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Credit card management information System for ICICI Bank

ASSIGNMENT
Management Information System
“Credit card Management Information System for ICICI Bank”

Submitted by: Submitted to:

(MBA-I, A-Batch), Group 7 Mr. Prashant Barge

Atul Chandra (037)

Nitichandra Igle (038)

Pankaj Jadhav (039)

Anant Jain (040)

Nakul Joshi (041)

Prasnna K (042)

1 Management Information System Assignment


Credit card management information System for ICICI Bank

Introduction and a brief outline:


The Project allotted to our group was Credit Card Management Information System
for ICICI Bank. ICICI Bank which has multiple outlets for ATM across India is a well
established customer service provider. The task was to implement Management
Information System in the flow of the credit card issue
structure wherever required. The group found some
loopholes in the highly convoluted process flow. The entire
process as well as the Credit card information will be
explained in detail with miniscule data taken into
consideration after scrutinizing each factor.

ICICI Bank is the largest credit card issue


issuer in the
country and has a wide range of credit cards designed to
cater the needs of different sections of the society. The
bank has classified its card segment under different categories such as premium cards,
classic cards, value for money cards, co-
co branded
nded cards, affinity cards and EMI card.

The Credit Card from ICICI Bank provides the card bearer, the benefits of owning an
exclusive Credit Card for his/her convenience and usage. The card includes special deals to
complement the bearer's lifestyle. The Credit Card includes Super Gold Credit Cards,
Platinum Credit Cards along with Travel Cards for Airmiles, the best holiday packages and air
tickets. A Golf Credit Card comes with a free membership of the Indian Golf Union along
with special Golfing benefits.

The ICICI Credit Card provides access to


various useful commodities the
consumption of which would otherwise
be expensive. For example an ICICI Bank
Co-branded
branded Card of a departmental
chain can enable the consumer to buy
commodities at a lesser cost than
tha he
would normally have to do without the
card.

EMI Credit Card provides unique credit facility, where the customer's monthly EAD (EMI
Amount Due) is fixed and inclusive of all charges. Any incremental purchases will not
increase the EAD paid by the cust
customer
omer but only result in the proportionate increase in the
tenure of repayment.

India's only internationally valid Value for Money Photo Card offers an unmatched
combination of features and convenience. Thus as the introduction on ICICI credit card
facilityy has brought about a revolution in the world of purchases, the ICICI has only taken
this facility to the next level much to the convenience of its millions of users worldwide.

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Credit card management information System for ICICI Bank

The Credit card system works the following way as explained below:

Flow Chart for the existing system


RECOMMEND

SALES CORPORATE
SOURCE PHONE OR
CUSTOMER
TELEMARKETING

NO OTHER
CARD LOST 1ST TIME
DEPT.
USER

YES

FORM FILLING

1st LEVEL
SCREENING

CREDIT TEAM

VERIFICATION TEAM

IS IT OK
ISSUE NEW YES, IF CARD LOST IF NO
CARD
YES

DECIDE CREDIT
LIMIT

PRODUCT
DESIGN TEAM

CARD FORMATION

COURIER TO CUSTOMER
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Credit card management information System for ICICI Bank

Data Flow diagram for the existing System


OTHER CORPORATE DIRECT
DEPT. PHONE OR SELLING
TELEMARKETING AGENTS (DSAs)

CUSTOMER DETAILS (MIS) (MIS) CUSTOMER DETAILS

BANK’S DATA
CENTER

CUSTOMER FILLED FORM (MIS)

VERIFIED VERIFIED
VERIFICATION
CREDIT TEAM (MIS) (MIS) VERIFICATION TEAM
SYSTEM
NOT VERIFIED NOT VERIFIED

VERIFIED DATA (MIS)

DECIDE CREDIT LIMIT


FEATURES OF CARD MIS MIS RATIO OF DEFAULT-CARD MISSING
PRODUCT
QUALITY OF PLASTIC MIS MIS
DESIGN TEAM UTILITY OF CARD

DESIGN
CARD FORMATION

COURIER TO CUSTOMER

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Credit card management information System for ICICI Bank

Customer Sourcing:
The First process is the CUSTOMER SOURCING which consists of dealing with
customers in three ways:
a) RECOMMENDED
b) WALK-IN
c) PHONE (Database)

• RECOMMEND is the process in which the Customer is being recommended by his


friend or someone to apply for ICICI Bank Credit Card.
• WALK-IN as the name suggests, the customer himself comes to ICICI Bank to apply
for Credit card and to carry out the activities.
• PHONE method consists of pushing the phone calls to customers and informing them
about the Credit Card system of ICICI Bank and enrolling them for the further
procedure

Product Department:
Product Department mainly involves designing the card. It also decides the following
features of the card
 Type of card.
 The quality of plastic to be used
 Target customer base(Lower, Middle or Upper class)
 Design the form needed to filled for issue
 Statutory approval(Government basic conditions)
 Co-ordinating with the marketing department for the sales strategy of the
card.
 Ratio of default (repair of cards, lost and found or dues)
 The utility rate of the card.

The above are the activities carried out by the product department. After the
final verification is done, all the features decided by the product department for that
particular card type are integrated and final order is placed.

Sales department:
Now after getting the customer details form the customer sourcing process sales are
activated. The sales are carried out in two ways

a) CHANNEL SALES
b) DIRECT SALES

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Credit card management information System for ICICI Bank

 CHANNEL SALES: In this process the data base of the other department are used.
Customers of these departments are then contacted by the credit card department
to sell the credit cards.
 DIRECT SALES: In this process door to door marketing is applied. Also if any corporate
tie ups exist the employees of the respective company are contacted for the credit
card sales.

The FORM is then FILLED by the customer to accelerate the further activities

Levels of screening:
The form , completely filled in all aspects along with necessary attested and original
documents is forwarded/submitted to the credit card issue counter . The file of the
applicant is then transferred to the credit team.

The credit team accesses all the information filled in the form. The information include
personal details, financial background, the education qualification, whether the customer
lives in a rented house or is the owner, what is the type of occupation private or
government servant or is a business man, the salary slip, the pan card details, id proof etc.

The credit team then decides the credit limit which can be approved for this applicant.
Once the credit team sets the credit limit, the file is then transferred to the verification
team. The verification team then calls up the client and confirms the details. The verification
team also informs the client that they will personally visit them to complete the verification
process.

Once the verification process is over the file is then transferred again to the credit team

Immediately after the documents are found to be valid and genuine by the above
departments, the Credit Card Limit is allotted to the customer’s profile. This information is
used to generate the plastic and the magnetic strip with the allotted card limit. The stripe
on the back of a credit card is a magnetic stripe, often called a magstripe. The magstripe is
made up of tiny iron-based magnetic particles in a plastic-like film. Each particle is really a
tiny bar magnet about 20-millionths of an inch long.

Delivery of the card:


Once the card is ready the product department courier it to the customer address
and the customer can use the card for the daily purpose purchasing activity.

Lost Card:
In case the credit card is lost, the customer has to call the 24hr customer service
center and request to block the card. The credit card is immediately blocked and carries
zero credits . The customer has to go to the bank and fill up a form which is again verified by
credit team . Once the form is verified satisfactorily , a new credit card is generated and
issued to the customer .

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Credit card management information System for ICICI Bank

Flaw in the system and suggesting feasible alternative:


In the existing system the data is flowing form credit team to verification team. The
problem with this system is that data goes to two different departments and then comes
back to the credit team where the final credit limit is decided. Here if the one of the team is
not able to verify the data the flow stops and delay occurs.

To overcome this we have suggested that the data must flow simultaneously in both
the teams namely Credit team and Verification team this would reduce the time and also
working of both the teams would independent to each other.

The flow chart of the modified system is shown on the next page. There are no
changes in the DFD as the information remains the same only the flow changes

Operations Feasibility:
The first flaw was recognized in the internal process of the credit card issuing
system. The changes suggested are feasible enough to implement as they are related only to
internal process. Here, no technical glitches are present, only the flow of data is changed.
Thus, the client file is now simultaneously passed on to the credit team as well as
verification team instead of credit team and then verification team.

All that needs to be done is that the client has to submit 2 copies of all the documents so
that 2 different files can be created and simultaneously sent to both the departments.

This has the following advantages:

1. A lot of time is saved since two simultaneous processes are running at the same
time.
2. Even if one process e.g. data verification process gets stuck , credit team can finish
its work and generate its report .
3. Errors can be easily detected and it can be stopped from further entering the
process.

Show below is the modified FLOW CHART which has incorporated all the above
mentioned suggestions. The above modification imposes no alteration in the existing
DFD as we are just changing the flow of information and not incorporating any new
department.

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Credit card management information System for ICICI Bank

Flow Chart for the modified system DIRECT


SELLING
AGENTS (DSAs)
RECOMMEND

SALES CORPORATE
SOURCE PHONE OR
TELEMARKETING
CUSTOMER

NO OTHER
CARD LOST 1ST TIME
DEPT.
USER

YES

FORM FILLING

1st LEVEL
SCREENING

CREDIT TEAM VERIFICATION TEAM

IS IT OK
ISSUE NEW YES, IF CARD LOST IF NO
CARD
YES

DECIDE CREDIT
LIMIT

PRODUCT
DESIGN TEAM

CARD FORMATION

COURIER TO CUSTOMER
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Credit card management information System for ICICI Bank

Future Anticipated problem:


One of the problems that can arise is the synchronization between the credit team
and the verification team. If the synchronization is not there then the data which is required
for deciding the credit limit will not be sufficient and the process will be delayed.

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