ACCRA BUSINESS SCHOOL

IMPLEMENTATION OF CASHLESS SYSTEM IN COVID-19 ERA: A CASE STUDY OF

MILVIK GHANA LIMITED (BIMA)

JOSEPH HAMELO

(MAF0820029)

Long Essay submitted to the Accra Business School, in Partial Fulfilment of the Requirement for

the Award of Master of Science Degree in

Accounting and Finance.

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 DECLARATION

Candidate’s Declaration

I hereby declare that this submission is the result of my own original work and that no part of it

has been presented for another degree in this university or elsewhere.

Candidate’s Signature: ………………………. Date: ……………….………

Joseph Hamelo
(MAF0820029)

Supervisor’s Declaration

I hereby declare that the preparation and presentation of the project work were supervised in

accordance with the guidelines on supervision of thesis laid down by the Accra Business School.

Supervisor’s Signature: …………………… Date: …………..……….

Name: Dr. Adesi Kyei

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ABSTRACT

Many companies have resorted to cashless system worldwide now than ever especially in the rise

and spread of coronavirus. This calls for an implementation process that is easy for customers to

adapt devoid of greater difficulties and delivery result to stakeholders. This study seeks to

examine the implementation of Cashless System in the era of Covid-19 by using Milvik Ghana

Limited (BIMA) as a cases study. This study will employ descriptive cross sectional study

design. The quantitative approach will be employed in collecting data for the study. Under the

quantitative approach, the study will employ questionnaire administration as data collection

instrument to provide answers to the research questions. The study will adopt both convenience

and purposive sampling techniques to sample customers and staff members for the study.

Convenience sampling technique will be adopted to select one hundred customers of the

company. Purposive sampling technique will be used to select fifty staff and management

members for the study. This will comprise field agents, telesales agents, support staff and

managers. The data collected will be analyzed using descriptive statistics. Data analysis will be

undertaken by using Microsoft Excel software and Statistical Package for Social Sciences

Software (SPSS version 23). The results will be presented in Tables and Charts and discussed in

comparison with the reviewed literatures.

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 DEDICATION

To my Late Father, Mr. W. K. Mensah

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 ACKNOWLEDGEMENT

I would like to express my sincere gratitude to my supervisor Dr. Adesi Kyei, who supervised

this work with his critical views, comments and advice. I equally thank all the respondents who

participated in this study. Their response and contribution are highly appreciated. Finally, I wish

to thank my family and friends for their continuous support. God bless you all.

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 TABLE OF CONTENTS
DECLARATION.............................................................................................................................ii
ABSTRACT...................................................................................................................................iii
DEDICATION................................................................................................................................iv
ACKNOWLEDGEMENT...............................................................................................................v
TABLE OF CONTENTS...............................................................................................................vi
CHAPTER ONE..............................................................................................................................1
INTRODUCTION...........................................................................................................................1
1.1 Background to the Study...................................................................................................1
1.2 Statement of the Problem..................................................................................................2
1.3 Aim of the Study...............................................................................................................3
1.4 Specific Objectives...........................................................................................................4
1.5 Research Questions...........................................................................................................4
1.6 Justification of the Study...................................................................................................4
1.7 Scope of the Study............................................................................................................5
1.8 Limitation of the Study.....................................................................................................5
1.9 Organisation of the Study.................................................................................................6
CHAPTER TWO.............................................................................................................................7
LITERATURE REVIEW................................................................................................................7
2.1 Introduction............................................................................................................................7
2.2 Theoretical Review................................................................................................................7
2.2.1 Diffusion of Innovation Theory (DOI)...............................................................................7
2.2.2 Systems Theory.............................................................................................................9
2.3 Conceptual Review..................................................................................................................10
2.3.1Payment Systems in Ghana................................................................................................10
2.3.2 Concept of Cashless System.............................................................................................11
2.3.3 Types of Cashless Payment Systems in Ghana.................................................................12
2.4 Empirical Review...............................................................................................................13
2.5 Conceptual Framework............................................................................................................16
CHAPTER THREE.......................................................................................................................17
METHODOLOGY........................................................................................................................17

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 3.1 Introduction..........................................................................................................................17
3.2 Research Design...................................................................................................................17
3.3 Research Approach..............................................................................................................17
3.4 Data Collection....................................................................................................................18
3.5 Population............................................................................................................................18
3.6 Sample and Sampling Technique.........................................................................................19
3.7 Instruments...........................................................................................................................19
3.8 Data Analysis.......................................................................................................................20
3.9 Ethical Considerations.........................................................................................................20
Research Schedule.........................................................................................................................22
Research Budget............................................................................................................................22
References......................................................................................................................................23

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viii
 CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

In almost every field of human enterprise, the twenty-first century has seen immense

technological innovation. The most pronounced is the information and communication

technology infrastructure, which has mystified computers and taken the world on a fast track,

transforming it into a global village where people can communicate with one another (Dahawy

et al, 2005). Omotunde et al. (2013) explained that cashless system is a method of paying for

goods and services using the internet. It also comprise any form of electronic fund transfer

through the internet. Akhalume and Ohiokha (2012) asserts that, a cashless economy is one in

which the sum of cash-based transactions is held to the bare minimum rather than an absolute

absence of cash transactions in the economic environment. It is an economy in which

transactions can be carried out without the need for physical cash as a medium of exchange.

In explaining the benefits of a cashless system, Yaqub et al. (2013) indicated that cashless

system lowers processing costs, increases processing time, provides numerous payment options,

and provides instant notification on all transactions on the customer’s account. It boosts tax

revenues, financial inclusion, and economic growth. Awuku (2019) conducted an empirical study

in Ghana to look into the prospects of a cashless economy in the country. The study’s findings

revealed that a cashless economy boosts Gross Domestic Product growth. Benefits of a cashless

system for various stakeholders include: ease of government transactions, increased security for

all partners, greater efficiency in the public sector, reduced corruption, 24/7 customer service,

less congestion at offices, lower operational costs, increased bank efficiencies and fewer

customer complaints.

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Since the COVID-19 pandemic broke out in China in late 2019, the disease has spread rapidly

across the world, with infection rates continuing to rise. As a result, governments have taken

more drastic measures, such as closing borders, enforcing lockdowns and travel bans, closing

schools and universities, and prohibiting public gatherings including sporting events and

funerals. While government regulations are restricting the health effects, widespread disruption

to travel, business processes, and supply chains means that both individuals and companies can

incur substantial costs and losses.

Regardless of what governments around the world do, businesses must find new ways to survive

the pandemic. Moving from a cash-based to a cashless payment system is one of these innovative

approaches. Many companies have been forced to respond to rapid change in a short period of

time as a result of the COVID-19 outbreak. Due to global lockout limits, businesses have been

forced to work remotely and perform most financial transactions. Many companies, for example,

have enabled their employees to work from home while processing and settling payments for

transactions through payment platforms like internet banking and third-party mobile wallet

payment platforms. It has therefore become imperative to examine the implementation of

cashless system in Ghana and assess the readiness of customers towards the cashless system.

1.2 Statement of the Problem

The world is evolving at a breakneck pace and what used to take decades now takes years, if not

months. According to Oginni et al. (2013), globalization as we know it today is the product of

technological innovation. The horizon of payment systems has shifted due to technological

advancements, with a move toward cashless systems. Modern technology has transformed the

traditional payment system into one that is more flexible and effective. The convenience of

transacting economic substances, as well as safer and faster access to funds, have propelled the

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cashless system to a higher status than the cash-based system (Omotunde, Tunmibi & Dewole,

2013).

The COVID-19 pandemic is having an effect on how financial transactions are handled in

Ghana’s business system. Many creative ways of financially transacting business have been

developed in response to the pandemic’s effects, including online banking and mobile wallet

payments, among others. Nnanwobu et al, (2011) asserted that, pundits predicted the advent of a

“cashless society” as more payment systems are implemented. Paper money is becoming less

common, but at a slower rate. Cash transactions are heavily dominated in Ghana, and there are a

number of factors that influence people’s decision to use non-cash instruments. These include

time spent counting and checking cash, vulnerability to loss, time spent in banking halls, and

theft, to name a few.

Considering the fast pace with which companies are adopting a cashless system, it is expected

that consistent studies will be made on the implementation of the system. However, a search in

the available literatures reveal scanty studies on the subject in Ghana. It has therefore become

paramount to undertake the study to fill the gap in research by providing answers to the questions

posed in the study.

1.3 Aim of the Study

This study aims to examine the implementation of Cashless System in the era of Covid-19 by

using Milvik Ghana Limited (BIMA) as a cases study.

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1.4 Specific Objectives

The specific objectives of the study are:

1. To examine the various cashless systems being implemented by Milvik Ghana Limited in

the Covid-19 era.

2. To ascertain customers readiness towards the cashless systems.

3. To determine the challenges of steering towards cashless system by Milvik Ghana

Limited in the Covid-19 era.

1.5 Research Questions

The study is guided by the following research questions:

1. What are the various cashless systems being implemented by Milvik Ghana Limited in

the Covid-19 era?

2. What is the readiness of customers towards the cashless systems?

3. What are the challenges of steering towards cashless system by Milvik Ghana Limited in

the Covid-19 era?

1.6 Justification of the Study

The outcomes of the study would be meaningful and intriguing and would offer educational

literature on implementation of cashless system in this Covid-19 era. The need for businesses to

steer towards cashless system has become urgent now than ever before. The desire for customers

to access services in their homes, avoid crowding and in their convenience has also become

necessary. To emphasise this, is the recommendation of health experts for people to adopt

systems that avoid human contacts as much as possible to avoid the spread of Covid-19. This

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study therefore has come in the right time when businesses are tuning to the cashless system to

meet customers’ demands. Recommendations of this study will be useful for companies adopting

various forms of cashless systems in their implementation strategies in order to meet the desires

of customers. Further, recommendations related to the challenges of steering towards cashless

system by the study company can be useful for management and implementation teams in

instituting right mechanisms for removing barriers that will affect the process. Empirically, this

study will add to the body of knowledge on the subject. Giving cognizance to the fact that,

research on the subject in Ghana is not far advanced, the study will become reference document

for future students and researchers in the university.

1.7 Scope of the Study

This study will focus on the implementation of Cashless System in Milvik Ghana Limited

(BIMA). The study will examine the various cashless systems being implemented and the

approach being adopted by the company. The study will also capture data from customers to

access their readiness of the cashless system in the era of Covid-19. The study will also gather

data from implementation teams concerning their challenges in the implementation process. Due

to time constraints and the need to complete the research in a stipulated time, the case study will

be confined to only Milvik Ghana Limited. Further only key staff who have adequate

information on the cashless system will be included in the study.

1.8 Limitation of the Study

The research is expected to face some limitations, but sufficient steps will be instituted to

minimize their effect on the findings. The researcher will have to combine his regular work with

academia, so the deadline for submitting the study report will be a challenge. Primary data

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collection may face some delays as a result of the outbreak of Coronavirus requiring strict

protocols to be observed. Further, since the subject area is not far advanced, the researcher

anticipates difficulties in obtaining secondary data for the literature review and further analysis.

The research budget is enormous, and it will be difficult to fulfil since money will be required in

buying data, collecting field data, analyzing the data and printing the final report.

Despite these foreseen limitations, steps will be taken to reduce the impact of the obstacles on

the study results, including allocating time for research work and other routine activities.

Furthermore, by using Google Forms to administer the questionnaire, the researcher will be able

to save money and time on data collection.

1.9 Organisation of the Study

The study will be organized in five chapters. The first chapter of the study will cover background

to the study, statement of the problem, aim of the study, specific objectives, research questions,

and justification of the study, scope of the study, limitations and organization of the study.

Chapter two will review relevant literatures on the subject. Chapter three will describe the

research methodology used in conducting the research work. This deals with the kinds of data the

researcher will collect, various methods of collecting the data and the data analyses approach.

Chapter four will present the results, analyse and discuss in comparison with the reviewed

literatures. Chapter five will present the findings, conclusion and recommendations of the study.

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 CHAPTER TWO

LITERATURE REVIEW

2.1 Introduction

This chapter reviews relevant theories and concepts related to the study. Empirical review

of articles published by scholars and researchers on the subject are also reviewed. The chapter

reviews diffusion of innovation theory and systems theory as the theoretical foundation of the

study. Payment systems in Ghana, the concept of cashless system, types of cashless payment

systems are also reviewed.

2.2 Theoretical Review

This study is underpinned by two theories which are the diffusion of innovation theory

and systems theory. These theories are explained below to form the background of the

conceptual framework of the study.

2.2.1 Diffusion of Innovation Theory (DOI)

Roger first introduced diffusion and innovation theory in 1962 to explain how innovation

spreads over time to members of a social system. According to the theory, contact between

people through interpersonal networks is responsible for the acceptance of a new concept or

innovations. In this sense, diffusion is a distribution of cashless payment in which customers are

looking for better and more convenient transactions while firms are looking for new profits

(Rogers, 1995).

Diffusion of innovations provides three useful insights into the social transformation

process: What attributes effectively propagate an innovation. The relevance of peer talks and

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peer networks and understand the needs of various user segments. Diffusion of innovation is

approaching most other transition theories significantly differently. Instead of concentrating on

persuading people to improve, it considers that change mostly involves developing or

"reinventing" goods and behaviours, to make them more adaptable to the needs of individuals

and groups. It is not people who are changing in the Diffusion of inventions, but innovations

themselves. Why do some inventions spread faster than others? And why fail others? Five

attributes that detect the effectiveness of innovation are recognized by Diffusion scholars

according to Robinson (2009).

1. Relative benefit: That is the extent to which innovation is viewed as superior to the

concept of a specific community of users, calculated in terms of the economic benefit,

social status, comfort and happiness that matter to those users. The faster its rate of

acceptance would be, the more considered the relative benefit of an innovation.

2. Compatibility with current standards and principles: This is the degree to which

innovation is viewed as compatible with potential adopters’ beliefs, past experiences and

needs. A concept inconsistent with its principles, standards or traditions would not be

taken as quickly as a compatible innovation.

3. Easy to use and simplicity: That is how difficult it is to recognize and use an innovation.

New concepts are implemented more quickly than technologies that require the adopter to

learn new skills and insights.

4. Trialability: This is the extent to which an innovation can be limitedly tested. An

innovation that can be tested is less uncertain for the individual who takes it into account.

5. Observable Results: The simpler it is for people to see the effects of an innovation, the

better it is. Visible results decrease confusion and also promote a conversation between

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 peers about a new concept since an adopter’s friends and neighbours also request

information.

The diffusion of cashless payments will lead to financial transactions being carried out within

society or the environment, subject to innovation styles Innovation decision-making. As the

consequences of cashless payment diffusion depend on how fast society is prepared to accept

cashless payment across various stages of innovation processes and in different societies the

consequences of cashless payment are different (Tee & Ong, 2016).

2.2.2 Systems Theory

Since the 1960s, systems theory has influenced and spawned theory and research development in

the field of organizational studies. Systems theory emphasizes both the relationships and

interdependence among the components of the system as well as the organization-environment

relationships. A system’s structure, patterns, and relationships arise from interactions among its

components, making each system special. Hierarchical ordering, coupling, permeability, holism,

emergence, and homeostasis are all defining properties of systems (Lai & Lin, 2017).

A system, according to Kataz and Khan (1966), is a set of parts that work together to achieve a

common goal. When one component of a system is removed, the nature of the system is altered.

A system is also transparent and communicates with its surroundings. A system has inputs,

processes, output and results. Inputs of the system are raw materials, capital, technology, and

people. Processes of the system entails preparing, arranging, encouraging, and controlling

activities. Outputs and results are the products, services, improved quality of life or efficiency

for customers. To ensure its survival, an organization relies on its supporting environment for

ongoing inputs, which it processes through the repeated and patterned behaviours and

interactions of individuals to produce outputs.

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Systems theory has been applied to a wide range of research topics, including communication

design and technology implementation in organizational operations. The use of the system theory

to support this study is supported by its ability to clarify the role of cashless system in

conducting business transactions in an era such as Covid -19. The payment systems in Ghana is

diverse but the ability to switch to a cashless system by adopting new technology need to be

explored as part of a framework.

2.3 Conceptual Review

2.3.1Payment Systems in Ghana

According to Bank of Ghana (2017) payment system is the entire matrix of institutional

arrangements and processes for the infrastructure in a country developed to enabling the

initiation and transfer in the form of trade and central bank liabilities of economic agents.

Payment methods in Ghana include cash, checks, transfers, cards, internet, mobile banking and

transfers of mobile money. Current trend in the Ghana development of payment systems is

driven by economic, financial, political and local ICT industries, as well as global trends in the

development of payment systems. In Ghana, the architecture of payment and settlement systems

is based on the following main aims:

 To avoid and contain invoice, clearing and settlement systems risks;

 Ensure a stable payment and settlement system monitoring and regulation regime;

 Efficiency in the Ghana Government's fiscal operations

 Deepening financial brokerage;

 Discouraging cash from the use of non-paper instruments for transactions;

 Promoting financial inclusion without jeopardizing banking system safety and soundness;

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  Build a comprehensive electronic payment system to improve payment and securities

infrastructures interoperability.

2.3.2 Concept of Cashless System

Cashless system refers to an economic environment in which goods and services are handled in

cash (Paul & Friday 2012). Money has developed in modern electronic or digital money from the

time of cowries, shells, coins and bills of paper. Digital money spread into the 21st century,

popularly known as the computer age. At the moment, the quantity of a plastic card can be

swiped into a coach in the store, hotel, restaurant or pressed on a button on a smartphone to pay,

with no physical cash required. Digital money is a new normal business in the advanced and

certain developing economies, particularly in terms of protection, convenience, and cost-cutting

benefits enshrined in its use due to its serious socioeconomic impacts (Addai & Arthur, 2020).

The new cashless media in Ghana brought by telecommunications firms is Mobile Money. In

2009 MTN Telecommunications Company began a mobile money exchange, later joined Tigo,

Airtel and Vodafone. The telecommunications subscribers in conjunction with banks receive

mobile money services. According to Bank of Ghana (2012) mobile money saturation reached

GHS 155.8 trillion in 2016. Despite the huge impact of the transition of mobile money as a

cashless media, many Ghanaian people continue to be reluctant to use this media because of

safety and the costs of its use. Addai and Arthur (2020) argued that, the government led cashless

system, the e-zwich, could be ideal for Ghanaians, because Ghanaian telecom companies have

recently launched it more securely and affordably than mobile money platforms in the country.

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2.3.3 Types of Cashless Payment Systems in Ghana

Cashless payment methods are ways of paying without issuing cash. A cashless procedure is

more transparent as any transaction can be easily tracked as it leaves its footprints. Many

companies have introduced new cashless payment options in the Covid-19 period, in particular

when communication to suppress the propagation of the virus is prohibited. The alternative

payment methods are:

Internet Banking: The method of carrying out online banking refers to the Internet banking

process. Many facilities, including the transfer of money, the opening of a new fixed or revolving

deposit, the closure of an account. Internet banking is also called e-banking or virtual banking.

Internet banking is commonly used for the transfer of online funds. Banks give customers all

kinds of banking services on their websites, and by using a user name and password customers

can log into their account. In contrast to a visit to a physical branch, internet banking services are

subject to time limits and can be used at all times and all 365 days in each year. Most banks

make accessing their banks' accounts through internet banking convenient to account holders.

This platform enables companies to make payments, collect payments and to produce multiple

reports without actually visiting the banking center from the comfort of home or offices.

Mobile Money: Mobile money is a technology for receiving, storing and spending money on a

mobile phone. The name of a particular service, such as MTN Momo, AirtelTigo Cash, Voda

Cash and others, is often called a “mobile wallet.” More than 270 mobiles worldwide, but most

in Africa, Asia and Latin America, have mobile money services. Mobile money is a favourite

choice for money as well as banks because a mobile telephone signal is simple to use, safe and

usable everywhere. It allows users to move money, make payments or receive balance enquiries

on their mobile phones. The Bank of Ghana’s first quarter of payment systems statistics 2018

showed that the use of mobile money for transactions is steadily increasing year on year.

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Credit and Debit Cards: Credit and debit cards are usually nearly identical with 16-digit card

numbers, expiry dates and PIN code. Both can make shopping in stores or online with one major

change quick and convenient. Debit cards will help you spend money on funds deposited at the

bank by drawing them. Credit cards allow you to buy goods or withdraw cash from the issuer of

cards to a limited extent. This is a plastic card to pay for the delivered products or goods. This

approach is restricted by the availability at the merchant end of the swipe card facilities (POS). It

is a new way for the card holder to move money from their account to that of a merchant after

having kept a PIN, with a terminal and network.

2.4 Empirical Review

Awuku (2019) looked at Ghana’s cashless economy and prospects. The study employed

purposeful sampling to select the Ministry of Finance and simple random to select 13 Universal

Banks and 50 SMEs, which formed the sample size of the investigation. A guide for interviews

helped with the extraction of relevant information. For analysis and presentation of results,

descriptive statistics were used. The results of the study showed that the non-cash economy

boosts GDP growth. These have been strengthened with the benefits to the cashless system,

which includes facilitating government transactions, improving the safety of all partners,

improving public sector efficiency, reducing corruption in the government, providing 24/7

service to customers, reducing office congestion, reducing operational cost, increasing bank

efficiency and reducing customer complaints, In the report, the major challenges for the

financial-cashless economy were cyber-attacks, theft of identities, unstable networks and extra

transaction costs.

The aim of Jumba and Wepukhulu (2019) was to study the impact of cashless payments on the

supermarkets in Nairobi. The emphasis was on the financial success of the supermarket. This

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study explores the recent developments in the financial performance of supermarkets between

January 2015 and December 2017 as regards the impact of cashless payments. The study carried

out descriptive analysis. The target population was 147 supermarkets. A systemic random

sampling of 66 respondents was used to determine the sample size. For testing the relationship

between the independent and the dependent variables, linear regression analysis was used.

Tables, graphs and maps summarized the outcomes of the analyses. The study found that the

financial output is greatly influenced by accessibility, financial innovations, cashflow and

transactions costs.

In a case study by the national control center, Idowu et al. (2020) studied the effect of the

cashless policy on organizational efficiency. The survey design was adopted in the report. A total

of 100 respondents with a simple random sampling technique were chosen for the sample. Main

data collection instrument was questionnaire. Descriptive statistic was used to interpret the data

obtained. Pearson Product Moment Correlation was used to test the hypotheses. It was agreed

that the cash-free system will be useful to combat corruption, and money laundering. It was

recommended that the Cashless System should be strengthened to ensure that everyone can

improve the public intelligence program for the cashless system.

Apau et al. (2019) assessed cashless systems in Ghana as a means of payment. In the report, the

modes of use of cashless systems were identified and the implementation level assessed. A

quantitative approach was introduced and primary data were collected using a structured

questionnaire from 345 respondents who were familiar with cashless systems. The Bank of

Ghana collected secondary data on cashless system transactions from 2013 to 2017 was also

used. Quantitative analysis of data using SPSS was performed and tables and charts were

presented. The results show that the importance of cashless transactions is increasing. At the end

of 2017, the use of cheques is still the prevalent system. The study found that mobile money

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services enter the market more rapidly than any other cashless method of payment or receipt.

Internet banking is another new field that is gaining ground quickly as well. Credit cards,

electronic funds transfers, and transfers of e-switch funds are not used entirely on a daily basis.

Point of sale terminals in local shops are seldom available to facilitate card use in shopping. The

study found that the main advantages of cashless systems are ease, time savings and protection

from physical attacks. The adoption of cashless systems is challenged by low literacy.

Appiah, Mautor and Owusu-Dankwa (2016) explored the value of cashless payment system in

Ghana. A questionnaire was the key method used to collect information for the report. The target

group were people from Adentan and Madina. Convenience techniques was used to sample

various occupations. It was shown that participants knew the benefits of using cashless payments

system. The respondents felt the use of e-payments for business transactions is convenient. The

cashless system enable the transaction of a huge amount of payments of goods and services

without theft and robbery.

Odior and Banuso (2012) researched the challenges, advantages and policy implications of

cashless banks in Nigeria and concluded that creative cashless banks have the potential to

transform economic activity and achieve development goals. Adewale (2013) examined

Nigeria’s cashless project, its subsequent back pedalling during implementation and its recent

updates and stated that the cashless economy could only be effective with the necessary

infrastructure, power, adequate security, human resources, minimum technology/equipment

infrastructure and other structural capacities. Nwankwo (2013) analyzed Nigeria’s cashless

problems and prospects and noticed the major impact of Nigerian cashless payments on the

economy. The researchers observed that this will lead to a considerable decrease in deposit

mobilization and credit extension.

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2.5 Conceptual Framework

Availability of Customer Readiness

Infrastructure

Education and Training

Cashless System
Cyber Security Implementation

Behavioural Readiness
Implementation
challenges
Government Support

Figure 1. Conceptual Framework for the study.

Source: Researcher’s Construct, 2021.

The conceptual framework depicts factors influencing implementation of cashless system in

companies, the readiness of customers for the system and challenges in the implementation

process. From the framework, factors affecting cashless system implementation are availability

of infrastructure, education and training of staff and other stakeholders and the behavioural

readiness of the staff. Other factors are cyber security issues and government support. These

factors determine the ability of companies to roll out a cashless system. Further, the readiness of

customers who are the target of the cashless system affects the achievement of the

implementation goal. Implementations challenges and obstacles are not ruled out in the

implementation process as well as acceptance and usage of the system.

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 CHAPTER THREE

METHODOLOGY

3.1 Introduction

This study seeks to examine the implementation of Cashless System in this era of Covid-19 by

using Milvik Ghana Limited (BIMA) as a cases study. According to Creswell (2003) each

research necessitates a unique structure for its execution. The research methodology explains the

methods and procedures adopted in carrying out the research. This section presents the research

design, research approach, data collection, population, sample and sampling technique,

instruments, variables of the study, data analysis and ethical consideration.

3.2 Research Design

Research designs are procedures for collecting, analysing, interpreting and reporting data in

research studies (Creswel & Clark, 2011). This study will employ descriptive cross sectional

study design. The purpose of descriptive research is to describe an accurate profile of persons,

events or situations (Onwuegbuzie & Combs, 2011). The design is deemed appropriate for

examining the implementation of Cashless in Milvik Ghana Limited.

3.3 Research Approach

This study which is a case study will adopt the quantitative approach in collecting data. The

quantitative approach collects data using systematic tools such as questionnaires and other

statistical data-gathering methods (Creswell, 2003). Since the study is expected to produce

17
numerical results capable of analyzing with statistical tool, the researcher deem quantitative

approach appropriate. Under the quantitative approach, the study will employ questionnaire

administration as data collection instrument to provide answers to the research questions.

3.4 Data Collection

The researcher will collect introductory letter from the university to the study company to seek

permission for data collection. After permissions granted, the researcher will seek the oral

consent of the participants before administering the questionnaires. The phone numbers and

email addresses of the participants who will give their consent will be collected for sending the

link to the data collection instrument that will be hosted on Google Forms. The participants will

be called by phone after the links are sent to facilitate response and eliminate delays. In obtaining

secondary data for the study, reports of the company as well as articles published will be used.

3.5 Population

Population refers to every individual who fits the criteria that a researcher has laid out for the

research participants (Saumure & Given, 2008). The population is the entire set of units for

which the survey data are to be used to make inferences. First, the population of the study will

constitute all customers of Milvik Ghana Limited. This will cover all categories of customers

who receive services from the company. The second set of population for this research will

constitute all management and staff members of Milvik Ghana Limited. Management and staff

make up the population of the study because they are deemed to have knowledge about the

implementation of the cashless system.

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3.6 Sample and Sampling Technique

According to Sekaran and Bougie (2009), sampling procedure is the identification of the specific

process by which the entities of the sample have been selected. Sampling will enable the

researchers to choose a portion of the target population for the study. The study will adopt both

convenience and purposive sampling techniques to sample customers and staff members for the

study. Convenience sampling technique will be adopted to select customers of the company. This

technique is preferable because it will give the researcher the opportunity to include customers

he can easily access in the study. Further the technique is ideal in enabling the researcher include

customers who will be available and has the ability to provide data in the study. After

determining customers to include in the study, purposive sampling technique will be employed in

selecting key management and staff members for data collection. The sampling technique will

enable the researcher to include respondents who have knowledge of the cashless system

implementation in the company. By rule of thumb, the study will employ one hundred (100)

customers and fifty (50) management and staff members for data collection. This will comprise

field agents, telesales agents, support staff and managers. The researcher has observed that,

management and staff members are not many in the study company and normally have tight

schedules. As a result, the sample size was deemed preferable considering the kind of data

needed and the available time for the study.

3.7 Instruments

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The instrument for data collection will be researcher administered questionnaires. The

questionnaires will be structured in nature to obtain standardised responses. The questionnaires

for data collection will of the Likert Scale type with five responses ranging from “Strongly

Disagree” to “Strongly Agree”. The questionnaire will be designed in such a way that, it will

cover the objectives set for the study. There will be two sets of questionnaires for the study. One

questionnaire will be administered to customers and the other to key staff of Milvik Ghana

Limited. Sample of the measurement scale that will be used for the study is presented below:

Table 1: Proforma of data collection instrument

Strongly Agree Agree Neutral Disagree Strongly

Disagree

5 4 3 2 1

3.8 Data Analysis

Data analysis is a method of evaluating patterns based on collected data and comparing and

making observations (Babbie, 2007). The data collected will be analyzed using descriptive

statistics. The raw data will be captured in Microsoft Excel software. The data will be cleaned

and incomplete responses eliminated. The spreadsheet will be exported to the general-purpose

statistical software Stata/SE 13.0 for analysis. The data will be coded, and descriptive statistics

performed on the data and represented in frequency counts, percentages and means. The results

will be presented in Tables and Charts and discussed in comparison with the reviewed literatures.

3.9 Ethical Considerations

20
Authority to undertake the study will be obtained from the Accra Business School and the study

company. Further, the informed consent from respondents where privacy and confidentiality of

information that will be given will be assured. Participants will be informed about their right not

to participate, not to tell certain information if they do not want to or even to withdraw without

being denied from any possible benefit of the study. Participant’s freedom will be respected

throughout the data gathering process. The researcher will have a meeting with the respondents

to seek their oral consent.

Research Schedule
Activity/ Month May May June June July 2021 July
2021 2021 2021 2021 2021
Presentation of Research
Proposal.
Proposal Approval. Preparation
of chapter one to three

Submission and Review of

chapters one to three
Data collection and Data
analysis. Presentation of chapters
four and five.
Review of chapter four and five.

Finalizing project report,

printing and binding. Defence

Research Budget
s/n Cost item Estimated Cost (GHS)
1. Transportation cost 150.00
2. Printing, photocopy, scanning, binding 400.00
3. Call credit & Mobile Data 150.00
5. Miscellaneous cost 100.00
Total 800.00

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 CHAPTER FOUR

DATA ANALYSIS

4.1 Demographic Profile of Respondents

This part of the research instrument collected information on the profile of respondents. Data

collection was done at two points, one from staff of Milvik Ghana Limited and the other from

customers. Information gathered from the respondents (Staff of Milvik) included gender, age,

department of the respondent, duration a respondent has been with the company and level of

income. Information gathered from the customers included gender, age and occupation. For the

purpose of this analysis, the data from the two points of respondents will be merged into one

data. 78 of the respondents (about 45%) are males whiles the remaining 96 respondents are

females. The age distribution can be described as relatively you since about 98% of the

respondents were 45 years or younger. The educational status of the respondents who are

customers indicated about 57% employed respondents, 13% unemployed and 30% of the

respondents who are customers as students.

Table 4.1 - Demographic Profile of Respondents

Percentag
Characteristics Response Frequency e Cum.
Gender
Male 78 55.17 55.17

Female 96 44.83 100.00

Age 19 - 30 142 71.26
71.26

22
 31 - 45 46 26.44 97.70

46 - 60 4 2.30 100.00
Occupation Status
Student 20 29.85 29.85

Employed 38 56.72 86.57

Unemployed 9 13.43 100.00

Department
Customer Service 5 4.67 4.67

Sales Team 83 77.57 82.24

Mhealth 4 3.74 85.98

Management & Support Staff 15 14.02 100.0

Duration of
Employment with Less than 6 months 13 12.15 12.15
Milvik
7 months - 1 year 20 18.69 30.84

More than 1 year, less than 2 years 45 42.06 72.90

More than 2 years, less than 5 years 24 22.43 95.33

More than 5 years 5 4.67 100.00

Income Level
(GHS) 101 - 500 23 13.22 13.22

501 - 1,000 36 20.69 33.91

1,001 - 2,000 77 44.25 78.16

2,001 - 5,000 36 20.69 98.85

Above 5,000 2 1.15 100.00

Further demographics of the respondents who are staff of Milvik Ghana limited was collected.

This included the department each respondent belongs to as well as the duration of which a

respondent has worked with Milvik Ghana Limited. Employees of Milvik Ghana Limited was

23
classified in three categories, Management & support staff, Sales Team, Customer Service and

MHealth Team. 83 of the respondents representing about 78% of the total respondents belonged

to the sales team. As an insurance company whose revenue is driven by sales, its not surprising

that 78% of the sample respondents belong to the sales team. Management and support staff

respondents were made of 15 respondents representing about 14%, whiles the customer service

team made up about 5% of the total respondents with the Telemedicine team also know as the

MHealth team making up the remaining 3%.

Only about 5% of the respondent have been with this company for more than 5 years with

majority of the respondents indicating they’ve been with the company between 1 – 5 years. 12%

of the respondents have been with the company for less than six months.

The study also collected data on the average monthly income of the resondents in Ghana cedis.

77 of the respondents representing about 44% earned between GHS1,001 – 2,000 per month.

Two set of 36 respondents representing about 21 earned GHS 501 – 1,000 and GHS 2,001 –

5,000 respectively. About 13% earned below GHS 501 while 1% earned above GHS 5,000.

Table 4.1 above presents a summary of the responses gathered. The frequency refers to the

number of respondents, the column percentages indicates what percentages the frequency

represents in relation to the total repondents.

4.1 Awareness of the Various Cashless System

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