Operating Costs and Service Delivery Automation: A Perspective of the South African Banking Industry

Save Akilimalissiga, Nita Inderlal Sukdeo

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

The financial sector's cost of providing customer services has been rising yearly. Various experts estimate that the operating costs seem to double every fourteen years. Remaining competitive in such conditions becomes a complex and thoughtful achievement. The ideal alleviation of the rising operating expenses could be the integration of automation into the business operating systems. This paper aims to streamline the significance of the strategic relationship between operating costs and service delivery automation through the adoption of automation from the South African banking industry's perspective. A hypothesised relationship was established in order to understand the influence that automation can have on the banking institutions' operating costs. The study took on a double sequential quantitative approach where a questionnaire survey was deployed to the employees of prominent banking institutions through LinkedIn and direct email correspondences to collect primary data. This was followed by exploiting annual integrated reports of banking institutions to extract secondary (statistical) data, with a focus on the number of bank outlets/branches. Hence, using Absa, Capitec, FNB (First National Bank), Nedbank and Standard Bank as case studies revealed that operating costs could be improved by adopting advanced technologically-based practices known as service delivery automation.

Original languageEnglish
Title of host publicationProceedings of the 29th International Conference on Engineering, Technology, and Innovation
Subtitle of host publicationShaping the Future, ICE 2023
PublisherInstitute of Electrical and Electronics Engineers Inc.
ISBN (Electronic)9798350315172
DOIs
Publication statusPublished - 2023
Event29th International Conference on Engineering, Technology, and Innovation, ICE 2023 - Edinburgh, United Kingdom
Duration: 19 Jun 202322 Jun 2023

Publication series

NameProceedings of the 29th International Conference on Engineering, Technology, and Innovation: Shaping the Future, ICE 2023

Conference

Conference29th International Conference on Engineering, Technology, and Innovation, ICE 2023
Country/TerritoryUnited Kingdom
CityEdinburgh
Period19/06/2322/06/23

Keywords

  • adoption of bank automation
  • Banking industry
  • Operating costs
  • service delivery automation
  • South African banking industry

ASJC Scopus subject areas

  • Computer Science Applications
  • Information Systems
  • Decision Sciences (miscellaneous)
  • Information Systems and Management
  • Renewable Energy, Sustainability and the Environment
  • Artificial Intelligence

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