Impact Of Management Information System (Mis) On The Insurance Industry In Nigeria Using Imo State As A Case Study

Abstract

The aim of this study is to assess the impact of Management Information System (MIS) on the insurance industry in Nigeria using Imo State as a case Study. Four research questions and objectives were used in the study. The research design was descriptive survey design. The study population were individuals who are residents of Imo State and are eligible to purchase life insurance products. This includes both males and females, aged 18 years and above, who have an income and are potential customers for life insurance products in Imo State. The sampling technique used in the study was a combination of purposive and convenience sampling and a sample size of 576 respondents. The research instrument for this study could be a structured questionnaire. The data collected for this study was analyzed using both descriptive and inferential statistics. The result revealed that the different types of MIS used in the Nigerian insurance industry include: Policy Administration Systems, Claims Management Systems and Customer Relationship Management while the types that are not in use are Underwriting Systems and Business Intelligence. Benefits and challenges of using MIS in the Nigerian insurance industry include: Improved Efficiency and Initial Investment, enhanced Decision Making and Data security and privacy concerns, better customer service and Integration challenges, improved Risk Management and staff training and resistance and cost savings and System Downtime. In terms of extent of MIS being adopted and utilized in the Nigerian insurance industry, Larger Insurance Companies and Medium-Sized Insurance Companies are in high extent while others Smaller Insurance Companies, regulatory Influence and data Accessibility are in low extent. The relationship between MIS and the performance of insurance companies in Nigeria are in high extent between Improved efficiency and enhanced decision-making are in low extent. In conclusion, the study sheds light on the role of MIS in the Nigerian insurance industry and provides valuable insights for insurance companies, policymakers, and educational institutions to enhance MIS adoption, overcome challenges, and improve the industry’s overall performance.

CHAPTER ONE

INTRODUCTION

1.1       Background to the study

Insurance businesses are today much more concerned about the effect of competition than they were a few years ago. They must react to the competitive threats not only from local source but also from regional, national and international source; likewise they must seek to explore all opportunities that are available in the immediate, national and Global environment. Deregulation has also increased competitive pressure for insurance organizations to survive, grow and prosper. In such a competitive environment, insurance managers must employ a lot of the resources at their disposal as efficiently as possible so as to accomplish the objectives and goals of the enterprise. Management Information System provides information in form of reports and displays to insurance managers and many business professionals (Muniratet al., 2014).

Management Information System takes into account integrative nature of information flow as well as the structuring of the organization around decision centers. Standards of performance are part of any good plans; hence, determination of standards like other aspects of the planning process depends on the availability of relevant management information system. Management information system aids the functioning and monitoring of an insurance organization. It also describes the components and resources to ensure the proper functioning of insurance.Management information system has changed the physical layout of offices to accommodate local networks and departmental integrated systems. It is also a formalized procedure to provide management at all levels and in all functions with appropriate information from all relevant source to enable them make timely and effective decisions for planning, directing, evaluating, and controlling the activities for which they are responsible for (Muniratet al., 2014).

Moreover, the potential of management information system to provide firms competitive advantage has been a topic of interest to both practitioners and academicians over the last five (5) decades. This interest is reflected in the large number of studies that have examined the strategic value of performance of management information system and its impact on firm performance. This attention to performance of management information system stems from the fact that insurance organizations often make significant investment of time and financial resources in the acquisition of information technology and its services in recent times (Oladipo, 2017).

The role of information in decision-making among insurance practitioners cannot be overemphasized; and effective decision-making demands accurate, timely and relevant information. As the numbers of employees, customers and transaction increases in an organization the more it become multifaceted, and the information needed for effective management, planning, decision-making and control invariably becomes more complex (Olumoye, 2013).

In the context of insurance, decision-making is the task of every top management in the industry and they need relevant and timely information to assist in taking decisions. According to Lucey (2015), relevant information increases knowledge, reduces uncertainty and is usable for the intended purpose. However, there are difficulties in producing relevant and timely information among most organizations in Nigeria and the insurance industry is not exempted. Hence this study seeks to explore the impact of performance of management information system (MIS) on the insurance industry in Nigeria.

1.2       Statement of the Problem

The insurance industry in Nigeria faces several challenges in managing and processing data due to the vast amounts of information it generates. The use of manual and traditional approaches to managing data in the insurance industry in Nigeria has led to inefficiencies, inaccuracies, and delays in decision-making processes, which can impact the overall performance and profitability of insurance companies. Therefore, the problem addressed in this study is to examine the impact of Management Information System (MIS) on the insurance industry in Nigeria, specifically on the performance and profitability of insurance companies in Imo State.

1.3     Aims and Objectives

Aim

The aim of this study is to assess the impact of Management Information System (MIS) on the insurance industry in Nigeria using Imo State as a case Study.

Objectives

1. To identify the different types of MIS used in the Nigerian insurance industry.
2. To examine the benefits and challenges of using MIS in the Nigerian insurance industry.

• To evaluate the level of adoption and utilization of MIS in the Nigerian insurance industry.

1. To explore the relationship between MIS and the performance of insurance companies in Nigeria.

1.4     Research Questions

1. What are the different types of MIS used in the Nigerian insurance industry?
2. What are the benefits and challenges of using MIS in the Nigerian insurance industry?

• To what extent is MIS being adopted and utilized in the Nigerian insurance industry?

1. What is the relationship between MIS and the performance of insurance companies in Nigeria?

Scope of the Study:

This study will focus on the impact of Management Information System (MIS) on the insurance industry in Nigeria. The study will cover a period of  years from 2011 to 2021. The study will be conducted among insurance companies and their employees in Imo State, Nigeria.

Significance of the Study:

1. This study will provide insights into the impact of MIS on the Nigerian insurance industry, which will be useful to insurance companies, regulatory agencies, and other stakeholders.
2. The study will help insurance companies to understand the benefits and challenges of using MIS and to make informed decisions regarding its adoption and utilization.
3. The study will also contribute to the body of knowledge on MIS in the insurance industry, which will be useful for future research.
   

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   Pages:  60

   Category: Project

   Format:  Word & PDF               

   Chapters: 1-5                                          

   Source: Imsuinfo

   Material contains Table of Content, Abstract and References.

   

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