ABSTRACT In today's hi-tech world technology support is very important for the successful functioning of the banking. This research focuses on the usage of technology in banking sector. Today banks are the backbone of the Indian economy. Banking in India originated in the last decades of the 18th century. The first banks were Bank of Hindustan (1770-1829) and the General Bank of India (1786). Without information technology and communication we cannot think about the success of a banking sector. It has enlarged the role of banking sector in the economy. The financial transactions and payment can be processed in easy and quick way. The use of ATM, credit card, tele- banking, mobile banking internet banking etc, provides more security in banking. It also highlights the effective use of technology in banking and product awareness among people. The study shows how people can make use of technology in banking. Among the total population in Chennai, 200 respondents were taken as sample for this study. Data collected were analysed and drawn meaningful inferences with the help of various tools such as simple percentage analysis, factor analysis and chi square. The study provides various suggestions for the banks to improve the effective utilisation of technology.
According to the study it was found that technology has paved a huge way for banking sector. A large number of respondents prefer E- Banking in the study region. A large number of respondents are satisfied with ATM facilities provided by banks. Majority of the respondents do not use Tele banking in the study region. A large number of respondents are benefited by paying utility bills by using Mobile Banking. Based on the study it was found that 90% of the respondents prefer using Internet Banking. A large number of respondents are satisfied with the level of Security provided by the bank, only 10% of the respondents are not satisfied according to the study conducted. Security threat is the possible reason why E-Banking services have not been adopted by the respondents. The study shows that majority of the respondents consider Private sector banks to be technologically advanced than Public sector banks. A large number of the respondents, rate the technology oriented services of the bank as good in the study region. Majority of the customers have opined that bank’s operation is efficient after the introduction of computers in the banks.
The use of Information Technology in all spheres of financial and banking sectors is a deep reality. The sector has enabled the banking sector to go beyond its traditional role and is now playing an increasingly important role in its key areas of operation as securitization, risks preference and liquidity among others to which IT helps in a big way. It has assumed such high levels that it is no longer possible for banks to manage their IT implementations on a standalone basis. With I.T. Revolution, banks are increasingly interconnecting their computer systems not only across branches in a city but also to other geographic locations which high-speed network infrastructure and setting up local areas and networks are now exposed to a growing number. The customers have high expectations and have become more demanding now as they are also more techno-savvy as compared to their counterparts of the yesteryears. They demand instant, anything and anywhere banking facilities. Though Reserve Bank of India has formulated many policies on adoption of I.T. in the overall working of the commercial banks in India, yet there is an urgent need to address the issues involved in this respect to compete with the banks at international level. As such, there is a great need to focus more on this aspect. The present study helps a lot in this regard.
The Indian Financial Network (INFINET) which initially comprised only the public sector banks was opened up for participation by other categories of members. The first set of applications that could benefit greatly from the use of technological advances in the computer and communications area relate to the Payment systems which form the lifeline of any banking activity. The process of reforms in payment and settlement systems has gained momentum with the implementation of projects such as NDS ((Negotiated Dealing System), CFMS (Centralized Funds Management System) for better funds management by banks and SFMS (Structured Financial Messaging Solution) for secure message transfer. This would result in funds transfers and funds-related message transfer to be routed electronically across banks using the medium of the INFINET. Negotiated dealing system (NDS), which has become operational since February 2002 and RTGS (Real Time Gross Settlement system) scheduled towards the end of 2003 are other major developments in the area. Internet has significantly influenced delivery channels of the banks. Internet has emerged as an important medium for delivery of banking products &services. Detailed guidelines of RBI for Internet Banking has prepared the necessary ground for growth of Internet Banking in India. The Information Technology Act, 2000 has given legal recognition to creation, trans-mission and retention of an electronic (or magnetic) data to be treated as valid proof in a court of law, except in those areas, which continue to be governed by the provisions of the Negotiable Instruments Act, 1881.
Technology in Banking has undergone sea changes in the past one decade. It is seen that professionals prefer to bank from a particular location that is convenient to them, moreover today we find mobile banking is gaining momentum in the present day set up. Today professionals do their banking by using mobile apps as they are very much easier & convenient. When technology has improved, users of mobile have increased approximately five times than the users earlier. Today wider sections in the community are using mobile banking & its main aim is to encompass more people in our country to use the same. Bankers in India are trying to mold every aspect of banking into a promise of perfection. This paper attempts to provide a streamlined approach to mobile bankingtechnology especially focusing on self-employed professionals using mobile banking to carry out their daily business transactions at Ujire Dakshina Kannada District.
Banking environment has become highly competitive today. Information technology refers to the acquisition, processing, storage and dissemination of all types of information using computer technology and telecommunication systems. Information technology architecture is an integrated framework for acquiring and evolving IT to achieve strategic goals. These technologies are used for the input, storage, processing and communication of information. Information technology includes ancillary equipment, software, firmware and similar procedures, services etc. Modern high throughput technologies are providing vast amounts of the sequences, expression and functional data for genes and protein. Recent developments of banking sector in india are Internet, Society for worldwide inter-bank financial telecommunications (SWIFT), Automated Teller Machine (ATM), Cash dispensers, Electronic clearing service, Bank Net, Chip card, Phone banking, Tele-banking, Internet banking, Mobile banking, Any where banking, Voice mail, E-banking Etc., The basic need of Information Technology (IT) in Banking Sector are Meeting Internal Requirements, Effective in Data Handling, Extending Customer Services, Creative Support for New Product Development, End-user Development of the Non-technical Staff. Emerging trends of information technology in banking sector are Outsourcing, Integration, Distinctive Edge, IT as Profit Centre, Prospering in Down Market. Challenges faced by indian banking scenario in india are Meet customer expectations on service and facility offered by the bank, Customer retention, Managing the spread and sustain the operating profit, Retaining the current market share in the industry and the improving the same, Completion from other players in the banking industry. Other Information Technology enables sophisticated product
The 21st century is all about technology. With the increasing need for modernization in our day-to-day lives, people are open to accepting new technologies. Our banking transactions, our shopping, our communications, etc everything is done online today. And everything we do online is recorded and that includes the exchange of value, every digital transaction; goods and services, and so on. From using a remote for controlling devices to using voice notes for giving commands; modern technology has made space in our regular lives. Technologies like augmented reality and Internet of Things (IoT) that have gained pace in the past decade and now there’s a new addition to the pack i.e. Blockchain Technology. The revolutionary technology impacting different industries miraculously was introduced in the markets with its very first modern application Bitcoin. Bitcoin is nothing but a form of digital currency which can be used in the place of fiat money for trading. And the underlying technology behind the success of crypto currencies is termed as Blockchain.
(10.) Internet Banking: Internet banking enables a customer to do banking transactions through the bank’s website on the Internet. It is a system of accessing accounts and general information on bank products and services through a computer while sitting in its office or home. This is also called virtual banking. It is more or less bringing the bank to your computer. In traditional banking one has to approach the branch in person, to withdraw cash or deposit a cheque or request a statement of accounts etc. but internet banking has changed the way of banking. Now one can operate all these type of transactions on his computer through website of bank. All such transactions are encrypted; using sophisticated multi- layered security architecture, including firewalls and filters. One can be rest assured that one’s transactions are secure and confidential.
The research study shows that 60 respondents fall under the category of male and remaining 20 respondents fall under the category of female. The another table revealed that out of 80 respondents, 30 respondents have profession occupation, 20 are in agricultural activities, 15 are in private job and 15 are in government job. The above hypothesis table disclosed that the p value is less than table value, so the result of the hypothesis is that there is no significant difference between current mobile services provided by banks and gender, there is no significant difference between online banking services and gender and there is no significant difference between ATM services and gender. Finally it concludes that every bank has to try to facilitate best services and facilities to their present and future customers.
The increased focus on IT infrastructure development led to the lack of customer contact. The main problem is that the processes used in the multi-channel banking lack communication in terms of exchanging customer data timely. Many a times a customer has to fill out a form online and when he reaches the agent, the agent will not have the details filled online. Along with that Banks also have to face the Financial regulations like anti-money laundering controls, which require IT systems to sync the data. IT managers have to continuously focus on developing efficient systems which eats up the budget without reducing the transaction costs. This complexity forced various banks to close their operations.
There are several limitations in this study. Firstly, this study has investigated the factors influencing customers ‘behavioral intention to use electronic banking. This sound lager than the covered scope of this research, future recommendation of study can enhance the research model, and include the factors of re- intention or continue of using new technology. Secondly, our research is focused on Nigeria. However, the resultant model can be tested in other countries to compare the results with this study. A cross comparison study would allow a better understanding of the factors that affect electronic banking electronic. Thirdly, various activities exist to customers when using electronic banking such as; transfers between accounts, check balances and conduct financial transaction. Future research should investigation into these specific activities to expand this research to the next stage, which allows Internet banking providers to understand the factors that affect the usage of specific Internet banking activities. Fourthly, future study can also consider using the demographic variables in this research as control variables and compare the effects with the ones found in the present research.
develop in a manner that supports and stimulates such growth. India is a country where there is three tier level of geographical area development. There are full fledged urban areas covering the metropolitan cities and other big cities. On the other hand, there are underdeveloped rural areas too. In between these two extremes, there are semi-urban areas also covering the small towns. Under such scenario, different marketing approach and strategy for all these areas will be required Technology has thrown new challenges in the banking sector and new issues have started cropping up which is going to pose certain problems in the very near future. The new entrants in the banking sector are skilled with the computer background. However, over a period of time they would acquire banking experience. Whereas, the middle and senior level people in banking have rich banking
Banking industry is backbone of Indian financial system and it is afflicted by many challenging forces. One such force is revolution of information technology. In this Globalized era, technology support is very important for the successful functioning of the banking sector. This research paper focuses on the impact of technology in Indian banking sector. Information technology refers to the acquisition, processing, storage and dissemination of all types of information using computer technology and telecommunication systems. The banking today is redefined and re-engineered with the use of IT and it is sure that the future of banking will offer more sophisticated services to customers with the continuous product and process innovations. Thus there is a paradigm shift from seller‟s market to buyer‟s market. So, the banks also change their approach from “Conventional Banking to Convenience Banking” and “Mass banking to Class Banking”. The present paper focuses on the comprehensive research on impact of information technology on Indian Banking industry. I.INTRODUCTION
With the challenges that has been identified, possible goals has to be identified and reached. Goals identified in this study are the desired accomplishments over a period of time which are as tabulated in Table No.5. Primary goals are cost effectiveness (40% in Banking and 66.67% in Education sectors), customer relationship (33.33% in Healthcare, 33.33% in Investment), Technology adoption (100% in Retailor sector and Real estate sector) and staff development (50% in Government sector). Secondary goals are Technology adoption (70% in Banking), Staff development (66.67% in Health care), system complexity (33.33% in Education) and cost effectiveness (66.66% in Investment, 100% in Retailor sector50% in Real estate) and staff development (50% in Government sector).
technological oriented field. The world is considered as a global village which provides revolution in the banking industry. Large number of customers have been demanded to utilize their technology. This bankingtechnology enables banks to satisfy the sufficient requirement of customers. Banking sector transforms and origin stage of E- banking has made very structural changes in quality of service, management decisions, operations, performance, productivity, and profitability of the banks. The E- banking is the emerging technologies that are important role in banking sectors and improves quality of service. The banking sector enables banks to handle electronic payments and large volume of payment settlement operation will be performed for every bank customers. Customer can be performed the following operations such as view accounts, receive account statements, transferring funds from one place to another place, purchase drafts and so on. Accessibility of ATM machines, plastic cards, electronic funds transfer (EFT), electronic clearing services (ECS), mobile banking, internet banking, to a large degree avoid customers going to branch buildings. These advanced banking services provide efficient operation and quality of services to the customers.
Chaipoopirutana, Combs, Chatchawanwan, and Vij (2009) and Lin (2010), claimed that there exists negative relationship between intention and adoption of mobile banking services. In this paper they have discussed the Roger’s (1995) innovation diffusion theory model’s attributes: relative advantage, complexity, compatibilityand trialability and concluded that Relative advantage, ease of use (opposite of complexity) and compatibility haveansignificant effect on awareness and attitude towards mobile banking services adoption. They have also suggested reducing thecomplication in order to elevate the number of users in mobile banking. They moreover laid stress on the fact that compatibility has a positive relation with the adoption of mobile banking. It was concluded that banks should start advertising their mobile banking services so that they can relate it to their beliefs, values and experiences of the adopters.Favorable attitude of consumers towards mobile banking adoption could only be possible if they possess strong conviction about the relative advantage of mobile banking. Relative advantage refers to the degree to which a technology provides superiority and attractiveness to customers over similar existing products(Rogers, 2003).
Introduction: Financial Technology is the up to the minute technology and innovation that directs the traditional financial methods to deliver the financial services. The operation of smartphones for mobile banking, investing and crypto currency are instances of technologies that make financial services extra comprehensible to the general public. Financial technology companies subsist of both startups and established financial and technology companies demanding to succeed or strengthen the utilization of financial services provided by existing financial companies. In other words, “fintech is a new financial industry that applies technology to improve financial activities.” Fintech is the new applications, processes, products or business models in the financial services industry, composed of one or more complementary financial services and provided as an end-to-end process via the internet.
It includes the judgments of the efforts required to use technology  and expresses the degree to which inno- vation is difficult to understand or use [30,31]. The per- ceived usability refers to the effort expected by the indi- vidual. This built also refers to the complexity of Rogers  which expresses the degree to which the innovation is difficult to understand or use. In 1989, Davis defined the ease perceived by the degree to which the user of the system does not require a great effort. He believes that the facility is: “the degree with which a person grows that the use of a specific system is free of any effort”. In- deed, the user can be to focus on his work and therefore improves its performance. The definitions of the ease of use and the personal efficiency are identical [11,32]. This definition is a criterion to be considered in the design of a tool of ease of use. The concept of usability is widely used in the literature on the acceptance of a technology by users and on the behavior of users. This concept de- termines the adoption . The ease of use is regarded as an important determinant of the use of the technology . It determines the intent of its use . Katz showed that the complexity of technology and discomfort with the use of the computer, represent obstacles to the adop- tion of the Internet . Indeed, ease of use affects the intent for the use of the Web . Similarly, in a study conducted in Singapore on a comparison between the adopters of the e-banking and non-adopters of this new financial distribution channel, Gerrard and Cunningham noted that among the factors that influence the adoption of the Bank on the Internet is the fact that they found that the use of Internet offers less complexity . This was also approved by Qureshi and khagan . Thus, at the level of this research and based on the work of Davis , ease of use of Internet bank will be seen as a determinant of Internet use.
E-Banking industry in today’s technology is facing several major challenges and issues. First, and perhaps most important is the security concern. Customers are certainly concerned of giving their bank account information online or paying an invoice through internet. Another challenge facing e-banking industry and the e-business in general is the quality of delivery service – including both delivery speed i.e., short advance time required in ordering and delivery reliability i.e., delivery of items or services on time. E-banking system at present is using the username and password security mechanism which can easily reached by mere guess work and password can be hacked. To reduce the potential vulnerabilities regarding to the security, a combination of cryptography and face recognition system seem to be one of the most reliable means of authentication in a banking system environment. In order for electronic banking to continue to grow, the security and the privacy aspects need to be improved. With the security and privacy issues resolved, the future of electronic banking can be very prosperous. The future of electronic banking will be a system where users are able to interact with their banks “worry-free” and banks are operated under one common standard.
Abstract- Mobile devices have penetrated most aspects of our daily life activities ranging from the hedonic to utilitarian use. Businesses have invested in benefiting from the opportunities offered by the pervasive nature of mobile technologies to enhance their products and services and therefore improve their customers’ satisfaction. The banking sector, in common with other industries, has invested in such mobile solutions to facilitate banking transactions for both themselves and their customers. The growth of mobile banking provides significant benefits in terms of delivery speed and quality of services to customers. However, like other technologies mobile banking faces several challenges, in particular security. This paper addresses the main factors that affect the usage of mobile banking transactions and the related security issues, with a particular emphasis on the case of the Iranian banking system. After a thematic analysis of qualitative data we were able to identify the main factors that affect both mobile banking security and usage, namely: security level, security threats, security policy and standards, transactional risks and awareness. As a result, this study proposes a framework that explains the relations among these factors with a view to enhance the understanding of the current status of such technology.