TITLE: DEVELOPMENT OF A MOBILE BANKING SYSTEM USING SMS WITH

GSM/GPRS MODERM.

A PROJECT REPORT

SUBMITTED BY

TARIBO JAMES SEKIBO

IN A DEGREE PROGRAM

OF

BACHELOR (HONS) COMPUTER NETWORKSUNIVERSITY OF EAST LONDON

IN

SCHOOL OF ENGINEERING AND COMPUTER AND IT

STAMFORD COLLEGE BHD

MAY 2011

STAMFORD COLLEGE BHD

BONAFIDE CERTICATE

1

Certified that this project report “ TITLE OF THE PROJECT.................................”

is the bonafide work of “ NAME OF THE CANDIDATE .....................................”

Who carried out the project work under my supervision.

<<Signature of the Head of the Department>> <<Signature of the Supervisor>>SIGNATURE SIGNATURE

<<Name>> <<Name>>HEAD OF THE DEPARTMENT SUPERVISOR

<<Academic Designation>>

<<Department>> <<Department>>

<<Full address of the Dept and College>> <<Full address of the Dept & College>>

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TABLE OF CONTENTS

CHAPTER NO. TITLE PAGE NO.

ABSTRACT 6

LIST OF TABLES LIST OF FIGURES

LIST OF SYMBOLS

1. I N T R O D U C T I O N 7

1.1 Background Study

1.2 Banking Today

1.2.1 Banking Overview

1.2.2 Research Study technology

1.2. 3 Overview of Current Banking System

1.3 Objective of Proposed System

1.3.1 Limitations of the Proposed System:

1.3.2 User requirements information gathered through

questionnaires

1.3.3 SMS Banking Scope and Functionality Features

1.4 Project Outcomes

2. Literature Review on Mobile Banking 29

2.1 A mobile banking conceptual model

2.2. SMS Architecture

2.3. Secure SMS banking Architecture

2.4. Secure Network Architecture for mobile banking applications

3 Research Methodology 34

3.1 Research and Analysis of the Internet and Mobile Phone Usage in Malaysia

3

3.2 Percentage Distribution of Subscribers by State and

Corresponding Penetration Rates

3.3 Percentages of Internet Usage in Malaysia

3.4 Problems in Banking Industry

3.5 Weaknesses of current applications

3.6 Trends in mobile banking

3.7 Mobile banking business models 3.8 Challenges for a Mobile Banking Solution 3.9 Scalability & Reliability 3.1.0 Application distribution 3.1.1 Personalization 3.1.2 Mobile Banking Services

4 Analysis: 47

4.1 Feasibility Study

4.2 Study on SMS Technology

4.3 Overview of SMS

4.4 Prototype of Proposed System

4.5 Output devices and media device 4.6 Usability Issues5 Design phase of proposed system 65

5.0 Use case: Administrator

5.1 Data flow diagram

5.2 Class diagram

5.3 Sequence diagram

5.4 Activity diagram

6. Implementation Strategy 90

6.1 Implementation Plan

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7 Software Testing 108

7.1 Testing Objective 7.2 Testing Methods and Strategies 7.3 Database testing for the System 7.4 Validation Test 7.5 Unit Testing 8. USER EVALUATION 120

Evaluation Result 8.1 Ease of Use

8.2 Rating of user interface design of the system

8.3 Graph 2 User Interface Design

9. Final Conclusion 136

9.1 Conclusion

9.2 Time Constraint

9.3 Lack of resources

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“DEVELOPMENT OF A MOBILE BANKING SYSTEM USING SMS WITH GSM/GPRS MODERM”

Abstract

The last time that technology had a major impact in helping banks service their customers

was with the introduction of the Internet banking. Internet Banking helped give the

customer's anytime access to their banks. Customer's could check out their account details,

get their bank statements perform transactions like transferring money to other accounts and

pay their bills sitting in the comfort of their homes and offices.

The internet and the mobile phone - two technological advancements that have profoundly

affected human behavior in the last decade - have started to converge. The products of this

association are mobile data services. Using a variety of platforms, services are being created

to enable mobile devices to perform many activities of the traditional internet, albeit in a

reduced format for mobile devices. One area of activity is mobile (m-) banking (one of the

first areas of commercial transaction on the wireless internet). Banking is an area that has

extended in many different ways in recent years, including telephone and online banking. M-

banking provides yet another channel for banking services, and in emerging markets,

provides some possibility for becoming a primary channel.

The rapid development of information technology has affected the banking industry

globally. An impact of information technology in the banking sector is the introduction of

mobile banking. Mobile banking is a subset of electronic banking which underlies not only

the determinants of the banking business but also the special conditions of mobile commerce.

The main aim of this project is to develop a secure internet mobile system, which allow

customer to do their banking services like get balance inquiry, Fund Transaction, Issue

Cheque and other services via the internet and mobile SMS.

Keywords: Mobile, SMS, Bank,

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1. Introduction

The Preliminary Investigation Study allows people to decide whether to continue with the

project or perform some more alterations before proceeding with the projects. The objectives

for a preliminary investigation involves an understanding of the problem, defining the project

scope and constraints, identifying the benefits, estimating the time and costs and reporting to

the management. There is also an interaction with managers and users.

Generally most banks in Malaysia have not offered the mobile banking service yet. Though

there are many banks offering the E-Banking service (Electronic Banking). The most

common banking will be the normal bank branches. Customer has to queue up at bank

counters waiting for their turn to do banking transaction. Sometimes, bank customers just

have to queue up just to do simple banking transactions like checking bank balance.

There are currently many flaws in the present mobile banking implementations in Malaysia.

Author believes that he can build a more secure banking implementation using both SMS and

GPRS technologies.

The proposed Online banking system should abide to the following security issues

Confidentiality

Authenticity

Integrity

Non-repudiation

Availability

The Online and two way SMS banking solution targets the Banking industry and enables

customers to make account enquiries and transact bank accounts through mobile phones

using SMS service. Banks can automatically send transaction notifications and alerts to

mobile phones, if specific events in the banking business workflow occur. The solution

provides convenient and latest front-end technology and a flexible architecture to support an

SMS based delivery channel and to provide significant benefits for both the bank and the

customer.

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1.1Background Study

Financial intermediaries to safeguard funds, lend money, and guarantee the exchange of

currency have existed since ancient times. The modern banking industry, however, is rooted

in European institutions established in the 1700s. Early in that century, English goldsmiths

discovered that they were consistently storing large amounts of gold owned by their

customers. They found that they could temporarily lend some of the gold to other people in

exchange for a promissory note for interest. Importantly, these early bankers found that the

value of their promissory notes could exceed the value of their stored gold—in effect, they

were creating money that could be used to expand the economy. That pivotal banking

approach, known as fractional-reserve banking, is credited with making Western

industrialization possible. Among the first major modern banks to use fractional-reserve

banking were the Riksbank, founded in Sweden in 1656, and the Bank of England, created in

1694. Adams, D. A., Nelson, R. R., and Todd, P. A. (1992)

“Similar banking industries sprang up throughout the world during the 1700s and 1800s. For

example, one of the first banks in the United States—the Bank of the United States—was

formed in 1791. Despite their important social and economic function, depositors considered

banks a relatively risky investment until the mid-19th century. In fact, bank failures, such as

those occurring throughout the late 1800s and during the Great Depression of the 1930s,

effectively wiped out millions of dollars of depositors' savings. Following those disasters,

most countries developed a system of government insurance for bank deposits. In the United

States, that insurance resulted from the Banking Acts of 1933 and 1935, which created the

Federal Deposit Insurance Corporation (FDIC). Those and similar efforts resulted in greater

bank stability and increased bank use, particularly by individuals.” Banking and Financial

Institution Act (BAFIA) 1989.

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1.2 Banking TodayCommercial banking in the United States during the 1970s and through the early 1990s was

characterized by

(1) A proliferation of competition from other financial service industries, such as mutual

funds and leasing companies;

(2) The growth of multibank holding companies; and

(3) New technology that has changed the way banks conduct business.

The first two developments are closely related. Indeed, as new types of financial institutions

have emerged to meet specialized needs, banks have turned to the holding company structure

to increase their competitiveness. In addition, a number of laws passed since the 1960s have

favoured the multibank holding company format. As a result, the U.S. banking industry grew

increasingly concentrated in the hands of bank holding companies during the 1990s. The

number of independent commercial banks declined by almost a third between 1985 and 1995,

dropping below 10,000 for the first time in many decades. The number of banks in operation

had peaked in 1984 at 14,496. By 1997, nearly 70 percent of all commercial assets were held

by the top 100 banks, well above the 50-60 percent typical between 1970 and 1990.

Howcroft, B., Hamilton, R., and Hewer, P. (2002)

The trend toward large holding companies provided incentive for commercial banks to offer

comprehensive financial service packages, including financial planning, investment

brokering, and insurance. Nonbanking activities by banks have been tightly regulated since

the Depression, but in the 1980s and, especially, the 1990s, lawmakers and regulators alike

proved increasingly sympathetic to banks that wished to offer integrated services. The

biggest challenge to the historical separation of these activities came with the 1998 merger

between Citicorp, then the second-largest U.S. bank, and the Travellers Group, a major

insurance carrier and parent of the Salomon Smith Barney brokerage. Under the law at the

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time, the merged entity, named Citigroup, would have needed to divest its insurance business

at minimum, and the size of the brokerage might also have posed a hurdle. But the companies

entered the agreement fully expecting the laws would be changed in coming years. Mohr, J.

2001 One such piece of legislation had already been in the works in the House of

Representatives and was passed barely a month after the Citigroup merger; however, the

Senate failed to approve a version during that session.

Electronic information technology, the third major factor in the recent evolution of banking,

is evidenced most visibly by the proliferation of electronic transactions. Electronic fund

transfer systems, automated teller machines (ATMs), and computerized home-banking

services all combined to transform the way banks conduct business. By 1998, there were

upwards of 190,000 ATMs operating in the United States, and that figure represented a 13

percent increase from the previous year. Such technological developments have reduced

labour demands and intensified the trend toward larger and more centralized banking

organizations Mattila, M. & Pento, T. 2002 .They have also diminished the role that banks

have traditionally played as personal financial service organizations. Finally, electronic

systems have made possible, on a national and even global scale, banking systems with

nearly instant information access.

1.2.1 Banking Overview

A bank is an institution that provides financial services to consumers, businesses, and

governments. One major type of bank is the commercial bank, which has fewer restrictions

on its services than other types of banks. Commercial banks profit by taking deposits from

customers, for which the banks typically pay a relatively low rate of interest, and lending the

deposits at a higher rate of interest to borrowers. These borrowers may be individuals

purchasing homes, cars, and other items or they may be businesses financing working capital

needs, equipment purchases, etc. Banks may also generate revenue from services such as

asset management, investment sales, and mortgage loan maintenance.

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“According to the Federal Deposit Insurance Corporation, which monitors all federally

insured banks, in 1998 there were 8,774 U.S. commercial banks with more than 60,000

branches. Additional 1,687 savings institutions were in operation that year. The number of

separate banks has dwindled considerably in the wake of mergers and consolidation in the

U.S. banking sector; in 1998 alone the number of banks fell by 4 percent. Such consolidation

has made banking in the United States more profitable, with industry wide profits setting new

records throughout the 1990s. In 1998 bank profits totaled nearly $62 billion, up 4.5 percent

from 1997. Within the commercial banks, some 6,100-bank holding companies, which often

own multiple banks, controlled 94 percent of all federally insured commercial bank assets.

As of 1998 the U.S. banking sector reported $6.5 trillion in assets and $4.4 trillion in

deposits. Accounting for inflation, this level represented a 26 percent increase in assets since

1992.” Mohr 2001

In addition to commercial banks, major types of banks include savings banks, trust

companies, and central banks, which are described below.

Savings banks

Savings banks, along with savings and loan associations (S&Ls), are similar to

commercial banks but are geared toward serving individuals rather than businesses.

They take deposits primarily from individuals, and the federal government to specific

noncommercial investments, such as home mortgage loans, limits their investment

activity. In 1997 there were 1,178 savings banks and just 579 savings and loan

associations. The number of S&Ls declined precipitously following the insolvency

crisis of the late 1980s and early 1990s; however, as late as 1992 there were more

savings and loan associations than ordinary savings banks. Howcroft, B. & Hamilton,

R. & Hewer, P. 2002

Trust companies

Trust companies act as trustees, managing assets that they transfer between two

parties according to the wishes of the trustor. Trust departments of commercial banks

frequently offer services.

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Central banks

Central banks are usually government-controlled institutions that serve regulatory and

monetary management roles. Among other activities, central banks may issue their

nation's currency, help to determine interest rates, collect and disburse government

resources, and issue and redeem government debt.

Most commercial banks operate under corporate holding companies, which may own one or

several banks. Because of regulatory constraints, banks that are not associated with holding

companies must operate under restrictions that often put them at a disadvantage compared

with other financial institutions. Holding companies are often used as vehicles to circumvent

legal restrictions and to raise capital by otherwise unavailable means. For instance, many

banks can indirectly operate branches in other states by organizing their entity as a holding

company. Banks are also able to enter, and often effectively compete in, related industries

through holding-company subsidiaries. In addition, holding companies are able to raise

capital using methods from which banks are restricted, such as issuing commercial paper.

Multibank holding companies may also create various economies of scale related to

advertising, bookkeeping, and reporting, among other business functions.

1.2.2 Research Study technology based on Banking Services in Malaysia and other countries

Rapid changes in the financial services environment; increased competition by new players

from non-banking sector, product innovations, globalization and technological advancement,

have led to a market situation where battle of customers is intense. In order to rise to the

challenges service provider are even more interested to enhance their understanding of consumer behavior patterns Mohr 2001

Adoption of tele banking as well as Internet banking has received research attention in recent

years. Much of the existing research in electronic banking services has adopted an

organizational perspective or a distribution channel perspective Consumers using these

services have been focus in a large body of current research, nevertheless customer behavior

in mobile banking context have remained rather uncharted territory. Bradley & Steward

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2002

The newly emerged mobile banking services represent an innovation where both intangible

service and an innovative medium of service delivery employing high technology are

present. Thus, concepts of innovation and diffusion of innovation are even more intricate as

technology and service aspects have an effect on the characteristics of mobile banking

services. Mohr 2001

Northern European countries are among the most advanced ones in the adoption to and use of

different new mobile and technological appliances and these countries have extended the

implementation of technological advancement in banking services. In Finland payments and

account management products over mobile GSM phones as SMS service have been available

over one decade, exactly since 1992, television-based banking since 1998 and banking via

mobile Internet WAP since 1999 Mattila and Pento 2002. Finnish customers conduct their

routine banking mainly via Internet, over 70 % of the customers visit a branch office less

than twice a year. The number of branches in Finland has been shrinking in rhythm with

increased Internet banking usage The Finnish Bankers' Association 2002. At the moment

Internet is also the leading electronic banking channel elsewhere where the electronic

delivery channels have been introduced, although telephone banking seemed to have toehold

on the British financial services market.

As we discussed above the landscape of wireless services is presently changing and the

expected improvements in 2.5G and 3G devices and networks will encourage the uptake of

mobile banking. Although the densities of fixed and mobile connections are high in all the

Nordic countries, the number of most advanced Internet-enabled mobile phones is still fairly

low; in Finland 20 % of population has Internet-enabled device. Access to advanced model is

slightly more common to men than to women. In addition younger people have advanced

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mobile phones more often than older people, in fact in the age group 60 years or over as well

as among retired persons the access rate is only 3-9 %.Howcroft et al. 2002.

Those with tertiary education have more often an Internet enabled mobile phone, but the

effect is not as strong as that of age [Statistics Finland 2002]. One issue driving future mobile

banking is the cost efficiency pressures from supply side. Payment transaction costs vary:

manually in a branch from $2.60 to $4.40, with automatic teller machine $0.44 and less than

three cents via mobile phone. Quite often wireless capability is built into financial

institution's software platform, leaving maintenance and upgrades as the only added costs.

European IT consultants International Data Corp. expect mobile banking to be the fastest

growing sector of total information technology spending on electronic banking, with a 1999

to 2003 compound annual growth rate of 129% West 2001. Adding digital channels such as

mobile and developing more and more commoditized products will clearly help to shift

further tasks towards the customer through self-provisioning and thus, will help cutting

additional costs Durlacher Report 2001. Today's banking is thereby not just online and

wireless but also interactive

1.2.3 Overview of Current Banking System - Malaysia

The most often used banking service will be the normal bank branches. This banking service

is been around since the banks were founded. Customer has to queue up at bank counters

waiting for their turn to do banking transaction. Sometimes, bank customers just have to

queue up just to do simple banking transactions like checking bank balance. This consumes

times especially for those whom are working.

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At time passed by, technology has improved so much and ATM bank services have been

invented. ATMs allow bank customers to check account balance and withdraw money

through an ATM card. MAYBANK Malaysia is a very good example of a bank which keeps

improving its customer service thought information system. MAYBANK has implemented

machines which give the customer the advantage to transfer funds, deposit money and

cheques. The advantage of these banking services is that, MAYBANK customers do not have

to queue up in traditional counter at bank branches just to do simple banking transactions.

The disadvantage would be bank customers still have to come to the bank branches to their

basic banking transactions unlike the e-banking.

Generally most banks in Malaysia have not offered the mobile banking service yet, though

there are many banks offering the E-Banking service (Electronic Banking). The most

common banking will be the normal bank branches. Customer has to queue up at bank

counters waiting for their turn to do banking transaction. Sometimes, bank customers just

have to queue up just to do simple banking transactions like checking bank balance.

Electronic banking – the execution of financial services via the Internet – changed the

business of retail banks significantly, at the same time reducing costs and increasing

convenience for the customer. The ever-increasing spread of Internet-enabled phones and

personal digital assistants (PDA) made the transformation of banking applications to mobile

devices a logical development of electronic banking. This created a new subset of electronic

banking, mobile banking. According to the sweeping enthusiasm that characterized much of

the news reporting in the years 1999 and 2000 mobile banking should by now have been

firmly established as the most important distribution and communication channel for retail

banking. Reality today is a different matter though. Mobile banking as an established channel

still seems to be a distant prospect. Mattila and Pento 2002; McCall 2002

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1.3 Objective of Proposed System

The main objective of this project would be to develop a Mobile Banking applications

simulation which is able to communicate with the server. (content provider/bank). User must

be able to log on to this WAP application and check balance inquiry, make payments,

transfer funds and log out. The project is a very big scope. Due to time limitations, only one

main module will be implemented. Mobile banking is a subset of electronic banking which

underlies not only the determinants of the banking business but also the special conditions of

mobile commerce.

Upon successful completion of this project, Author should be able to do the following tasks:

Develop a Mobile Banking System

Handle projects by using proper project management and time management skills.

Conduct independent research studies, investigation and analysis.

Design, implement, test and evaluate a system in a professional manner.

In depth understanding on the new technology which will be implemented, hardware,

and software and programming language used.

Use the Rational Unified Processes (RUP) for the benefit of the project.

Good communications skills with stakeholders of the project.

Complete good documentation of the project, presented in a well and professional

manner.

1.3.1 Limitations of the Proposed System:

To carry out a simple banking operation via WAP, such as viewing eight transactions and

then transferring money between two accounts typically takes about five minutes. That’s five

minutes airtime cost to the user and about eight remote connections made to the bank for

WAP pages. If the connection is dropped during this time the customer is unaware of

whether the transactions happened or failed. The longer the connection the more chance there

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is of it being dropped (especially on trains/transport). This then leads to expensive (to bank

and consumer) discussions with call centres, and inconvenience.

1.3.2 User requirements information gathered through questionnaires

The information gathers from the questionnaires, gives us an insight of what user wants.

Based the questionnaire analysis, the required functions are attained. Not only that, the user

acceptance of the system is also attained. Other information attained through the

questionnaire will be on potential users. Users prefer a simple and usable mobile banking

application with no complexity involved. Other issues will be about the security.

The most important requirement from the user is they can use the system with not much of

problem, which means it must be very easy to use. This means that the user themselves can

use the system easily without any trainings given and all the function that are included inside

the system must be fully functioning and the user should get the function without any errors

such as when they want this function but the other function pop up on their screen. Any

system that has been created must always think about the user’s situation because if the

created system doesn’t meet the user requirement then it will be useless. The user should feel

free when using the system and that navigation of the entire system is clearly shown

especially in the user manual of the system.

Summary of user requirements

To develop a mobile banking service which meet all the requirements below:

Usability

Flexibility

Secured

Convenient

Provide a usable interface with good GUI. By developing this mobile banking service, users

to do not have to go to traditional banking branches to banking transactions such as:

Balance inquiry

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Transfer funds

Bill payment

Check rates

A secure communication from the mobile phone to the bank The end product must also cater

for a high tolerance rate Provide basic help feature and for user navigation. A working

mobile banking application without errors Some of the user requirements are added by

survey and own knowledge as the requirements gathered from the questionnaire is

insufficient. A user subscribing to a wireless carrier sends an SMS with a predefined code to

the GSM Modem, which is connected to central Server service, has a cell phone provider’s

predefined number. The service provider forwards this message to the bank’s mobile banking

applications. The mobile banking applications interface with the core banking servers (that

contain the user account information) that service the request made by the user. The response

is then sent by the mobile banking applications to the bulk service provider who in turn

forward it to the valid user via SMS.

1.3.3 SMS Banking Scope and Functionality Features

With all the above-cited problems in banking industry and Internet Banking, author has come

up with the new way of dealing the banking services using the emerging technologies called

SMS Banking System.

Mobile banking is a subset of electronic banking which underlies not only the determinants

of the banking business but also the special conditions of mobile commerce. This chapter

analyzes customer needs and expectations from the mobile applications' view and from the

banking view in order to derive a defined set of requirements. Based on these results, existing

mobile banking applications are assessed. Their major shortcomings are explained,

opportunities for their improvement are shown and the impact of upcoming new technology

is discussed. The outcome of the chapter is a defined set of customer requirements to mobile

banking applications, the identification and assessment of four standard types of current

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mobile banking applications and an explanation of major failure reasons along with

opportunities for their improvement.

a bank that always leads the way when it comes to technological innovations relating to the

banking industry has introduced yet another No1 in way of Multilingual SMS banking

facility to valued customers. Identifying the need of majority customers, the banks ventured

in to developing SMS banking The 100% security and secrecy assured SMS banking service

will enable customers to inquire about their account balance, make cheque book requests,

effect fund transfers within their own or other registered accounts, utility bill payments,

credit card settlement, and also obtain information on exchange rates,

No rush hour traffic, no sticky queues, no waste of valuable time...

Have the power to manage money at the push of a button. Anywhere, Anytime...

Characteristics of the mobile use

A mobile application is used via a mobile device.

The connection is provided by a mobile network operator (MNO).

The use of mobile data transmission is expensive.

Sensitive data is transmitted.

A disruption of the usage is possible at any time.

Usability requirements:

The possibility to work offline with the application.

This requirement results from the fact that mobile data transmission is expensive (this

especially for circuit-switched connections) as well as from the fact that a disruption

is possible at any time. It should be possible to use the application without a

permanent connection to the bank server.

A simplified method of data input.

This requirement is of special interest when a necessity is given to enter higher

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amounts of data, thus in the use cases instant payment and administration of the

account.

There should be a way to facilitate this for the user.

Resumption of usage at the same point after disruption.

This requirement is resulting from the characteristic that mobile usage can be

disrupted at any time. In such a case the application should allow the user to resume

his usage at same point where it was disrupted, without a complicated log-in

procedure.

“One-Click”-Request of important data.

This requirement is resulting from the first two use cases, in which it is important to

allow quick access to information. This information should be available with just a

few “clicks”, in the ideal case with only one.

Design requirements:

The possibility to personalize the application.

This requirement can be deduced from different use cases. If the user gets a lot of

data displayed, there should be the possibility to use a personalized structure to view

the data.

The possibility to scale the application.

This concerns the easy switch of use cases for the user, e.g. if he gets an unexpected

account balance and wants to find out more details. In these cases, it should be easily

possible to switch to a version of the application with a wider range of functions.

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The possibility to get announcements on important events.

In some use cases, especially in the control of account movements, it makes sense if

the application could provide a push functionality.

A wide range of functionality, similar to the one in the electronic banking.

This requirement is resulting from the last use case, where the user wants administrate his

account. In order to make mobile banking a real alternative to electronic banking, the

customer should find complete functions there (even if they are more difficult to access as

they are only occasionally used)

Security requirements:

Before usage, access to the data must be authorized.

This is resulting from the same characteristic. Before a user can access his data he has

to prove that he is entitled to do so

The authorization has to be simple.

Especially in the first two use cases, where a quick access to the data is important,

authorization has to be fast and simple. As an intermediate result we possess a set of

criteria representing customer requirements to mobile banking applications.

Project Duration

The duration of the project will be 8 months, as we have eight main tasks in the project,

the Gun Chart in the following will illustrate the duration and the main tasks.

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Figure 2.1 Gun Chart for the project

1.4 Project Outcomes

When people are hard pressed for time, the need for "anytime anywhere" banking gains

utmost importance. Bearing this in mind, banks provide a novel service, which gives retail

customers account information and real-time transaction capabilities from their cell phones

This project aims at creation of a secure Internet and SMS Banking System. This will be

accessible to all customers who have a valid User Id and Password. This system provides the

following facilities.

This system provides the following facilities:

Balance Enquiry

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Funds transfer to another account in the same bank.

Activate Fund Transfer.

Cheque Issue.

Request for cheque book/change , stop payment of cheque.

Viewing Monthly and Annual statements.

User can access account by a SMS. By SMS user can get balance enquiry,

mini statement, Make Fund Transfer, Activate Fund Transfer, Cheque Issue,

Request for chequebook, stop payment of cheques.

Transfer amt from one account to another through SMS.

A mobile banking application is, first of all, a mobile application. To conceptualize a mobile

application, additional informational added values have to be targeted, using mobile added

values. In other words, it is far from sufficiency to just porting an existing Internet

application on a mobile device. Mobile applications have to be specifically made-to-measure

on the one hand side to the needs and expectations of the mobile user, and on the other hand

side to the specific restrictions of mobile communication techniques and mobile devices.

Human Computer Interaction. In order to derive a set of requirements to mobile banking

applications we pursue two steps: Firstly we identify general characteristics of the mobile use

which are relevant. Secondly we closely watch the user and his context when wanting to use

mobile banking.

Hardware Requirements

System requirements are the fundamental issue that needs to be looked at in order run a

successfully installed system. Below are the specifications of the computer:-

1. Pentium III 1Ghz (PC-FGA) based Central Processing Unit

2. 256 MB Kingston Synchronous Dynamic Ram

3. Asus CUEP2-M main board integrated with 3Com network channel and controller

4. 10 GB Seagate Medalist ATA100

5. MSI TNT2 M64 32MB AGP Display Card

6. Internal 56Kbps V90 Modem

7. 1.44MB Floppy Disk Drive

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8. 52x Samsung IDE CD-Rom

9. 15” Samsung Sync Master Monitor

10. ATX 300Watt Tower Casing

11. Microsoft compatible keyboard.

12. Mouse

13. GSM Modem

14. GSM based mobile Phone

TYPICAL APPLICATIONS Automatic Meter Reading (AMR) GSM Pay Phones Fleet/Traffic Management (with optional GPS integration) Security Systems Mobile / Fixed Internet Connectivity

Features Dual-band 900 / 1800 MHz or 900 / 1900 MHz GSM / GPRS Modem Internet, Data, SMS, Voice, Fax (TCP/IP Services) GPRS Class B Class 2 (2Rx+1Tx) with maximum speed** GPRS Class B Class 10* (4Rx+1Tx or 3Rx+2Tx) with maximum speed** Remote Control by AT Commands (according to GSM 07.07 and GSM 07.05)

RF Performances are compliant with the ETSI recommendation 05.05 and 11.10

TRANSMITTER Max. output power (EGSM)  : 33 dBm ± 2 dB at ambient temp.Max. output power (GSM1800) : 30 dBm ± 2 dB at ambient temp.Min. output power (EGSM) : 5 dBm ± 5 dB at ambient temp.

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Min. output power (GSM1800) : 0 dBm ± 5 dB at ambient temp.H2 Level : < -30 dBmH3 Level : < -30 dBmNoise in 925 935 MHz : < -67 dBmNoise in 935 960 MHz : < -79 dBmNoise in 1805 1880 MHz : < -71 dBmPhase error at peak power : < 5° RMSFrequency error : ± 0.1 ppm maxMaximum output power : 2 W for GSM 900 1W for GSM 1800 or GSM 1900Input voltage : 9 V to 32 V DCCurrent  : 1.8A peak at 5.5 V, 330 mA average at 5.5 VSIM Interface : 3V / 5 VWeight : 125 grams

* Available on special request** Available slot for GPRS Connection is Network dependent

RECEIVER:EGSM Sensitivity : < -104 dBm Static & TUHighGSM1800 Sensitivity : < -104 dBm Static & TUHighSelectivity @ 200 kHz : > +9 dBcSelectivity @ 400 kHz : > +41 dBcDynamic Range : 63 dBCo-channel rejection : > = 9 dBc

TEMPERATURE RANGEStorage : -25° C to +70° COperating : 0° C to +55° CDimensions : 100 x 78 x 32 mm

OTHER FEATURES ME+SIM phone book management Fixed dialing number SIM toolkit Class 2 SIM, network and service provider locks Real time clock Alarm management Software upgrade through Xmodem protocol UCS2 character set management

ADC & Digital I/Os as optional

INTERFACE RS232 15 pin D connector (Optional : USB port) Remote control by AT commands (GSM 07.07 and 07.05) Baud rate from 300 to 115,200 bits/sec

26

Autobauding (300 to 38,400 bits/sec) Power supply through 2 pin socket SMA antenna connector

Sliding / fixed landing SIM holder (3V/5V SIM interface)

GSM SUPPLEMENTARY SERVICES Call forwarding Call barring Multiparty Call waiting and call hold Calling line identity Advice of charge Closed user group

Explicit Call Transfer

SERVICES

Data :Circuit asynchronous, transparent and non transparent modes, data rates upto 14.4 kbps

Fax : Group 3 (Class 2)SMS : MT / MO / CBVoice : Telephony and Emergency Calls (through optional Hand Set)[http://www.analogicgroup.com/features.asp?pcode=20]

Software Development:

WML/WML ScriptWML has been designed to display mainly text-based pages. It is tag based, shares elements

of the HTML 4 and HDML 2 and is defined as an XML document type. Each WML

Document is a single deck, which is made up of 1 or more cards. When user access a WAP

site, it sends back a deck, the user is shown the first card, reads the content, possibly can

enter some information and then moves to another card, the choice is dependant on the user’s

action. The way the card is displayed is left to the browser. (SW00) “How the UML Models

Fit Together

Advantages of WML: It has support for text and images (WBMP) Allows user’s input Variables- can be included in the WML code to keep track of hidden

27

information and to manipulate user input. Navigation and history stack- common navigation and history functionalities International support –WML character code is UNICODE, which uses 16 bits to represent each character. Optimization for narrow band o to adapt high latency and narrow band characteristics of wireless networks.

WAP overviewWireless Application Protocol (WAP) is a communication protocol and application

environment for the deployment of information resource, advanced telephony services and

internet access from mobile devices. WAP forum was created by Phone.com, Erickson,

Nokia and Motorola. This partnership soon evolved in now all-encompassing WAP

specification that include complementary application session, transaction session, security

and transport protocol layers. A new markup language called the WML was been created.

These protocols minimize the problems above associated with the internet protocols and he

wireless data transfer. The use of binary code to reduce the amount of data that has to be sent.

Network operators are gaining an advantage, the more new users the content provider (bank)

attracts to their WAP application (mobile banking), the more the traffic will grow in the

network; subscription from the WAP interested customer.UML in a Nutshell by Sinan Si Alhir ( O”reilly)

Whenever we start a WAP session on our mobile phone:1. A connection is created via WSP (Wireless Session Protocol) between the mobile

phone and the WAP gateway, which assumes is present network.

2. As you enter the selected WAP site, the gateway is sent a request from the

device’s micro browser using the WSP.WSP is the WAP protocol in charge of

starting and ending the connection from the mobile devices to the WAP gateway.

3. The gateway translates the WSP request into HTTP request and sends in to the

4. appropriate origin server.

5. The origin server sends bank the request information to the gateway via HTTP.

28

6. The gateway translates and compresses the information and sends it back to the

micro browser in the mobile phone.

UML in a Nutshell by Sinan Si Alhir ( O”reilly)

2. Literature Review on Mobile Banking

Mobile Banking (also known as M-Banking, mbanking, etc.) is a term used for performing

balance checks, account transactions, payments etc. via a mobile device such as a mobile

phone. Mobile banking today is most often performed via SMS or the Mobile Internet but

can also use special programs downloaded to the mobile device.

2.1 A mobile banking conceptual model

In one academic model, mobile banking can be said to consist of three inter-related concepts:

Mobile Accounting

Mobile Brokerage

Mobile Financial Information Services

Most services in the categories designated Accounting and Brokerage are transaction-based.

The non-transaction-based services of an informational nature are however essential for

conducting transactions - for instance, balance enquiries might be needed before committing

a money remittance. The accounting and brokerage services are therefore offered invariably

in combination with information services. Information services, on the other hand, may be

offered as an independent module.

The main challenge of this project is learning up wireless technology, wireless network and

how to enforce security in the network communication. As this is a very new technology for

me. A lot in depth research have to be done. The system must be to establish network

communication between the client (mobile phone) and the server.

29

Users will be another important factor in this system, whereby they will be accessing to the

banks through their mobile. Mobile applications must meet majority of users’ requirement.

The users will determine the usability of the system. Gathering user requirement will be

another challenge in this project. Whereby, good efficient user requirements will lead to good

User Interface and system functions that will fulfill user’s needs. Due the screen size on the

mobile phone are so much smaller, designing a good user interface will be a challenge.

Adoption of tele banking as well as Internet banking has received research attention in recent

years. Much of the existing research in electronic banking services has adopted an

organizational perspective or a distribution channel perspective Consumers using these

services have been focus in a large body of current research, nevertheless customer behavior

in mobile banking context have remained rather uncharted territory.

Those with tertiary education have more often an Internet enabled mobile phone, but the

effect is not as strong as that of age One issue driving future mobile banking is the cost

efficiency pressures from supply side. Payment transaction costs vary: manually in a branch

from $2.60 to $4.40, with automatic teller machine $0.44 and less than three cents via mobile

phone. Quite often wireless capability is built into financial institution's software platform,

leaving maintenance and upgrades as the only added costs. European IT consultants

International Data Corp. expect mobile banking to be the fastest growing sector of total

information technology spending on electronic banking, with a 1999 to 2003 compound

annual growth rate of 129%. Adding digital channels such as mobile and developing more

and more commoditized products will clearly help to shift further tasks towards the customer

through self-provisioning and thus, will help cutting additional costs. Today's banking is

thereby not just online and wireless but also interactive.

2.2. SMS Architecture

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Figure 3.1 - SMS network layers

Mobile messaging technology is evolving rapidly to provide multiple services and

applications to today's subscribers. With the continued delay of third-generation (3G3)

deployments and migration to fully packet-switched networks, coupled with the demand for

fast-to-market data applications over existing wireless networks, mobile operators look more

than ever at their short messaging systems to fill the gap.

Figure 3.2 - SMS transportation

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Existing Global System for Mobile Communications (GSM) and Code Division Multiple

Access (CDMA) mobile networks use Short Message Service (SMS) as a multipurpose data

service that enables rapid deployment of data applications without the need for 3G bandwidth

capabilities. In fact, SMS traffic is growing exponentially, straining existing mobile

operators' signaling networks and infrastructure.

The original intention of the SMS protocol was to provide the mobile subscriber with

information about the mobile network condition. SMS has recently become a popular

protocol for text messaging over the airways.

2.3. Secure SMS banking Architecture

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Figure 3.3 Secure SMS banking architecture

Customers perform transaction and request account and status information by sending a

“pull” SMS message. Mobile connectivity through GSM modem or direct SMSC connection

to the mobile operators. Allows a bank customer to perform wireless transactions over

mobile phones or PDAs using SMS messages.

Provides reliable and secure technology infrastructure. Enables bank customers to make

account enquiries and other banking transactions, to view information, receive transaction

alerts or advice stop payments, hot hard requests, make bill

payment, etc. Offers predictable and fewer communication costs for the customer

and the bank SMS messages are sent out automatically from Core Banking, ATM and Credit

Card and other payment systems -- without relying on human effort or accuracy Delivers

real-time exchange rates, interest rates, stock prices and other volatility alerts on time.

[Banking and Financial Institution Act (BAFIA)

2.4. Secure Network Architecture for mobile banking applications

The following is a diagram shows a structural design for the mobile banking scheme.

33

figure 3.4 Secure network architecture

In the above diagram the 2-way SSL link between the service provider and between the

mobile banking application and the service provider and also between the service provider

and the wireless carrier ensures confidentiality of data. The email message sent by the bank is

PGP encrypted and signed in order to ensure confidentiality and integrity of data.

3 Research Methodology

There are several mobile bank Application solutions available and each of these solutions

have its strengths and weakness, level of security, ease of learning, accessibility and

integration may vary depending on the selected solutions. To study and evaluate these

solutions, qualitative data was collected from reliable sources including white papers,

published research papers, internet articles and solution vendor’s web sites.

3.1 Research and Analysis of the Internet and Mobile Phone Usage in Malaysia

It is very important to study and analyze the percentage of mobile phone usage and

ownership in Malaysia to ensure that the proposed system will be acceptable by users.

According to Malaysian Communications and Multimedia Commission (MCMC), 2004 and

34

Yahoo! Online Mobile Survey, Malaysia July 2004 had shown that about 88% of respondents

have mobile phones. It will be irrelevant to build a prototype version of the system in WAP if

there is no or the percentage of the mobile phone usage in Malaysia is very low.

Hand phones nowadays have become a need for many people. Therefore, it is not unusual

for many Malaysians to own one or more. Malaysians used them for SMS, MMS, browsing

the web via WAP or GPRS, to communicate with business partners, accessing business

information via WAP and many more. Besides that, the prices of the hand phones available

in the market now are also cheap compare to when it was first introduced in Malaysia. As

such, it is expected that the percentage of mobile phone users will increase every year.

3.2 Percentage Distribution of Subscribers by State and Corresponding Penetration

Rates

The survey indicated below shows that State Selangor has the largest share of the subscriber

of 24.8%, State Johor has 13.2% and state Wilayah Persekutuan Kuala Lumpur (WPKL) has

35

9.5% respectively. State Selangor have the largest number of subscribers, most probably

because it is the most populated state in Malaysia. Kuala Lumpur is located within the state

of Selangor and is Malaysia’s capital.

Figure 1.1 Penetration Rates

Malaysian Communications and Multimedia Commission (MCMC), 2004

Percentage Distribution of Hand Phone Subscribers by Age Category in Malaysia

According to the table below, pre-teenagers and teenagers (users up to the age of 19)

accounted for 12.3% of the subscriber base. Adults (users from 20 to 49 years of age as at

last birthday) accounted for 78.7% whereas seniors (aged 50 and above) accounted for 9.0%.

Adult[20] hand phone subscribers form the largest group because they have the financial

capabilities in owning a hand phone. Teenagers that are still in school do not always work

and tend to depend on their parents for money. Most of them cannot afford to own hand

phones. As for the senior subscribers, the percentages are the lowest because most of them

are not so technology literate and only using the hand phones for communication purposes

only without fully utilising the other features available in the mobile phones (SMS, MMS,

36

GPRS, WAP and so on). Some of them do not even use one because for them the fixed line

phone is more than enough and they don’t have to pay extra for the subscription of hand

phone services.

The development of proposed system is encouraged by the large percentage of users who

own hand phones in Malaysia. With this information, I am confident that the proposed

system will be accepted by users because it will be easier to make reservation through WAP

services than using SMS which is not efficient and slow (the information passing is not in

real time).

[Malaysian Communications and Multimedia Commission (MCMC), 2004)]

3.3 Percentages of Internet Usage in Malaysia

From the table below, it shows that the estimated numbers of Internet users are increasing

every year. As for the fourth quarter of the year 2004, the number of users is estimated to be

9,879,000 users, with 3,293,000 new Internet subscriptions. The increase is at 14.3% as

compare to the year of 2003. This shows that more and more Malaysian nowadays have

Internet knowledge compare to when it was first introduced in 1998. The increase of the total

subscribers is most likely cause by the decrease in the price for personal computer in the

market. A personal computer together with modem and other networking functionalities is

priced at only RM$1,000 to RM$1,700. As a result of this, more and more people are able to

afford to buy personal computer and this should lead to an increase on the number of Internet

users as well. Besides that, the prices for Internet subscription for both dial-up and broadband

are also quite affordable.

Besides mobile phone survey, Internet usage survey is also very important to determine the

possibility of the system being accepted by users. This is because the main module of

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proposed reservation system is through web browser. This information is important because

if the percentage of Internet usage is low, the proposed system may become a failure.

Figure 1.2 Percentages of Internet Usage in Malaysia

[ Malaysian Communications and Multimedia Commission (MCMC), 2004]

3.4 Problems in Banking Industry

Slow up take of WAP has had limited success in enabling customers to access remote

information such as banking transactions. However, as banks have come to deploy WAP

services the implementation of those services has presented a number of problems. These

problems manifest themselves in the form of security and handset support. Additionally

customers have become frustrated with long login sequences, slow connections, limited

information and functionality available via WAP. They are also put off by long connect times

38

and hence unpredictable costs. Even with the E-Banking service, bank customer has to have

a Personal Computer, which has an internet connection to do particular banking transaction

Tele banking was popular choice among bank customers before the implementation of

Internet banking. Tele banking; customers are able to do banking transactions through the

phone. Bank telephone operators will attend customers. All transactions will be done through

this operator. Usually Tele-banking only provides certain banking transactions like funds

transfer, bank account inquiry, exchange etc but not all the transactions.

Author has distributed questionnaires researching on e-banking in general. It shows that, e-

banking has been a popular choice for bank customers as it’s been very convenient. There are

some people whom are afraid about the security issues, but majority of bank customers find it

very convenient to do simple, basic banking transactions from the comfort of their very own

home or office.

3.5 Weaknesses of current applications

As a result of the comparison, WAP-banking and banking with PDA clearly come out best.

Banking with SIMToolkit also fulfills many of the requirements, but the limitation of usage

to single MNO and their customers is an important disadvantage and requires devaluation.

SMS is ranked last because of massive disadvantages in the field of security. Though the

other two applications are significantly better than the others in the comparison, the problems

of mobile banking still remain severe. The problems of the better-ranked applications are

Complicated Authorization- To authorize the access with WAP-banking, it is

necessary to input one or more PIN. These is not satisfying, especially in a mobile

situation. A PDA solution offers theoretically the possibility to store the authorization

data on the PDA, but the handling of two devices at the same time makes this solution

also too complicated.

Unsatisfying adaptation to the particular device- Though WAP is a common standard, it was

implemented in different ways by some manufactures. This results in an inconsistent

interpretation of the content on the mobile phones.

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No offline usage possible- WAP-banking needs a continuous connection to the bank during

the usage, which must not be disrupted. It is not possible to work with data without being

connected.

Unnecessary transmission of data

With WAP banking, the complete application must be transmitted to the mobile

phone, every time a customer wants to use it. There is no possibility to store the

application on the mobile phone.

Second device as problem solution inadequate

Using a PDA instead of a mobile phone could solve the first four problems. But the

handling of two devices at the same time makes this solution typically too

complicated.

No possibility for announcement services.

WAP banking with PDA are offering no possibility to integrate a push-service, which

announces events connected with the administration of the bank account.

3.6 Trends in mobile banking

The advent of the Internet has revolutionized the way the financial services industry conducts

business, empowering organizations with new business models and new ways to offer 24x7

accessibility to their customers.

The ability to offer financial transactions online has also created new players in the financial

services industry, such as online banks, online brokers and wealth managers who offer

personalized services, although such players still account for a tiny percentage of the

industry.

Over the last few years, the mobile and wireless market has been one of the fastest growing

40

markets in the world and it is still growing at a rapid pace. According to the GSM

Association and Ovum, the number of mobile subscribers exceeded 2 billion in September

2005, and now exceeds 2.5 billion (of which more than 2 billion are GSM). Cheong, J.H.,

and Park, M.C. (2005

“According to a study by financial consultancy Celent, 35% of online banking households

will be using mobile banking by 2010, up from less than 1% today. Upwards of 70% of

bank center call volume is projected to come from mobile phones. Mobile banking will

eventually allow users to make payments at the physical point of sale. "Mobile

contactless payments” will make up 10% of the contactless market by 2010.” Celent

Report

Many believe that mobile users have just started to fully utilize the data capabilities in

their mobile phones. In Asian countries like India, China, Indonesia and Philippines,

where mobile infrastructure is comparatively better than the fixed-line infrastructure,

and in European countries, where mobile phone penetration is very high (at least 80%

of consumers use a mobile phone), mobile banking is likely to appeal even more.

This opens up huge markets for financial institutions interested in offering value added

services. With mobile technology, banks can offer a wide range of services to their

customers such as doing funds transfer while traveling, receiving online updates of

stock price or even performing stock trading while being stuck in traffic. According to

the German mobile operator Mobilcom, mobile banking will be the "killer application"

for the next generation of mobile technology. Howcroft, B., Hamilton, R., and Hewer, P.

(2002)

Mobile devices, especially smartphones, are the most promising way to reach the masses

41

and to create “stickiness” among current customers, due to their ability to provide

services anytime, anywhere, high rate of penetration and potential to grow. According

to Gartner, shipment of smartphones is growing fast, and should top 20 million units (of

over 800 million sold) in 2006 alone.

In the last 4 years, banks across the globe have invested billions of dollars to build

sophisticated internet banking capabilities. As the trend is shifting to mobile banking,

there is a challenge for CIOs and CTOs of these banks to decide on how to leverage

their investment in internet banking and offer mobile banking, in the shortest possible time.

Buse, Stephan and Tiwari, Rajnish, 2007

The proliferation of the 3G (third generation of wireless) and widespread

implementation expected for 2003-2008 will generate the development of more

sophisticated services such as multimedia and links to m-commerce services.

3.7 Mobile banking business models

A wide spectrum of Mobile/branchless banking models is evolving. These models differ

primarily on the question that who will establish the relationship (account opening,

deposit taking, lending etc.) to the end customer, the Bank or the Non-

Bank/Telecommunication Company (Telco). Another difference lies in the nature of

agency agreement between bank and the Non-Bank. Models of branchless banking can

be classified into three broad categories - Bank Focused, Bank-Led and Nonbank-Led.

Bank-focused model

The bank-focused model emerges when a traditional bank uses non-traditional low-cost

delivery channels to provide banking services to its existing customers. Examples range

from use of automatic teller machines (ATMs) to internet banking or mobile phone

banking to provide certain limited banking services to banks’ customers. This model is

42

additive in nature and may be seen as a modest extension of conventional branch-based

banking.

Bank-led model

The bank-led model offers a distinct alternative to conventional branch-based banking

in that customer conducts financial transactions at a whole range of retail agents (or

through mobile phone) instead of at bank branches or through bank employees. This

model promises the potential to substantially increase the financial services outreach by

using a different delivery channel (retailers/ mobile phones), a different trade partner

(telco / chain store) having experience and target market distinct from traditional

banks, and may be significantly cheaper than the bank-based alternatives Luarn, P.,

and Lin, H.H. (2005). The bank-led model may be implemented by either using

correspondent arrangements or by creating a JV between Bank and Telco/non-bank. In

this model customer account relationship rests with the bank.

Non-bank-led model

The non-bank-led model is where a bank does not come into the picture (except

possibly as a safe-keeper of surplus funds) and the non-bank (e.g telco) performs all the

functions.

3.8 Challenges for a Mobile Banking Solution

Key challenges in developing a sophisticated mobile banking application are :

Interoperability

There is a lack of common technology standards for mobile banking. Many protocols

are being used for mobile banking – HTML, WAP, SOAP, XML to name a few. It

would be a wise idea for the vendor to develop a mobile banking application that can

connect multiple banks. It would require either the application to support multiple

43

protocols or use of a common and widely acceptable set of protocols for data exchange.

There are a large number of different mobile phone devices and it is a big challenge for

banks to offer mobile banking solution on any type of device. Some of these devices

support J2ME and others support WAP browser or only SMS. Overcoming

interoperability issues however have been localized, with countries like India using

portals like R-World to enable the limitations of low end java based phones, while focus

on areas such as South Africa have defaulted to the USSD as a basis of communication

achievable with any phone.

The desire for interoperability is largely dependent on the banks themselves, where java

enabled applications are of better security, easier to use and offer development of more

complex transactions similar to that of internet banking while SMS can provide the basics but

becomes a hassle to operate with more difficult transactions. [Malhorta, N. 1999]

Security

Security of financial transaction, being executed from some remote location and transmission

of financial information over the air, are the most complicated challenges that need to be

addressed jointly by mobile application developers, wireless network service providers and

the bank’s IT department.

The following aspects need to be addressed to offer a secure infrastructure for financial

transaction over wireless network :

Physical security of the hand-held device. If the bank is offering smart-card based

security, the physical security of the device is more important.

Security of the thick-client application running on the device. In case the device is

stolen, the hacker should require ID/Password to access the application.

Authentication of the device with service provider before initiating a transaction. This

44

would ensure that unauthorized devices are not connected to perform financial

transactions.

User ID / Password authentication of bank’s customer.

Encryption of the data being transmitted over the air.

Encryption of the data that will be stored in device for later / off-line analysis by the

customer.

3.9 Scalability & Reliability

Another challenge for the CIOs and CTOs of the banks is to scale-up the mobile banking

infrastructure to handle exponential growth of the customer base. With mobile banking, the

customer may be sitting in any part of the world (a true anytime, anywhere banking) and

hence banks need to ensure that the systems are up and running in a true 24 x 7 fashion. As

customers will find mobile banking more and more useful, their expectations from the

solution will increase. Banks unable to meet the performance and reliability expectations

may lose customer confidence. Mohr, J. 2001

3.1.0 Application distribution

Due to the nature of the connectivity between bank and its customers, it would be impractical

to expect customers to regularly visit banks or connect to a web site for regular upgrade of

their mobile banking application. It will be expected that the mobile application itself check

the upgrades and updates and download necessary patches. However, there could be many

issues to implement this approach such as upgrade / synchronization of other dependent

components.

3.1.1 Personalization

It would be expected from the mobile application to support personalization such as :

45

Preferred Language Date / Time format Amount format Default transactions Standard Beneficiary list Alerts

3.1.2 Mobile Banking Services

Mobile banking can offer services such as the following:

Account Information

Mini-statements and checking of account history Alerts on account activity or passing of set thresholds Monitoring of term deposits Access to loan statements Access to card statements Mutual funds / equity statements Insurance policy management Pension plan management Status on cheque, stop payment on cheque

Payments & Transfers

Domestic and international fund transfers Micro-payment handling Mobile recharging Commercial payment processing Bill payment processing Peer to Peer payments

Investments

Portfolio management services Real-time stock quotes Personalized alerts and notifications on security prices

Support

Status of requests for credit, including mortgage approval, and insurance coverage Check (cheque) book and card requests Exchange of data messages and email, including complaint submission and tracking ATM location

Content Services

46

General information such as weather updates, news Loyalty-related offers Location-based services

Based on a survey conducted by Forrester, mobile banking will be attractive mainly to the

younger, more "tech-savvy" customer segment. A third of mobile phone users say that they

may consider performing some kind of financial transaction through their mobile phone. But

most of the users are interested in performing basic transactions such as querying for account

balance and making bill payment.

4 Analysis:

In this present chapter, author will perform analysis and research on SMS technology, which

is being used to develop the proposed system “Study and Implementation of SMS Banking

System”. Further more author have reviewed various technologies such as Internet Banking,

Core Banking, ATM and Mobile Banking.

4.1 Feasibility Study

A transformation has been done in the banking system which has occurred in today’s world.

An improvement has been made in the online banking system through the recognition of

difficulties which has been encountered by various customers and the authorities. Both

quantitative and qualitative research, has been made through parents and career surveys. Staff

training and some focus groups sessions have been influenced on the online process, as a

result of this issue it had produced an efficient and a user friendly system which relies on the

effective online form but moreover on the other hand co-ordination between ban and its

customer.

.

4.2 Study on SMS Technology

47

4.3 Overview of SMS

The service makes use of a Service Centre, which acts as a store and forward centre for short

messages. The Service Centre communicates with the Public Land Mobile Network (PLMN)

or PSTN via Interworking and Gateway MSCs.Subscriber-originated messages are

transported from a handset to a Service Centre, and may be destined for mobile users,

subscribers on a fixed network, or Value-Added Service Providers (VASPs), also known as

application-terminated. Luarn, P., and Lin, H.H. (2005) Subscriber-terminated messages are

transported from the Service Centre to the destination handset, and may originate from

mobile users, from fixed network subscribers, or from other sources such as VASPs.The

Short Message Service are supported on most digital mobile phones and some personal

digital assistants with on-board wireless telecommunications. Text enabled fixed-line

handsets are required to receive messages in text format. However, messages can be

delivered to non-enabled phones using text-to-speech conversion.

SMS was originally designed as part of GSM, but is now available on a wide range of

networks, including 3G networks. However, not all text messaging systems use SMS, and

some notable alternate implementations of the concept include J-Phone's SkyMail and NTT

Docomo's Short Mail, both in Japan. E-mail messaging from phones, as popularized by NTT

Docomo's i-mode and the RIM BlackBerry, also typically use standard mail protocols such

as SMTP over TCP/IP. Mattila, M. & Pento, T. 2002

SMS derives its benefit from two absolute advantages compared to any other form of

communication. SMS is the fastest form of communication if measured by actual

communication throughput including instances such as the counterpart not being able to take

a call, being out of radio coverage, listening to voicemail, put on hold etc. SMS at its worst is

a few seconds slower than a direct voice call or Blackberry wireless e-mail etc, but in the best

case is faster by hours or even days than any other form of communication. SMS messages

tend to be read within 30 minutes where an email message tends to be read in 48

hours.citation needed.

48

Commercially SMS is a massive industry in 2006 worth over 80 billion dollars globally.SMS

has an average global price of 11 cents and maintains a near 90% profit margin. Ba, S., and

Pavlou, P.A. (2002)

4.4 Prototype of Proposed System

This area covers the building of the user interface. Hence, author has required gaining an

understanding of HCI guidelines. The evaluation of the system had been done. The skill and

knowledge of HCI are able to use in this part. In this chapter, it will discuss the techniques to

evaluate the system and the result of it. The evaluation not only focuses on the good point of

the project but also the constraints.

The interface of the system is important when developing the system because the user

friendly is able for the users to use the system efficiency and it will avoid the user confuse

until simply key in the data. If the system is difficult to use then it is useless for the users

however the system is powerful and useful. In this session, the concept of Human Computer

Interaction is used to develop the system. “The main concern of Human Computer

Interaction is developing a system that is usable, easy to learn, and giving a pleasant user

experience.”

(MB00) Michael B, How usability can achieve and what are the usability goals? In the HCI

book that authors by Yvonne Rogers, Helen Sharp, and Jenny Preece, the usability can be

achieved when the usability goal is achieve. The usability goals of HCI are categories to six,

there are:

Effective to use (effectiveness) - system can perform the work it suppose to do.

Efficient to use (Efficiency) - the users can do their work in a minimal number of step.

Safe to use (Safety) - avoid the users in the dangerous situation.

Have good Utilize (Utility) – provide the function that users need.

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Easy to learn (Learnability) – user no need to spend more time to learn the system.

Easy to remember how to use (memorability) – user can easy to remember not to use the system.

Rogers, Yvonne., Sharp, Helen., & Preece, Jenny. (2002)

In order to achieving the system usability, the project has to identify the user need and

system requirement. Beside this, it also has to complete the tasks of evaluate the system,

observe the users, asking users and expert opinion, testing and modeling users. Human

Computer Interface design helped improved the system and increase the usability, which

gave this system an added bonus value. HCI describes the relationship between computers

and people who use the system to perform business-related tasks. HCI concepts apply to

everything from a PC desktop to the main menu for a global network. In its broadest sense, a

user interface includes all the communications and instructions necessary to enter input to the

system, and to obtain output in the form of screen displays or printed reports. During the

design phase on developing this system, author has created the user-friendly interfaces that

are easy to learn and use.

To make the screen easy to use and understand by user, author had used combo box to let the

user direct to their choice. The user can navigate the system easily by using mouse or tab

key. Besides, the error message is easy to understand and user can get the instruction clearly

to continue access to the system. Thus this make the user feel user friendly to use the system

and this bring them to faster learning about overall operation. Beside this, the color of the

system is important too because it is affected the user interesting so the color button of the

system is chose attractive color because it is base on standard graphical interface and the

color of the text is black because the text input field is white color and it is the best color for

the user to see on the light background. Finally is the background color. The background

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color will be bit dark color with some image as it can give the fresh experience for the users.

4.5 Output devices and media deviceThe following of the output device of the system are:

Monitor – show the report, inventory and so on. Phone Screen – display the information that the user request. Printer – print out invoice, report and other information. Speaker – alert the users when the inventory level is reach or wrong data key in.

4.6 Usability IssuesUsers will be another important factor in this system, where by they will be accessing to the

banks through their mobile. Mobile applications must meet majority of users’ requirement.

The users will determine the usability of the system. Gathering user requirement will be

another challenge in this project. Where by, good efficient user requirements will lead to

good User Interface and system functions that will fulfill user’s needs. Due the screen size on

the mobile phone are so much smaller, designing a good user interface will be a challenge.

Admin part:1. Login Page

Figure – Storyboard for Login Page

1. The above screen is the main page for Administrator. Once Admin user details were validated, menus will be enabled.

2. Login screen is to allow admin to enter user name and password.3. User details will be validated with the database and it leads to view menu

bars else it displays error message on the screen and it asks to re-enter admin user details again.

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User name:Password:

logout Drop down Menu / LEGEND 1

Account Holder Deposit chequeBookIssue

Login Exit

ChequeIssueWithdraw StopPayment

2. Account Holders Saving Account

Figure – Storyboard for Account Holder (Saving Account) Page

1. Admin has privilege to create account holders Savings Account Details by clicking on Add button and it auto generates Savings bank account number with SB prefix and concatenates with account serial number.

2. The form allows admin to key user contact and personal address with user details such as user name and password

3. These user name and password will be sent to customer once record is stored in database via SMS using GSM modem to the user phone number entered in above form.

4. Once savings account is created, it automatically credits RM 1000 and issues 10 checks.

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Account Details:-Account number: Date: calendar showing today dateCustomer name:

Customer Details:-Address: Phone number:IC number: Email

Login Details:-

User name: password:

Add View Update Delete Cancel Exit

3. Account Holder Current Account

Figure – Storyboard for Account Holder (Current Account) Page

1. Admin has privilege to create account holders Current Account Details by clicking on Add button and it auto generates Current bank account number with CA prefix and concatenates with account serial number.

2. The form allows admin to key user contact and personal address with user details such as user name and password

3. These user name and password will be sent to customer once record is stored in database via SMS using GSM modem to the user phone number entered in above form.

4. Once Current account is created, it automatically credits RM 5000 and issues 10 checks.

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Account Details:-Account number: Date: Calendar showing current dateCustomer name:

Customer Details:-Address: Phone number:IC number: Email

Login Details:-

User name: password:

Add View Update Delete Cancel Exit

4. Deposits – Savings Account

Figure – Storyboard for Deposit (Saving Account) Page1. Admin has privilege to deposit amount by clicking on Add button, Account no

populates with saving account holder numbers. Then admin selects the desired number to deposit the said amount.

2. Name of the customer and current balance displays by selecting the account no.

3. Again clicking on Add button, deposit no auto generates to maintain unique transaction record and keying the amount and clicking on save button the record stores into database.

5. Deposits – Current Account

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Account Details:-Account number: Customer name:Drop down list for accounts

Will display the customer name automatically after choosing the account number

Balance Details:-Current balance: Will display the current balance

Deposit Details:-Deposit number: Deposit Date: Calendar showing today dateDeposit Amount:

Add View Cancel Exit

Figure – Storyboard for Deposit (Current Account) Page

1. Admin has privilege to deposit amount by clicking on Add button, Account no populates with current account holder numbers. Then admin selects the desired number to deposit the said amount.

2. Name of the customer and current balance displays by selecting the account no.

3. Again clicking on Add button, deposit no auto generates to maintain unique transaction record and keying the amount and clicking on save button the record stores into database.

6. Withdrawals – Savings Account

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Account Details:-Account number: Customer name:Drop down list for accounts

Will display the customer name automatically after choosing the account number

Balance Details:-Current balance: Will display the current balance

Deposit Details:-Deposit number: Deposit Date: Calendar showing today dateDeposit Amount:

Add View Cancel Exit

Figure – Storyboard for Withdraw (Saving Account) Page

1. Admin has privilege to withdraw amount by clicking on Add button, Account no populates with saving account holder numbers. Then admin selects the desired number to withdraw the said amount.

2. Name of the customer and current balance displays by selecting the account no.

3. Again clicking on Add button, withdraw no auto generates to maintain unique transaction record and keying the amount and clicking on save button the record stores into database.

7. Withdrawals – Current Account

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Account Details:-Account number: Customer name:Drop down list for accounts

Will display the customer name automatically after choosing the account number

Balance Details:-Current balance: Will display the current balance

Deposit Details:-Withdraw number: Deposit Date: Calendar showing today dateWithdraw amount:

Add View Cancel Exit

Figure – Storyboard for Withdraw (Current Account) Page

1. Admin has privilege to withdraw amount by clicking on Add button, Account no populates with current account holder numbers. Then admin selects the desired number to withdraw the said amount.

2. Name of the customer and current balance displays by selecting the account no.

3. Again clicking on Add button, deposit no auto generates to maintain unique transaction record and keying the amount and clicking on save button the record stores into database.

8. Approve Cheque Book Issue

Figure – Storyboard for Approve Cheque Book Issue Page

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Account Details:-Account number: Customer name:Drop down list for accounts

Will display the customer name automatically after choosing the account number

Balance Details:-Current balance: Will display the current balance

Deposit Details:-Withdraw number: Deposit Date: Calendar showing today dateWithdraw amount:

Add View Cancel Exit

Cheque Book Issue

Issue Account No. Customer name Request ID Request Date

Get Cheque Book Request Issue Cheuq Book Exit

1. In the above screen, for approving checkbook issue, admin has to click on get checkbook request. The request made by customers will be displayed in grid with check box option.

2. By clicking on Issue checkbooks button, approval will be made and immediately an SMS will be sent to concerned customer notifying about the checkbook issue.

9. Approve Check Issues

Figure – Storyboard for Approve Cheque Issue Page

1. In the above screen, for approving check issue, admin has to click on get check Issues request. The request made by customers will be displayed in grid with check box option.

2. By clicking on Approve checks button, approval will be made and immediately an SMS will be sent to concerned customer notifying about the check issue.

10. Approve Stop Payments

Figure – Storyboard for Approve Stop Payments Page

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Cheque Book Issue

aprrove Account No. Customer name Cheque No. Cheque Issue No.

Get Cheque Issue Approve Cheque Exit

Received cust. custmer

Stop payment Details

aprrove Account No. Customer name Cheque No. Cheque Issue No.

Get stop payment Approve stop payments Exit

Received cust. custmer

1. In the above screen, for approving Stop Payment for Checks, admin has to click on get Stop payments request. The request made by customers will be displayed in grid with check box option.

2. By clicking on Approve stop payment button, approval will be made and immediately an SMS will be sent to concerned customer notifying about the check stop payment.

B) Customer part:1. Main Page

Figure 5.11 – Storyboard for Customer Main Page

1. This is the main page of the website, once the user click on the login button they will go to the login page.

2 . Login Page

Figure – Storyboard for Login Page

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Flash Image

Login

General information

Flash Image

Login Details

User Name:

Password:

1. The above screen is the login screen for customers. It allows customer to key user details. Customers will receive user name and password via SMS once they registered in the bank.

2. The user details will be validated with the database, once the user details are valid; it leads to main page for further navigation.

3 . Home Page

Figure – Storyboard for Home Page

1. Once user details were valid, customer will lead into above main page.2. Using navigation links given in left panel, customer can made transactions

such as balance enquiry, fund transfer, request for check book and issues etc.,

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Flash Image

List of features

UPDATE PROFILEBALANCE INQUERY FUND TRANSFERACTIVATE FUND TRANSFERCHEQUE BOOK REQUESTCHEQUE ISSUESTOP PAYMENTLOGOUT

Welcome Message

4 . Update Profile Page

Figure – Storyboard for Update Profile Page

1. In the above screen, customer can update the profile, and it will directly modify the database.

5 . Balance Inquiry Page

Figure – Storyboard for Balance Inquiry Page1. In the above screen, customer by clicking on balance enquiry, it displays current account balance.

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Flash Image

List of features

UPDATE PROFILEBALANCE INQUERY FUND TRANSFERACTIVATE FUND TRANSFERCHEQUE BOOK REQUESTCHEQUE ISSUESTOP PAYMENTLOGOUT

Account number:

Customer name:

Address:

Phone No.:

Email:

IC No.:

Flash Image

List of features

UPDATE PROFILEBALANCE INQUERY FUND TRANSFERACTIVATE FUND TRANSFERCHEQUE BOOK REQUESTCHEQUE ISSUESTOP PAYMENTLOGOUT

Account number:

Customer name:

Balance Amount:

View Transaction History

6 . Transaction History Page

Figure – Storyboard for Transaction History Page

1- In the above balance enquiry screen, by clicking on view transaction history Button, all the transaction history such as Deposits, Withdrawals, Fund transfer and check issue details will be displayed.

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Flash Image

List of features

UPDATE PROFILEBALANCE INQUERY FUND TRANSFERACTIVATE FUND TRANSFERCHEQUE BOOK REQUESTCHEQUE ISSUESTOP PAYMENTLOGOUT

Account number:

Customer name:

Balance Amount:

Deposit History (Table of details)

Withdraw History (Table of details)

FundTransfer History (Table of details)

Cheque Issue History (Table of details)

7- Fund Transfer Page

Figure – Storyboard for Fund Transfer Page

In the above screen, keying third party account number it fetches the details of account number keyed and it enables customer to make fund transfer.

1. Once the users press fund Transfer they will receive a security code number and ID transfer number to their phone phones numbers. They must do to Activate Fund Transfer page and key in the security number to complete the transaction.

8 . Activate Fund Transfer Page

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Flash Image

List of features

UPDATE PROFILEBALANCE INQUERY FUND TRANSFERACTIVATE FUND TRANSFERCHEQUE BOOK REQUESTCHEQUE ISSUESTOP PAYMENTLOGOUT

Account number:

Customer name:

Transfer Account NO.:

Transfer Customer Name:

Amount:

Transaction Date: Calendar will show the current date.

Fund Transfer

Flash Image

List of features

UPDATE PROFILEBALANCE INQUERY FUND TRANSFERACTIVATE FUND TRANSFERCHEQUE BOOK REQUESTCHEQUE ISSUESTOP PAYMENTLOGOUT

Account number:

Customer name:

Transfer ID:

Security Code:

Activate Fund Transfer

Figure – Storyboard for Activate Fund Transfer Page

1. Once the fund transfer request is made, the system sends security code with transfer id via SMS to the customer.

2. By keying the above said details and approves the request and transfer the amount keyed in text box will be credited into third party account holder.

9 . Cheque Book Request Page

Figure – Storyboard for Cheque Book Request Page

1. In the above screen, customer can request for checkbook issue.2. The request will be sent to admin module.3. Once admin approves the request, customer will receive the confirmation

SMS and it shows new 10 new checks.

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Flash Image

List of features

UPDATE PROFILEBALANCE INQUERY FUND TRANSFERACTIVATE FUND TRANSFERCHEQUE BOOK REQUESTCHEQUE ISSUESTOP PAYMENTLOGOUT

Account number:

Customer name:

Send Request

10 . Cheque Issue Page

Figure – Storyboard for Cheque Issue Page

1. In the above screen, customer can make check issue to other account holders.

2. The request will be sent to admin module.3. Once admin approves the request, customer will receive the confirmation

SMS. 11 . Stop Payment Page

Figure 5.21 – Storyboard for Stop Payment Page

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Flash Image

List of features

UPDATE PROFILEBALANCE INQUERY FUND TRANSFERACTIVATE FUND TRANSFERCHEQUE BOOK REQUESTCHEQUE ISSUESTOP PAYMENTLOGOUT

Account number:

Customer name:

Cheuqe number:

Cheque Amount:

Issue Account No.:

Issue Customer name:

Issue Cheque

Flash Image

List of features

UPDATE PROFILEBALANCE INQUERY FUND TRANSFERACTIVATE FUND TRANSFERCHEQUE BOOK REQUESTCHEQUE ISSUESTOP PAYMENTLOGOUT

Account number:

Customer name:

Cheuqe number:

Cheque Amount:

Issue To :

Account Number:

Customer Name:

Stop Payment

1. In the above screen, by selecting the check no, check details will be fetched from the database and by clicking on stop payment button, the request will be sent to admin.

2. Once admin approves the request, the customer will receive the confirmation SMS.

5 Design phase of proposed system

Analysis Diagram

Use case Diagram

A Use Case Diagram is a diagram that help system analyst to discover the requirements of

the target system from the user's perspective. Use case diagram consists of actors and use

cases. Actors are anything that interacts with the system. In his system, the author has found

out that there are three actors which are the users which refer to the receivers, administrator

and the Remote video surveillance (RVS) system itself. Use cases are the behaviors of the

system when the actors interact with the system.

A use case is a set of scenarios tied together by a common user goal. Use case diagram

describes what the system does from the standpoint of an external observer. The emphasis is

on what a system does rather that how. Use case specifications are used to explain the use

case diagram in details. Actors are user or external system that carries out the use case.

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Use case: Administrator

Figure - Use Case for Admin Part

67

Login

Create Account:SB/CA

Deposits

Withdrawals

Approve Cheque Book Issue

Approve Cheque Issue

Send SMS

Approve Stop Payment Request

Administrator

Fund Transfer

Use case: Customer Online Part

Figure - Use Case for Customer Online Part

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Login

Balance Enquiry

View Transaction History

Fund Transfer

Activate Fund Transfer

Cheque Book Request

Cheque Issue

Customer

Stop Payment Request

Use case: Customer SMS Part

Figure - Use Case for Customer SMS Part

69

Balance Enquiry

Fund Transfer

Activate Fund Transfer

Cheque Book Request

Cheque Issue

Customer

Stop Payment Request

5.1 Data Flow Diagram

Data Flow Diagram (DFD), as the name suggest, illustrates the flow of information in

a system. It’s demonstrated the information and how it flows

between specific processes in a system to help viewer to visualize the process. Refer to below figure that represents the Data Flow Diagram Level 0 processes.DFD Level 0 Diagram

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CUSTOMERS

CUSTOMER

ADMIN

Approve Check Book/

Issue

Request check Book /Issue

Approve/Decline check Book / Issue

Deposit/Withdrawals

Deposits/Withdrawals

Login Info

Login Reject Info

Create SB/CA Account

View Withdrawals history

Receive SMS

D2 Holders DB File

View deposit history

Receive SMS

View Transaction History

View Transaction Menu

LoginValidate Login Details

D1 Authentication File

1.0

4.0

3.0

2.0

D3 A/c DB File

D4 Check DB File

Request Balance Enquiry

View Current Balance

View

View

5.0

D5 Transaction DB File

Fund Transfer

Login Reject Info

Send SMS

Send SMS

6.0

D6 Checks DB File

Stop Payment

Approval SMS

Request Fund Transfer

Receive Security Code

Send Security code and Transfer Id via SMS

Request Stop Payment

DFD Level 1 Diagram – Admin

Figure DFD level 1 – Admin Part

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ADMIN 1.0Login

Validation

Login InfoLogin failed go to

Login Page

1.1Create SB/CA

Accounts

1.2Deposits /

Withdrawals

1.3Approve check

Book Issue

1.4Approve check

Issue

1.5Send Security Code for FT

1.6Approve Stop

Payment

SB/CA AccountsDeposits / WithdrawalsCheck Book /Check IssueSecurity code for Fund Transfer via SMSStop Payment

1. Creates SB and CA Accounts. Send SMS 2.Update Database

1.Admin make Deposits and Withdrawals and 2.Updates Database

1. Approve request for checkbook issue

2. Send SMS

1. Approve request for check issue

2. Send SMS

1. Send Security code for Fund Transfer

2. Send SMS

1. Approve request for Stop Payment

2. Send SMS

DFD Level 1 Diagram – Customer

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CUSTOMER 1.0Login

Validation

Login InfoLogin failed go to

Login Page

1.1View Balance

Enquiry

1.2View Transaction

History

1.3Fund Transfer

Request

1.4Receive

Security Code

1.5Request Check Book / Issue

1.6Request Stop

Payment

Balance EnquiryView Transaction HistoryFund Transfer RequestReceive Security code for Fund Transfer via SMSRequest Check Book /Check IssueRequest Stop Payment

1. View Balance Enquiry

1.View Deposits, Withdrawals, check and Fund Transfer History

1. Request for Fund Transfer

1. Receive Fund Transfer Security code and Transfer ID via SMS

1. Request for Check Book / Issue and receives approval via SMS

1. Request Stop payment and receives approval via SMS

Figure DFD level 1 – Customer Part

5.2 Class Diagram

Class diagram describes the types of object in the system and the various kind of static

relationship that exist among them. Class diagram show that attributes and operations of a

class and constraints that apply to the way objects are connected. Class diagram are static –

they display that interacts but not what happens when they do interact.

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Figure Class Diagram

74

SB_Holders

Account_No : IntegerCustomer_Name : StringReg_Date : DateAddress : StringPhone_No : IntegerEmail : StringIC_No : String

add()delete()update()check()cancel()insert()send sms()

CA_Holders

Account_No : StringCustomer_Name : StringReg_Date : DateAddress : StringPhone_No : StringEmail : StringIC_No : String

add()delete()update()insert()cancel()save()send sms()

Withdrawals

Withdraw_No : StringWithdraw_Amount : DoubleDraw_Date : DateAccount_No : String

add()

View()Save () cancel()check_Balance()check_Details()

Deposits

Deposit_No : StringDeposit_Amount : DoubleDep_Date : DateAccount_No : String

add()Save()

cancel()

view()check_Balance()Check_Details()

Fund Transfer

Transfer_ID : StringAccount_No : StringT_Account : StringAmount : DoubleT_Date : DateSecure_No : StringStatus : Boolean

add()save()check()send sec_code()send sms()validate()

Users

Account_No : StringPassword : StringAccount_No : String

add()save()edit()delete()validate()

Request

Request

Updates

Updates

creates

createscheque_Issues

Cheque_No : StringAccount_No : StringIssue_Account_No : StringIssue_Amount : StringStatus : Boolean

save()request() delete()edit()

Approves

Admin Login

user_name : Integerpassword : Integer

add()validate()reset()

chequeBook_Issue

Request_ID : StringAccount_No : StringReq_Date : DateStatus : Boolean

save()add()validate()request()

Approves

5.3 Sequence Diagram

Figure Sequence diagram

75

Get Connected

: Customer : Mobile_Appl ication

: Gateway_Server :

Bank_Server_Info : Bank

Server/Database

load URLval idate

found destination

login menu

initiates connection

connets

Figure Sequence diagram for Get Connection

Login

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: Bank server : Customer : mobile_accno_a

: Bank_Database

: Customer_Acc

username

password

notification

enter

main menu

send username and password

accepted

Figure 6.10 Sequence diagram for Login

Select Account

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: Customer : mobile_accno_a : Bank server :

Bank_Database : Customer_Acc

gets customer account number/s

sends account number/s

select account number

sets account number

main menu

Figure 6.11 Sequence diagram for Select Account

Balance Enquiry

: Customer : Main_Menu : Bank server

: Bank_Database : Customer_Acc

check balancegets balance

sends balance information

Figure 6.12 Sequence diagram for Balance Enquiry

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Transfer Funds

: Customer :

Transfer_Menu : Bank server

: Bank_Database

: Transfer_Fund

select transfer fund

select own account transfer

feedback

feedback

select account and enter amout

notification [submitted]

checks for sufficient amout

val idate [sufficient]

accepted

update database

Figure 6.13 Sequence diagram for Transfer Funds

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State transition Diagram:

A State Transition diagram shows the behavior of classes in response to external stimuli. This diagram models the dynamic flow of control from state to state within a system.

Symbols and Notations

StatesStates represent situations during the life of an object. You can easily illustrate a state in by using a rectangle with rounded corners. TransitionA solid arrow represents the path between different states of an object. Label the transition with the event that triggered it and the action that results from it.

Initial StateA filled circle followed by an arrow represents the object's initial state. Final StateAn arrow pointing to a filled circle nested inside another circle represents the object's final state.

Admin State Transition diagram

Approve ()

Figure State diagram for Admin Part

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Login Validate UserLogin

Password

Validate ()

Create Account Holders SB/CA

Deposits / Withdrawals

Create ()

Create ()

Approve Cheque Issue

Sop Payment

Approve ()

Approve ()

Stop ()

Start ()

Approve Cheque Book

State Transition diagram - Customer

Figure 6.15 State diagram for Customer Part

Fund Transfer

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Login Validate UserLogin

Password

Validate ()

Update Profile

Balance Enquiry

Update ()

View ()

Request Check Book/Issue

Request Sop Payment

Stop ()

Start ()

Transaction History View ()

Request ()

Request ()

Security code

Activate ()

Request ()

Fund Transfer

Activate Fund Transfer

Cheque Book Request

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Start

Fund Transfer Issue Security CodeRequest ()

Send SMS

Issue ()Send ()

Stop

Start

Activate Fund Transfer Fund TransferActivate ()

Successful Msg

Issue ()View ()

Stop

Cheque Issue

Balance Inquiry

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Start

Cheqe Book Request Get RequestsRequest ()

Approve Cheque Book

Approve ()Send sms()

Start

Cheqe Issue Request Get RequestsRequest ()

Approve Cheque Issue

Approve ()Send sms()

Stop Payment

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Start

Balance Inquiry Get RequestsRequest ()

Current balance

View ()View ()

Stop

Start

Stop payment Get RequestsRequest ()

Approve Stop Payment

Approve ()Send sms ()

Stop

5.4 Activity diagram

Activity diagram describes the sequencing of attributes, with support of both conditional and

parallel behavior; activity diagram focuses on the flow of activities involved in a single

process. Activity diagram shows how activities depend on each other.

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Admin Activity Diagram:

Customer Activity Diagram:

86

Start process

End process

Logout

Invalid login Details

Valid LoginDetails

Re-enter correct Login details

Transact Deposits

Login

Create SB / CA A / C

Registered & Provide Login details

Admin

Send Security Code

Transact Withdrawals

Send SMS

Approve Cheque Book

Approve Cheque Issues

Update Database Process

Approve Stop Payments

Customer Activity Diagram:

Figure Admin and Customer Activity Diagrams

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Start process

End process

Logout

Invalid login Details

Valid LoginDetails

Re-enter correct Login details

View Current Balance

Login

Update Profile

Registered & Provide Login detailsCustomer

Fund Transfer Request

View Transaction History

Receive Fund Transfer Security Code

Request Cheque Book

Request Cheque Issues

Update Database Process

Request Stop Payments

Network Diagram

88

Figure Network Diagram 2

89

6. Implementation Strategy

Author would like to use the Parallel Run conversion procedure implementing online

banking system. Author chose this conversion procedure to implement online banking

system because it can run both the Old system and the new system simultaneously.

6.1 Implementation Plan

It is not possible to code the entire system without performing test runs. When test runs are

made, some part of the program may not be completed. The fact that those components are

not coded yet must not interfere with test runs. On any test run, the already coded modules

are tested; the modules that are coded yet should appear as if their functionality is disabled.

They should not cause the already coded modules to crash in anyway, but sometimes, it is

unavoidable.

Therefore, to minimize the occurrence of such misfortunes, the modules with the least

dependencies must be coded first, followed with those that perform high-level tasks, which

naturally has more dependencies. A good way to adhere to this is by following the spiral of

the component assembly. The iterations of the spiral are made in such a way that low-level

classes are implemented first, and any iteration will only use components that already exist.

This effectively creates virtual layers of software, built from bottom to top.

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Two Ways SMS Commend

Message Scheduling System : 2 Way Sms Commands

Balance Enquiry : BE,Account_No.

Cheque Issue : CI,Account_No,Issue_Account_No,Amount.

Fund Transfer : FT,Account_No,Transfer_Account_No,Amount.

Fund Transfer Activate : FTA,Account_No,Transfer_ID,Secure_Code.

Cheque Book Request : CBR,Account_No.

Stop Payment : SP,Account_No,Cheque_No.

Screen Shots

1. Admin Module – Login Screen

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4. The above screen is the main page for Administrator. Once Admin user details were validated, menus will be enabled.

5. Login screen is to allow admin to enter user name and password.6. User details will be validated with the database and it leads to view menu

bars else it displays error message on the screen and it asks to re-enter admin user details again.

2. Account Holders Saving Account

5. Admin has privilege to create account holders Savings Account Details by clicking on Add button and it auto generates Savings bank account number with SB prefix and concatenates with account serial number.

6. The form allows admin to key user contact and personal address with user details such as user name and password

7. These user name and password will be sent to customer once record is stored in database via SMS using GSM modem to the user phone number entered in above form.

8. Once savings account is created, it automatically credits RM 1000 and issues 10 checks.

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3. Account Holder Current Account

5. Admin has privilege to create account holders Current Account Details by clicking on Add button and it auto generates Current bank account number with CA prefix and concatenates with account serial number.

6. The form allows admin to key user contact and personal address with user details such as user name and password

7. These user name and password will be sent to customer once record is stored in database via SMS using GSM modem to the user phone number entered in above form.

8. Once Current account is created, it automatically credits RM 5000 and issues 10 checks.

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4. Deposits – Savings Account

4. Admin has privilege to deposit amount by clicking on Add button, Account no populates with saving account holder numbers. Then admin selects the desired number to deposit the said amount.

5. Name of the customer and current balance displays by selecting the account no.

6. Again clicking on Add button, deposit no auto generates to maintain unique transaction record and keying the amount and clicking on save button the record stores into database.

5. Deposits – Current Account

4. Admin has privilege to deposit amount by clicking on Add button, Account no populates with current account holder numbers. Then admin selects the desired number to deposit the said amount.

5. Name of the customer and current balance displays by selecting the account no.

6. Again clicking on Add button, deposit no auto generates to maintain unique transaction record and keying the amount and clicking on save button the record stores into databas

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6. Withdrawals – Savings Account

4. Admin has privilege to withdraw amount by clicking on Add button, Account no populates with saving account holder numbers. Then admin selects the desired number to withdraw the said amount.

5. Name of the customer and current balance displays by selecting the account no.

6. Again clicking on Add button, withdraw no auto generates to maintain unique transaction record and keying the amount and clicking on save button the record stores into database.

7. Withdrawals – Current Account

4. Admin has privilege to withdraw amount by clicking on Add button, Account no populates with current account holder numbers. Then admin selects the desired number to withdraw the said amount.

5. Name of the customer and current balance displays by selecting the account no.

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6. Again clicking on Add button, deposit no auto generates to maintain unique transaction record and keying the amount and clicking on save button the record stores into database.

8. Approve Cheque Book Issue

3. In the above screen, for approving checkbook issue, admin has to click on get checkbook request. The request made by customers will be displayed in grid with check box option.

4. By clicking on Issue checkbooks button, approval will be made and immediately an SMS will be sent to concerned customer notifying about the checkbook issues.

9. Approve Check Issues

3. In the above screen, for approving check issue, admin has to click on get

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check Issues request. The request made by customers will be displayed in

grid with check box option.

4. By clicking on Approve checks button, approval will be made and immediately

5. an SMS will be sent to concerned customer notifying about the check issue.

10. Approve Stop Payments

3. In the above screen, for approving Stop Payment for Checks, admin has to

4. click on get Stop payments request. The request made by customers will be

displayed in grid with check box option.

5. By clicking on Approve stop payment button, approval will be made and

6. immediately an SMS will be sent to concerned customer notifying about the

check stop payment.

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11. Customer Module – Login Page

3. The above screen is the login screen for customers. It allows customer to key

4. user details. Customers will receive user name and password via SMS once

they registered in the bank .

5. The user details will be validated with the database, once the user details are

6. valid, it leads to main page for further navigation.

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12. Home Page

3. Once user details were valid, customer will lead into above main page.

4. Using navigation links given in left panel, customer can made transactions

such as balance enquiry, fund transfer, request for check book and issues

etc.,

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13. Update Profile

1. In the above screen, customer can update the profile.

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14. Balance Enquiry

1. In the above screen, customer by clicking on balance enquiry, it

displays current account balance.

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15. View Transaction History

1. In the above balance enquiry screen, by clicking on view transaction history

Button, all the transaction history such as Deposits, Withdrawals, Fund

transfer and check issue details will be displayed.

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16. Fund Transfer

2. In the above screen, keying third party account number it fetches the details

of account number keyed and it enables customer to make fund transfer.

3. Once the users press fund Transfer they will receive a security code number

and ID transfer number to their phone phones numbers. They must do to

Activate Fund Transfer page and key in the security number to complete the

transaction.

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17. Activate Fund Transfer

3. Once the fund transfer request is made, the system sends security code with

transfer id via SMS to the customer.

4. By keying the above said details and approves the request and transfer the

amount keyed in text box will be credited into third party account holder.

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18. Check Book Request

4. In the above screen, customer can request for checkbook issue.

5. The request will be sent to admin module.

6. Once admin approves the request, customer will receive the confirmation

SMS and it shows new 10 new checks.

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19. Check Issue

4. In the above screen, customer can make check issue to other account

holders.5. The request will be sent to admin module.

6. Once admin approves the request, customer will receive the confirmation

SMS.

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20. Stop Payment

3. In the above screen, by selecting the check no, check details will be fetched

4. from the database and by clicking on stop payment button, the request will be

sent to admin.

5. Once admin approves the request, the customer will receive the confirmation

6. sms.

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7 Software Testing

7.1Testing Objective

Testing is a very important phase of any system’s development. Testing helps developers to

ensure an error free system. Even though is vital to achieve a 0 defect, 100 % perfect and

error free system, testing aids developers in identifying errors within the system. Through

testing, bugs and errors can be identified and fix. Even so, new bugs and error pay occur.

There fore a well planned testing should be done to ensure the robustness of the system.

Testing should include various testing methods to determine the quality of the final product

being delivered. Testing among the users of the system is important to ensure the usability

and user acceptance towards the system

7.2 Testing Methods and Strategies

There are many testing methods available in order to test the system. However only certain

testing methods have been chosen based on the system and the time limitation. Basically any

system may have technical and practical problem. Technical problem are problems such as

bugs an errors meanwhile practical problem will include user’s dissatisfaction and

acceptance Satzinger, J.W., Jackson, R. B., and Burd, S.D. 2005 The testing stages had been broken down into four main stages. These testing were suitable

for the particular system.

Unit Testing (White Box Testing) Integration Testing Validation Testing Database Testing System Testing User Acceptance Testing

- Usability Testing- Interface Acceptance- System Performance- System Functionality- Heuristics Evaluation

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All stages of testing will be explained in detail in this chapter. The results of the testing

will be detailed in the following sections and the sample questions used to test and

evaluation will be appended below.

7.3 Database testing for the System

Database testing conducted by the developer to ensure the database is able to search, update,

add, and delete records for the database. The database developed for this system is a

prototype database of a banking system.

Adding of record using the INSERT command Searching and retrieving record from the database using SELECT, WHERE BY, and

FROM command

Test Procedure Expected Results Actual Results1. Adding record in any to the MS SQL 2005 Server database.

Able to store data in any table in database.

Able to store data in any table in database.

2. Searching of record in any table from the MS SQL 2005 Server database.

Able to search for record from any table successfully using SQL query

Able to search for record from any table successfully using SQL query

3. Retrieval of record in any table from the MS SQL 2005 Server database.

Able to retrieve any record from any table. Showing full compatibility between program and database.

Able to retrieve any record from any table. Showing full compatibility between program and database.

4. Updating record in any table in the MS SQL 2005 Server database

Successfully able to make changes in tables.

Successfully able to make changes in tables.

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7.4 Validation TestValidation test had been conducted to all fields for database entry. To ensure lower error rate

cause by user input, every database entry is validated. For example, to make sure account

number and amount for example are entered as number and not alphabets.

7.5 Unit Testing

Module Testing Unit and module testing is done after completion of each module. Mobile Internet banking

has two modules such as Administrator and customer modules. Administrator module has

privilege to create Savings and current account holders, Manage Deposits and withdrawals,

approvals for Chequebooks issues, Cheque issues and their stop payments. Customer

Module has functional features such as Login, Balance Inquiry, Fund Transfer and request

security code for fund transfer, request Chequebook, Cheque issues and stop payments in

online part and Balance Inquiry, Fund Transfer and request security code for fund transfer,

request Chequebook, Cheque issues and stop payments in the SMS part. Upon completion

of these features, testing is done. All features are tested again the end of the iteration.

The advantage of module testing is that, bugs and errors of a particular module can be

detected and debugged before the integration of all modules.

The Administrator module tested in this section is

Login Create Account holder details Manage Deposits and Withdrawals Approvals for Cheque book issues, Cheque issues and Stop payments

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Unit / Module testing for the Administrator Login Module Tested: Login Feature Tested: All

Conditions to be tested

Expected Results Actual Results Remarks

Load Login Form Display Login Page Display Login Page Working Enter User name and password

Display message: Display main screen

Display message: Upon successfully login, displays main screen with menu items

Working

Unit / Module testing for the Create Account Holder detailsModule Tested: Create Account Holder DetailsFeature Tested: AllConditions to be tested

Expected Results Actual Results Remarks

Select Savings or Current Account form

Displays Account creation page

Based on the selection of type of account creation, form will be displayed

Working

Click on Add button Account no will be displayed based on the type of account selected and differentiated with SB and CA.

Account number displayed in drop down based on the selection of account type successfully.

Working

Input Customer Details and user name and password

Insert address details and create user name and password

It accepts customer details with user name and password.

Working

SMS sent to customer for user name and password

Customer receives user name and password once the record saves successfully.

Record is inserted successfully and immediately sms is being sent to concerned customer mobile

working

Unit / Module testing for the Manage Deposits and WithdrawalsModule Tested: Manage Deposits and WithdrawalsFeature Tested: All

Conditions to be Expected Results Actual Results Remarks

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testedSelect Deposits or withdraw form

Displays selected form page

Based on the selection of type of transaction form will be displayed

Working

Click on Add button Account no’s and deposit no will be displayed

Account number displayed in drop down based on the selection of account; customer name will be displayed.

Working

Enter amount to be deposited or withdraw

Insert amount and select date

It accepts amount and date and saves the transaction successfully in the database

Working

Unit / Module testing for the Approvals for Cheque Book Issues, Cheque Issues and stop PaymentsModule Tested: Cheque Book Issues, Cheque Issues and stop PaymentsFeature Tested: All

Conditions to be tested

Expected Results Actual Results Remarks

Click on Get cheque book requests

Displays all requests sent by customers

All the request will be displayed in grid successfully

Working

Select on check box to be approved

Selecting the check box provided and clicking on issue approved checkbooks request.

Clicking on check issue button whose checkboxes were selected approves request. And SMS will be send to the customer Immediately.

Working

Click on Get cheque issue button

Displays all requests sent by customers

All the request will be displayed in grid successfully

Working

Click on Approve Cheque button.

Selecting the check box provided and clicking on approve Cheque request button approval made successfully

Clicking on approve Cheque button whose checkboxes were selected where admin approves request successfully. And SMS will be send to the customer Immediately.

Working

Click on Get stop Displays all requests All the request will Working

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payment requests sent by customers be displayed in grid successfully

Select on check box to be approved

Selecting the check box provided and clicking on approve stop payments, requests will be processed successfully.

Clicking on approve stop payment button whose checkboxes were selected approves request successfully. And SMS will be send to the customer Immediately.

Working

Customer Module (Online Part )The customer module tested in this section is Login Balance Inquiry Request security code for fund transfer Fund Transfer Request Chequebook Cheque issues Stop payments

The test plan below is used to record the actual and expected output of each module.

Unit / Module testing for the Login Module Tested: Login Feature Tested: All

Conditions to be tested

Expected Results Actual Results Remarks

Load URL Display Login Page Display Login Page Working Enter User name and password

Display message: Congratulations And display all navigational links of user.

Display message: Congratulations And display all account number of user.

Working

View Navigational links for customer for transactions

Displays Main Menu:

Balance InquiryTransfer FundsCheque book requestStop paymentCheque IssuesLog out

Displays Main Menu:

Balance InquiryTransfer FundsCheque book requestStop paymentCheque IssuesLog out

Working

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Displays Welcome Message

Displays Menu:Congratulations

Displays Menu:Congratulations

Working

Unit / Module testing for the Balance Inquiry Module Tested: Balance Inquiry Feature Tested: All

Conditions to be tested

Expected Results Actual Results Remarks

View Customer Name and account number

Displays Account details

Displayed customer name and account number

Working

View Balance Displays Account Balance

Displays Account Balance

Working

View Transaction History

Displays last transaction history details

By clicking on view transaction history, all the transaction details will displayed including deposits, withdrawals, Fund Transfer and Cheque issues.

Working

View Main Menu Displays Main menu

Displays Main menu

Working

Unit / Module testing for the Update Profile Module Tested: Update Profile Feature Tested: All

Conditions to be tested

Expected Results Actual Results Remarks

View Update ProfileForm

Display profile Form:

Display customer profile form with empty fields

Working

Click Edit button Display Customer profiles details based on customer login

The customer who authenticated, those details were displayed.

Working

Account number and IC number are read only

In edit mode, account number and IC number are being made read only.

Displays account number and IC number in read only mode

Working

Profiles are Updated User can update the profile

Customer can successfully updating the profile details

Working

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Unit / Module testing for the Transfer Funds Module Tested: Transfer Fund Feature Tested: All

Conditions to be tested

Expected Results Actual Results Remarks

View Transfer Fund Page

Display Transfer Fund form:To Third Party account transfer

Display Transfer Fund form:To Third Party account transfer

Working

Transfer Fund to 3rd

party accountSelect DB or CA customer name will be displayed a

Selection is done for SB / CA accounts and customer name displayed

Working

Enter amount and select date to transfer

Customer can add amount to be transferred and date to be selected for transfer

Customer can select date and amount for fund transfer successfully.

Working

Security code and ID transfer will be send to the customer.

The ID number and the security code will be send to the customer for activate the transaction immediately

The ID number and the security code will be send to the customer for activate the transaction immediately

Working

Unit / Module testing for the Request for security code Transfer Funds Module Tested: Request security code for Transfer Fund Feature Tested: All

Conditions to be tested

Expected Results Actual Results Remarks

View Activate Fund page

Display Account number and customer name and blank ID Transfer, Security code.

Display Account number and customer name and blank ID Transfer, Security code.

Working

Enter the ID transfer and Security code.

The Fund Transaction will be saved successfully

Error message “the number you enter is incorrect”

Security code was incorrect

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to the databaseEnter the ID transfer and Security code.

The Fund Transaction will be saved successfully to the database

The Fund Transaction will be saved successfully to the database.

Working

Unit / Module testing for the Cheque Book requestModule Tested: Cheque Book Request ModuleFeature Tested: AllConditions to be tested

Expected Results Actual Results Remarks

Click on Cheque book request

Customer details will be displayed

Customer account number and name has displayed

Working

Click on send request

Request will be sent to admin for approval

Admin can view the Cheque book request sent by customer successfully

Working

Unit / Module testing for the Cheque IssuesModule Tested: Cheque IssueFeature Tested: All

Conditions to be tested

Expected Results Actual Results Remarks

Click on Cheque Issue Link

Customer details will be displayed

Customer account number and name has displayed along with Cheque leaf number.

Working

Select Cheque leaf number and can select self or third party issues

All Cheque leaf which are available were displayed

Displayed all Cheque leafs and customer can select mode of issue

Working

Select Mode of issue and displays account number and customer name

Cheque is issues to selected account holder

Customer details were displayed based on the mode of issue.

Working

Confirmation message displayed

Message displays once Cheque is issued

Confirmation message displayed successfully once Cheque has been issued.

Working

Unit / Module testing for the Cheque Stop PaymentModule Tested: Cheque Stop PaymentFeature Tested: All

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Conditions to be tested

Expected Results Actual Results Remarks

Select Cheque number

Based on Cheque no selected check details will be displayed

Cheque details such as amount issued details were displayed successfully upon selection of Cheque number from drop down

Working

Click on Stop Payment

Stop payment request will be issued

Stop payment request has been issued successfully.

Working

Unit / Module testing for the Logout ModuleModule Tested: Logout Feature Tested: AllTested & Prepared by:

Conditions to be tested

Expected Results Actual Results Remarks

Logout Users are logged out of the system

Users are logged out of the system

Working

Customer Module (SMS Part)The customer module tested in this section is Balance Inquiry Fund Transfer Activate Fund Transfer Request Chequebook Cheque issues Stop payments

The test plan below is used to record the actual and expected output of each module.

Unit / Module testing for Balance InquiryModule Tested: Balance InquiryFeature Tested: AllTested & Prepared by: Conditions to be tested

Expected Results Actual Results Remarks

Send BE,Account number

Receive the current balance.

Nothing receive Account number is not exist.

Send BE,Account number

Receive the current balance.

Receive the current balance.

Working

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Unit / Module testing for Fund TransferModule Tested: Fund TransferFeature Tested: AllTested & Prepared by: Conditions to be tested

Expected Results Actual Results Remarks

Send FT, Account_No, Transfer_Account_No, Amount.

Receive conformation message, and the security code and ID transfer

Nothing receive Account number is not exist.

Send FT, Account_No, Transfer_Account_No, Amount.

Receive conformation message, and the security code and ID transfer

Receive conformation message, and the security code and ID transfer

Working

Unit / Module testing for Activate Fund TransferModule Tested: Activate Fund TransferFeature Tested: AllTested & Prepared by: Conditions to be tested

Expected Results Actual Results Remarks

Send FTA, Account_No, Transfer_ID, Secure_Code.

Receive successful message, and the Fund Transfer will Save in the Database.

Nothing receive Account number is not exist.

Send FTA, Account_No, Transfer_ID, Secure_Code.

Receive successful message, and the Fund Transfer will Save in the Database.

Receive conformation message, and the security code and ID transfer

Working

Unit / Module testing for Cheque IssueModule Tested: Cheque IssueFeature Tested: AllTested & Prepared by: Conditions to be tested

Expected Results Actual Results Remarks

CI, Account_No, Issue_Account_No, Amount.

Receive conformation message

Nothing receive Account number is not exist.

CI, Account_No, Issue_Account_No, Amount.

Receive conformation message

Receive conformation message

Working

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Unit / Module testing for Cheque Book RequestModule Tested: Cheque Book RequestFeature Tested: AllTested & Prepared by: Conditions to be tested

Expected Results Actual Results Remarks

CBR,Account_No. Receive conformation message

Nothing receive Account number is not exist.

CBR,Account_No. Receive conformation message

Receive conformation message

Working

Unit / Module testing for Stop Payment RequestModule Tested: Cheque Book RequestFeature Tested: AllTested & Prepared by: Conditions to be tested

Expected Results Actual Results Remarks

SP, Account_No, Cheque_No.

Receive conformation message

Nothing receive Account number is not exist.

SP, Account_No, Cheque_No.

Receive conformation message

Nothing receive Cheque number is not exist.

Overall Systems Testing

Overall of the system was tested around 15 times to ensure the system works find and does not major functionality errors.

Test Procedure Expected Results Actual Results1. Simulation of the entire system is done repeatedly more than 10 times for both admin and customer modules with GSM Mobile and GSM modem for SMS sending.

System shouldn’t encounter any problems from all areas of the system.

System didn’t encounter any problems from all areas of the system.

. YES N0 N/A

1. Do you know how to load Online Banking Application

*

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2. Does it take very long? *3. Is it clear where to enter username,

password and submit.*

4. Does the main menu show all functions clearly?

*

5. Did you manage perform all required task/functions?

*

6. Was there any usability issues? *7. Does the system and function clarify the

needs?*

8. Are the fonts easy to read? *9. Are the fonts easy to small? *10. Are the fonts too small? *11. Is there too much text on screen? *

8 USER EVALUATION

Evaluation Result8.1 Ease of Use

figure Ease of useGraph 1 Ease of Use

There are 70% users find out that the proposed Online Banking system is easy to be used and learnt. The other 30% of the users dislike the system and feel it is hard to be used. The percentage of 70% of users satisfied with the system thus the author has met their expectations and needs towards the system.

8.2 Rating of user interface design of the system

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figure Rating of user interface design of the system

8.3 Graph 2 User Interface DesignThere are 30% of the users feel that the user interface design of proposed Online

banking system is excellent. Then, another 30% of them think that the system’ user

interface design is good. Most of the users, 40% of them think that the user interface

design is average and none of them dislike the design. This shows that basically the

author has met their expectations towards the user interface design but there is

enhancement can be made to make the design become better in the future.

Features and functionalities of the system

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Figure Features and functionalities of the systemGraph 3 Features and Functionalities of the System

Most of the users feel that the features and functionalities of proposed system are

good while others feel excellent and average. This shows that users are satisfied with

the features in the Online Banking system.

User Evaluation Checklist

CONSISTENCY

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

1. Are the same type of in formations (e.g instructions, menus, messages, titles displayed:

(a) at the same location on the screen

3 1

(b) in the same kind of layout

3

(c) in the same kind of structure

3

2. Is the format for menu are the same and

4

122

consistent through out the system?

123

CONSISTENCY (CONT’D)

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

3. Does the cursor at initial position on screen of a similar type. (cursor display in the tint text box on every screen).

2 2 Unable to see cursor in Nokia simulator

4. Is the format, where the user should enter information the same through out the application?

4

5. Is the format for selecting menu consistent through out the application?

4

6. Does the same type of information displayed in the same format, whatever it appears?

4

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CONSISTENCY (CONT’D)

AlwaysMost ofthe time

Occasionally

NeverRemarks/Comments

7. Does the action to move the cursor around in the screen consistent through out the application.

4

8. Is there a standard procedure to carry out similar related operations?

4

9. Is the way, the system respond to a particular action by the user consistent at all times.

1 2 1

Overall EvaluationVery Satisfying Satisfying Average Unsatisfying

Very Unsatisfying

4

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VISUAL CLARITY

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

1. Does each screen clearly specify the title/description of the information?

2 2

2. Is the menu highlighted on the screen (underlined and blue font).

4

3. Des the color of menu (blue) and information (black) helps to make display clearer?

4

4. When information is to be entered, is it clear where supposed to be entered?

4

126

VISUAL CLARITY (CONT’D)

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

5. Does information on the screen organized clearly organized on the screen?

2 2

6. Are the different type of information clearly separated from each another?

1 1 2

7. Is there large amount of information displayed in a screen?

1 3

8. Are the fonts too small?

3

9. Is the information on the screen easy to read?

4

127

VISUAL CLARITY (CONT’D)

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

0. Is it easy to find required information from the screen?

2 2

11. Are the instruction in the screen clear and easy to understand?

2 2

Overall EvaluationVery Satisfying Satisfying Average Unsatisfying

Very Unsatisfying

4

128

INFORMATION FEEDBACK

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

1. Are the information displayed in the screen concise?

2 2

2. Are the information/ messages displayed in the system relevant.

4

3. Does message prompt when error occurs?

4 Password and unsufficient amount

4. Is it clear what action to be taken at any state?

4

5. Is instruction clearly inform what to be done?

3 1

6. Is the display clear, on how you can perform particular task?

2 2

129

INFORMATION FEEDBACK (CONT’D)

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

7. Is the display on the screen clear about the result of the input entered?

4

8. Is there appropriate respond to al action taken?

4

9. Does the system display messages after every successful or unsuccessful action completed?

2 2

10.

Is it clear what should be done to correct an error?

2 2

130

INFORMATION FEEDBACK (CONT’D)

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

11. There are several function in the system. Does the system show which function you are currently doing clearly?

1 1

Overall EvaluationVery Satisfying Satisfying Average Unsatisfying

Very Unsatisfying

4 1

131

EXPLICITNESS

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

1. Is it clear, about what you have to do to complete a task?

3

2. Is it clear about what each option and menus means?

4

3. Is it clear what al the function actually does?

4

4. Is the structure of the system obvious and understandable to the user?

4

5. Is the system well organized?

2 1 1

6. In general, is it clear what the system is doing?

3 1

Overall EvaluationVery Satisfying Satisfying Average Unsatisfying

Very Unsatisfying

1 3

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APPROPRIATE PUNCTIONALITY

AlwaysMost ofthe time Occasiona

llyNever

Remarks/Comments

1. Is the system easy to navigate with a mobile phone?

1 1 3

2. Does every screen have information appropriate to the task?

2 2

3. Can you access all function provided?

4

4. Can you perform all function successfully?

2 2

5. Is all the feedback received appropriate to the function?

3 1

APPROPRIATE PUNCTIONALITY (CONT’D)

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

6. Were task sequences too long to perform a function, are they are broken up into subsequences.

4

7. Is the interface used, usable and relevant to the system?

2 2

Overall Evaluation

133

Very Satisfying Satisfying Average Unsatisfying

Very Unsatisfying

1 3

FLEXIBILITY AND CONTROL

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

1. Can you to back to previous page at every screen?

3 1

2. Can you layout at every screen.

3 1

3. Can we go back to main menu at every screen?

4. Do you have control of the system, on what task you want to perform?

4

5. Can you navigate the system freely?

4

Overall EvaluationVery Satisfying Satisfying Average Unsatisfying

Very Unsatisfying

4

ERROR PREVENTION AND CORRECTNESS

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

1. Does the system clearly and promptly

2 2 Except for valid

134

inform when there is an error?

2. Is it easy to correct errors?

4

Overall EvaluationVery Satisfying Satisfying Average Unsatisfying

Very Unsatisfying

4

SYSTEM LIABILITY PROBLEMS

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

1. Can you understand how the system works?

2 2

2. Do you understand how to carry out task?

2 2

3. Do you understand if the information provided on the screen related to your task?

3 1

4. Do you know what to do next after every action?

2 2

5. Is there information which is difficult to read?

4

6. Is it difficult to find information that you want?

2 2

135

SYSTEM LIABILITY PROBLEMS (CONT’D)

AlwaysMost ofthe time

Occasionally NeverRemarks/Comments

7. Is there too much information on a screen?

4

8. Is the system flexible to navigate?

4

9. Have to remember to many things to perform task?

4

10. System response time is too slow?

4

11. Do you know where and how to input information?

4

12. Do you have to spend too much time inputting the system.

1 3

Overall EvaluationVery Satisfying Satisfying Average Unsatisfying

Very Unsatisfying

3 1

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9 Final Conclusions

Based on the results above, it shows that overall this system is a usable system. It is

not 100 % perfect but overall it has met user acceptance.

9.1 Conclusion

In this chapter, it will covers the summary of the project, the problem faced while developing

this report, system limitation and the suggestion for further enhancement in the coming

opportunity. The major goal of the banks is to repeat – and if possible expand – the big

success of electronic banking in mobile banking. But the banks have to keep in mind that the

usage of mobile banking is taking place under completely different circumstances - under the

application of mobile commerce rules.

There are some problems encountered during the implementation phase of this Mobile

Internet banking system. The problems that affected the process of analyzing and designing

are as follows:

9.2 Time Constraint

The given time is very limited. More time needed to find resources and surveys.

- 9.3 Lack of resources

There is less resources cause the analysis phase needed more time. Most of the

information gathered from Internet. But most of the existing system cannot be

downloadable. It caused difficulties when doing literature review.

By doing this author have learned a lot of things such as research methods, communication

skills, coding skills, documentation technique, project management and Graphical User

Interface (GUI) design .

In terms research methods author have learned how to do research by reading books, viewing

and reading information from Internet and by looking at articles. In terms of communication

author have learned how to conduct interview and how to design questionnaires. In terms of

coding skills author have learned new things while doing the coding for the system. In terms

of documentation technique author have learned how to structure a good documentation so

that it is well organized and neatly arranged. In terms of project management author have

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learned how to undertake the planning and scheduling task so that the system is developed in

time. In terms Graphical User Interface (GUI) design author has learned how to develop a

very user-friendly interface so that users of Online Banking system will find it east to use.

It is not possible to code the entire banking system without performing test runs. When test

runs are made, some part of the program may not be completed. The fact that those

components are not coded yet must not interfere with test runs. On any test run, the already

coded modules are tested; the modules that are coded yet should appear as if their

functionality is disabled. They should not cause the already coded modules to crash in

anyway, but sometimes, it is unavoidable.

Therefore author has to minimize the occurrence of such misfortunes; the modules with the

least dependencies must be coded first, followed with those that perform high-level tasks,

which naturally has more dependencies. A good way to adhere to this is by following the

spiral of the component assembly. The iterations of the spiral are made in such a way that

low-level classes are implemented first, and any iteration will only use components that

already exist. This effectively creates virtual layers of software, built from bottom to top.

As Online system is a web based, the application will be uploaded, and the customers

can view in Browser.

All the contents will be displayed dynamically and were stored in to database server.

As far as author is concerned, the users of the system obtain the degree of success. The

system that author have developed is reasonably good and it is very user friendly, so the

Online banking system users may not have any difficulties in using online system. In

addition to that functionality of the system will do well because author have deposit a lot of

effort in developing the banking system. All objectives had been met and the system was

developed according to the requirements of the users. Besides that author says the measure of

success lies in the success of objectives achieved, however further enhancements been made

accordingly to users needs and requirements.

Also new forms of devices are promising the solution of some of the problems in the near

future. There are basically two new forms of devices, which are becoming more and more

popular. Smart phones and PDA with integrated telephony. PDA with integrated telephony is

advancements of the already known PDA of course also a mobile banking application can

use these features.

138

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