IMPACT OF MANAGEMENT INFORMATION SYSTEM ON THE PERFORMANCE OF ABUJA INFRASTRUCTURE INVESTMENT CENTRE (AIIC) ABUJA

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IMPACT OF MANAGEMENT INFORMATION SYSTEM ON THE PERFORMANCE OF ABUJA INFRASTRUCTURE INVESTMENT CENTRE (AIIC) ABUJA

ABSTRACT

This study examines impact of management information system on the performance of Abuja Infrastructural investment centre (AIIC) Abuja. The specific objectives of the study include to determine the extent to which the organization adopt the use of Management Information Systems (MIS); to identify how effectiveness Management Information System is to decision making and to evaluate the effect of Management Information System on the performance of Abuja Infrastructure Investment Centre (AIIC). The research design adopted for this study is survey design. The research analyzed the respondent’s opinion using tables while hypothesis was tested using Chi-square.  The findings of this study shows that Abuja Infrastructural Investment Centre adopts the use of Management Information Systems, the management information system is effective in decision making in Abuja Infrastructural Investment Centre Abuja and finally Management Information System has significant effect on the performance of Abuja Infrastructure Investment Centre (AIIC). Finally the study recommends that management of Abuja Infrastructural Investment Centre (AIIC). should ensure that better office equipment is procured to facilitate the office chores for efficiency and effectiveness in the organization and that trained and experienced personnel should be employed to handle the operations and it those ones are not well trained, the bank should provide a training course to acquaint them with the latest office machine that are procured.

CHAPTER ONE

INTRODUCTION

1.1     Background to the Study

The role of Management information system (MIS) is vital now-a-days in business environment because it has evolved over time to become an integral part of its business operations (Abdul and Khan, 2016). The use of management information system has increased for last few years not only by firms, but also by individuals and even governments. Because of the today’s global environment where competition is very high, it is the basic requirement of the organization to install management information system to compete the market and to earn more profitability, invest in innovation in their products, and to grow their businesses. All of these factors transformed the information system from data processing systems to decision support systems and became the foundation of the new business environment.

Management Information Systems is a system that converts data into information, communicated in an appropriate form to managers at levels of an organization. The information can contribute to effective decision making or planning to be carried out (Patterson, 2005). MIS basically involves the process of collecting, processing, storing, retrieving and communicating the relevant information for the purpose of efficient management operations and for business planning in any organizations.  Thus, the success of effective decision-making, is consider as the heart of administrative process, is highly dependent partly on available information, and partly on the functions that are the components of the process (Nath & Badgujar, 2018). MIS Provide information in the form of pre specified reports and displays to support business decision making (O’Brien & George, 2017).

Development in information related equipment techniques and concepts collectively called information technology have been occurring at a breathtaking pace. New version of computers terminals, and other devices are announced almost daily in business new techniques for solving business problems. Many of these developments provide management information system to improve the effectiveness of information system and the quality of managerial decision making.

These changes and developments have both stimulated the need for more useful information and provided the means of attaining it. Consequently, information systems are exhibiting varied and interesting effects. For instance, computers and related equipment are being applied to the collection, processing and dissemination of information. Decision models are being employed to organized data for decision making reports are being tailor made for managers upon demand.

Other effects of an organizational nature are appearing, for instance information system functions are being organized to manage information system also, functional information system is being installed alongside accounting and other information systems e.g. personnel information systems.

Since each member of this combined group focuses upon information for managerial decision makers, the resulting combination is known as the management information system. The Management Information System is an important portion of a firm’s communication e.g. banks overall information system.

Corporate operations and decision-making are widely based on information that has been provided or generated by individual and specific Information Technology systems. Such systems are used to collect, harvest, organize, and generate an output that would back up fast and sound business decision. Firms adopt new management techniques and systems with the purpose of enhancing the decision-making processes, improve results and minimize output costs (Henry & Mayle, 2013). Consequently, this is a way to enhance company operation effectiveness. Various management techniques and management accounting practices improve financial performance if firms follow specific strategic priorities (Naranj-Gil, 2004).

Furthermore, researchers assume that managers, as rational agents, are unlikely to adopt a management information system that does not improve their company’s financial performance (Chenhall, 2013). Therefore, management information is used to considerably improve decision-making and, as a result, improve financial performance. Likewise, firms that rate their management information system high will conceivably adopt it to a much bigger extent, with the ultimate goal of maintaining and improving their overall financial performance. Despite the limitations, some empirical studies attempt to relate financial performance to Management Information System (Management Information System) or new management techniques. The majority of them analyze the individual effect of a particular management method, although with a degree of divergence in results. In many companies, such management information systems have been implemented as a support in decision-making and a tool to attain high corporate performance. Still investigating the relationship between Management Information System and corporate performance requires further examining. It is against this background that this study seeks to examine the impact of management information systems on the performance of Abuja Infrastructural investment centre (AIIC) Abuja.

1.2     Statement of the Problem

In this turbulent era, organizations strive to improve their competitiveness by enhancing productivity through, innovation, quality and flexibility of services at the departmental and organizational levels. Despite the fact that management information system with its varied and interesting effects  revolutionize management, provide answers to its problems and add a large new innovation to the organization yet a lot of  organizations are still ineffective in their operation.  The problem of the study lies in the fact that the Abuja Infrastructural Investment Centre has not accommodated the change towards the use of technology in performing its functions and operations; it rather remained in the same position away from progress and excellence, due to the intensification of competition between private and public organizations as a result of the multiplicity and diversity of services and organizations that provide such services on one hand, and the high level of their needs and expectations and desires, and different standards of judgment of the quality of services that they consume the other hand.  So the problem of the study is illustrated by the lack of awareness and knowledge of the impact of using of management information systems technology and quality on the services provided by the Abuja Infrastructure Investment Centre Abuja.  These problems informed the need for this study to examine the impact of management information system on the performance of Abuja Infrastructural investment centre (AIIC) Abuja.

1.3     Objectives of the Study

The general objective of this study is to examine the impact of management information system on the performance of Abuja Infrastructural investment centre (AIIC) Abuja. The specific objectives of the study include:

1. To determine the extent to which the organization adopt the use of Management Information Systems (MIS).
   1. To identify how effectiveness Management Information System is to decision making.
   1. To evaluate the effect of Management Information System on the performance of Abuja Infrastructure Investment Centre (AIIC).

1.4     Research Questions

          The study is guided by the following research questions

1. To what extent does the organization adopt the use of Management Information Systems? 
   1. How effective is the Management Information System is to decision making?
   1. What is the effect of Management Information System on the performance of Abuja Infrastructure Investment Centre (AIIC)?

1.5     Statement of Hypothesis

H01: The organization does not adopt the use of management information systems in Abuja Infrastructural Investment Centre Abuja.

H02: Management Information Systems is not effective in decision making in Abuja Infrastructural Investment Centre Abuja.

H03: Management Information System has no significant effect on the performance of Abuja Infrastructure Investment Centre (AIIC).

1.6     Scope and Limitation of the Study

This work is aimed at examining the effect of effect of Management Information System on the performance of Abuja Infrastructural Investment Centre (AIIC) as the case study. The study limited its scope to three components of Management Information System (Management Information System) which include; ICT software application, ICT Hardware and Workers attitude (i.e. Human ware).

The limitations which include unavailability and inaccessibility of relevant data and material necessary for carrying out this study. Another is the unwillingness on the part of the respondents to give adequate and correct information necessary to carry out the work.

1.7     Significance of the Study

The significance of the study lies in the importance of management information systems on the performance of the Abuja Infrastructure Investment Centre, and its role in providing the appropriate data and information both internally and externally in order to support management function, giving advanced solutions for managers, helping administrators to take correct decision in a large margin, improve the administrative level in the Organization.

From the result of the study, the extent to which management information system techniques have been utilized in the banking industry and how far this has affected the overall performance of the bank will be determined. It is expected that the result of the study will enable the organization to achieve its desired objectives (customer satisfaction). This study will be of great benefit to bankers, investment analyst, government agencies, academics, private and public sectors, as it will add to the body of literature in thç relevant future study.

1.8.    Historical Background of the Case study

Abuja Infrastructure Investment Centre (AIIC) is an agency of the FCT Administration that promotes and facilitates private sector participation in the provision of public infrastructure and services within the Federal Capital Territory (FCT). In this regard, it ensures compliance with all Laws, Regulations and approved National Policies on Public Private Partnership (PPP) in PPP projects of the FCT as well as adherence to global best practice in other private sector collaboration project.

The journey to the conceptualization of the AIIC began with a memo dated July, 2008 submitted to erstwhile Honourable Minister of the FCT, Dr. Aliyu Modibbo, by his Senior Special Adviser on Infrastructure and Donor Coordination, who was also the head of the FCT PPP unit under the office of the Honourable Minister.

To ensure effective take off of the AIIC, the defunct PPP Unit provided the platform, and thus, re-designated as the Abuja Infrastructure Investment Centre (AIIC). The ATIC, therefore, took over the functions and responsibilities of the defunct PPP Unit.

In view of the inadequacy of the administrative approval in the establishment of the AIIC, the FCTA got the President of the Federal Republic of Nigeria, Mhaji Musa Yaradua, GCFR to ratify the establishment 9±’ the centre which culminated in the promulgation of Abuja Infrastructure Investment Centre (Establishment Order), No. 1 of 2009. The AIIC thus has similar status with other agencies of the FCTA that were established under the FCTA Establishment Order No 1 of 2004.

Conscious of the expectations of its founding fathers, the mandate of AIIC is to work with Secretariats, Departments and Agencies of the FCT Administration in promoting and facilitating private sector participation in FCT infrastructure and services. It therefore engages in investment promotion activities and creates structures and frameworks for the provision of infrastructures and services in the Federal Capital Territory including the Area Councils.

It is in this light the FCT Administration unbundled the private sector participation in the provision of public infrastructure and services under three basic categories:

1. Public Private Partnerships as regulated by the infrastructure Concession Regulatory Management Information systems;
   1. Private Sector Collaboration using global best practices; and
      1. Provision of enabling environment to entrepreneurs.

1.9     Definition of Key Terms

Management Information System: It defined as “a computerized platform are told that through computers, management and use of the organization, through data analysis and reach rational decisions designed to give the established maximum benefit from the use of computers and the systems to assist in the provision of information, and are analyzed and make the right decisions administratively.

Quality of service (QoS): It is an activity in order to improve and enhance customer satisfaction, such as the techniques used in e-business or which help usually improve the services provided to the customer telephone networks.

System: is a group of components that interact to achieve some purpose.

Information: Information can be said to be a stream of data that have been processed to the form that makes sense to its users

Information System: An information system is a collection of activities, procedures, methods, technology and peoples that are organized to get the valuable related data and information.

Efficiency: The power or ability to produce the desire or satisfactory result. It could also be classified as output all over input.

Data: Data i the representatives of facts, observation or occurrence which can take different form as numbers, codes, word etc.

Properties: that which a person owns; the possession or possessions of a particular thing, which could be goods, land etc.

Tenancy Rate: the temporary possession or occupancy of something (such as a house) that belongs to another, and paying a certain amount of money for occupying the house.

Software: is a collection of data or computer instructions that tell the computer how to work. This is in contrast to physical hardware, from which the system is built and actually performs the work.

Workers Attitude: involves feelings, values, beliefs and disposition that make individuals to ICT or behave in a certain way in workplace.