1.1 STATEMENT OF THE PROBLEM
The impact of technological innovations is more prominent in certain cycles of the economy, mostly in the urban areas.
Banks operate under the regulation and directives of the bank of Ghana (BoG). The regulation limits the profit making potential and returns on equity as well as meeting the taste of customers.
In spite of a whole range of technological innovations introduced so far, there are problems still with some of these innovations in the banking systems. These problems are as follows:
Inadequate information about the existence of some technological innovations by customer’s means that the usefulness of the innovations is not appreciated and therefore the use of banking products and services is low.
High charges for some of these services make them unattractive to the customers. Although technological innovations are to improve customer satisfaction and respond to their needs, the charges on them put extra cost on the customers, thereby canceling, to some extent, the intended satisfaction. For example, charges for using Automated Teller Machines (ATM).
Customers’ attitude towards new technology is poor. Some customers are indifferent to changes because they perceive technological innovations as imposition of additional cost by banks.
The requisite skills and personnel to manage the innovations properly are insufficient. What needs to be looked at is how banks can use technological innovation to mobilize funds and employ them to desired effects.
It is in the light of the above problems that the researcher wants to look into how technological innovations impacted on the Ghanaian banking sector with a number of banks chosen as case study. Given the above, the researcher will be focusing on how does technological innovations contribute to higher profits in the banks? How has technological innovations affected customer needs and satisfaction? And to what extent has technological innovations in the banking...