L., Gobbi, G. (2007). Information technology and productivity changes in the
banking industry. Economic Notes,
Vol.36, Issue 1( 43-76)


This analyses the effect of
investment in information technologies (IT) in the financial sector using micro
– data from a panel of 600 Italian banks over the period 1989 – 2000.
Stochastic cost and profit functions are estimated allowing for individual
banks’ displacements from the best practice frontier and for non – neutral
technological change. The results show that both cost and profit frontier
shifts are strongly correlated with IT capital accumulation. Banks adopting IT
capital – intensive techniques are also more efficient. On the whole, over the
past decade IT capital- deepening contribution to total factor productivity
growth of the Italian banking industry can be estimated in a range between 1.3
and 1.8 per cent per year.

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D., Gotlieb C.C. and Denny, M. (1993). Productivity and Computers in Canadian
Banking, Z. Griliches and J. Mairesse (Eds.) Productivity Issues in Services at the Micro Level, Kluwer, Boston.


The study conducted by Gotileb and
Denny, deals with the impact of IT on banking productivity including
computerisation which has improved the efficiency of the banking transactions.
They summed up that higher performance levels have been achieved without
corresponding increase in the number of employees. Also, it has been possible
for public sector banks and old private banks to improve their productivity and
efficiency by using IT.


Radha.(2008) Preventing  technology based
Bank Funds Frauds. The Journal of
Internet and Banking Commerce. Vol.3, No.3


The researcher considered the
technology based opportunities that the thieves take advantages of and how to limit
the frauds by building the future technology accordingly. He described the kind
of frauds that can happen in the emerging banking scenario such as mail and web
spoofing, attacking user computer or bank’s server,media tapping and denying
service. He also discussed the prevention mechanism to minimize the frauds by
using public key infrastructure (PKI). The PKI assures confidentiality,
authenticity and integrity of information which two or members’ exchange.


A.N. (2003). The economic effects of technological progress: Evidence from the
banking industry. Journal of Money,
Credit and Banking ,Vol.35,Issue 2 (141-176)


The researcher examined
technological progress and its effects in the banking industry. This research
suggests improvements in costs and lending capacity due to improved “back –
office” technologies, as well as consumer benefits from upgraded “front – office”
technologies. This analysis also signify that overall productivity increases in
terms of improved quality and variety of banking services. In addition, it
indicates that technological progress likely helped facilitate consolidation of
the industry.


S. (Aug – Sept 2002). IT wave breaks over banking. THE CITY

The researcher discussed about
changing face of banking as revolutionized by technology. He stated that when
banks depend on technology for their day to day business, the complexity and
risks of technology has to be understood and sufficient backup plan put in
place to ensure continued customer service. In addition to it, as more
technology based services are provided, the demand from customers will keep
increasing and banks would thereby end up in a technology war. In order to win
this war, investments in technology are going to rise and proper utilization of
these investments is necessary for banks to ensure that the systems deployed
are fully integrated with their operations. So, with more and more centralized
core banking solutions being deployed by major banks, there is a strong faith
need to provide comprehensive telebanking services either from a single
location or fro regional locations based on computer language preference.


Manoj. IT in Banking  2003 (Special)
Perspectives of CEO’s:  Banking Software



This study depicts that technology
is a revolutionary agent, it will not be a cure for all insufficiencies. The
main area of awareness for banks is going to be the re – skilling of the
workforce, both in technology and non – technology areas. One of the major
areas where re – skilling is needed is in the area of customer service and
customer focus, how to manage customer expectation and his feedback, how to
attract new profitable customers , how to package product and services to meet
customer need  and to create a hygienic
branch environment and other contact points. While technology may not be a cure
for all but it is definitely an enabler. The tool has to be used efficiently
and effectively to originate maximum benefits.


R. K. and Dhingra Sanjay. (2006 – 07). Technology in Banking Sector: Issues and
Challenges. Vinimay. Vol.XXVII. No.4.


The researchers take up the issue
that transactions technology channels cost much less to the banks than the
customers reaching the bank and doing the transactions. In the last decade,
banks have invested heavily in the technology. In the use of information
technology, the new private and foreign sector banks have taken lead over the
public and old private sector banks. Public sector banks also invested heavily
in technology to compete with the new private and foreign sector banks. In the
study, researchers have identified the different technology issues and
challenges such as choice of right channel, justification of IT investment in
terms of ROI( Rate Of Interest), e – governance, customer relationship
management, security concerns, penetration of IT in rural areas etc. Banks are
required to address these issues and challenges effectively to stay in business
and grow.


Gita and Pointon Leo.(Feb 2007) Fraud in Internet Banking: A Malaysian Legal
Perspective. ICFAI University Journal of
Bank Management. Vol.VI. Issue 1 (47 – 62)

Radhakrishna Geeta and Pointon Leo
examined the legal issue specific to internet banking, focusing on the
incidence of fraud and its prosecution. The objective of research was to
investigate three questions in relation to Malaysia. First, the incidence of
fraud in internet banking;secondly, the adequacy of the relevant regulations
and statutes and third, whether the setting up of a cyber court would better
facilitate the prosecution of such financial crimes in Malaysia. Technology and
the borderless nature of the internet present fraudsters with manifold
opportunities. Phishing leads to identify theft and money laundering has been
found to be the main threat to internet banking. The newness of the subject and
traditional banking specific to Malaysia. It was found that the applicability
of various exiting laws and banking practices to internet banking has not been
fully tested in Malaysia and is still evolving.


 D. Joe Edwinraj. (April – June 2005).
Information Technology : The emerging driving force in cooperative banks. Cooperative Perspective. Vol.40, No. 1.

Edwinraj (2005) described the role
of information technology in cooperative banks. In these banks IT plays a
crucial role in establishing and maintaining contact with potential customers.
An effective and efficient management information system made a major impact on
deposits, loans and other services provided by cooperative banks.This study
concluded some benefits of computerization such as employees have information
on their fingerprints and has risen the accessibility of customers to banks. IT
has removed manual transactions and has replaced old control room with one



R. A. Gbadeyan
O. O. Akinyosoye – Gbonda(2011). ” Customers’ Preference For E – Banking
Services: A Case Study Of Selected Banks In Sierra Leone”.  Australian Journal Of Business And Management
Research Vol.1 No.4,.Pp108-116


to the author with rapid progress and advancement in information technology and
communication technology, there are some major and rapid changes in almost all
sphere of life. Banking industry had been widely accepting and replacing
traditional ways of banking practices in almost all parts of the world.
Information technology and banking hold very strong bond in the form of online
banking. The main focus is on customer satisfaction in terms of providing them
better service quality and enabling banks to gain more competitive advantage
over their competitors and rivals for more market share and market growth. On
the other hand there are many risk these are associated those are working as a
barrier in the path of success of e-banking services. It is also a matter of
great concern for both financial institutions and the customers as banking is
the most sensitive and vulnerable sector which is always at risk. The author
tried to examine the choice of bank made by the customers on the basis of
e-banking services provided by the concerned bank. For this stratified sampling
technique was used and well defined questionnaire was developed that comprised
of open ended questions. Questions were framed using 4-point Likert scale
indicating 1-very comfortable, and 4 as uncomfortable. In the first part of the
questionnaire personal details were taken from the customers in first section
and in second desired information from the customers is taken regarding
e-banking is taken. Almost 360 respondents were evaluated using Chi-square and
correlation method as a statistical tool. It was analyzed that there was
significant influence on the customer. Furthermore, there were many
recommendations that some more advance security systems should be installed.
For instances, installation of encrypted software, through verification of
identifications cards of the customers, encouraging customer to make frequent
changes in their password etc may help in low vulnerable risk of the e-banking
systems. The author in his paper concluded that as e-banking is an important
phenomenon in banking world therefore, more progressive and innovative banking
system should be introduced.

Chaffey, D; Mayer, R; Johnson, K and
Ellis Chadwick, F (2006). Internet Marketing: Strategy, Implementation and
Practice, (3rd Edition) Financial Times/Prentice Hall, Harlow, Essex, U.K, 8 –

e-marketing concept has very broader concept and wider scope. The concept of
internet marketing was provided by the author Chaffey et.al. that described it
as “Application of the internet and related digital technologies to achieving
marketing  objectives”. Some other term
like digital marketing and electronic marketing were also given that are now
being used increasingly by the specialist marketing agencies.


Noyan a, F., ?im?ek a, G.G.,(2014).
“The antecedents of customer loyalty”. Procedia – Social and Behavioral
Sciences 109. 1220 – 1224

2nd World Conference On Business,
Economics And Management- WC-BEM 2013

The author aimed to build a conceptual model to
build clear understanding of the customer loyalty. It was observed that
customer satisfaction is very important and ultimate indication of customer
loyalty. Both these are antecedent dose for each other. In the study the
structural equation modeling data analysis tool has been used and the data was
collected form about 1530 customer from four different major chains of
supermarkets of Turkey. The author believes that customer retention is more
profitable than customer acquisition hence customer loyalty becomes very
important for any organization. The author focused on certain measures like
customer should purchase more, improve its future purchase and should advise to
other about the stores for whom they are delighted customers. Customer loyalty
was studied on basis of three different parameters firstly, intent to increase
purchases, secondly, intent to continue shopping and lastly, intent to make
recommendation of the store that further depends upon certain parameters like
perception  about the price, discounts,
quality of the product, service quality, value perception and customer
satisfaction. It was found that perception about the price, discounts and customer
satisfaction holds positive and direct relationship with customer’s loyalty. On
the other hand quality of the product, service quality and value perception had
indirect relationship and effect on customer loyalty. It was also found that
service quality is considered to be the basics of customer satisfaction
with customer loyalty.

Kumbhar, V.K., (2011). “Factors
Affecting The Customer Satisfaction In E-Banking: Some Evidences Form Indian
Banks Management Research And Practice Vol. 3 Issue 4 (2011) Pp: 1-14

author in his study evaluated certain major factors like quality of services,
perception about the brand and the perceived value those affect customer
satisfaction in E-banking settings.  Also
how these quality services influence each other. The data was collected from
customers after doing certain survey through well designed questionnaire. For
this likert scale was used. Many senior level managers, experts in customer
services and marketing were interviewed to collect relevant data. The data was
analyzed through using principle component (PCA) using SPSS 19.0.  The results revealed that perception about
the brand, perceived value, cost effectiveness, convenience to use and handling
different set of problems, security and effective responsiveness play major and
effective role in satisfying customers in E-banking. For the above mentioned
variable 48.30 percent of variance was observed. Nearly 21.70 percent of
variance was in case of variables like contact facilities, availability of
systems, fulfillment of desired problems, its efficiency and compensation,
which was very less as compared to other above mentioned factors. Beside all
these all the above mentioned factors are predicators of perceived values in
E-banking system. Therefore it becomes necessary for designers of services
related to e-banking that possible changes should be made according to the need
of the customer and certain dimensions should be reconsidered for the
betterment of the overall  banking
operations and the customers (in case of customer expectation and need of the customer).


Reynolds, J. (2007). A
Retrospective Data Examination Of Customer Loyalty In The E- Banking Technology
Services Industry: Strategies For New Successes, A Dissertation Presented in
Partial Fulfillment Of the Requirements for the Degree Doctor of Philosophy,
Capella University, November 2007

study was conducted to examine the e-banking technology in 2006 when concept
was e-banking was new for the customer and there acceptable ratio was very less
as compared to time now. The survey was conducted in order to improve the
marketing resources and its allocation in case of cooperate e-banking precuts
and service. The differentiation of customer was made on the basis of size of
the bank branch i.e., small, medium, and large further single verses multi
product purchases was taken is not consideration. The study formed four
hypothesis where hypothesis 1 shows significant difference in 2006 loyalty
survey between customers of small, medium and large banks. Second hypothesis
was based on overall quality rating based on trust renewal and recommendation
etc between small, medium and large banks and their respective customers.  Third hypothesis was based on customer’s
loyalty between single and multi product index. Fourth hypothesis is based on
overall quality rating as measured by e-banking system between single and multi
product bank customers. Statistical tool- MANOVA and t-test were applied to
684survey reports in year 2006. It was analyzed that there exist significant
and lower rating of loyalty among single and small banking products.
Furthermore in the study quality was rated under 5 sub-categories like quality,
trust in e-banking system, willingness to review, recommend and expansion.
Among these five, three (trust, willingness to recommend and willingness to
expand) were rated significantly lower among small and single product bank as
compared with medium and large multi product banks. Additional quality
categories of general quality and willingness to renew were not statistically
significant between the various bank delineations. These results provide the
basis from which to complete additional research and begin the process of
making changes in resource allocation related to optimizing e-banking customer
centric business strategies.


(1979) has conducted a research about the nationalized banks with special
reference to their social commitments. The fundamental suggestions made in the
study were that firstly, branches give more office space in various semi urban
and rural area to capture maximum geographical area. Secondly,  giving more noteworthy credit facilities to
the open as well as to the need and ignored divisions. Thirdly,  contribute in generating and supporting
the  of business activities on national
levels. lastly,  financing the government
securities and popularizing the charge shape of credit.


Abhivarahan Adhivarahan, V. (2001),
“Information Technology Act, 2000 – The Legal Viewpoint” IBA Bulletin, Vol.
XXII, No. 12 , Dec. 2001, Indian Banks’ Association (IBA), Mumbai.

(2001) The researcher in his article studies various provisions and its impact
laid in Information Technology Act 2000. Also researcher tried to focus on
various implication of the study on functioning of the banks. It was observed
that the banks have numerous incidents of e-fraud and on-line breach of the
contract are on high in number. Therefore there is need of various provision
which might curb the cyber crime and all the transaction by the banks must be
carefully examined and controlled. Keeping the above problem in mind the
researcher gave various suggestion to curb and minimize the adverse effect of
this situation like forming some statutory body like internet fraud centers
operating in USA.