“Analysis of Utilization of Management

Information System in Standard

Chartered Bank”

Submitted By

Sagar Khadka

Ramesh Dahal

Paras Sharma

Nirajan Shrestha

Rabindra Khadka

Submitted To

Nagendra Dangal

BBA (MIS Instructor)

Bachelor of Business Administration

Nepal Commerce Campus

New Baneshwor, Kathmandu

Feb 2018

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 Acknowledgement
We are thankful to our college Nepal Commerce Campus and our BBA Program director and
members who gave us the resources, facilities and expertise to complete the task which was
assigned to us at the start of this semester. Also, we are thankful to our MIS instructor Mr.
Nagendra Dangal whose kind behavior and guidance made it easy to complete this task. We
are also thankful to all the managers and the subordinates of Standard Chartered Bank who
guided us throughout the project.

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Table of Contents
Chapter-1 Introduction..........................................................................................................................4
1.1 Introduction of Company.......................................................................................................4
a) Research objectives...............................................................................................................4
Chapter-2 Case Study on IS practices of Standard Chartered Bank.......................................................5
2.1 Marketing IS practices...........................................................................................................5
2.2 HRM IS practices....................................................................................................................5
2.3 Operational activities.............................................................................................................5
2.4 IS in Finance & Loan department...........................................................................................5
a) Finance Department:.............................................................................................................6
b) Loan Department:..................................................................................................................6
2.5 Customer Relationship Management (CRM).........................................................................6
2.6 List of Software Used in the Standard Chartered bank..........................................................6
Chapter-3 Analysis.................................................................................................................................8
3.1 SWOT Analysis.......................................................................................................................8
a) Strengths:..............................................................................................................................8
b) Weaknesses...........................................................................................................................8
c) Opportunities.........................................................................................................................8
d) Threats...................................................................................................................................8
3.2 GAP Analysis..........................................................................................................................9
a) Online Processing Gap...........................................................................................................9
b) ATM service Gap....................................................................................................................9
c) Payroll Tps Gap......................................................................................................................9
Chapter-4 Recommendations and Suggestions...................................................................................10

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Chapter-1 Introduction
1.1 Introduction of Company
Standard Chartered Bank Nepal Limited has been in operation in Nepal since 1987 when it
was initially registered as a joint-venture operation. Today the Bank is an integral part of
Standard Chartered Group having an ownership of 70.21% in the company with 29.79%
shares owned by the Nepalese public. The Bank enjoys the status of the largest
international bank operating in Nepal. Standard Chartered has a history of over 150 years in
banking and operates in many of the world's fastest-growing markets with an extensive global
network of over 1700 branches (including subsidiaries, associates and joint ventures) in over
70 countries in the Asia Pacific Region, South Asia, the Middle East, Africa, the United
Kingdom and the Americas. As one of the world's most international banks, Standard
Chartered employs almost 87,000 people, representing over 115 nationalities, worldwide.
With 15 points of representation, 23 ATMs across the country and with more than 450 local
staff, Standard Chartered Bank Nepal Ltd. is in a position to serve its clients and customers
through an extensive domestic network. In addition, the global network of Standard
Chartered Group gives the Bank a unique opportunity to provide truly international banking
services.

a) Research objectives

1. To study about the use of MIS in Standard chartered bank.

2. To evaluate the strength, weakness, opportunity and threats to the bank with the use
of MIS.
3. To provide the necessary suggestions and recommendations.

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Chapter-2 Case Study on IS practices of Standard Chartered
Bank
2.1 Marketing IS practices
The way of marketing used by Standard chartered is through its website. We don’t see
advertisements of this bank much compared to other banks in Nepal. Anyone with Internet
access can get the necessary information about the bank from its website. But we do see the
bank active in social media sites such as Facebook & also YouTube. The bank regularly gives
update about its new services & offers through Facebook to facilitate the customers. The
bank is also affiliated with some of the biggest football clubs in the world which directly
helps in the advertising process of the bank all over the world. Marketing MIS handles
product creations, sales, prices, advertisements and future business decisions. Marketing MIS
makes decisions on product and service appearance. Marketing MIS manages contacts,
makes questionnaires for customer feedback about their company product or service and
habit.

2.2 HRM IS practices

Employees must log in when they enter the bank & log out when they leave the bank by
tracing their thumb impressions in biometric device. The device is connected to a HUB which
calculates the total number of hours spent by the employees in the bank. Also, through a
setup named “LN” it makes record of all the transaction made by the employees. This helps
in calculating the working efficiency of the employees. Intranet Protocol (Private network) is
also used for staff communication. Employees are informed about various updates through
emails. This helps in the fast flow of information.

2.3 Operational activities

At meetings, Microsoft PowerPoint is used to do the presentations and share the information.
The bank has its own Database Management System (DBMS) which is used to keep
information about the customers, employees and staffs. Standard Chartered bank also allows
the option of online complaints to its customers. The customers submit the online complaints
which are then processed by the customers service TPS which is linked by the management
& after the problem is identified it is sent to the concerned department & necessary measures
are taken in accordance with it. One can easily open an account in the bank through the
submission of online forms. The procedure is much easier & account can be easily opened
within minutes.

2.4 IS in Finance & Loan department

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a) Finance Department:

Since the bank uses Pumori for its core banking, the financial activities are also carried out
through this. It offers a unified IFRS 9 solution that is compliant with international
accounting standard board’s standards for easy financial integration. This ensures digitized
corporate lending which enables bank to efficiently manage complex commercial loans
processes. Oracle database cloud services and oracle storage cloud services is used to run its
new investment applications, increasing agility, reducing time to market. For various
accounting calculations it uses its own software which makes the calculations easy &
accurate.

b) Loan Department:

The main branch receives the request of loan from a branch office. System checks whether it
is approved or not, if the request is approved then main branch provides loan to the customer
account along with interest to be paid. All these activities are automated with workflow
system.

2.5 Customer Relationship Management (CRM)

Customer relationship management (CRM) has been as important to the banking industry at
the start of the 21st century as it has been to any other industry. Standard Chartered bank
strives to make banking easier and effective for its customers by using the techniques such as
ATMs, auto loans, mobile banking, and SMS alerts, online account opening, EMV chip debit
cards which are much safer than the normal ones, online grievance handling, etc. in order to
improve its customer relationship management

2.6 List of Software Used in the Standard Chartered bank

Name of software Purpose

Pumori Plus Core banking software

Structured Query Language(SQL) Helps in finding the data whenever required

Oracle For data protection

About the Pumori Plus,

Pumori Plus is an on-line multi-user; multi-currency integrated banking system of
international standard developed by Mercantile Office Systems, Nepal. It integrates all
functions of front office and back office as one package. The system runs on Windows NT
network and provides adequate security features for keeping smooth operation of the system.
It also takes care of data integrity with its internal design. Pumori Plus encompasses a variety

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of features and can easily take care of a small financial institute to a large scale banks with
international standard.The actual development started in 1987 and the latest release is Pumori Plus
III (version 2). Pumori Plus has now established itself as the most popular banking software in Nepal
with a clientele of more than 40 commercial banks and finance companies with hundreds of
installations all over Nepal. Pumori Plus uses latest technology prevailing in the market. The system
is totally object-oriented, taking maximum advantage of Relational Database Management System
(MS SQL Server.

Some of the features include:

 Fully integrated system. Customer accounts and General Ledger integrated. Various
other modules (Trade Finance, etc.) are also integrated.
 Highly parameterized and flexible in nature.
 Products definable by the bank.
 Cheque printing and cheque inventory facility.
 Deposits, loans, financial accounts, off-balance accounts are all covered. Letter of
Credit, Letter of Guarantee, Document Negotiation (Export L/C), Bills, Remittances,
Credit/Debit/Smart Cards supported.
 Any Branch Banking Systems(ABBS), tele-banking, SMS banking, on-line voice
recording of customer confirmation, on-line image capturing of images, etc. are
supported.
 Reports definable by bank. Has built in Report Writer. Can integrate with MS Excel,
MS Word, and Crystal Reports.
 Multi-lingual support (fields can be added in desired language).
 Build-in document management system for paperless office automation.
 Account balancing can be maintained currency-wise (automated) or can be in local
currency. Currency grouping is supported (e.g. many European currencies are grouped
into Euro currency).

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Chapter-3 Analysis
3.1 SWOT Analysis

a) Strengths:

 Any Branch banking service has made the customer to deposit and withdraw
funds in any branch of the bank.
 Use of latest technology (i.e. SMS banking, e-banking, ABBS, ATM cards)
 Well-classified products and services catering the needs of customers through
online and mobile technology
 Online grievance handling.

b) Weaknesses

 There are grievances regarding the deposition & withdrawal of money due to the
presence of few tellers so people have to wait for a long time.
 Customers are attracted towards other financial institution that provides higher
technological facilities than SCB
 Banks collect a large amount of fund but don’t have proper investment in
complementary assets to support their IT infrastructures

c) Opportunities

 Attract more customers offering various new banking schemes

 Decreasing the number of employees by using latest IS technology supporting
decision making and routine operational activities.
 More emphasis on the use of IS by using tools such as mobile banking

d) Threats

 Threats of new entrance, new competition who bring new and better IT related
services.
 Bargaining power of buyers and suppliers supporting banks having more diverse
IS.
 Cyber-crime and vulnerability to hacking
 Loss of data

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3.2 GAP Analysis
A GAP analysis is a method of assessing the differences in performance between a business’
information systems or software applications to determine whether business requirements are
being met & if not, what steps should be taken to ensure they are met successfully

a) Online Processing Gap

Standard chartered banks current online processing system only provides users to view their
current balance and organization information. SCB plans to improve the official website and
provide more vast services and facilities through online processing transactions.

b) ATM service Gap

The service of ATM provided by Standard chartered bank at present provides only
withdrawal of money from the ATM machine. However, the bank plans to bring ATM
service which its customers can use to deposit money from as well as withdraw from it.

c) Payroll Tps Gap

Current Payroll TPS of Standard chartered bank only analyze and records the information of
employee records to find their current annual salary. Standard Chartered Bank plans to
improve the system of payroll relatively not only for annual earning record but also define the
problems and salary.

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Chapter-4 Recommendations and Suggestions

i) Customer communication should be given as much attention as the customer

service.
ii) EMV chip debit cards have not been that effective. The bank should focus more
on its application as it is much safer & effective than the cards used by other
banks
iii) With the increase in the technology, the bank should made it’s IS up-to-date
for providing best services to their customers and attracting more customers and
increasing its productivity
iv) The security of the online systems should be made up-to-date to protect
customer’s transactions’ and account privacy.
v) Proper investment in their complementary assets like proper employee training
and updating organizational structure should be made for their banking systems.

The advanced software’s used in the Standard Chartered Bank and its foreign subsidiaries
should be adopted in Nepal as well.

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