Abstract:

HSBC is one of the largest international banking and financial services organization, their advanced information technology system and banking services was one of the reasons why HSBC is one on the top of the other international banks. At the past there was a lack of security and efficiency in the banking services, but now days thanks to the technology .Banking services are so much easier to get and the security level and efficiency have been increased as well. ATM machine is an (Automated Teller Machine) which is basically a computerized system where the user can access it any time of the day. The very main advantage of the ATM was the 24 hours availability that the ATMs were providing. However , Some security problem may be faced as identity theft or fraud.

Contents
Introduction:.............................................................................................................................................. 3 Current scenario ............................................................................................................................................ 4 Functionality: ................................................................................................................................................ 4 Human interaction with the ATM machine: ............................................................................................. 5 The ATM System:..................................................................................................................................... 5 Advantages, Disadvantages: ......................................................................................................................... 6 Impact of technology: ................................................................................................................................... 7 Recommendations: ...................................................................................................................................... 13 References:.................................................................................................................................................. 14

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Introduction:
HSBC is a British international banking and financial services company that have headquartered in Canary Wharf, London, United Kingdom. The latest international Banking rating of 2011 it was the world's second-largest banking and financial services group it was also the secondlargest public company according to a composite measure by Forbesmagazine. It has around 7,500 offices in 87 countries around the world and around over then 100 million customers, with a number of 2500 employees. A resent total asset of $2.418 trillion. HSBC Holdings was founded in London in 1991 by The Honking and Shanghai Banking Corporation to be as a new group holding company .However, the origins of the bank was founded in Hong Kong , where the very first branches were opened in 1865. Over the years, HSBC remains one of the largest banks in Hong Kong and the world. One of the main things that lead HSBC to be a worldwide organization, Its their advanced information technology system and banking services.

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Current scenario
The Banking system in the past was a 100% process that was depending at the banking stuff and employees, where all the banking trades and services were done manually. The issues that was occurred in the past ages most of them were the luck of the security and functionality of the banking services, Not to mention the efficiency of the treads was very low as lots of human errors was faced. In 1986 some actions was taking to ensure the safety f the banking system by evaluating a number of Policy options to increase the efficiency, performance, and safety of the system by Changing the structure of the banking services system and process. That was a brief of the banking system in the past and the main issues and problems that were faced. The information technology system have totally changed the process of banking services, where nowadays most of the banking treads and services are processed by machines not humans . ATM which is an (Automated Teller Machine) is a perfect example of the technology impact on banking system and services these days. Where it saves time, reduce load on the bank stuff, and have an availability of 24 hours, for banking services which includes withdrawal, transfer, and deposit money. Beside that there is also the online banking where most people prefer using internet banking services thats includes the account information, money transfer, online shopping.

Functionality:
An ATM which is stands for (Automated Teller Machine) is a basically a computerized system where the user can use it to deposit ,withdraw, check balances and transfer money from one account to the other. ATMs mostly are either a part of the bank itself, or an independent unit that has the ability to contracts with several banks and credit card companies like HSBC. The former are usually found in standalone booths or on the outsides of a bank, while the latter are usually found in other public places, such as grocery stores and malls.

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Human interaction with the ATM machine:

First the user insert the ATM card into the machine, In HSBC the ATM will ask you to select the language. Hence the bank is an international, and the ATM cards of different users are registered from different countries and they are mostly choosing their own languages other than English. Then, the user will be asked to enter the PIN which is (Personal Identification Number). As soon as the users press enter the system will ask the user to select the transaction, or service .The most common services are, deposit money, withdraw money, and changing the PIN number. If the user selected the option of depositing money, the system will ask the user to enter the amount of the money. In HSBC, there is two ways of depositing money on of them are direct deposit, and the other is inserting the amount of money into the envelop and put it back into the ATM machine. For withdraw money, most of the machines including HSBC, the user will have to enter the amount of money to withdraw. The user will have to take the money and the ATM card, in HSBC bank the ATM will ask the user if they wish to print the receipt or to do any further transactions.

The ATM System:

An ATM is basically a data terminal thats consisting of with two input and four output devices. Like any other data terminal, the ATM has to connect to, and communicate through, a host processor ,which refers as a central computer with accessory equipment thats provide services more conveniently to its network, which may consist of many members at remote locations. Its analogous to (ISP) in that it is the gateway through which all the various ATM networks become available to the cardholder (the person wanting the cash). Most host processors are supported either with leased-line or dial-up machines. Leased-line machines connect directly to the host processor, using a dedicated telephone line. Dial-up ATMs first connects to the host processor through a normal phone line using a modem and a toll-free number .while , Leased-line ATMs are preferred for very high-volume locations for their thruput capability is the amount of data transferred from one place to another or its more like the processes that can be done in a specified amount of time, dial-up ATMs are preferred for retail
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trade locations where the cost is the greater factor than thru-put. The overall initial cost for a dial-up machine is a way less than half the cost that its used for a leased-line machine. Nevertheless, the monthly maintaining operations costs for dial-up are only a fraction of the costs for leased-line. The bank or financial institution can own the host processor, also it can be owned by an independent service provider. Bank-owned processors normally support only bank-owned machines, whereas the independent processors support merchant-owned machines.

Advantages, Disadvantages:

One of the main advantages of the ATMs and the Online Banking is the availability of the services where the user can easily access the bank account at any time of the day, and are no longer restricted to the bank working hours. Therefore, the users dont have to adjust their personal schedule over the restrictive hours of branch offices; they can check the balance and perform most transactions online from their comfort home. Nevertheless, Also the ATM machine provides a constant service thats available 24 hours a day for withdrawal or deposit money to the bank account. To ensure the security of the services and the time where, generally online Banking are much faster and more convenient for users. However in the other hand Traditional banking can be a relatively slow process, especially if the user encounters long lines at the teller windows or must delay transactions because the bank has already closed. Online access avoids these kinds of hassles and allows the user to do their transactions relatively quickly once they are comfortable with the required technology. They can access it anywhere. Therefore, If the customer was on vacation or, they can still keep an eye on your accounts and transfer money as needed. Also they can use the ATM machines aboard . In some Banks as HSBC, there are better rates for investment-related banking services such as savings accounts. Where it was so obvious those in recent years, online only banks such as ING Direct offering high yield savings accounts with significantly more favorable rates than those found at other banks. This is possible because banks that operate strictly online can avoid paying most of the usual overhead expenses.
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Although online banking is generally secure with modern with the encryption technology, there are still some possibilities for identity theft or fraud to occur if the user was a fall victim to a phishing site . For the most parts, this kind of problems can easily be prevented by using the common sense approaches like not clicking on suspicious links from spam emails and making sure that your account login page is actually from the correct domain of their banking site. Not all transactions which made online are immediate and direct. This is definitely the case with paper checks or money orders as mentioned above, but even ACH transfers (for instance, from a PayPal account) may take from one to five days before they are settled and the funds become available in your bank account.

Impact of technology:

In numerous organizations one of the ways to measure the success of the organization itself is to see the ability to keep up with the environs changes and updates specifically now days with the technological field which it changes rapidly and that can raise the growth of the productivity and the quality of the outcomes. Besides that the organization has to pay attention to what variations are roughly occurring so it can provide the perquisites the requirements of the surrounded environment. HSBC have implement and use the technology in the workplace very well and in an impressive way, especially in the previous years where they made a vast shift toward using the technology inside the organization and in the boundaries such as the website or even the portable devices where they jumped into the Apple store and released an application called HSBC Business Banking and allow the user to check the balance, bill payments or even transfer money; Not only in the banking side, another application called HSBC Seven shows the news of the world in an interesting interface with well appearance. Besides that the impact made by the social websites drive the organizations and companies to start construct and build an identity into these sites so they keep going headfirst to the leading and buying the consumer and attract them continuously to the company.

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One of the clear effects of the usage of technology is the change been in the paying methods, for instance before the massive shift towards the using of technology the people was carrying cash to be able to purchase a products or get a services, it was not secured at that time especially when they was carrying big amounts, easy targets to the thieves, despite that we have in the other hand right now another payment methods such as paying using credit card, using VISA cards which authorize you to buy now and pay later with an interesting rates, or even paying via website directly from your account; This evolution made the comparison is slightly hard because it becomes visibly for everyone the assistance and the interfere in the life, make it much simpler and easier, The summarize of the impact can be into the following points : 1. Improve the quality of the management by using the software to organize, monitor, analyze, collecting data and reporting. 2. Expand the area of decision making and improve it by using specific applications that support and provide options for the manager. 3. Led to increase the productivity of the organization or company by increasing the efficiency of the outcome, reducing the time and cost after going through a several process. 4. Provide an area filled with innovative and creative by giving the user the capability of expanding the workplace by contributing an intelligence system. 5. Develop the organization structure based in the needs and requirements and that can be reached with a variety of administration levels while it can be coordinated easily with the system.

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[Real Time Systems]

Impact of using ATMs: Upon this age of the impact of technology, the old methods to deal with the life have been substituted gradually with the new modern methods. Talking about banking we will notice the gigantic changes in all the areas and the majority of them have massive importance and critical aspects. The invention of ATM (Automated Teller Machine) provide an efficiency at the higher levels and as a prove of that rarely the users of ATMs count the money for an instance because the system almost perfect and flawless far away from the mistakes and errors despite it could occur but because the user has a blind confidence in the machine. Furthermore the tightness and security during the transactions whether it was withdraw or deposit no matter becomes much better than before and prevent many attempts to rob and theft efforts. But even with all of this utilities the users complain about the hangs in the system, disconnection from the server, suspend of the ATM card or the machine is out of cash which cause harassment and annoyance for many of them. The most important part is being the ATM one of the RTS (Real-Time Systems) which the user rely on the elapsed time to finish the transaction and rose enough to snatch the user trust and be a dependable, reliable system. (iprojectreports, 2012) The verification from this performance can be by measuring several factors which affect in the system functionality, such as the time that it can be called in no-time when we compare it with a human teller to do such transaction especially it is categorized below the firm RTS which should characterized By: 1- Dependability what means it can be depended to do critical tasks because the user always looking for a stable, trustworthy system which can do assignment with a high efficient. 2- Availability and it is indicate to handiness to the system when it needed and in the most times the ATMs can be available and accessible almost 24/7.
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3- The frequent of faults occurrence and how the system can forecast the errors and can give the user caution message or avoid the mistakes by giving choices or at least how to provide solutions and recover from the real mistakes been hardware or either software because in similar cases the user want to come out with the minimum loss it could be by getting his ATM card back and cancel the transaction no matter what the system approach from progress that may be one of the features for the ATMs which can be entitled a Reliability, because as known the system has robustness and the probability of occurring a fault is extremely rarely rather than the failures.

4- Security, always the user want to keep his privacy information safe and away from the intruders and corrupted hands, this secrecy for the information is an important factor because it is provide an integrity and veracity in the functionality of the usage.

The boundaries of ATM:

The idea of the ATMs (Automated Teller Machine) declared from the name itself; substitute the human (teller) with system for the constant competence can provided from the machine than the human. But what distinguishes the human is the capability to learn and develop with the time and rogue people in this case they are targeting the system for permeation and hacking, clever steps with an accurate movements can put them hands over millions of cash, privacy of information and the flow line of data which can cause a national problem as just from few days happened in Romania when hackers swipe HSBC with $ 1.5M by configuring the machine hardware, and a new wave of hackers discovered are planning to attack the ATMs with a virtual ATM cards.

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This serious problem can be solved with the next generation ATMs which can be defined as a quantum leap or shift in the security by interacting with the user that can be achieved by using a higher technologies such as voice recognition, eye scan, or fingerprint scan in addition with the pin code, because the pin code consist from a limited characters and by some tricks and software using the algorithms it can predicted and generate the code itself, but improve the wall of the security by some extra requirements -before grant the authorization to access to the account may protect the users from such immoral and non-ethic operations. (Golding, 2012) Moreover we have the online ATM which is similar to the ordinary one except it does not give you cash physically; generally it gives the user an access to the bank account through the secured website of the bank and gives the user some options it could be more comfortable than doing it in the traditional way likely to:

Paying bills and invoices Transferring funds between the customers account Investment by purchase or sale Apply for loans and advances

But till the moment the banks has various restrictions and limitations to use the online services, the majority of them because the prerequisite to the authorization or the personal attendance for the branch of bank. This security issues is critical and acute for what if someone except the owner have a hands over the account, exclusively if it was for some enormous services or amounts like a loans with thousands or transferring balance, specifically after founding a bugs and some gaps in the design flaw before three years which enabled many thieves to get an authorize access to the accounts, as a solution some banks used to increase the requirements to access to the accounts like the contact information and secret questions so they can reduce the cracks that the hackers could exploit them. (Kendler, 2007)

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Assumption of ATMs: ATMs are considered as an old invention based in from how long it is been invented, however it is still exists and becoming much enhanced because of the techniques and technologies that are integrated together, especially when we are looking for a cashless future or a substitution for the humanly teller and as a result the functionality could become much better and easier and the environment could be less complex even with the involvement of the elders and kids which can be more practical for them from the traditional methods.

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Recommendations:

Although HSBC have an advanced information technology system, there is still some aspects that are need to be changed, such as: Not all the ATMs provide direct deposit service, like some of them the one with the enveloped, which is usually takes two days process. That will have a negative impact comparing to the other ATMs that is providing a direct deposit. Usually it takes around a week from the date that you have open a bank account in HSBC till you get the ATM card, while there are other banks that is providing ATM cards within one day. For online truncations it takes around five working days so the money can be transferred to the other bank account, it would if been better if it was lesser than that. It is recommended that the user can deposit money from any ATM around the world not just ATM and Deposit machines within the country that the ATM card was issued in.

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References:

How stuff works (n.d.) How ATMs Work, [online] Available at: http://money.howstuffworks.com/personal-finance/banking/atm.htm [Accessed: 16th jan 2012].

2009. Online Banking Advantages and Disadvantages. [Online] Available at: http://www.karlonia.com/2009/02/28/online-banking-advantages-and-disadvantages/. [Accessed 10th jan 2012].

BRUCE GOLDING. (2012). Romanian national busted in $1.5M ATM 'skimming' spree. Available: http://www.nypost.com/p/news/local/manhattan/romanian_national_busted_in_atm_P 28BFqICTOlCd173CfoE1L. Last accessed 7th Jan 2012.

SADAQAT ALI. (2011). Project Report On ATM. Available: http://iprojectreports.blogspot.com/2011/04/project-report-on-atm.html. Last accessed 7th Jan 2012.

Peggy Bresnick Kendler. (2007). Bank Execs Discuss ATM Technology Developments. Available: http://www.banktech.com/payments-cards/201307886. Last accessed 4th Jan 2012.

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