Today’s
business environment is very dynamic and undergoes rapid changes as a result of
technological innovation, increased awareness and demands from customers.
Business organizations, especially the banking industry of the 21st century
operates in a complex and competitive environment characterized by these
changing conditions and highly unpredictable economic climate. Information and
Communication Technology (ICT) is at the centre of this global change curve.

Laudon
and Laudon, (2001) contend that managers cannot ignore Information Systems
because they play a critical role in contemporary organisation. They point out
that the entire cash flow of most fortune 500 companies is linked to
Information System. The application of information and communication technology
concepts, techniques, policies and implementation strategies to banking
services has become a subject of fundamental importance and concerns to all
banks and indeed a prerequisite for local and global competitiveness. ICT
directly affects how managers decide, how they plan and what products and
services are offered in the banking industry. It has continued to change the
way banks and their corporate relationships are organized worldwide and the
variety of innovative devices available to enhance the speed and quality of
service delivery.

Harold
and Jeff (2005) contend that financial service providers should modify their
traditional operating practices to remain viable in the 2000s and the decades
that follow. They claim that the most significant shortcoming in the banking
industry today is a wide spread failure on the part of senior management in
banks to grasp the importance of technology and incorporate it into their
strategic plans accordingly.

Woherem
(2000) claimed that only banks that overhaul the whole of their payment and
delivery systems and apply ICT to their operations are likely to survive and
prosper in the new millennium. He advices banks to re-examine their service and
delivery systems in order to properly position them within the framework of the
dictates of the dynamism of information and communication technology. The
banking industry in Nigeria has witnessed tremendous changes linked with the
developments in ICT over the years. The quest for survival, global relevance,
maintenance of existing market share and sustainable development has made
exploitation of the many advantages of ICT through the use of automated devices
imperative in the industry.

It is globally belief that the computers are able
to provide useful information if properly fed with a reasonable input or it
will result in “Garbage in Garbage out”. The use of computer to carry out a very wide
range of activities for work, study and leisure has become part of our everyday
life. It is no longer something that you may want to use if you are interested;
rather like motor car it is an essential part of our lives. We are constantly
told that anyone can use a computer, and to some extent this is true. As we
became more and more upon technology this will not be enough. Computer in
commercial and industrial settings have been around for several decades,
nothing new about that. What is new however is the availability of computing
power at modest cost to managers and workers throughout business organization
and banking industries?

However, in the banking industry computer has
been used in various areas carrying out their day-to day activities. Thanks for
the introduction of micro computers, the power to retrieve and process data no
longer belongs exclusively to computer specialist.