Investigating the Influence of IT and Other Resources on Service Innovation in Banking

This paper investigates the influence of firm resources on banking service innovation performance. Drawing on the resource-based perspective, we propose a research model in which the effects of three kinds of resources i.e., employee skills, IT investment, and customer co-creation, are examined. Pilot survey data collected from 34 banks in Singapore was used as a preliminary test of the research model. The pilot test results show that while employee skills and customer co-creation influenced service innovation, IT investment did not. We intend to examine the unsupported relationship in future by investigating if it is contingent on moderators such as innovation culture or other industry specific factors. As we collect more data in future, this study is expected to contribute to the understanding of service innovation in banks and the role of resources such as IT investment in service innovation.