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The Dynamics of Product and Process Innovation in UK Banking

Author

Listed:
  • Bernardo Batiz-Lazo

    (London South Bank University)

  • Kassa Wondelsebet

    (Open University)

Abstract

Sustained competitive advantage depends heavily on the ability of organisations to internalise the benefits of innovative activities. While the vital importance of innovation in today’s competitive climate has been widely proclaimed, our understanding of innovative behaviour in service organisations is not yet fully developed. This article documents an interpretative approach (based on archival research and semi- structured interviews) of the main drivers of change in organisational function (process) and access to financial markets (service or product) in UK commercial banking. As a result, research in this article contributes the understanding of innovation in service organisations by exploring past and present perceptions of banks' senior managers and management consultants on the importance and factors stimulating and constraining the adoption of new technology in financial intermediaries.

Suggested Citation

  • Bernardo Batiz-Lazo & Kassa Wondelsebet, 2004. "The Dynamics of Product and Process Innovation in UK Banking," Industrial Organization 0405001, University Library of Munich, Germany.
    • Handle: RePEc:wpa:wuwpio:0405001
    Note: Type of Document - pdf; pages: 25
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    References listed on IDEAS

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    Cited by:

    1. Tamer Khraisha & Keren Arthur, 2018. "Can we have a general theory of financial innovation processes? A conceptual review," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 4(1), pages 1-27, December.
    2. Ijaz Ali & Noor Muhammad & Ali Gohar, 2017. "Effect of Bank Innovations on Profitability and Return on Assets (ROA) of Commercial Banks in Lebanon," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 9(4), pages 35-50, April.
    3. Mustansar, Talreja, 2023. "Financial innovation, technological improvement and bank’ profitability," OSF Preprints 8wy95, Center for Open Science.
    4. Juan Felipe Espinosa-Cristia & José Ignacio Alarcón & Bernardo Batiz-Lazo, 2022. "Local Adaptation of Work Practices: The Case of BancoEstado’s “CajaVecina†Correspondent Banking System," SAGE Open, , vol. 12(2), pages 21582440221, April.
    5. Keren Naa Abeka Arthur, 2017. "Financial innovation and its governance: Cases of two major innovations in the financial sector," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 3(1), pages 1-12, December.
    6. Nicodemus Itivi Muthoka & Oluoch Oluoch & Paul Munene Muiruri, 2018. "The Influence of Branchless Financial Innovation on Market Capitalization of Commercial Banks Listed in NSE, Kenya," International Journal of Academic Research in Accounting, Finance and Management Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Accounting, Finance and Management Sciences, vol. 8(4), pages 120-130, October.
    7. Batiz-Lazo, Bernardo, 2021. "Epilogue: Back to the future or total recall?," MPRA Paper 107457, University Library of Munich, Germany.
    8. Rouse, Marybeth & Batiz-Lazo, Bernardo & Carbo Valverde, Santiago, 2020. "All about the state-Fifty years of innovative technology to deliver an inclusive financial sector," MPRA Paper 102159, University Library of Munich, Germany.

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    Keywords

    banks; innovation;

    JEL classification:

    • M - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics

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