Nigerian Journal of Banking and Financial Issues (NJBFI)

Assessment of Nigerian Banking Service Quality and Information And Communication Technology (ict) Usage

Abstract

Globally, banking operations rely heavily on ICT usage, so the need to investigate the nexus between service quality and ICT usage is germane. Thus, this study engaged the SERVQUAL model in assessing ICT usage and bank service quality among the commercial banks located in Ladoke Akintola University of Technology, Ogbomoso. Nigeria. Three hundred students were sampled purposively. The questionnaire was administered through an online survey. The hypothesis of the study is to find out if there is a significant relationship between service quality and ICT usage by the selected bank. Exploratory Factor Analysis (EFA) was used to validate the research instrument while the hypothesis of the study was tested with Confirmatory Factor Analysis (CFA) using AMOS 26. The result showed that there is a significant relationship between; ICT usage and tangibility (β=.486, t=21.519); ICT usage and reliability (β=.116, t=9.684); ICT usage and Responsiveness (β=-.255, t=16.948); ICT usage and assurance (β=.097, t=7.232); ICT usage and empathy (β=.175, t=-17.455). The study concluded that ICT usage in the selected banks has a significant effect on the banks’ service quality. This study adds to the understanding of ICT usage in the services sector in general and the banking sector in particular. It is recommended that investment in ICT should be a priority for services organization such as the banking industry, as the impact in improving their service quality is tremendous.