Evaluation of the key performance indicators of an information system in indian banking sector

Abstract

The literature was reviewed in five different categories. i.e, Studies related to information systems usage in the bank, Information systems usage in other similar Organizations, Performance of the bank, Impact of technology on working of the bank, and other related studies which could help in research work. The present work is undertaken at the industry level in Chandigarh region inclusive of Chandigarh, Mohali and Panchkula tricity. Primary data was collected by questionnaire carrying 40 variables and personal interviews method from the randomly selected managers working at various levels in the banks chosen. Bank branches were chosen using stratified random sampling method. SPSS Package was being applied to compile and analyze the data collected from field survey. The KPIs were identified by applying factor analysis tool on the data collected through the questionnaire. After applying factor analysis it was found that 12 factors came out as a result of the study. These 12 factors later acted as Key Performance Indicators for the banks to evaluate their IS. These 12 factors were further categorized into 3 categories as: Factors contributing in Strategic Integration, Factors contributing in Functional Integration and Factors contributing in Technical Integration of IS in the bank. The five Factors contributing in Strategic Integration of IS in the Bank were Long Term Planning; Resource Utilization; Flexibility for Data Handling; Cost Control Management and Customer Satisfaction Level. The four Factors contributing in Functional Integration of IS in the bank were Transactional Effectiveness; Data Management; Flow of Information and System Efficiency. The three Factors contributing in Technical Integration of IS in the bank were Data Integrity & Network Security; E-Documentation and Backup Policy.