IDEAS home Printed from https://ideas.repec.org/a/spr/qualqt/v56y2022i4d10.1007_s11135-021-01229-0.html
   My bibliography  Save this article

The adoption of blockchain technology in the financial sector during the era of fourth industrial revolution: a moderated mediated model

Author

Listed:
  • Mahmoona Khalil

    (International Islamic University)

  • Kausar Fiaz Khawaja

    (International Islamic University)

  • Muddassar Sarfraz

    (Nanjing University of Information Science and Technology
    Politehnica University of Timisoara)

Abstract

Blockchain technology is considered a core technology in the financial sector with promising prospects like economic development, financial innovation, and internet development. The financial sector needs digital transformation and the deployment of strategies that make Blockchain technology adoption successful. Hence, the current research investigates the mediating role of Blockchain adoption between digital business strategy and process innovation, financial performance, and the moderating role of information technology alignment. The data was collected from the 300 employees of banks located in Islamabad/Rawalpindi, Pakistan. Statistical techniques: Pearson’s correlation analysis, confirmatory factor analysis, Hayes process technique for mediation, and moderation analysis were used for data analysis. The results illustrate that digital business strategy is positively related to business process innovation and firm financial performance. Blockchain adoption mediates the relationship between digital business strategy, business process innovation, and financial performance. Information technology alignment acts as a moderator between Blockchain adoption and process innovation. The current study provides theoretical contribution by extending the literature on key variables: digital strategy, Blockchain technology, and bank's performance. The study also offers various managerial implications for top management and executives in the banking industry that are responsible for strategic decision making and better firm performance.

Suggested Citation

  • Mahmoona Khalil & Kausar Fiaz Khawaja & Muddassar Sarfraz, 2022. "The adoption of blockchain technology in the financial sector during the era of fourth industrial revolution: a moderated mediated model," Quality & Quantity: International Journal of Methodology, Springer, vol. 56(4), pages 2435-2452, August.
    • Handle: RePEc:spr:qualqt:v:56:y:2022:i:4:d:10.1007_s11135-021-01229-0
    DOI: 10.1007/s11135-021-01229-0
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11135-021-01229-0
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s11135-021-01229-0?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Sara Saberi & Mahtab Kouhizadeh & Joseph Sarkis & Lejia Shen, 2019. "Blockchain technology and its relationships to sustainable supply chain management," International Journal of Production Research, Taylor & Francis Journals, vol. 57(7), pages 2117-2135, April.
    2. Fosso Wamba, Samuel & Queiroz, Maciel M. & Trinchera, Laura, 2020. "Dynamics between blockchain adoption determinants and supply chain performance: An empirical investigation," International Journal of Production Economics, Elsevier, vol. 229(C).
    3. Min, Hokey, 2019. "Blockchain technology for enhancing supply chain resilience," Business Horizons, Elsevier, vol. 62(1), pages 35-45.
    4. Shashi, & Centobelli, Piera & Cerchione, Roberto & Singh, Rajwinder, 2019. "The impact of leanness and innovativeness on environmental and financial performance: Insights from Indian SMEs," International Journal of Production Economics, Elsevier, vol. 212(C), pages 111-124.
    5. Pan, Xiongfeng & Pan, Xianyou & Song, Malin & Ai, Bowei & Ming, Yang, 2020. "Blockchain technology and enterprise operational capabilities: An empirical test," International Journal of Information Management, Elsevier, vol. 52(C).
    6. Kshetri, Nir, 2017. "Blockchain's roles in strengthening cybersecurity and protecting privacy," Telecommunications Policy, Elsevier, vol. 41(10), pages 1027-1038.
    7. Schuetz, Sebastian & Venkatesh, Viswanath, 2020. "Blockchain, adoption, and financial inclusion in India: Research opportunities," International Journal of Information Management, Elsevier, vol. 52(C).
    8. Chen, Yan & Bellavitis, Cristiano, 2020. "Blockchain disruption and decentralized finance: The rise of decentralized business models," Journal of Business Venturing Insights, Elsevier, vol. 13(C).
    9. Liao, Shu-Hsien & Hu, Da-Chian & Ding, Li-Wen, 2017. "Assessing the influence of supply chain collaboration value innovation, supply chain capability and competitive advantage in Taiwan's networking communication industry," International Journal of Production Economics, Elsevier, vol. 191(C), pages 143-153.
    10. Kristoffer Francisco & David Swanson, 2018. "The Supply Chain Has No Clothes: Technology Adoption of Blockchain for Supply Chain Transparency," Logistics, MDPI, vol. 2(1), pages 1-13, January.
    11. Ye Guo & Chen Liang, 2016. "Blockchain application and outlook in the banking industry," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 2(1), pages 1-12, December.
    12. Chen, Yan, 2018. "Blockchain tokens and the potential democratization of entrepreneurship and innovation," Business Horizons, Elsevier, vol. 61(4), pages 567-575.
    13. Poonam Garg & Bhumika Gupta & Ajay Kumar Chauhan & Uthayasankar Sivarajah & Shivam Gupta & Sachin Modgil, 2021. "Measuring the perceived benefits of implementing blockchain technology in the banking sector," Post-Print hal-03145195, HAL.
    14. Kshetri, Nir, 2018. "1 Blockchain’s roles in meeting key supply chain management objectives," International Journal of Information Management, Elsevier, vol. 39(C), pages 80-89.
    15. Garg, Poonam & Gupta, Bhumika & Chauhan, Ajay Kumar & Sivarajah, Uthayasankar & Gupta, Shivam & Modgil, Sachin, 2021. "Measuring the perceived benefits of implementing blockchain technology in the banking sector," Technological Forecasting and Social Change, Elsevier, vol. 163(C).
    16. Roman Beck & Michel Avital & Matti Rossi & Jason Bennett Thatcher, 2017. "Blockchain Technology in Business and Information Systems Research," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 59(6), pages 381-384, December.
    17. Teng, J. T. C. & Grover, V. & Fiedler, K. D., 1996. "Developing strategic perspectives on business process reengineering: From process reconfiguration to organizational change," Omega, Elsevier, vol. 24(3), pages 271-294, June.
    18. Hughes, Laurie & Dwivedi, Yogesh K. & Misra, Santosh K. & Rana, Nripendra P. & Raghavan, Vishnupriya & Akella, Viswanadh, 2019. "Blockchain research, practice and policy: Applications, benefits, limitations, emerging research themes and research agenda," International Journal of Information Management, Elsevier, vol. 49(C), pages 114-129.
    19. Ying, Wenchi & Jia, Suling & Du, Wenyu, 2018. "Digital enablement of blockchain: Evidence from HNA group," International Journal of Information Management, Elsevier, vol. 39(C), pages 1-4.
    20. Morkunas, Vida J. & Paschen, Jeannette & Boon, Edward, 2019. "How blockchain technologies impact your business model," Business Horizons, Elsevier, vol. 62(3), pages 295-306.
    21. Ashok, Mona & Narula, Rajneesh & Martinez-Noya, Andrea, 2016. "How do collaboration and investments in knowledge management affect process innovation in services?," MERIT Working Papers 039, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    22. Venkatraman, N. & Henderson, John C. & Oldach, Scott, 1993. "Continuous strategic alignment: Exploiting information technology capabilities for competitive success," European Management Journal, Elsevier, vol. 11(2), pages 139-149, June.
    23. Andoni, Merlinda & Robu, Valentin & Flynn, David & Abram, Simone & Geach, Dale & Jenkins, David & McCallum, Peter & Peacock, Andrew, 2019. "Blockchain technology in the energy sector: A systematic review of challenges and opportunities," Renewable and Sustainable Energy Reviews, Elsevier, vol. 100(C), pages 143-174.
    24. Thomas C. Powell & Anne Dent‐Micallef, 1997. "Information technology as competitive advantage: the role of human, business, and technology resources," Strategic Management Journal, Wiley Blackwell, vol. 18(5), pages 375-405, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Muddassar Sarfraz & Kausar Fiaz Khawaja & Heesup Han & Antonio Ariza-Montes & Juan Manuel Arjona-Fuentes, 2023. "Sustainable supply chain, digital transformation, and blockchain technology adoption in the tourism sector," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-13, December.
    2. Danping Liu & Hedan Fang & Yuanmao Tang & Salmi Mohd Isa & Jinquan Tang, 2023. "Intelligent Technology Solutions and Banking Efficiency: The Impacts of Institutional Innovation and Consumer Participation," SAGE Open, , vol. 13(2), pages 21582440231, June.
    3. Lambert Kofi Osei & Yuliya Cherkasova & Kofi Mintah Oware, 2023. "Unlocking the full potential of digital transformation in banking: a bibliometric review and emerging trend," Future Business Journal, Springer, vol. 9(1), pages 1-18, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Garg, Poonam & Gupta, Bhumika & Chauhan, Ajay Kumar & Sivarajah, Uthayasankar & Gupta, Shivam & Modgil, Sachin, 2021. "Measuring the perceived benefits of implementing blockchain technology in the banking sector," Technological Forecasting and Social Change, Elsevier, vol. 163(C).
    2. Teck Ming Tan & Jari Salo, 2023. "Ethical Marketing in the Blockchain-Based Sharing Economy: Theoretical Integration and Guiding Insights," Journal of Business Ethics, Springer, vol. 183(4), pages 1113-1140, April.
    3. Soumyadeb Chowdhury & Oscar Rodriguez-Espindola & Prasanta Dey & Pawan Budhwar, 2023. "Blockchain technology adoption for managing risks in operations and supply chain management: evidence from the UK," Annals of Operations Research, Springer, vol. 327(1), pages 539-574, August.
    4. Zhang, Jian & Zhang, Xuanjian & Liu, Wei & Ji, Ming & Mishra, Arunodaya Raj, 2022. "Critical success factors of blockchain technology to implement the sustainable supply chain using an extended decision-making approach," Technological Forecasting and Social Change, Elsevier, vol. 182(C).
    5. Venkataiah Chittipaka & Satish Kumar & Uthayasankar Sivarajah & Jana Lay-Hwa Bowden & Manish Mohan Baral, 2023. "Blockchain Technology for Supply Chains operating in emerging markets: an empirical examination of technology-organization-environment (TOE) framework," Annals of Operations Research, Springer, vol. 327(1), pages 465-492, August.
    6. Büttgen, Marion & al.,, 2021. "Blockchain in Service Management and Service Research - Developing a Research Agenda and Managerial Implications," SMR - Journal of Service Management Research, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 5(2), pages 71-102.
    7. Kouhizadeh, Mahtab & Saberi, Sara & Sarkis, Joseph, 2021. "Blockchain technology and the sustainable supply chain: Theoretically exploring adoption barriers," International Journal of Production Economics, Elsevier, vol. 231(C).
    8. Manu Sharma & Sudhanshu Joshi & Sunil Luthra & Anil Kumar, 2022. "Managing disruptions and risks amidst COVID-19 outbreaks: role of blockchain technology in developing resilient food supply chains," Operations Management Research, Springer, vol. 15(1), pages 268-281, June.
    9. Chen, R. & Chen, K. & Ou, Carol, 2023. "Facilitating interorganizational trust in strategic alliances by leveraging blockchain-based systems: Case studies of two eastern banks," Other publications TiSEM 85ecf99c-76f0-416e-9604-d, Tilburg University, School of Economics and Management.
    10. Kumar, Sourabh & Barua, Mukesh Kumar, 2023. "Exploring the hyperledger blockchain technology disruption and barriers of blockchain adoption in petroleum supply chain," Resources Policy, Elsevier, vol. 81(C).
    11. Patel, Ritesh & Migliavacca, Milena & Oriani, Marco E., 2022. "Blockchain in banking and finance: A bibliometric review," Research in International Business and Finance, Elsevier, vol. 62(C).
    12. Abderahman Rejeb & Karim Rejeb & Steve Simske & Horst Treiblmaier, 2021. "Blockchain Technologies in Logistics and Supply Chain Management: A Bibliometric Review," Logistics, MDPI, vol. 5(4), pages 1-28, October.
    13. Gang Li & Chih-Cheng Fang, 2022. "Exploring factors that influence information resources sharing intention via the perspective of consensus perception of blockchain," Information Technology and Management, Springer, vol. 23(1), pages 23-38, March.
    14. Alireza Farnoush & Ashish Gupta & Hamidreza Ahady Dolarsara & David Paradice & Shashank Rao, 2022. "Going beyond intent to adopt Blockchain: an analytics approach to understand board member and financial health characteristics," Annals of Operations Research, Springer, vol. 308(1), pages 93-123, January.
    15. Kirti Nayal & Rakesh D. Raut & Balkrishna E. Narkhede & Pragati Priyadarshinee & Gajanan B. Panchal & Vidyadhar V. Gedam, 2023. "Antecedents for blockchain technology-enabled sustainable agriculture supply chain," Annals of Operations Research, Springer, vol. 327(1), pages 293-337, August.
    16. Abderahman Rejeb & John G. Keogh & Suhaiza Zailani & Horst Treiblmaier & Karim Rejeb, 2020. "Blockchain Technology in the Food Industry: A Review of Potentials, Challenges and Future Research Directions," Logistics, MDPI, vol. 4(4), pages 1-26, October.
    17. Kimani, Danson & Adams, Kweku & Attah-Boakye, Rexford & Ullah, Subhan & Frecknall-Hughes, Jane & Kim, Ja, 2020. "Blockchain, business and the fourth industrial revolution: Whence, whither, wherefore and how?," Technological Forecasting and Social Change, Elsevier, vol. 161(C).
    18. Sahebi, Iman Ghasemian & Mosayebi, Alireza & Masoomi, Behzad & Marandi, Fatemeh, 2022. "Modeling the enablers for blockchain technology adoption in renewable energy supply chain," Technology in Society, Elsevier, vol. 68(C).
    19. Alireza Abdollahi & Faraz Sadeghvaziri & Abderahman Rejeb, 2023. "Exploring the role of blockchain technology in value creation: a multiple case study approach," Quality & Quantity: International Journal of Methodology, Springer, vol. 57(1), pages 427-451, February.
    20. Orji, Ifeyinwa Juliet & Kusi-Sarpong, Simonov & Huang, Shuangfa & Vazquez-Brust, Diego, 2020. "Evaluating the factors that influence blockchain adoption in the freight logistics industry," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 141(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:qualqt:v:56:y:2022:i:4:d:10.1007_s11135-021-01229-0. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.