System Analysis and Design

Muhammad Faisal Amin

Muhammad Mohsin
Adil Hassan

02
17
09

Management Information System,

Mam Amna Lodhi,
10th Feb, 2016
Table of Contents
List of Table
List of Figures

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System Analysis and Design

1.0

Introduction
1.1
Background of the Study
1.2
Statement of Objective
1.2.1 General Problem
1.2.2 Specific Problem
1.2.3 General Objective
1.2.4 Specific Objective
1.3 Significance of the Study
1.4 Scope and Limitation
2.0 Methodology of the Study
3.0 Data Gathering Procedure and output

4.0 The Existing System

4.1 Company Background
Allied Bank Limited was the first bank, established in Pakistan. Before independence, in 1942
it started out in Lahore, the name of bank was Australasia Bank; in 1974 it was renamed to Allied
Bank of Pakistan Limited and later on Allied Bank Limited in 2005. In August 2004, the Banks
ownership was transferred to an Ibrahim Leasing Limited and Ibrahim Group because of capital
reconstruction.
Today, with its existence of over 60 years, the Bank has built itself a foundation with a strong
equity, assets and deposit base. It offers universal banking services, while placing major
emphasis on retail banking. The Bank also has the largest network of over 800 online branches in
Pakistan and offers various technology based products and services to its diverse clientele.
Vision
To become a dynamic and efficient bank providing integrated solutions in order to be the first
choice bank for the customers.
Mission

To provide value added services to our customers

To provide high tech innovative solutions to meet customers' requirements
To create sustainable value through growth, efficiency and diversity for all stakeholders
To provide a challenging work environment and reward dedicated team members
according to their abilities and performance
To play a proactive role in contributing towards the society

Core Values

Integrity
Excellence in Service
High Performance
Innovation and Growth

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System Analysis and Design

Company History:
Under the Chairmanship of Khawaja Bashir Bux bank was esblished in December 1942 as the
Australasia Bank at Lahore with a paid-up share capital of Paki Rs.0.12 million, and his business
associates, including Abdul Rahman Malik who was amongst the original Board of Directors, the
bank had attracted deposits, equivalent to PKR 0.431 million in its first eighteen months of
business assets then amounted to PKR 0.572 million. Today Allied Bank's paid up Capital &
Reserves amount to Rs. 10.5 billion, deposit exceeded Rs. 143 billion and total assets equal Rs.
170 billion.
Reason for selecting Allied Bank:
Reason of selecting Allied Bank is that, it is one of the leading bank in Pakistan with
international standards and which keeps on innovating and secondly because we have a reference
in this organization which help us in extracting the required information in this project more
easily and without much difficulty.
Personal
Banking Services

4.2 Description of the System

Almost one year ago Allied Bank replaces UNI BANKING to TEMENOSE (T24). T24 is the
latest information system which is now a day mandatory from State Bank of Pakistan for every
new bank.
With the help of new information technology Allied Bank Limited records the daily transactions,
and that took place from all over the Pakistan into a centralized database in real time and now
there is no batch processing is taking place in Allied Bank all over the Pakistan. Every bank
branch is an online branch and is directly connected to the centralized server to keep the data up
to date to avoid any problems. Now information system of Allied Bank makes thousands of
transactions per day. And this information system makes whole process more quick, reliable and
simple. And employees can easily connect with other branches; customer service gets improved,
online banking emerged and lot of other benefits.
Now a day Allied Direct Internet Banking is an innovative online banking service. Allied Direct
Internet Banking offers you good policy to manage and control your banking and finances (when
you want to, where you want to. Now its Simple & Convenient, Secure and Faster. So, just get
clicking.)
Information System:
The MIS used at Allied bank Limited is Oracle Database 10g. Oracle Data base 10g has
completely transformed the outlook and operations of ABL. It has transformed the structure such
that now ABL's IS does not consist of fragmented machineries working individually to attain
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System Analysis and Design

goals but they now function as a fused collection of servers, storage devices, and systems to meet
the changing processing needs of ABL. This resulted in dramatic cost reduction, overall
efficiency and enhancement in the quality of customer service. It has also reduced hardware costs
by efficient networking and amalgamating of functions performed by various servers and
systems. Cost reduction also took place because Oracle 10g eliminated the need for the
purchases and upgrading of management softwares and tools and third party interventions as it
was a complete management solution in itself.
Through TPS all routine information are collected in Allied Bank. All details of TPSs HUBs go
into Management Information System. This information is then summarized in the form of
reports for the manager so that they can check whether the firm is working properly or not. If
there are some flaws then they take control measures to fix those flaws. In one branch all daily
transactions are recorded and all reports are prepared on daily basis. TEMINOS generate daily
information report at the end of the day.
Organizational transaction processing system in T24:
TPS is a type of information system. It collects, store, modify, and save the transactions of
organization. One transaction is an event that generates and modifies data that is eventually
stored in information system. TPS monitors transaction programs. Basic purpose of TPS program
is that must be left in a consistent state. TPS that Allied Bank is using is effective, that systems
process is fast and rapidly, to ensure the smooth flow of data and the progression of processes.
Payroll Transaction Process System:
TPS in Allied Bank is for to get information and record of the employee payroll and calculate
his/her annual earning. It get information about the employee from the employees department
and also from general ledger and send it to payroll TPS. From where it links that information
with the previous record and prepare a report which is forwarded to management. Management
takes notice of the record of the employees efficiency to work and may declare bonus or
incentive or demote him/her. This report is checked and approved by the branch manager after
which check is issued to the employee. And at the time of salary or any incentive or benefits,
when that check is cashed, the record is update in the general ledger as well as the master payroll

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System Analysis and Design

(HUB).

New Customer Identification:

Allied bank is using TEMENOS banking system which is connected to NADRA. Banks
information system automatically verifies customers ID number, address, income, and city
name. Which helps the management to identify whether he/she is using his original ID card or
not. Whenever new customer come for open an account customer fill and form named KYC,
abbreviation of KNOW YOUR CUSTOMER. Operational manager enter all date of that form
into system which contains actual worth and expectations of deposit and after that manger enter
his/her comment which he/she knows personally about that customer. Customer due diligence
named report related to that customer goes to Head office and State bank also have access to that
customer, through which State Bank knows the credit history of that customer.

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System Analysis and Design

Employees Record:

All employees having their personal login IDs which allotted at the time of employment and
they are supposed to login when they enter the bank and logout on leaving. Their accounts are
also connected with the HUB which continuously makes record of their hours spent in the bank.
Moreover, the bank has their own setup which makes records of all the transactions made by an
employee. All these help management to monitor the working efficiency of an employee.
Through this information system management also have record of, how many customers served
by whom employee. And they also have information through this system that how many
customers convinced to open an account by whom.
Real time Banking:
When a customer withdraws a sum of money from his or her account the transactions are
processed and the account balance updated as soon as possible, allowing both the bank and
customer to keep track of funds. When a customer goes to bank for withdraw or deposit the cash
through cheque or cash then there are certain steps. We will just describe withdraw transaction.
First step on the time of withdraw through cheque is, first cashier made entry of that cheque into
information system (put cheque number, name of a/c holder) and then cheque is scanned into
FLATBED PRINTER. And after that information system configure instrument number, amount
in words & digits, and signature etc. If entered and scanned information will be same then
system will proceed to next step. If transaction is of less than Rs.25, 000 then it needs the
verification of just one person. And if cheque is of more than Rs.25, 000 then it needs the
supervision of two supervisors. In case of more than twenty five thousand rupees transaction,
system of Allied Bank generates one supervision code. One person made transaction and
second supervises. And after configuration transaction is done. TEMENOS system of Allied
Bank shows option of debit and credit at the time of transaction. And when transaction is made
then the new transaction is send to Lane. Date and time of transaction automatically entered

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System Analysis and Design

whenever transaction made. The Lane enters the HUB where the specified file is accessed.
Automated Teller Machine Card (ATM Card):
Through ATM card customer can withdraw of cash easily. At the time of apply he/she give bio
data, income summary, company name, NIC. That data (NIC no. and bio data) send to system
TEMINOS which directly linked to NADRA. If information correct then it is forward to
customer
service
center
and
the
issue
of
credit
card.

Management Information System after TPS:

Through TPS all routine information are collected in Allied Bank. All details of TPSs HUBs go
into Management Information System. This information is then summarized in the form of
reports for the manager so that they can check whether the firm is working properly or not. If
there are some flaws then they take control measures to fix those flaws. In one branch all daily
transactions are recorded and all reports are prepared on daily basis. TEMINOS generate daily
information report at the end of the day.

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System Analysis and Design

Diagram

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of

TPS

and

MIS

System Analysis and Design

T24 Information System in Allied Bank:

New management information system, of Allied bank is TEMINOS (T24). In banking language
it is called T24. This information system is recommended by State Bank Pakistan, it is easy to
use and operate. Trainings of Allied Bank are also held on computers. ABL has one training
institute in Lahore.
The bank provides on the job training facilities to employees through job rotation to in different
department as per requirement training more emphasis is in practical.
Benefits of TEMINOS Information System:
User friendly: It is easy to use. This Information System run on windows operating system and
graphics of this system also works like windows. As compare to UNI Banking System, UNI
banking has just black graphics and contains on command system.
Web page: Through registered ID, employee of the bank work online that is easily accessible for
manager, immediate boss and head office.
Security: Data of bank is secure in this information system.
Easy to install: This information system is easy to install as compare to UNI Banking system.
Bank install this IS through web. And if there is any problem in system then it can resolve
through web.
Centralized: This information is centralized so transactions are recorded on daily basis. And
head office has record of each branch.

4.3 Problem Areas

To function effectively as an interacting, interrelated, and interdependent fee Database
Administrator tool for management and staff, MIS must be "useable." The five elements of a
useable MIS system are: timeliness, accuracy, consistency, completeness, and relevance. The
usefulness of MIS is hindered whenever one or more of these elements are compromised.
The IS at Allied Bank, although effective to a great extent, has certain weaknesses as we found
out:

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System Analysis and Design

From a branch centered approach, the bank has moved to a centralized system. Transactions at
the branches, previously used to be stored and processed at the branches only. It was only at the
day end, that all data and information was relayed to the head office. Now, however, this practice
has changed. Branches only facilitate interactions with customers, whereas the information is
directly send to the head office and is processed there in real time. The problem with this is the
time lag that results subsequently. Data flow from the point of transaction to the head office,
back to the point of transaction is a longer and hence a slower process.
Also the security procedures inbuilt in the new software, Temenos, make processing slower. In
the new IS, cash transactions taking place go from a Temenos account head to a buffer account
and then to the customer's account. Previously, the cash transactions were directly debited/
credited to the customer account. Buffer accounts created, although increase the overall security;
make the processing of data slower.
Too much reliance on information systems also means that in the scenario when server crashes
down, or gets hanged, banking transactions will be completely disrupted.
One of the major concerns of organizations using information technology to carry out their
business processes is how to secure the data against internal and external threats. With modern
advancements, mitigating information security threats has become an ongoing battle. Viruses,
worms, hacker attacks, spam, phishing, and instant messaging attacks are just some of the
problems. Data bank faces risk of security breaches not only at the hands of customers and
outsiders, but also from the employees working within the organization. Therefore it is highly
crucial to build security parameters to detect whatsoever threats there might be and also to ensure
data safety.
Future Plan
Allied bank is planning to replace the current Core Business Solution 'Uni Bank' with 'Temenos'.
This transformation is in its phase I. The software is being tested in one branch near the Head
Office in Lahore. This testing phase will end on June 30th.
Training of employees is being conducted and further more sessions are in the pipeline
Allied bank plans to introduce Temenos in 107 branches out of the whole network of 800 braches
within six months.
Implementation in further branches is still unplanned.
Allied Bank has opened its branch in Kashmir and plans to extend its network and reach in the
remote areas of the country.
4.4
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Data Specification
4.4.1 Entity Relationship Diagram

System Analysis and Design

5.0

System Implementation Plan

5.1
Resource Requirements

5.1.1 Hardware Requirements

Desktop PC's Specs: Intel Pentium 4 2.5ghz, 512MB RAM, 80 GB hard-disk
Laptop PC's Specifications: Intel Dual Core2 2Ghz, 2gb RAM, 160GB Hard-disk
IBM P5 Mainframe Server
Specifications:
Four 1.65GHz 64-bit POWER5 processors
L2 cache: 1.9MB (2-way); 3.8MB (4-way)
L3 cache: 36MB (2-way); 72MB (4-way)
32GB of 266MHz DDR1 memory
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System Analysis and Design

Two 10/100/1000 Ethernet ports
Optional 2 Gigabit Fibre Channel, 10 Gigabit Ethernet and 4x InfiniBand adapters
Two USB, two HMC and two system ports

5.1.2 Software Requirements

The department's computers were found to be using the following system software.
Operating System: Windows XP for Desk-top PC's
Windows Vista for the Laptops. Windows NT server for mainframe server.
5.1.3 Human Resources Requirements

In this era of cut-throat competition and diminishing profit margins Banks are becoming more
lean, service oriented and efficient. As mentioned before Banks in order to keep this trend of
efficiency going upward are adopting new information systems and updating the existing ones
however one barrier to this are the employees, there is already a shortage of computer literate
people in Pakistan and for this reason when new software's or In our case a new CORE
BANKNG SOLUTION is introduced it requires rigorous training session to train the employees
so that they are able to use the software.
The effectiveness of core banking systems is directly related to the skills and knowledge of those
operating them; therefore training is an essential investment and not an expense. The training
session have been divided into three stages
When we talk of the end user it's the employees themselves here, they use the information
available and make different queries accordingly as mentioned before currently the Core
Banking Solution (CBS) namely Unibank is being change to Temenos and this requires that the
support and operations staff be trained to use this CBS. For this reason different training sessions
have been organized by the Bank and the Temenos technical team itself.
Apart from this Temenos, to support the contracted BANKS, also provides the following courses
to their employees:
Open Training Courses
Bespoke Training courses
End User Training (EUT)
Training consultancy for design and development of EUT courses
E-Learning and Computer Based Training (CBT)
The "Train the Trainer" approach
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System Analysis and Design

The benefits of attending these training programs include dedicated premises and training
equipment, and the added advantage of minimizing interruptions for the duration of training
courses.

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