CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF STUDY
The greatest innovation that has
taken place in the twentieth century is in the realm of information Technology.
This is currently made possible by the introduction of the digital computers
which has been observed in the field of communication to be increasingly
inseparable from communications. These linkages often referred to as
convergence is driven by technology and amplified by business trends. Faster
growth in network systems that use communication links to connect subsidiary
system (nodes) which may send and receives, direct and redirect information.
Talking of the internet a couple of
years ago would have sound like a fairytale but today the internet is pervasive
in almost every field of human Endeavour changing the fundamentals of how we
conduct national as well as international businesses. Few years of its
existence, the internet has shown that it can deliver the long sought after
goal of electronic commerce.
It is worth that companies in the
developed countries world-wide have recognized the business potential of the
internet and are getting connected to the network of networks in their
millions.
The financial institution (Bank) is
one of such organizations. Banking constitutes one of the most prominent life
wire for Socio-Economic grow and development in any given nation, it supports
and assists in the supply of long and short term loan, accepts both current
sowing and fixed deposits, both foreign transactions, advice and facilitates
transactions between client, workers, agents, firm, buyers and seller by
providing payment services, not excluding the issue of undertaking risk on
behalf of their clients, only to mention but a few.
The internet having found its
application and acceptance in the banking procession has particularly put the
banking industry on an accelerating pace of development. The technological
highway (the internet) has become an enabler for Banks in
achieving high level productivity and
in handling volumes of transaction which would have been impossible without the
use of on-line banking (E-commerce).
The technology facilitates linkages
with clients both through the provision of information and quality service
delivery, as well as in reducing barriers to entry into payment systems retail
banking. Internet banking allows clients to engage in informal transaction
relationship which would have taken long distance travels or movement of
documents with the attendant risk of loss. With the online banking (internet)
you can at your convenience, at home and at any time review account balances
and transactions, transfer funds, receive and pay bills, down-load transaction
services and contact customer services just to mention but a few.
An over view of the benefits and prospects of the on-line banking
suggest that for banks to be relevant to their customers in term of the
services they provide in the twenty-first century and in the future, must
append this services provided by E-commerce in the banking system in order to
stay in competition. Now the on-line banking is the one thing bank should get
up and invest in internet technology to reap bounteously the benefit accruing
from internet banking.
While Internet continues growing and
gaining popularity among crowd, mobility represents new challenges to web
designers. Wireless access is a new challenging mission in the current Internet
era, with different demand for information by using less efficient terminals
and networks. What really motivated our choice of topic was the fact that
Information and Communication Technology (ICT) is not yet fully applied in
First Bank Abakiliki and in our economy as a whole. We felt that First Bank
Abakiliki should also exploit the use and application of this wireless system
in order to enhance their operations effectively and efficiently.
First bank Abakiliki has faced a lot of problems in
manual way of banking because it courses delay and creates a lot of problem to
both customers as they waste their useful time in the banking hall. This delay
in banking services has put grudges in the minds of most workers making them do
their work reluctantly.
Due manual way of banking, customers‟ line up for hours waiting
to withdraw or deposit money have been encountered so far by the management.
Having seen all these problems the management
encounters so far, there is need for online banking system in order to
eradicate all the problems faced by the management.
Computer is an electronic device that can perform
millions of jobs at a faster rate. It can accept data, process, produce output
and store the result. Computer is an efficient tool that increases peoples’
capacity for intelligent work. It also handles multiple information without
stress. Looking at these functions performed by a computer, I then deem it
necessary and important develop an online platform for banking system in order
to eradicate the problems faced by the existing system by using computer
system.
1.2 STATEMENT OF PROBLEM
In banking industries today, queuing
has become the order of the day, customers‟ line up for hours waiting to
withdraw or deposit money. This creates a lot of problem to both customers as
they waste their useful time in the banking hall. The management also wastes
their time as they run around to find solution to those problems. Also it is
observed that customers cannot withdraw money any time they want as banks has
their working hours. This is a big problem as needs can arise at any time and
human beings will always like to have those needs solved. Also money deposited
into accounts at times takes some hours to reflect in the persons
account balance hence making banking
operations slow and unhealthy for business growth.
Information and Communication
Technology is still under utilized in First Bank Abakiliki and in our society
as a whole. First Bank Abakiliki lacks
effective ICT capacity for dynamic wireless operations. On analyzing the
existing system of branch, the following problems were identified:
i.
First Bank Abakiliki lacks the Information and
Communication Technology (ICT) capability to wirelessly operate and interact
with their database.
ii.
Presently, customers cannot access their Bank
account Information online or with their GSM handsets, either to check or
verify the status of a transaction without much official steps.
iii. First Bank Abakiliki cannot automatically contact their customer whose account number has been credited or debited as a result of lack of automated system.
1.3 AIM AND OBJECTIVES OF THE PROJECT
The
aim of this research is to design and implement an Online Banking System. The
specific objectives include:
i. To generally enhance the operational capacity of First Bank Abakiliki via ICT.
ii.
To design a friendly web-site which will help customers to access their bank
account information online with their GSM handset either to check or verify
their status of a transaction.
iii.
To design an automated system that can automatically contact the customers when
their account number has been credited or debited
1.4 SIGNIFICANCE OF THE STUDY:
The
most important aspect of the study is that it is going to ensure a total
computerization of the banks activities to start using indigenous software in
their operations. The study will further advance the course “computer
technology” as applicable tools as regards to efficiency, security and
reliability.
1.5 SCOPE OF THE PROJECT
This project will provide an online
banking database using MySQL database for First Bank Abakiliki that can be
accessed wirelessly from any branch area at any time. It features both GSM
based wireless database access and Internet based wireless access for WAP
enabled cell phones. Other features include ability to receive feedback
wirelessly from any stakeholder and also the ability to provide answers
wirelessly to frequently asked questions and other enquiries. It is hoped that
its wireless database access feature would greatly enhance the operational
capacity of First Bank Abakiliki in a cost effective manner.
1.6 LIMITATION OF THE STUDY
Hard time is not a new phenomenon to
an ordinary Nigerian but to the student researcher, it is even worse. Time and
finance posed a lot of constraints to the work.
Consequently, difficulties were
encountered during the collection of primary data. Most of the administrators,
system engineers and clerks visited reluctantly refused interview for one
reason or the other and being referred to, the organization from one personnel
to the other not excluding even security men.
Books related to this topic are relatively
scarce and could only be gotten from the internet, which took a lot of time and
money.
However, with persistence and
perseverance reasonable facts were finally obtained.
1.7 DEFINITION OF TERMS
Analysis: Breaking a problem into successively manageable parts for
individual study.
Data
flow: Movement of data in a system from a point of origin to specific
destination indicated by a line and arrow.
Design: Process of developing the technical and operational
specification of a candidate system for implements.
Implementation: In system development-phase that focuses on user training, site
preparation and file conversion for installing a candidate system.
Operation
System: In database – machine based software
that facilitates the availability of information or reports through the DBMS.
Password: Identity authenticators a
key that allow access to a program system a procedure.
System: A regular or orderly arrangements of components or parts in a
connected and interrelated series or whole a group of components necessary to
some operation.
System
Design: Detailed concentration on the technical
and other specification that will make the new system operational.
System
Testing: Testing the whole system by the user
after major programs and subsystem has been tested.
Unit testing: Testing changes made
in an existing or new programs.