Information Technology and Banking Organization

Sauro Mocetti, Marcello Pagnini () and Enrico Sette

Journal of Financial Services Research, 2017, vol. 51, issue 3, No 2, 313-338

Abstract: Abstract We investigate the impact of information and communication technologies (ICT) on local branch managers’ (LBMs) autonomy in small business lending. Using a unique dataset of nearly 300 Italian banks, we show that banks holding more ICT capital delegate more decision-making power to their LBMs. Evidence from a variety of identification strategies suggests that our results are not driven by unobserved heterogeneity. We also find that the positive effect of ICT on delegation is stronger for banks resorting more to soft information (i.e. those specialized in small business lending and with a longer permanence of LBMs in the same branch).

Keywords: ICT; Delegation; Banking organization; Local branch manager; Small business lending (search for similar items in EconPapers)
JEL-codes: L22 M54 O33 (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (22)

Downloads: (external link)
http://link.springer.com/10.1007/s10693-016-0244-3 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
Working Paper: Information technology and banking organization (2010)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:jfsres:v:51:y:2017:i:3:d:10.1007_s10693-016-0244-3

Ordering information: This journal article can be ordered from
http://www.springer.com/journal/10693

DOI: 10.1007/s10693-016-0244-3

Access Statistics for this article

Journal of Financial Services Research is currently edited by Haluk Unal

More articles in Journal of Financial Services Research from Springer, Western Finance Association Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().