Project Materials




Need help with a related project topic or New topic? Send Us Your Topic 




1.1 Background of The Study

Information technology is a set of tools that combines communication and computing. It is also a group of machines that can carry out a series of instructions. The sequence of instruction is a programme that is designed to be flexible and adaptable to the material being processed (Goldberg, 2009).

The new millennium brought with it new opportunities for information access and availability at the same time, posing new issues in shielding sensitive material from some eyes while keeping it available to others. Today’s business climate is incredibly dynamic,

with quick changes brought about by technical advancements, increasing knowledge, and customer expectations that banks serve their customers electronically. Historically, banks have been at the forefront of leveraging technology to better their products and services.

The banking industry of the twenty-first century operates in a complicated and competitive environment defined by shifting conditions and a volatile economic climate.

Today, Information and Communication Technology (ICT) is at the heart of the global changing curve of Nigeria’s Electronic Banking System. Stevens, 2002.

Assert that they have been using electronic and telecommunication networks for delivering a wide range of value added products and services over time, managers in the Nigerian banking industry cannot ignore Information Systems because they play a critical role in the current banking system, they point out that the entire cash flow of most fortune Banks is linked to Information System.

The use of information and communication technology concepts, methodologies, policies, and implementation strategies to banking services has become a major concern for all banks, as well as a requirement for local and global competitiveness.

Technology advancement has played a significant influence in enhancing service delivery standards in the banking business. Automated Teller Machines (ATMs) and deposit machines, in their most basic form, now allow users to conduct financial transactions outside of normal banking hours.

Individuals can use online banking to check their account balances and make payments without having to visit the bank. This is gradually transforming society into a cashless society in which consumers no longer have to pay for all of their purchases with physical cash.

Bank users, for example, can pay for plane tickets and subscribe to initial public offerings by moving funds directly from their accounts, or pay for other commodities and services using electronic credit transfers to the seller’s account.

Because more individuals now own mobile phones, banks have created mobile banking to accommodate customers who are constantly on the move. Individuals can use their mobile phones to check their account balances and make fund transfers.

First Atlantic Bank (formerly First Inland Bank) popularised this with its “Flash me cash” programme. Customers can also recharge their mobile phones by SMS. E-banking has simplified financial transactions all over the world, and it is quickly gaining traction in Nigeria.

Today, the delivery channels for electronic banking in Nigeria are quite numerous, as mentioned here: Automatic Teller Machine (ATM), Point of Sales (POS), Telephone Banking, Smart Cards, Internet Banking, and so on.

Personal computers in the banking industry were first introduced into Nigeria by Society Generale Bank as the popular PC with easy access to the internet and World Wide Web (www), and the internet is increasingly used by banks as a channel of delivering products and services.

Almost all banks in Nigeria have an online presence; this type of banking is known as Internet Banking, which is a subset of Electronic Banking. The supply of items by banks in the public domain is an example of advertisement, often known as E-Commerce.

Electronic commerce, on the other hand, is a catch-all word for any type of business or commercial transaction including the transmission of data via the internet.

Individuals and businesses use computers, telephones, and other communication devices to exchange business information and instructions via electronic media. This includes a wide spectrum of businesses, from consumers to retail products.

However, as it is, electronic banking is a product of E-Commerce in the sector of banking and financial services. It provides a variety of online services such as balance inquiries, cheque book requests, recording stop payment instructions, balance transfer instructions, account opening, and other standard banking services.

The Internet enables businesses to make better use of information by providing consumers, suppliers, employees, and partners with access to the business information they require,

when they need it. All of these services result in lower costs: lower overhead, higher economies of scale, and increased efficiency.

The internet is revolutionising sales strategies and brand perceptions, and it is intensifying competition in all forms. Banking institutions are continuing to leverage the internet to provide value to their clients; however, in order for this to operate effectively – maximising opportunities, limiting risks, and solving issues – an E-Banking strategy is essential.

The expansion of the Web and Internet as new channels, the growth in their use by clients, and the floor of companies entering the market create a number of important problems to businesses. Making a website is simple and inexpensive.

However, creating an environment in which a large fraction of your client base can receive effective service via the Internet necessitates an E-Banking strategy.

Electronic banking provides a variety of online services such as balance inquiries, cheque book requests, recording stop payment instructions, balance transfer instructions, account setup, and other types of transitional banking services.

The importance of information technology in bank service delivery cannot be overstated. As a result, it is necessary to assess its influence on service delivery at the UBA Kakuri branch in Kaduna.

1.2 Statement of the Problem

Customers in Nigeria nowadays are concerned with more than just the protection of their assets and increased returns on their investments. Customers want services that are efficient, quick, and convenient.

Customers seek a bank that will provide them with services that will match their specific demands (personalised banking) and support their company goals,

for example; businesses prefer not to travel with carryout cash for security reasons. They want to be able to check their balance online, see if a cheque has cleared, move monies between accounts and even download transaction data to their own computer at work or at home.

Customers want their preferred bank to give them special service and undivided attention. All of this is only possible through the use of ICT:

In accordance with providing quality and acceptable services, which most Nigerian banks are aiming for by investing substantial sums of money in information and communication technology, such banks’ services should have improved.

United Bank for Africa (UBA), Zenith Bank, and GT Bank (to name a few) are at the forefront of using information technology to provide services to their customers (The Guardian Newspaper April 18, 2008, p 21).

As a result, advanced information technology is one of the most common difficulties offering major obstacles to bank service delivery. These developments have had the greatest impact on Nigerian banks and the whole financial sector.

This is because information technology has evolved into a crucial business resource, and its absence may lead to poor decisions and, eventually, business collapse.

As a result, numerous banks and financial organisations have collapsed in the past owing to their incapacity to sell and operate their financial services using information technology.

Because of technology progress, increased awareness, and rising client needs, today’s business climate is incredibly dynamic and undergoes rapid changes.

The twentieth-century banking business operates in a complex and competitive environment characterised by shifting conditions and a highly unpredictable economic climate, and information and communication technology (ICT) is at the centre of this worldwide transition curve (Agboola,2006).

As a result, banks that want to survive and thrive in today’s business environment must include ICT into their operational operations.

Given this environment, this thesis attempts a synthesis of empirical facts on the extent to which information and communication technology has informed changes in the operational modalities and service delivery modes of Nigerian banks, as well as the impact of these innovations on bank performance. Against this backdrop, the subject is regarded as a problem deserving of inquiry.

1.3 objective of The study

The study’s primary goal is to investigate the impact of information and communication technology on customer service delivery. The precise goals are as follows:

1. Examine how information and communication technology (ICT) improves customer satisfaction at United Bank of Africa.

2. Examine the advantages that a client gains from using an ICT tool at United Bank for Africa.

3. Identify the obstacles impeding ICT operations at the United Bank for Africa.

1.4 Research Suggestions

The following research question and responses are provided in the study;

1. How does information and communication technology (ICT) improve customer satisfaction at United Bank of Africa?

2. What are the advantages of employing ICT technologies at United Bank of Africa for customers?

3. What are the obstacles to ICT operations at the United Bank for Africa?

1.5 Hypothesis Hypotheses

The following hypotheses were investigated in this study:

Ho1: Information and communication technology does not improve the delivery of bank services.

HA1: Information and communication technology improves client happiness in banks.

1.6 Importance of the Research

The study would make bank executives, as well as policymakers at banks and financial institutions, aware of electronic banking as a product of electronic commerce, allowing them to make strategic decisions.

The research is also significant because it will provide answers to factors that are working against the implementation of electronic banking in Unity Bank Plc; demonstrate the success and growth associated with electronic banking implementation;

highlight the areas of banking operations that can be improved through electronic banking; and be an invaluable tool for students, academicians, institutions, corporate managers, and individuals who want to learn more about electronic banking.

1.6 Scope of The Study

In order to achieve the study’s goal, emphasis will be placed on information technology in banks. To undertake an empirical examination into the impact of information and communication on bank customer service delivery in United Bank for Africa, and to evaluate the nature of ICT operations in United Bank for Africa from 2007 to 2009.

1.7 Definition of Terms

ATM: Automated Teller Machine: An ATM combines a computer terminal, Recordkeeping system, and cash vault into one unit, allowing customers to enter a financial firm’s bookkeeping system with either a plastic card containing a

Personal Identification Number (PIN) or by punching a special code number into a computer terminal linked to the financial firm’s computerised records 24 hours a day. After gaining access to the system, cash withdrawals up to pre-specified limitations, balance enquiries, and bill paying are all possible.

According to Mishkin (1998), the wonders of current computer technology have also enabled banks to reduce the cost of bank transactions by having the consumer contact with an electronic banking facility rather than a human being.

The automated teller machine (ATM) is a popular type of electronic banking facility since it does not require payment over time. Furthermore, because ATMs are inexpensive, they can be placed in locations other than banks or branches, enhancing client convenience.

Because ATMs are inexpensive, they have proliferated throughout the country. Although ATMs were introduced in the Nigerian banking market in the early 2000s, most institutions adopted their use following the 2005 bank consolidation. Nowadays, almost no bank is without ATMs.

Banks have also placed ATMs in public places such as supermarkets, tertiary institutions, hospitals, and hotels. There is little doubt that the installation of ATMs by banks is intended to cut operating costs and improve customer service. However, there are always people out there who want to reap where they did not sow.

The infrastructures that support the machine are vulnerable to abuse, misuse, and failure in a variety of ways, resulting in financial loss as a result of fraud, unauthorised use of customers’ personal identification numbers, and loss of customers’ confidence.

ATM fraud has reached epidemic proportions, and most customers are now hesitant to use their ATM cards. For such frauds to succeed, there must be coordination between some bank employees and fraudsters.

Customers are concerned about the security of online purchases for this reason. Some customers, on the other hand, have not helped matters due to their carelessness or deceitful character.

ATM Card: A debit card used by bank customers to make ATM transactions. The card is a complex circuit that processes microprocessors with a single chip that contains the complete arithmetic and logic unit of computers;

it allows customers to perform balance inquiries, mini statements, cash withdrawals, and transfers using an automated teller machine. This debit card can also be used for online and post-office transactions.

Chip Card: A card with one or more computer chips or integrated circuits for identification, data storage, or special purpose processing that is used to validate personal identity numbers, authorise purchases, verify account balances, and keep personal records.

Electronic Data Interchange (EDI): The exchange of machine-readable information between organisations. Currency units saved in electronic form on an electronic device in the consumer’s possession are used to calculate electronic monetary worth. This electronic value can be purchased and stored on the device until it is depleted by purchase or transfer.

Mobile Banking: This is a product that allows the bank to provide consumers with access to services from any location. Customers can conduct transactions such as account balance inquiries and transaction inquiries from any location. Electronic fund transfer/bill payment. Transferring funds across accounts, and so on.

A payment system is a financial system that establishes a method for transferring money between suppliers and funds, typically through exchanging debits and credits across financial organisations.

A Point-of-Sale (POS) machine is a payment device that allows credit/debit cardholders to make payments at sales/purchase outlets. Customers could use it to make the following purchases:

retail payments, cashless payments, cash back balance inquiries, airtime vending, loyalty redemption, printing ministatements, and so on.

Smart Card: A card having an embedded computer chip that can store and process financial, health, educational, and security information.

Transaction Alert: Our customers conduct debit/credit transactions on their accounts, and the necessity to maintain track of these transactions motivated the Bank to develop an alert system to notify customers of those transactions. When important information needs to be delivered to clients, the alert system also serves as a notification system.

Western Union Money Transfer (WUMT): Western Union Money Transfer is a tool that allows people with relatives in Diaspora to send money home for family maintenance, project finance, school fees, and other purposes. Nigerian communities notorious for having siblings working in other parts of the world called idle marketplaces.

Need help with a related project topic or New topic? Send Us Your Topic 



Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.