Publication Date


Document Type


First Advisor

Sims, Clarence A.||Green, Gerald G.

Degree Name

M.S. (Master of Science)

Legacy Department

Department of Management


Electronic data processing; Banks and banking--Data processing


Since ancient times, man has used counting devices to order his world. In the years since 1954, when the first business oriented computer was introduced, great strides have been made in the field of data processing. One finds evidences of computerization in all aspects of business and it is expected that in the not too distant future we will be seeing them in our everyday life. In the field of finance, banks have put computers to many uses. Today, the once laborious job of handling innumerable checks is computerized, reducing the amount of time spent and the number of personnel. DeKalb is one of the few northern counties that does not have a localized data center available to its banks for processing their work. For this reason, the author felt it would be valuable to the community to determine the feasibility of a local data center. The author pursued this topic with the hope that it would be put to further use by the area. The problem, therefore, is to determine the feasibility of an electronic data processing center to serve banks in the DeKalb County area. This problem involves the investigation of the awareness of the electronic processing of data in the banking industry in the DeKalb area, as well as determining the present systems used to process data and the equipment involved. The potential costs and savings of a local data center over the previous system and the possible means of financial support must also be taken into consideration. Perhaps the most vital aspect of the study is the suggestion of the correct center, suited to the needs of this particular county, taking into account the processing and report requirements, selection of equipment and operation procedures. The procedures involved delving into the secondary data concerning electronic data processing. Information was available in current periodicals and in the publications of computer manufacturers. The author then interviewed all of the banks in the area, ascertained their reactions and determined their needs through the interview and a questionnaire given to each bank. The information obtained from these sources was compiled and analyzed to determine the feasibility of a data center. From the information received, it was concluded that theoretically, the cooperative center would be ideal, dividing the cost among the member banks. The cooperative center would also keep the computer working its full quota of hours per month, which would not be the case if one bank was the sole processor. It must be realized that additional expenses occur when the computer is standing idle. In practice, however, it is the opinion of the interviewees that a localized center would eliminate competition among the banks. Banks processing in the same center, and having equal rights to its services, would not be able to offer individual and specialized customer services. In search for an alternative to the problem of theory versus practice, data was analyzed and several good sized banks were found at sufficient distance so as not to be in direct competition. Thus, should distant banks join in a cooperative data processing center, the problem of competition, which appears to be the main drawback to the center, would be eliminated. The thesis has been presented to all banks concerned for their further analysis.


Includes bibliographical references.


xiii, 102 pages




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