Management Information System MIS in Banking Sector In a banking business environment characterized by a battle for the customer, where the need to grow in volume has given way to selective growth strategies rather than messages about a slowing of new businessan undeniable competitive advantage is provided by robust, reliable and useful systems for measuring customer profitability or value, both current and potential, in connection with budgeting and pricing methodologies. This is due both to their capacity to identify where to generate value and to the capacity to direct the actions of branches and sales staff, identifying the real profitability of each customer in order to focus on those making the greatest contribution to the margin while at the same time that working on the profitability of those who at present contribute less. MIS Means Management information system, Use and manages information systems to revitalize business process, improve business decision making with information technologies, gain competitive advantage on the market. Identification of the information needs 2.
Competitive Advantage of Information technology in banking sector of Nepal Case: When most of the businesses are going through the tough time, Banks seem to be doing relatively quiet well with the rise in the number of banking institution in the country.
The primary reason behind which is the transparency in the business and the growth or advancements that banks are achieving.
There were days when National bank Like Rastriya Banijiya Bank RBB were operating with the very few services that mostly relied on the employment concept, i.
Today, the entire scenario is changed in case of private bank like Bank of Kathmandu BOK that operates with several effective services and relies mostly on the information technology for their business operations.
Legacy System in Banking Sector One staff provide token for the cheque produced in counter Second one verify the balance in account holders account Third staff verifies the signature of the cheque Fourth step, authorized person approves the cheque for final payment Fifth, assistant teller count the money Finally the senior teller reconfirm the cash and make the payment Customers to withdraw money from their own account would have to go through time consuming processes.
On the other hand it is costlier for the bank itself also because it has to recruit six to seven people to handle small job like payment of cheque. This was just an example of the long and winding way of doing things in one of the situations.
The same kind of problems prevails in other activities as well.
As a result despite of being pioneer bank of Nepal, people preferred private bank and those tedious times consuming procedure would eventually lead to closing of the accounts and shifting to a new bank which provides better services promptly. In order to avoid losing customers IT intervention was more than necessary for the institution.
So it made a quick survey on it and the resultant was Finacle, Globus, Pumari Plus etc. This Functional Business Systems brought everything to a common platform and greatly helped to reengineer the process.
There came various advantages after implementing IT in the banking industry. Firstly it increases the accuracy. There includes number of staff in legacy system to complete one function and remain maximum chances of inaccuracy in transaction Secondly it reduces the cost because only few numbers of staff are needed to complete the function with the support of IT.
With IT excess number of staff are laid off which would further reduce the cost of operation. Thirdly IT increases the efficiency of the employee and which further increases the satisfaction level of staff as well as customer Fourth, IT implementation save huge amount of time of customers and staff Fifth, IT change the whole banking industry radically IT implemented Banking System with special reference to BOK Bank of Kathmandu Limited has become a prominent name in the Nepalese banking sector.
Today it has become a landmark in the Nepalese banking sector. One of its main objectives is: To use the latest banking technology to provide better, reliable, and efficient services at a reasonable cost.
In pursuit to deliver the products and services of the highest standards, Bank of Kathmandu has state-of-art technology for appropriate and efficient Management Information System MIS for rendering quality services.
It uses VSAT and Radio Modem for networking, for effective and proficient execution of banking services and centralized banking operations for better risk management, consistent service deliveries and lowering operating cost. Now- a-days the calculation of figures is not that tough, due to the concept of MIS is been introduced in the Bank.
All the financial transactions are customized by the system. It uses intranet to link the various departments like Accounts and Research and Development department. The operations of IT implemented bank carries out its cheque payment in least time with few staff which further reduced the human resource drastically at the same time save huge amount of money and time.The banking industry is continuously evolving due to challenges stemming from regulation, legacy systems, disruptive models and technology, increased competition and a drive for improving the customer experience.
Iron Mountain offers reliable and secure storage options as well as a bank document management system. • Banking being an information intensive industry, building a Management Information System within a bank or an industry is a gigantic task. It is more so for the public sector banks which have a wide network of bank branches spread all over the country At present, banks generate MIS reports largely from periodic paper reports/ statements /5(13).
Keywords: banking information system, banking information systems security, cloud computing in banking INFORMATION SYSTEMS IN BANKING INDUSTRY Executive Summary: Information systems are extremely vital for the growth and survival of business organizations in today's world.
Banking and Finance Sector, has developed this Sector-Specific Plan (SSP) in close collaboration with the Financial and Banking Information Infrastructure Committee (FBIIC) and the Financial Services Sector Coordinating Council for Critical Infrastructure.
FINANCIAL & ACCOUNTING INFORMATION SYSTEMS with a study on the information systems used in State Bank of India (SBI) ACCOUNTING It is the . management should understand the risks E-banks have already found that retail associated with E-banking services and banking only becomes profitable once a evaluate the resulting risk management large critical mass is achieved.