Organisational Barriers in Offering E-Banking

This article examines and discusses the issues identified as organisational barriers to e-banking by examining the e-banking implementation strategies of two well established UK banks. The purpose of the study is to develop a deeper understanding of the organisational issues that have come across while implementing e-banking strategies. This research employs a case study research strategy. The organisational barriers that emerged from the study are contrasted against those identified in the literature. The measures and strategies adopted by the two banks to mitigate the relevant issues are also discussed. Our study reveals the presence of the following barriers : lack of integration of related systems, a culture of achieving only the short-term targets, lack of understanding and knowledge about e-commerce, lack of product differentiation and categorisation, lack of understanding of customers, difficulties in personalisation of products, limited research and development, lack of e-commerce promotion within the organisation, technology taking precedence over business process change, and website design and operational functionality.