Faster, Fairer and More Transparent Access to Daycare Places

Research

How an Algorithm Can Help Municipalities

KitaMatch ensures that all available places can be distributed based on demand. Furthermore, municipalities gain reliable data on the actual shortage of places in their area.

Successful pilot projects have shown that the allocation of daycare places can be significantly improved using freely accessible software. Additionally, the process reveals the actual shortage of places in local areas. To simplify the independent implementation of the software for interested youth welfare offices and daycare providers, a comprehensive step-by-step guide is now available.

The allocation of daycare places can be challenging and time-consuming for youth welfare offices, daycare centre managers, and parents. The situation is exacerbated by the fact that in many areas, the demand for places exceeds the supply. Those who are left empty-handed quickly question the methodology of the process. Municipalities like the city of Kaiserslautern in Rhineland-Palatinate and the district of Steinfurt in North Rhine-Westphalia demonstrate how the allocation of places can be made more transparent and fair. Since 2019, they have been using the algorithm-based software “KitaMatch” developed by the ZEW – Leibniz Centre for European Economic Research. The Bertelsmann Stiftung has supported ZEW Mannheim in setting up a freely accessible information portal at www.kitamatch.com. This portal offers a detailed step-by-step guide to the free software, enabling youth welfare offices and daycare centre managers to adopt and leverage “KitaMatch” effectively.

“Digital applications can help municipalities with more tasks than they might have thought before. The allocation of daycare places through algorithms is a prime example. The new guide makes it easier, especially for daycare centre managers and youth welfare offices, to allocate existing daycare places in a faster, fairer, and more transparent manner,” says Felix Sieker, digital expert at the Bertelsmann Stiftung. It is important to note that the software cannot solve the issue of insufficient daycare places that exists in many municipalities, emphasises Thilo Klein, advanced researcher in ZEW’s “Market Design” Unit. “However, the algorithm ensures that all available places can be distributed based on demand. Furthermore, municipalities gain reliable data on the actual shortage of places in their area. This helps them meet the parents’ needs and fulfil their legal entitlement to a daycare place.”

Binding criteria ensure verifiability and acceptance

The focus of the guide is to explain the functioning of the algorithm, provide a step-by-step instruction for implementing the software through IT, and outline the necessary project management processes. A key component is the criteria catalogue, which must be established before commencing the allocation process. This catalogue serves as the basis for allocation by specifying uniform, concrete, and binding criteria that determine the priority of children in receiving a place. Parents, in turn, indicate their preferred daycare centre for their child. The algorithm compares this information and calculates the order in which each daycare centre should make their placement offers. Daycare centre managers have the flexibility to deviate from the software’s recommendations and make exceptions, such as ensuring that siblings are placed in the same facility. The process continues until all available places are allocated. In the case of the Steinfurt district, for example, the allocation process takes no longer than an hour.

Besides saving time, the algorithm can also promote greater fairness in the allocation of places. By ensuring that a child who should have priority according to the criteria catalogue actually receives a place, it eliminates the possibility of discrimination. Additionally, children whose parents find the registration procedures challenging also stand to benefit. Given its central importance to the entire process, it is vital for the criteria catalogue to be collaboratively negotiated between the youth welfare office, daycare providers and daycare managers, and openly communicated to parents. This enhances transparency, verifiability, and ultimately the acceptance of notifications of successful or unsuccessful applications.

Free open-source solution

Another benefit for municipalities is the availability of the software: “KitaMatch” is an open-source solution, meaning it is freely accessible. “The majority of software solutions come from the private sector and usually pursue commercial interests. However, offerings from the scientific community and civil society that are focused on serving the public good are scarce. ‘KitaMatch’ can help bridge this gap in a critical area that is of great relevance for municipalities,” explains Felix Sieker.

The guide also aims to enhance digital literacy among potential users. A fundamental understanding of how algorithmic systems work is essential for the success of the process. Moreover, it assists the involved parties in creating the necessary awareness within their own organisations and in communication with parents. Clear timelines, defined responsibilities between project management and the youth welfare office, and an adequate number of staff members for project management and IT are further key factors for achieving success.