Journal of Internet Banking and Commerce
Vol. 13 No. 1 April 2008
http://www.arraydev.com/commerce/jibc/current.asp

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From JIBC Publisher Nahum Goldmann
http://www.arraydev.com/commerce/jibc/2008-04/0804-Publ_PDFVersion.pdf
======================

Global Competitive Strategies

I just came from Pune, India, which I visited at the kind invitation
of our distinguished Editor-in-Chief Prof. Nikhil Agarwal, here in his
capacity as the Director of Zensar Center for Business Innovation
(ZCBI). At ZCBI Post Graduate Program in Business Transformation I
gave a cycle of interactive lectures on Global Competitive Strategies
for Technology-Based Organizations to Nikhil's cohort of very capable
students eager to learn how to win in the new global economy.

I did encourage the students to subscribe to JIBC - hopefully we will
have a number of new proactive users eager to employ the wealth of
academic research and practical experience represented by this
publication. My special greetings are to all those students who did
subscribe, both from ZCBI and the rest of the world. (By the way,
anyone who might be interested in engaging globally-oriented business
transformation professionals is encouraged to contact Nikhil, and
hopefully will not be disappointed in the outcome).

In preparation to my trip, I have read numerous eyewitness accounts
about India's economic boom, with the emerging middle class
establishing itself as the major global player. Still, I was quite
impressed with the pace of change and the sophistication and modernity
of the emerging Indian technological and business society. Nowhere it
is more apparent than in Pune, which is rapidly establishing itself as
a major high-tech hub of India and the world.

My trip made me to think more carefully of the global value of
articles published by JIBC. It appears to me that encouraging
effective globalization should be a personal business for all of us,
especially the crew of JIBC authors and editors.

For instance, it would be interesting and effective if every JIBC
author from the developing country were to invite as a co-author a
leading expert from the developed country and vice versa. i.e.,
together you can explore whether solutions already working in one
economy are applicable to some other. Most likely it will be an
effective and cross-beneficial learning process, whose outcome would
be useful for the rest of the world. (Feel free to drop us a line with
the alternative proposal on how to organize cooperation of academics
and practitioners in different economic societies).

Again, I am asking each and every one of you, our readers and
subscribers, to email JIBC to at least 3 of your colleagues, friends
and discussion groups that you are participating at, and recommend
that they also subscribe. Please share information about JIBC articles
with the Internet community and suggest to us new ways to promote JIBC
among academics and professionals from around the globe.

As well, I am challenging all the current and past authors and editors
to email your own articles - along with the rest of JIBC edition - to
at least 10 of your peers and colleagues in academia, government and
industry. Make sure that they are well aware of your articles and the
Journal of Internet Banking and Commerce. Recommend that they also
subscribe to email editions. After all, we send it around just 3-4
times a year.

A special appeal to ecommerce/ebusiness students to pass a word about
JIBC to your professors and classmates, and, more importantly, to ask
them to supply new articles and tell everybody to subscribe.

Please contact us with the suggestion of how to submit information on
JIBC to other leading search engines and academic reference
publications. Also, if you notice publications referring to JIBC
articles, please let us know.

Let's spread the word!


======================
From JIBC Editor-in-Chief Nikhil Agarwal
http://www.arraydev.com/commerce/jibc/2008-04/EditorialNote.pdf
======================

3F - Fuel, Food and Finance crisis is keeping thinkers busy around the
world. 2008 is considered to be quite eventful year be it Olympic or
global crisis. My students ask questions on pattern of the crisis, as
a Professor of business management, I found it very difficult to
answer. All the theories & concepts of economics have gone wired which
are framing the basis of world economy. Academicians & thinkers are
buring midnight oil across the continents to concentrate on areas
which might need broader attention & deeper thinking to survive
economic slowdown. For eg: one of them is demographic studies; D K
Matai in his recent note said "Nothing less than fundamental re-design
of our political processes will even begin to allow us to deal with
issues that require a generational attention span. Most notable among
these is manifest overpopulation, failure on which will at the very
best severely handicap all other efforts. Among the many planetary
scale problems, demographics is perhaps the most neglected."

Last month, JIBC publisher Nahum Goldmann and Editor Edwin Jacobs
visited me in Pune, India. They were teaching to the Master's students
who are doing their degree in Business Transformation. It was Edwin's
first visit to any Asian country, and he was surprised to see the
economic development in this part of the world. He asked me if the
Asian countries are much dependent on western countries & their market
is continuously expanding, then why there is a slowdown in the
economy. He was referring to the portfolio approach for the economy;
the slowdown in one market can be compensated by blockbuster
performance in other. The Asian economies and financial institutions
are more-or-less untouched by the financial turmoil in west, may be
due to strong domestic markets. However, we can feel the shadow of the
slowdown in different forms, like the rising fuel prices have
shattered the confidence of people leading to high inflation.

The current issue is has 14 articles from different parts of the
world. I am sure you will enjoy reading them. I am using this
opportunity to congratulate our two Editors who have assumed new
responsibilities. Dr Raed Awamleh has joined as University Director at
Middlesex University in Dubai and Dr. Jean-Michel Sahut has joined as
Professor at Amiens School of Management in France. Please email your
feedback to us by using online form at
http://www.arraydev.com/commerce/jibc/question.htm. Your feedback and
participation is extremely important to us.

Please ask your colleagues & friends to join the JIBC.

Nikhil Agarwal


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PEER REVIEWED RESEARCH PAPERS
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NEW ZEALAND: Intellectual Capital: Acquisition and Maintenance: The
Case of New Zealand Banks
(By Kiran Sahrawat)
http://www.arraydev.com/commerce/jibc/2008-04/Sahrawat.pdf

The new knowledge economies have highlighted the importance of
intellectual capital (IC) and the imperative need to measure and
manage their associated costs and benefits. Banks and financial
institutions, which are rich in IC (human, customer, and social
capital), are in danger of becoming subject to 'IC walkouts' if they
resist accounting for the hidden value that exists in IC and its
constituent elements.

This paper discusses how New Zealand banks incur the cost of acquiring
IC and realize the need to recognize related cost drivers. For banks
in New Zealand, one of the most important sources of revenue or
interest income is from mortgage business. This investigation looks at
the value added by mobile mortgage managers (MMMs) and a possible
model for measuring the IC vested in MMMs.


JORDAN: A Framework for Evaluating the Effectiveness of Information
Systems at Jordan Banks: An Empirical Study
(By Ahmad Mashour and Zakaria Zaatreh)
http://www.arraydev.com/commerce/jibc/2008-04/Mashour and Zaatreh.pdf

Banks and other financial institutions in Jordan are one of the
largest investors in the fields of information systems (IS), and there
are many indications that these trends to continue in the future.
However, there is a concern among CEOs and top managers that the IS
investments are not yielding the anticipated outcomes. This paper
investigates the investment of information systems at Jordan banks and
reports the results of an empirical study that evaluates the
contribution of IS in the effectiveness of banks operations.

This paper measures the factors that determine information systems
effectiveness at Jordan main banks. These variables are presumably
system decision performance, system usage and user satisfaction among
others that are considered the most effective variables in banks
performance.

NIGERIA: Optimizing the Use of Information and Communication
Technology (ICT) in Nigerian Banks
(By Ayodeji Akinolu Agboola and Rafiu Oyesota Salawu)
http;//www.arraydev.com/commerce/jibc/2008-04/Agboola_final_accepted.pdf

The study identified various Information and Communication Technology
(ICT) in use and determined how they could be utilized for optimal
performance on business transactions in the banking industry. The
selected transactions for the study are deposit, withdrawal,
enquiries, reference letters, opening and closing of accounts, funds
transfer, special bills, loans and overdraft.

The study concluded that banks should incorporate ICT into their
strategic plans for effective performance in payment and delivery
systems. Adoption and allocation of ICT should be based on proper
analysis to determine the type, nature and extent of products required
for effectiveness and efficiency.

PAKISTAN: Bankers' Perceptions of Electronic Banking in Pakistan
(By Ahmad Kaleem and Saima Ahmad)
http://www.arraydev.com/commerce/jibc/2008-04/AhmadKaleem.pdf

Electronic distribution channels provide alternatives for faster
delivery of banking services to a wider range of customers. E-channels
have gained increasing popularity and have attracted the attention of
both academics and practitioners. This paper aims to collect bank
employees' perceptions of the potential benefits and risks associated
with electronic banking in Pakistan. The outcomes may help the
management of banks develop effective strategic planning for the
future of electronic banking in developing countries like Pakistan.

Primary sources were used to collect the data and were analyzed via
frequency analysis and mean score analysis. The results suggest that
bankers in Pakistan perceive electronic banking as tool for minimizing
inconvenience, reducing transaction costs and saving time. Similarly,
they believe that electronic banking increases the chances of
government access to public data, increases the chances of fraud and
that there is a lack of information security. Bank personnel profiles
were further analyzed in relation to their perceptions to identify
different segments among the target respondents.

The results show that public bank employees who have professional
degrees consider 'minimizing transaction costs' and 'reduction in HR
requirements' as the most and the least important benefits of
electronic banking respectively. Private bank employees who have
masters or bachelor degrees, and less than 10 years experience,
perceive 'time saving and minimizing inconvenience' as the major
benefits of electronic banking. However they did not consider
'reducing the risk of carrying cash' as an important benefit.

NIGERIA: Improving the Response Time of Online Buyers in Nigeria: the
Way Forward
(By Anu Ajayi, Adesola Aderounmu and H. Abimbola Soriyan)
http://www/arraydev.com/commerce/jibc/2008-04/Ajayi.pdf

Though electronic commerce (e-commerce) is yet at its infancy in
Africa and other developing countries, several factors such as lack of
trust, technology infrastructure, funds and shortage of manpower can
be attributed to this. However, the current model of web server
response time as it pertains to developing countries will however
hinder its general acceptability. The ability of E-commerce sites to
satisfy and retain their customers will no doubt depend largely on the
quality of their service delivery.

Existing Quality of Service (QoS) provisioning architectures for
E-commerce placed emphasis on WWW server and bandwidth inadequacies.
This study identified the necessity to include client's device
limitation into e-commerce QoS frameworks especially for web
applications to be deployed in Africa, if user-perceived QoS (usually
measured by response time) is to be improved. As indicated in the
study, client's device limitation is an important factor that should
be given priority. Most computer users in Africa due to the high cost
of ownership of PCs used outdated or cloned PCs whose performance
could not be guaranteed.

MALAYSIA: The End-User computing Satisfaction (EUCS) on Computerized
Accounting System (CAS): How They Perceived?
(By Azleen Illias, Norazah Bte Mohd Suki and Mohd Rushdan Yasoa)
http://www.arraydev.com/commerce/jibc/2008-04/Azleen_Illias.pdf

The purpose of this study is to measure the level of satisfaction
among the end-users of computerized accounting system (CAS) in private
companies. The study determines the relationship of five factors
(content, accuracy, format, ease of use, timeliness) that influence
satisfactory level among the end users toward the CAS. Further, this
paper examines critical factors in EUCS (content, accuracy, format,
ease of use, timeliness) that contributes most to satisfaction. The
research was conducted using a set of questionnaire to 269 private
companies' staffs that using computerized accounting system (CAS).
This study is analyzed with reliability analysis, correlation analysis
and Standardized Regression Weight (using Structural Equation
Modelling technique). The empirical results of this study can provide
support for the Doll and Torkzadeh model (1988), which related to the
factors contributing end-users' satisfaction toward accounting system.

MALYASIA: A Review of Development and Adoption of Internet and ICT in
Malaysia
(By Chai Lee Goi)
http://www.arraydev.com/commerce/jibc/2008-04/GoiChaiLee.pdf

The main objective of this study is to review the development and
adoption of Internet and ICT in Malaysia. The adoption of ICT already
introduced in Malaysia in 1960s. Refer to 21st century, number of
studies shows that development and adoption of Internet and ICT in
Malaysia is among the highest in the ASEAN countries.

TUNISIA: Determinants and Consequences of the Website Perceived Value
(By Ines soltani and Jamel-Eddine Gharbi)
http://www.arraydev.com/commerce/jibc/2008-04/Ines Soltani.pdf

Customer value is the foremost driver of competitive advantage and a
critical strategic weapon in attracting and retaining customers in the
Internet shopping environment (Lee and Overby, 2004). In this paper,
we focus on the influence of the site quality on the perceived value
and its consequences. Results of this study indicate that the
perceived value is a highly telepresence and flow state-dependent;
that perceived value generates loyalty; and that, similarly to
Mathwick et al (2001)'s findings, site preference strongly impacts
future patronage intent. Moreover, perceived value, as a whole, does
not influence preference and future frequentation of the site.
Discussions of the results and future research are offered.

INDIA: Wireless ATM: A Technological Framework to m-Banking
(By Susmi Routray, A. M. Sherry and B. V. R. Reddy)
http://www.arraydev.com/commerce/jibc/2008-04/Sushmi Routray.pdf

Mobile and Wireless communication devices are becoming enablers for
organizations to conduct business more effectively and efficiently.
One of the most effective applications is mobile banking (m-banking).
For any application to gain recognition technological advancements
play a vital role. To make m-banking application a success bandwidth
management is an important issue. The increased flexibility and
mobility feature of wireless ATM and its bandwidth on demand function
is motivating a large number of carriers towards deployment of the
WATM networks. But there are certain issues which are required to be
addressed in WATM. The issues are cost effective planning of network,
location management and handover management. In this paper we have
suggested and evaluated a technological framework for the m-banking
application using wireless ATM that optimizes the bandwidth usage and
provides an effective handover management. Simulation results show
that the resultant framework is very effective in handling the
bandwidth and the handover issue in wireless ATM and provides an
effective WATM framework model.

PAKISTAN: Customer Acceptance of Online Banking in Developing Economies
(By Tahir Masood Qureshi, Muhannad Khaqan Zafar and Muhammad Bashir Khan)
http://www.arraydev.com/commerce/jibc/2008-04/Tahir Masood.pdf

Technology is affecting the life of every individual in this present
age. Online banking is also one of the technologies that are getting
recognition around the globe. There are a lot of customers around the
world who are accepting this technology very quickly but in growing
countries like Pakistan the adoption ratio is very high. There are
many banks that are providing these facilities to customers.

The basic purpose of this research is to evaluate the customer
acceptance of online banking. Almost 50% of the clients shifted from
traditional banking to online banking system. The core reason of this
transfer is perceived usefulness, security and privacy provided by
online banking.


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OPINION ARTICLES
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PHILIPPINES: The Language Business
(By Charity T. Gamboa)
http://wwww.arraydev.com/commerce/jibc/2008-04/Charity.pdf

E-learning has become a trend wherein people would opt to learn at
their own pace. This need arises particularly when non-English
speakers would want to learn English but do not want to go through the
hassle of attending regular classes, thus, the option to study online
is a good way for them to balance their work and study time. In fact,
most of these students are traders who feel that learning English is
an essential factor in doing business and getting foreign partners.

This paper presents an overview of how there is a conflict between
issues underlying the business side of an online tutorial and the
pertinent issues of how English should be taught as a learning
process. This overview will identify the argument between the business
of online tutorial and the learning process itself and how it should
be balanced, as well as the essential ingredients of successful online
tutorials based on experiences of online tutorial schools in the
Philippines.

FRANCE: The Adoption and Diffusion of Electronic Wallets: The Case of
Moneo
(By Jean-Michel Sahut)
http://www.arraydev.com/commerce/jibc/2008-04/Jean-Micehl-Sahut.pdf

Despite the strong and consistent increase in the use of electronic
payment methods worldwide, the diffusion of electronic wallets is
still far from widespread. Analysis of the failure of electronic
wallet uptake has either focussed on technical issues or chosen to
analyse a specific scheme (Stalder, 1998). This article proposes a
joint approach to analysing key factors affecting the adoption of
e-wallets by using the 'Technology Acceptance Model" (Davis, 1999)
which we have expanded to take into account the cost of using
e-wallets. By studying the Monéo e-wallet we can use this method of
analysis and compare it against the only French scheme still in
operation.

This article explains the elements affecting the adoption of this
electronic payment method using the 'Technology Acceptance Model"
(Davis 1999) which offers a conceptual framework for analysing the
adoption of new technology from its perceived usefulness and ease of
use. We propose extending this model to incorporate the cost of using
e-wallets using the 'perceived advantage' variable that is the result
of the relation between the perceived usefulness and the cost. Then we
will try to explain the adoption of different e-wallets and of Monéo
in particular by applying this new variable.

IRAN: The Modern Integrated Payment system: The Iran Experience to Date
(By Amir Khosravani)
http://www.arraydev.com/commerce/jibc/2008-04/Khosravani.pdf

The payment system is a mechanism which enables cash-transfer
(electronically) from one account to another regardless the location
of the holding branch of each account. An integrated payment system
covers all the inter-banking payments in a synchronized and continuous
structure, and includes Real Time Gross Settlement System (RTGS),
Automatic Clearing House (ACH), and the Scrip less Securities
Settlement System (SSSS).The Central Bank of the Islamic Republic of
Iran, in order to play its role and to fulfill its responsibilities,
has pursued the establishment and implementation of the real time
gross settlement system (RTGS) as the main infrastructure of
settlement, while also has developed the electronic inter-banking
billing system (Sahab) to offer a variety of real time cash-transfer
for small payments. These two infrastructures will be fully in
operation by the end of the current year. The ACH and SSSS systems
will also be considered in the next phase, in which the operating
priority is connecting such systems to the RTGS system.

The purpose of this article is to study the status and characteristics
of electronic banking and the method of implementing it in Iran. Also,
it is concluded, considering the significant increase in the
successful transactions in the Shetab center and, the outstanding
performance of the payment orders in RTGS, the hardware and software
performance of the banks are after all satisfactory. However, despite
the trivial proceedings made in such development of the electronic
banking, there still exist some obstacles and difficulties which, are
fully addressed in the following article.

MALAYSIA: E-payemnts: Problems and Prospects
(By J. Raja and M. Senthil Velmurgan)
http://www.arraydev.com/commerce/jibc/2008-04/Raja and velmurgan.pdf

The success of electronic commerce depends upon effective electronic
payment systems. The Internet and on-line businesses are growing
exponentially. Due to this explosive growth, electronic commerce on
the Internet uses various electronic payment mechanisms that can cater
for much diversity of applications. This paper discusses the evolution
and the growth of electronic technologies, which can provide more
advanced technical supports for electronic payment systems. The focus
of this paper is to identify and explain the different methods of
e-payment the authors analyses the challenges of electronic payments
from different perspective and provide preliminary security
countermeasures for each of the issues. Finally a number of solutions
have been proposed based on the problem and discussed on the prospect
of electronic payment system

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Administrative Notice
=====================

Journal of Internet Banking and Commerce

JIBC is a leading edge publication that informs banking and electronic
commerce professionals and executives on principal developments,
benchmark practices, and future trends in the Internet-based marketing
practices of governments and industry. This free online interactive
journal is a way to keep in touch, to share information, and to
establish business contacts (networking) for worldwide professionals
that specialize in electronic commerce, governance and banking solutions.

In JIBC you will find informed discussion of the latest internet-based
banking and electronic trends and practices from around the world. Our
priority is quality, not quantity. We want to maintain JIBC as a
service that provides substantial information and an effective forum
for your articles, your letters, your insights and ideas.

JIBC invites banking and electronic commerce professionals,
academicians and publishers to submit important announcements,
original articles, guest columns and significant feature
presentations. We also welcome surveys, book reviews and letters to
the Editor. Technical discussions in highly specialized areas of
expertise will be kept to an absolute minimum.

JIBC is formally issued three to four times a year when an email
summary of current articles is distributed to subscribers. The full
text of current articles is posted on the JIBC Web site at
http://www.ARRAYdev.com/commerce/JIBC/current.asp.

The publication is complemented by the Compendium of Internet Banking
and Commerce Initiatives at:
http://www.arraydev.com/frames/f-guest_comp.htm.
We invite readers to provide brief descriptions of products, books,
and services that they think others will find interesting.

The Journal of Internet Banking and Commerce (JIBC) is provided as a
service by ARRAY Development based in Ottawa, Canada. Views expressed
are those of the authors and are not necessarily shared by ARRAY
Development. Firms or individuals interested in sharing sponsorship of
this project may contact array (at) ARRAYdev.com.

The JIBC Web Archive
http://www.arraydev.com/commerce/jibc/articles.htm contains all
articles published to date.

You can reach the Editor-in-Chief Nikhil Agarwal with any questions or
comments by email at:
nikhil.jibc (at) gmail.com

Publisher Nahum Goldmann is at:
Nahum.Goldmann (at) ARRAYdev.com.


=================================
Editorial Board
=================================

Publisher and Member of the Editorial Board: Nahum Goldmann

Editor-in-Chief: Nikhil Agarwal

Deputy Editor-in-Chief: Joshua Fogel

Founding Chief Editor Emeritus and Member of the Editorial Board: Gord
Jenkins

Managing Editor: Xin "Robert" Luo

Mailing List Managing Editor: Anne-Marie Jennings

Contributing Editors
UK Contributing Editor: David G.W.Birch
South America Contributing Editor: Carlo G. P. Bellini
Australia Contributing Editor: Dale Pinto
Japan Contributing Editor: Carin Holroyd
Middle East Contributing Editor: Raed Awamleh
Legal Contributing Editor: Edwin Jacobs
Africa Contributing Editor: Alemayehu Molla
France Contributing Editor: Jean-Michel Sahut
India Contributing Editor: Arun Mohan Sherry
Malaysia Contributing Editor: Bala Shanmugam
Canada Contributing Editor: Arthur J. Cordell


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array (at) ARRAYdev.com

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