IDEAS home Printed from https://ideas.repec.org/a/jso/coejss/v8y2019i3p526-543.html
   My bibliography  Save this article

The Effect of Information Systems on Bank Performance: A comparative study between Islamic and Commercial Banks in Jordan

Author

Listed:
  • Belal Hashemal-Nsour

    (Faculty of Business, Department of Planning and Project Management, Al-Balqa Applied University, Jordan)

  • Zeyadal Shobaki

    (Faculty of Business, Department of Business, Al-Balqa Applied University, Jordan)

  • Mohamad Alizoubidi

    (Faculty of Business, Department of Business, Al-Balqa Applied University, Jordan)

Abstract

This study aims to explore and analyze the most important reasons for decision making within the banking sector of Jordan, which, although extremely important, is largely absent in business literature pertaining to Jordan. Essentially, the researcher poses two central questions: Does implementation of Information Systems (IS) impact on business performance, and is there any difference in this impact between the two main groups of banks in Jordan; Islamic and Commercial? Two further questions are also investigated; the extent to which banks are applying IS, and whether there are differences in business performance due to individual bank characteristics, such as extent of capital reserves, the number of years it has been operating and the type of bank. Quantitative methodology has been used to collect and analyze data, which is comprised of 583 questionnaires. Various forms of analysis were employed to examine the research assumptions; independent and one-sample t-test, multiple regression analysis and ANOVA. The study proposes the following conclusions: • IS is applied by banks in Jordan; however, there is variation in application of equipment and software, with Commercial Banks exhibiting positive implementation and Islamic Banks negative implementation. • The only significant positive effect of IS was on marketing performance. • The relationship does not differ when a comparison between two samples is progressed. • Economic performance of a bank is related to the sector (Commercial or Islamic) to which it belongs.

Suggested Citation

  • Belal Hashemal-Nsour & Zeyadal Shobaki & Mohamad Alizoubidi, 2019. "The Effect of Information Systems on Bank Performance: A comparative study between Islamic and Commercial Banks in Jordan," Journal of Social Sciences (COES&RJ-JSS), , vol. 8(3), pages 526-543, July.
  • Handle: RePEc:jso:coejss:v:8:y:2019:i:3:p:526-543
    DOI: 10.25255/jss.2019.8.3.526.543
    as

    Download full text from publisher

    File URL: http://centreofexcellence.net/J/JSS/PDFs/jss.2019.8.3.526.543.pdf
    Download Restriction: no

    File URL: https://doi.org/10.25255/jss.2019.8.3.526.543
    Download Restriction: no

    File URL: https://libkey.io/10.25255/jss.2019.8.3.526.543?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Noor Aqqad & Bader Obeidat & Ali Tarhini & Ra'ed Masa'deh, 2019. "The relationship among emotional intelligence, conflict management styles, and job performance in Jordanian banks," International Journal of Human Resources Development and Management, Inderscience Enterprises Ltd, vol. 19(3), pages 225-265.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Laith Walid Fatafta & Shaker Habis Nawafleh & Heba Eid Al Darwaish, 2019. "Reviewing the Mediating Role of Quality Management Capabilities on the Effect of Information Technology on Organizational Performance," Journal of Business & Management (COES&RJ-JBM), , vol. 7(3), pages 234-251, July.
    2. Raid Mohammad JumahAwad Al –Kderat, 2019. "Impendent of the study of vocational education in vocational secondary schools in the city of Aqaba from the point of view of students," Journal of Social Sciences (COES&RJ-JSS), , vol. 8(3), pages 418-433, July.
    3. Raid Mohammad Jumah Awad Al -Kderat, 2019. "The motivation achievement and its relation to the concept of personal self and academic self among the 10th grade students in the directorate of education governorate of Aqaba," Journal of Social Sciences (COES&RJ-JSS), , vol. 8(1), pages 90-105, January.
    4. Yazan Taher Shawabkeh & Prof. Dr. Musa Al-Lozi, 2019. "Job Commitment and its Relation to Organizational Justice: A Theoretical Perspective," Journal of Business & Management (COES&RJ-JBM), , vol. 7(2), pages 95-110, April.
    5. Adnan Ahmad Olwan & Hani Jaza’a Irtaimeh & Prof. Dr. Musa Al-Lozi, 2019. "Strategic Leadership Competencies and its Relationship on Achieving Organizational Excellence: A Theoretical Study," Journal of Business & Management (COES&RJ-JBM), , vol. 7(1), pages 58-79, January.
    6. repec:jso:coejss:v:8:y:2019:i:1:p:90.105 is not listed on IDEAS
    7. Shaker Habis Nawafleh & Prof. Dr. Suleiman Al-Khattab, 2019. "The Impact of Marketing Innovation on Customer Satisfaction in Aqaba Special Economic Zone Authority," Journal of Social Sciences (COES&RJ-JSS), , vol. 8(3), pages 399-417, July.
    8. Adnan Ahmad Olwan & Hani Jaza’a Irtaimeh & Prof. Dr. Musa Al-Lozi, 2019. "Strategic Leadership Competencies and its Relationship on Achieving Organizational Commitment: A Theoretical Study," Journal of Business & Management (COES&RJ-JBM), , vol. 7(1), pages 34-57, January.
    9. Najah Saleh Salameh Al-Khalafat, 2022. "The effectiveness of e-learning among students with special needs in light of the Corona pandemic from the point of view of their families in Jordan," Journal of Social Sciences (COES&RJ-JSS), , vol. 11(3), pages 82-92, July.
    10. repec:jso:coejss:v:8:y:2019:i:1:p:106.138 is not listed on IDEAS
    11. Adnan Ahmad Olwan & Hani Jaza’a Irtaimeh & Musa Al-Lozi, 2019. "Strategic Leadership Competencies and its Impact on Achieving Organizational Excellence via the Mediating Role of Organizational Commitment: A Case Study in National Center for Security and Crisis Man," Journal of Social Sciences (COES&RJ-JSS), , vol. 8(1), pages 106-138, January.
    12. Yazan Taher Shawabkeh & Prof. Dr. Musa Al-Lozi, 2019. "Organizational Justice and its Importance in Business Organizations: A Theoretical Perspective," Journal of Business & Management (COES&RJ-JBM), , vol. 7(2), pages 80-94, April.
    13. Khalifa Al-Dosari, 2020. "The significance of mega sporting event on infrastructure development: A case of FIFA 2022 World Cup in Qatar," Journal of Social Sciences (COES&RJ-JSS), , vol. 9(3), pages 1295-1319, July.
    14. Kholoud Sudqi Al-Louzi, 2019. "Reviewing the Concept of Innovation and it relationship with Organizational Innovation: A Literature Review," Journal of Business & Management (COES&RJ-JBM), , vol. 7(4), pages 293-315, October.
    15. Syed Waqar Ahmed & Danish Ahmed Siddiqui, 2020. "Human Resource Management, Total Quality Management and Competitive Advantages: Evidence from Pakistani Banking Industry," Human Resource Research, Macrothink Institute, vol. 4(1), pages 1-45, December.
    16. Kholoud Sudqi Al-Louzi, 2019. "Factors Impacting Organizational Innovation for Managers: The Case of Jordanian Public Institutions," Journal of Business & Management (COES&RJ-JBM), , vol. 7(4), pages 264-292, October.
    17. Effnu Subiyanto & Roy Kurniawan, 2022. "Designing fair annual bonus formulations for workers: A case study of the state-owned enterprise cement holding in Indonesia," Palgrave Communications, Palgrave Macmillan, vol. 9(1), pages 1-11, December.
    18. Bader Obeidat & Hadeel Fareed Tawalbeh & Ra’ed Masa’deh & Mohammed Ali Akour, 2019. "Reviewing the Literature among Human Resource Management (HRM) Practices, Total Quality Management (TQM) Practices and Competitive Advantages," Journal of Social Sciences (COES&RJ-JSS), , vol. 8(2), pages 327-358, April.
    19. Bader Obeidat & Forat Hasan Alkhalafat & Nisrin Amira Abdallah Makahleh & Mohammed Ali Akour, 2019. "The Role of Corporate Social Responsibility in Enhancing Firm Performance: The Mediating Effect of Transformational Leadership," Journal of Business & Management (COES&RJ-JBM), , vol. 7(2), pages 162-191, April.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jso:coejss:v:8:y:2019:i:3:p:526-543. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: COES&RJ LLC. Maintainer-Workplace-Name: Centre of Excellence for Scientific & Research Journalism - COES&RJ LLC Maintainer-Address: 10685-B Hazelhurst Dr., Houston, TX 77043, USA or the person in charge (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.