BUSINESS INTELLIGENCE COSTS AND FIRM PERFORMANCE: EVIDENCE FROM SELECTED TOP ECOWAS’ BANKS | ...

Using a descriptive-quantitative research methodology and an economic theoretical framework, the effect of business intelligence costs on the performance of selected top ECOWAS banks that made Banker Magazine's 2017 list of 1000 Global banks was investigated. Based on the data available, a purposeful sampling technique was used. From 2012 to 2016, data was derived from audited annual reports of a sample of banks. Six hypotheses based on the literature were created and tested using OLS multiple regression analysis. The findings showed that: I the cost of computer hardware had no bearing on profitability; (ii) the cost of computer software had no bearing on profitability; and (iii) the cost of computer software However, it had significant negative effects on value added and productivity of sampled banks; (ii) software cost had significant negative effects on profitability, but significant positive effects on value added and productivity of sampled banks; (iii) total equity had significant positive effects on profitability, value added, and productivity of sampled banks; (iv) bank age had no significant effects on profitability, value added, or productivity of sampled banks; (v) bank age had no significant effects on profitability, value added, or productivity of sampled banks;In practise, the study found that BI costs have a marginally positive impact on firm financial results, as they reduced profitability by about 40%. The role of the economic model in BI studies has been emphasised theoretically.There have been some far-reaching proposals made.

Please see the link - https://ikprress.org/index.php/JET/article/view/5035