The impact of business intelligence on the commercial performance of banks and financial and credit institutions in Gilan province

Academic Thesis for Master's Degree

Field of Business Management, Internal Orientation

Abstract

The country's banking system, as one of the most important economic sectors of the society, plays an effective role in attracting and guiding depositors' funds, providing services to the people and participating in economic, social and cultural development, and the lack of this system will create many problems in the country's development.

The very important and fundamental role of banks in most economic activities is to examine the performance of existing banks and identify the factors affecting them. In line with this goal, this research has investigated the relationship between business intelligence and its dimensions with the commercial performance of banks and financial and credit institutions. The statistical population of this research is the banks and financial and credit institutions of Gilan province, which due to the integration of business systems processes in all branches of each bank and financial institution, the branches of banks and financial and credit institutions in Gilan province. which are 34 in number, have been tested. In this research, a business intelligence and business performance questionnaire was used to collect data, and data collection was done in the field. To check the validity of the questionnaire, the content validity method and the reliability of the questionnaire, the Cronbach's alpha calculation method was used. To test the research hypotheses, the Pearson correlation method was also used, and finally the results indicated the existence of a positive relationship between business intelligence and the dimensions of data integrity, analytical capabilities, and content quality. Information, the quality of access to information, the use of information in the business process and the culture of analytical decision-making with commercial performance among banks and financial and credit institutions in Gilan province. Keywords: business intelligence, data enhancement, analytical capabilities, quality of information content, quality of access to information, the use of information in the business process, the culture of analytical decision-making, commercial performance. Introduction Today, the economic and commercial progress of the country depends on The progress of the banking industry is in step with other industries of the country as well as the banking industries of other advanced countries. Currently, a high percentage of the ownership of this industry is in the hands of the government, but with the emergence of some private banks, competition has also started in this industry, but despite this, it is very far from the level of global banking. In fact, the banking system in any country is one of the most important pillars of the formation of economic structures, which is considered to determine the path of development or backwardness of countries (Al-Ishaq, 1388: 5). On the other hand, in the current competitive era The category of globalization has blurred the economic boundaries between societies and has affected the industries of countries. In this situation, the pressure of stakeholders (shareholders, customers, employees and society) and their expectations from organizations increases day by day and forces organizations to use new management systems that are based on the benefit of stakeholders (Zargham Borojni, Ebrahimi and Mirifakhredini; 25:1392). It can be very important. In fact, performance shows how an organization reaches its mission and related goals. Performance implies starting from a certain situation and reaching a precise goal, which may include several target points such as market share, sales volume, employee motivation, customer satisfaction, quality level, etc. (Boisvert, Hugues; 2006, p2). On the other hand, one of the new concepts in the field of business is business intelligence [1]. Business intelligence helps organizations to observe the past and present business situation both in general and in detail with a better view so that they can analyze their own business in a proper way. Business intelligence provides the possibility and ability to improve the quality of services and can facilitate planning and decision-making. In this regard, the present research seeks to investigate the impact of business intelligence on business performance. banks and financial and credit institutions of Gilan province. According to the above, in the first chapter of the research, after stating the problem, the necessity and importance of the research will be discussed. Then, the questions and objectives of the research will be mentioned along with the theoretical framework of the research, and finally, the chapter will end with the conceptual and operational definition of the variables and the statement of the scope of the research.

1-2) statement of the problem

Banks play a vital role in the allocation of economic resources in countries, and through creating a channel between depositors of resources in the bank and investors in the industry and trade sector, they create economic prosperity in the country (Ongore & Berhanu Kusa; 2013:237). But the industry (banking) like other industries is faced with environmental pressure factors. Khurshid quoted Hamer and Chumbi [2] (1993) named these pressures under the title of 3c: change, customers and turnover (Khorshid; 1389: 164). These pressures make banks always seek to improve their performance in financial and non-financial dimensions. Striving for better performance is a matter that is the great expectation of all stakeholders of the organization, including customers, employees and shareholders. In challenging and turbulent environments, organizations realize over time that yesterday's competitive advantage It is not considered a guarantee for tomorrow's survival. This imposes a great pressure on organizations to learn how they can improve their performance and advantage in the best way and be ahead of competitors (Molahsini, Furqani and Moradkhani; 2009: 23). In fact, evaluating the performance of organizations and economic enterprises with similar activities and examining the results of their performance in a certain period is considered an important and strategic process that, while determining the competitive position of the organization, plays a significant role in continuous improvement and Increasing the quality and effectiveness of management decisions of Hadard organization (Islami, Bahrami, Rajabi, and Mihni; 2013: 2).

On the other hand, according to the subject of the present research and in relation to the performance of banks, it should be said that the International Banker magazine [3] is one of the reputable centers that, every year, by obtaining statistics from the world's banks, ranks the top 1000 banks in the world. (Islami et al.; 3:1390). Meanwhile, out of the seventeen Iranian banks included in the database of this institution, thirteen banks are included in this classification, but the best Iranian bank has not risen from the seven hundred and seventy-seventh position despite the improvement in performance in 2014. This shows that Iranian banks are far from global standards and paying attention to the factors affecting their performance is very important. In this research, according to the statistical population of two A component is considered for it (Chirani, Alizadeh and Bejarsari; 2019).

A) Financial performance: financial indicators determine the success in achieving economic goals for companies.

B) Market performance: The market performance means the company's ability to satisfy and retain customers through the provision of quality products or services.

All these conditions require that banks seek to apply strategies for It is clear that all the efforts of an organization in all areas should be clear in its performance. Often, organizations try to improve their performance by using various tools and mechanisms. For this purpose, measuring the status of performance is one of the most important and important categories of organizations (Mashbaki, Bastam, and De Yadgari; 93:1393). Examining different perspectives on performance shows that many variables can be effective in it (Mamoun et al., 2011, 43). One of these variables that leads to improved performance is business intelligence (Roodpashti, Nikumram and Mahmoudi Guide; 111:1392). Business intelligence helps organizations to equip themselves with new business thinking in order to continuously manage and improve their performance (Rahimi, Nowrozi and Saree Al-Qalam; 1391: 65). In fact, one of the current and future needs of organization management is to support decision-making processes that organization resource planning systems should cover in addition to their real goals, namely mechanization, integration and process improvement. A number of organizations have come to this belief. that if the organization's tools are equipped with business intelligence systems, they will create a higher value for the organization (Ghazanfari, Taqavi and Rouhani Fard; 22:1387). Business intelligence, by helping managers in making decisions, can enable the bank to solve problems in all work areas such as customer relationship management, performance management, risk management, asset management and complaint management, which will ultimately lead to the improvement of the bank's performance (?urkovi? & 2011:223). Ubiparipovi?).The purpose of business intelligence is to help control the sources and flow of business information that exists within and around the organization.