An UNDERSTANDING OF THE IMPACT OF AUTOMATED TELLER MACHINE ON BANK SERVICE DELIVERY IN BANKING INDUSTRY

CHAPTER ONE
1.1 INTRODUCTION
1.2 BACKGROUND OF THE STUDY
Banking industry across the world aids the promotion of economic growth and development. It is the recognition of the crucial rule that has engendered a global crusade to improve the sector one major area of exploration in the use of information technology (IT) to improve banking services with the convergence computing and telecommunication automated now characterize of operation in the banking sector of the world economy.
Automation is the use of machine instead of people to do a job or industrial process with respect of banking it involves the use of automated machine and computer base device to perform banking activities in a way to increase speed accuracy and capacity.

Automation allow banker to get closer to their customer and deliver a wide rage of services at lower cost. It is delivered that there are four ways in which automated can use banking industry and they are:
1. To perform greater expended base to be handled.
2. To reduce substantial real cost of handled payment.
3. Cut bank free from traditional constants upon time and place.
4. Introduction new product and services.
In north London on 27 June 1967 by bar days banking.

This instance of innovation was credited to John Shepherd first in Enfield town in north although various other engineers were award patents for related technologies at the time Shepherd.

Barron was awarded on OBE in the 2005 New York’s honours.
The first person to use the machine was rag verney of on the buses, fame; a British television programmed from the 1960s the first ATM Accepted only a single use token or voucher which was retain by the machine.

These worked on various principles including radiation and low coercivity magnetism that was wiped by the card reader to make frau more difficult.

The ideas of a pin Store on the card was developed by the British engineer James Good flow in 1965 Automation in the banking industry can manifest in the following ways.
1. Banker automated clearing services.
2. Magnetic ink character reader
3. Payment system
4. Delivery channel
5. Sources of information
For the purpose of the study, our scope will be limited to the automated teller machine under the payment system.

Where payment system involves business transaction without cash or cheque in any other paper made money transaction.
The Automated Teller Machine (ATM) is a cash dispenser that is designed to enable customer to enjoy banking services without coming into contract with any bank staff.

The operating of the machine is guided through instruction programmed into ATM system through a personal identification pin number be discloses to a third party.
A mechanical cash dispenser, arguably an ATM, was developed and builds Luther George Simjian and Installed in 1939 in New York, City by the City bank of New York, but removed offer 6 months due to Lack of Customer acceptance.

Thereafter, the history of ATM pauses for over 25 years until Della rue developed the first electronic ATM which was installed first in Enfield Town.
1.2 STATEMENT OF THE PROBLEM
In the course of this paper answer will be provided to the following Question:
1. What is the historical background of ATM.?
2. What are the reasons for introducing ATM.?
3. What are the effect of ATM
4. Does ATM solve any problem in Nigeria bank industry?
1.3 RESEARCH QUESTION
In the course of this paper answers will be provided to the following questions.
1. What is the historical background of ATM.?
2. What are the effects of ATM.?
3. What are the problems facing ATM in Nigeria banking industry?
4. What are the reasons for introducing ATM?
1.4 ALMAND OBJECTIVES OF THE STUDY
Based on the above questions the objectives of the paper will be.
1. To discuss the history of ATM.
2. To examine the reason for introduction ATM
3. To highlight the effect of ATM
4. To critically examine the problem facing ATM in services delivery.
1.5 STATEMENT OF RESEARCH HYPOTHESIS
The general hypothesis that will be tested in the course of this project is as follows.
HO: Automated Teller Machine will not have positive impact on Nigeria banks services delivery.
H1: Automated Teller Machine will have positive impact on Nigeria bank services delivery.
1.6 SIGNIFICANCE OF THE STUDY
This study will be beneficial to bankers so as to know the problem facing their customers in the sense that they will know the importance of ATM.

Generally the public will also benefit from this study since they are account holders or bank’s customers.