Volume 6, No. 3, July 1996
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In this issue we carry articles on India, CARICOM Countries and South Africa. The statistics quoted in the article on IT industry in India have been taken from DATAQUEST, which is a fortnightly computer magazine in its 14th year of publication. DATAQUEST does a comprehensive survey of IT industry to publish the names and profiles of top 20 IT companies in India. The publicity value of the ranking enables this magazine to collect reasonably good quality data from a large number of IT companies. Its survey results are considered almost as authentic as coming from a government source. In a large number of developing countries where such data is not easily available, perhaps enterprising Magazines and Journals should follow DATAQUEST's example. How can countries formulate meaningful policies, in the absence of basic data on use of IT? The status of IT in India continues to evoke mixed feelings in me. Should we celebrate the high growth path of the IT industry or lament it's inadequate impact on the common man. Outstation bank cheques still take weeks to clear. Most Government offices work with forms which are totally incompatible with a computer printer. How can things be improved? Do we need more research? Don't we already know from a large number of research papers that top management support, managerial skills of IT professionals, involvement of all the stake holders, are factors that contribute to successful implementation of IT. Somewhere there is a problem in translating this learning from research into good practice. We need to know how to bridge the gap. Perhaps the next WG 9.4 conference should focus on "how" can it all be done. We invite practioners to contribute case studies to the newsletter about their successes or failures. With this Newsletter we are enclosing a feed back questionnaire. I would urge every reader to fill in this questionnaire. The questionnaire is brief but do send detailed comments if you can. Your responses will help us in improving the quality of the Newsletter as well as in fulfilling an obligation to the funding agency. If you have already responded to the electronic version of the questionnaire, then you may ignore the printed one. It would be interesting to see how the response rate differs in the two mediums.
COMNET-IT: An Update and a Glance Ahead Henry Alamango, Workshops This Newsletter reported amply on the Workshop on Informatics Policies and Strategies in Developing Countries which was held in Malta early in November, 1995, and was attended by some 50 delegates. Later that month we also hosted a Workshop on IT in International Relations for 30 diplomats who received insights and hands-on exposure to IT applications in Foreign Ministries and in international communications. This workshop was developed with the Mediterranean Academy for Diplomatic Studies (MEDAC), one of a number of institutions spawned by the Diplomatic Studies Programme of the Graduate Institute of International Studies in Geneva. Both these events were sponsored by the Commonwealth Secretariat who have also agreed to sponsor, during the year ending June 1997, the following workshops proposed by COMNET-IT: Malta, Autumn 1996: IT in International Relations; Public Service Enhancement through IT; Trinidad,March/April, 1997: Small States Telecoms and IT Policies; Bombay, first quarter, 1997: Internet Engineering Workshop; Tanzania, first quarter, 1997: Networking for Trainers. Consideration is
also being given to a repeat of the last-mentioned activity in another
African venue and to a major inaugural event that will formally launch
COMNET-IT as a thriving, membership-based organisation late in 1997.
COMNET-IT intends approaching other sponsors to intensify the breadth and
frequency of its training activities. Institutional Networks Through infrastructural and communications facilities sustained by the Government of Malta, COMNET-IT has been able to promote the business of a number of organisational networks, albeit in modest terms at this stage. There is tremendous potential, however, for these networks to make the transition from a paper-based communication medium to the much more dynamic dialogue and knowledge-transfer inherent in electronic networks. Our early clients include: the Association for Commonwealth Archivists and Records Management (and related International Records Management Trust); the Mediterranean Academy for Diplomatic Studies; the Commonwealth Association for Public Administration and Management (CAPAM). Services have ranged from the development of home-pages on the Internet and the maintenance of bulletin boards for sectoral discussion groups within the CAPAM membership. Real synergy will be achieved as the membership and audiences for these institutions gain access to internet-based facilities. COMNET-IT hopes to facilitate some of this in due course. In particular, COMNET-IT has just signed a collaboration agreement with the Diplomatic Studies Programme (DSP) in Geneva to engage in a series of in-country and regional capability-building activities in Trinidad, Cameroon and Kenya. This will involve training and some infrastructural investment in the academic institutions associated with the DSP and in the Foreign Ministries interested in the programme. Next Thrusts Apart from engaging in training activities and in internet-based activities for institutional networking, COMNET-IT will be focusing in the coming months on the development of a membership whose basis will be primarily institutional. It will also position itself as a reference point for Commonwealth IT applications, particularly in the Government sector, where much scope exists in the avoidance of "re-inventing the wheel". We aim to identify institutions capable of acting as regional agents for the COMNET-IT concept and to collaborate with other major partners such as the Commonwealth of Learning. These are, I
believe, exciting prospects, and I invite anyone interested in furthering
these ideas for seeking information to mail the COMNET-IT Secretariat : For more information on related activities : COMNET-IT Home
Page: http://www.comnet.mt Information Technology Applications in Indian Banking: Better Late than Never! Dr V P Gulati Introduction In the wake of liberalisation of the Indian economy, the financial sector is being restructured. The basic strategy is to improve the efficiency of the systems by deregulation and reduction of government's control over financial institutions. There is greater competition and to survive, organizations have to be constantly on the improvement track. Organizations have to accept international standards and practices in providing products and services. Business functions
of financial sector, particularly banks and large financial institutions
are much more diverse than other commercial organizations. These
organizations have a large number of branches and offices distributed in
large geographical areas. Their financial transactions are highly
diversified and complicated. Such inherent complication makes the decision
making at various levels highly time consuming, which leads to delays and
problems to organization, customers and overall to the business. Review of Current Status of IT Banks and Financial Institutions in the developed nations were pioneers in implementing IT. Unfortunately in India and many developing countries IT could not be implemented because of the following factor: (a) `other' priorities of the top Management, (b) IT planning was not a part of the overall goal of the organization, (c) organization culture was not tuned to the new technologies, (d) lack of competitive spirit, and (e) resistance from the unions. The most urgent requirement of the Indian banking sector was to develop a vast branch network throughout the country and particularly in the rural and semi-urban areas. This was achieved as a result of nationalization of the banking sector in 1971. Today there are more than 61000 branches of 274 scheduled banks. For many years, large number of bank employees of this vast network resisted computerisation through their unions. However, there is a major shift after the October 1993 agreement between banks employees union's and management of banks. Now bank unions have agreed for the computerization of a wide range of activities including development of financial networks. In the last two and half years, considerable IT tools have been implemented in Indian banking sector. For example, 27 nationalized banks having more than 80% banking business in the country have fully computerized 1244 branches and partially computerized 4166 branches with 13343 PC based Automatic Ledger Posting Machines (ALPM)and around 1600 branches are in the process to get fully computerized before March 1997. Similarly, a large number of administrative office and special branches/centers such as funds management, Forex dealing center, Inter branch reconciliation, etc., have also implemented IT tools. The hardware configuration for these applications of nationalized banks ranges from PC to mainframe. March 96 statistics indicates the use of 17 mainframe systems, 434 mini systems, 183 LAN and around 6000 of PCs in 27 nationalized banks. Some of the banks
and financial institutes have linked their administrative
offices/branches/special center to various communication networks.
Applications range from e-mail to payment message. In the next
section financial networks and potential applications are discussed. Financial Networks Issues and Prospects The demand on telecommunication services by the financial sector is the most challenging of all. Electronicmail/electronic messaging is one of the most important applications of telecommunication services. The cost of e-mail is around 10 times lower than that of telephone, telex and facsimile services. The most crucial network service for banks and financial institutions is the Electronic Fund Transfer (EFT). Telecommunication networks also assist banks and financial institutions to reconcile their accounts swiftly, to optimally allocate funds, minimize risk and to provide efficient services to their customers. In developed countries, the range of financial Network Services has been developed to facilitate payment in a variety of situations. There are specialized networks. For example, Bankers Automated Clearing System (BACS) in Britain handles large volumes of direct credit and debit payment for salaries, wages, pensions, state benefits, purchase ledger payments and standing orders. Similarly, Clearing House Automated Payment System (CHAPS) handles day-to-day clearance of high volume payments within UK. A number of banks in the UK have floated communication network companies such as EftPos UK Ltd., FTS Ltd., Link, etc. EftPos UK Ltd. provides electronic fund transfer facilities at Point of Sale, whether they be debit or credit. Apart from such specialized networks, there are networks such as Society for Worldwide Interbank Financial Telecommunication (SWIFT) used by the banking and financial community of more than 115 countries, Reuters, Pont data and telerate are used by equity/Forex trading community. Similarly, Association of International Bond Dealers has implemented an online system Automated Transaction System (TRAX), to provide rapid confirmation of bond accounts. Interestingly, each major bank has its own corporate network linked to one of the specialized or intrabank network of the country through gateways. For Indian
banking, financial network services can be proposed in the following
categories:
Financial Network
Applications:
Apart from providing efficient service to customers, the financial network will also fulfill the following objectives:
In the last two years, number of Indian banks and FIs have engaged well known international financial consultants to restructure/reengineer their organization to meet the global challenges and competition in the liberalized environment. Interestingly, IT tools have emerged as basic foundation of restructuring process. Almost all the banks and FIs in India are making strategies to integrate IT tools with the long term corporate goals. Financial networks are the major component of long term IT plan. Some of the banks and FIs have obtained world bank loans to implement IT tools. It is expected that within 3 to 5 years the majority of banks will be computerizing at least 20% of their branches handling more than 70% of business and 100% computerization in administrative and other specialized centers. Some of the private and urban cooperative banks are targeting at 100% branch computerization within 5 year. Financial networks are an integral part of this strategy. Reforms in the financial sector has forced almost all the organizations to formulate long term IT plans. Interestingly, in the liberalized environment, government/Central Bank of the country (RBI) is giving license to new institutions to set up their operations in financial sector. These new institution will provide a catalytic effect for existing organizations to change their culture and be customer and market oriented. Adoption of IT tools, particularly computerization of transaction processing and use of financial networks will be the driving force in the restructuring process. The classical and very successful case in Indian scenario is network services provided by National Stock Exchange of India (NSC). NSC started its operations in the year 1994-95 and the operations were started from day one in computerized environment. NSE provided totally transparent computerized trading system as an alternative to personal yelling system prevailed in Indian stock markets. NSC started its operations in Bombay with VSATs based terminals given to member trader. Today the system is working in more than a dozen cities with 550 VSATs and NSE is planning to extend it in other cities with 1000 VSATs. NSE has also been a pioneer in providing new services such as options, futures and security/bonds market. Interestingly NSE has become the prime stock exchange in the country forcing other traditional stock exchanges in the country to shift to transparent computerized trading system. Bombay Stock Exchange has started the BSE on line trading systems (BOLT) and Delhi Stock Exchange has moved to Delhi Stock Exchange (DOTS) on line Trading Systems. Similarly most of the other stock exchanges in the country are moving to computerized trading system. Not only this, Bombay and Delhi Stock Exchanges are planning to spread their reach to other cities by using financial networks. Similarly, new banks which have started their operations in the last two years have shown excellent results and they are providing superb services which were not expected by customers from the traditional banks. Some of these banks have customer centralized data bases on main-frame systems, where branches have remote terminals connected through VSATs to centralized systems. Branches do not have back office operation and the customer can bank from any branch across the country. So customer is not a branch customer but a bank customer. This concept of anywhere banking also allows banks to provide services for longer period of time than traditional banking hours of the country. Some of the new banks which have customer data bases at branches, have linked their branches either through VSATs or leased lines to give "anywhere banking" services to their customers. Of course, each of these banks have only around 10-15 branches spread across the country. On the other hand nationalized bank or big private sector banks have 500 to few thousand branches. However, each one of them is planning to develop either its own corporate network or cooperate and develop inter banks/FIs network. Many of the potential applications of financial network described in earlier section pertaining to an organization could be implemented on a corporate network. To design and develop a corporate network, an organization has to analyze and take into account the telecommunication services/products available within the country. It could be Government Telecom Agencies, private common carriers or network services providers. In India, apart from Government telecommunication service providers such as Department of Telecommunication (DoT), Videsh Sanchar Nigam Limited (VSNL) and National Informative Center (NIC), there are more than a dozen private e-mail service providers using public switched telephone network (PSTN) lines and five network service providers using satellite based Very Small Aperture Terminals (VSATs). Already half a dozen banks and FIs are in the process to get their corporate network developed. We project that within five years a large number of banks and FIs will not only have their own financial network but these networks will get linked to other financial networks. As far as interbanks/financial institutions network is concerned, the development strategy must be the result of cooperative efforts from the financial sector organizations. As a matter of fact, Reserve Bank of India (Central bank of the country) had developed a network infrastructure way back in 1990-91 known as BANKNET. This network was proposed to become interbank/FIs/RBI network for variety of applications such as; payment systems, access to common data bases, MIS, e-mail, etc. The network infrastructure is based on X.25 packets switching with IBM main frames in four metros and Nagpur at central point with leased lines. The network is extended through packet assembler-disassembler (PAD) facilities to two important center in south i.e. Bangalore and Hyderabad. The network connects seven important centers. Unfortunately, the network did not take off as expected. But the infrastructure is available and RBI is in the process to use the infrastructure for some specialized financial applications such as customer electronic fund transfer in four metros. RBI has also planned to add satellite based VSATs network exclusively for banks and financial institutions. It is expected that the network will have 500 VSATs in the beginning and will be expanded to 2000 VSATs within 3 years. It appears that for inter bank/FIs/RBI applications, solutions are emerging. Significantly, the question of single comprehensive payment network verses multi payment networks becomes important particularly in developing countries. In India, specialized networks, such as (1) shared ATM network will be managed by a company Shared Payment Network Ltd. (SPNL) that will be owned by hardware/software and network service provider. They will charge on a per transaction basis to bank customers, (2) national clearing center (NCC) network being developed initially for customer payment systems and later on for inter bank payment system, (3) currency chest network to monitor movement and accounting of currency across the various offices of RBI and other banks dealing with currency chest, (4) stock trading network and (5) forex dealing network etc. In Indian context, particularly, the way the telecommunication infrastructure developed and from the security point of view, it is not possible to combine various type of payment application on one financial network. However, eventually, it may be possible to get a single comprehensive integrated payment infrastructure network built over a period of time which will be able to handle payment system in a variety of situations. For example, currency chest network which is using the NIC infrastructure. NIC has developed network spread almost in all the districts of the country. NCC network for metros will use BANKNET infrastructure, already available. Similarly, ATM network is being developed by SPNL first in Bombay and later on in other metros and will get linked to each other. Finally it is expected that the new proposed VSAT network added with BANKNET will emerge as integrated network Indian National Payment Network (INPN) infrastructure in the country. All the payment systems whether ATM network, customer payment systems, inter bank payments, currency chest monitoring and reconciliation will be on this network. However, there have to be some highly specialized networks working on their own such as stock exchange/forex networks. But their payments related transaction could be on the INPN. Unlike above category of networks, SWIFT network for international funds/messages transfer network is quite developed and being used by 58 banks and financial institutions in India. It is expected that the use of SWIFT will increase manifold. Two important issues which bother Indian banking and financial institutions are: a) the network interface is available only in Bombay. If a bank/s branch from other places want to use for sending or receiving messages abroad then they either have to get remotely connected through modem and use PC connectivity to do the transaction or use the traditional system upto SWIFT node Bombay; b) it is not permitted to use network for domestic inter bank payment systems, being much cheaper and efficient than the traditional systems. However, the first issue, will get resolved if banks/FIs develop their own corporate network and have gateway for SWIFT connectivity and the solution to the second problem will be the emergence of INPN. Once the above scenario emerges, the nation will move from paper money to electronic money and the teething problems of today's delays in payment system will get resolved. Interestingly financial networks are not only going to reduce geographical and time limits but will be instruments in restructuring the business relations. Many of our retail banking branches may get closed because all retail banking operations will be performed on ATMs integrated to network and we may have only public relation offices of banks at various locations. Capital today has
to move continuously throughout the country's financial market to seek
better investment and returns. In the competitive and global market the
volatility of prices, interest rates, exchange rates make it-necessary
that decision to switch assets be made quickly and the payments be
made simultaneously. One of the crucial fall back of modern payment
system is the drive to growth of customer oriented markets. On one side
customer choices and consumption pattern get boosted and on the other side
it will enable birth of thousands of new industries, business and services
with little capital investment and innovative ideas. The impact will be
evident not only in the financial sector but in the entire economy of the
country. Indian National Payment System (INPN) linked with international
payment system will allow the economy of the country to compete on prices,
quality and delivery with the global system. The role of payment
infrastructure system in the economy is as important and crucial as
transaction infrastructure in the economy of the country. Conclusions Financial Networks are going to play a major role for Indian banking and the financial sector in the coming years. Banks should formulate a well planned strategy to implement networks and integrate them with the overall IT applications and business goals. So far IT applications were developed piece meal in an adhoc approach. In the last one and half years, it was observed that there were major problems in implementing total branch computerization in various banks. Unfortunately the solution providers were also not experienced with banking operational procedures and took great deal of time to tailor make packages to specific bank requirement. Banks also did not have computer professionals at their rolls. However, the situation has improved considerably for many banks which have got their employees trained in systems. It is important to change the culture of banks and FIs to make them computer oriented. The major drawback in this direction may be the last industry agreement, which allows special benefits to the certain category of employees operating computers. It is strongly felt that the agreement should give benefits to all employees irrespective of whether they operate computers or do not get a chance to do so. This will remove the resistance of employees to use computers for office automation and other application. As a matter of fact, the banking industry in India should move beyond transaction processing. Eventually, a large bank must have 65-70% of the locations using IT tools. The total cost of this integrated approach including financial services network may be around Rs. 1000 million spread over 5 years for a bank having 1000 branches. Other issues such as training, inhouse development of applications, software security of systems must be a part of the integrated approach. Particularly security issue must be given utmost priority in the case of financial networks. Therefore, it will be crucial to plan separately managed and controlled networks with limited access and appropriate gateways to link them together. Appropriate control systems will have to be developed for assurance of data and system integrity, protection of data confidentiality, back tracking of events, assurance of network functionality, fall back and recovery, etc. CARICOM Initiatives in IT Stewart Bishop This contribution reports on three recent initiatives taken in Jamaica, Barbados and Trinidad and Tobago, - three major CARICOM countries - to intensify the utilization and diffusion of information technology (IT) in order to accelerate their economic development. After three decades of IT application in their private and public sectors to provide a more efficient and effective customer service, these countries have in recent times been seeking to create new products and services in their Information Services Sector for the global marketplace. The initial move towards the creation of a externally-oriented Services Sector had been via the provision of tourism and off-shore financial services. However as powerful personal computers, with appropriate software tools and systems, have become widely available at relatively cheap prices, these and other developing countries (DCs) have been able to invest in an IT infrastructure to enhance their competitiveness in an era of globalization and trade liberalization. The operation of the Internet and its emergence as an economic and business tool have created further opportunities for many DCs to develop and market products and services. In many CARICOM
countries low-value data entry services have been provided for the
outsourcing North American corporation but these three countries, with a
longer participation in the IT environment, are now seeking greater
involvement in higher- value activities such as software development and
other technical support services. Significantly, the initiative in
each country was spearheaded by its main public sector investment agency
whose functions are to promote that country's products and services,
attract foreign investors and earn foreign currency. Jamaica Last October, Jamaica Promotions Corporation (JAMPRO) sponsored a Forum on "The Information Technology Sector, The Way Forward." It was coordinated by the Target Europe Project - an undertaking sponsored jointly by JAMPRO and the European Union - and its objective was to evaluate the IT Sector and its future significance to Jamaican's economic development. Dr. Ian Bennett, IT Adviser to the Government, gave an analysis of the IT Sector in Jamaica which employs about 3000 persons, the vast majority of whom are involved in low-value data-entry services and only a small minority in software development and other professional services. During a review of trends in the global IT market he emphasized the potential of products and services in three areas - Internet-related services, software development and technical support services. He stressed that Jamaica could no longer rely on its inherent strengths such as geographic location and low-cost labour but must now seek to develop a cadre of "knowledge" workers. This would necessitate both training and retraining programmes which could be offered in the traditional classroom/lecture hall or through computer-assisted courses, distance learning or networked learning. Such efforts at human resource development would have to be supplemented by the development of legal, legislative and telecommunication infrastructures. Dr. James Cowie, World Bank Telecommunications Specialist, then brought the participants up to date with the Bank's current thinking on IT projects such as the development of a National Information Infrastructure (NII). He concluded his presentation with his perspective on the role of Information Services Associations. These, he felt, could (i) serve as a lobby in order to influence national IT policy, (ii) facilitate the marketing of products and services and (iii) promote a greater awareness, among citizens business and government, of the importance of IT and information. After a full
discussion on the Sector's strengths, weaknesses, opportunities and
threats, the one-day Forum concluded with the presentation of a
preliminary Action Plan by the Target Europe Director and a discussion of
it by the participants. Barbados The Third Barbados Information Services Conference (BISC`96) was held during February 1996 with its major focus being the Emerging Information Technologies. "Widen you Information Technology Horizons" and "Surfing the Global Net from Caribbean Shores" were the two main Conferences themes. During the two days of the Conference, keynote speakers, panel discussions and technical workshops concentrated on both the business and technological aspects with such issues as Wireless Communications, Value-Added Networks, Global Network Security, Electronic Commerce and Business in the Internet being addressed. The Selection of twin themes clearly reflected the new perspective of the organizers, the Barbados Investment and Development Corporation, for the Conference. Prospective investors, mainly from North America, were invited and given an opportunity during the Conference to pay familiarization tours to established off-shore world-class organizations operating here in order to assess the suitability of Barbados as an offshore centre with which to do business. However, the Conference, well established and now advertised on the Internet, is seen as enhancing Barbados's position as a leader in information services in the CARICOM region. Many local and regional participants were therefore exposed to the latest technologies in the formal sessions and through the demonstrations and displays in the Exhibits Hall. Martin Mayer, prolific writer on money, banking and investments, was the keynote speaker for the Conference. In a witty and well-illustrated luncheon address on "Electronic Transfers and Payments", he examined several areas of Electronic Commerce. He traced the transition from payment by cheques to the chequeless society in which the "smart card" is assuming major importance. For the next two decades, the mantra will be EDI/EFT since it will save businesses lots of money. The "smart card", he suggests, will be inserted in the telephone in the same as it is done with the ATM. As for the Internet, he recounted the various theories as to how money movement on the Internet can be protected. He stated that encryption was being favoured by the major credit-card companies. He informed participants of the First Virtual Bank that "makes most of its money by investing for its own benefits the money which buyers, using its service, pay to sellers until the 90-day protest period on Visa purchasers has passed." This most enjoyable presentation gave some vivid insights into tomorrow's financial environment in which IT will assume frightful proportions. In his presentation, Michael Hollis gave a review of the revolution in telecommunications. This telecommunications entrepreneur outlined some of the opportunities in wireless communication such as personal communication services, satellite system and wireless data communications. It was essential to actively market these products in view of the many strategic alliances being formed between traditional suppliers and young entrepreneurs. Jim Pickerill, Vice President of Advantis, an IBM joint-corporation, examined Valued-Added Networks. He recommended the use of computing platform independence for any one wanting to access applications and infrastructure on a global network. He also discussed the Internet and its related services. Participants were taken through the phases of "getting connected" from E-Mail access right through to the involvement in integrated applications such as EDI. Later in the Conference a live Internet demonstration showed how businesses could surf the net from Barbados. Dan Thomsen's presentation on "Network Security on the Global Net" was timely and thought-provoking. This computer security expert discussed such threats as telephone fraud, malicious attacks on voicemail systems and "phreaking" or hacking on the telephone. Special attention was paid to securing a network that was connected to the Internet and the use of the Firewalls for protection was described in detail. While recognizing that security had an associated cost, he lamented the fact that whereas information security is at the top of the corporate wish list, at implementation time it often ends up at the bottom. Priscilla Emery, Senior Vice President, Association for Information and Image Management International, addressed the topic "Beyond Data Entry: Outsourcing Emerging Technologies and other Opportunities." She suggested that many corporations were still experiencing problems with document management, especially, document preparation. CD-ROMs had emerged as a prime medium but opportunities still existed for lower-value data entry applications involving archiving, hyperlinked technical documents and Computer Output on Laser Disc. BISC'96 was
attended by almost 300 participants of whom around 50 were from North
America. It simply remains to be seen how many investors will be led
to Barbados because of BISC'96. One software developer has relocated
from India because of reports obtained about BISC'94. Trinidad and Tobago (T&T) A Symposium on the "Development of a National Information Infrastructure (NII)" was hosted jointly by the country's Tourism and Industrial Development Company and the IT Association of T&T. A NII, which is intended to give a nation the ability to share and deliver information internally, and externally could consist of several computer networks of varying complexities and abilities, interconnected by data-communications technology. The objectives of the Symposium included: • increasing the
awareness of the need for a NII The Keynote speaker was Eduardo Talero, Senior Telecommunications Specialist of the World Bank. Advances in information processing and telecommunication capabilities, he suggested, had led to the emergence of the Information Society and the development of an Information economy. Those DCs which were able to harness IT successfully would create the opportunities to:
Trinidad and Tobago, by accepting the challenge, would have the potential to :
However there would have to be the articulation of and agreement on strategies for telecommunication sector reforms, legal and institutional reform, and human resources development. This would necessitate well-coordinated and deliberate action involving participants from both the public and private sector. He indicated that the World Bank, if approached, was willing to offer assistance with the development of explicit NII strategies as was done with DCs such as Indonesia and Vietnam. There were contributions from various local groups which had an interest in the development of a NII. Telecommunications policy is always a crucial and most controversial issue when a NII is being discussed. Amid some protestations, the monopoly telecommunications service provider affirmed that ample future development plans had been made to provide multimedia communications on a single line and to facilitate the development of Internet and Intranet services. Advanced telecommunication technologies such as ISDN and Circuit Switching would soon be installed to support services such as Electronic Data Interchange, electronic mail and video conferencing. In the area of human resources development, there were contributions describing developments at both the secondary and tertiary levels of the educational system. Public-interest issues such as intellectual property rights and security and privacy concerns were examined in a number of presentations. Questions were asked about general access to the Internet and on the accuracy and reliability of information stored on this network. At the end of the
two-day Symposium the two hundred participants were much more enlightened
on a NII and its significance to Trinidad and Tobago. After a brief
review of the various presentations, the organisers promised to seek the
collaboration of other local professional bodies to ensure that none of
the momentum towards the implementation of a NII would be lost. Summary The three countries have all embraced IT in the pursuit of sustainable economic development at a time when changes in global trading patterns have led to a more competitive marketplace. The initiatives indicate that these governments see the creation of new information products and services as a desirable goal. In reviewing the conferences the following aspects may be highlighted : 1. Telecommunications concerns. Whilst there are relatively modern services provided in the region, critical questions are still being asked about the cost and ownership patterns of these services. 2. Internet-related issues. The importance of Internet as a source of information and as a business opportunity, for example, to assist in tourism marketing has been recognized. 3. Creation of world class organizations. As the countries, particularly Barbados and Jamaica, seek after higher-value information services e.g. software development, the need to have top-class academic and training institutions is being realized. Their tertiary institutions will have to increase the output of graduates and align their education more to the needs of the marketplace. 4. Information associations. In each country there is a professional information association whose function is to promote the development and utilization of IT. These associations which have been involved with these initiatives, will be very influential in the development of a NII and the success of the Information Services sector. Preliminary steps have been made towards a more formal collaboration between the three associations. 5. public sector - private sector relationship. It is becoming increasingly more evident that such collaboration is essential if a NII is to be successfully implemented. Efforts at even closer collaboration are being made. 6. World Bank Involvement. The involvement of the Bank in NII planning is a welcome sight. Its experience with others DCs should serve to help national policymakers who are indanger of being overwhelmed by the "technical overkill" of aggressive IT salesmen and who may be recommending grandiose schemes ill-suited to the particular country. Indian IT Industry: High Growth Path Subhash Bhatnagar However the same optimism can not be expressed about the impact of IT on the performance of Indian organisations. Most managers that we have talked to feel that increased IT investments have not lead to better productivity, improved customer services, lowering of cost of products and services, or an improved utilisation of capital resources. Nearly 80 per cent of the expenditure on IT is in the corporate sector. Last year 0.4 million PCs were shipped, making the total sock of PCs as one million and it would seem that IT has percolated down to small sized establishments. Yet the domestic software industry is not growing fast enough. In fact the value of total application software developed for the Indian domestic market (excluding packages) was a mere 260 million dollars. In the medium and large companies the use of IT is largely confined to routine data processing and only a fraction of the potential has been harnessed. Some monitoring activities have been strengthened but little use is being made for planning or decision making at any level. Decision Support/ Data Warehousing/ EIS are mere distant buzzwords. Few organisations have automated their offices or have switched over to electronic mail as the basic backbone of organisational communication. Some corporations are attempting to build transaction processing systems which will span multiple locations or connect them to their clients and suppliers. Times of India, the largest newspaper chain through their RESPONSE NET provides quick confirmation of advertising space booking; are able to implement a flexible and complex rate structure and have vastly improved their collections. Bajaj Auto the large scooter manufacturer has networked with their dealers and has emphasised computer aided engineering to gain significant competitive advantages. Asian Paints are able to provide a large variety in their products without exploding the inventory costs. These are but a few of the success stories. Most organisations have acquired IT without a proper assessment of their own needs or an analysis of the costs and benefits. Information technology has not created a significant impact on the living conditions of the average Indian. Within Government and services sector, India continues to quote railway reservation as a solitary example of success. A system for managing freight by Indian Railways has taken years to implement in one location and is yet to be replicated in locations which handle bulk of the freight. Large number of computers installed at the district level are poorly utilized. India has not been able to replicate successful use of computers by innovative administrators. For example improvements in an important rural development program that were achieved through computerisation in 1984 in Karwar have not been possible at district level in Gujarat even after a decade, though the computers installed in Gujarat are many times more powerful. Large IT investments are planned in banking, insurance, income-tax but there is little hope of significant impact. What is true of India is also true for many other developing countries. Even in the West where the usage of IT is far more pervasive there is concern about pay off from IT. At least one major study done at MIT has indicated that the rate of return from investments in IT by American Corporations is quite uneven. Only a few sectors of the industry and few organisations within these sectors have really benefited in terms of the bottom line. The average quality of customer service in several industries has gone up tremendously but this has not translated into profits for specific organisations on a sustained basis. The MIT study has concluded that IT cannot be a substitute for "good management". Only companies which are well managed have been able to benefit from their investments in IT. Even though there is much hype about "business process re-engineering", most organisations continue to ignore the need for overhauling operating procedures and management systems before IT is introduced. These are not new ideas. Three decades back research papers have stated the same concerns. The problem is more acute within governments in DC's where computers are installed without adequate attention being paid to the management of the process of change. There is resistance to change, not only from white collar workers alone as was anticipated but also from professionals. Last year in the High Court of Gujarat, computerisation led to a strike by the advocates because new forms were required to be filled. Whereas in some countries there is media audit of glaring IT failures such as in the case of ambulatory services in London (on which popular media and learned journals have carried several articles), one hardly sees such probes in press of DC's. We always like to place technology on a pedestal and report the potential of the technology or future plans of some department or the other to computerise. We have so far adopted a "technology push" approach. We judge the quality of applications from the level of sophistication in technology -- RDBMS, Client-server, use of multi media etc. There is a great desire to replace existing equipment with the latest available technology for the sake of cosmetic improvements in report presentations even though no substantial change in content may be contemplated. If DCs have to harness the potential of IT to any significant extent, we would need to pay much greater attention to IT education to place it within a broader organisational context. IT teams within organisations have to be led by managers who understand the management processes within the organisation; are comfortable with the technology and are familiar with a variety of frameworks and methodologies for identifying, designing and implementing applications successfully. There are very few institutions which provide such interdisciplinary education/training in the developing world. IS programs (as distinct from computer science) do not exist. Even a small investment of $ 10 million can create a centre of excellence in IS. More money has been wasted on incomplete mega projects in many countries. One wonders why governments continue to ignore IS education. WG 9.4 has a significant pool of training resources for delivering IS education. There is need for organising capability to tap these resources. For user managers, a narrow familiarity with personal productivity tools like word-processing and spread-sheets is not enough; a much greater focus is required on understanding the utility of information and analysis for performing a variety of managerial tasks. We have not recognized that a strong managerial commitment to improve performance is a precondition to successful use of IT. Thanks to the economic liberalization programs adopted by many countries, the corporate sector in these countries will be concerned about competition and would look for avenues of improving performance. However, within the governments there seems to be no such compulsions. Perhaps IT should be used to create a culture of transparency and openness so that organisations can be made more accountable. International Office of The Future: A Report Discussions
associated with this IFIP conference addressed various aspects of the
international office of the future. The issues ranged from technical to
organizational/behavioral and societal. The formal proceedings will be
published by Chapman Hall. In the write up that follows, we have tried to
capture the essence of the panels and conference attendee interactions and
have, as well, included a variety of participant comments entered during
electronic discussions. Our thanks to the many anonymous contributors who
have helped form this summary. Hardware/Software Platform Platform challenges focused on how to resolve different hardware platforms, different software platforms, and different communication facilities in different countries. A basic dialectic and tension emerges as, on the one hand, we want universal capability but, on the other hand, we recognize that tolerance for a wide range of technological capability creates a multitude of integration problems. There are two dimensions to this issue, simplicity versus complexity and standardization versus accommodation. The following matrix summarizes participant discussion around this key question of simplicity versus complexity and standardization versus accommodation in general EC contexts. Standardisation Accommodation Simple
not adequate
workable but Complex
workable but
chaos Telecommunications Multiple
communication channels are required to not only support the more formal
aspects of the IOF but also to support side conversations, spontaneous
break-out sessions, etc. Unfortunately, it seems that contemporary
technology is not yet up to the task. The session participants had a
number of suggestions and conclusions to the key question of audio versus
video versus data including that "Perhaps some of the features could
be controlled by the participants themselves, at the discretion of the
leader or the group as a whole through developing protocols that are
appropriate to the nature of the task and group." Dealing with time differences With a virtual
conference, many time considerations become apparent e.g., "does the
conference ever end and can it begin anytime, like now." Participants
need to apriori know the schedule of events so they can make plans to be
involved in those activities that are motivating to them. There was a
tension over how to schedule and the degree of synchronous versus
asynchronous interaction. Participants especially noted the need for
integration of synchronous and asynchronous tools and that "we are
using new technology to implement an old process. Lets take off our
blinders and think outside the box" to address this key question of
the balance of synchronous and asynchronous interaction. Creating and
subsequently managing organizational memory is a particular challenge.
"Everyone who attends will have a different interpretation of what
took place. How do we decide on what is the `official' record?" Management Maintaining
coherence and focus among distributed participants as well as direction
and accountability is a continuing challenge. We exhort planning and
project management but live on-the fly. The problem with not being
together in "illstructured" tasks is that there is no natural
focusing circumstance such as being in the same room together. If a
project team, working across time/space, is comprised of members from
several organizations (or even several departments in one organization),
where is the loyalty when a paradox occurs between what is good for the
project team, the person, and the organization(s)? When you are working
across cultures, time zones, etc., co-ordination becomes difficult. There
needs to be some process or coordinating mechanism in place for ensuring
that work is done by the correct people at the correct time. Communication "If workers
around the world are limited to only computer-mediated contact, will
communication of goals, strategies and other subtle messages suffer? There
may exist a need to interact directly with co-workers for subtle
communication and simulations. If round-the-clock work is a relay team
complete with passing a `baton' then when did we practice? When do we
finish the relay and debrief? How do we share?" Fostering informal
communication when there is no "down time" is a challenge. There
is a particular need to recognize the need for informal as well as formal
communication as noted by one participant. "I value informal
communication. Through this I can evaluate my contributions, my value, and
my understanding of the work we, as a team, are enacting. Research and
practice on how can I do this across time and space is mixed. How will I
work across time and space when (1) there is no `time off' and (2) the
work is critical to me, my team, and our organization(s)?" Another
noted that "One of the greatest benefits for me regarding coming to a
conference is meeting the people I have electronically spoken with - it
helps build bonds and get to know what they are like better." Working together "How can we design and use technology to establish and reinforce collaborative relationships between people distributed in space and time, i.e. transform strangers to collaborators?" The nature of the work being done as well as work discipline comes into question. "If people are working at different places and times, it sometimes is very tempting to postpone activities you have to do for the `group goal'. How do you encourage the participants' discipline with respect to group work?" Differentiating proprietary and public knowledge as well as receiving credit for work is also an issue. "When individuals work in teams they do not always contribute the same. In fact, one individual may contribute the fundamental "concept or thing" that makes the whole team activity work. Should this individual get credit for his/her input or should we care?" International
Symposium on Informatics and Development: A World in Transition A report by Keith Warren The general idea of holding the Symposium was to present regional and international aspects of Informatics to a wider public, to provoke discussion, and to launch Informatics information into Mozambique. At present it is, as in many countries in various continents, the preserve of academics, some sections of government, industry, commerce, the banks and some richer individuals. Mozambique is particularly intent on using Informatics for a wider development. The intention of the Symposium was also partly to enable those working in Informatics in the Southern African region to interchange experiences and hear how other countries at a higher stage of development are developing their informatics systems. It was also partly to help those more developed countries understand the opportunities and problems of the Southern African region. Participants included professors from Holland, Brazil, Portugal and Peru, experts and teachers from South Africa and Botswana, system managers from Kenya and Zimbabwe, practitioners from the Southern African region and of course a large participation from Mozambique, ranging from the Prime Minister (as participant, not as PM) to a large number of students and young people. Over forty Papers were presented, and over 300 persons attended. An overflow room was provided with closed circuit tv. The papers presented ranged from theoretical to practical and from immediate to long-term proposals, all centered on the theme of the use of Informatics for Development. The outcome planned from the Symposium was an increased awareness in the region about the potential of Informatics for creating a wholly new atmosphere of information flow. Any country early in the process of development is relatively isolated in its ideas and in its understanding of modern practice. It does not know the norms and the possibilities. Technically, except for those at the top (and this is usually only a narrow band in countries like Mozambique and even South Africa), it is a closed society. The Second Symposium of the CIUEM was intended to help open it. There is no doubt that many people suddenly had a greatly expanded vision, especially the students who attended, who will take the insights into their adult lives. Already, a small but significant development, the CIUEM has been asked to help in opening a "cyber cafe" in a popular venue where members of the public can work on the Internet. But connectivity in Mozambique (and in the region generally) is still at an early stage; it is at present provided only by the CIUEM to a few clients because of the current lack of sufficient data lines. However, there are prospects that the World Bank, the International Telecommunications Union and UNESCO (via the RINAF project) will help development. The Telecommunications company of Mozambique is now laying fibre optic cables and preparing itself to enter the field. E-mail is used by nearly 1,000 people in Mozambique, and the University has its own network, both provided by the CIUEM. A preliminary conclusion reached in the Symposium was that it is very important to plan Informatics, and that it should be on a scientific model. The institutions and organisations concerned in this work cannot continue to waste scarce financial resources by "getting computers for the sake of getting computers". These should be procured within a general principle based on the necessity to increase efficiency into processes. One aspect covered in the symposium was the need for regional and national informatics policies. The current problems range over financial matters such as the priorities in applying budgets for informatics facilities at various levels in society. A second theme discussed was the use of Informatics in society. There is an increasing interest in insisting that the user, whoever it be, should govern the machine, and not the other way round. A third conclusion was that a flexible infrastructure should be set up to circulate information. One important aspect of this was the availability of the national telecommunications company for changing from an organisation that changes its planning at the mercy of new technical developments or in response to emergencies or other pressures, into something more solid based on real needs. Informatics in the country would have a much firmer base if there was a well-designed national informatics policy. Mozambique as the host country of the Symposium, looked to itself; the Symposium revealed some inadequacy in this area; the country has to tackle the Informatics Policy question. Obviously, development in this aspect depends very much on the "know-how" the practitioners possess, and Mozambique now has a good scientific and technical base, adequate for adapting itself and becoming an effective working partner on the world scene. The conclusion from within Mozambique was that it should, as should any country in a similar situation, believe strongly in itself and face the future with confidence. Information Society: Proposals from South Africa South Africa's
National IT Forum put forward the following five Pilot Projects during the
G7 Information Society and Development Conference that took place in May
13-15 in South Africa. They are looking for input on these projects
from other developing countries. Comments on these projects, suggestions
of partnerships in these projects or other projects could be sent to: 1. Multi-Purpose Community Centres Pilot Project Proposal For the Information Community to become a reality, it must be accessible to the majority of the population. In South Africa, as in much of the developing world, there is a lack of IT resources in disadvantaged communities. Access to these systems and other services through Multi-Purpose Community Centres (MPCCs) would support a range of developmental projects in township and rural communities. In developed countries, the emphasis of the Information Society is on individual and business uses of IT. However, in disadvantaged areas of developing countries, this approach will mean that the majority population are excluded from the Information Society. Therefore, we propose an Information Community, with a key aspect being a communal shared resources approach. MPCCs are central to this, allowing access to IT and a range of development services and applications that will use this infrastructure. The primary objectives of the project are:
Description MPCCs would be housed in one or a number of buildings in disadvantaged communities. In most cases, these could be existing schools, libraries, religious buildings or community centres. At these, an IT infrastructure would be established and could be used as a tool for supporting a wide range of services needed by the community, including: Education; Access to government information in welfare, health, support, public works, housing, public tenders and more; Resource centre for community organisations and individuals; Small Business support services; Centre for community information (such as directories and skills audits). Community involvement in these centres is central to their effectiveness. After initial start-up funding, these centres should become self-sustaining within a year through renting space/services to outside agencies (government, business); low-level charging for services; spin-off small business initiatives. These centres link
with "government online" projects of promoting governmental
transparency and accessibility. The MPCCs would allow a much wider
number of people to access government information and services. 2. Centres of Excellence, Expertise and Resources The establishment of Centres of Excellence, Expertise and Resources (CEERs) will empower developing countries to realize their own vision of an Information Community. CEERs will do this by tackling three identified bottlenecks simultaneously: (a) lack of expertise focused on local needs, (b) lack of support for applied research in information technology, and (c), a private industry that does not appreciate the rewards of successful innovation. Resources will thus be developed for SMME's in IT, private business, multi-purpose community centres, and government initiatives. This is part of an integrated strategy to support the growth in job. CEERs will establish and support an entrepreneurial spirit in young people. A developing country with educated workers, an effective system of innovation and an SMME support structure can be very effective in developing locally useful and internationally exportable applications. Objectives The primary objective of the project is to establish a working system that supports effective IT innovation in developing countries. Research has to be moved into industry and the community. Part f the strategy is to support recent university graduates via an apprenticeship in small enterprises, since SMMEs seem to be the true nurseries of innovation. At first, each participating country should establish between 1 and 3 networked Centres of Excellence, Expertise and Resources (CEERs) that address people orientated areas of IT. Description A network of Centres of Excellence, Expertise and Resources for the Information Community in a country consists of well founded centres for innovation focused on addressing national priorities via multi-disciplinary research and development. Only a couple of such centres are envisaged in each province or major metropolis. Such centres will be associated with:
3. Open and efficient Government Governments in developing countries have the opportunity to exploit the benefits of a modern telecommunication infrastructure which is being effected as part of the development cycle. Adding to that and enabling technology like information technology should be utilised to ensure that a reliable information asset in being built and used to support all aspects of the development of the country, including open and efficient government. This project will supplement the G7 government online pilot project as well as other proposed development pilot projects. In fact, it will also underpin other G7 projects like "healthcare application", "emergency management", "electronic libraries", etc . if applied in a developing country. South Africa has a
strong ability to apply the latest technology to give effect to this
internally, with consultancy from the G7 where needed. Other developing
countries in the region can participate from the beginning with
implementation at a rate which fit their resources, learning from
the South African experience. Objective The primary objective is to investigate and implement the management of the information needs of a developing country in order to ensure that this information is captured according to agreed standards by the institution closest to where it originates, then made available, if possible by using technology, in good time to all who need it to support the development processes for the country. It is assumed that the implementation will go hand in hand with governance, organisational, operational as well as management style changes to maximise the value of utilising sound information by a developing country. Description The pilot project
will obviously not cover all functional areas but the expansion thereof to
do just that must be merely applying the principles wider. The
proposed pilot project is will include file main themes:
Impact: The impact
on the developing country will be that development and governance will be
supported by sound information and the delivery of services streamlined
according to the perception of the citizen, at an affordable cost with the
utilisation of modern technology. This in turn will set free manpower and
skills that can be exploited to speed up development, grow the
national product and become more competitive internationally. 4. IT National Qualifications Framework The overall goal of this project is : "A contribution is made to establishing a National Qualification Framework (NQF) for Information Technology (IT) and to give all interested people access to a portable and progressive IT qualification system." In support of the project goal, the ITNQF project will deliver the following : A nationally defined and agreed qualification framework (competencies, levels and qualifications) for three career clusters in IT, at entry level; A National Standards Body (NSB) for IT, responsible for the implementation of the qualification framework and definition of operational guidelines; Assessment criteria, and guidelines for their use, for a variety of assessment methods; A model to set up Quality Assurance centres. The ITNQF project will communicate continuously with other pilot projects, in order to align the results of the pilot projects and ensure uniform qualification levels and comparable standards throughout all industries. Entry Levels and Accessibility of Training A problem for first-time job seekers is that IT is not a compulsory subject at school and is not included in present curricula. This means that school leavers are compelled to have further training in order to give them the IT skills needed even at job entry level. It also means that employer organisations need to expend disproportionate moneys on entry-level training before any impact on the productivity of the employee. A further dilemma mounting to the problem, is the lack of formal training facilities in all areas, and where tertiary institutions do exists, the training often does not meet industry's need. The ITNQF will therefore concentrate on defining entry level skills, and facilitate the acquisition of these skills as early as school level. The ITNQF also aims at making the entry level skills as accessible as possible, both financially and logistically, by getting industry involved in the definition of the skills required as well as the "computerisation" of schools and other learning institutes, and using technology based training where-ever possible and feasible. Prior Learning and on-the-job Skills The ITNQF also
makes provision for the recognition of prior learning and the recognition
of on-the-job-training, allowing employers to recognise the competencies
of staff and candidates. These all form part of alternative ways in
acquiring qualifications in the IT industry. 5. Multi-media Archive for Vernacular Culture The project seeks to facilitate access to the mostly untapped cultural resources of the developing world, and is also aimed at actively documenting, conserving and disseminating these materials. We have recognised the need for such a 'living' archive in a world where museums and galleries hardly exist and have often suffered neglect and where the list of extinct and endangered cultural species grows daily. Through its concerted efforts to 'return' historic works of art back to their countries of origin, albeit in digital form, this proposed archive seeks the active collaboration with major museums and holders of this art in the developed world. By way of its education outreach endeavors and its involvement in curricular development this project is also directly in line with G7 Theme 3: Cross-Cultural Education and Training. As an academic, long-distance learning resource, the project also links with Theme 4: Electronic Libraries. Contemporary African Music and Arts Archive: CAMA is conceived of as an organism having three 'faces': the 'hunter-gatherer' which seeks out and digitally records African culture; the 'keeper', the archive proper where gathered materials are safely held and digitally archived; and the 'messenger', CAMA's interactive multi-media dissemination initiative which digitally publishes and disseminates these collected works. This ties in perfectly with the idea expressed in the G7 proposal 'Towards pen Multimedia Access to the World's Cultural Heritage' which speaks of allowing 'images, sounds and text to be combined in imaginative new ways to be transmitted in digitised formats and to be stored and reproduced or networked for wide public access and use.' CAMA's stated purposes are listed below: 1. To document the
changing face of African culture as seen through the eyes and ears of its
musicians, artists and storytellers. Project Leaders:
John Turest-Swartz, Response to Chrisanthi's letter Nora Mulira I would like to comment on Chrisanthi Avgerou's suggestion for the organization of the three regional sub-groups (Vol.6. No.2 April 96)namely a) America, b) Africa, Middle East and Europe c)Asia and Australia. Each group with a vice chair and capacity to organize its own activities etc.. This is a welcome suggestion for those of us who have been looking for opportunities to participate and contribute to global IS events, but have been unable to. Delegating some of the responsibilities at this level, will reactivate inactive members the majority of whom are (I suppose) in Africa. The inaccessibility of material as well as financial constraints that prevent constructive contribution are well known in Africa. The regional efforts therefore will enable us to be updated on important issues which are more relevant to our home countries. To illustrate this point further, my colleagues and I have been organizing a national programme for the trainers of information analysts (NAPTIA) due to take place in July. This programme came as a follow up to the Regional one which took place in Nairobi, Kenya. We have devised a unique programme targeting policy makers, decision makers and administrators and educationists. NAPTIA is the first programme of its kind in Uganda, in terms of content and teaching methodology. We have identified our potential participants without being presumptuous of their training needs but using their active contribution. As a result our programme design will have a DSS bias. It will depend more on case studies that will be compiled locally. The success of this mode of training in our country remains to be evaluated but the response has been most encouraging. NAPTIA like its regional equivalent, can be run every year,with fresh ideas from different course co-ordinators who have attended the REPTIA course. The number of REPTIA graduates grows every year, and a sharing of ideas from members can only make our training efforts better. Certainly the proximity of Kenya has been to our advantage in terms of funding participants on a yearly basis. Future training will gain from the evaluations of the previous programmes, as workshops of this nature are (hopefully)emulated in other african countries which participate in REPTIA. I hope that this effort (which is not institution based)will encourage other newsletter readers in the same capacity. Any ideas from people who have carried out similar programmes are welcome. Computerising Banks: Emerging Foreign Competition Extract from CoreExpress Vol. 1 No. 3/4 1996 a Nepali IT magazine. Local banking software producers will soon find themselves competing with foreign products that are trying hard to win over their local clients. With the recent "Emerging Technologies in Banking" seminar, another product for banking automation was launched in Kathmandu. This solution is being offered by PSI Data Systems Limited, an affiliate of GroupeBULL, France, which is based in New Delhi, India, with 51 per cent of its shares owned by BULL. Inaugurating the seminar on February 6 at Hotel Annapurna, B.K. Man Singh, general manager of the National Industrial Development Corporation (NIDC), expressed hopes that PSI would bring technology into Nepal which local people here can learn from. A total of 18 representatives from local banks participated in the seminar. PSI executives responded to queries raised by the participants. PSI offers its services for the automation of banks. At present, Mercantile Office System's Pumori is the leading banking software in Nepal, and a client-server version of the same product, Pumori Plus, has already been announced. The other players, trying hard to enter the market are Infosys, CITIL Corporation and TCS. Micro-Banker by FAO, Nabsys and Worldsys of Nabil, and PCS Banking Solution are already in use. Rastriya Banijya Bank is reportedly going for in-house software development and World Distribution (Nepal) is also developing banking software in Oracle. CORE conducted an on-the-spot survey with the representatives of NIDC, Himalayan Bank, Ace Finance Company, Nabil, Rastriya Banijya Bank, Nepal Bank Limited and Everest Bank. Most thought the PSI product is good. Six had already seen or used Pumori, and only two thought that it could become a threat to Pumori. While two believed that Pumori is better, the remaining two were unsure. Though uninterested in the hardware that PSI was offering, most of the participants will make further inquiries on the PSI product and suggested that they would consider switching to PSI's solution if they found it better. Contributed by
Peter Malling, Information Management Specialist, Social Welfare Council WG9.4: Newsletter Available Electronically The newsletter has for sometime been available from the WG94-L archive in the following formats. The file names for July 1996 and corresponding formats are as follows: news0396.ps
PostScript To retrieve,
"news0396.ps", send the following message: We hope that those who prefer to get the Newsletter by electronic means, will unsubscribe from the mailing list of the printed Newsletter, to contain the cost. |