March 25, 2016

Implementation of MIS competitive advantage issues on Josephs Associate Network corporation of Eastern Bank Limited (EBL)

Rounded Rectangle: 1. Introduction 

Introduction 


Eastern Bank Limited (EBL) began its journey in August 1992. Over the year EBL has established itself as a leading private commercial Bank in the country with an establish leadership in corporate banking and a strong customer and SME growth engines. At presents EBL Consumers, SME and Corporate Banking units are capable of handling every kind of customer needs. The customers are served through a network of 49 Branch. 74 ATMs and 5 Kiosks countrywide. EBL has its presents in 11 major cities/town in the countries include Dhaka, Chittagong, Sylhet, Khulna, Rashia and Cox’s Bazaar. It is the first local bank for go online.

Management Information System (MIS) : A management support system that produces PR specified report, displays, and responses on a periodic, exception or demand basis.
Management as the performance of planning and control activities at the strategic, tactical and operational decision making level of an organization.  


      2.  What are benefits of using management information system?



Benefit of MIS: The following are some of the benefits that can be attained for different types of information management systems:


◙ Easy to decision making
◙ Compare with other years
◙ Access of information
◙ Interpretation of data
◙ Prepared annual report
◙ Analyses of current position
◙ Future planning
◙ Trade analysis
◙ Reduce cost
◙ Focus on goals
◙ Easy to maintain






Easy to decision making: Since all organizational information has been stored in to the MIS. The MIS analyses are properly help the manager in decision making. All of the database using different tool and techniques of decision making. Suppose Eastern Bank Ltd (EBL) top manager have need to make a decision on a specific need then the manager have not need to find out the dairy book or the daily paid, they can get all the information by searching MIS.  So it is the most useful benefit of using MIS.
Compare with other years: All the organizational information remains into the MIS. So, in 2009 and 2010 how much Eastern Bank earned and hour much losses and how will be the next year profit of Eastern Bank and losses. When the EBL compeer it, then they get a information that the company is a good place or not.


Five year’s progression of EBL given below. 










Access of information:  Information is considered to be an important asset for any company in the modern competitive world. MIS helps Eastern Bank in identifying storage of data. The data is maintained in such a way that the unnecessary duplication of data avoided. By getting information Eastern Bank Ltd (EBL) can meet the organizational objectives. MIS is a access of information, it increase the surety to achieve the organizational goal. All information is stored into the MIS that’s way for any information MIS play an important role in Eastern Bank. On the other hand, information system used to create new information technology based on product and service.
  ► Interpretation of data: In the MIS all data left very interpretational. MIS is an explanation of data. When Eastern Bank Ltd (EBL) needs any information with details the MIS help to give the information with details. That’s way it is one of the benefit of MIS.
Prepared annual report: MIS is the most important part for any company to prepare annual report. Eastern Bank Ltd (EBL) prepared annual report by using MIS. it includes Directors Report, Internal control review, Product Basket, Notice, Proxy from, Branch Network and so on. Eastern Bank Ltd annual report prepared by their MIS department. A company annual report doesn’t make any department without their MIS department. Because all organizational information stored into their MIS department that’s way it is so easy for MIS department to make the company annual report.
Analyses of current position: Scenic all data or information stored into the MIS. So, Eastern Bank Ltd (EBL) can understand how is their financial condition, internal condition, external condition, investment, securities and over all activities of the company. By analyzing the company current position, it is so easy to take decision. On the other hand, a organizational top manager take all the decision about their organization, as like mid-level manager have also some work, they have to decide their decision about the company, manager can take decision by analyzing the company current position.


Following are the compare of BBL with the other Bank




Future planning: By analyses current information that means company current position like financial condition, internal condition, external condition, investment, securities and over all activities, if their have something lacking like,
 EBL mission  
We deliver service excellence to all our customers both internal and external
Weill ensures to maximize shareholders value.
We will constantly challenge our systems, procedures and training to maintain a cohesive and professional team I n order to achieve service excellence
We will create an enabling environment and embrace a team based culture where people will excel 
EBL vision  
To become the bank of choice by transforming the way we do business and developing a truly unique financial institution that delivers superior growth and financing performance and be the most recognizable bend in the financial services in Bangladesh.
 then what should do and if there have something extra then what decision should take in the future, what would be their future plan and what should do for develop the company, it’s only can MIS.
Trade analysis: By using MIS Eastern Bank Ltd (EBL) can purchase or sell their share, and any company MIS department also can sell share on online MIS also help on Exportation and Importation of product. Share purchase and sell complete with the MIS.
Reduce cost: By using internet and other telecommunication network to interconnect key business areas can substantially reduce the cost of production, inventory, distribution or communication EBL. Thus Management Information System technology has helped Eastern Bank Ltd (EBL) cut labor cost, minimize inventory level, reduce the number of distribution centers and lower the communication cost.
Focus on goals: MIS focuses on the EBL results and goals, and highlights the factors and reasons for non-activities.  It increases the surety to achieve the goal. MIS recognizes EBL the different information needs for different objectives. All data thus remain into MIS are solid that’s way when manager take decision then decision taken with following the data. So it focusses on achieve goals.   
Easy to maintain: Science Top level manager is the important part for EBL or any company and all the decision taken by the manager. All information come with details on the hand of the manager, so after analyzing all the details information EBL senior manager can see that which employee doing batter work and who are not. Then the manager can go front of them and can asked them their problem and after that the manager can motivate their employee. So it is so easy only for information system to maintain their employee and the company discipline.  



3. Which problems the organizations face by using management information system?

MIS is an information system which helps in providing the management of an organization with information which is used by management for decision making. A management information system is a subset of the overall internal controls of a business covering the application of people, document, technologies and procedures by management accountant to solving business problem sues as costing a product, service or a business wide strategy, An MIS is a system panned of the collecting processing storing and disseminating data in the form of information needed to carry out the function of management. All organization has MIS many benefits but sometimes it can creamy problem.
For using management information system is creating many problems. These problems are giving below.

  Ø  Strategic planning Problem:   Strategic planning play a significant role of EBL. A good strategic planning can give a positive goal for an organization. The strategic planning involves using information technology to develop products, services and capabilities that give a company strategic advantages over the competitive forces in the global marketplace. If the strategic planning is not correct then it can create a big problem.
  Ø  Transaction processing problem: Transaction processing System is very important for any organization. It records and process data resulting of EBL transaction. Operational level manager keeps the transaction processing system. It also produces a variety of information products for external or internal as. They produce client statements, employee paychecks, sales receipts, dividend check, tax forms and financial statements. But sometimes records wrong transaction as a result, it creates big problem of EBL.


   Ø  Lack of data problem: In MIS correct data collect is important. If any error in data collecting, MIS cannot give a proper information. An organization suffers lot for error data. So correct data is important. If any data is error, EBL should correct data in time.


   Ø  Computerize problem: Computer Problem is large problem for management information system. Though MIS Computer does date processing and analyzing, other department cool collect data from here. So MIS Department is affected by computer problems. These problems are tow type.

Such as.

(i)                 Hardware problem.

 Hardware generally refers to the machines or physical equipment that performs of the date processing cycle. Due to Hard ware problem, computer is his Butting. So MIS department is affected by this problem.

(ii)              Software problem.
Program are referring to as software a Program is a sequence      instruction, which directs a computer to perform certain functions, Operating systems are affected by software problem. Date processing and collecting are created problem by essential software.

   Ø  Payroll processing problem:  Payroll processing system receives and maintains data from employee time cards and other work records. Computer-based payroll systems help business make prompt and accurate payments to their employee, as wells report to management, employee, and government agencies concerning earnings, taxes, another deduction lack of right employee work records, it creates problem for any organization.

  Ø  Expert employee need for IT:   Expert employee is principal workers for an organization. EBL should seek to expert employee for it. Employee should be aware of their management problems and opportunity presented by the use for information technology organizations should train the employee, so that they are conscious about it. If employee is not expert then, it may hamper a big problem of EBL.


  Ø  Budgeting problem: Budgeting is most important part for any company/corporation. The budgeting process involves evaluating the profit ability and financial impact of proposed capital expenditure. Long term expenditure proposals for plants and equipment can be analyzed using a variety of techniques.
     
  Ø  Taking decision problem in time: Taking decision problem in time is very important of EBL. Management level taking decision in time. Making the right decision in organization is usually based on the quality of data. Lack of taking decision in time it creates problem for any organization.


  Ø  Internet or online problem: It is play a vital role of EBL. The on-line interactive nature of such networks calls for new forms of transaction documents, procedures, and controls. This particularly applies to systems like order processing inventory, accounts receivable and account payable, these systems are directly involved in the processing.

  Ø  Lack of Man Power:    Man Power is most important for EBL. A Skillful employee can active an organization. Many Skill full man power can improve the organization. So this problem should be solved of EBL.

4. Organizational solution.

Organizational Solution: Eastern Bank (EBL) is the first local Bank in Bangladesh to go online. It is Launched first ever Bank- Sponsored Mutual Indus in Bangladesh. EBL, known for its product innovation in the market offers a made range of depository, loan and card products to cater virtually for every customer segment. But sometimes Easter Bank Limited (EBL) face problem for MIS wrong information. If the systems approach to problem solving uses a systems orientation to define problems and opportunities to define problems and Eastern Bank limited (EBL) will be successes easily.
The systems approach to problem solving uses a systems orientation to define problems and opportunities and develop solutions. As Figure 4.1 illustrates, studying a problem and formulating a solution involve the following interrelated activities.




1.      Recognize and define a problem or opportunity using systems thinking.
2.      Develop and evaluate system solutions.
3.      Select the system solution that best meets your requirements.
4.      Design the selected system solution.
5.      Implement and evaluate the success of the designed system.

Let’s now examine each step of the systems approach to problem solving to see how it can help you develop solutions to business problems. Then we will apply the systems approach to business case study example


Figure 4.1

The system approach to problem solving. Note the major activities in solved in developing system solutions to business problems. Also note that you can recycle back to a previous step if further work in needed.




    *      Define the problem: Eastern Bank Limited (EBL) Problems and opportunities are identified in the first step of the systems approach. A can be defined as a basic condition that is cashing desirable results. An opportunity is a basic condition that presents the potential for desirable results. A Problem or opportunity is one of the most important aspects of the systems approach. Eastern Bank Limited (EBL) in which a problem or opportunity arises could be viewed as a system of input processing, output, feedback, and control components. Then to understand a problem and sole it.

*       Developing Alternative Solutions: Eastern Bank Limited (EBL) different ways can solve any problem or pursue any opportunity. Jumping immediately from problem definition to a single solution is not a good idea It limits options and robs of the chance to consider the advantages and dies advantages of several alternatives. Easter Bank Limited (EBL) also loses the chance to combine the best points of several alternative solutions.

 Evaluating Alternative Solutions: Eastern Bank Limited (EBL) alternative solutions have been developed; they must be evaluated so that the best solution can be identified. The goal of evaluation is to determine how well each alternative solution meets business and personal requirements. These requirements are key characteristics and capabilities that are necessary for your personal or business success.
*       Selecting the best solution: Western Bank Limited (EBL) solutions have been evaluated, can begin the process of selecting the best solution. Alternative solutions can be compared to each other because they have been evaluated sling some criteria. The two alternatives in can be screened and ranked and selected or rejected, based on individual criteria or overall scores.
*       Design the Solution: Eastern Bank Limited (EBL) a solution has been selected, it must be designed. It is design specifications might describe the detailed characteristics and capabilities of the people, hardware, Software and date resources and information system activities needed by a new system.
*       Implement the solution: Eastern Bank Limited (EBL) an implement solution specifies the resources activities and timing needed for proper implementation. For example, the following items might be included in the implementation plan for a computer-based sales support system.

§  Operative procedures for the new sales support system
§  Training of sales reps and other personnel.
§  Conversion procedures and timetables for final implementation.   

                             


Figure:4.2    How Xerox implements a system approach in their problem-solving process.







5. Our overview of solving MIS problem.


v  Information system development:   When the systems approach to problem solving is applied to the development of information system solutions to EBL problem, it is called information system development. Most computer-based information systems are conceived, deigned, and implements process. Information systems have become a vital component of successful organization. Information system includes systems that are not intended for decision making. Is development is very important for EBL because they get all organizational information by IS.

v  Improve the payroll processing system:   Payroll processing systems receive and maintain data form employee time cards and other work records. Computer-based payroll system helps businesses make prompt and accurate payments to their employees, as well as, reports to management employees and government agencies concerning earnings, taxes and other deduction. Sometime it keeps wrong employee work records; therefore, it should be improving for EBL.


v  Improve the transaction processing system:   Transaction is processing by stem record and process data resulting from organization transaction. Operational level manager keeps the transaction processing system. It also produces a variety of information products for external or internal use. They produce client statements, employee paychecks, sales receipts, dividend check, tax forms and financial statements. If the manager keeps wrong transaction, it will be bad record for EBL. EBL should improve the transaction processing system, because it depends on organization is goodwill.

v  Improve the decision making system:     Right decision is very important for any organization. Serve management level with data analysis for making decision.  Making the right in organization is usually based on the quality of data lack of decision making in time, it creates problem for any organization. So EBL should improve the decision making system.


v  Keep the current and ad-hoc information:   Current and ad-hoc information play a significant role for EBL. Manager should always keep the current information. It the take ad-hoc information it will positive aspect for any organization. Lack of current information, organization cannot gain positive goal. It should take all organization, so organization success possible easily.

v  Apply the new hardware and software:    Evaluate and acquit new hardware and software. Hardware includes computer system, telecommunication process and network facilities.  Software includes network management programs and transaction processing packages. EBL should always apply the new hardware and software.


v   End user involvement: One of the keys to solving problems of end users resistance to new information technologies is proper educating and training. Even more important is end user involvement in organizational system. Direct end user participation in systems development projects before a system is implemented is especially important in reducing the potential for end user resistance. The involvement helps ensure that end users assume ownership of system, And that its design meets their needs. So end user involvement is very important for EBL.  

v   Solved budgeting problem:   The long –term/ short-term planning for making and financing investments that affect financial results over a period longer than just the next year. If budget is perfect, it will be improved organization to complete any works. So top level manager should be monitored for perfectly budget, so EBL will be successes quickly.
v  Strategic plan for information systems:     A process that includes defining goals. Establishing strategy. And developing plans to coordinate activities, Planning is most important matter for and wording. A good plan can give our good future. If any problem planning this problem mast be solving by analyzing.



v   End User development:     User is principal person for operating computer. So user develop are most important. To develop user follow many step.
Like.
. Practice
. Motivating
. Communicating
. Monitoring

v    Educate and train manager:    Manager should be educated. Because he/ she manage a management from his / her position. To complete his works perfectly are better to take training. Educate and train manager is very important for EBL, SO EBL will be successes easily.

v    Legal condition: Legal condition is most important for any works quietly.  Employs are attentively during a legal condition. EBL should be give legal condition to employ/clients.    


6. How organizations develop their organizational planning by    collecting the information from other company MIS department?

A perfect plan is very important for a company, So, Top manager is collected many information for perfect planning. If is perfect information it will be strong planning, If this is company with others develop company, It will realize perfect or imperfect.    
So Top manager should be flowed from developed company of MIS department for a perfect planning, Top manager can step form others developed company for information such as, That company can collect information form.
Such as, Top manager can collect information form that company by website. Pop manager communicate with that companies managers to bring information, Pop manager make inter-relation with that companies MIS department for collection information.

Discuss about organizational planning is give below.
Organizational Planning: Planning is deciding what to do before you do before you do it. Most of us would agree planning is an important ingredient of success. If you spend time and effort thinking about the best way to reach a goal before you begin to reach for it, you are planning, and your chances of accomplishing your goal should be enhanced. That’s why organization and their management teams plan.
Many companies now go through an organizational planning process of (1) tem building, modeling, and consensus, (2) evaluating what they have accomplished and the resources they have acquired, (3) analyzing their business, economic, political, and societal environment, (4) anticipating and evaluating the impact of future developments, (5) building a shared vision and deciding on what goals they want to achieve, and (6) deciding what action to take to achieve their goals. See Figure 6.1



The result of this planning process is called a plan, which formally articulates the actions we feel are necessary to achieve our goals. Thus, a plan is an action statement. Plans lead to actions, actions produce results, and part of planning is learning form results. In this context, the planning process should be followed by implementation, which should be followed by control measures, which provide feedback for planning. That’s why implementation and control of IT and the subjects of the next section and chapter.

The organizational planning process. Note the role of team processes and implementation methods in the planning process.

Conclusion

MIS department is called financial intelligent   department. So, this department is very important for any organization. Organization should direct the company with the skillful manager and manpower. It department carry many benefit. This benefits help to develop any company. There are many company/bank in our country has not MIS department available.  So, we want to tell, the company should open MIS department rapidly. 




BIBLIOGRAPHY
1.                  Eastern Bank Ltd (EBL) annual report.
2.                  Mr. Khaja Mohammad Fathe Ali.
(Associate Manager, MIS in Eastern Bank Ltd).

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