DEBRE BERHAN UNIVERSITY

COLLEGE OF BUSINESS AND ECONOMICS

MANAGEMENT PROGRAM

THEASSESMENT OF MANAGEMENT INFORMATION

SYSTEM ON THE PERFORMANCE OF COMMERCIAL BANK
OF ETHIOPIA (IN CASE OF ARAT MEKERAKER BRANCH)

Prepared by:
Name ID.No
1. Degu Gebeyehu------------------------------2561
2. Zelaleme Yibeltal----------------------------2937
3. Mulgeta Agonafer----------------------------3406
4. Yigrmaw Chelate----------------------------2912
5. Yielew Wondfersha-------------------------2905
6. Abiye Gezaw---------------------------------2442
7. Aday Belay-----------------------------------2459
Advisor: Trist (MBA)
Debre Berhan, Ethiopia
2
Abstract
Management information system broadly refers to computer based system that provded
managers with tools to organize evaluate and efficiently manage department with an
organization. The study would conducted on the assessment of management winformation
system on the performance of banking industry commercial bank of Ethiopia in.Arat mekeraker
branch. The researchers’ would been focused on identifying and clarifying the basic
assessment of management information system in Arat mekeraker branch. To conduct the study
the researchers’ would usedprimary and secondary source of data both open ended and closed
ended questioners and interviews. The study would been adapted judgmental sampling
technique to collect full information from or measurable employees of the bank. . The target
population of the study wouldbeen 80 from this the researchers’ try to select 45 samples by
using formula. Descriptive data analysis would to analyze quantitative and qualitative data by
using table bar graph and percentage.

i
Acknowledgment
First of all I would like to gaveglory to our Almighty God or his helping to conduct this
research proposal next I would like to express my deepest thanks to my advisor. M/rs Trist
(MBA) for his constructive comments and professional guidance staring from the begging to the
end of this research proposal. Also I would like to thanks my family I

ii
 Table of content

Contents Page
Abstract.............................................................................................................................................i

Acknowledgment.............................................................................................................................ii

CHAPTER ONE..............................................................................................................................1

1. INTRODUCTION.......................................................................................................................1

1.1. Background of the study......................................................................................................1

1.2. Back grounds of the company.............................................................................................2
1.3. Statement of the Problem.................................................................................................... 3
1.4. Research question................................................................................................................4
1.5. Objective of the study......................................................................................................... 4
1.5.1. General objective.......................................................................................................................4
1.5.2. Specific objective.......................................................................................................................5
1.6. Scope of the study............................................................................................................... 5
1.7. Significance of the study.....................................................................................................5
CHAPTER TWO: LITERATURE REVIEW..................................................................................6

2. Concepts and defection terms......................................................................................................6

2.1 importance of management information system (information technology)..........................6

2.3 Information requirement of an organization.........................................................................7
2.4 information requirement of managers..................................................................................8
2.5 Types of information system................................................................................................8
2.6 Information integration business..........................................................................................9
2.7 The main role of management information system in business............................................9
2.8 An information system frame work for business professional............................................10
2.9 What is an information system?.........................................................................................10
2.10 Information technology....................................................................................................11
2.11 The fundamental role of information system application in business...............................11

iii
 2.12 The role of management information system in banking..................................................12
2.13 The data base and data base management system environment........................................12
2.14 What is data base?............................................................................................................12
2.15 Network basics.................................................................................................................12
2.16 Business network............................................................................................................. 13
2.17 Securitas, ethical and societal challenge of the information technology...........................13
2.18 Business information technology security ethics and society...........................................13
Chapter three: Research Methodology..........................................................................................14

3. Research design.........................................................................................................................14

3.1 Source and types of data.....................................................................................................14

3.2 Data collected tools............................................................................................................14
3.3 Sampling and sampling techniques....................................................................................15
3.4 Method of data analysis......................................................................................................15
3.5 Ethical Consideration.......................................................................................................15
CHAPTER FOUR.........................................................................................................................16

TIME AND COST BUDGET.......................................................................................................16

4.1 Time schedule.................................................................................................................... 16

4.2 COST BUDGET................................................................................................................ 17
Reference.......................................................................................................................................18

Appendix II....................................................................................................................................21

iv
v
CHAPTER ONE

1. INTRODUCTION
1.1. Background of the study
Management information system broadly refers to computer based on the system that provided
manager with tools to organize evaluate and efficiently manage. Department with an
organization in order to provided software that helps in decision making data resource. Such as,
data bases that hardware of resource system decision support system people management and
prif oject management application and any computerized process that enables the department to
run efficiently (Brien, 2006)

Management information system provided managers with reports and in some case online access
in the organization current performance and historical data record management information
system primarily serve the function of planning, controlling and decision making of management
level. (O’Brien, 2006).

The information system is like that nerve system which allows an organization respond
opportunities to be effective it must reach in the farther extremities of the organization. The
banks demand for improved management information system and the policy develop the
improvement of information technology Ethiopia. While the worlds dominated by the province
of completion (Wilson, 1997).

Every aspect of management in the modern age relies heavily on information to thrive. Nothing
moves without information and it is generally believed that information is power and that the he
who has it has power. A system that gs the people in charge of a company the information that
they need to take decisions is called management information system. According to O’Brien and
Maras (2006) currently to succeed in business world companies need information system that
can support the divers’ information and provide performance.

The main objectives of management information system, is helping catalyst to enhance

organizational performance. According to O’Brien and Markas (2006) computer systems can
1
clearly aid organization in the processing of data in to accurate, well presented, up to dateand
cost effective information. Management information system is one of the computer based
information system producing information for managerial decision making.

No organization can survive expand and attain meaning development without information.
(Kenneth Hamlet (1991).

Thus address the most constrain factors, management information system can be considerable as
taking the other factors of banking industry. To deal with this issue one should understand how
the commercial bank of Ethiopia , in Arat mekeraker branch is applying management
information system .Hence this research proposal would been conducted to assess management
information system on the performance of banking industry in Arat mekeraker branch.
(Shelly,C,Rosen,199..

This research paper require toasses management information system on the performance of
banking industry to build strong organization this contributes the development of the country to
same extent.

Therefore, it is imperative to assess the role that information systems played in effective and
efficient attainment of organizational objectives. Hence, this study was designed to examine MIS
practices of commercial bank of Ethiopia at in Arat mekeraker branch.

1.2. Back grounds of the company

Commercial bank of Ethiopia (CBE) is the leading bank of Ethiopia established in 1942.It is
governmental bank that have pivotal role infinace sector. Currently it has more than 1185
branches stretch across the country and has about 13 million holders. It is pioneer to introduced
I'm estern union money transfer services in Ethiopia and has reliable and long standing relation
ships with many internationally acclaimed banks throughout the world.

CBE also pioneer to introduced thanks modern banking to the country. The first bank in Ethiopia
to introduce ATM service for local users. Currently CBE is more than 450 ATM , machines
installed within the capital city of Addis Ababa.

In the year to come CBE would continue to expand its branch network deployed more ATM's
and pos-machine. So that it should enhance convenience to its customers and further improve its
2
service delivery. By enhancing its service delivery and expanding its outreach. The bank is
committed to maintaining its market share. In addition to adding more value to customes.

InArat mekeraker comerial bank of Ethiopia wouldan affilitet that national and grandly banks
established in 1966,at te time of in Arat mekeraker branch had 7 branches.CBE in Arat
mekeraker branch 80 employee had been employees among them 35 employees are females
and 45 employees are males.

1.3. Statement of the Problem

In today’s business worlds there are verity information system such as transaction process
system, management information system, data base and expert support system etc. Each plays
different role in organization has multiple function system. This includes sale system, call center,
financial system and inventory system.

Information consider being important asset for any company in the modern commutative world is
banking service and the customer buying trends and behaviors can be predicted by its analysis as
sales and revenue reports. To be successful organization management information system is
important to simplify the work activates of the employs and increase the organizational profits.
Banking industry is one of the biggest users of management information system. Management
information system have given banks a potential they could only dream, and also given customers
high expectations which may result in dissatisfaction of users. The introduction of management
information system service by the bank has positively impacted the rate at which customers visits
banking halls and service provided (Obiriyeboah, Djan, and kwarteng, 2013).

As Misrak (2015) stated “management information system has a big role almost in all business
sectors.” The role at which information system is playing should be measurable and identified.
Information communication technology is not considered by management in the strategic plan of
the business. Instead, it is perceived as a toll for operation and automation in the organization
(Galleers and leidner,2003). Traditionally, management information system has viewed as playing
only supportive role by its practitioners. Now a days, management information system moved
from its “traditional role as an application of back office support to on offering opportunities for
gaining significant competitive advantage” (Kawani and Gupta,2002). Management information

3
system has been playing operational or supportive role and many companies forgot the other role
of management information system (Galliers and Leidner,2003).
Generally; the major problem of in Arat mekeraker branch related to managing information system
(MIS) would low consideration for update MIS, low application of MIS, weak evaluation with
regarding MIS, low consideration for addressing skilled man power, shortage of information
communication delay. No clear strategic direction for all technology environment, little integration or
coordination between information system and poor quality of information including lack of
consistency, duplication and out of data information. (Obiriyeboah, Djan, and kwarteng, 2013).

However, luck of management information system leads to employees work load, delayed information
job satisfaction in case the researcher motivate to conduct this study because there is low performance
banking service in the bank, the bank has not enough network facility.

The previous study did only consider the strategic direction of the bank. However this study would
consider, not only on the strategic direction of the bank but also considers quality of information and
consideration for update MIS.

1.4. Research question

1. What is the role of management information system to enhance the performance of
commercial bank of Ethiopia in Arat mekeraker branch?

2. How database technology can change the performance of commercial bank of Ethiopia in Arat
mekeraker branch?

3. What is the problem of MIS in commercial bank of Ethiopia in Arat mekeraker branch?

1.5. Objective of the study

1.5.1. General objective
The main objective of this study will to investigate the assessment of management information
system to enhance the performance of banking industry in case of commercial bank of
Ethiopia, in Arat mekeraker branch.

4
1.5.2. Specific objective
The following were specific objective of the study in which the researcher would be address.

 To identify the main role of management information system in the performance of in Arat
mekeraker branch.

 To identify how data base technology is likely to change the activity of in Arat mekeraker
branch.
 To assess the problem bank's management information system (MIS) practice.

1.6. Scope of the study

The scope of the study wouldfocused on the assessment of management information system to
enhance the performance of banking industry in a bank of in Arat mekeraker branch in order to
describe the implications would not include other private and government banks that are found
and around commercial bank of Ethiopia in Arat mekerakerbranch because to do so it requires
huge amount of resources including finance, time, man power and other resources.
Conceptually this study emphasizes only the assessment of management information system on
the performance of commercial bank of Ethiopia in Arat mekeraker Branch. This study assess
start from 2011 up to the present problem.

1.7. Significance of the study

Information system in commercial bank of Ethiopia in Arat mekeraker Branch and what they
will do in the future for service delivery and customer satisfaction issue the result of which
world probability of other scholars to undergo future research on the subject.

 It will help the most common type of management information system requirement in
decision making of manger in commercial bank of Ethiopia in Arat mekeraker Branch
managers, employees to utilize management information system efficiently and
effectively.
 It will help the researcher to improve the experience in conducting research.
 It may be used as reference for other researcher who are interested to conduct study
related to this problem.

5
CHAPTER TWO: LITERATURE REVIEW

2. Concepts and defection terms

In order to understand the different aspect of meaning information system function use need to
review the following terms and concepts.

Management the process

Management is the process of planning, organizing, leading .and controlling the effort of
organization resource members and using all other organizational resource achieves stated
organizational goals. (James, 2005)

Process is a systematic way of doing things I refers to management as process to emphasize

that all managers regardless of their particular or skills engage a certain interrelated activities in
order to achieve their desired goals. (David A. Wilson, 1997)

2.1 importance of management information system (information technology)

Revolutionary advance information technology reinforces economic and social changes that are
transforming business and society. From this revolution emerges a new kind of economy the
information economy. In which the information is the criteria. Resource and basis for
completion old ways and doing business would be challenged and sometimes differed. This
means the passive times. (James, AF2005)

 Information revolution is occurring.

 Information revolution magnifies and accelerates economic transformations.
 Information revolution fuels social transformation (Gerald post,2003
Management information system is generally thought of as an integrated, uesr-machine system
providing information to support operations, management and decision-making functions in an
organization. As a matter of fact, an MIS is an accessible and rapid conveyor belt for
appropriate high quality information from its generation to its users. The hearts of an effective
MIS, there fore, is a carefully conceuved, designed and executed database. Its level corresponds
to adaptive decisions. The characteristics of MIS in practice include:
-an information focus, designed for managers in an organization ;

6
 - structured information flow;
- an integration of data processing jobs by business function, such as production of
MIS, personnel MIS and so on; and
- Inquiry and report generation, usually with a data base.

The MIS era has eventually contributed a new level of needed management information. The
increasing interst in MIS had led to mach activity in developing techniques and soft ware for data
management.

However, it should be noted that the new thrust in MIS is on the uses to which the information is
put and not how it is processed. The emphasis is on managing the information as a resource,
which is important and not on the intermediate processing stage.

2.2 Problem of management information system

- Lake of management involvement with the design of the MIS;

-narrow or inappropriate emphasis of the computer system;

- Undue concentration on low -level data processing applications particularly in the accounting
area;

- Poor appreciation by information specialists of management's true information requirements

and of organizational problem; and

Lake of top management support.

Argyris,C.( 1991) Challenge of management information system.

2.3 Information requirement of an organization

Information is the data that has processed in to meaningful format for use by decision makers
with an organization. Information is vital resource to organization. It is also useful as a means
of communicating with other organization and individual historically the organizations
information speeds were categorized as follow

 Information for planning

 Information for controlling

7
  Information for monitoring performance
 Information for decision as something (Mesfin,2008)

2.4 information requirement of managers

The pyramid of management decision making and control, before considering the information
requirement of management the different level of management must be explained.

The information requirement of managers was depend on to three different levels strategic
tactic and operational (Schul, 1994).

Strategic level management concerned with moniterd and controlled organization as a whole
making decisions in the areas such as opening new shops and factories or investment in new
product lines is done at strategic level.

Tactic level managers are involved with implementing the decisions of strategic managers and
insuring that the different decisions or department within the organization are operating
correctly.

Operational level managers are responsible for control of day to day operations of the
organization reporting queries or problems back to tactical management for decision as
necessary ( James,2004 )

2.5 Types of information system

-informal
-evolve from patters of human behavior(can be complex)
-not formalized (i.e., designed)
-rely on "word of mouth " ("the grapevine")
- manual
- formalized but not computer based
-historical handling of information in organizations,
befor computers (i.e, human" clerks" did all the work)
- some organizations siill use aspect of manual IS( e.g becase computer systems are expensive
or don't exist to relace specialized human skills)
- computer-based
8
 -automated, technology - based system
-typically run by an "IT" (information technology)department within acompany or organization (e.g
,ITS at BC)

Each of the management’s level within an organization uses different types of information on the
individual system is focused on the needs of management with each level and for they have
different objectives contain different information and tend to present that information in different
ways.

Operational level: these systems are provided to support operation manager by taking the
individual transaction that occurs within an organization (Stephen, 2007). Strategic level finally
strategic level system helps management address more long terms issues and problem (Stephen,
2007).

2.6 Information integration business

For business to be successful it needs to integrate information from all aspects of the
organization.

Management techniques of just in time production and mass customization require high degree
of internal integration, as well as strong links to suppliers and customers.

In computer uses in most companies began with transaction process system because transaction
system and considerable experience (Gerald, 2003).

2.7 The main role of management information system in business

The development and use management information system in modern phenomena concerned
planning, better decision making better results. Information system is a professional and
academic discipline concerned with strategic managerial operational activities in the gathering,
processing storing, distributing and using of information management. Information system is a
process that provides information needed to manage organizations effectively. Management
information system is distinct from regular information system applied in operational activities
in organization. An institutions management information system should be designed to achieve
the following goals.

9
  Enhance communication among employs
 Delivery complex material through institution
 Provide an objective system for recording and aggregating information
 Reduce expenses related to labor intensive manual activity
 Support the organization strategic goals and direction.
(Robert schultheis, Marysumner, 1994)
Because management information system supplies decision makers with factors, it support and
enhance the overall decision making process. Management information system also enhances
job performance throughout the situation. Management information systems have changed the
dynamic running of business activities in effectively.

2.8 An information system frame work for business professional

The field of information system encompasses many complex techniques abstract behavioral
concepts and specialized application in countless business and non-business areas, the five
areas of information system.
 Foundation concepts
 Information technology
 Business application
 Development process
 Management challenges

(James, 2005)

2.9 What is an information system?

The field of information system(IS)comprises the following:
-number of types of computer based information system
-objectives
-risk
-planning and project management
-organization
-IS development life cycle
-tool a ,techniques and methodologies
10
-social effects
-integrative model (James A.O,2008).

An information system can be organized combination of peoples, hardware, software

communication network and data resource that collects transforms and disseminates information
system to communicate with each other using with Varity of physical device (hardware )
information processing institution and procedures (software communication channels (networks)
and stored data resource since the cause of civilization(Shelly,1998).

2.10 Information technology

Business professionals relay, on many types of information system that use computer hardware
and software the internet and other telecommunication networks. Computer based data resource
management technologies to transform data resource into endless variety of information
product for customer and professional. (Mansfield, 2002)

System concept

System concept underline the field of information system understanding system concept would
help to understand many other concept in the technology application, development and
management information system (Shelly, G, rosin’s 1998).

System is a group of interrelated component worked together towards a common goal by

accepting input and producing out put an organized transformation process such system
sometimes called dynamic system has three basic interaction components of function such as
input processing and output (Stephen,2007).

2.11 The fundamental role of information system application in business

There are three fundamental reason for all business application of information technology they
are found in the three vital role that information system for business enterprise.

 Support of its business process and operations

 Support of decision making by its employees and managers
 Support of strategies for commutative advantage (Mesfin,2008)

11
2.12 The role of management information system in banking
Importance of management information system on banking
 Management information is always management oriented and keeps in view every level of
management and gets the desired information.
 Integrated refers to how deferent components (sub systems) are actual ties together.
 Useful for planning as every organization making long term and short term plans with the
help of information like sales and production, capital investment, stocks.
 It is important for increasing efficiency.
 Helps manager in decision making.

2.13 The data base and data base management system environment
Most organization data base management system provides the function for organizing
managing and in working with information. In data base and data base management system
environment the data base contains the information and the data base management system is the
collection software tools the supports management of data base and information.

Data base management system (DBMS) is a collection of programs which enables its users to
access databases, manipulatdata, reports/representation of data base.(Charles Bachmen's 1960s)

2.14 What is data base?

The term data base is perhaps one of the most of over used and misunderstood term today’s
business environment.

Important characteristics of data base

 Collection of information
 Logical structure
 Logical ties in the information
 Built integrity constraint (Rama, 1998)

2.15 Network basics

When you connect computer so that they can share information software and hardware you
have created network computer which you simply refers to connect work two or more computer
connected so that they can communicated with other (Andrew, 2004).
12
2.16 Business network
A business network business very few computers. You had probably use client or service
network, instead of peer to peer network.

It networks in which one or more computer are server provides service to other computer which
are called client. The servers have hardware, software and information that the client computer
can access.

Client or server networks differ according the three factors

1. Where the processing for presentation of information occur

2. Where the processing logic or business rule occur logic deal with processing that the
software implement
3. Where the data management and information data base in the stored and retrieved

2.17 Securitas, ethical and societal challenge of the information technology

There is no question that the use of information technology in business presents major security
challenges posse serious ethical question and affect society in significant way (Gerald, 2003).

2.18 Business information technology security ethics and society

The use of it in business has had major impacts on society and these raises ethical issues in the
areas of crime, privacy individuality, employment, health and working condition and it is
important to understanding that information technology has had beneficial results as well as
detrimental effects in the society and in people in each of these areas. (James A.C, Brien, 2006)

13
Chapter three: Research Methodology

3. Research design
The study intends to describe the assessment of management information system to enhance the
effectiveness of commercial bank of Ethiopia in Arat mekeraker branch to achieve the
objective of the study, which mention above the research design would been descriptive at the
interest of describing the existing situation and to come up with certain possible mechanisms.

3.1 Source and types of data

The researchers’ woulduse both primary and secondary data in ordered to achieve the research
objective and get the required information. Primary data would been enobtained by
useddistributed questionnaires to if he organization employees and interview. In the
questionnaire the researchers’ wouldused both open and close ended questionnaires. In the
interview the researchers’ will use structural and unstructured. The secondary data will be
collected from the organization document, annual report and other available sources.

3.2 Data collected tools

In this research, the researchers’ wouldyou your different instrument to gather information due to low
cost, due to consideration of time the researcher used questionnaire and interview method to collect
primary data. Questionnaires would beso both open ended and closed ended questions with flow of
questions from easy to subjective in clean and precise manner. Open ended questions take
respondents to formulate their own answer while closed ended question ask respondents to pick their
own from a given alternatives. An interviewthe would been conducted with the manager of the
organization and the most unstructured interview would been used in this study. Because unstructured
interview ill simpler and allow to the researcher free to ask as their ideas than structured and semi
structured interviews. The questionnaire would distributed to the employees who works commercial
bank of Ethiopia, in Arat mekeraker branch .And different staff documents are secondary source of
data and also the researchers’ would used the organization published and unpublished document,
report and magazine.

14
3.3 Sampling and sampling techniques
The total population of commercial bank of Ethiopia Arat mekeraker branch is 80 employees;
from this the researcher wouldselected 45respondents by using judgmental sampling techniques
and the following formula.
By taking the error term of 10 percent.
n=N/1+N (e) 2
Where n=sample size
N=total population
e=error of sample
I=80/1+.80(0.1)×(0.1)≈ 44.45~45

3.4 ethod of data analysis=

The data collected through questionnaires are carefully takes in the process of analysis. These
would be done through tabulation percentage desiccations to make descriptive data analysis that
can produce some type of information use for integration.

3.5 Ethical Consideration

The researchers’ would been free from unethical behavioral means that the aggressiveness, hostility side so
as to getting respondents consent and allowing them to leave any time they wants .And also, the researcher
would politely ask the respondents and gav0 high degree of politeness for target study to conduct and
information to be delivered to the subject of study only those but also the information obtained from
respondents in the study be kept confidentially

CHAPTER FOUR: Data presentation and analysis

This study tries to show the assessment of management information system to enhance the
performance of banking industry in commercial bank of Ethiopia in Arat mekeraker
branch this analysis based on primary data collected through questioners and interviews
about information process in Arat mekeraker branch. To come up with the required result
the researcher has used the questioners as a data collection tool and distributed to 45
employers of the bank.
15
The questioner was first distributed to respondent and all of them have full completed and
collected.
Those the response rate was 100% completed. In this part of the study, the data collected
through questioner are presented and analyzed. The researcher present and analysis of the
data based on the number of questionnaires correctly filled and returned from respondents.

Table 4.1 presentation of personal information

NO Item Number %
1 Sex
Male 25 70

Female 20 30
Total 45 100
2 Less than 25 year 18 40

26--35 16 35.5

16
 36--45 8 17.7

46--50 3 6.7

Total 45 100the
3 Level of education
12≥ grade completed __ __
Certificate __ __
College of diploma __ __
First degree 22 48.9

Second degree 10 22.2

PhD 5 11.1

master 8 17.8
total 45 100
4 Work experience
<1 year 12 26.7
1—5 year 15 33.3
5—8 year 11 24.4
>8 year 7 15.6
total 45 100

Source: Questioner, 2011

Based on the above data presented in table 4.1 the following respective analysis and
interpretation could be given concerning from 1of 45 respondents 25(70%) of them are
male and 20 (30%) of them are females. According to employees profile Arat mekeraker
bank dominated by male employees. Therefore the manager expected to be the number of
employee’s ratio between males and females because males and females have equal
capacity to do work in the bank.

17
Concerning on the age of respondent in item two (2), shows that 18(45%) of the
respondents are less than 25 years old, 14(35 %) of them are 26—35 years old, 5(12.5 %)
of them are 36—45, 3(7.5%) of them are (46—50) years old. This shows that most of the
employers are i bank are young age people who are the working class people. Which
return implies potential against for Debre Berhan bank?
Regarding to item number three (3) of table 4.1 concerning with level of education for the
respondent out of the total respondent there is no 12 grade completed, certificate, and
College of diploma respectively and 21(52.5%) of the total respondents are first degree
holder 9(22.5%) of the respondents were second degree, 7(17.5) of the total respondents
are master 3(7.5%)the total respondats are PhD from this concludes that the Debre Berhan
bank have enough adequate man power, because most of the respondents have first degree
holder. And based on the above table item No four (4) 11(27.5%) of the total respondents
are 1—5 year experience, 35(37.5%) of the respondents are more than five year
experience, 10(25%) of the respondents are more five (5)years, 4(10) more than eight (8)
years’ experience. So the majority of workers are greater than five years’ experience.
Since employees of Debre Berhan branch are more experienced. They performed
information management effectively
Table4.2 if the information system changes quality service delivery
No Item %
Number
Are information system change the bank ability given quality
1 service delivery
Yes 25 62.5
No 15 37.5
Total 40 100

Source: Questioner, 2011

18
Based on the above table 4.2 25(62.5%) respondents are believed that information systems
changes the bank’s ability to give quality service and, the rest 15(37.5%) respondents
stated that information system does not change the ability to change the ability to give
quality service delivery, this shows that information system has more vale for the bank to
improve service delivery for its customers. Because, majority of respondents are approved
that information system helps to change the ability of the bank service delivers

Table 4.3 Facilitate banking service delivery

Item Number %

How much MIS Facilitate banking service delivery

2 Very high 10 25
High 15 37.5
Fair 7 17.5
Low 5 12.5
Very low 3 7.5
Total 40 100

Source Questioner survey result, 2011

Based on the above table 4.3 the degree of management information system to facilitate
banking service delivery, 10(25 %) of the respondents believed that very high, 15(37.5%)
19
of the respondents believed that management information system facilitate the bank
service delivery high, 7.(17.5%) of the respondents believed that fair, 5(12.5%) of the
respondents answered low, 3(7.5%) of the respondents were believed management
information system facilitate banking service delivery is very low. Therefor management
information system banking service delivery is high.

Table 4.4 Banking approach to perform information system management

%
Item Number
The Banking approach to perform information
system management
Very high 10 25
High 8 20
3 Fair 15 37.5

Low 5 12.5

Very low 2 5
Total 40 100

20
Source: - questioner survey result, 2011
Based on the above table 4.4 the bank attitude towards management information system10
(25%) of the respondents believed very high 8(20 %) of the respondent stated as high,
15(37.5%) of the respondent also stated as fair, 5 (12.5%) of the total respondents were
answered as low 2(5%) of from the total respondent suggests very low. This shows that
the bank has positive attitude towards managing and implementing information to
facilitate working and service delivery for its customer.

Table 4.5 the banks attitude towards management information system

No Item Number %
The Banking approach to perform information system
management
Very high 7 17.5
High 9 22.5
Fair 15 37.5

Low 6 15
Very low 3 7.5
Total 40 100
Source questioner survey result, 2011
Based on the table 4.5 the bank attitude towards management information system
7(17.5%) of respondent believed very high 9(22.5%) of the respondents stated as high
15(37.5%) of the respondents also stated as fair 6(15 %) of the total respondents were
answered as low and 3(7.5%) of the total respondents suggested on very low. This shows
that bank has positive approach to perform information system management towards

21
managing and implementing information to facilitate working and service delivery for its
customer.

Table 4.6 the role of management information system for employee work performance

Item Number %

Do you think that aware of MIS for the fresh man employees Improve Service
delivery
4 Yes 26 65
No 14 35
Total 40 100
Source questioner survey result, 2011
Based on the above table 4.6 the role management information system for employees
work performance, for the table 4.6 , 26(65%) of the respondents are believed that the
awareness of management information system for fresh man employees service delivery
and the rest 14(35%) of the respondents stated that awareness of management information
system does not improve service delivery of the bank. This shows that creating awareness
towards management information system for fresh man bank employees is valuable to
improve service delivery of the bank.

22
Table 4.7 Information system critical use for evaluation
2 Item Number %

How information system critically use for evaluation of

work performance in the bank
Very good 13 32.5
Good 15 37.5
Low 7 17.5
Very low 5 12.5
Total 40 100
Source questioner survey result, 2011
Based on the table 4.7 the degree of information critical use for evaluation of employees
13(32.5%) of the respondents stated that very good, 15(37.5%) of from the total
respondents approved as good, 7(17.5) of respondents stated that low, 5(12.5%) of the
total respondents suggested on very low.
Table 4.8 do you evaluate employee effectiveness
2 Item Number %
How do you evaluate employee effectiveness by using data
base technology
Satisfied 21 52.5
Dissatisfied 14 35
Neither 5 12.5
Total 40 100

Source questioner survey result, 2011

Based on the table 4.8 the degree of management information system effectiveness
regarding employees performance evaluation 21(52.5%) of the respondents believed that
satisfied. So, since the majority of respondents, 14(35%) of the respondents believed that
23
 dissatisfied and, 5(12.5%) of respondents are neither. So, since the majority of
respondents approved, data base technology has positive impact regarding to evaluate
employee performance.
Table 4.9 Information providing by the bank

Item Number %
Are Information providing by the bank is effective for employees

4 Yes 25 62.5
No 15 37.5
Total 40 100
Source questioner survey result, 2011
Based on table 4.9 for effectiveness of information that provided by the bank to employees
25(62.5) of the respondents approved that information provided from bank’s has positive
impact for the information, the rest 15(37.5%) of the total respondents believed that some
information that provide us for the bank has no value improve our efficiency. Therefore,
based on the above assumptions of employee’s information that provides to employees by
the bank is valuable.
Table 4.10 challenge of IS
No respondents percentage

1 What challenges are in IS processing at commercial

Bank of Ethiopia at Dilla branch?
Delay in process 12 30
Data redundancy 8 20
Delay in communicant’s 16 40
Inconsistency 4 10
Total 40 100%
Source from questionnaire 2011

24
As indicated above in a table 4.10, the majority of the respondent 16(40%) conformed
that there is delay in communication 12(30%) of the delay in processing, 8(20%) are
data redundancy and also 4(10%) are inconsistency. According to the respondent
16(40%) of them fall to that the problem occurs in delay in communication. This IS due
to insufficient exchange of information noise in communication channel and too much
information. In addition from the interview and open ended question another problem
such as missing data, case of lack of proper management and know how. Therefore
any one can inter that problem of IS in Debre Berhan bank faced by above for problem
at most. Mention any possible obstacles for successful implementation of MIS in Debre
Berhan branch? Almost all the respondents have similar ideas regarding to the possible
obstacles for successful implementation of MIS as:-
Communication delay

Shortage of skilled manpower

Shortage of information

Network break down

Lack of MIS tools and manuals

Table 4.11 the role of management information system in order to facilitate work
efficiency
25
 No Item Number %

The role of management information system in order to facilitate

work efficiency of the bank
Very high 10 25
High 15 37.5
Fair 11 27.5

Low 4 10
Very low ---
Total 40 100
sours from questionnaier 2011
According to the above table 4.10 the role of management information system in order to
facilitate work efficiency in Debre Berhan bank 10(25%) of the respondents believed that
very high 15(37.5%) of the respondents were believed that high, 11(27.5%) of the total
respondents stated that fair and 4(10%) of the total respondents stated that low
management information system has role to the bank for improving work efficiency. This
shows that availability of management information system has an important role for the
bank to improve its work efficiency towards service delivery.

4.1 Analysis of interview questions for the manager

The unstructured interview questions are prepared to collect information related to
management information system from Debre Berhan bank.
The impact of management information system to enhance the performance of
banking industry in Debre berhan bank.
The manager of bank side, that the contribution of management information system
in banking industry are to encourage the employees work performance and solve

26
the problem, to develop and gain profit information in the bank and System and to
increase the relationship between the customers and employees of the bank.
Transaction process system of information should be taken as available for Debre
Berhan bank
The manager of the bank recommends that current financial based on transaction
process system of information are more valuable because, facilitate the awareness
of employees performance towards the banks financial flow securities and
clearance of an activities through the entire end to end, cross border to transfer the
system in Debre Berhan branch as a result of this information the bank could be
more efficient and effectiveness of increase employees moral.
The main role of management information system in the bank
The development and use of management information system in modern
phenomena concerned with the use of appropriate information that will lead to
better planning, better decision making and better results. Information system is a
professional and academic discipline concerned with the strategic managerial and
operational activities in the gathering, processing, storing, distributing and using of
information, and it is associated technologies in society and organization
information system is implemented within an organization for the purpose of
improving the effectiveness and efficiently of that organization.
How employees and their administrative managers strengthen is know how based
on management information system?
The managers believed that strengthen their know how and administrative system
by using new technology to develop their work performance, doing together to help
their customer by giving information training, workshop and other similar capacity,
building efforts and in general create close relation to perform fast banking service
delivery and to improve effective work performance of the bank.
What is your recommendation regarding the way to use effective information?

27
 The manager of the bank recommends that the following ideas are help to develop
employees for hoe know, effective use new technology, prepare use time,
delivering appropriate information for employees, giving training for staffs about
management information culture.

CHAPTER FIVE: Conclusion and Recommendation

This chapter presents a brief conclusion and recommendation review the major
finding also explored the implication of the findings in organized and sequential
arrangement to get the required information based on the response given by
respondents following conclusion and recommendations of drawn for finding.
5.1 conclusions
Under this sub topic the researcher wants to put the conclusion of this particular
study and forward to readers. The conclusion is the part of the study collected and
analyzed from Debre Berhan branch.

28
 The majority (65%) of the total respondents is male respondents and the
representation of female employers is very low. So the bank workers more on
males participation.
Most of the employers of Debre Berhan branch first degree holders and they are
found the productive age group. Most of them are male and younger. Concerning
the study, the availability of management information system has an importance for
employers. According to this study the employers used to effective information
system and that provide by the bank.
Regarding to the respondents experience, majority (57.14%) of the respondents
serve the bank more than five years.
Majority (40.81%) from the total respondents responded that management
information system has positive contribution towards the bank performance.
The overall problems of management information system are luck of sufficient
awareness for each workers of Debre Berhan branch.
The bank delivers necessary information to the customers in Debre Berhan bank.
The findings of this study are technology can change management information
system.
The importance of technologies can understandable the information system
by top management, while the top management is committed to improve the
existence of management information system and provides necessary
information for employee to do more.
The role of management information system is very high in order to
facilitate work efficiency of the employers in Debre Berhan bank.

5.2. Recommendations
After the above observation, the following could be provided as recommendation for the
assessment of management information system to enhance the performance of banking
industry.

29
Having gone through this management information system of activity in Debre Berhan
branch the following recommendation will be given.
As findings shows the set distribution of the respondents would be male. In this
case the bank suggests to attract female, when the requirement and select
candidates they must reduce the required grade points to females than male. And
also creates good relationship with woman association to attract qualified female
employees.
Debre Berhan bank prime focuses to given practice the basic management
information system that is sense those are major information system to stand as a
banking industry. Therefore, top management should give additional emphasize to
improve management information system.
The management information system unit should be appropriate
establishing its staff there should be section developing new systems
not only request basis for assessing and acquiring new technology for
asserting corporate information needed and the like.
The bank should pay attention to evaluate employees work performance by using
current information.
The bank should be providing the information system to employees for the
successful of banking industry.
The bank should be delivered the necessary information for employee’s service
mentality because; information delivery can facilitate the bank performance.
The Debre Berhan branch better distribute the management information system for
its employees without discrimination. Because all employees are responsible for the
success of the bank by getting enough information about management information
system.
The organization provided all information to its employees, because without
knowledge and skill of employees about the information system cannot do more for
the bank this effective the bank cannot achieve its mission and objectives.
30
 The bank has not enough network facility therefore the bank is advisable to arrange
the network access, because without network connection the bank activity is
stopped.
The manger improves additional awareness of management information system for
employees to minimize work load of employees.
The bank approach to perform management information system would fair. This
means the bank work some to performs but, this is not enough so, the bank should
work to reach management information system in high level.
The MIS should be further enhanced in order to accommodate the bulky reports
generated by other branches and functional structure to solve the load and the
top management of Debre Berhan branch should designed well organized and
developed information (IS) to make appropriate decision as batter than the
current decision making process in terms of accuracy and reliability.

Referebce
David, A, (1997 management information system, 2ndedition, great bruam.

31
Davis GB, and Olson M, H 1984 management information system conceptual foundations,

structure and development, (2nd edition, New York).

Gerald, post,(2003), management information system3rdedition New York.

James A.f, (2005) management information system 6thedition, New York.

James A.O, Brien), (2006) management information system 7th edition New York

James A.O, Brien, (2004) management information system 6th edition New York

James A.O, Brien, (2008) management information system 8th edition Francis

Mesfinfiker, (2008) management information system1st’ edition Addis Ababa

Pant, hsu, c (1995) strategic information system, A Rived, information resources

management association international conference may 29, 2014 21-24, Atlanta.

Ramakrishna, GE, (1998), data base management system3rd edition India.

Shelly, C, (2004), system analysis, 3rdedition New York.

Stephen hangs (2002), management information system for the information age,

3rdedition. Boston burr Ridge

32
 Debre berhan University

Faculty of business and economics

Department of management

Questionnaires to be field by employees

This questioner is prepared to collect data regarding the assessment of management
information system to enhance the performance of banking industry in debre berhan
branch. This assessment is under taken for partial fulfillment of the requirement for the
award of BA Degree in management. It is use for only academic purpose. And it is very
help full for the fulfillment of the research objective. Therefore, cordially request to help
me by filling this questionnaire as possible. Thank you in advance for your kind
cooperation.

Instruction

 No need of writing your name

 You can give more than one answer
Put “A” mark for your choice in the box provided
Part one: general information
 Sex: male  female 
 Age<25 years 26—35 years  36—45 years  45—50 years above50 years

 Level of education : 12 grade completed  Certificate collage of diploma 

First degree  second degree  masters  PhD other 

 Work experience: <1 year  1—5 years  5—8 years >8 years 

33
 Part two: questioner related to the impact of management information system
 Is an information system changing the bank’s ability to give quality service
delivery?
Yes  No
 If the answer is “yes” for the above how it changes
……………………………………………………………………………………………
……………………………………………………………………………………………
………………

3. How much management information system facilitates banking service?

Very high High  Fire  Low  Very low 

 The banks approach to perform information system management is rated as?

Very high  High  Fire  Low  Very low 

 Do you think that aware of management information system for freshman bank
workers improve service delivery? Yes  No 
 If your answer” yes “for the above question how it improves?
……………………………………………………………………………………………--
------------------------------------------------------------------------------------------

6. How information system critically use for evaluation for evaluation of workers
performance in Debre berhan bank? Very good  Good  Low  very
low 

7. How do you evaluate employee effectiveness by using data base technology?

Satisfied  dissatisfied  neither satisfied nor dissatisfied 

8. Are all information provided by the bank for the employee is effective for you?

Yes  No 
34
9. If the answer for the above question is “yes” for how?

……………………………………………………………………………………………

10. What are the challenges of information systems processing at Debre berhan Bank?
Delayprocessing  delay in communication 

Redundancy  inconsistency 
11. The role of management information system in order to facilitate work efficiency.

Very high  High  Fire  Low  Very low 

Appendix II
Interview questions for the manager

 What is the assessment of management information system to enhance the network

facilities of banking industry in debre berhan bank?
 Is transaction processing system of information should be taken as available for
debre berhan bank?
 What is the main role of management information system in the bank?
 How employees and their administrative mangers strengthen is know how based on
management information system?
 What is your recommendation regarding the way to use effective information?

35