KEYWORD Marketing Information system Decision making

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1 RJMSTNG 25 The impact of marketing information system on managerial decision making (A case study of Oceanic Bank plc Maiduguri branch) By Eze, Chukwuma Cyril & Musa Gora Department of Banking and Finance Ramat Polytechnic Maiduguri ABSTRACT The study was a survey research meant to determine the impact of marketing information system (MIS) on management decision making in the banking industries. A set of questionnaires was used to elicit information from a sample of 30 staff, who were carefully selected through simple random sampling technique. The results obtained showed that since the introduction of IT for decision making, patronage of customers increased, improvement of qualitative decision making, marketing information system influences decision making in the banking industry. The study recommends that Oceanic Bank Plc Maiduguri must rely more on Marketing Information System to take the right decisions (Programmed, Non Programmed, strategic and tactical decisions). KEYWORD Marketing Information system Decision making INTRODUCTION Managing marketing information by way of information technology (IT) has turn out to be one of the most crucial elements of effective marketing. Through collecting and sharing marketing information and by using it to promote corporate and brand image, Information System (IS) offer new ways of improving internal efficiencies of Bank. The information processing requirements of companies are expanding as their competitive environments become more dynamic and volatile (Child 1987). To handle the increasing external and internal information flow and to improve its quality, companies will need to take advantage of the opportunities offered by modern information technology and information systems. Information systems allow dynamic marketing communication between personnel in corporate planning, accounting, advertising and sales promotion, product management, channels of distribution and direct sales (Talvinen, 1994). Information technology-based marketing information systems (MKIS) have been with us for many years. The importance of computers in marketing was highlighted by Kotler (1966). Conventionally, marketing information systems has been seen as a system to support marketing management in its decision making. In addition to the management perspective, marketing information systems can be an essential tool for the entire marketing organization. The first definition of marketing information systems (MKIS) was presented by Cox and Good (Cox, 1967). MKIS was seen as a set of procedures and methods for the regular planned analysis and presentation of information for use in making marketing decisions. Brien and Stafford (Brien, 1968), Smith et al.(1968) and Buzzell et al(1969) further developed the definition. Marketing information was divided into control, planning and research \informa-

2 RJMSTNG 26 tion (Buzzell et al(1969). The purpose of the earliest marketing systems was to gather, sort, analyse, evaluate and distribute pertinent, timely and accurate information for marketing decision makers to improve their planning, implementation and control. Uhl (1974) pointed out that there is no one MKIS that will serve all organizations because of the unique information requirements of different organizations they are composed of sub systems and they have been built over a long period of time. MKIS is a computerized system that designed to provide an organized flow of information to enable and support the marketing activities of an organization; which serves collaborative, analytical and operational needs, designed to be comprehensive and flexible in nature and to integrate with each other (Harmon, 2003). Marketing information system is efficient tool providing past, present and projected information relating to internal operations and external intelligence (Armstrong and Kotler, 2007). It supports the planning, control, and operational function in an organization by furnishing uniform information in the proper time frame to assist the decision maker. Applegate et a!. (1988) commented that earlier generations of managers tended to adopt technology first and then try to figure out what to do with it ; they add, that approach is now grossly inadequate. This statement remains applicable today as the intensity of both present and future competition is likely to encourage senior management to replicate the IT interventions of leading MKIS companies. Matching in- formation technology to the organization in terms of its ability to shape the organization is central to success. Part of that matching process rests with understanding the value of the collection, application and management of marketing information generated by information technology applications such as Data Base Marketing. We speculate that under time pressure senior management in second mover firms are likely to make ad hoc adoption decisions without fully considering the match between the technology and the overall value orientation of their organization. Such adoption decisions are unlikely to secure competitive advantage. Decision-making is a course of action about what must or must not be done. Three aspects of human behavior are involved in decision making: (i) cognition, activities of the mind associated with knowledge; (ii) the action of the mind implied by such words as willing, desire, and a version, and (iii) the aspect of mind associated with emotion, feeling, mood and temperament. All these factors go into decision-making (Jobber and Fahy, 2006). Decision making always involves risk since it is concerned with assessment of future outcomes and events, none of which can be known. Information reduces uncertainly and helps marketing manager to see the likely effects of various decisions but the information system does not make the actual decisions that is a MIUS function. The function of MKIS is to provide decision makers with timely and accurate data to allow

3 RJMSTNG 27 making and implementing the necessary decisions to optirnise the interrelationships most effectively reach the organizations predetermined goals. The purpose of the present study is to determine the impact of marketing information system (MIS) on management decision making in the banking industries. METHOD OF STUDY This study made use survey and relies on a simple random sample to collect the required data. The population study consists of staff of Oceanic Bank Plc. Maiduguri. The data was collected through predesigned questionnaire which was directed to the marketing people. A self administered questionnaire was used to collect the required data from the population of the study. Using the drop and collect method, 40 questionnaires delivered by using a comprehensive survey method, and then collected it within one month. The highly controlled data collection procedures ensured returned back 30 questionnaire with 95% response rate. The required data was collected by the questionnaire, which was developed for this purpose. The questionnaire was validated through a mini survey of academics and experts. Their opinions and comments were considered in the final version of the questionnaire. The author excludes these questionnaires from the final analysis. Descriptive analysis and Chi-square test were used for data analysis. The main hypothesis was influence managerial decision making in the banking industry. H0l: Marketing information system influence managerial decision making in the banking industry. To investigate this hypothesis, descriptive statistics of variables were computed and chi square was used to test it. RESULT 1. Majority of the respondents indicated that since the introduction of IT for decision making, patronage of customers increased (table 1) 2. Most of the respondent indicated that Information System led to getting information at the right time (table 1) 3. Most of the respondent indicated that there is improvement of qualitative decision making since the introduction of the information system (table 1) 4. Chi square applied to the test the hypothesis showed that computed value of chi-square (9.375) is less than the critical value of the cliisquare (9.488). Therefore the null hypothesis was rejected and the alternate hypothesis which states that marketing information system influences decision making was accepted. Therefore, marketing information system influences decision making in the banking industry. H1I: Marketing information system do not

4 RJMSTNG 28 DISCUSSION The findings of the study based on the results obtained in table 1 suggests that marketing information system influences decision making in the banking industry and getting the information on the right time. These findings reasonably confirmed earlier observations that marketing infor- ITEM STATEMENT RESPONSES YES NO FREQUENCY PERCENT- AGE FREQUENCY PERCENT- AGE 1. Is there any marketing information system in your bank? 2. Is your marketing system computerized? Did your marketing information system improve customers patronage? 4. Do you get information at the right time? Is there any improvement of qualitative decision mation system is efficient tool providing past, present and projected information relating to internal operations and external intelligence (Armstrong and Kotler, 2007). It supports the planning, control, and operational function in an organization by furnishing uniform information in the proper time frame to assist the decision maker (Appelgate et al. 1988) Table 1 : Responses of staff of Oceanic Bank Plc Maiduguri CONCLUSION The study found that that Oceanic Bank Pie Maiduguri utilized and depend more on Information system in decisions making since the introduction of information technology to the banking industries. And finally the study concludes that marketing information system influences decision making in the banking industry. RECOMMENDATION Therefore, the decision maker must try to find out the various alternatives available in order to get the most satisfactory result of a decision. Oceanic Bank Pie Maiduguri must rely more on Marketing Information System to take the right decisions (Programmed, Non Programmed, strategic and tactical decisions). REFERENCE Appelgate, L.M. 3.1 Cash and D.Q. Mills, (1988). Information Technology and Tomorrows managers, Harvard business review, Nov-Dec., ppl Armstrong, G. and Kotler, Ph. (2007), Marketing: An Introduction, 8th, Ed, Pearson, Prentice-Hall. Upper Saddle River, New Jersey, NJ. Brien, R.H. and Stafford, J.E., Marketing information systems: a new dimension for marketing research, Journal of Marketing, Vol. 32 No. 3, July/ Fall, pp Buzzell, R.D., Cox, D.F. and Braun, R.V. (1969). Marketing Research and Information Systems: Text and Cases, McGraw-Hill, New York, NY

5 RJMSTNG 29 Child, J. (1987). Information technology, organization, and the response to strategic challenges, Calfornia Management Review, Vol. 30 No. 1, Fall,pp Cox, D.F. and Good, R.E. (1967) How to build a marketing information system, Harvard Business Review, Vol. 45 No. 3, May-June 1967, pp Delone W, H. and Mclean E, R. (1992). Information system success: the quest for dependent variable, information system research, 3:1, the institute of management. Tahrinen M. J (1994). Information system in marketing identifying opportunities for new applications. European Journal of Marketing 29,1 8 Uhi, K.P., Marketing information systems, in Ferber, R. (Ed.) (1974).Handbook of Marketing Research, McGraw-Hill, New York, NY. Varshney G.K.(1997).Theory and Practice of Management, Top Publication, New Delhi. {RJMSTNG} Harmon Robert R. (2003). Marketing information system, Encyclopedia of information systems, Volume 3. Elsevier Science (USA), Jobber, D and Fahy 3. (2006), Foundations of marketing, The McGraw- Hill companies, New York, NY. Kotler, P.(1966). A design for the firm s marketing nerve center, Business Horizons, Vol. 9 No. 3, Fall, pp Smith, S.V., Brien, R.H. and Stafford, J.E., Marketing information systems: an introductory overview,, in Smith, S.V., Brien, R.H. and StafforcL J.E. (Eds) (1968). Readings in Marketing Information Systems, Houghton Mifflin, Boston, MA.