Role Of Information Technology In Banking Performance

THE ROLE OF INFORMATION TECHNOLOGY ON COMMERCIAL BANK PERFOMANCE

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

Over the years, many innovations have taken place in the world, the most outstanding and most celebrated is the facet of information technology. In late 20th century, the banking industry consisted of a large number operating in geographically distinct local markets. Products and services — primarily taking deposits and making loans — were delivered via the branch, which emphasized face-to-face contact with customers. These customers were, for the most part, relatively unsophisticated and trusted their bankers to act in their best interest. Banks embraced the use of information technology and information communication

It will examine how information technology has enhanced the growth of commercial banks in Somalia.

To determine whether there is a rise in the level of efficiency and effectiveness of performances in using information and electronic technologies in commercial banking system.

To find out how skillful the staff are in the use of information technology in commercial banks.

To determine the degree to which information technology has contributed to customer satisfaction and banks performance.

1.4 RESEARCH QUESTIONS

To What Effect does information technology have on the performance of commercial banks in

The bank was chosen worthy for the research due to the wide branch network and high excess in I.T practices. The bank performance is weighted on its incorporation of information technology into the system. The study is concerned with how the employees and the customers are reacting to this new innovation, also consider if investment made in information technology was worth the end result achieved after the integration of information technology in the banking industry in Somalia, a country with more than two Decades without banking