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Library Information System: Outsourcing Services in District of

Petaling Jaya Private Colleges

Dr. Mohd Sazili B. Shahibi, Mazwani Ayu Bt. Mazlan

Faculty of Information Management, Universiti Teknologi MARA

Abstract: Automated library operations have been introduced earlier to support the development of the

information retrieval and access of library materials. Nowadays since there are demands of having

customized system to fit into one library operations, there are some issue arise with the emergence of

library technology, one of it is lack of internal professionals or manpower with skills and technical

capabilities. This study was conducted to search for the contributing factors of an institution that have

taken options of outsourcing their Library Information System (LIS) activities mainly in the private

colleges through some literature’s reviews and build up methodology to conduct the study. A discussion

made based on the findings.

Keywords: Outsourcing library system, library information system, outsourcing services, Outsourcing

library system

INTRODUCTION

Outsourcing has been a norm for several technology-oriented organizations, causing a rapid blooming on

this kind of business in the market. The approach of outsourcing is simple, along with the technology one

used for it organization for example the operation of the system, the operational part is given to the

outside company or people of the organization to do the work. Nowadays, the need of having technology

in every business activities are increasing as the rising demand of goods and services require a faster input

from both the business and consumers. This is where the outsourcing methods often takes place, with

several elements and various responsibility or needs that need to meet the organization’s goal. According

to Florin (2004), the unprecedented growth has not been without pain for both corporations and their

shareholders. IT/IS outsourcing strategies have, in some instances, preceded costly restructuring efforts,

failure to attain strategic goals, and loss of firm value. These can give a business a new perspective on

having another alternative in order to implement actions beyond their expertise.

The study will investigate the behavior and needs on what makes a company opt for outsource activities;

mainly for library information system in the area of Selangor. Based on the observation made in one of

the colleges in Petaling Jaya, Selangor, there are some of outsourcing issues happening within the library,

including having outsourcing activities on the IT part of the library information system. One of the

problems occurs is that the library staff needs to monitor ongoing costs and continuously assess the value

of outsourcing as costs change as the authority of ongoing activities lies on the outsource vendor. Another

is requirements of the library management to reassess the staff job specifications in order to add or

remove any substantial task that are previously done in a different way. This will lead to job extinction

and may cause the staff its job. Based on the observation earlier, there are environmental or management

interference that influence the library to get other companies outside the organization to perform part, half

or the whole library information maintenance and operations. This study will cover the library in

academic field, in private colleges in Petaling Jaya, Selangor. Based on word of mouth, it is fairly analyze



further with appropriate queries to get the proper findings. This study also investigates the reason of

outsourcing on library information system focusing on its challenges, barriers and also contributions and

advantages.

OBJECTIVES

The outsourcing of library information system has been viewed as a very important role in enhancing the

library services to the highest level of satisfaction in term of submitting to the user informational needs. It

is therefore important to explore the outsourcing library information system services and the need of it to

be applied in the library or other information centre of institutions. Consequently this study addressed the

following objectives:

To identify the contribution of environment aspect have influence the organization to

outsource LIS activities

To identify the contribution of education level have influence the organization to outsource

LIS activities

To determine whether there are some exposure on outsourcing activities for the organization

to consider having it done for the library

To identify is there any allocation of funds for the library in term of LIS outsourcing

activities

Outsourcing has been widely accepted in most organizations, and as there is an awareness of certain

unavoidable factors; libraries also will going through some changes; especially with rapid changes and

enhancement of applied technology in automating the library operations. Since the federal government

began "privatizing" federal libraries in the 1980's, the concept of outsourcing library services has stirred

strong opinions within the library profession. Outsourcing specific services such as facility and equipment

maintenance, security, or book repair/binding has been more accepted than the outsourcing of core library

functions. Public library managers remain concerned about the outsourcing of public library services, yet

according to the Public Library Association (Outsourcing: A Public Library Checklist, 2000), "It is clear

that public library outsourcing will not diminish in future importance. Research on impacts of IT on the

organization of manufacturing found a strong relationship between levels of IT investment and

outsourcing of production activities in US manufacturers (Bardhan, 2006). Therefore, the same theory has

been the same as there will be a technological impact on every organization. To evaluate choices and

decisions in outsourcing different components in one’s operation, there are need to consider the

advantages of outsourcing. Below figure (figure 1) is a diagram show the aspects of advantages in

outsourcing.



Figure 1: Advantages of Outsourcing

Advantages of outsourcing have many aspects (see figure 1). In rapid growth periods, the back-office

operations of a company will expand also. This expansion may start to consume resources (human and

financial) at the expense of the core activities that have made your company successful. Outsourcing

those activities will allow refocusing on those business activities that are important without sacrificing

quality or service in the back-office. In library context, the tedious process of the library operations can be

reduced by having an automotive system that can replace the manpower, to let the library focus on its

core activities (Clemons, 2003). Back-office functions such as in the library, the divisions requires the

staff to do on-going paperwork as well as performing the actual library task such as the cataloguing,

which is very tedious and need full force of expertise in that area. Because of that are complicated in

nature, and most of the library lies below the organization that are very challenging in term of the size of

the company mostly preventing from performing it at a consistent and reasonable cost, is another

advantage of outsourcing. This can be relating to the library operations, as said by McCord (1999) where

one of it is to let another party/ external organization to perform the binding process (to be a bound

journal). Another advantage is reduced overhead, where overhead costs of performing a particular back-

office function are extremely high. Consider outsourcing those functions which can be moved easily.

McCord (1999) mention that in the library that have a massive user; it is impossible to giving out notice

of book redemption (over-due books) on time and since the staff is too overwhelmed with other task, this

particular activity have been submit to external organisation to do it; to print notice of redemption and

post it to respective user. One more, by having activities in organizations outsourced; the operations

whose costs are running out of control must be considered for outsourcing. Departments that may have

evolved over time into uncontrolled and poorly managed areas are prime motivators for outsourcing. In

addition, an outsourcing company can bring better management skills to your company than what would



otherwise be available (John, 2006). Outsourcing will also allow operations that have seasonal or cyclical

demands to bring in additional resources when you need them and release them when you’re done.

Periods of high employee turnover will add uncertainty and inconsistency to the operations (Pattail,

2000). Outsourcing will provided a level of continuity to the company while reducing the risk that a

substandard level of operation would bring to the company. According to (John, 2006) a large project

needs to be undertaken that requires skills that your staff does not possess. On-site outsourcing of the

project will bring people with the skills need into company.

FRAMEWORK DERIVED

A summary of elements are extracted from previous study on factors that may contribute to the

outsourcing activities within a library; that construct the below framework of this study

i. Human Behaviour

The success of outsourcing services of the library information system is first identified that there are some

interference of the human behaviour, where the judgement of a human made earlier persuade the other

human to the same. Researcher has made some pre-survey to the library where there are some influential

of competitiveness that add pressure to the management to also join in the pursuit of providing the best

library services.

ii. Education

From the literature review analysis, it can be seen that the library staff level of education may include in

influence of the decision to outsource the services of library information system. Therefore, this study

will conduct survey that includes inquiries regarding the library staff education.

Outsourcing Library System Activities

Human Behaviour

Education

Knowledge (Awareness)

Cost



iii. Knowledge (Awareness)

To be updated by the current technological news for the library can be challenging for some. The level of

exposure of the management or the library representatives can make a whole lot different; in term of

refining the basic needs of the user to take advantage of the advancement in technology.

iv. Cost

Based on the literature review earlier, the budget allocation often is the most challenging part. After all,

the library are often overlooked as a liabilities for some, despite it great benefits. Thus, the costs of

outsourcing services may also be one of the contributing factors that can influence the judgement of the

management to take seek for another party to help providing technological services.

Research Methodology

Preliminary study through a pre tested provided insightful findings that help researcher identified

appropriate variables to further explore. The result of this study is being evaluated through the use of

predicaments of analytics structure where the survey is being calculated using the software SPSS

(Statistical Package for Social Sciences), and the result is being analyzed based on the statistics given.

Thus, the result of this preliminary study helps research to find the validity and reliability of the research

instrument. Example of output on the SPSS input done in the earlier stage (see Table 1 below). The

number of mean is significant for this study at it shows the frequency of the answers to assume possibility

of predicaments.

Table 4.7: Descriptive Statistics for B1: Human Behaviour

N Minimum Maximum Mean

QB1A: In my organization, outsource activities have

been apply in other department

56 1.00 3.00 2.8571

QB1B: In library, my information system is

applying outsourcing activities as advised by top

management

56 3.00 3.00 3.0000

QB1C: Outsourcing activities has helped me

concentrated on my work that is not involved LIS

operation

56 1.00 3.00 2.8393

QB1D: Outsourcing has helped me to use my

information system more efficiently

56 2.00 3.00 2.9464

Valid N (listwise) 56

Table 1: Example of table output (SPSS)



FINDINGS DISCUSSION

The result is being analyzed based on the frequency of the elements output as stated in the tables.

1. Human Behaviour

Descriptive Statistics for B1: Human Behaviour


QB1A: In my organization, outsource activities have

been apply in other department

56 1.00 3.00 2.8571

QB1B: In library, my information system is

applying outsourcing activities as advised by top

management

56 3.00 3.00 3.0000

QB1C: Outsourcing activities has helped me

concentrated on my work that is not involved LIS

operation

56 1.00 3.00 2.8393

QB1D: Outsourcing has helped me to use my

information system more efficiently

56 2.00 3.00 2.9464


Table 2: Descriptive Statistic for Human Behaviour

In this section of findings, the questions indicate on how the surrounding criteria have influenced the

library to take an action of outsourcing the LIS in the library. The outcomes of this section have indicate

that more than half of the respondents reply the questionnaires with the answer yes, which mean that the

human behaviour does influence the library to outsource the LIS. The respondents understand the need of

LIS in their management that can contribute to the efficiency and effectiveness of the services that the

library offered. Meanwhile, in every library, the decision making team were made by the top management

or a set of board committee. The actions taken by the library usually have to be filtered by these people. It

is crucial for a library to have consideration or approval from the top management; because if they are

comprehensible regarding the cause of outsourcing the LIS, any later advancement proposal will be at

ease. Furthermore, outsourcing the LIS has helped the library staff to concentrate on their other

administration work like filing, cataloguing, indexing, preparing for reports and procedures, circulating

news and events on behalf of the organization, update the library operations to comply with the latest

standards, purchasing reference materials, meeting reports and so forth. These tasks are enough to make

the librarian and the library staff hectic with full responsibilities to make sure the efficiency of the library

that can contribute to meet the organization expectations. Hence, to outsource some of the LIS activities

may not cause any monetary damage to organizations rather than to have a failure in managing the LIS by

a novice user.



As for this, there are some action can be taken to reduce outsourcing LIS. In order to understand how

system works, it may take a lot than just learning the theories. Thus, as to prepare the upcoming shift of

technological dispersion into the library, the graduates that would like librarian as a profession need to be

aware of alternatives to administer the LIS. There are many LIS in the market such as Virtua, ILMU,

Sirsidynix, KOHA and so forth. Each of this information system requires specific procedures and

maintenance formula that may differ in every process of the system although it is the same approach of

LIS. Thus, if the graduates could familiarize with how the LIS works, it can add value to the individuals

to be chosen by organizations to administer the library. Plus, if the graduates have this level of aptitude,

they also can penetrate the business market of being the third party themselves, if the outsourcing

activities is view as creating more opportunity of incomes. Researcher also would like to recommend the

organizations to be more tentative in selecting LIS for the library. The selection of the LIS usually will be

filtered by the library in the pre-proposal phase. Certain criteria will be made in order to choose from

variety of vendors or company. Often, the level of approval will be laid on the LIS specifications,

capabilities and cost. Maybe although cost will be the significant highlight for the proposal to be

approved, the management of the library also ought to consider the after-sales services that are provided

by most of the LIS developer companies as well as the competencies of the library staff. This can ensure

the LIS effectiveness all the time without worrying the need to outsource activities by selecting the

complete package for LIS.

2. Education

Table 4.8: Descriptive Statistics for B2: Education


QB2A: I have sufficient education background in IT 56 1.00 3.00 2.0179

QB2B: The reason that my library is using outsourcing

company for our IS is that we lack of expertise

56 1.00 3.00 2.8393

QB2C: The education level among library staff does

not involves any proficiency in IS management

56 1.00 3.00 2.5893

QB2D: My task does not involved operations task

via information system

56 1.00 3.00 1.2500


Table 3: Descriptive Statistics for Education

Following the finding of this study, researcher also inquires the respondents regarding their experiences

and other questions about expertise and also task-oriented operation. All these have been categorized in

the education section in the questionnaire done earlier. The result of this section indicates that the answer

is in the affirmative side, where almost every respondent agrees on what have been stated. It is crucial for

the library staff to have a education or training regarding the library operations because tasks that are

perform in the library requires expertise that people in other industry usually could not comprehend.

Therefore, with this library staff should educate themselves to improve their level of comprehension

regarding the library operations. With the sufficient education background, it will expose the library staff

on what is going on in the library world outside the organization and what is the latest technology can be

applied to assist with the development of the library. Therefore it is contribute to the objectives of this



study to identify contribution of education level have influence the organization to outsource LIS

activities.

As for recommendation, the library staff should equip themselves in order to prepare for any

technological advancement made for the library in the future. To be well versed in the library operations

using the LIS, library staff needs to have certain technological capabilities such as programming, PC

maintenance, project management skills and other knowledge about IT that may contribute to the

advancement of the LIS. Library staff could also attend courses, workshops, conferences to expand the

network with other fellow librarians or people in library profession to enhance the knowledge they have.

3. Knowledge (Awareness)

Table 4: Descriptive Statistics for Knowledge (Awareness)

Generally, the library operations nowadays have been conducted more effectively to compare with the

manual transaction that the library staff has to endure during before automation take place. Now, although

the automation of the library have significantly change the way the library function, the rapid changes of

the information system on enhancing modules and updating the operating server have cause a lot of gap in

between the level of comprehension of the librarian with the system developer along with the capabilities

of the librarian to cope with the shift of internal and also external surroundings. Suggestion to overcome if

the knowledge has become an issue is that the library needs to build a network internally with other

participation library within the organization or externally where the library set of connections to libraries

all over the country to other countries in order to build a partnership to share knowledge and exchange

ideas. Collaboration between institutions can enhance awareness on LIS update. On the other hand, the IS

developer should include after-sales services in order for the library to receive a complete package on the

LIS, to make it marketable and also expand the market demand. As the continuance of the technology in

the library industry take place, library staffs and also LIS developer can benefited from the industrial

current demand, depending on whether to outsource will meet the objectives of the organizations and

others that influenced by it.

Table 4.9: Descriptive Statistics for B3: Knowledge (Awareness)


QB3A: The reason that we are using LIS is that we are aware

that IS is important for the library

56 3.00 3.00 3.0000

QB3B: All the library is our district is using LIS 56 2.00 3.00 2.9107

QB3C: Our library is outsourcing some of the activities involved

with LIS because of we are constricted by staff and expertise to

apply compatible IS in our our daily task

56 1.00 3.00 2.6964

QB3D: By outsourcing, the library can be at the same length with

other competitors in term of excellence in providing services to

the students

56 1.00 3.00 2.8929




4. Cost

Table 4.10: Descriptive Statistics B4: Cost


QB4A: There is a special budget allocation for the

outsourcing activities done for my LIS every year

56 1.00 3.00 2.6786

QB4B:The management of our organization provide

sufficient amount of budget for the library improvements and

maintenance of the LIS

56 1.00 3.00 2.6250

QB4C: There is a big redtapes(strict procedures) in approval

of outsourcing cost for the LIS

56 1.00 3.00 2.7321

QB4D:The library management will submit a cost-benefit

study or do soem overview in expenses for the LIS annually

56 1.00 3.00 2.7679


Table 5: Descriptive Statistics for Cost

One of the biggest challenge faces by the libraries is the monetary justification by the parent management.

The library is the place where in the business world, with the understanding of every department have to

generate money, library will be mirrored as a liability. At the present of time, the library have undergone

the skeptical perception of the business trade, where the investment for the library had made a

justification of valuables outcome where servicing to develop, invent and also assist knowledge produce

more than just compensation of a life time. With the acknowledgement of this to the management, the

library now has the liberty of choices to provide services and facilities for their user. Top management

plays a vital role in building a library that users submit to the informational needs. Therefore, top

management cooperation is very much needed to justify the need of the library. The starting point for the

development of the library is by working with management to understand and lead the library to make a

decision on the proposal of facilities, services and also management monetary funding. To ensure the

effectiveness of such management, most of the library conduct a cost-benefit analysis and prepare a report

where it can be said that the library is at the discretion of management to approve any proposal that is

proposed. In this study, respondents have a positive respond which cost allocation subject to the terms

and conditions by the library parent management. Management that has awareness or is convinced by the

library management has a very solid background of knowledge about the library or has done some

research on it (based on the cross tabulation result in chapter four). In order to be transparent and in hope

of increase of budget allocation, the library usually take an action of reporting the annual budget and also

some do cost-benefit analysis to ensure that anything that regarding the LIS that involves the cost

allocated by the management will be calculated and justify to ensure understanding and identify area of

weaknesses that need to be improved. The library also can compare the cost expenditure to the level of

satisfactory of the library user to ensure relevancy and effectiveness of the budget given to the library.



CONTRIBUTION OF THE STUDY

As to this date, researcher has not found yet any literatures focusing on outsourcing the library

information system for the colleges and education institutions library respectively. Therefore by the main

contribution of this study, researcher hopes that this study will be use for further reference. In addition,

the result of this study showed that the concept of outsourcing LIS have become an emergence trend to

the libraries of private institutions in Petaling Jaya district, contribute to the potential of expanding the

business of outsourcing services within this area. At the same time, the outcome of this study will enable

further understanding on the factors that contribute to the fact that the library taken an option to outsource

thier LIS activities. In convenient part, the instrument developed and employed in this study can be

adopted by other researchers who are interested in looking to the subject discussed and also would like to

use the same variables if it suitable for them. In all, this study shows the important of empirical revision

as well as incorporates with former additional information in the same interest.

LIMITATIONS AND FUTURE STUDY

Erstwhile of the success of answering the research objectives, this study is also deal with a number of

limitations along with questions for future research should be noted. Consequently, with regard to the

theoretical framework that hasn’t been done in this area, it is difficult for the researcher to compare and

analysed the outcomes of these variables. Plus, the data of this research are derived from a small sample

of population. The present study was conducted in Petaling Jaya district only where there are only 56

academic institutions that are willing to participate. Further research suggested to be done in a broader

coverage. In relevant to the research method, researcher does not have the luxury to pick and choose since

there is no specific job description that saying that the respondent is the IT librarian. Researcher has to

settle with the librarian, library staff who is in charge for the LIS.



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