INFOLINK UNIVERSITY COLLEGE

DEPARTMENT OF BUSINESS MANAGEMENT

REASERCH PROPOSAL ON: MANAGEMENT INFORMATION SYSTEM FOR THE

BETTERMENT OF MANAGERIAL DECISION MAKING
(IN CASE OF DASHEN BANK S.C IN ADDIS ABABA ETHIOPIA)

SUBMITED BY : Gulilat Lemi

ID NO: 6660

ADVISOR: Ins. Dawit

 CHAPTER ONE

1. Introduction

1.1 Background of the Study

The first step in learning how to apply information technology to solve

problems is to get a broader picture of what is meant by the term management
information system.

Management information system or components of information system consist

of five related components. These are hardware; software people, procedures
and connection of data

Management information system is an integrate user machine system for

providing information to support operations management and decision making
function organization the system utilizes computer hardware and soft ware
manual procedure models for analyzing, planning, control and decision making
and data base (O’Brien, 1999)

In 1970 managers realized that they could use computer based information
system for planning control and decision making and problem solving rather
that fast for reporting transaction this new type of information system or
management information system .

The goal of management information system to enables manager to make

better decision by providing quality information (Anderson, 2013) to create an
effective information system you need to do more than simply purchase the
various components. Quality is an important issues in business today,
particularly as a related to information system (Anderson 2013) many
successful financial institution have clearly demonstrate that information
system and technology can be powerful competitive weapon that can be used to
capture market structure or share, improve customer service reduce operating
cost and create new product and potential of information system (Anderson
2003)

The resolution in information and communication technology has become

central for development in the banking and financial services. Most banking
serviced analysis includes technology change on the short list of important
factors underling the dynamics in banking services structure and performance
(Lucas 1990)

In recent year, technology has become increasingly important to the evaluation

bank retail delivery system and the development of new electronic retail
product (O’Brien 1990)

Modern banks must responded to challenges such as process automation,

increased client expectation at the same time bank must also manage risk
harmonize their business operation with the growing national and international
regulation. Financial instruction is one of the largest investors in information
system and according survey by Ernst and young.

The service information technology spending is expected to reach

unprecedented closed to & 20 billion in information system and technology in
an effort to improve efficiency and enhance customer services (Davis and Olson
1985)

1.2 Statement of the Problem

In today’s business worlds there are varieties of information system such a

Transaction process system (TPS), decision support system (DSS) and executive
supportive system (ESS) etc.

Each plays a different role in organization hierarchy and decision making

process organization has multiple function system. These include sales system,
call center system, financial system and inventory system (Davis and Olson,
1995).Management information system as organization methods of providing
past-pre and external intelligence. It supports the planning control and
operation function organization furnishing uniform information in the proper
time frame to assist the decision maker (Watson, 1967, p-134)

A management information system therefore produces information that

supports management function an organization (Davis and Olson 1985, luces
1990 information considered to be an important asset for any company, in the
modern competitive world is banking services and the consumer buying trends
and behaviors can be predicted by it analysis of sales and revenue report. For
each operating region of the company but they failed meet the increasing
complex demands by clients and the market. The need for automatically
business operation more efficient process management and control
contemporary banking services (Watson and Mann R. 1987).These necessities
of the study on the role of management information system in betterment
managerial decision making in Dashen Bank service.

Information system is mill stones in banks to words computerization

processing of all operations in order to make better decisions effectively and
efficiently. But many Dashen Bank in Ethiopia, particularly Addis Ababa used
some types of information system because of this it is imperative the banks
information

1.3 Basic Research Questions

This paper will try to look the following proposed question to be answered by
the study:
 What are the roles of management information system?
 How much consideration is given for management information system by
the Dashen Bank S.C in Addis Ababa in Ethiopia?
 What is the relationship between management information system and
business goals?
  What is the attitude of managers towards the development of
management information system?
1.4 Objectives of the Study

1.4.1 General Objectives

The general objective of this study is to assess the role of management

information system in the betterment of managerial decision making in Dashen
Bank S.C in Addis Ababa.

1.4.2 Specific objectives

The specific objectives of this study are

 To identify the role of management information system.

 To examine top managers attitude towards the technology development
of good management information system.
 To assess the alignment between information system and business goals.
 To ascertain the important challenges posed by the bank supervisor for
the rapid advancement of technology.

1.5 Significance of the Study

The importance of management information system for banking services would

become the main factor economy as a whole, since the financial sector one of
the largest income factor for the economy. Improving their profitability and
service become generation for the country economy paramount important for
the development of the nation today banks play a vital role of the country
economy by giving much needed competitive advantage for the service
completion

THIS RESEARCH PAPER WILL BE CONTRIBUTE

Firstly:-it creates a good know how in such that using management

information system an organization is able to establish its hierarchal structure
and work flow chart, secondly, Every employee in the organization would know
the employee would be authority over and to whom he is responsible for work
and works then progresses without interruption, thirdly, The companies
operating procedures would be listen by management information system and
the preparation of audit also gets simplify.

The finding of the study would have help initial insight for other researchers
who would have interest to go through a detail study for future.

1.6 Scope of the Study

The study would been confined and concentrated on the management

information system role to make better decision making in case of Dashen
Bank S.C in Addis Ababa.

1.7 Methodology of the Study

In order to the stated objective of the study primary and secondary data are
use. The secondary is collect from written materials on information technology
and information system like books, articles, papers and documents which were
prepared by dashen bank of Ethiopia and other organizations. Furthermore
internet source are also referred for a better illustration. To supplement these
material primary data would be collected by conducting interview with
managers and employees by direct observation and by conducting information
discussion. In order to alleviate the stated problem I would be use quantitative
technique of data collections.

1.8 Limitation of the Study

The basic limitation of the study would be finance time and energy in order to
accomplish this paper. It is the main constraint since to compare and have
detailed investigation on the role of management information system.