Assessment of E-Channels Practice & its Challenges in the Banking Sector in Ethiopia: The Case of Bank of Abyssinia

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2023-11-03

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A.A,U,

Abstract

This study aims to assess the practice and challenges of e-channels in the case study organization, Bank of Abyssinia (BOA), in Ethiopia. Embracing innovation in the banking sector is crucial for competitiveness and meeting customer needs. The research employed a mixed research approach, utilizing a semi-structured questionnaire distributed to 399 e-channel users and 43 managerial staff across selected branches in the east Addis district. Additionally, structured interviews were conducted with branch managers. Descriptive research design was employed, and data analysis involved both statistical analysis of the questionnaire data using SPSS version 25 and interpretative analysis of interview results. The study findings highlight several areas for improvement. Enhancing communication and coordination, improving accessibility and availability, and enhancing customer satisfaction were identified as crucial areas for enhancing the e channels experience for customers. Furthermore, the increasing demand for e-channel services and the commitment of the government to improve the policy framework present significant opportunities for adoption in the banking industry. Based on the major findings, the study suggests several recommendations. Addressing limitations, improving functionality and user experience, and streamlining transaction processes are essential steps to enhance customer convenience and efficiency. By addressing these challenges, BOA can capitalize on the opportunities presented by the growing demand for e-channel services and the supportive policy environment

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