Payment system implementation

3 problem statement 9 1. 3 Research objectives 10 The overall aim of the research is to achieve the following objectives; 10 1. 4 scope of the work 10 1. 5 limitations 10-11 1. 6 hypothesis 11 Chapter 2 12 Background research and Literature Review 12 2. 7 management support 19-20 2. 1 Leadership 20 2. 1 Teamwork 20 Chapter 3 21 Research Design and Method 22 3. 1 Research philosophy 21-22 3. 2 Development of questionnaires, tests, survey instruments, etc. 2 The relation of the earlier system of payment and the current cashless payment in transport 32-33 4. 3 Payment System Performance and Consumer Usage 33-35 4. 1 The benefits of the cashless price system to the businesses operating in Singapore 35-36 4. 2 Impact of the whole system, on the public transport system 37-38 4. 2 ease of the system and usage 39-40 4. 4 Compatibility 50 5. 5 Availability 50 5. 6 Reliability 51 5. 2 Contribution 41 5. 3 Limitations of the study 51 5. 1: shows whether the cashless payment will reach 100% in Singapore 37 Figure 4.

1: sex ratio for the respondents 38 Figure 4. 2: showing an age of the respondents 39 Figure 4. 3: the different fields of working for the respondent 40 Chapter 1 Abstract and Introduction 1. 1 Motivation and background of research Urban transport management has always been a high priority for Singapore, one of the most densely populated countries in the world and widely admired for its rapid industrialization and modern efficient economy. In recent payments history in Singapore, consumers‟ choice of payment has shown two distinct trends (1) cash payments are being replaced by non-cash payments and (2) checks or paper-based instruments are being replaced by electronic payments instruments. As the global car production has gone up extensively in the 20th century, traffic congestion has gone up across the world and thus a major problem (Singapore Department of Statistics, 2011).

Among the major negative effects which have been raised include emissions, fuel wastage, and vehicle wear. The major impact has risen from the time wasted in traffic. The lost time as people keeps to queue in making their payment to travel to different places. Considering the current cashless payment system which is being adopted in the transport sector is Account-Based Ticketing (ABT) pilot with MasterCard our research looks into the impacts of the system in Singapore (Ibrahim, F. M. The whole dissertation will analyze the system and the impacts it has on students, senior citizens, and adults. In management, this is important as any policy you make you have to know the impacts it may have on your field. New systems always have shortfalls and this has to be analyzed completely to reduce some of the problems in the sector.

4 scope of the work This research will focus mostly on the Account-Based ticketing system rather than other various systems which have existed before in making payment for the public transport system. It will analyze the implementation of the system in the whole of Singapore country and the extent of impacts it will have. Impacts of the system on different age set preferably the young school children, senior adults and the elderly and the study will focus on the currently obtained data on the transport system. In addition, the study will incorporate data obtained from the survey from different commuters who use this type of payment system in their daily commuting. Acquisition of firsthand information will result in strong and valid suggestion in making the recommendation to be implemented in the whole system.

The whole content of the chapter is a review of what others have said and thus not a duplication of their work. The research questions for the whole work will guide us on how to ensure I get the literature for the research. Issues addressed in this chapter will include impacts of the Account based ticketing systems and the challenges in implementation. 2 Evolution of Account based system through the Land Transport Authority The land transport authority is the national board which is under the ministry of transport and its obligation is to plan the long-term transportation needs and other transport development in Singapore. Through its goal of providing the integrated system and providing the friendly system for payments, it addresses wider issues like sustainable development, community and economic growth.

It is only Singapore and other few cities in Europe which do make use of account-based payments in the world. The whole system of using this pilot system of payment was officially launched in March 2017 and was to be applicable to all public bus and trains rides. This was to be performed by the commuters who had been issued with MasterCard in Singapore and they could register their interest on the transit link ABT portal. This was for the commuters who had been registered. It was the hope of land transport authority to have an attraction of over 100,000 commuters to participate in this pilot study. Cashless payment has been at the forefront as part of the government priority activities. Cashless payment is part of the wide smart nation programme which the government is advocating for.

Despite the vendor who was to implement the whole system, it was to have multiple impacts on the economy. In setting the whole system new services had to be put in place to facilitate these services. One the businesses to benefit highly from the industry is information technology sector which has to create more jobs in the sector for the skilled personnel who will create the end to end payment of the ecosystem. Some of the senior people have no credit card and bank card and thus not easy for them to go cashless. For example, if we think of the young school children and the elderly people. The concept of coming up with the cashless payment can be a challenge to some groups and mostly if they have unfamiliar with English and lack of people who can guide you on the world of buying and selling of items.

One way of ensuring the tech-savvy users to feel confident of their activities is through making wi-fi activities and other transactions of doing community outreach available for them. In addition, it is the role of the all government authorities to keep informing and assisting companies and Singaporeans in catching the mode of cashless payment system as a new mode to carry out business activities. In addition, it has to work together with other stakeholders like land transport authority and information communication sectors. The factors explained above will mean that our model will be showing all the factors which do affect the performance of information systems. Evaluation entails establishing meaning to the system of communications used in the process of implementing cash payment in the country and qualitative methods are commonly in order to achieve (Khalif et al 2004).

In evaluating your need to understand the current performance versus the goals set and has to be done as the process of implementing the cashless system in Singapore is on progress to understand the things which need to be remedied. According to Tina et al (2005), this is known as formative evaluation. Summative evaluation gives an assessment of the system while it is in use and thus can know the overall effectiveness of it. 2 Frameworks which can be used to evaluate cashless price systems To have a thorough evaluation of the cashless ticketing systems in Singapore we need to review different frameworks that exist. However, we have many frameworks and we can’t go through all of them but will only consider few of them.

General evaluation frameworks do put much emphasis on the methods used in system development. The Friedman system of criteria has eight steps and is either subjective or objective types (Friedman et al 1997). Process failure-this comes from the process of developing and it happens if the systems fail to work in that stage. It can be due to delivering systems after budgets and past deadlines. Expectation failure- in case of cashless price system it happens due to the expectations of a certain group being not met, for the example the expectations of the senior people holding accounts may fail to be met by the account-based ticketing system and thus rendering it poor. Interaction failure-this is focused on how the system is used.

the reliability, and availability of the system makes it be successful. 1 Research philosophy Research philosophy helps in dealing with the source, nature, and development of knowledge in the field. It is a philosophy which looks into the ways of organizing of collecting certain phenomenal data and the mode to analyze them. Collection of primary and secondary data for this research will enable us to have relevant data to carry analysis and thus understanding the research questions. To properly address your research philosophy you need to be aware of the assumptions and beliefs of your study. Research philosophy is diagram illustration is positioned at the outer circle as it is the first one to be addressed. In addition, quantitative and qualitative methods are used but in our study, we will highly depend on the qualitative aspect.

The positivism research philosophy is specific to the highly structured methods of data collection and will use qualitative methods alone. 2 Development of questionnaires, tests, survey instruments, etc. Questionnaires are well-designed questions which are well structured and given to certainly targeted respondents. Questionnaires can be structured or unstructured. What determines the choice of method to use in interviewing particular individual is the proximity of the interviewer and interviewee. Interviews have seen the best tool in an acquisition of trustful information. In questionnaires, people can compromise on the reality of the matter but the in interviews, this is not easy. For the people who consider having reliable information about their data, they prefer to use interviews. Reviewed articles were part of the data sources used in this research.

Through all this one can understand what makes the system to fail and to succeed. From, the evaluation carried out by the regulators you see the areas to be improved and addressed for the system to have maximum benefit to the users and businesses. 3 Definition of the population Relevant information for any research is very important for any research and this study will involve the land transport authority in Singapore. Other participants to be involved in this sector include the MasterCard Company which operates the aspect of communication between the people having accounts and willing to be registered on the account based payments systems "Singapore – JOINT NEWS RELEASE BY THE LAND TRANSPORT AUTHORITY (LTA) & TRANSITLINK – TOWARDS A CASHLESS PUBLIC TRANSPORT SYSTEM BY 2020".

In addition, we do have the government which helps in regulation of the various types of payment which have been used in the public transport payment. • Citibank- will be looking forward to its revolution of QR code scanning to be used in making cashless payment for their services. • Other common banks involved in the last years in offering cashless payments includes DBS Bank, OCBC Bank, and united overseas bank. They used to allow consumers to use their card for direct deductions and now with the new system they need to register. 5 sampling methods used Our sampling method involves the use of various participants from the selected populations. For example, we had participants from the government, land transport authority, the vendors/banks, commuters and implementers of the cashless ticketing system.

6 How the data were collected Having prior knowledge of how you will collect your data gives you an easy way on how to approach your study. Valid data and processed information gives us good quality basics for analysis of results and thus proving our objectives and hypothesis. All the techniques and methods you decide to select in your data collection must meet the following criteria (stone, 1994). To give data required for the carried survey. Be sensitive to the limits of the researcher and respondent. It is based on assumptions which listed and clarified through research and analysis of the data is obtained (Creswell, 2013). The selected objectives will determine the effective design to use in order to achieve them. This makes the researcher come up with elements relevant to the research and then give his philosophical stand.

1 Qualitative approaches design to analyze the data A qualitative approach is a naturalistic approach used to study the whole phenomena of the research. The whole literature combined tries to interpret the phenomena in terms of meaning associated with people. Descriptive statistics analysis Our research questions are categorized into three independent variables and one dependent variable as illustrated in the diagram below. From the illustration, we can see that the satisfaction of the commuter services will highly depend on three factors; payment system implementation, performance and the quality of the systems. In any management progress, one will have to consider the three parameters used in the study. Figure 4. 1: classification of research questions 4. 1 The benefits of the cashless payment system to an individual Our second question addresses the benefits that a cashless payment public transport system will be of any assistance to us.

All the respondents as in the above cases are 118 participants through the study. A percentage of 42. 37 agreeing that the benefits which arise due to use of cashless payment systems have influence in their life is an indication that many people will be interested into a system of payment in order to keep enjoying the benefits linked to the whole implementation. Generally, people will aspire to have a new process which assists them in different activities. The benefits associated with an old system of payment when compared to the new cashless payment are very low and thus people tend to be attracted by the new system. Figure 4. 1: comparison of the earlier payment system and the current cashless payment 4. 3 Payment System Performance and Consumer Usage The first question addressed in this section shows the how the performance of the system will help in increasing the use of the system.

Good performance of any system will vary in its appreciation according to the rate of performing in the market. The percentage that agrees on the benefits associated with cashless payments is approximately 42% and combining this with those who strongly agree gives out approximate of 62% which large proportion. From the figure, we have no respondents who strongly disagree with the idea of the system benefiting businesses. Figure 4. 1: shows the percentage of people who agree with the benefits of the cashless payment system to business 4. 2 Impact of the whole system, on the public transport system Enhancing the payment system performance due to cashless system implementation will impact public transport user’s daily life by reducing overall travel time and convince others to consider public transport for traveling.

2 ease of the system and usage Ease of use payment system will enhance the passenger to commit the cashless traveling. As it is applied in by the designers, the ease of using a product or user-friendliness is considered to be a key parameter in the whole system. Singaporeans will be interested to keep using payment system which has ease in their activities and faceless challenges in using it. The ease of use will vary according to different age level and thus the point of response will depend on the composition ages of the selected respondents. Figure 4. 1: sex ratio for the respondents Considering the age of our sample population, many of the people selected are over 18 years. This will make our results to be valid as many of the people who own accounts are the adults and mostly working.

However, in understanding the effect the whole cashless system having different ages was meaning in giving us how the system affected different ages of people. A large number of respondents in our study does fall between 25 to 54 years as illustrated in the diagram below. Figure 4. The small sample population taken for this study was a whole representation of the remaining population and thus it shows a little number of people in the government parastatals or who are self-employed. Chapter 5 Conclusions & Recommendations This section will look into the conclusions based on the research questions and objectives addressed in the study. From the implication of the finding, we get the conclusion for the questions and the right recommendations on cashless price system to be well implemented for the people of Singapore.

The last section of the chapter addresses areas which need further research to be conducted on them. 1 conclusions for question-related to Payment System Implementation and Consumer Usage The high rate of people using the public transport instead of the private means will mean that the rate of revenue coming from the industry will be high and can cater for the cost of implementing new strategies in the sector. When the new system was implemented, all business transaction activities were verified to be very easy and could attract many traders to copy it. New traders entering the transport preferred to use this system, in order to avoid losing their profits to the non-trustful workers. This concludes that the benefits which are contained in the new system are very high compared with the prior system.

2 conclusions on questions related to Payment System Performance and Consumer Usage The efficient of the payment systems will determine how passengers will keep using the system in their travel activities. A high efficiency of the system will keep increasing the rate of passengers using the cashless system. Initially, the old system of payment had some limitations and couldn’t thrive fully in making the businesses to be constructive. New technological systems will make businesses to work effectively. The benefit of implementing the system will impact by making the life of consumers to be very low by reducing the overall time of travel and this will help in convincing other people who have not joined the system to be part of it.

The seen benefits from other peoples may convince others to start using the newly introduced system. Many agree with the seen benefit other people will keep changing and turning to the new system. 1 Recommendations From the collected results and analysis of the findings, it is possible to have different recommendations which help in getting to the right tracks for the research questions addressed. Furthermore, our objectives can be achieved if some of the recommendations are put in place. The cashless price system will be achieved to its summit if some of the challenges seen in this section are well addressed. Recommendations are the basics for rectifying any mistakes seen in the whole design process of the communication in remitting payments for the travel charges.

1 Resources From this study we have realised that for fully implementation of account based system, it is important to have the right resources to be allocated to different stages of implementation. , Hewitt, G. and Rifkin, S. , 2010) Training makes members to understand the whole process of cashless price system and change that may be required. In addition specific training will make some certain shareholders how to use the system. Training of the shareholders will be determined by the interdependence of tasks and complexity of the system and thus it is relevant to remove these two factors through offering the right training of the workers. The rate of failure in designing is expressed as part of reliability and the cashless price system has to be in such a way it can sustain the services needed by customers without failure and in case it fails application of right redundancies takes place.

2 Contribution This project looks into the impacts which the cashless price system of making payment in the transport sector will have on the commuters. It forms a basement to make recommendations on the changes to have good implementation. This research is an eye-opener to the government on how it can implement the cashless price system in the whole country. It will help the citizens to know the importance of using cashless price system in their daily activities and thus adopting the new system. This is a limitation in that the procedural may be possible but have the high cost which the country may not afford. Finally the project focuses on the cashless payments and doesn’t look into easy way to make people abandon the old system, paving a way of transaction from one mode of payment to the other can be mean the recommendations in the project will work well in the new system.

4 Opportunities for further research Our study is mostly based on quantitative analysis of the implementation process, the deductions and recommendations for this work are based on the literature collected on various sources. For this research, it would be helpful to have a fresh research specifically targeting the problems, challenges, and strengths which the implementers of the cashless price system may be saving. The challenges of involved party need to be fully analysed and quantified in order to know the magnitude of mitigation process needed. Annual Report LTA, Singapore. Annual Report. Singapore. Land Transport Authority (LTA), 2 January 1996. ‘A world-class land transport system’. sg/Land_Transport/Managing_Road_Use/Vehicle_Ownership. aspx. Yusof M. M. , Papazafeiropoulou, A. org/infodev-files/resource/InfodevDocuments_287. pdf Gichoya, D.