A study to measure the impact of intranet on organizational functions and activities: a case study at Bank Kerjasama Rakyat Malaysia Berhad Lukut Branch

In recent years, information has become the critical commodity needed for success in the changing global economic order. Accordingly, business organizations have come to the conclusion that they require and extensive data repository in order to acquire a competitive advantage in dynamically changing market. Information Technology (IT) has created the Intranet as a vitally important mechanism for the storage, dissemination, and even the analysis data. The present study is an attempt to develop a more thorough understanding of the potential and actual impact of the Intranet on organizational functions and activities. It also consists of an effort to assess the impact of the Intranet on such functions and activities. Bank Kerjasama Rakyat Malaysia Berhad was established under the Co-Operative Ordinance 1993. Bank Rakyat has become fully an Islamic Bank in 1993. Bank Rakyat has chosen to upgrade its computer system and had been fully online in August 1999 by launching the ‘Integrated Retail Banking Systems. The integrated computer system also had brought along the Intranet System of Bank Rakyat. From that date the Intranet had been developed, and the management of Bank Rakyat had use it as a tool of communication that had influenced the organizational functions such as communications, decision making and work collaboration. The research was perform by using Bank Rakyat Lukut as a sample branch and the respondents are from the manager, officers and staff. The respondents were asked to assess the value of the Intranet technology currently employed by Bank Rakyat. The statistical results of the study revealed that the respondents believed that the extent of the Intranet use significantly related to improvements in overall organizational activities.