ELECTRONIC BANKING AND PROBLEM OF ATM MACHINE/INVESTMENT AND PORTFOLIO MANAGEMENT (A CASE STUDY OF FIRST BANK NIGERIA PLC )

INTRODUCTION The Nigeria banking industry has witnessed a lot of changes since the mid 1980’s and this is reflected in the increased volume and complexity of bank operations, increased innovations and varieties in product and service delivery. These development have not only been technology  driven but have influenced move technological advances. Information technology which is the foundation of modern electronic banking through desktop computers and terminals provide the tools for delivery of new products and innovations characterized by ATM’s cash dispensers, credit and cash card, information technology through electronic banking is  radically changing how banking is done all over the would. The volume and speed of banking transactions has improved tremendously as a reject of the growth of electronic banking which has created a lot of changes and business opportunities for banks. What used to be termed electronic data processing has been transformed into electronic banking through information technology. The change in terminology reflects on equivalent transformation of the use of the computer  from automation of paper flow to reduction in unit cost the replacement of manual with computer processing to today’s focus on electronic product and service delivery which has become the underlying ethos in today’s banking with a shift in adopting to a  consumers market. Electronic banking through IT has created and unparalleled wired economy. The transfer of money from point “A” to point “B” has resulted in turning the actual money into bits and bytes through satellite, fibre optic, cable or regular telephone lines. Aladesulu (1998). Banks waste millions of naira on information technology investment and so as a result, electronic banking is expensive but is well suited in Nigeria where transport, telecommunications and energy is still inefficient and ineffective, hampering the movement of goods and services. Yet the willingness of banks to take up efficiency seeking technologies depends just as much on internal factors like costs of adoption and ownership as on external ones like the availability of infrastructure such as telecommunication. Despite this poor service is still the bane in the banking industry characterized by centralization of decision making red tape bureaucracy etc. electronic banking and IT is supposed to replace the customer’s file phenomena but the file still provides the basis of today’s banking. The file still travels the length and breath of the bank before decisions are made such poor delivery service has contributed to a lot of economic activity outside the bank. Aragba-Akpore (1999). Most of “IT” systems and trainings are imported from overseas without  consideration for the peculiarities of the local environment. Hence, according to Njokanma (1999) at an international information technology workshop on how to survive banking operations of financial institutions in the 21st century, he said that the essence of the workshop is to make their own contribution to IT development hence the need to add value to the nation by discouraging Nigerians from going abroad for such trainings which the series of workshop will offer. ‘IT’ is not considered as core business while IT managers are treated as auxiliary staff rather than innovators. So, finally, the justification of huge investments in “IT” by the banking sector is yet to establish the much needed impact.
DEFINITION OF TERMS In a highly technical topic of this nature it is necessary to define the major operational terms so as to put the reader and the researcher in the same position.  a. ATM means Automatic Teller Machine. An ATM is a machine that dispenses cash to bank cardholders. The transaction is initiated with the use of a magnetic stripe or chip card on the ATM. The ATM card has either a magnetic stripe or a chip that allows information to be stored or processed in it. ATMs are a quick and convenient way to access money in your accounts. b.UNINTERRUPTED POWER SUPPLY (UPS): This is used to provide temporary power for about 45 minutes immediately power goes off. c.INFORMATION TECHNOLOGY (IT) : This has to do with the use of computers in providing human ad business solutions. d.SIGNATURE AND PRINTS VERIFICATION: This is used to identify the authenticity of signatures and thumb prints. c.ELECTRONIC CREDIT CARDS It is a financial instrument which provides an unparalleled opportunity to automate a large proportion of transactions to enhance operational efficiency and cost effectiveness and ultimately seen to be able to compete with notes and corns as medium of exchange. d. MICR: MICR which is an acronym for magnetic Ink character recognition is a technology used to read encoded characters on cheques, encode sequence document etc. e.VSAT: It is a type of technology which has enabled banks link up to their remote branches in far locations with their head officers. This is facilitated through a satellite communications network. f.SWIFT: This is an acronym for society for word wide inter-bank financial telecommunications and it is a network made up  of computer based system located around the word and interconnected through telephone leased lines. g.LOCAL AREA NETWORKS (LANS): They are computers and peripheral devices close together linked by communication channels such as coaxial, or fibre optic cable. LANS may be linked to other or networks by a network gateway. h.WIDE AREA NETWORKS (WANS): They are country-wide and world-wide networks often using microwave relays and satellites.