Management Information System
Management Information System
Management Information System
SUBMITTED BY:
SUJAN BHATTARAI
SUBMITTED TO:
ABITA KUNWAR
CAMPION COLLEGE
FACULTY OF MANAGEMENT
TRIBHUVAN UNIVERSITY
In partial fulfillment of the internal requirement for Management Information System subject as a
course of study
ACKNOWLEDGEMENT
This report is the result of continuous effort made and extended support of many people. The
preparation of this report needed a lot of effort and suggestions of many people in order to get to its
complete form. Firstly, I would like to thank Tribhuvan University for designing a platform where
we can gain not only theoretical knowledge but also practical knowledge.
We express our thankfulness to our teacher ABITA KUNWAR for nonstop support and making us
to know about the subject matter of the book in practical way.
We are also very grateful and would like to thank our college administration of
CAMPION COLLEGE, who gave us opportunity for the organization field visit.
We would like to acknowledge with much appreciation the crucial role of the staffs and manager of;
“NIC ASIA Bank Limited”, who helped us by providing information regarding organization
changes and its development. It is our great pleasure to submit this report as the partial fulfilment of
the course materials for the curriculum.
Finally, I would like to pay heartwarming thanks to my family and my dear friends for their valuable
support and assistance, without their support this report would not be possible. I have tried my best
to design a complete application that fulfill all the requirements. Though I am not a professional or
experienced in this field but I had tried my level best to make this project according to the teachers’
guidelines.
Thank you!!!
Table of Contents
CHAPTER ONE: INTRODUCTION
1.1. Introduction of organization......................................................................................1
1.2. Background of the Study...........................................................................................2
1.3. Significance of the Study..........................................................................................2
1.4. Statement of the Problem..........................................................................................2
1.5. Objective of the Study..............................................................................................3
1.6. Delimitation of the Study..........................................................................................3
1.7. Methodology of the Study.........................................................................................4
CHAPTER –TWO: REVIEW OF LITERATURES
2.1. Types of Information System....................................................................................5
2.2. Information system Department................................................................................7
2.3. Role of MIS..............................................................................................................7
2.4. Uses of IT facilities and services...............................................................................8
2.5. Communication.......................................................................................................10
2.6. Software as enterprise application............................................................................13
2.7. IT for Firms’ operation.............................................................................................14
2.8. IT Infrastructure.......................................................................................................17
2.9. Security....................................................................................................................23
2.10. MIS in decision making...........................................................................................25
2.11. Ethics.......................................................................................................................27
2.12. Corporate social responsibility................................................................................27
2.13. Competitive advantage............................................................................................28
2.14. Outsourcing.............................................................................................................30
2.15. Organization change pattern....................................................................................31
2.16. System changes and redesign..................................................................................33
CHAPTER - THREE
CONCLUSION, RECOMMENDATIONS AND REFERENCE
3.1. Conclusion
3.2. Recommendations
3.3. Reference
CHAPTER ONE: INTRODUCTION
1.1. INTRODUCTION OF ORGANIZATION
NIC ASIA Bank has its antecedents in NIC Bank which was established on 21st July
1998. The Bank was rechristened as NIC ASIA Bank after the merger of NIC Bank
with Bank of Asia Nepal on 30th June 2013. This was a historic merger in the annals
of the Nepalese financial landscape as the first of its kind merger between two
successful commercial banks in the country. Today, NIC ASIA has established itself
as one of the most successful commercial banks in Nepal.
During the post-merger integration phase, NIC ASIA managed the transition very
smoothly receiving accolades from the regulators as well as the stakeholders, paving
the way for other mergers and consolidation in the Nepalese financial sector. After the
merger, NIC ASIA was recognized as “Bank of the Year 2013-Nepal” by The
Banker, Financial Times, UK. This is the second time that the Bank was recognized
with this prestigious award, the previous occasion being in 2007.
NIC ASIA Bank is now, one of the largest private-sector commercial banks in the
country in terms of capital base, balance-sheet size, number of branches, ATM
network, and customer base. The Bank has 356 branches, 70 extensions counters 81
branchless banking, and 472 ATMs across Nepal with a network covering all major
financial centers of the country. The Bank strongly believes in Meritocracy,
Transparency, Professionalism, Team spirit, and Service Excellence. These core
values are internalized by all functions within the Bank and are reflected in all actions
the Bank takes during its business.
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Corporate Vision:
“To ensure the creation of optimum values for all the stakeholders”
Mission Statement: BEST
Objectives:
NIC Asia Bank Limited has the following objectives:
Focus on building the positive net worth and meeting minimum capital requirement over the
coming five years.
Focus on increasing the customer base and market share.
Maximize the potential/efficiency of bank's staff.
Focus on minimizing the risk associated with the business.
Focus on providing the world class business solutions.
Focus on increasing the sustainable profit.
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This research has helps us to identify the types of information system used in the
organization.
It has helps to find out the effectiveness of MIS in the organizations.
It has help to locate the types of collaboration tools used in an organization.
It has help to gather information regarding security threats and tools of an organization.
It has help us to analyze that how the use of IS/IT has benefitted the organization.
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To evaluate the impact of management information system in banking industry.
To measure the impact of automated management information system in the performance
operation of commercial banks in banking.
To know about the problem faced by organization to become successful.
To study existing of information technology used in NIC.
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CHAPTER –TWO: REVIEW OF LITERATURES
2.1. Types of Information System
For the last twenty years, different kinds of information systems are developed for
different purposes, depending on the need of the business. In today’s business world,
there are varieties of information systems such as transaction processing systems
(TPS), office automation systems (OAS), management information systems (MIS),
decision support system (DSS), and executive information systems (EIS), Expert
System (ES) etc. Each plays a different role in organizational hierarchy and
management operations.
This study attempts to explain the role of each type of information systems in NIC Asia
Bank Limited.
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the management of seizures by a bailiff,
check management,
credit card transaction processing,
money order management,
the management of corporate clients’ cash payments,
micro account management systems;
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method that is used for a data warehouse which daily banks data are sourced
for use and new once are stored, while DSS is a tool that helps develop and
generate decisions based on the data mined. This includes the following
characteristics:
A wide number of data is stored all over the banks departments and
branches across its coverage and it accessed concurrently.
Heterogeneous execution environments composed of different hardware,
network connections, operating systems, data formats, and data storage.
An extremely heterogeneous nature that depends on the large variety of data
variables.
The ability of viewing customer data variables at run time according to user
inputs and server status.
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Processing of NIC Asia bank limited.
MIS provides regular information to managers to allow them to make decision based
on data rather than guesses.
MIS helps in taking management decisions related to management function
especially for top management.
MIS satisfies the diverse needs through a variety of systems such as Query Systems,
Analysis systems, Modeling Systems and Decision Support Systems.
MIS helps in short term planning, target setting and controlling of NIC Asia Bank
Limited.
Application
of IT in NBL
For For
For bank
customer employee
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A) For the customer: NIC ASIA Bank Limited is aware of customer's need for
new services and plan to make them available. IT has increased the level of
competition and forced them to integrate the new technologies in order to
satisfy their customers. They have already developed and implemented a
certain number of solutions among them:
1. Self-inquiry facility: Facility for logging into specified self-inquiry terminals
at the branch to inquire and view the transactions in the account.
2. Remote banking: Remote terminals at the customer site connected to the
respective branch through a modem, enabling the customer to make inquiries
regarding his accounts, on-line, without having to move from his office.
3. Anytime banking- Anywhere banking: Installation of ATMs which offer
nonstop cash withdrawal, remittances and inquiry facilities. Networking of
computerized branches inter-city and intra-city, will permit customers of these
branches, when interconnected, to transact from any of these branches.
4. Telebanking: A 24-hour service through which inquiries regarding balances
and transactions in the account can be made over the phone.
5. Electronic Banking: This enables the bank to provide corporate or high value
customers with a Graphical User Interface (GUI) software on a PC, to inquire
about their financial transactions and accounts, cash transfers, cheque book
issue and inquiry on rates without visiting the bank. Moreover, LC text and
details on bills can be sent by the customer, and the bank can download the
same. The technology used to provide this service is called electronic data
interchange (EDI). It is used to transmit business transactions in computer
readable form between organizations and individuals in a standard format.
As information is centralized and updates are available simultaneously at all
places, single-window service becomes possible, leading to effective reduction
in waiting time.
B) For the bank. During the last decade, NIC ASIA bank Limited applied IT to a
wide range of back and front office tasks in addition to a great number of new
products. The major advantages for the NIC to implement IT are:
i. Availability of a wide range of inquiry facilities, assisting the bank in business
development and follow-up.
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ii. Immediate replies to customer queries without reference to ledger-keeper as terminals
are provided to Managers and Chief Managers.
iii. Automatic and prompt carrying out of standing instructions on due date and
generation of reports.
iv. Generation of various MIS reports and periodical returns on due dates.
v. Fast and up-to-date information transfer enabling speedier decisions, by
interconnecting computerized branches and controlling offices.
C) For the employees. IT has increased their productivity through the followings:
i. Accurate computing of cumbersome and time-consuming jobs such as
balancing and interest calculations on due dates.
ii. Automatic printing of covering schedules, deposit receipts, pass book /
pass sheet, freeing the staff from performing these time-consuming jobs,
and enabling them to give more attention to the needs of the customer.
iii. Signature retrieval facility, assisting in verification of transactions, sitting
at their own terminal.
iv. Avoidance of duplication of entries due to existence of single-point data
entry.
2.5. Communication
In this Field Study Report, we have discussed what is communication, channels of
communication, types of communication in an organization, interdepartmental
communication in an organization, policies regarding communication & decision
making approach etc. For this purpose, we have visited and studied the functions relating
to our topic of “NIC ASIA Bank Limited”.
Communication may be defined as the transfer of information from sender to receiver,
with the information being understood by the receiver. The communication function
is the means to unify an organized activity, through transfer of information from one
individual to another, or from one system to another. According to NIC Asia Bank
Limited They define communication by focusing on three objectives:
A = Attention
B = Brief
C = Clarity
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Importance of communication
Communications is the means by which people are linked together in an organization
to achieve a common purpose. Indeed, group activity is impossible without
communication because coordination and change would not be affected. Sociologists
and psychologists have also realized the importance of communication in
interpersonal relationships, and have focused their study on communication networks.
Nepal Bank Limited give more importance to communication because they emphasize
On Attention, Brief & clarity of communication &NIC ASIA retain customers through
proper communication.
Purpose of Communication
The purpose of communication in an enterprise is to effect change. In an organization,
there can be two types of communication, i.e. internal and external. Internal
communication means communication within the organization, whereas external
communication is the communication with the outside environment.
Internal communication
Inside communication means giving and receiving information by all hierarchical
levels. It includes vertical communication covering downward communication,
upward communication, horizontal communication and diagonal communication. It
includes communication flowing at any intermediate level as well as at operating
level, or top management level, because internal communication is indeed required by
all who work together in an organization to accomplish common goal.
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e) To control all activities.
External communication
External communication is equally important as internal communication to provide a
link between the employees and the shareholders and other third parties. As a matter
of fact, external communication is considered as lifeblood of the modern business.
External communication can be arranged by oral or verbal communication as well as
through written media. Telex, television, telephone, tele‐printer, transmitters, STD,
ISD, and other modern sophisticated communication technologies can be used for
external communication. Written media like letters, circulars, notices, legal notices,
newspapers, magazines, manuals, periodical reports, pamphlets etc., are also used
towards external communication.
External Communication in NIC ASIA BANK LTD.
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External communication helps the managers of IFL (Institute for Financial Literacy) to
become aware of:
a) The needs of customers.
b) The availability of suppliers.
c) The claims of stockholders.
d) The regulations of government
e) The concerns of the communities
Means of External Communication
Toll free Number UAN
Video Conferencing
Audio Conferencing
Web-site(static)
Newspaper
Marketing mobilization
Letters
These are the channels that NIC uses to communicate with external environment that
includes customer, suppliers, stockholders & government etc. NIC Communicate with
their customers in a better way & correctly to retain their customers. Their objective is
communicating clearly with customers. For this they provide facilities to their
customer such as a toll-free Number through this customer gets information regarding
their Accounts & services or anything they want to know. By communicating in that
way NIC gain the loyalty of customers. Even no little confusion occurs in
communication because while communicating with customer or making any contract
they confirm it many times. So, less chances of misunderstanding occurs. Letters are
written to the customers as well as to other external agencies like suppliers, taxation
authorities, governmental regulatory bodies etc.
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according to its uses and need. Some of the information system used by NIC Asia
Bank is mentioned below:
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will permit customers of these branches, when interconnected, to transact from
any of these branches.
6. Electronic banking
This enables the bank to provide corporate or high value customers with a
graphical user interface (GUI) software on PC, to inquire about their financial
transactions and accounts, cash transfers, cheque book issue and inquiry on rates
without visiting the bank. NIC e-Banking provides secure communications using
128-bit encryption security that assures you of secure transactions made with the
Bank. NBL e-banking has dual factor authentication with the features of One
Time Password (OTP) for fund transfer.
7. Mobile banking
Mobile banking is 24 hour service through which inquiries regarding balance and
transaction in the account can be made over the mobile. NIC Mobile Banking is a
convenient and safe transaction banking application offered online. You can
manage and access your NIC Bank accounts quickly and securely either through
SMS, WIFI, 3G or Edge. With NIC Mobile Banking application, you can access
and manage your NIC Bank accounts to perform the following services.
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6. Bill Payment Services
7. Online Banking
8. Credit & Debit Cards
9. Overseas Banking Services
10. Wealth Management
1) Acceptance of Deposits: Deposits are the basis of the loan operations since
banks are both borrowers and lenders of money. As borrowers they pay interest
and as lenders, they grant loans and get interest. These deposits are generally
taken through current account, savings account and fixed deposits. Current
account deposits can be withdrawn to the extent of the balance at any time
without any prior notice. Savings accounts are for encouraging savings by
individuals. Banks pay rate of interest as decided by central banks on the
deposits. Withdrawal from these accounts has some restrictions in relation to the
amount as well as number of times in a given period. Fixed accounts are time
deposits with higher rate of interest as compared to the savings accounts. A
premature withdrawal is permissible with a percentage of interest being forfeited.
2) Lending of Funds: Second major activity of NIC banks is to provide loans and
advances out of the money received through deposits. These advances can be
made in the form of overdrafts, cash credits, discounting trade bills, term loans,
consumer credits and other miscellaneous advances. The funds lent out by banks
contribute a great deal to trade, industry, transport and other business activities.
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encased immediately at bank counters whereas crossed cheques can only be
deposited in the payees account.
4) Remittance of Funds: NIC also facilitate fund transfer from one place to
another, leveraging the vast network of branches that are interconnected to each
other. Many banking instruments are in usage for enabling transfer of funds from
one account to another like bank drafts, pay orders, wire or mail transfers. Bank
earns nominal commission by way of bank charges on some of the transfers. The
bank issues a draft for the amount at its own branch which can be credited to
another account which might be with different branch or different bank. Banks
collect the amount on behalf of the depositor which is known as clearing process.
5) Lockers & Safe Deposits: Bank safe deposit lockers are a good option for
safeguarding valuables and important documents. Each locker is operated by
combination of two sets of keys, one for the customer, and the other with the
bank. The locker can only be operated if both the keys are used. NIC charge
nominal fees to provide the locker facility.
6) Bill Payment Services: Banks also provide services related to bill payments,
payment of insurance premium, collection of dividends etc. Recurring payments
can be automated for payment using the facilities extended by modern banks.
Account holders can directly pay from their account or using credit/debit cards
for their electricity, gas, landline and mobile phone billers and many more.
7) Online Banking: The growth of Internet and e-commerce has transformed
banking industry and customers are fast moving from branch banking to virtual
banking. Users with internet on PC or Mobile can get connected to the banks
website and avail a variety of banking services and functions. These services
lower the transaction costs and add to the ease and speed of the transaction flow.
8) Credit & Debit Cards: Credit cards issued by banks are another form of
lending, and they are not only good business for the bank, they help the economy.
Offering Credit Card is a profitable form of lending for banks that has greatly
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expanded in the last few years. Banks compete fiercely for this business and offer
varying forms and types of credit-card accounts. Many banks change or negotiate
rates with consumers, and special low-rate promotions and various types of
discounts are being offered as an incentive to use card and do purchasing. People
buy things with credit, and keep merchandise moving and manufacturing
producing at a more rapid rate than if transactions had to take place in cash.
Although there is risk in the unwise use of credit cards by consumers, the
judicious use of credit stimulates the economy.
grow the wealth of the client, secure the financial position and make most of the
money over the long term. Various investment avenues could be mutual funds,
international global trading, time deposits, foreign exchange solutions or dual
currency placement etc.
2.8. IT Infrastructure
IT infrastructure is increasingly seen as an important factor affecting a banks
competitive performance. IT infrastructure is the enabling base of shared IT
capabilities that provide the foundation for other business systems. Banking IT
infrastructure typically consists of IT components like common hardware, software,
communication technology, databases, standards, tools etc. These provide the base for
shared services between a large range of business application. IT infrastructure differs
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from business application in that it serves a shared and common enabling foundation
for the future applications and services of all business units.
Organizational Structure
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Since, NIC ASIA Bank has many branches that, it has divisional structure. A central
headquarters supports a number of its branches that makes their own decisions. It
allows line managers to maintain more control and accountability. Also, day to day
decision making is decentralized, so that the central team can focus in “big picture”
strategic plan. This allows ensuring that the necessary support structures are in place.
This organizational structure is concerned with IT. Card system is the IT department
that controls IS/IT resources, authorization and authentication into the system of other
departments. Core system is with Card System and other departments are simply
provided with tools to use the system of NIC ASIA Bank Limited. Card system
controls overall IT/IS resources used by other departments. Each department has a
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department head including Card system. It keeps an eye on how the resources are
being used, controls how much resources can be used by each and every department
to ensure privacy of information, manages authorization and authentication of such
departments, and promotes fair use of IT/IS resources, but it acts as a department
itself. It interlinks other departments and provides them with tools to use the system
of NIC ASIA Bank Limited. It holds centralized control over the system and merely
provides other departments with tools to use the system to access information
concerned to the functional areas of such departments. For e.g.: Marketing department
is provided with tools to access information related to marketing only. Card system
strictly prohibits them to access information that is not concerned to them.
This is why, Card system has central control over core system and it interlinks other
departments by simply providing them with tools to access that part of information
concerned only to them.
2.9. Security
System Security Threats and Types
Security refers to the policies, procedure and technical measures used to prevent unauthorized
access, alternation, theft or physical damage to information system.
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a) Penetration Test Tool: A penetration testing tool is a tool used for testing the
security of a Web application. Penetration testing (also called pen testing) is
the practice of testing a computer system, network or Web application to find
vulnerabilities that an attacker could exploit.
b) Card Discover Tool: Card discover tool helps to identify the location from
where the card is swapped and the transaction occurred using that smart cards.
It helps to preserve integrity of cards holders.
c) Database Firewall: Database firewalls are a type of web Application that
monitor databases to identify and protect against database specific attacks that
mostly seek to access sensitive information stored in database.
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2.10. MIS in decision making
For decision making in NIC Asia Bank Limited, first of all, problems are identified
and analyzed. Then, Card system generates necessary reports from collected data as
per the request of other departments. Data are analyzed and different alternative
solutions to the problems are generated and communicated to the head of Card
Centre. Department heads and head of Card center works together to select the best
alternative solutions to problems.
Card system interlinks all the departments. In other words, card system is the IT
department that acts as the head of all the other departments, but card system is also a
department itself. It acts as the head of other departments because its control IS and
IT resources, authorization and authentication of other departments. From collected
data, card system will generate necessary reports as per request of other departments.
Departments will use those reports to acquire necessary data and identify different
alternative solutions of problems and communicate it to the head. Finally, head and
department head will work together to select best alternative out of many alternatives
that is cost friendly as well as best for the organization. This is how decision flows in
NIC Card Centre.
1) Steps undertaken by NIC Asia Bank Limited to Make Decisions
2) Identify problems
3) Study and analyze identified problems
4) Gather necessary data that are related to problems and generate reports
5) Identify various alternatives to problems
6) Analyze all the alternatives
7) Report the result of analysis to department head who will in turn report to head of Card
Centre
a. Hold a meeting to discuss the analyzed alternatives
b. Select the best alternative
c. Implement the decision
How the decisions are implemented depends upon the problem. If the problems can be
immediately solved, decisions are implemented immediately. If the problems need to
be solved a part at a time, a master decision will be divided into parts and are
implemented one at a time by analyzing the effects. All in all, how the decisions are
implemented depends upon the type of decision i.e. whether the decisions are routine
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or basic, programmed or non-programmed, tactical or operational, and formal or
informal.
2.11. Ethics
Core Values and Ethics in NIC Asia Bank Limited are:
a) Customer Focus: NIC prime focus is to perfect its customer service.
Customers are NIC Bank’s first priority and driving force. NIC Asia Bank
wishes to gain customer confidence and be their trusted partner.
b) Quality: NIC ASIA Bank Limited believes a quality service experience is a
paramount to its customers and is strongly committed in fulfilling this ideal.
c) Honesty and Integrity: NIC ASIA Bank ensures the highest level of integrity
to its customers, creating an ongoing relationship of trust and confidence. It
treats its customers with honesty, fairness and respect.
d) Belief in our people: NIC ASIA recognizes that employees are its most
valuable asset and competitive strength. NIC Bank respects the worth and
dignity of individual employees who devote their careers for the progress of
the bank.
e) Teamwork: NIC is a firm believer in team work and feel that loyal and
motivated teams can produce extraordinary results. NIC Bank is driven by a
performance culture where recognition and rewards are based on individual
merit and demonstrated track record.
f) Good Corporate Governance: Effective Corporate Governance procedures are
essential to achieve and maintain public trust and confidence in any company,
more so in a banking company. NIC Bank is committed in following best
practices resulting in good corporate governance.
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computer terminals to IP-based telephony systems, information technology is an
integral part of most modern business operations. Some of the business benefits that
Nepal Bank has got through use of technology are;
Automation:
Automation can be defined as the technology by which a process or procedure is
performed without human assistance. Automation has been achieved by various
means including mechanical, hydraulic, pneumatic, electrical, electronic devices and
computers, usually in combination. Complicated systems, such as modern factories,
airplanes and ships typically use all these combined techniques. The benefit of
automation that NIC ASIA Bank includes labor savings, savings in electricity costs,
savings in material costs, and improvements to quality, accuracy and precision.
Speed:
One of the business benefits with the use of technology is increase in the speed while
working. Before the use of technology every work done by the organizations used to
take a lot of time. There was no work done on time due to which organization used to
have less production which results less profit. Likewise, NIC bank also faced the
same but now with the use of technology most of the work is done by the machine
which results high qualitative productivity and increase in profits too. Every work is
performed within a minute. Increase in speed results costumer satisfactions.
Business Security:
Information security is a big issue every day. Hackers and thieves steal consumer information and
company proprietary information daily, but technology can protect company information. If there
is one key benefit to businesses that should be updated and continuously monitored, it is digital
security. Hackers can interrupt business operations, cost companies thousands of dollars, and
cause businesses to fall under public scrutiny. Security goes well beyond firewalls and anti-virus
software. Digitally linked security systems protect businesses from vandalism and theft. Not only
do systems provide real time alerts, but they also provide diversion tactics such as alarms. Some
systems give business owners away to speak directly to vandals from a remote location via phone,
informing intruders that they are on camera and identified.
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Employee Monitoring:
Businesses can better manage large teams using technology. Applications track
customer service call times, which helps managers understand where lag times exist
and provide opportunities for coaching. Speed and GSP tracking of drivers support a
positive public image of employees who realize they can't get away with poor
behavior. The right technology automatically tracks sales numbers and potential sales,
which gives managers control of leading indicators rather than lagging behind.
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2.14. Outsourcing
In IS, outsourcing means using eternal agencies to create, process, manage and
maintain information systems and to provide the company the wide range of
information-related services such as data processing, accessing external databases,
systems integration, global networking, content development, web design and
maintenance, logistics, technical & amp; customer support, legal outsourcing and
gathering business intelligence. The specialized company that handles the outsourced
work is often streamlined, and often has the world-class capabilities and access to
new technology that a company couldn’t afford to buy on their own.
NIC Bank Limited outsource for reasons that can be classified into broad categories.
1. Strategic force: NIC outsource for systems that are not in their direct line of
business so that they can have better focus on their primary line of business
and utilize its resources to meet strategic goals and achieve its mission &
quote; “Do what you do best and outsource the rest! & quote(Tom Peters)”.
2. Economics of Scale: NIC may also outsource for economic reasons. Since
most outsourcing agreements are fixed-price contracts, this helps eliminating
the escalating cost associated with the system development processes. A
carefully designed outsourcing contract decreases the overall cost of IS
operations.
3. Market force: Sometimes market force may make outsourcing an attractive
alternative. If an outside vendor can provide support function more efficiently,
outsourcing that function can reduce operating cost and give the company a
competitive advantage.
4. Technical consideration: Technical consideration such as lack of skilled
technical personnel compels organizations to consider outsourcing. Therefore,
many organizations outsource external vendors for handling IS related
functions so that they do not need to hire new employees, train them to build
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software package for the company and then release them after the new system
is built.
Benefits
1. Burden of developing and delivering high quality information system is on the outsourcing
vendor, not on the organization.
2. Increase efficiency and competitiveness.
3. Quickly implement new technology.
Drawbacks
1. Risk of exposing sensitive and confidential data.
2. Losing management control of business functions mean that organization may no
longer be able to control operations and deliverables of activities that is
outsourced.
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High
RISK Paradigm
Shift
Redesign
Rationalization
Low Automation
Low high
RETURN
six key steps to effective organizational change management are:
1. Clearly define the change and align it to business goals: It might seem obvious
but many organizations miss this first vital step. It’s one thing to articulate the
change required and entirely another to conduct a critical review against
organizational objectives and performance goals to ensure the change will carry
your business in the right direction strategically, financially, and ethically. This
step can also assist you to determine the value of the change, which will quantify
the effort and inputs you should invest.
2. Determine impacts and those affected: Once you know exactly what you wish to
achieve and why, you should then determine the impacts of the change at various
organizational levels. Review the effect on each business unit and how it cascades
through the organizational structure to the individual. This information will start
to form the blueprint for where training and support is needed the most to
mitigate the impacts.
3. Develop a communication strategy: Although all employees should be taken on
the change journey, the first two steps will have highlighted those employees you
absolutely must communicate the change to. Determine the most effective means
of communication for the group or individual that will bring them on board. The
communication strategy should include a timeline for how the change will be
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incrementally communicated, key messages, and the communication channels
and mediums you plan to use.
4. Provide effective training: With the change message out in the open, it’s
important that your people know they will receive training, structured or informal,
to teach the skills and knowledge required to operate efficiently as the change is
rolled out. Training could include a suite of micro-learning online modules, or a
blended learning approach incorporating face- to-face training sessions or on-
thejob coaching and mentoring.
5. Implement a support structure: Providing a support structure is essential to assist
employees to emotionally and practically adjust to the change and to build
proficiency of behaviors and technical skills needed to achieve desired business
results. Some change can result in redundancies or restructures, so you could
consider providing support such as counseling services to help people navigate
the situation. To help employees adjust to changes to how a role is performed, a
mentorship or an open-door policy with management to ask questions as they
arise could be set.
6. Measure the change process: Throughout the change management process, a
structure should be put in place to measure the business impact of the changes
and ensure that continued reinforcement opportunities exist to build proficiencies.
You should also evaluate your change management plan to determine its
effectiveness.
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suitability of the technology selected by banks. For a public sector bank like Nepal
Bank in order to achieve targeted goal with two mission statements & quot; Network
for inclusion & quot; and & quot; Enhancing the Value & quot; should be able to
facilitate its customers with high-tech services. It also needs to re-imagine tech-
enabled services continuously and be ready to face innovative technological
challenges such as, security and compliance to the security mandates of all forms of
electronic products, services and transactions.
• Implementation of open standards for banking functionalities.
• Growing customer awareness and need of transparency.
• Close integration of bank services with web-based e-commerce or even disintermediation of
services through direct electronic payments (e-Cash).
• More convenient international transactions.
• A well-defined IT plan/policy and audit plans.
NIC technology adaptation will definitely help to reshape itself in Nepalese banking
industry in recent future. NIC ASIA Bank is committed to take up technology trends
in safe and secure manner to deliver innovative, effective and efficient services to the
satisfaction of people of different demography.
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CHAPTER – THREE
CONCLUSION, RECOMMENDATIONS and
REFERENCE
3.1. Conclusion
Our aim to visit NIC ASIA is to collect some information and get knowledge about
information system in the bank. NIC bank has successfully utilized its MIS in
providing banking products to its customers and also in improving its organizational
efficiency. It is one of the few banks which adapts quickly to the changing
environment and keeps pace with the ever-changing technology. Management
information system has been a boon to NIC bank. The bank has gained tremendous
lead over its competitors who lagged behind in incorporating MIS in their
organizations. Today MIS has played a crucial role in giving it a competitive
advantage. Though the current MIS in the bank is highly beneficial, the bank is very
keen on researching new avenues to improve its MIS system for better efficiency in
its operations and to continue to serve its customers effectively.
3.2. Recommendations
MIS information system in NIC was very effective and efficient. It has been a boon to
NIC though we would like to recommend the bank on certain issues and flaws that we
could recognize during our visit and research. Following sources should be improved in
order to develop more fluency and efficiency in company’s MIS:
1. User training
2. System redesign
3. Time management
4. Innovation
5. System analysis etc.
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REFERENCE
https://www.nicasiabank.com.np/ https://dotnepal.com/case-study-writing-a-case-study-for-b-ed-third-
year-tu/
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