GOVINF-00866; No.

of pages: 9; 4C:
Government Information Quarterly xxx (2012) xxxxxx

Contents lists available at SciVerse ScienceDirect

Government Information Quarterly

journal homepage: www.elsevier.com/locate/govinf

A hierarchical model of e-government service capability: An empirical analysis

Guangwei Hu a, b,, Jin Shi a, Wenwen Pan c, Jie Wang d
a

Department of Information Management, Nanjing University, Nanjing 210093, China

School of Interactive Computing, Georgia Institute of Technology, GA 30032, USA
c
Department of Business Administration, Nanjing College for Population Program Management, Nanjing 210096, China
d
Computer Information System, Indiana University Northwest, Gary, IN 46408, USA
b

a r t i c l e

i n f o

Available online xxxx

Keywords:
E-gov service
Service capability
Capability management
SEM
Mediation effect
Empirical analysis

a b s t r a c t
Enhancing the effectiveness and efciency of e-government services at affordable costs continues to be an interesting discussion. Given the lack of guidelines on the effective management of such services, we propose a
hierarchical model of e-gov service capabilities and develop theoretical links. We used conrmatory factor
analysis to investigate observed data from 102 cities in 26 provinces in Mainland China. Furthermore, we
adopted path analysis to explore the potential relationships among the effects caused by the processes involved in delivering e-gov services. Our results may serve as practical contributions to the management
and improvement of e-gov service capabilities.
2012 Elsevier Inc. All rights reserved.

1. Introduction
E-government (e-gov) presents an inherent potential for bridging
distance and space, as well as eliminating time constraints, thereby
enabling more effective and efcient public service transactions.
Countries from America, Asia, Europe, and Africa have invested considerable funding and intellectual efforts into improving their e-gov
service (EGS) applications (UNDESA, 2010). These online services
are benecial to citizens and their governments. Government agencies can reduce costs and enhance efciency in service provision,
while citizens can have their requirements addressed in a more convenient, timely, and rapid manner.
To date, China has built thousands of e-gov portals for providing online services. At the same time, these efforts are also considered tools
that drive China's administrative reform, the so-called Xingzheng
Guanli Tizhi Gaige (Ma, Chung, & Thorson, 2005). Some of these portals
are independent, fully functional systems that consist of government
websites, background operation systems, databases, and servers. Others
are website groupsZhengfu Wangzhanqunwhich are integrated
horizontally or vertically into one service portal, and include the service
systems of several agencies. Given that China is devoting considerable
efforts to providing EGS to its citizens, research on delivering reliable,
comprehensive, and customer-centered services in an economical manner is critical.
One of the academic thrusts most closely related to this objective
is organizational capability, which is based on the resource-based
Corresponding author at: No. 22, Hankou Road, Nanjing, China. Fax: +86 25
83686702.
E-mail addresses: hugw@nju.edu.cn (G. Hu), shijin@nju.edu.cn (J. Shi),
jsnjpwwen@126.com (W. Pan), wangjie@iun.edu (J. Wang).

view (RBV) in the strategic management context. From the perspective of the RBV, capabilities are conceived of as the efciency with
which an organization employs a given set of resources (input) to
achieve certain objectives (output) (Dutta, Narasimhan, & Rajiv,
2005). The organizational resources are the assets that it owns, and
that are externally available and transferable (Amit & Schoemaker,
1997), and the objectives are physical goods or invisible services.
Over the last few years, this concept has been given much attention
in publications (e.g., Augier & Teece, 2008; Helfat & Peteraf, 2003;
Teece, 2007) and conference presentations (e.g., Academy of Management Meeting 20042006; Strategic Management Conference
20042006). Many researchers have supported this view and have
conducted further studies in conceptualizing, classifying, investigating, and implementing capabilities for improving organizational performance (Augier & Teece, 2008; Teece, 2007; Wang & Ahmed, 2007).
In other contexts, such as information science, previous studies have
suggested that capabilities are clearly intermediate transformation
abilities that allow for the conversion of resources (i.e., information)
into objectives (i.e., services).
Thus, we propose that effective and efcient EGS depends on the
capability of governments to adopt information and communication
technologies (ICTs), or the so-called EGS capabilities (EGSC). This
idea was inspired by the successful practices and solid arguments in
the domain of SERVQUAL and information technology-related capability management (ITCM) systems, such as the Information Technology Infrastructure Library (ITIL) (Bon, 2007) and Capability Maturity
Model Integration (CMMI) (Barki, Rivard, & Talbot, 2001; Cresswell,
Pardo, & Canestraro, 2006). However, few studies have examined a
comparatively holistic measurement model of EGSC and elucidated
the relationships among EGS-related capabilities. Hence, the public
sector suffers from a lack of perspectives and guidelines on the

0740-624X/$ see front matter 2012 Elsevier Inc. All rights reserved.
doi:10.1016/j.giq.2012.04.007

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G. Hu et al. / Government Information Quarterly xxx (2012) xxxxxx

effective management of EGSC. To address this gap, the present study

proposes a measurement model, as well as investigates this model
and the latent relationships among EGS-related capabilities based
on the internal attributes of government organizations. We anticipate
that our results will provide value for the assessment and improvement of EGS provision.

2. Theoretical background
We conceived of the outline of EGSC from the following perspectives.

2.1. Service quality-based views (SQBV)

A growing body of research has focused on the quality of EGS itself
(Koh, Prybutok, & Zhang, 2008; Wang & Liao, 2008)a customeroriented approach motivated by the needs of the customers.
Papadomichelaki et al. reviewed the context of EGS quality, which includes 12 different approaches to quality of service for the public sector
in general, and e-gov in particular (Papadomichelaki, Halaris, Apostolou,
& Mentzas, 2006). This context is a more extroverted view because it
emphasizes how clients receive services from the front-ofce website:
examples include the IBM approach (Anbazhagan & Nagarajan, 2002),
g-CSI (Kim, Im, & Park, 2005), SITEQUAL (Webb & Webb, 2004), etc.
The quality dimensions of this approach are related to the delivered service and/or the input from the receivers of the service, which are helpful
in designing user-centered service delivery mechanisms. A retrospective
analysis enables the identication of service delivery capacity.

2.2. Quality management views (QMV)

Five other approaches are often used in assessing and enhancing
the quality of EGS from the perspective of inner-government quality
management (Papadomichelaki et al., 2006). The common assessment framework is an easy-to-use, total quality management
self-assessment tool especially designed for public sector organizations (EIPA, 2006). Using a balanced scorecard, an organization
monitors both its current performance and its efforts to improve processes, motivate and educate employees, as well as enhance its information systems. In addition, Six Sigma uses quality tools to achieve
performance improvements. Conversely, the principles of ISO can be
used by senior managers as a framework to steer their organizations
toward improved performance. Finally, the Baldrige Criteria is a
framework that any organization can use to improve its overall performance (Baldrige National Quality Program, 2006). These views
are useful for seeking suitable expressions of EGSC based on a comprehensive assessment of organizational and technical capabilities.

2.4. IT capability-based views (ITCBV)

A multidimensional approach to capability in a technical sense is
also common. The well-known ITIL is adopted worldwide as the
best practice for IT service management (Bon, 2007). It involves multiple dimensional arrangements in IT capability management. The
CMMI and the IT Capability Maturity Model are other examples
adopted by software and IT service organizations for assessing and
improving their software/IT development (service) capabilities.
Other models, such as the DeLone and McLean model of information service (IS) success (Delone & McLean, 2003), knowledgesharing capability model (Kim & Lee, 2004), and informationprocessing capability model (Chou, Chang, Cheng, & Tsai, 2007),
serve as useful references for the development of EGSC assessment
constructs in the present study.
3. Research model and hypotheses
3.1. Hierarchies of EGSC
As discussed in the introduction, we construct a holistic measurement framework of EGSC and analyze its structural relationships for
better capability management. Using the literature review as basis,
we propose a hierarchical model of EGSC (Fig. 1).
The highest layer is the representation layer, representing content
service capabilities (CSCs) (Hu, Pan, Lu, & Wang, 2008; Hu, Zhong, &
Mei, 2008). On one hand, CSCs are the capabilities that enable public
servants to provide satisfying services to citizens. On the other hand,
CSCs can be revealed by the perceived satisfaction of the customers
with the service contents that they accessed.
The transport layer represents service delivery capabilities (SDCs),
revealed by the design of service transport mechanisms, which are
viewed as highly efcient and effective based on the SQBV and
ITCBV. Specically, SDCs embody the structural quality of e-gov
websites, service processes, and infrastructures.
The enabled layer, which is the lowest layer, describes the enablers, power, and engines of the capabilities of the other layers. In
this layer, on-demand capabilities (ODCs) are characterized by these
attributes in inuencing SDCs and CSCs. ODCs provide the mechanisms for technology adoption, innovation and learning, as well as
emergency reactions that build a continuously innovated model for
service performance improvement.
In examining the hierarchical model of EGSC, we construct its conceptual model, which can be measured using the three categories of
abilities (Fig. 2). From this, we derive the rst hypothesis.

2.3. Resource-based views (RBV)

Competence-oriented views are based on studies on private organizations in the context of strategic management. Capabilities are
generally labeled as competitive advantages over competitors
(Barney, 1991; Bharadwaj, 2000). With the advent of IT, the RBV,
which links the performance of organizations to IT resources and
skills, shapes the dominant opinion on augmenting the conceptual
analysis of the effects of IT on rm performance (Barney, 1991).
In these views, EGS application is a specic kind of IT innovation
that tends to be highly difcult to implement and prone to failure
(Lyytinen & Robey, 1999). Therefore, assessing organizational and
technical capabilities for successfully engaging in such an endeavor
is an initial step in planning or reforming EGS initiatives (Segars &
Grover, 1999).

Fig. 1. Hierarchical model of EGSC.

Please cite this article as: Hu, G., et al., A hierarchical model of e-government service capability: An empirical analysis, Government Information Quarterly (2012), doi:10.1016/j.giq.2012.04.007

G. Hu et al. / Government Information Quarterly xxx (2012) xxxxxx

CSC

EGSC

SDC

ODC
Fig. 2. Conceptual model of EGSC.

Hypothesis 1. EGSC can be measured using CSCs, SDCs, and ODCs.

3.2. Content service capabilities
According to Delone and McLean, service content is one of the factors that contribute to the success of information systems (Evans &
David, 2006). The present research adopts this perspective in addressing some aspects of EGSC. In the paradigm of public service contents (outcomes), EGSs are commonly divided into three types: IS,
transaction services (TS), and participation services (PS) (Hu, Pan,
Lu, & Wang, 2008; Hu, Zhong, & Mei, 2008; UNDESA, 2010). We postulate that each type of service is supported by one kind of capability.
3.2.1. Information service capabilities
Typical e-gov information services include government news,
forums, public policies, research information, employment and business opportunities, etc. (Larsen & Rainie, 2010; UNDESA, 2010;
West, 2005, 2006). In China, nearly 50,000 government portals provide information services. Taking the Window of Capital (Shoudu
Zhichuang) (http://www.beijing.gov.cn) as an example, its information services span About Beijing, Traveling in Beijing, Food in
Beijing, Culture of Beijing, etc. All of its information services have
two key aims: delivering information to the public and improving
government transparency (Ma et al., 2005).
Based on the RBV, the capabilities in providing information services
can be dened as information service capabilities (ISCs), revealed by the
degree to which government-held information resources (data) are
transformed into public goods (information services). Four terms
(i.e., PUDI, PFAI, PFTI, and PRAI) are used to label the corresponding
key processes in measuring ISC to assess whether the government
EGS system (EGSS) is designed to provide useful and demanded
(Chen, 2010; West, 2006), authoritative (Carter & Blanger, 2005),
timely, reliable, and accessible information service to citizens (Baker,
2009; Wang & Liao, 2008) based on an introverted perspective.
The term PUDI denotes that the EGSS is designed to provide useful
and demanded information to clients. In the government sector, PUDI
is apperceived by government workers and public servants in two
ways: as provision of useful information (aim) and application of useful
information (outcome). PFAI indicates that the information provided by
the EGSS, such as secondary data from the government, is authoritative
and trustworthy. PFTI contends that the information provided by the
EGSS is timely during its lifecycle. In this paper, PRAI is used to refer
to the characteristics of EGSS that are always reliable when accessed.
3.2.2. Transactional service capabilities
West, who provided the rst denition of e-gov transactional services, states that EGSs are only those services in which entire transactions can occur and be fully executed online (West, 2005). For Layne
and Lee, transactional services are provided in the second and more advanced stages of their four functional egov models (Layne & Lee, 2001).
These services focus on connecting the internal government system to

online interfaces and enabling the citizens to electronically transact

with the government. In UN annual reports, e-gov maturity is described
as a two-way interactional service, whose extent consists of ve phases
and in which transactional services match the features in the fourth
stage and higher (UNDESA, 2010). In general, tax ling, license registration or renewal, payment of nes, and marriage/birth/death registration
services, as well as other similar government-to-constituency interactions are usually categorized into transactional services.
Based on the RBV, the capabilities that facilitate effective and efcient delivery of transactional services can be dened as transactional
service capabilities (TSCs), revealed by the extent to which interactive
online transactions can be executed. Four terms (i.e., COD, PCT, PET,
and ASA) are used to represent the key processes involved in measuring TSC to assess whether EGSS is designed to provide convenient
(Steyaert, 2004; Wimmer & Traunmuller, 2008), comprehensive
(UNDESA, 2010; West, 2005), effective (Hu, Zhong, & Mei, 2008;
Wimmer & Traunmuller, 2008), and successful (Wang & Liao, 2008;
West, 2005; Wimmer & Traunmuller, 2008) transactions to citizens.
The term COD indicates that the EGSS is convenience-oriented and
designed to more effectively satisfy user demands. This orientation in
designing the EGSS allows for more convenient service delivery and
elicits more willingness to avail of EGS. PCT indicates that the EGSS
is designed to provide comprehensive transactional services to the
public. PET refers to the EGSS designed to provide effective and efcient transactional services to the public. The term ASA is used to describe the EGSS that is readily accessible to the public.
3.2.3. Participation service capabilities
E-participation is discussed initially in the context of e-democracy,
which is regarded as an online medium for public involvement
(Gronlund, 2003; Jaeger & Thompson, 2004). With the development
of ICTs and the expansion of EGS applications, e-participation is no
longer the exclusive privilege of politicians, and the citizenry is
afforded the opportunity to vote and make decisions regarding civic
and public issues online (Evans & David, 2006; Gronlund, 2003).
Nowadays, e-participation has become a form of e-service that facilitates public involvement. Through e-participation activities, the level
of democracy, as well as the quality of government decisions and policy acceptability can be enhanced. Herein, the capabilities that enable
the provision of participation services are dened as participation
service capabilities (PSCs). PSCs can be measured using three parameters (designated as PID, RTU, and QFP), which are used to assess
whether the EGSS can provide streamlined (Carter & Blanger,
2005; Jaeger & Thompson, 2004) and highly responsive (Baker,
2009; Hu, Zhong, & Mei, 2008; UNDESA, 2010) participation services,
as well as quick feedback (Carter & Blanger, 2005; West, 2006;
Wimmer & Traunmuller, 2008) mechanisms to citizens.
The term PID refers to the EGSS that is pipeline-designed to provide streamlined participation services to clients. It makes for involvement in public affairs that is convenient and time-saving
(Carter & Blanger, 2005). RTU indicates that the EGSS is always highly
responsive to the e-participation behaviors of users (Chen, 2010). It
makes e-participation processes more interactive and efcient. QFP
means that the EGSS is designed with suitable and complete mechanisms for quick feedback on the suggestions and proposals of the participants (Gronlund, 2003).
In general, these capabilities make up the conceptual framework of
e-gov CSC, as shown in Fig. 3. The second hypothesis is stated as follows:
Hypothesis 2. CSCs can be measured using ISCs, TSCs, and PSCs.
3.3. Service delivery capabilities
Service delivery capabilities (SDCs) are dened as the abilities in the
transport layer that focus on the performance of the EGS delivery processes following the views of SQBV and ITCBV. After the literature

Please cite this article as: Hu, G., et al., A hierarchical model of e-government service capability: An empirical analysis, Government Information Quarterly (2012), doi:10.1016/j.giq.2012.04.007

G. Hu et al. / Government Information Quarterly xxx (2012) xxxxxx

Hypothesis 3. SDCs have positive effects on CSCs.

ISC

3.4. On-demand capabilities

CSC

TSC

PSC
Fig. 3. Conceptual model of CSC.

review, we measured SDCs by considering the degree to which the following key processes are executed: user-centered design (UCD) (Dias &
Rafael, 2007; Gouscos, Kalikakis, Legal, & Papadopoulou, 2007), quickly
accessed design (QAD) (Halchin, 2004; Meo, Quattrone, & Ursino,
2008), low equipment requirement design (LERD) (Baker, 2009;
Hung, Chang, & Yu, 2006; Steyaert, 2004), privacy-protected design
(PPD) (Jaeger & Thompson, 2004; Landrum, Prybutok, & Zhang, 2007),
equity to user (EU) (Hung et al., 2006; Meo et al., 2008;
Papadomichelaki et al., 2006), robust delivery services (RDS) (Jaeger &
Thompson, 2004; Wang & Liao, 2008; Webb & Webb, 2004), and access
assistance design (AAD) (Bon, 2007; Dias & Rafael, 2007; McNaughton,
Ray, & Lewis, 2010).
The term UCD denotes that the EGSS is designed from a
user-centered perspective, making web browsing easier. QAD means
that the EGSS is designed to provide quickly accessed service to
users. LERD indicates that the EGSS is designed to provide low equipment requirement services and lets users enjoy the innovation of government services. PPD indicates that the EGSS is designed with
functions to protect the personal information of users. PPD enhances
the trustworthiness of EGS and adds to the condence of users in
using government e-services (Jaeger & Thompson, 2004). EU is another ability to encourage user acceptance of EGS, which makes
users, especially individuals with lower incomes and disabilities,
feel condent in using EGS (Carter & Blanger, 2005; Jaeger &
Thompson, 2004). The term RDS is used to describe the capabilities
of EGSS to provide continuous, consistent, and prompt services to citizens (Bon, 2007; Gouscos et al., 2007; Papadomichelaki et al., 2006).
AAD means that the EGSS has been designed with a comprehensive
set of instructions and measures to facilitate better usage.
Although researchers have engaged in exhaustive discussions on
the effects of IT innovations on EGS performance, their ndings do
not clearly indicate whether SDCs have positive effects on CSCs.
Hence, this is the focus of the third hypothesis. The hypothesized effect is shown in the structural model (s1) (Fig. 4).

SDC

CSC

Technology and user needs are ever changing at a rapid pace. How
can governments keep up with the developments in IT? How can governments implement new IT developments to satisfy the current and
future needs of the users? The concept on-demand capability has
become popular and has been adopted by IBM (IBM, 2010).
On-demand capabilities (ODCs) consider the ever-changing demands
of the users the key factor in determining the design of organizational
IT capabilities to provide proactive services.
ODCs are therefore dened as the other antecedents of CSCs, and
can be measured through the extent to which the ve key processes
are implemented: adoption (Carter & Blanger, 2005; Delone &
McLean, 2003; Helfat & Peteraf, 2003), absorption (Augier & Teece,
2003), D&T (development and transformation) (Augier & Teece,
2003; Carter & Blanger, 2005; IBM, 2010), reconguration (Amit &
Schoemaker, 1997; Augier & Teece, 2008; McNaughton et al., 2010),
and reaction (Bon, 2007; Carter & Blanger, 2005; Chen, 2010). Adoption is the process by which new and advanced IT innovations are
adopted to provide better EGS. As an ODC, absorption is the process
by which government agencies pay attention to learning and
implementing new successful practical experiences (cases). D&T refers to the continuous development of information resources and
their transformation into new service items. Reconguration refers
to the modication of inner resource congurations (e.g., software
and hardware congurations, as well as process and constitutional
congurations) to provide new services or improve service quality.
Reaction refers to establishing suitable reactive measures for handling emergencies, such as server black-outs, database collapse, and
malicious attacks. It follows the views of ITCM in a certain sense.
No empirical evidence on whether ODCs have positive effects on
CSCs currently exists. Hence, we examine the effects of ODC on
CSCs, and propose the fourth hypothesis [Fig. 4 (s2)].
Hypothesis 4. ODCs have positive effects on CSCs.

3.5. Structural relationships

ODCs are capabilities that are revealed by adapting to the
ever-changing needs of users as well as by adopting better technologies in providing public services. Thus, ODCs can be helpful in designing better e-gov service delivery systems, which in turn result in
higher CSCs. The paths that the effects take are shown in Fig. 4 (s3).
Moreover, whether SDCs have intermediate inuence over the effects
of ODCs on CSCs requires examination. We therefore propose the

ODC

(s1)

CSC
(s2)

SDC

SDC
CSC

ODC

CSC
ODC

(s3)

(s4)
Fig. 4. Hypothesized structural model.

Please cite this article as: Hu, G., et al., A hierarchical model of e-government service capability: An empirical analysis, Government Information Quarterly (2012), doi:10.1016/j.giq.2012.04.007

G. Hu et al. / Government Information Quarterly xxx (2012) xxxxxx

fourth structural model, as shown in Fig. 4 (s4). Correspondingly, the

following hypotheses are stated:
Hypothesis 5. ODCs have positive effects on SDCs.
Hypothesis 6. With higher ODCs, the effect of SDCs on CSCs is
strengthened.
Hypothesis 7. With the mediation of SDCs, ODCs can have direct and
indirect effects on CSCs.
4. Exploratory empirical study
The hypotheses were tested using data collected from public servants
who work in government agencies in Mainland China. For each respondent, a questionnaire was used to inquire about his/her experiences in
using EGSS.
4.1. Constructs
For data collection, the questionnaire was designed in three steps.
First, case studies were reviewed, and then the constructs, including
11 items pertaining to CSCs (i.e., 4 for ISCs, 4 for TSCs, and 3 for
PSCs), 7 pertaining to SDCs, and 5 pertaining to ODCs, were designed.

Second, comments on the dimensions and detailed descriptions

were sought from over 20 senior management information systems
ofcers and information management staff or experts who are managers or users of EGSS in Chinese local governments. The constructs
were then revised accordingly. Subsequently, Chinese/English translations were generated ve times to ensure that no differences in
the interpretation of the questionnaire items exist.
Finally, to examine the reliability of the constructs, 120 pre-survey
questionnaires were distributed, 99 of which were returned. The reliability and validity of the constructs were tested using exploratory factor
analysis. Two SDC items were eliminated because of their nonsignicant
loading coefcients. The nal questionnaire contained 11, 5, and 5 items
pertaining to CSCs, SDCs, and ODCs, respectively. The constructs (i.e.,
measurements used in the questionnaire) are detailed in Appendix A.

4.2. Data collection

The survey was conducted by face-to-face interviews, telephone
interviews, e-mail correspondences, and paper questionnaires from
August 2009 to January 2010. Forty-two sample spots, including 7
government departments and 35 Master of Public Administration
(MPA) centers were investigated. The respondents were scattered
throughout the country. The data were collected in 2 months, and a
total of 1372 completed questionnaires were obtained, 860 of which

Fig. 5. Scale validation of measurement models.

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G. Hu et al. / Government Information Quarterly xxx (2012) xxxxxx

were considered valid after excluding those with missing values

(163) and inconsistent responses (349).
4.3. Analysis of results
The hypotheses were tested by structural equation modeling (SEM)
using SPSS/PC version 13.0 and AMOS version 7.0. Given that the instruments were proposed using CSCs, SDCs, and ODCs as measurements and
by summarizing previous studies, the constructs and hypotheses were
tested via two independent stages, in accordance with McDonald and
Ho (2002). The rst-order and second-order conrmatory factor analyses (CFA), and structural equation analysis were used to appraise the
measurement model and the structural model, respectively.
1) Demographics and descriptive statistics
Of the 860 government faculties sampled, 56.54% were male; 93%
of the total respondents were MPA students who had attended related courses on Electronic Government. Thus, we assumed that the respondents were familiar with the methodology, technology, and
theory of EGSS. The mean age of the respondents was 38 years old,
and 72.67% of them worked in government for about 3 to 8 years,
which should translate to higher perceptions and experiences of
EGS applications. With regard to educational level, all of the respondents were college graduates. The respondents were from 102 cities
in 26 provinces, and held various positions.
2) Scale validation
The validity of the CSC, SDC, and ODC constructs was conrmed
using rst-order CFA [Fig. 5 (m1), (m3), (m5), and (m6)] and
second-order CFA [Fig. 5 (m2) and (m4)].
The CFA indicates that all measurement models adequately t the
observed data. Table 1 shows the analytical results. 2 was sensitive
to the sample size and likely to be signicant for a large sample. To
examine the goodness-of-t of the overall CFA model, the 2 normalized by the degree of freedom ( 2/df) should not exceed 5. Moreover,
the goodness-of-t index (GFI), the normed t index (NFI), and the
comparative t index (CFI) should exceed 0.90, while the adjusted
goodness-of-t index (AGFI) and the non-normed t index (NNFI)
should exceed 0.80 (Hu & Bentler, 1999).
For the CFA results of the six models (Fig. 5), 2/df, GFI, AGFI, NFI,
NNFI, and CFI exceeded 0.90, suggesting adequate model t. Moreover, the root mean square error of approximation (RSMEA) also indicates adequate model t. Furthermore, all rst-order factor
loadings were signicant (p b 0.001) (which were used to assess the
agreement among different measurement methods), indicating convergent validity. In general, these statistics indicate good t based
on the rst-order measurement.
Table 2 lists the standardized parameter estimates of the hierarchical model [Fig. 5 (m2)] by AMOS using maximum likelihood estimation and SPSS. Notably, the p-values were all signicant, the R 2
values ranged from 0.43 to 0.80, and the CR values all exceeded
0.50, indicating acceptable reliability for all latent variables (factors)
(McDonald & Ho, 2002).
The AVE of each construct ranged from 0.478 to 0.782, which also
indicates good convergent and discriminant validity (Table 2)
(Raine-Eudy, 2000).

Table 2
Standardized parameter estimates (n = 860).
Path

Std. factor loading (p)

R2

Cronbach's

CR

AVE

Isc1 ISC
Isc2 ISC
Isc3 ISC
Isc4 ISC
Tsc1 TSC
Tsc2 TSC
Tsc3 TSC
Tsc4 TSC
Psc1 PSC
Psc2 PSC
Psc3 PSC
Sdc1 SDC
Sdc2 SDC
Sdc3 SDC
Sdc4 SDC
Sdc5 SDC
Odc1 ODC
Odc2 ODC
Odc3 ODC
Odc4 ODC
Odc5 ODC
ISCb CSC
TSC CSC
PSC CSC
CSCb EGSC
SDC EGSC
ODC EGSC

0.72a
0.67 (***)
0.75 (***)
0.74 (***)
0.86a
0.87 (***)
0.68 (***)
0.66 (***)
0.72a
0.89 (***)
0.90 (***)
0.72a
0.75 (***)
0.66 (***)
0.64 (***)
0.68 (***)
0.79a
0.82 (***)
0.88 (***)
0.81 (***)
0.65 (***)
0.86a
0.85 (***)
0.76 (***)
0.90a
0.93 (***)
0.82 (***)

0.52
0.44
0.56
0.55
0.74
0.76
0.46
0.44
0.52
0.80
0.81
0.51
0.56
0.44
0.42
0.46
0.62
0.67
0.77
0.66
0.42
0.75
0.72
0.57
0.82
0.86
0.67

0.810

0.812

0.519

0.850

0.854

0.599

0.872

0.878

0.707

0.816

0.820

0.478

0.889

0.894

0.630

0.904

0.864

0.680

0.938

0.915

0.782

CRComposite reliability, AVEAverage variance extracted. P-values for item factor

loadings are indicated in parentheses.
a
Indicates a parameter xed at 1.0 in the original solution.
b
Are estimate results of the second-order CFA.

3) Hypotheses testing
Using AMOS, the proposed measurement model of EGSC was
tested via rst-order CFA [Fig. 5 (m1)], and the hierarchical conceptual
model of EGSC was tested using hierarchical CFA [Fig. 5 (m2)]. The results indicate that the models adequately t the observed data
(Table 1). Thus, Hypothesis 1 is supported.
The measurement models of CSC, SDC, and ODC were tested using
models m3, m5, and m6, whereas the structural model of CSC was
tested using model m4. The results show adequate t as well
(Table 1). Thus, Hypothesis 2 is supported.
Subsequently, Hypotheses 37 were tested using SEM. The model
t was assessed by examining the analytical results (Table 3). The results demonstrate adequate t between the hypothesized model and
the observed data.
Path analysis was used to examine the signicance and strength of
the hypothesized effects in the research model. Fig. 6 shows the path
coefcients and path signicance levels.
Analysis results reveal a signicant path from SDCs to CSCs [with a
path coefcient of 0.849 (p b 0.001); Fig. 6 (s1)]; from ODCs to CSCs
[with a path coefcient of 0.752 (p b 0.001); Fig. 6 (s2)]; and from
ODCs to SDCs [with a path coefcient of 0.819 (p b 0.001); Fig. 6 (s3)],
supporting Hypotheses 35, respectively. Similarly, in model s3 the
path coefcient between SDCs and CSCs was positively signicant
(r = 0.880, p b 0.001), which is higher than that in model s2, supporting

Table 1
Fit statistics of constructs.
Model

2/df

GFI

AGFI

NFI

NNFI

CFI

RMR

RMSEA

m1
m2
m3
m4
m5
m6

3.48
3.48
4.11
4.11
1.84
1.21

0.933
0.933
0.964
0.964
0.997
0.998

0.915
0.915
0.942
0.942
0.987
0.992

0.939
0.939
0.967
0.967
0.995
0.998

0.949
0.949
0.969
0.969
0.994
0.999

0.955
0.955
0.975
0.975
0.998
1.000

0.040
0.040
0.039
0.039
0.011
0.007

0.054
0.054
0.060
0.060
0.032
0.016

Table 3
Fit statistics of structural models.
Path model

2/df

GFI

AGFI

NFI

CFI

NNFI

RMR

RMSEA

s1
s2
s3
s4

3.13
2.83
2.99
2.91

0.958
0.962
0.942
0.944

0.941
0.947
0.926
0.928

0.957
0.966
0.948
0.949

0.970
0.977
0.964
0.966

0.964
0.972
0.959
0.961

0.039
0.039
0.039
0.038

0.050
0.046
0.048
0.047

Please cite this article as: Hu, G., et al., A hierarchical model of e-government service capability: An empirical analysis, Government Information Quarterly (2012), doi:10.1016/j.giq.2012.04.007

G. Hu et al. / Government Information Quarterly xxx (2012) xxxxxx

0. 849***

SDC

CSC

ODC

0. 752***

(s1)

CSC

(s2)

0. 880***

SDC

SDC
CSC

0. 819***
ODC

0. 677***
CSC

0. 798***
ODC

0. 214***
(s4)

(s3)

Fig. 6. Path coefcient of the hypothesized structural models.

Hypothesis 6. Fig. 6 (s4) shows that ODCs had positive direct and indirect effects on CSCs; therefore, Hypothesis 7 is supported.

5. Discussion
The quality of EGS depends on the complex interplay of many factors, and EGSC should be its endogenetic power embedded in CSCs,
SDCs, and ODCs. Previous studies have provided differing perspectives
on this issue, and they have not presented a comprehensive and systematic classication of EGS. To address this gap, we constructed a hierarchical model of EGSC, which included three layers. Every layer
involves one type of capability, which is shown in an up-down approach
from the service outcomes to the service delivery processes, and nally
to the capability fountains.
The hierarchical model was tested using CFA and rigorous logical
reasoning with four measurement models and six structural models.
At the same time, SEM and path analysis were applied to test the interplay of the relationships among the three layers of EGSC. The analysis
explored the mechanisms of how one type of capability is imposed on
the others, as well as how they shape government capabilities in delivering e-services. The results of path analysis provide empirical evidence
for our hypotheses. Nevertheless, the investigation also shows that the
processes LERD and EU in the initial hierarchy model (Fig. 1) should
be excluded because of their low coefcient loadings. The reconstructed
hierarchical model of EGSC is shown in Fig. 7.
Notably, a strong correlation existed between RDS and AAD. This
observation may provide some valuable evidence that a robust
e-gov service system with access assistance functions may have to
be designed. In turn, this correlation indicates that access assistance
measures may be based on a robust system.

6. Implications
This exploratory study demonstrated that both SDCs and ODCs have
positive and signicant effects on CSCs, that is, better EGS delivery
system designs and sustainable IT innovations are useful for higher
e-services performance. Moreover, persistently adjusting e-service contents, adopting new technologies, and leveraging successful experiences in providing public services are helpful for improving service
delivery capabilities.
Based on the path analysis and the microstructural perspective,
ODCs strengthened the effects of SDCs on CSCs when the path of ODCs
to CSCs was disregarded. This observation means that government sectors with higher ODCs can improve the effectiveness and efciency of
service delivery. On the other hand, SDCs partially mediated the effects
of ODCs on CSCs. This trend shows that the effects of ODCs on CSCs are
more signicant indirectly than they are directly. Nevertheless, the total
effects of ODCs on CSCs were almost identical regardless of whether
they were mediated by CSCs.
7. Limitations
This study had some limitations. One related to non-response bias
normally associated with a survey. It was possible to determine how respondents differed from non-respondents. The other is uncertainly about
the effectiveness of the method to improve the success of EGS initiatives.
The ready acceptance of the measurement by practitioners suggests that
it can be used as designed. At present, however, there is no direct evidence of the impact that such use would have on the progress or ultimate
success of EGS projects. The future practical research is needed.
Acknowledgment

Representation layer
ISC
PUDI

TSC
PFTI

PFAI

PRAI

PSC
RTU

PET

COD
PCT

ASA

PID

QFP

Transport layer
SDC
UCD

QAD

PPD

RDS

AAD

Enabled layer

We thank the National Natural Science Foundation of China (NSFC)

(grant no.: 70803018/G0306), Ministry of Education of China (MOEC)
(grant no.: 08JC870006), Program for New Century Excellent Talents
in University (NCET) and Education Bureau of Jiangsu (EBJ) (grant no.:
2010ZDIXM019) for the nancial aid. The egov service capability survey is the result of the efforts, contributions and supports of many people from a number of organizations and thanks are extended to all who
were involved directly or indirectly.
Appendix A. The constructs of EGSC
A.1. Content service capabilities (CSCs)

ODC

Adoption

Absorption

D&T

Reconfiguration

Fig. 7. Reconstructed hierarchical model of EGSC.

Reaction

A.1.1. Information service capabilities (ISCs)

Isc1 (PUDI): Your department's e-gov services system (EGSS) always provides useful and demanded information to the public.
Isc2 (PFAI): Your department's EGSS always provides rst hand
data or authoritative information to the public.

Please cite this article as: Hu, G., et al., A hierarchical model of e-government service capability: An empirical analysis, Government Information Quarterly (2012), doi:10.1016/j.giq.2012.04.007

G. Hu et al. / Government Information Quarterly xxx (2012) xxxxxx

Isc3 (PFTI): Your department's EGSS always provides fresh and

timely information to the public.
Isc4 (PRAI): Your department's EGSS always provides reliable and
accessible information to the public.
A.1.2. Transactional service capabilities (TSCs)
Tsc1 (COD): The EGSS of your department is convenienceoriented designed for meeting users' demands.
Tsc2 (PCT): The EGSS of your department provides comprehensive
transactional services to the public.
Tsc3 (PET): The EGSS of your department provides effective and
efcient transactional services to the public.
Tsc4 (ASA): The EGSS of your department can be always successfully accessed by the public.
A.1.3. Participation service capabilities (PSCs)
Psc1 (PID): The EGSS of your department is pipeline-designed for
users' easier and time-saving e-participation.
Psc2 (RTU): The EGSS of your department is always highly responsive to user's e-participation actions.
Psc3 (QFP): The EGSS of your department always provides quick
feedback to public participation actions.
A.2. Service delivery capabilities (SDCs)
Sdc1 (UCD): The EGSS of your department is user-centered
designed for easier access.
Sdc2 (QAD): The EGSS of your department is designed to provide
quickly-accessed services.
Sdc3 (PPD): The EGSS of your department is privacy-protected
designed for safe using.
Sdc4 (RDS): The EGSS of your department is robust in delivery services to user.
Sdc5 (AAD): The EGSS of your department is designed with service access assistance.
A.3. On-demand capabilities (ODCs)
Odc1 (Adoption): Your department takes an open mind in adoption of new and advanced IT (hardware and software) when providing EGS.
Odc2 (Absorption): Your department pays much attention to absorb new successful practical experiences and implement them into
providing more and better services.
Odc3 (D&T): Your department pays much attention to continuously develop information resources and transform them into new
service items for public.
Odc4 (Reconguration): Your department pays much attention to
change the inner resources conguration for providing new services
or heightening service quality.
Odc5 (Reaction): For dealing with emergencies, your department
has set suitable reaction measures, such as double modular faulttolerant computer system, uninterruptable power supply (UPS), and
duplicate hot standby system (DHSS).
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Guangwei Hu is an Associate Professor of MIS in the Department of Information Management at Nanjing University, China. And now, he is a visiting faculty of Georgia Institute of Technology, U.S.A. He spent 8 years as a practicing IT professional, including
serving as CIO at Anyuan Co. Ltd. He received his Ph. D. in the School of Economic
and Management at Southeast University of China. His research has focused on issues
of MIS, e-gov and strategic management. He has published in Journal of International
Review of Administrative Sciences (IRAS), The electronic library (TEL), the Int. J. of
Electronic Governance, China society for scientic and technical information, China
Soft Science, Journal of management science in China and Journal of Southeast
University.
Jin Shi is a lecturer of the School of Information Management at Nanjing University,
China. He received his Ph. D. in the School of Computer Science at Nanjing University.
His research has mainly focused on software engineering. He has published in Chinese
Journal of Computers, Journal of Software, etc.
Wenwen Pan is a lecturer of the Department of Business Administration, Nanjing
College for Population Program Management. Her research has focused on e-gov,
e-business and MIS. She received her M. A. in the School of Economic and Management at Southeast University of China. She has published in the Journal of Modern
Management Science in China, etc.
Jie Wang is currently an Assistant Professor in Computer Information Systems at Indiana University Northwest, U.S.A. She received an ME degree in Electrical Engineering from the Beijing University of Chemical Technology, China and holds a Ph D.
degree in Computer Science from the University of Kentucky, U.S.A. Her research interests include data mining and business intelligence, matrix decompositions with
their applications, information privacy and security, and electronic commerce. She
has published over 30 referred papers in these areas in various journals and conferences including the Journal of Applied Mathematics and Computation, Knowledge
and Information Systems Journal, etc.

Please cite this article as: Hu, G., et al., A hierarchical model of e-government service capability: An empirical analysis, Government Information Quarterly (2012), doi:10.1016/j.giq.2012.04.007