Managing information system for a better banking services

2.3.1.2. Database Server

The Database Server houses the files and records of bank products, services and customers. It shares application processing with the PC Client Workstations. It performs database searches and retrieves customer information and/or files. Additionally, the Database Server stores the code that executes the nightly update processing tasks when instructed by the Nightly Processing module.

2.3.1.3. PC Client Workstations

The PC Client Workstations are used for shared application execution with the Database Server and also serves as a display to view the information and is also a data entry and manipulation point. 120 PCs used by FINABANK's Management Information System, present the following technical capacities: 1.80GHZ possessing capacity of CPU, 0.98GB of RAM and 150GB of Local Disc capacity storing.

2.3.2. Video Surveillance Hardware

FINABANK, considered as a big company, takes seriously the issue of security. Once you observe carefully into corners of FINABANK's building, one can difficultly notice that there are small and small cameras deployed any where capturing images and conveying them through appropriate cables up to the wide video surveillance screen as well as storing that serous information in database server for the future use. The following is hardware used by FINABANK Video Surveillance System:

Table3: Video Surveillance Hardware

No	Description	Quantity	Brand name	Technical Capacities
1	Camera	15	SOME	90 days
2	Screen Monitor	1	IRIS	16 channels
3	Cables	-	CAT6	-
4	Disc Video Recorder	1	IRS	90 days

Source: Primary Data (2008)

A camera records images, either as a still photograph or as moving images known as videos or movies. The term comes from the camera obscura (Latin for "dark chamber"), an early mechanism of projecting images where an entire room functioned as a real-time imaging system; the modern camera evolved from the camera obscura.

Cameras may work with the light of the visible spectrum or with other portions of the electromagnetic spectrum. A camera generally consists of an enclosed hollow with an opening (aperture) at one end for light to enter, and a recording or viewing surface for capturing the light at the other end. A majority of cameras have a lens positioned in front

of the camera's opening to gather the incoming light and focus all or part of the image on the recording surface. The diameter of the aperture is often controlled by a diaphragm mechanism, but some cameras have a fixed-size aperture.

Category 6 cable, commonly referred to as Cat-6, is a cable standard for Gigabit Ethernet and other network protocols that is backward compatible with the Category 5/5e and Category 3 cable standards. Compared with Cat-5 and Cat-5e, Cat-6 features more stringent specifications for crosstalk and system noise. The cable standard provides performance of up to 250 MHz and is suitable for 10BASE-T, 100BASE-TX (Fast Ethernet), 1000BASE-T / 1000BASE-TX (Gigabit Ethernet) and 10GBASE-T (10-Gigabit Ethernet). Category 6 cable has a reduced maximum length when used for 10GBASE-T; Category 6a cable, or Augmented Category 6, is characterized to 500MHz and has improved alien crosstalk characteristics, allowing 10GBASE-T to be run for the same distance as previous protocols. Category 6 cable can be identified by the printing on the side of the cable sheath.

VDR (Video Disk Recorder) is an open source application for Linux designed to allow any computer to function as a digital video recorder, in order to record and replay TV programming using the computer's hard drive. The computer needs to be equipped with a digital TV tuner card. VDR can also operate as an mp3 player and DVD player using available plugins

2.3.3. THE Queue Management Hardware

The problem of long lines made up people need to be served by the bank, was on mind of several managers as well as researchers. Now the queue Management system is the appropriate response to that particular challenge faced by FINABANK since long time ago. This equipment is made up following hardware:

Table 4: Queue Management Hardware

No	Description	Quantity	Brand name
1	Queue Management machine	5	QM
2	Black Screen	40	QM
3	Cables	X	CAT6
4	Number caller button	40	QM
5	Satisfaction test button	40	QM

Source: Primary Data (2008)

The first objective of any queue management system is to achieve a better quality of service to customers. In its most basic form, a queue management system will issue a queue ticket to an arriving customer and later call the ticket when service is available, eliminating the need to stand in line while waiting. In this way, queue management systems help to provide comfort as well as fairness to customers, by allowing them to maintain their position in the queue while they are seated comfortably or engaged in constructive activity.

The first objective of any queue management system is to achieve a better quality of service to customers. In its most basic form, a queue management system will issue a queue ticket to an arriving customer and later call the ticket when service is available, eliminating the need to stand in line while waiting. In this way, queue management systems help to provide comfort as well as fairness to customers, by allowing them to maintain their position in the queue while they are seated comfortably or engaged in constructive activity.

2.3.4. Network Communication hardware

FINABANK grows continually and opening branches in different provinces constitute in this nation. These branches are interconnected dispute the long distance, through the Network Communication. Helped by Rwanda tell and MTN Rwanda cell Companies, FINABANK uses following hardware to link various activities performed by its branches.

Table 5: Communication Hardware

No	Description	Quantity	Brand name
1	Routers	6	SISCO
2	Switchers	14	SISCO
3	Cables	-	CAT6

Source: Primary Data (2008)

A router is an equipment of a network interconnection enables to determine the path of data by joining packages within two or more networks.³⁰

A switch is an electronic equipment help to connect more segments to one network.

Access Control System in FINABANK is composed mainly by two kinds of hardware: One Card reader Machine and six accesses scanner machines.

2.3.5. Fire Safety Hardware

Among many serous risks that can affect the bank, we can highlight fire. The fire safety system is not only the voluptuous choice of FINABANK by it is also the recommendation from the insurer. To handle this problem, FINABANK does its best to protect its assets, data and people by combining following hardware:

³⁰ STEWART, T. «3M Fights Back,» Fortunes, February5, 2006, p. 99

Table 6: Fire safety equipments

No	Description	Quantity	Brand name
1	Fire extinguishes	30	SAVAL GP9
2	Smoke Detector	80	MANVIER
3	Fire alarm Controller	6	MANVIER MF9304
4	Speakers	20	Sonny

Source: Primary Data

The Fire Safety System of FINABANK uses three types of hardware:

Fire extinguishes: used to attack fire when occurs.

Smoke Detector: helps to notice in advance the fire by distinguishing smoke. Fire alarm: helps to inform others on the mater.

Speaker: From which alarm worn people upon incident

2.4. THE «SOFTWARE» COMPONENT OF THE FINABANK'S INFORMATION SYSTEM

To play a useful role in the firm's information technology infrastructure, computer hardware requires computer software. As it has been defined by KENETH C. LAUDON in his book named Management Information Systems, the computer software is a detailed instruction that control the operation of computer system. 31

³¹ LAUDON, K. and LAUDON, J.P. «Management Information Systems: Organization and Technology,» Prentice-Hall of India: New Delhi, 1999, p.89

Selecting appropriate software for organization is a key management decision.

As a reference to the first chapter, FINABANK has also two kinds of software: Application and operating software:

2.4.1. The FINABANK's System Software

Are called System Software (as well explained in the literature review), ones coordinate other software in a computer, put in relation the hardware and application software and perform several tasks like DVD playing, keeping and manage files, etc. Within this context, FINABANK has the following operating system software.

2.4.1.1. Windows XP Professional

The Windows XP used by FINABANK is Reliable, robust operating system for powerful PCs with versions for both home and corporate users. Features support of the internet, multimedia, and the group collaboration, along with powerful net working, security, and corporate management capacities.

2.4.1.2. Windows Saver

The Windows Saver supports multitasking, multiprocessing, intensive networking, and internet services for corporate computing.

2.4.1.3. UNIX

The UNIX Used by FINABANK for powerful PCs, workstation and servers. Supports multitasking, multiprocessing, intensive networking. It is portable to different models of computer hardware.

2.4.2. FINABANK's Application Software

Application soft wares are software conceived to perform a given and specific task. Software of this kind held by FINABANK are the following:

2.4.2.1. Equinox Banking Software

Activities of FINABANK are linked, complete each other and this happens through the software named «EQUINOX» includes at least main activities performed by the bank. Here is EQUINOX main interface:

Figure 9: Equinox Banking System's interface

Source: FINABANK, back office processing, 2009, p.1

Changes in the current business climate around the world place pressure on industry and commerce. Cyclical boom, bust economic conditions and the rising global economy place demands on banks and all commercial ventures to increase productivity, cut costs and be flexible. All of the above are on the base of shifting from MICROBANKER to EQUINOX Banking System.

FINABANK uses Equinox Banking System to perform and deriver services to customers. This software has replaced MICROBANKER in 2008 because it is more advantageous than the last one. EQUINOX is considered as a friendly user based on its graphical user interface whereas MICROBANKER was a command line.

2.4.2.2. MICROBANKER

MICROBANKER was the bank system used by FINABANK until 2008, to handle all business problems in the banking industry, but it has been replaced by EQUINOX Banking System because it was no longer compatible with the volume of the bank activities. This application was able to receive a limited number of users at a once while the number of employees in need was growing as the business grows. In addition, This system was a command line, what was somehow complicated to some users, but is very different from EQUINOX Banking System, currently in use, has a friendly interface, what to say, instead of commanding the system what to do, it gives to the user various options and he/she selects the best one.

2.4.2.3. SWIFT System

This software is used by FINABANK to send and receive transfers between banks either locally or internationally.

2.4.2.4. MEGA System

They use MEGA System to handle problems related to checks, and to prepare the clearing list to NBR.

2.4.2.5. CRI System

They use CRI System to create, analyze and submits a report, related to Risk and Arrears Centralization, to NBR.

BNR System Software is a proper version to create and submit reports, but as these reports are so official and has to be well done; other software has putted in place as the draft to perform these reports. The following are interfaces of CRI software related to report to be done:

Figure 10: New credit declaration interface from CRI system:

Source: FINABANK, back office processing, 2009

After daftly processing this declaration of new credit the statistician transfers the report created from CRI system into BNR system which has the following interface:

Figure 11: New credit declaration interface from BNR system software

Source: FINABANK, back office processing, 2009
Figure 12: Risk situation interface from CRI system Software:

Source: FINABANK, back office processing, 2009

After getting the required information through different ways of CRI system, it has to be converted into following BNR System's interface:

Figure 13: Risk situation interface from BNR System software

Source: FINABANK, back office processing, 2009

The interface bellow enables the statistician to perform the situation of credit arrears in BNR system:

Figure 14: Credit arrears report from BNR System software

Source: FINABANK, back office processing, 2009

2.4.2.7. LEASEPAC

FINABANK uses LEASEPAC software to establish and manage leasing facilities.

It is the SME bank with the advertisement sport: «Your partner in growth and development,» FINABANK makes growing and developed businesses by providing to them lease loans. To provide loan is one thing and to manage it is another one, which is some how more complicated. To handle this, FINABANK has appropriate and qualified software called «LEASEPAC.» The following is its main interface:

Figure15: Leasepac system software

Source: FINABANK, back office processing manual, 2009

This software (LEASEPAC) contributes on FINABANK's performance in the way that allows the user to collect any desired information from the applicant himself and his business as well as to manage the loan. By example the following is the interface helps the user to collect the information related to the applicant:

Figure 16: Applicant information interface from LEASEPAC software

Source: FINABANK, back office processing manual, 2009

2.4.2.8. BNR System

FINABANK uses BNR System to perform, in an appropriate way, monetary reports to NBR.

NBR has in its responsibilities, to keep stable the Rwandan currency. So, each and every financial institution, including banks, has to report, weekly and monthly, to Rwandan Central Bank (NBR). It's in this regard that National Bank of Rwanda has provided particular software to bank for good preparing these reports. The following is the main interface of that kind of software:

Figure 17: Debit interface of BNR System Software

Source: Primary data (2008)

2.4.2.9. ASETWARE

They use ASETWARE to manage adequately bank assets. 2.4.2.10. Internet Explorer

They use Internet explorer to find and to display information and web site in order to communicate, publish, and advertise what they do as well as to update the knowledge of personnel.

2.4.2.11. Microsoft Office 2003 and 2007

- Microsoft Office Excel

FINABANK performs calculations, analyzes information, and visualizes data in spreadsheets by using Microsoft Office Excel.

- Microsoft Office Outlook

They send and receive e-mail; manage your schedule, contacts, and tasks; and record their activities by using Microsoft Office Outlook.

- Office PowerPoint

They create and edit presentations for side shows, meeting, and web pages by using Microsoft Office PowerPoint.

- Microsoft Office Words

They create and edit professional looking documents such as letter, papers, reports, and booklets by using Microsoft Office Words.

2.5. THE «DATA» COMPONENT OF THE FINABANK'S INFORMATION SYSTEM

2.5.1. Introduction

DATA are any raw facts or observations that describe a particular phenomenon. For example, the cash in hand, the cost of transport of personnel, and a picture captured all are data.³²

In business, for instance, the cost of merchandise may be information to buyer, but it may represent only data to an accountant who is responsible for determining the value of current inventory levels. The current value of inventory for that merchandise is the information the accountant derives from the two pieces of data and it will be useful to take decision when selling.

Within FINABANK, data are raw facts or observations that describe money deposed or withdrawn, given as loan, gotten as loan repayment to or from customers, disbursed as salary to employees or as the cost of bank's assets.

³² ROBINS, G., «Data warehousing: Retailers on the cutting Edge,» STORES, September 1995, pp.19, 24-28

These facts are key resources to FINABANK, because our economy tends to base on the knowledge and information as it has described by our general introduction.

2.5.2. The Database and Database Management System (DMS) in FINABANK

In FINABANK, databases and database management systems provide the foundation of organizing, managing, and working with the information. In a database and database management system environment, the database contains the information, and the database management system is the collection of software tools that supports management of a database and performance of the bank. Employees of FINABANK throughout the organization's knowledge workers or IT specialists, interact with a database by using a database management system software tools.

2.5.3. FINABANK Data Processing

Data processing can be speeded up by several processors to work simultaneously on the same task.

As it is appearing on following figure, FINABANK uses simultaneously parallel processing (online processing) and serial processing (batch processing) in data processing. In parallel processing, multiple processing units (CPUs) break down a problem into smaller part and work on it simultaneously. Getting a group of processors to attack the same problem at once requires both rethinking the problems and special software that can divide problems among different processors in the most efficient way possible, providing the needed data, and reassembling the many subtasks to reach an appropriate solution.

Massively parallel computers have huge networks of processor chips interwoven in
complex and flexible ways to attack large computing problems. As opposed to parallel
processing, in Sequential or batch processing, where small numbers of powerful but

expensive specialized chips are linked together, massively parallel machines link hundreds or oven thousands of inexpensive, commonly used chips to break problems into many small pieces and solve them.

Figure 18: Sequential and parallel process

CPU

CPU

CPU

CPU

CPU

Task3

Task5

Task4

Task1

Task

RESULT

PROGRAM

CPU

Result

PROGRAM

PROGRAM

Task2

CPU

Result Source: Primary Data (2008)

2.5.4. FINABANK's Data Storing

The capabilities of computer systems depend not only on the speed and capacity of the CPU but also on the speed, capacity, and design of storage, input and output technology.³³

The following figure gives an image of how FINABANK stores data at the same time using it in what they call Storage Area Network:

³³ NOVACK, J., «The Data Miners,» Forbes, February 12, 1996, pp.96-97

SERVER

RAID RAID

TAPE

LIBRARY

SAN

SERVER

RAID

Figure 19: A Storage Area Network (SAN).

User1 User2 User3 User4 User5

Source: Primary data (2008)

The SAN of FINABANK consists of a server, storage devices and is used strictly for storage. The SAN stores data on many different types of storage devices, proving data to the users in the bank. The SAN supports communication between any server and the storage unit as well as between different storage devices in the network.³⁴

34 ₂nd

HAAG, S. «Management Information Systems for the Information Age,» Edition, McGraw Hill/Irwin, Boston,

2000, p173

2.6. THE «PROCEDURES» COMPONENT OF FINABANK'S INFORMATION SYSTEM

In field of MIS, FINABANK undertakes several procedures to meet its objectives both effectively and efficiently. Among these procedures we are going to analyze, in this section, four most important of them which are: account opening procedure, employee recruitment procedure, credit analysis procedure and the fire safety procedure.

2.6.1. Account opening procedure

To create an account into FINABANK, the following procedures have first to be undertaken:

For a corporate business wants open an account requirements are: A notified copy of the startup contract, the trade license or the RDB permission, on photo and specimen of each of company representatives.

When the client to be served is an individual, he/she is asked to bring the copy of his/her ID card, one photo and fill the application form. For these two categories of client, to open their accounts it's made for free of charge.

2.6.2. Employee recruitment procedure

Prior the right employee arrive in the right place, the following procedure in FINABANK must be respected:

The department, in need of an employee, makes a requisition to the Human Resource Management Department, and this one recruits a desired one through new times, IMVAHO news paper or specialized institutions. The department prepare and give practically and theoretically an exam to candidates. The candidate succeeded the both tests (written and interview) is hired by the department in charge of recruiting and hiring (HR), the new employee get a concise training in relation with the job he/she is going to

perform. After the training, the new employee sign a temporary contract (3 to 6 months), if well finished, a definitive contract is signed between the bank and its employee.

2.6.3. Credit Analysis Procedure

Figure 20: Credit analysis procedure

		Business Banking / SME / Consumer Banking		Credit Control
Client

Application letter Recommandation bases on : Credit analysis bases on

level of risk quantitative issues and

Business Banking SME

Head of Credit Risk Managing Director Board of Directors

Credit

Administration and legal sub

department

: Approval: if x < 10,000,000 Verify the legal conformity Verification of legal

Approval: if x < 100,000,000 Two parts sign the contract conformity

Approval: if x >=100,000,000

. tangible facts

Credit Control

Recovery Department

: Establishment of credit Recovery dills with all customer and reimbursement

monitoring for class 4, 5 and 6 of clients

Source: FINABANK, credit policy and procedure manual, May 10^th, 2009

2.6.4. Fire safety procedure

To minimize damages that can be caused by fire in FINABANK, here's the fire safety procedure to undertake whenever fire occurs in the bank:

1. Press fire alarm

2. Shout «Fire» «Fire»

3. Call 999 and inform the fire brigade giving precise location of building, including floor and/or room in which fire has been observed.

4. If possible attack the fire extinguishing appliance avoiding risk to life.

5. Evacuate the building immediately without stopping to collect any belongings.

6. Do not use lifts.

7. Use all designated fire exits and stairs to evacuate.

8. Proceed quickly to the nearest designated assembly points.

9. Do not re-inter the building until fire services have declared the premises safe.

2.6. THE «PEOPLE» COMPONENT OF FINABANK'S INFORMATION SYSTEM 2.6.1. Introduction

We were discussing hardware, software, data and procedures; all of this was to give us a broad overview of the nature of MIS components within FINABANK. Let's now turn our attention to the most important resource in the business, especially for Management Information Systems-people as the knowledge worker. 35

Recall that, as a knowledge worker, FINABANK's employees work with and through
produces information as a product. And it really doesn't matter if they use a high-powered

³⁵ MARTIN, J. «Are You as Good as You Think You Are?» Fortune, September 30, 1996, pp.142

workstation or calculator; they are still a knowledge worker, responsible for processing information that their business (FINABANK) want to survive.

To succeed, as a knowledge worker in today's information-based business environment, FINABANK do its best to make its personnel understanding the true nature of information, what means to be an information-literate knowledge worker, and to assume the ethical responsibilities of working with information.

2.6.2. Being an Information-Literate Knowledge Worker

An information-literature knowledge worker must define what kind of information is needed, knows how and where to obtain that information, understands the meaning of the information once received, and can act appropriately, based on the information, to help the organization achieve the competitive advantages.³⁶

Knowing the appropriate time, content, and form dimensions of information needs is a major step toward becoming an information-literate knowledge worker in FINABANK. But it doesn't stop there-knowing what they need is only part of the information equation. They also do their best to know such things as how and where to obtain that information and what the information means once you receive it.

IT tools are great for helping FINABANK'S employees through the problem-solving or advantage-realizing process. In fact, many IT-based systems are designed specifically to help them solve a problem or take advantage of an opportunity.

36 ₂nd

HAAG, S. «Management Information Systems for the Information Age,» Edition, McGraw-Hill, Boston, 2000,

p187

2.6.3. Being a Motivated Employee 2.6.3.1. Definition

Twyla Dell writes of motivating employees, "The heart of motivation is to give people what
they really want most from work. The more you are able to provide what they want, the
more you should expect what you really want, namely: productivity, quality, and service."

37

2.6.3. 2. How Maslow's Needs Hierarchy helps to motivate FINABANK's personnel

As MASLOW's theory is true, there are some very important leadership implications to enhance workplace motivation. The Human Resource Department profits from these staff motivation opportunities to motivate each employee through FINABANK style of management as follow:

· Physiological Motivation: FINABANK provides ample breaks for lunch and recuperation and pay salaries that allow workers to buy life's essentials.

· Safety Needs: FINABANK provides a working environment which is safe, relative job security, and freedom from threats.

· Social Needs: FINABANK generates a feeling of acceptance, belonging, and community by reinforcing team dynamics.

· Esteem Motivators: FINABANK recognizes achievements, assigns important
projects, and provides status to make employees feel valued and appreciated.

· Self-Actualization: FINABANK offers challenging and meaningful work assignments
which enable innovation, creativity, and progress according to long-term goals.

³⁷ ZEIGER, D. «Smart Card Technology to Get Boost,» The Denver Post, October, 2006, p.23

2.6.4. FINABANK Employee Situation within five years

The following figure presents how much FINABANK has increasingly recruited employees as far as the company itself became bigger compared to the previous periods:

Figure 21: Employee mouvement situation into FINABANK

Source: Pimary Data (2004-2008)

From the above figure, FINABANK every and each year increase its employees for the seek of increasing also its income: in 2004 it had 135 employees, 140 employees in 2005 means an increase of 37% and 136 employees in 2006 means a decrease of 2.9%, this reduction has been justified by the implementation of the FINABANK police related to cost control from that period. In 2007 as well as 2008 employees have increased respectively up to 151 and 174 employees. FINABANK chooses increasing continually based on the principal of economies of scales.

2.7. CHAPTER 2-SUB CONCLUSION

In general, hardware is composed by any physical material that enables the bank to collect, process, storing and communicating information.

Among this hardware, PCs Work Stations are very crucial for FINABANK's IT infrastructures to perform banking activities.

To provide a good service to its clients, we sow that FINABANK has 120 PCs (brand name: HP and DELL) fill the following technical capacities: The speed of processing (micro-processor): 1.80GHZ, 0.98GB of RAM and 150GB of Local Disc capacity storing and referring to classical measurement conditions, as we sow them in previous chapter, one can easier notice that all these machines meet the normal technical prescription as indicated by specialists. In addition to these 120 PCs Work Stations, FINABANK uses also 54 laptops with HP AND DELL as brand name, technical capacities: 2.00 GHZ, 5200MB of RAM and 120GB Disc storing capacity. These laptops perform the same activity as PCs but there are used by Account Relation Managers (ARM) and other workers who do not have a fixed work place based on their job.

All of these machines are connected, using CAT6 cables, to fileserver as well as to database server and all together make a good network which helps FINABANK to handle quickly and massively a lot of problems so as to provide a desirable services to its clients.

As this principal hardware, PC Work Stations, used by FINABANK march three basic technical conditions of the hardware, as FINABANK uses several applications and operating software in collection, processing as well as in exploratory of data; as it has curried out a set of procedures to speedup bank's operations and his sufficient, motivated and qualified employees enabling FINABANK achieving its objectives. All of these issues help the researcher proved the first hypothesis. .

CHAPTER 3: BENEFITS OF MANAGEMENT INFORMATION SYSTEMS (MIS) TO
FINABANK BETTER BANKING SERVICES

3.1. INTRODUCTION

This chapter presents qualitatively and quantitatively how significantly components of Management Information Systems (MIS) have contributed directly or indirectly to FINABANK's better banking services within 2004-2008 timeframe.

3.2. BENEFITS OF «HARDWARE» TO FINA BETTER BANKING SERVICES

The present section analyses and presents different benefits of «hardware» held by FINABANK, as presented into second chapter, and gives their contribution to its better banking services.

3.2.1. Benefits of the Equinox Banking Hardware

Equinox Banking Hardware helps FINABANK:

· control costs and remain competitive in the ever- changing global economy.

· store data centrally, but share processing between users so that they can run many applications and process work simultaneously.

· collect, process, store and convey quickly and massively the information

· The PC Client Workstations are used by FINABANK for sharing application execution with the Database Server and also serves as a display to view the information and is also a data entry and manipulation point

· The Database Server enables the bank to house files and record of bank products, services and customers

· The File Server helps FINABANK housing the applications and handles network administration.

3.2.2. Benefits of the Video Surveillance Hardware

Bank is an institution plays a role of financial intermediation what means that it mainly manages other's precious properties (cash), this issue leads FINABANK to sign some contracts with security companies (KK security and Intersec security Companies) to secure the bank and its employees at work place in behalf of the bank itself.

Apart from these contracts, FINABANK has what called «Video Surveillance System» composed by 15 cameras deployed clandestinely elsewhere, helps the bank to capture many videos from different strategic points like strong room, tellers' room, IT room and all corners of the bank, present them on wide frat screen monitor and saved on the Disc Video Recorder.

This kind of hardware helps FINABANK to control the movement and acts of employees, clients and others moving in and around the bank, so as to detect in advance undesirable activities into the bank.

Briefly, this hardware collects, presents and stores facts done by employees, clients or non authorized people without being away that they are watch.

3.2.3. Benefits of the Queue Management Hardware

Prior the installation of this hardware, FINABANK was always suffering from non finishing files of clients wished either to depose or to withdraw their cash. By this equipment each client, depending to what need from bank and time of arriving, gets from machine a voucher number, takes a seat till others came before, will be served and his number will display on black screen located at the top of teller's window.

Up to now, this equipment came to handle 90% of the problem as declared by FINABANK Kigali Branch Manager. In addition to this, the same system is able to measure clients' satisfaction. How? Each client served presses a button of «satisfied» or «not satisfied» and these statistics helps FINABANK to know how good clients appreciate their services.

3.2.4. Benefits of the Network Communication hardware

As FINABANK operates in different regions wants to link its activities, so to provide a good services to its client. That can't realize in absence of Network Communication hardware. In addition to this, there are some financial products that could never exist if FINABANK could not have a good network system, from this we can say: FINA money transfer, FINA direct, etc.

3.2.5. Benefits of the Access Control Hardware

Before the installation of this hardware, the movement of people in the organization was somehow disorganized. However could inter anywhere, what was unfair and could cause the insecurity to the bank. But now the current situation is quite different: Each employee inters where is authorized, other place he/she can't because everyone has a coded access card enabling her/him to inter the place authorized to her/him.

In addition to that, prior this system, employees were obliged to fill the name, time of arriving and sign in the attendance book and could happen that the employee sign and after two hours he/she goes wherever he wants out of the work. But now, the card reader machine helps the human resources manager, to know that a given employee comes to the job when, he/she quite the work place when, even these unnecessary movements of employees within organization are also recorded, so if necessary the causer can explain.

Finally, this kind of hardware was becoming useful to FINABANK in terms of securing the bank against bandits or other unfair to the organization.

3.2.6. Benefits of the Fire Safety Hardware

Fire is the most dangerous threats to banks even to all organizations. In order to protect itself against, FINABANK uses the fire safety equipment. The last one is able to detect using «smoke detectors» easily the smoke, regardless what causes, and the «fire alarms» worn trough «speakers» immediately that there is the fire. The alarm is installed so during

the night, even workers whenever they inter the bank using their usual coded access cards not during the work time, means for their own purposes, it immediately recognize them as robbers and warns. In other words, it is one of the security facilitators.

In addition, the system is installed as, people from Fire extinguishers recognize automatically the threat happening in the bank and intervene at right time.

Briefly, the «hardware» has contributed positively to the better banking services of FINABANK within the range of 2004 to 2008 as proved by the upcoming figure.

3.2.7. Impact of IT infrastructure to the FINABANK's performance

Figure 22: Impact of IT infrastructures to FINA performance

Source: FINABANK, Financial Statement, 2004-2008

From the above figure stated thet FINABANK sa, in one side, has spent less maney for aquiring the technological infrastructures in 2005 (479,499,000Rwf) compared to ones disboursed in previous year (698,528,000Rwf) what signifies a decrease of -31.36%.

The year 2006 justifies how good FINABANK sa has recognized the role of IT whithin the bank's operations because it has spents a huge amount of money to purchase a modern and qualified IT infrastructures (1,694,070,000Rwf), an increase of 253.30% compared to the values of the year 2005.

The value of the FINABANK's IT infrastructure did nover stoped to increase since there because it reached the value of 1,859,000,000Rwf and 2,443,321,000Rwf, an increase of 9.74% and 36.43% respectively for years 2007 and 2008.

Other side, FINABANK has gained positively in 2005 (40,418,000Rwf) compared to year 2004 where it loosed (360,505,000Rwf) but the following year (2006) its profit has decreased to 30,534,000Rwf and it has recorded an increase in profit of 251,016,000Rwf, 581,249,000Rwf respectively for years 2007 and 2008 what determines an increase of 722.09% and 131.56% respectively.

FINABANK has recorded a high difference in profit between 2006 and 2007, as it comes to be presented, from 30,534,000Rwf to 251,016,000Rwf; because in 2005 and 2006 had to cover first the big losses registered in previous years.

Statistically, FINABANK sa spends roughly 1,434,883,600Rwf every year for acquiring MIS infrastructures, the highest amount of money spent for the same reason is 2,443,321,000Rwf and the lowest cost on the same issue is 479,499,000Rwf; all of this is located in the interval of year 2004 and 2008. Considering all the above presented, there is a significant and positive correlation of 0.816472353 between the cost of hardware and software infrastructures and the profit registered by FINABANK sa.

3.3. BENEFITS OF «SOFTWARE» FOR FINA BETTER BANKING SERVICES

This section present various benefits of «software» and their contributions to FINA better banking services. As EQUINOX Banking System is considered as the pillar of the inter banking system, let's take it, so to present benefits of «software,» as one of MIS component, to the better banking services of FINABANK:

3.3.1. Benefits of the EQUINOX Banking Software

Equinox Banking Software is taken as the backbone of FINABANK's operations that largely handles the maximum of problems related to banking activity using its following models:

3.3.1.1. Benefits of the System Administration Model

The Administrative Model provides integrated controls and parameters for the Bank, General Ledger, Relationship Management, Security, Deposit and Loan Products, Safe Deposit Box, Teller, Rates, Charges and a variety of other administrative functions. This module defines the bank, branches, products and how they are set up and processed. For example, the General Ledger Master Chart of Accounts is created and defined in this module.

3.3.1.2. Benefits of the Account Processing Model

After the products have been defined and decided how they will be processed, this module allows the bank to set up and maintain customer accounts and process monetary and non-monetary transactions. For example, credits and debits to General Ledger accounts can be performed online through this module.

3.3.1.3. Benefits of the Nightly Processing Model

This module runs the program that updates the database each day. It processes all batch transactions, accrues and pays interest, assesses service charges, produces reports, notices, checks, transfers funds and updates customer files and records. This module is where the bank defines and schedules the custom reports. For example, the bank defines the level and detail it wants to show on the Statement of Condition and Income and Expense Report and the General Ledger accounts to be reflected in these reports.

3.3.1.4. Benefits of the Teller Processing Model

This module memo posts deposits, withdrawals, payments and miscellaneous transactions on the system to accurately reflect account activity through the teller line throughout the day.

3.3.1.5. Benefits of the ATM Processing Model

This module allows the bank to setup and maintain its card and transaction processing for ATM and POS. It also allows the bank to setup and maintain customer ATM accounts, cards and relationship accounts. This function can also be performed in the Account Processing module.

Globally, the benefits of the software come in the form of technical improvements in FINABANK's IT Department -- deploying branches faster, cheaper, and better. However, what is most interesting is that these technical improvements are large enough to have an impact well beyond the borders of the IT department and offering strategic competitive benefits to the way that FINABANK conducts its business.

The following Technical benefits have been gained from «software,» the component of the FINABANK's Information System:

· reduction in the average time to create and deploy a new branch

· reduction in the average technical effort to deploy and maintain a branch, and therefore reduction in the average technical cost per branch

· increase in the total number of branches that can be effectively deployed and managed

These technical benefits translated into a very powerful set of FINABANK strategic business benefits:

· reduced time-to-market and time-to-revenue for new branch

· improved competitive financial product value

· higher the FINABANK profit margins by helping its employees work more efficiently

· improved ability to hit market windows

· better product quality and improved FINABANK reputation for quality

· improved scalability of business model in terms of branch and markets

· increased agility to expand into new markets

· reduced risk in branch deployments

· cutting costs by automating routine tasks

· improving customer service levels, perhaps by using ATM that customers can access some financial services- eg allowing customers to withdraw money without needing to contact any member of staff directly

3.5. BENEFITS OF «DATA» FOR FINA BETTER BANKING SERVICES

For large commercial organizations, data security is not only a corporation option, it's the law. Losing sensitive data by way of natural disasters or physical robbery can have severe consequences on FINABANK, possibly demolishing entire organization.

FINABANK's Intellectual property such as its employee and client information,

product descriptions and business outline all qualify as priceless information. These critical details are somehow secured at all times to ensure the integrity and confidentiality of FINABANK. This information is the core of FINABANK and without it, it can't operate. If a criminal is able to access this data, there is no limit to the damage they can inflict.

FINABANK recognizes that its data is vulnerable and can be compromised in the following ways:

Virtual attack - This could be an industry rival that learns to bypass security and gains access to competitive data. It could also be a malicious attack that purposely corrupts data.

Physical attack - Perhaps a disgruntled employee is seeking ways to damage the company by stealing files or purposely destroying data.

For these problems, FINABANK implements multiple forms of security by using hardware solutions such as routers and firewalls. These devices protect essential data by keeping external threats out of the network. Unfortunately, intruders employ numerous attacks, specifically targeted at that information but FINABANK does all its best, so attackers couldn't find a way to penetrate its first line of defense.