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Benefits and Limitations of Technology in MFIs: Come to Save (CTS) Experience from Rural Bangladesh

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Author Info

  • Abu Saleh Mohammad Musa

    (South Asian Microfinance Network (SAMN), Bangladesh)

  • Mostafa Saidur Rahim Khan

    (Stamford University, Bangladesh)

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    Abstract

    Adoption of Information Technology (IT) in Microfinance Institutions (MFIs) has become one of the key indicators to improve operating efficiency and productivity of staff at all levels of the organization. Though the cost of investment in IT is a matter of concern, it has manifold benefits ranging from productivity improvement to socio economic development of the target clients. This paper focuses on the adoption of Point of Sale (POS) technology in MFIs and its benefits in operation, cost reduction and stakeholder relationship through an evaluation of a small-scale MFI, Come to Save (CTS), operating in Bangladesh. This paper reinforces that timely implementation of technology reduces cost of operation, attains economies of scale and increases outreach through increased staff productivity.

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    File URL: http://services.igi-global.com/resolvedoi/resolve.aspx?doi=10.4018/jeco.2010040105
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    Bibliographic Info

    Article provided by IGI Global in its journal Journal of Electronic Commerce in Organizations (JECO).

    Volume (Year): 8 (2010)
    Issue (Month): 2 (April)
    Pages: 54-65

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    Handle: RePEc:igg:jeco00:v:8:y:2010:i:2:p:54-65

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    Web page: http://www.igi-global.com

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