The Government renders full support for software development
16 - 12 - 2002

The Government is committed to fostering the development and growth of the local software industry, said the Director of Information Technology Services, Mr Alan Wong Chi-kong, today (December 16).

Speaking at the opening ceremony of the Software Exhibition 2002, Mr Wong said that information technology (IT) is a vital tool in enhancing the competitiveness of all kinds of businesses in the information era.

"To effectively utilise this tool and increase chances of success, suitable and high quality software is indispensable."

"With our agility and excellent business environment, the local software industry has flourished over the years," he said.

According to industry estimates, the overall revenue of the local software industry in 2001 amounted to about $10.8 billion and areas such as supply chain management, customer relationship management, enterprise resources planning and information security offer great potential for further development.

In supporting the local software industry, the Government has set up various funding schemes such as the Small and Medium Enterprise Funding Schemes and the Innovation and Technology Fund.

The Government is also pursuing a vigorous outsourcing strategy to stimulate the development of the local IT industry. At present, over 80 per cent of all new government IT projects have been contracted out. As one of the largest consumer of IT products and services, the estimate for government expenditure on IT development is about $1.75 billion for the 2002/03 financial year.

Mr Wong said, "The Government has also set a good example by taking forward the E-government policy."

Major projects include the Electronic Service Delivery Scheme, the Electronic Tendering System as well as the Government Electronic Trading Services.

Over 80 per cent of public services are now provided with an e-option.

"While implementing our E-government initiatives, we also hope to inspire the use of IT in the community," Mr Wong added.

"To enhance our competitiveness in the global market, not only the functionality and price of the software matter, the reliability and after sale service are also essential. Buyers demand a total solution rather than just a software package," he pointed out.

The quality and reliability of software can be upgraded with rigorous quality control standards and procedures such as ISO 9001 and the Capability Maturity Model (CMM).

Concerted efforts from the Government and the industry are crucial in promoting the development of a healthy software industry locally.

Mr Wong said, "The Government is supporting the local industry in the adoption of quality control and acquisition of international standards." Government will be giving due credit to companies who adopt established international or industry standards for software quality when evaluating IT tenders.

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