CHAPTER ONE

INTRODUCTION

1.1 Background to the study

A continuing stream of IT innovation, combined with new business practices and superb management decisions, is transforming the way we do business, the way revenues are generated, and the way customers receive products and services.

The growth of enterprise – wide information systems that provide extraordinarily rich data to managers on customers, suppliers, and employees, means that managers no longer operate in a fog of confusion but instead have online, nearly instant access to the important information they need to make accurate and timely decisions that influence organization performance.

Information Technology is a powerful force in today’s global society. The advent of computers and Information Technology (IT) has been the single massive drive influencing organizations during past few decades. Information Technology is revolutionizing all the living ways. No doubt, it has given a new meaning to the word “Convenience” (Shaukat, et al., 2008). Information Technology has drastically changed the business landscapes, and word “IT” has become the “Catchword” of the modern life today.

Information Technology has become, within a very short time, one of the basic building blocks of modern industrial society. The effective use of IT is an essential element of competing in a fast-paced, knowledge based economy. Information Technology is the major contributor to the progress of the developed countries. The rapid growth of the personal computer industry, substantial decreases in computer unit cost, and simultaneous increases in computer capabilities have made vast amount of information readily available to individuals in organizations (Long and Long, 1999; Vasudevan, 2003; Salhieh and AbuDoleh, 2007). The goal of every management information systems (MIS), in any organization is to improve job performance, and this performance efficiency is only achieved when IT is accepted and used warmly by  the concern employees in organizations (Venkatesh and Davis, 2000).

Services represent substantial part of business output and investments. In providing these services, Management Information System (MIS) is employed to facilitate the services, which represents a substantial portion of corporate spending.

The objective of such investments is to create business value. But in order for any investment to have a positive impact on business value, additional revenues need to be created or overall costs reduced. Thus, when evaluating investments in services that have potential contributions to the improvement of business performance, the interactions of costs among the various business processes and activities need to be considered (Roztocki and Weistroffer, 2008).

Investment in information technology can have dramatic effects on both the internal and external operations of a business organization as well as academic institutions. Internally, improved IT systems can enhance and strengthen organizational infrastructure and capacity by increasing employees’ efficiency; service coordination; information sharing between departments, financial record keeping and tracking of an organization’s production and impact. Externally, information technology solutions can fundamentally transform business organization service delivery (Allison, 2010).

1.2 Problem Statement

In the early 21st century, there has been a rapid growth of information technology which is applied in all domains of life. Management Information System(MIS) is being used to ease processes and to provide an effective and efficient services to the organisation and people. management information system was adopted by companies to improve on their service delivery, avoid manual work,do international transactions reduce queuing in the company and enables customers transact their business easily.

Despite the effort of most companies to ensure customers benefit from information technology, the companies are met with complaints from customers such as poor network, online theft, fraud, non used of Automated Teller Machine(ATM),just to name a few. This technological growth is being exploited by most companies to provide quality services to its customers.

The problem of the study lies in the fact that the bank has not accommodated the change towards the use of technology in performing it functions and operations. It rather remains in the same position away from progress and excellence due to the intensification of competition between private and public organizations as a result of the multiplicity and diversity of services and organizations that provides such services on one hand and the high level of their needs and expectations, different standards of judgment of the quality of services that they consume on the other hand.

The use of technology has many positive and effective advantages that are reflected on the organization itself such as technological development, competition, the desire to improve work and others which live various outcomes and results in the organization, both at the level of work. So the problem of the study is illustrated by the lack of awareness and knowledge and the impact of using Management Information System Technology and quality on the services provided by Ntambeng Cooperative Credit Union Limited (NTAMCCUL) Limbe.

The implementation of MIS has helped to improve the quality of services through the used of ATM which will increase customer satisfaction, increase profit margin and give good reputation of the bank. Customers of NTAMCCUL are no longer worried about the safety of their funds and they are provided with efficient, fast and convenient services. Ntambeng Cooperative Credit Union Limited will offer customers with services that meet their needs and all this can only be achieve through MIS.

This research is aimed at finding reasons for the cause of the problem, look for solutions and then make recommendations based on the outcome of the study.

1.3 Research Questions                                            

1. What elements of MIS are implemented in Ntambeng Corporative Credit Union Limbe?
2. What is the effect of management information system in NTAMCCUL?
3. What are the challenges of MIS faced in NTAMCCUL?
4. Research Objective

 1.4.1 Main Objective

The main objective of this study is to evaluate the effect of management information                        system on service delivery in NTAMCCUL.        

1.4.2 Specific Objectives

1. To determine the implementation of MIS element in NTAMCCUL.
2. To examine the effect of MIS in NTAMCCUL.
3. To investigate on the challenges faced in NTAMBENG Credit Union.

1.5 Research Hypothesis

This research has three questions in which two will be answer by the content analysis and descriptive statistics and one will lead to hypothesis.

〖HI0: Management information system has no significant effect on service delivery in Ntambeng Corporative Credit Union Limited Limbe.                                                

〖HI1: Management information system has a significance effect on service delivery in NTAMCCUL