Recommendation Of New Technology Information Technology Essay
Information system is an important aspect of running an organisation in this present age, hence there is a need for the awareness of the information required at each level of management its suitability to the organisation, how it can be successfully secured and managed by the organisation. In this paper a knowledge of levels of management and the information required has being introduced.
In the quest for organization to remain competitive in a climate of rapid change, it needs update and introduce information system in all levels of management within the organization.
According to Laudon & Laudon (2002), information system is defined "technically as a set of interrelated component that collect (or retrieve), process, store and distribute information to support decision making, coordination, and control in an organization".
As it is that there are levels of management in an organization there are also different information systems that will be used at each level of management. Information systems which exist in an organization must always be updated or changed to meet the new trend in order to make the company competitive. The increase and growth in information system has also caused for increase in the insecurity of the information system used within the organization.
We can help you to write your essay!
As a result of significant investment in software, hardware , telecommunication etc. To get the information system working, a latest development has been made to provide information technology solutions in the organization. The new development is cloud computing which is providing service to an organization outside the organization's reach. It means that all the information required within a company will be provided as a service by another company and will be accessed over the internet.
This essay seeks to examine the levels of management in the organization and how information systems can be used at each level, the security measure that will be put in place and how the new development in technology (cloud computing) can help a finance organization in running its day-to-day activities without problems
The business sector chosen for this report is finance and we will be looking at information systems in banks. A case study of Guaranty Trust Bank plc, Suitable
"Information system is an organizational and management solution, based on information technology to a challenge posed by the environment"- Laudon and Laudon (2004).
An information system comprises information about an organization and its environment. It performs 3 basic functions within the organization which are to input information, process it and provide output to appropriate persons within and outside the organization.
Benefits of Information Systems
The greatest benefit of an information system is in the fact that it provides the best and the most efficient information to its user.
Information system facilitates planning and easy decision making in a finance institution. It has also provided for the bank an opportunity to provide services to their customers efficiently. It has aid globalization in that it has brought the world into an interdependent system. With the use of information system, Guaranty Trust Bank in Nigeria can get information from their London branch with just a check on the keyboard. It has also reduced the cost of running the business.
In light of all these benefits, information system has some short comings. It has increases the level of unemployment by the systems doing most of the jobs that can be done by staff of the organization. Information system has also reduced privacy of information, hackers can have access to information of the organization through information system.
Levels of management in Banking
There are three basic levels of management that work in any organization which also includes the banking industry. These three major levels form an order in which they are placed according to their importance to the organization.
Top level Management/ CEO, Executive directors
Middle level Management/ Regional managers, Group heads
Low level Management/ Branch managers
Top level Management [CEO, Executive directors]
As the name implies they are the managers at the top level of the organization. They are managers at the responsibility of framing policies and making decisions for the whole of the organization.
In the hierarchy of Guaranty Trust Bank, the managers in the top levels are: managing director, deputy managing director, general manager and the deputy general manager.
The information system requires at this level of management will help in the decision making and policy formation for the organization.
Executive support system
This form of information helps the top managers make effective decisions by providing them with numerous amounts of information quickly and also comes in graphical forms.
Purpose of ESS for top level managers in Banks
As executives face the problem of too much information, the executive support system helps them to determine which information is useful for the organization and which one is not useful. As a banking industry the executives will want to decide on the best means of investing customer's money, which other product can be introduced, this information system enables them make quick and efficient decisions.
Executive support system provides the top managers with the information that helps them make a good decision for the organization in order to remain competitive.
It is simple to use by the top managers. It does not require extensive computer experience.
This essay is an example of a student's work
It gives a more logical and better understanding of information.
It helps to manage time by filtering data and disseminating the ones that are useful.
It provides a quick and efficient delivery of organization summary information.
Middle level Management/ Regional managers, Group heads
This level of manage is the one after the top level manage. They are charged with carrying out the goals of the top level managers. The middle level manage is responsible for the interpretation and implementation of the policies throughout the organization. In the bank, the middle level manage comprise of the assistant general managers, senior managers and the manager.
The information required at this stage is to help the mangers with monitoring, controlling, decisions making and administrative functions of the level.
The system is to provide periodic report on every other branch of the bank under their region in order to know each branch performance.
Management information system
This system aims at meeting the information needed by middle level management in regards to the organization past and current operations. It provides management with the suppary of report from the lowest level of management.
Purpose of management information system in banks
Its helps the regional/ divisional manager get information from the lower level managers involved managers in the day to day running of the system.
Its provides managers with on time access to the performance of the bank
The middle level management in bank use this to get the weekly and monthly report on each department under their supervision.
Is help the middle level management know the am number of accounts that was opened, performance of each team under them ranging from the marketing to operations department.
Benefit to the bank
This system proves managers with information to make certain decisions in the institution.
Its gives manager's periodical understanding of the organisation performance.
Management information system in G.T. Bank uses the information from the transaction process of the ATM cards, payroll, and customer identification and so on, to run the organisation. The information from the TPS is then summarised in the form of report to managers.
It provide to the bank expectation report, a report that state any difference and the actual account balance.
The management information uses mainly information from then transaction processing system and little other inertial information.
Decision support system
This is a middle management level system that helps management make the decision that are "unique rapidly changing and not easily special in advance" Laudon and Laudon (2004). It look along with human component to search through various and large amount of the data and pick the one most suitable for the decision making in the organisation.
Purpose of decision support system in the bank
It provide managers with data and model to make appropriate decisions
It helps managers determine what kind of loan package to be used to meet customer needs
Its helps managers make decision on whether to create more brains, when and where it can be created to meet the competitive advantage of the firm.
It help managers create budget for the operated level management making use of external sources such as the current market trend, then type of account other competitors offer their customers.
Benefit of decision support system
It is easy to use by the manager
It saves time in the decision making cycle
It improve inter personal communication within the organisation
It increase the satisfaction of the managers making decision
Decision support system helps management increase organisational control. This works by using the data driven decision support system make transaction data available for monitoring performance and quarries presented.
Its major feature is to help managers make decision in a changing world.
Lower level management
This management level is the link between the worker of the bank and the middle management level.
This level is also called the operated management level because they are responsible for the day to day activities of the organisation.
Earn money as a Freelance Writer!
We’re looking for qualified experts
As we are always expanding we are looking to grow our team of freelance writers. To find out more about writing with us then please check our freelance writing jobs page.
The information system needed at this level of management in bank is to help them in the day to day transaction with customer in the bank. These systems are the most important system use in the bank. The major information system use is the transaction processing system.
Transaction processing system
A transaction process system is a computerize system that perform and captured day to day transaction in the organisation, this system collect, stores, modify and retrieve the transaction of the bank.
Purpose of a transition processing system in the bank
Customer account opening: it helps in the opening of customer account
Employee's record: the TPS helps employees of the bank by logging in when they want to use the system and also logging out when they have went through the system.
Automated teller machine (ATM): it as created many assess of customer's withdrawer.
Online banking: customer can transact business without having to get to the bank
Bill payment: it has help with utility bill paymentFund transfer system: the TPS aids transfer of funds from one branches to the other and also to third parties
Suitability of information system
The guaranty trust bank information system already exists. The information system are being used by all the level of management ranging from the top management level to the low management level
Suitability of information systems
The information systems used in the banking system are:
Produces a more efficient result.
Gives the top management level ability to make strategic decision iin accost effective and timely manner
It helps the low level management keep track of their daily activities in line with the organisation function.
Recommendation of new technology
The technology that will be recommended is a software that will and a more easier function ability of the bank and its relationship with the customers.
The software is called OPEN ADAPTOR which will allow various system to connect with each other Linux apache and also a system called the SOURCE CAST.
The main benefit of third system to the bank is that it aids collaboration between programmers of different banks.
Since most customer have more than one bank account this system will aid moment of customer fund from their account in another bank to guaranty trust bank and vice-versa, in t he fastest and easiest way.
Since the major work in the bank is centred around customer most of the security measure put
in place is to enable customer a threat free transaction environment. Some of the security put in place are
Hardware token: this is a security device that helps the authentication of an authorize user. It is issued to customer and staff of the bank in order to reduce threat of losing information to fraudsters and also confirming that the account is being assessed by authorized personnel.
It boost the image of the bank by protecting customer's information more effectively, it can also be used for authentication of transactions and login.
Software token: this is a single sign on software token that is used to store software that permits seamless authentication and password input. The passwords are stored on the token so there is no head of remembering any complex passwords
Smart display card: this is the combination of smart card and security dfisplay screen by pressing a single button on the card.
Panda antivirus: this type of antivirus helps prevent information onb the system from any form of virus.
All these securities put in place is suitable with the banking activities of the organisation,in that they are not complex devices, they user friendly, cost effective and does not hinder the day to day activities of the bank.
D) Cloud Computing
Cloud computing is a system of technology that operates using the internet to access data. This is used without installing software, its gets it data and application from a general server. Cloud computing system is associated with the following features.
1) It reduces the cost of an organsation purchasing hardware and software for the information system of the organisation.
2) With cloud computing information can be easily accessed anywhere, it is not limited to any particular location.
3) This system is less stressful to maintain since there is no need for installations. It reduces maintenance cost.
4) Information on cloud computing system is more secured
Guaranty trust bank is a bank that has many staff and customers across the globe, it is also a bank synonymous with innovations. The bank has the finances it can use to get the cloud computing system as long as the system will be providing an increase in its productivity and will keep it a competitive bank. The benefits attached to cloud computing makes it suitable for the continuity of the bank. Cloud computing is suitable for the bank because its mode of information system is more reliable by using various supernumerary site. It also provides a medium whereby cost can be saved in the organisation. Cloud computing increases the productivity of the bank because it allows it to draw information from a wide range of options.
Since the bank wants to secure their customer's transaction as much as possible cloud computing aids this security due to the central form of data. The cloud computing providers provides a high level of security with their system. Also cloud computing reduces the technical know how required in the organisation.
From this report it is concluded that information systems is the major driver of an organisation's success. There are various types of information system which must be used in order of their importance to the organisation. For an information system to be efficient in the banking sector there has to be numerous security put in place.
Information system is not a static system, new systems are being introduced every point in time, it is therefore recommended that guaranty trust bank should always adopt the latest information to avoid being obsolete and to remain competitive.
If you are the original writer of this essay and no longer wish to have the essay published on the UK Essays website then please click on the link below to request removal: