computers + printer• Training: training for clerks; computer manager• Service: computers, network, printer
Mid size society ± 1000 members
Society has one computer with staff for every 500 members. Does data entry members’ deliveries; prepares members’ payments; management reports. Service provider for training, backstopping and equipment maintenance.
Note: computer network + computer manager needed if more than 1,000 members.
Investments; Services
• INVESTMENT– Two computers + printer Ksh 110,000– Training & set-up Ksh 90,000
• SERVICE INSTALLMENTS– Equipment maintenance (12 mo) Ksh 30,000– Ink cartridges Ksh 8,000– Backstopping Ksh included
Mid size society ± 1000 members
Investments; Services
Investment: computer network > Ksh 500,000
Large society > 1000, up to even 10,000 members
Society has computer network with computer and staff for every 500 members. Computer manager full-time.
Service provider for training, backstopping and equipment maintenance.
Depreciation in 3 years
Check your: Computerization costs 1 - 2 % of SBO turn-over
Partners to support you
• NakuruNakuru
• BungomaBungoma
• EldoretEldoret
• MeruMeru
• NyeriNyeri