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Running Head: A CASE STUDY OF IMPLEMENTING FRUGAL ICT INNOVATION IN CHINA 1
Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
A Case Study of Implementing Frugal ICT Innovation in China and
Implications for Private-Sector Educational Leadership
Background
Context of Case Study
MCD (Make Career Different) Ltd. is an education company headquartered in Hangzhou,
China. The company provides career development programs to university students across
Greater China. Demand for MCD’s programs is strong, as universities in China often face
limitations in terms of funding and many seldom prioritize career development programs (as
research and teaching are often deemed more important). By helping to fill the gap in
vocational training, MCD is welcomed by most tertiary education institutions in China. In
2014, the company started providing offline seminars for universities, but found it inefficient
(in terms of both time dedicated and coverage) and prohibitive in terms of costs. In mid-
2015, MCD started venturing online with its seminars, and has since partnered with
prominent organizations such as Jiuding Investments in their Morningstar Development
Program in China in organizing seminars for students. (Note: The Morningstar
Development Program is a large-scale incubator program investing in “people”, i.e. students.)
This paper seeks to understand the process of ICT implementation, particularly in less-
developed contexts such as those of tier-2+ cities and rural regions in China. We hope to
shed light on the routines needed, barriers involved, implementation challenges and
A CASE STUDY OF IMPLEMENTING FRUGAL ICT INNOVATION IN CHINA 2
Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
implications for similar initiatives in the future.
Vision & Goal of MCD
To maximize its social impact, MCD has a goal of increasing student reach to 100,000
by the end of year 2015, targeting university students across Greater China. Competitors of
MCD tend to focus on the “upscale” market and work exclusively with the highest-ranked
universities in tier-1 cities. As part of its vision, MCD hopes to create as much social
impact as possible, and focuses efforts on the lower-end of the education market instead.
Nature of MCD’s ICT Application
MCD aims to use ICT applications (e.g. WeChat, HongDian and other proprietary APPs)
to broadcast (recorded) talks and essentially “flip” career development seminars, akin to how
MOOCs have “flipped” the traditional classroom. While this may seem trivial in light of the
ample technological devices and applications available, MCD has to adapt its ICT
implementation approach to local needs (i.e. remote regions in China), which is easier said
than done.
The Problem: ICT Implementation Barriers in China
To properly frame the problems at hand, we need to first investigate the first and second
order barriers of ICT implementation in China. Since our target audience is university
students, we focus on the students’ perspective in analyzing these barriers.
First Order Barriers: From the Student Perspective
A CASE STUDY OF IMPLEMENTING FRUGAL ICT INNOVATION IN CHINA 3
Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
We realize that (extrinsic) first order barriers may not be too much of an issue for tier-1
cities, but can be an acute problem in tier-2+ cities and rural regions in China. While
technological advances nowadays allow for high-definition videos to be streamed over the
Internet, the same level of technological infrastructure cannot be taken for granted in remote
regions in China. In some far-fetched parts of China, even the basic infrastructure is
inadequate, and first order barriers include: 1. Mobile signal strength may be extremely weak
or sporadic; 2. Wifi may not be available; 3. Cell phone’s operation systems may be outdated
Second Order Barriers: From the Student Perspective
According to China Internet Watch, there are over 70,000 education mobile APPs in the
Middle Kingdom, and consumers are often overwhelmed by the sheer number of options
available. Consequently, there is significant inertia in a student mindset to adopt a new ICT
application and install a new APP. At the same time, there are no tests nor grading schemes
for “career development”. Also, learning support from school leadership and teachers is
often limited as “career development” is not part of the formal curriculum at most schools in
China. Therefore, the lack of curricular emphasis, together with the psychological inertia
resulting from the over-abundance of ICT applications available, contribute to two significant
types of (intrinsic) second order barrier for students – an adoption-oriented one and an
awareness-oriented one (i.e. awareness of career development needs).
The Solution: ICT Implementation in a “Frugal” Way
A CASE STUDY OF IMPLEMENTING FRUGAL ICT INNOVATION IN CHINA 4
Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
First order barriers of ICT implementation at tier-2+ cities and rural regions are often
intrinsically tied to various socio-economic and geopolitical factors in China.
Unfortunately, a lot of these exogenous factors (e.g. school leadership’s fundraising ability,
resource allocation from the government) are outside MCD’s control. As such, the company
focuses on addressing the second order barriers first, and aims to “scale up” implementation
plans when the technological infrastructure (first order barriers) allows for it. The company
has been innovating constantly in ICT developments, albeit in a frugal way. Being frugal is
key, as the company believes “good-enough, affordable products that meet the needs of
resource-constrained consumers” are what serves its target audience best (Zeschky,
Widenmayer, & Gassmann, 2011).
MCD is tackling this problem with innovations in ICT. The company is deploying ICT
as a tool to reach a wider audience and create awareness of career planning and development,
and in essence, “flipping” short courses on vocational training on a national scale. This
entails leveraging appropriate communication platforms, driving adoption for ICT
applications, establishing effective organizational routines, and seeking help from local
communities in order to ensure that the implementation of “frugal” ICT initiatives is smooth
and effective.
Driving Adoption
Tencent’s WeChat platform enjoys a very high penetration rate in China, with over 650
A CASE STUDY OF IMPLEMENTING FRUGAL ICT INNOVATION IN CHINA 5
Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
million active users according to the statistics portal Statista. However, WeChat does not
allow for the proper recording and playback of a seminar. In contrast, while HongDian’s
adoption is still at a nascent stage, but it does have the features and functionalities that MCD
is seeking: simple, “frugal”, and effective for hosting an online seminar. By embedding
HongDian into a WeChat message (refer to the screenshot below for an illustration), the
company is able to combine the best of both worlds.
In essence, MCD tries to drive the adoption of a 3rd party conferencing APP using an
existing ICT platform, i.e. using WeChat to “tip” HongDian (Gladwell, 2000). By
leveraging WeChat’s platform to make HongDian more prevalent amongst the “pragmatic
technology users” and bring adoption “over the chasm” to the “conservative technology
users” category, MCD manages to circumvent the first order barriers and reach a massive
audience across the nation with a frugal ICT innovation (Rogers, 1995). (See diagram
below for an illustration)
A CASE STUDY OF IMPLEMENTING FRUGAL ICT INNOVATION IN CHINA 6
Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
Mobile Learning
Prior research has indicated that some of the affordances of mobilized lessons are
“sharing [of] artifacts” and “[improvisation] within the context of learning” (Looi et al.,
2009; Looi et al., 2011; Norris & Soloway, 2008). Also, “learning outside the classroom” is
an emerging theme enabled by mobilized learning (Liu, Scordino, Geurtz, Navarrete, Ko &
Lim, 2014). By applying the frugal innovation concept on ICT implementation, MCD is
essentially providing mobilized lessons to less-developed regions in China. It is hoped that
“differentiated learning” the “sharing [of] artifacts” will allow students to learn from one
another. Moreover, career-related topics and issues are constantly changing. Therefore,
having the ability to “improvise within the context of learning” becomes crucial. MCD’s
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
ICT implementation would also help expand learning outside the classroom without
interfering with courses in the existing curriculum.
ICT Implementation: Routines
Routines: Nature & Context
MCD has established organizational routines to help serve as “couple mechanisms” with
the company’s leadership initiatives (Spillane, Parise & Sherer, 2010). The company
recruits campus representatives to be online moderators to ensure that the WeChat groups
remain vibrant communities for learning. According to literature, there are typically three
types of online moderators, namely organizational, social and intellectual (Paulsen, 1995).
For MCD’s online seminars, on the one hand, intellectual moderator is usually the speaker
(e.g. a finance professional or a career counselor). On the other hand, the roles of the
organizational and social moderators are often blended into one, and handled by the campus
representatives. Campus representatives serve as the key contact person liaising between
the universities and the company. They are familiar with the local customs and school
social norms (e.g. sub-cultural issues, cultural slangs, class jokes), and thus are in the best
position to be the organizational and social moderators.
The company has devised a comprehensive set of routines for campus representatives.
The routines involved are diverse, covering aspects such as utilizing a template for initial
greetings and guest introduction, adhering to a certain format for Q&A, following specific
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
procedures for handling questions from the audience, adopting certain protocol for following
up with the audience at the end of each online seminar etc. These organizational routines
are of paramount importance for maintaining these online mini-communities for the many
seminars that MCD hosts.
Routines: Q&A Example
MCD seminars are structured so that everyone starts listening to a recording at the same
time. However, there are often lags in online broadcasting due to uneven and sporadic
signal strength, and in other cases students may have slight delays in listening to a seminar
due to other unexpected technological issues. Therefore, very often there various undesired
“asynchronous” factors during these seminars. As part of a routine, the moderator will
coordinate for a break of 15 minutes after each speech. After the break time, the moderator
will announce the start of the Q&A session, which has to be done live. The 15-minute break
is essential so that students in the online seminar have sufficient time to finish listening to the
recorded broadcast and get synchronized with everyone else for the live Q&A. In another
related routine, the moderator allocates 15 minutes for everyone to ask questions, after which
the audience will be asked to go on mute when the speaker starts answering questions. This
is crucial because in an online environment with only text and voice, it can be very confusing
and chaotic when the moderator, audience and speaker all make comments simultaneously.
Routines: Transitions Example
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
Without face-to-face interactions, MCD has implemented specific routines to ensure that
transitions are seamless during online seminars. For instance, team members have
developed a habit to communicate via separate WeChat channels simultaneously in order to
“double-confirm” the status of a seminar. Towards the end of a talk, the speaker will
conclude his/her speech in one chat room, and subsequently send a message to the moderator
in another chat room (i.e. a control room) to confirm the end of a session. In a real-life
setting, this may seem superfluous and redundant. But in an online context without onsite
ICT support, this almost becomes necessary so as to ensure a smooth and seamless transition
from one part of the seminar to another.
Routines: Rollout & Implementation
We have learned that it is better to “phase-in” certain routines and implement them in a
stepwise manner. By differentiating between major and minor routines, the entire rollout
process of routines can be based on a “divide-and-conquer” approach and a “building-block”
mindset. It resembles the ascension process in the Maslow’s hierarchy of needs, except that
in this case students have to show mastery of one set of routines before they are given another
set of more advanced routines. In other words, “each successive exercise should build on
the scale and experience of the previous one”, according to the concept of “Building Block
Approach” published by the Federal Emergency Management Agency. This is particularly
important given the long-distance online nature of these seminars without onsite ICT support.
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
(Refer to the following diagram for an illustration of this approach)
Major vs. Minor Routines
A Building Block Approach
Development Roadmap
MCD’s leadership is planning to engage with various communities of practices (CoPs)
in order to further develop its ICT initiatives. On the one hand, working with local
communities (e.g. student organizations) to address second order barriers – creating
awareness and driving adoption of ICT applications – is relatively straightforward. On the
other hand, getting approval from school leadership for financial resources to be allocated
and ICT infrastructure to be upgraded will take time, whereas garnering support for a large
scale public-private partnership will take years if not decades. According to Woo (2015),
“CoP confined to an organisation… could benefit greatly from partnership and meeting with
other schools, professional organisations and businesses”. MCD plans to engage various
stakeholders in the following order: 1. Local communities; 2. Schools & School Districts; 3.
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
Government. (Please refer to the diagram below for details)
MCD’s “Futures Wheel” on the following page shows how the company intends to
collaborate with various stakeholders. It is worth noting that the communication platforms
(e.g. WeChat), 3rd party APPs (e.g. HongDian) and the company’s own proprietary software
will form the basis for the “boundary objects” that MCD’s leadership will leverage to
“traverse multiple communities” (Stein & Coburn, 2008). When engaging with campus
representatives, the company will adopted a “distributed leadership” approach, and strives to
“[empower] staff and students, as well as encouraged commitment, participation, and shared
accountability for student learning” (Spillane & Healey, 2010).
Futures Wheel of “MCD Online Seminars”
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
From the Perspective of Various Stakeholders
Adapted from Jerome C. Glenn (1994): The Futures Wheel
Challenges
Challenge: Leadership’s Blind-Spots
We have learned that insights from the frontline are paramount for key decisions made at
the leadership level. At the beginning, ICT was deployed without a holistic understanding
of the circumstances of the target audience at tier-2+ cities and rural regions in China. For
example, the company initially tried using video conferencing, believing that it will provide
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
students with the best online experience. However, the initiative failed because Internet
connectivity in some remote parts of China can barely handle real-time streaming of video,
especially high-definition ones. When MCD attempted to implement video-conferencing
across the nation, small issues ballooned into larger ones rapidly, and the entire initial phase
of ICT implementation failed. (This is a lot worse than what we experienced in class with
Google Hangouts with guest speaker Mr. Sean McHugh.) At MCD we have learned that it
is important to run field tests and trial runs with campus representatives well in advance of
each seminar. Another insight the company gained is that ICT Directors should make ICT
applications as “fail-safe” as possible, especially when the audience may not have a technical
(ICT) background. Recently MCD has also devised multiple back-up plans in case of any
disruption in ICT implementation.
Challenge: Inadequacy & Scarcity of Offline ICT Infrastructure & Support
As mentioned before, first order barrier problems are profound in remote regions in
China. There are huge regional variations in terms of basic infrastructure. Moreover, the
fact that MCD’s seminars are hosted outside of the classroom means immediate help (e.g. an
on-campus ICT Director) is not available. This adds an extra layer of complexity to the
implementation of ICT. MCD’s leadership is currently collaborating with schools and local
campus representatives to overcome this challenge.
Challenge: Abundance of Online Resources
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
As mentioned earlier, there are currently over 70,000 education mobile APPs in China.
Therefore, in the online world, we face a problem opposite in nature to the previous challenge
– a problem of too many online platforms with unknown quality and reliability. As guest
speakers Mr. Declan Burke and Mr. Brett Morris in our class mentioned, using multiple
platforms would be confusing for both teachers and students, wasting energy, time, and
money. As such, MCD’s leadership seeks to work directly with universities key decision
makers in the adoption of ICT, to the extent that the company would offer to help schools
directly with certain elements of course design and ICT implementation. It is hoped that,
through closer collaboration with tertiary education institutions, platform choice and usage
can be standardized.
What’s Next?
Knowledge Management: A “Career Navigation Map”
MCD can learn a lot from the success of Khan Academy (Thompson, 2011). There is
immense potential to “modulize” career development and build a “navigation map”, similar
to the commonly known knowledge map (Watthananon & Mingkhwan, 2011). This “Career
Navigation Map” can then be refined for e-learning (Lee & Segev, 2012). This will help
make vocational training more systematic and prominent in China, with the hopes of
ultimately formalizing career development in the official curricula at higher education in
China.
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
Career Navigation Map
Adapted from Kaist Business School in Korea (http://www.business.kaist.edu/life/0602)
The above diagram shows the opportunities that MCD can pursue within each vertical of
the career development field. The activities outlined in yellow can be augmented by ICT
implementation, and thus can be top priorities for MCD in the future for deploying ICT. It
is worth noting that certain initiatives, such as job fairs, can actually be hosted online. For
example, the American Chemical Society organizes regular virtual career fairs with text or
video chat interviews. However, existing technology in China may not be mature enough to
handle the demand and relevant specifications.
Outlook & Insights
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
Despite myriad challenges, the outlook is promising. Since mid-2015, MCD has
successfully hosted over 50 online “frugal” seminars, reaching over 15,000 students with
overwhelmingly positive feedback. The company is currently expanding its network of
universities and collaborating with public and private organizations to enhance its reach.
Almost all of the universities that MCD currently has relationships with have explicitly
mentioned that they look forward to more collaboration opportunities in the future.
China’s unique mode of economic development calls for a special approach in ICT
implementation strategy – in this case, innovating on ICT applications and addressing second
order barriers first. With mobile Internet users reaching 901 million as of September 2015
according to the country’s Ministry of Industry and Information Technology, China mobile
Internet penetration amongst the highest in the world. There is no doubt that the Middle
Kingdom is leapfrogging its way to the second largest economic powerhouse behind the
United States. It is only that sometimes this leapfrogging comes in a “frugal” way, and
requires a uniquely localized mindset and approach.
Conclusion
This MCD case study shows that frugal innovation can be an effective way of
implementing ICT in China, especially in regions where the technological infrastructure is
sub-par. The case study also illustrates the importance of leadership’s ability to drive
adoption on appropriate communication platforms, establish effective organizational routines,
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Anthony Woo•University of Hong Kong•hk.linkedin.com/in/anthonywoo
and garner local support to be successful in ICT initiatives.
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