Information technology in banking sector pdf

For the bank as well as how the implementation process should be to achieve an effective computation of the bank so as to achieve greater participation by customer for the overall interest of customer and their bank as a whole. This study is aimed at researching on the effect of information technology on the marketing of banking services. Ho 1 : Customer choice of banks is not a function of the level of information technology investment of the bank.

Hi: Customer choice of banks is function of the level of information technology investment of the bank. Ho: Customer loyalty do not depend on a high information technology extent in bank.

Hi: Customer do not perceive all states banks as high information technology bank. H 3 : Customers do perceive all states bank s high information technology bank.

Not only student of the nature. In the world of competitive business and scarce resources, on completion of this study, the man agement of inter continental bank will benefit much and know why it is necessary using the management information system instead of manual operation system.

Delays is a problem faced by the customers of the bank, a transition that was supposed to be executed in five to ten minute with the used of computer takes one hour or minute to complete because of the manual application in the operation. But this is not so in using the computer. Efficiency and effectiveness are two important terms as far as banking sector or any establishment is concern. While efficiency refers to resources productivity in the organization, the bank can not compete favourably with other well — know banks in the banking sector without having it operations computerized.

This is because the success of these perturbing banks lies on the computerized operation, this then a bound impetus in the customer services. Therefore, the bank to computerized its operation so as to join the ware of success experienced by other fast giving banks within the problem faced by the banks of which this write up will look into and find some cases of the problems and possible solution so as to advise the bank on the very forward to achieving success.

Although this study is to cover all commercial bank. The researcher focus on commercial banks especially all states trust bank. Management information system, formal method of making available to management the accurate and timely, information necessary to facilitate this decision making process and enable the organization planning functions be carried out effectively.

Electric data processing; the department where data processing takes place for a few organization oral function usually accounting and billing this concept of computer based. The impact of information technology in Banking industry? The objectives to be accomplished through the study will be started by the research extent to which stud meets the objectives determines the study success of the project.

In the envisaged study of four hypotheses would be formulated to give direction of the study. Primary data; questionnaire would be used to collect information from the respondent. Secondary data; journals, magazines and the relevant material that relate to the topic understanding will be reviewed. The researcher course marketing information system as applied by all states bank within Enugu metroplies. Extensive literature review will be carried out on direct literature and indirect literature on books, journals, and past works.

The researcher will personally administer the questionnaire on the respondents comprising customer and the staff of the all states bank Enugu. Ten 10 days filling period will be allowed to them. The research instrument to be used in this study will be questionnaire. The questionnaire will be structural as to contain both close and open ended questions.

Sample statistics tables, frequencies and percentages will be used in treatment of data while chi —square will be used to test the hypothesis formulated.

The study will hold immense benefit to the following customers, management of all states bank readers and researchers. Report copyright infringement or plagiarism. Get Full Work. Problems of IT in banking Mobile banking customers are at great risk of receiving fake SMS messages and scams from hackers and scammers. From the literature attained on Mobile Banking Adoption there are several key problems that were stated in the research.

There are various problems customers face when using mobile banking. A customer receives a fraudulent email or SMS from a sender posing as a bank or financial institution. Requesting for the customer to send their bank account details. If and when a mobile device is stolen the customer is at great risk.

Most customers automatically set their devices to save their personal information leaving the customers vulnerable to scammers. As consistent with Chitungo and Munongo [6] customers of mobile banking are uncertain with issues such as loss and theft by hacking thus discouraging the customers to adopt mobile banking.

Thus the customer is limited to several services only with the constraint of the type of mobile they have. Mobile applications designed can also be exclusively available to certain mobile phone brands [5]. Extra costs for mobile banking service, for software [6]. There can be loss of customer confidence if mobile banking services are not met continuously, found to be consistent with Luo et al. On the other hand, there are numerous issues to ensure that the upgrade, update and downloads are implemented successfully [5].

Information Technologies and Applications used in Banking Sector The technologies listed below are currently in use in the banking industry around the world. The technologies are still being utilised. The future will see more technologies being introduced and used in the developing and developed world. With the advancement of technology, will also assist in the infrastructure advancements.

Here is a list of some old and new technologies used in banking today. The ATM assists in customers being able to cash out money at any time when they need cash, thus replacing the human teller [2]. A unique PIN number is used to identify the customer which is provided by the bank, the customer is to change this number to their own preferred number for security reasons. To use this service the customer has to have a bank account, debit or credit and PIN number.

Money can be withdrawn from anywhere in the world. If withdrawn from another country or ATM a service charge will be issued for each transaction. The following are facilities available to the customer at the ATM; check their account balance, withdraw cash, mini statement print out, PIN change, money transfer with linked bank accounts, pre-paid mobile top-up and credit card payment. An application is developed which has to be compatible with Windows, Android, iOS and other mobile phone operating software.

The Mobile application is downloaded straight to the mobile device. The customer has to have an active Internet connection be it mobile data or Wi-Fi that they will be able to use on the go to be able to utilise mobile banking service.

In order to use the service of mobile banking the customer has to be registered for internet banking service and they are given the choice of creating their own password and memorable information. Mobile banking is a service that is offered free of charge. The customer has to register using an active mobile line. In addition a customer nowadays does not have to make a deposit physically in the bank they are able to take a picture of the cheque with their smartphone and are able to send the picture via mobile banking or deposit via the ATM.

A customer accesses their bank account online by using and active Internet connection and is able to access the account balance enquiry, make payments, funds transfer, international money payments, create and update standing order and direct debit payments and check recent transactions.

The customer accesses the website via a personal computer or laptop and the account information can be accessed from anywhere in the world. The following services can be accessed online; account balance enquiry, fund transfer among the accounts, create and update standing order and direct debit payments, remittance, account overview, account history, loan repayment, refill prepaid card and password change [22]. A customer is remotely connected to the customer service representative via the VTM for all banking transactions.

VTM offer all branch banking services to the customers. Banks keep records of the customers mobile number, the customer is able to make enquires on their bank account. The bank also sends the customer messages of each transaction that has occurred on the account.

The customer will also be aware of the any transactions they did not make. The structured SMS has to have a tag word which the bank provides. The SMS service interacts with the customer as the customer responds. The interaction is between the customer and the network, the exchange is done by the customer being shown an interactive menu and inputting of the information for the application to then display.

The mobile network operators can send updates for the customers to their SIM cards over the network or to issue completely new SIM cards. The challenge being who will fit the bill, the customer or the network operator? The biggest advantage of implementing the SIM Based Applications for mobile network service providers and financial institutions, it guarantees the firms application is on the SIM and this therefore gives competitive advantage to the bank [12, 5].

NSDT enables secure transactions on the Tagpay platform. NSDT transactions are executed through a customer's cellular and a dealer or operators' acceptance device for payment.

A customer deposits money via a registered agent and the money goes into a virtual wallet. NSDT aims for all transactions are speed of Communication and data compression, security and cryptography, error detection and correction and lastly sound optimization and performance.

Therefore, NSDT makes effective and excellent transactions, and can even be used in very noisy environments. Payment is made is simply made by placing the card in front of an RFID reader, and the payment is processed automatically [7].

Telephone Banking is an Information Technology IT that allows a customer to interact with the system once they place a call to a dedicated number provided by the bank. A customer interacts by selecting various options from a voice prompt system or can also speak to select options. Voice prompt system utilises speech recognition which interprets the customer's voice.

The customer must use simple words such as "yes", "no", or a number to select an option. Telephone Banking proves to be expensive as the customer has to make calls [20]. A customer is able to access their bank account information using the mobile which acts as a computer.

The customer is able to gain access without having to download any software [19]. It is a standard that is utilised in all handset models. The customer has to choose from the list of options in the menu to continue as opposed to using sentences to reply.

A major advantage of USSD: the customer replies quickly by choosing the applicable options from the menu. USSD allows for communication between the customer, mobile network and bank. A customer uses the dedicated numbers for the USSD service provided by the bank or the mobile network operator. The customer starts the request by dialling the USSD service number, the mobile network operator returns a menu.

The customer enters a choice from the available options [12]. NFC is a short-range, high-frequency technology, which allows an exchange of information between devices within 10 cm. Allowing wireless communication and data exchange between devices.

A device is either active or passive modes. NFC aim is to keep the queues short, faster times for transactions to be processed, less cards to carry around as one just has to remember to carry their mobile device for payment [7]. Mobile money service is used worldwide, mainly used in Africa for those with or without bank accounts. The service is provided by the mobile network operators who are in partnership with the commercial banks.

The mobile money service is another way of banking money, without the hassle of opening a bank account. A PIN number is used to verify the transactions made. The service is at a cost to both the sender and receiver.

Mobile Money customers have a virtual wallet where there funds are kept, they deposit, make payments and withdraw from funds [10]. Literature Review on Mobile Banking As discovered by all the literature read, demand of mobile banking has increased worldwide but a small percentage of people utilise the service. Thus prompting banks, micro-finance institutions, software houses and service providers to offer the services to existing and potential customers of mobile banking services [18] within developed and developing countries.

The banks, micro-finance institutions, software houses and service providers are to ensure they are to make potential and existing customers aware of the huge benefits that are involved with the use of mobile banking. Yu [22] Extended the Unified Theory of Acceptance and Use of Technology UTAUT by Venkatesh [21] which is model used to research on what impacts individuals to adopt mobile banking technology, their usage and behaviour. Many determinants that affect the way customers would adopt mobile banking.

Later studies conducted by other researchers such as Chitungo and Munongo [6] have extended the theory when researching on the rural communities of Zimbabwe by including Relative Advantage, Perceived Innovativeness, Social Norms and Perceived Costs. In comparison of studies conducted from , TAM is the most popular research theory used to explain the customer attitudes and behavioural intention towards the use of mobile banking service adoption.

UTAUT is a review of eight other models used in earlier research. Shaikh and Karjaluoto [18] are right in stating that further research needs to be conducted in other aspects of Mobile Banking Adoption. As Mobile Banking is a new and exciting topic that needs to be researched thoroughly and customers being made aware of the service and the advantages associated. The above mentioned will assist in gaining a better understanding of mobile banking adaptation.

Conclusion In conclusion, the banking sector is now using new technologies to provide better services to customers. IT has allowed for improved banking products, competitive markets, implementation of consistent methods for control of threats and has aided mobile banking services to reach geographic distance and varied markets.

Extensive work needs to be done in the acceptance of IT in the banking sector so that the risks are eradicated. Customers need to be informed on suitable precautionary measures for safety. To avoid failure regular security checks are also required.

Back-up and recovery plans to restore customer confidence in IT. For inclusive growth, the benefits of mobile banking should reach to the common man at the remotest locations in the country. Mobile Banking is a very powerful tool that is used to deliver payment services and account queries for those with accounts.

Mobile Banking has brought-in enormous benefits to customers, banks, and staff particularly in terms of increase in productivity, speedy and efficient service delivery, cost reduction and increased profits. With the advancement of IT in the banking sector, customers do not always want to visit banks branches.

They are able to utilise the IT services provided to make transactions. Banks now are facing serious challenges in stiff competition, security issues, making potential customers aware of the mobile banking and also keeping the old customers satisfied. The mobile phone developers and the operating software providers need to design more advanced technologies. The developers of the mobile banking applications need to be aware of security, risk and trust issues that customers have.

Solutions need to be developed to solve security and trust issues customers may have with mobile banking issues. References [1] Aboelmaged, M.