Management Information System

T O P I C

Progress of E-Business Systems in Pakistan

SEQUENCE

Introduction and History of E-Business Global Perspective of E-Business Basics of an Information System Practical Study National Database and Registration Authority
History of E-Business in Pakistan E-Business objectives and Internet Growth in Pakistan Current IT Policy of Pakistan NADRA History, Functions and Organization chart Products and Services of NADRA Overview of E-Business Applied

SWOT Analysis of NADRA Conclusion Recommendations

 Introduction
o

The IT revolution Electricity was first introduced in Telephone introduced in 1876 and took 35 years Television introduced in 1926 took 26 years mobile phone in 1983 took 13 years for mass use

1873 and it took 46 years for its mass scale use

o o

o PC introduced in 1975 took 16 years

o

o the web introduced in 1994 took only 4 years

Definition of E-Business
We define it as: E-Business is the use of internet technologies to work and empower business processes, electronic commerce, and enterprise collaboration within a company and with its customers, suppliers, and other business stakeholders. In more general sense it can be considered an online exchange of value or interacting and serving the customers online.

Global Perspective Of E-Business

o Technological Dimension There are technological gaps between the developed and developing countries in use of IT. Advanced nations are using leading-edge technologies, while developing countries lack state-of-the-art technology, consequently they are lagging behind. In developing countries like Pakistan acquisitions, installation, use, and

maintenance of IT along with training of user is a barrier to eBusiness o Social and Cultural Dimension The social and cultural factors threatening the implementation of IT in business:

Codes of ethics and Intellectual property rights

(primarily digital property), Accountability (for actions are non actions)

Personal and data privacy, Censorship, and

ownership of information Social and cultural differences between the IT and Barriers to e-Business

developed and developing nations

The

needs,

requirements

and

resources

of

countries and organizations vary according to their human and capital resources, goals and objectives, structures, size, business operations and management, so is the case of the technology. The unavailability of proper infrastructure, frequent failures of power, faulty telephone cables, limited use of internet, the issue of security of transactions on internet and high bandwidth rates as notable barriers of e-Business o E-Commerce Requirement of the Day Today whether you are a customer, business man or just a loyal subject of

your nation. Its scope starts from the speedy communication to cost containment, gaining and maintaining competitive advantage to earning bucks that can change your life and ultimately the economic out look of your country o Expanding Roles of IS in Businesses

From

1950s

through

1960s,

electronic

data

processing was introduced in the businesses. Later in 60s and 70s MIS were incorporated. The decision support systems were to follow in 70s and 80s

From 1980s 90s, the revolution strengthened

and the strategic support was developed, which included Executive IS, Expert S, and SIS. Then emerged the electronic business and commerce; as final products of internet technologies in 1990s and 2000s

Basics of an Information System

o What is Information? Information is defined as: a collection of refined data. What users really want is the information which is carved out from the data

What is a System?

A system can be defined as any

combination of things or individuals which is designed to process certain inputs into outputs through a well designed and defined procedure

Definition

of

Information of people,

System

Any

organized software,

combination

hardware,

communication networks, and data resources that stores and retrieves, transforms and disseminates information

in an organization

Functions of an Information System.

This is in fact the

application of general systems model to the information system

Information Technology Defined

IT can be defined as:

Various hardware and software components necessary for the system to operate. The computer based IS are extensively
being used in the businesses today, which use computer hardware and software technologies, telecommunication network technologies, and data resource management technologies

Business Applications of IT Information technology can of their and business processes, managerial thus

help all kinds of businesses improve the efficiency and effectiveness decision making, workgroup collaboration,

strengthening their competitive positions in a rapidly changing marketplace. The three vital roles that IS can perform for a business enterprise are as follows:

Support of its business processes and operations Support of decision making by its employees and mangers

Support of its strategies for competitive advantage

Case Study Progress of E-Business Systems in Pakistan National Database and Registration Authority (NADRA)

History of E-Business in Pakistan

o

Like any other developing country, Pakistan has also

passed through good and bad experiences of IT usage in businesses

o

E-commerce is quite at initial stage. In fact e-business

was not started in Pakistan until 2000 due to a number of constraints. But Internet grew like mushroom from 2000 onwards
o

The

primary

functions

for

e-Business

requires

following things in Pakistan that are yet to be done: Increased awareness level It requires a proper infrastructure for doing e-business It required developing e-commerce minds It requires transaction facility over the Internet world wide

E-Business Objectives for Pakistan:

o

Diversification of exports: New markets, new products Greater role of SMEs in exports Survival in the emerging global electronic economy

o o

Facilitate international trade through an e-commerce and Increase efficiency of business

infrastructure o
o

transactions, logistics Electronic documentation of economy Use of E-Commerce in government for procurement, To revitalize the economy by exploring the new

promotion of trade, provision of information etc o potential of Electronic Commerce in B2B and B2C trade and services o Simplifying citizens access to government while providing choices and options for interaction with government
o

Internet Growth in Pakistan:

Internet entered in Pakistan in 1997. It got real boom in year 2000 due to govt initiatives undertaken in the key areas
o

The cost of Internet bandwidth of PTCL was

reduced up to 53% which led to reduction in Internet end user prices. Free Internet connections were extended to public sector Universities. To facilitate the private sector, IT and telecom industry and enhance investors confidence in the Government, processing period for license applications by the PTA was reduced to 7 days

E-Business Implications for Pakistan o Exploring new markets for exports

o

Breaking monopoly of export giants of E-Business on Pakistani Market

Impact o o o

More foreign investment and foreign markets for banks Banks will be able to compete HUNDI system Increased tax net

Reasons to Use Internet in Pakistan

o o o

More horsepower and increased business Introduction of new value change programs Parallel systems with international organizations

The Vision

Current IT Policy

To harness the potential of Information Technology as a key contributor to the development of Pakistan The Mission The mission of national IT policy is: To rapidly develop the infrastructure in synchrony with the creation of excellently trained individuals and teams. Direct these at transforming our society into a prosperous and dynamic oneone that values and benefits from the creation and free flow of information and knowledge. Encourage and assist the

entrepreneurial

spirit,

and

make

the

fruits

of

this

technology available to every citizen.

Important Goals: To realize the vision behind

o o o Make the government a facilitator and an enabler to Develop an extensive pool of trained IT manpower at Provide business incentives for both local and foreign

the IT policy, the following goals have been set: provide maximum opportunities to the private sector all levels investors to ensure the development of Pakistans IT sector

National (NADRA)

Database

and

Registration

Authority

History of NADRA: NADRA was established as National Database Organization (NDO), an attached department under the Ministry of Interior, in 1998. On 10 March, 2000, NDO & Directorate General of Registration (DGR) merged to form NADRA, an independent corporate body with requisite autonomy to operate independently and facilitate good governance With the mandate of developing a system for re-registering 150 million citizens, NADRA launched the Multi-Biometric National Identity Card project in the year 2000. This program replaced the paper based Personal Identity System of Pakistan that had been in use since 1971

Functions and Scope of NADRA:

o National Database & Registration Authority (NADRA) has gained international recognition for its success in providing solutions for identification, e-governance and secure documents that deliver multi-pronged goals of

mitigating identity theft, safe-guarding the interests of its clients, and facilitating the public o In-depth Research and Development efforts have

enabled NADRA to become the trailblazer in the area of Software o o Integration, Data Warehousing, Network Infrastructure Development and Project Management NADRA is one of the leading System Integrators in NADRA has successfully implemented the Multithe global identification sector Biometric National Identity Card & Multi-Biometric ePassport solutions for Pakistan, Passport Issuing System for Kenya, Bangladesh High Security Drivers License, and Civil Registration Management System for Sudan amongst other projects o NADRA works as a division of ministry of interior and the and performs duties citizenship and namely: National performs

registration of population and issuance of identity cards; Nationality, Immigration, passports, regulation of entry and exit of foreigners Management: Appointment Chairman Deputy Chairman Name Ali Arshad Hakeem Tariq Malik Date since August 12, 2008 2008

Chief Tech Officer Chief Op Officer Chief Fin Officer Chief HR Officer Chief Sales Officer

Usman Y. Mobin Shahid Hamid Naveed Jan Saleem M. Rafik

2002 21 May 2008 June 04, 2007 2007

Brig(R) Zahid Hussain 12 August 2009

Achievements
o Placed

amongst the Top 50 E-Passport Technology

Suppliers for 5 consecutive years in IT World Magazine, 2005 2009 o NADRA was honored with the Outstanding Achievement Award at CARDEX Middle East in Cairo, Egypt in May, 2007
o NADRA

has been awarded The Merit Exporter Award by

Federation of Pakistan Chambers of Commerce & Industry (FPCCI) in 2006 o NADRA has successfully achieved Capability Maturity Integration (CMMI) from Software Engineering Model o

Institute (SEI) Carnegie Melon, USA NADRA Quality Management and CNIC Production departments are also ISO 9001:2000 Certified
NADRA

Supporting E-Business in Pakistan

CNIC (Computerized National Identity Card) is the core

product of NADRA issued to a valid / legitimate citizen of Pakistan. It is a blend of state-of-the-art technology and well-defined business rules to guarantee its authenticity and validity
o

CRSM

The Civil Registration Management System

has been developed by NADRA for the registration of four vital events i.e: Birth, Death, Marriage and Divorce. The scope of CRMS is to automate all the local governments in a country and provide computerized registration and certificate issuance of the vital events. The system provides up-to-date status reporting facilities for selected events, while providing business decision models for strategic decision making
o

Multi-Biometric e-Passport In 2004 NADRA enabled

Pakistan to become one of the first countries in the world to issue the Multi-biometric e-Passport compliant to ICAO standards. NADRA Multi-Biometric e-Passport solution uses overt and covert security features on the data page supported by most sophisticated technology and business logic which makes it one of the most modern passports of this era. This help countries create a highly secure integrated system encompassing immigration,

Automated Border Control and passport issuance while ensuring the genuineness of the holder as a valid citizen
o

Verisys

Having

developed

the

Multi-Biometric

National Identity Card for Pakistan backed up by the large centralized national database in the world, NADRA has introduced an easy- to-use access tool for verification of citizens in the country named as Verisys. It is an authentication process to provide online verifications of Pakistani citizens to the government, private and corporate sectors for bringing in transparency, validation, elimination of fraud & forgery. This is a web-based realtime activity displaying the front and rear image of the CNIC with added hidden information for verifications
o

E-Vehicle

Management

System

NADRA

has

developed the multiple-pronged e-Vehicle Management system that uses Radio Frequency Identification Device (RFID) technology to identify vehicles approaching manned & unmanned Check-Posts at entry / exit with real-time monitoring at the central control room, this allows authorities to monitor & generate route of vehicles. The e-Vehicle Management System has the following elements:

Vehicle Identification and Monitoring System (VIMS): Vehicles are issued unique Vehicle Identification Number (VIN). The

system allows authorities to eradicate vehicle theft and smuggling, catch suspects and improve vehicle tax collection

Vehicle Access Control System (VACS): VACS can be deployed in secured premises/ building entry/exit points to restrict access of vehicles at designated gates, levels and points Vehicle e-Toll Collection System: This system can be deployed at toll plazas on motorways and / or highways for electronic collection of toll from vehicles bearing the E-Tag. The system includes Rechargeable credit mechanism and smooth reconciliation of collected toll providing comfort and timesaving to frequent travelers

E-Drivers License NADRA has developed an RFID based

Drivers License that bears a license holder's unique, personal information as well as stores data regarding traffic violations and tickets issued / outstanding penalties. The eDrivers license developed by NADRA allows the authorities to provide for supplementary provisions and services. The RFID Drivers License enables improvements in identity verification, privacy protection and highway safety

E-Balloting Solution It can be used for balloting / allotment

of: Residential Plots/ Housing Schemes, Lucky Draws, Prize Bonds (By State Bank of Pakistan), Shares (IPO-Initial Public Offerings by Public Ltd Companies). The customer can opt for

all or any of the services namely Data Acquisition, Data Verification, E-Balloting Software

Biometric Access Control System NADRA's BACS allows,

organizations requiring high levels of security, to better manage and monitor protection and quickly respond to security breaches. The central paradigms of the system are the automation of workflow, increased security, efficiency, scalability and transparency in order to achieve a foolproof system that ensures real time monitoring and identification of personnel movement and creating a log for future references

Overview of the E-Business Applied to Various Types of Organization in Pakistan

Banks

All the businesses are dependent upon banking services then the automation and virtualization of

for their operations. If these banks today are not using internet and other technologies, dependant firms and businesses will not serve the purpose they are intended for

Telecommunication The other important sector which

has been revolutionalized by the advent of internet and IT is the telecommunication sector. In Pakistan it has been booming since government has given the initiative to the private sector businesses to invest in telecomm with 100%

limit.

Especially

the

use

of

mobile

phones

for

the

communication purposes in the businesses has changed the scenario of these businesses

The Government Departments Although the majority of

government departments are still using old conventional models of functioning, yet there is an increase in the use on internet for various activities of these organizations. Today big governmental organizations like, ministries, planning commissions, universities and colleges, army, as well as other strategic organizations are using internet for recruitment, training, evaluation, and advertisement purposes. But still there is a lot more to do in this respect. NADRA has helped a great deal these organizations to automate their processes

SWOT Analysis Strengths

Monopoly - competitive advantage

The basis of all the operations of the organization is on The organization structure of NADRA

advanced e-systems

The integrated and huge database of NADRA Good customer services The availability of technical and well trained staff

Weaknesses

A governmental body Limitations of NSRCs capability

Mistakes in documentation

Opportunities

The automation of business and use of information

technology to capture new customers NADRA is providing the e-business solutions to many local as well as foreign organizations

Threats

Low literacy rate and backwardness of the population Political influence of the sitting political party Dependence on foreign communication satellites

Conclusion
Although the Internet is less than 30 years old, its impact on society has been astronomical. Pakistan as a third world country is behind other developed world in all the fields as well as the field of information technology. Thus there is a great need to develop the IT infrastructure of the country on war footing. The national IT policy of Pakistan is serving our purpose well.

Recommendations

NADRAs SRCs and other registration facilities should be

reorganized and equipment and staff at these facilities should be increased to efficiently handle the number of customers coming to these sites

The procedure for the correction of mistakes and errors in Creating the awareness and importance of IT Persuading all sectors of the society to realize the

the documents should be reconsidered and be made fast

importance of IT and their specific role to play and developing IT awareness institutes in various parts of the country on a war footing basis

Developing a contributing chain mechanism in which each

segment should play its specific role and making Internet available to all such areas where it is still an alien's domain

Establishing all the government departments on virtual or

online basis will certainly improve the e-business in Pakistan