Abstract

At the discretion of the bank technology core based technologies have gained precedence in their
employment as strategies in trying to garner an improvement in the productivity and performance of
employees. Employee performance is a model unit in measuring the overall firm’s success and
competitive stability in their respective sector of the market. Logistic regression analysis was performed
on the basis of the variables of innovation impact and innovation satisfaction, employee productivity,
including twelve other predictors. Process stood out as the highest positive impact of of innovation
(improved 41 times more than the other predictors), improved or new processes were considered more
likely to contribute the greatest (38.6) to high innovation_impact and innovation_satisfaction factor
being likelier to contribute the greatest (32.4) to employee_productivity amngst the banks. Exploration
and understanding of the linkages and effects among these variables can offer managers a more trusted
and effective insight into innovation that enhance skills, operational skills and efficiency, productivity
and ultimately performance of employees.

The gist behind the executionnof this study is to render a clearer perspective on the consequence of
employing technological innovations towards the betterment of the employee’s performance. This
study is effected in a select few banks in Suleiman, which is in the Northern region of Iraq.The study
was conducted employing a descriptive research design because of its offered advantages in acquiring
data from participants within their comfortable setting. Of the targeted persons, 170 participants
responded to the study questionnaire which was then put through logistic regression analysis using
the variables of innovation_satisfaction and innovation_impact, employee_productivity and also twelve
othwr predictors . The results obtained from the study . The study established that new process
resulted in the most significant impact to technological innovations and improved or new processes
highlighted the most probability to technological innovation impact and satisfaction on the employees
in the banks. The importance of these results lies in theirccapacity to show the drastic impact of
technological innovation s on the performance of employees in the bank as they adapt to the
dynamism concurrent with the business market.

positive as well as statistically significant influence on employee productivity of the banks. From these

findings, it is evident that an increase in the application of IT results to increased employee

productivity. The

study recommends that the commercial banks in Kenya should increase their innovative capability
due to the

business dynamics. Therefore, in order to support and to uphold an enhanced capability, innovation
ought to

be among the main priority areas of top management level executives of the commercial banks in
order to

enhance employee productivity.Subjects: Innovation and technology; Banking; Strategic

Management; Employee performance; Management of Technology

Keywords: Bank; employee productivity; Khurdistan; innovation impact; innovation satisfaction;

technological innovation
Chapter 1

1.1 Introduction

A summary of the research subject is given in this chapter. It also provides a preview of the effects of
innovation technology on the performance of bank employees discussed in detail in the following
sections. In order to understand the underlying questions concerning the matter, a brief history of the
study was provided. The chapter also introduced the research model on which the research is based and
the relation proposed on which research questions have been developed and aimed. The researcher
also underlined the importance and justification of the individual and public conduct of this study.
Finally, the contents section offers a simplified breakdown of the various chapters and their contained
topics to guide the reader.

1.2 Background Information

Innovation technology is a key platform for enhancing the economic competitiveness of any country. It is
widely accepted that innovation technology has a significant beneficial impact on the productivity of
companies that can only be achieved if it is well understood and adopted. The innovation technology
impact on productivity in the banking sector remains imperative to understand appropriately (Oliveira
and Martins 2015). Technological changes such as the usage of other innovations, Internet banking,
automated distributors and electronic funds transfer, as well as credit cards quickly change the banking
sector considerably, replacing traditional methods. Singh, Chhatwal, Yahyabhoy & Yeo (2002) recognize
that banks may well not be able to differentiate their own prices in a highly competitive industry, but
that e-banking is designed to meet competitive differentiation. Banks must be know how to use IT in the
face of emerging international competition and how it is applied (Cooper and Zmud 2017). The first to
adopt technological innovations have been private and foreign banks, benefitting from increased
efficiency and satisfaction of customers. The public sector banks, on the other hand, are sticking to
competition. Organizations will experience change in the process of organizational growth. The failure to
use appropriate techniques can be a challenge in implementing the modification( Ahituv and
Giladi ,2006). They continue by saying that stress can be reduced if the necessary modification is used in
efficient ways. There has been a debate on the impact of technological innovation on the productivity of
employees. The technology is revolutionizing the way businesses operate worldwide according to
Applegate & Mills (2010). They also state that there can be three possible casual factors if the
introduction of IT does not deliver the intended return. One is that the staff did not implement or accept
the technological innovation that the organization introduced. Secondly, the leaders have failed to
connect employees with technological innovation use and finally your business system has not properly
supported technological innovation. The growth in banking technology has led to a considerable daily
improvement in the performance of the banking industry, and the e-banking concept is now a key
element in banking initiatives today. The adoption of technology in the banking sector has enabled them
to provide better and improved services to online banking that save time ( Banker and Kauffman, 2015).
E-banking enables the customers to access key services such as their accounts on their banks and the
accompanying information on the products and services offered by banks using different avenues.

Competition is strong and market conditions are volatile in the Kurdistan banking industry. The banks
must focus on increasing productivity through operational efficiency, adopting an efficient banking
system and efficient resource creation in order to survive on such a competitive market. The award this
could contribute to financial performance in the long term is great. Banks that support continuous
performance improvements show a better ratio of effectiveness of human capital (Singh & Kamlesh,
2013). Employees are directly connected with banking activities and are critical for the development,
improvement of productivity and success of banks. It is vital to develop technology-driven strategies to
enhance knowledge discovery and employee skills. The success and achievement of banking institutions
largely depends on the people. Resources improved employees' skills and skills affect their productivity.
This shows reactivity and customer satisfaction with service (Singh & Kaur, 2018).

Banks leverage IT trends to pursue technological innovation (products and process innovation) to
address their employees' main concerns, including improved delivery methods, improved business
effectiveness and a reduction of the transaction time. However, it does not ensure that a strategy is
implemented. Strategic goal without end-user initiatives that effectively address end-user needs. meet
the needs of innovative technologies to operate efficiently in response to customer satisfaction service.
While some universal banks in the Khurdistan banking industry are improving productivity through
technological innovations, others still have to recognize the expected benefits of such innovations
(Ameme & Wireko, 2016). An employee's productivity is a significant factor in measuring an
organization's performance. Employees are more interested in products and processes for customer
service. Then our main aim of the study is:

Exploration of the impact of technological innovation on productivity the bank employees

The researchers sought answers to the following questions in order to identify and understand the
impact of technological innovation on the productivity of bank employees and the particular factors
affecting banking productivity in Khurdistan's through seven (7) branch banks.

Three dependent questions have been posed to the participants to reflect how they see their
productivity, other areas of the banks and innovation satisfaction as a result of technological innovation.

(1) As a bank employee, do you think technological innovation has impacted positively on your

productivity?

(2) How has innovation affected your bank in each of the following areas?

● Products

● Processes

● Service delivery time

● Operational flexibility

● Risks management

● Employee productivity

● Customer service

(3) How satisfied are you with your bank’s current innovation technology-enabled
product(s)/services and process(s) in performing your role?

Additional questions that employees were asked are found at Appendix A

1.3 Problem statement

Technological innovation has garnered so much interest and focus in the strategic decisions of all sectors
of industry and particularly among banks. Although these innovations are mostly considered in their
capacity to widen the influence and accessibility of the banks service to the public, it is this studies aim
to reconsider the innovations as directed towards the improvement in employee performance. There is
a plethora of studies already on the subject with different views and as such would be interesting to add
to this body of literature. The aim is to verify and validate the consequence of technological innovation
and its incorporation in the banking sector to improve the performance and productivity of employees
through training and motivation strategies employed in the sector. There are very limited studies on this
subject especially in the region of Kurdistan where the banking sector as at its turning point with the
assimilation of technological innovations into their portfolios. The existence of this lack of literature in
the region has led to the existence of this study in trying to address these innovations as considered
within the regional area of the middle east and specifically in Northern Iraq.

1 4 Significance of the study

To begin with, the study offers vital up to date information on the subject of technological innovation
within the banking sector and how it has influenced the performance of employees. This information is
also vital for serving as the basis for reference by future scholars in similar or related studies. Findings
from this study could also be important to the education sector of the Kurdistan region and the rest of
the Middle East which shares a similar background to that of this area. That being said, it offers an
opportunity of reconsideration on the effects of technological innovation and how it can be better
employed in developing a greater and consistent growth among employees. This is important in
strategies that are focused on addressing the morale and job satisfaction of employees not apart from
improving their performance levels.

Lastly, this is part of the researcher’s requirements for the purposes of attaining her Master’s degree.
Furthermore, it also for the private and personal essence of the researcher as having been employed in
the same industry it garnered the interest in the results obtained.

1.5Justification of the study

In the northern region of Iraq, most banks are still not invested in innovation technologies on par with
the rest of the world. Although numerous studies on the subject exist in the field, these have been
mostly limited to other more developed or developing regions of the world. With the emergence and
proliferation of these technologies it has thus become necessary to highlight on its nature and how
exactly it has affected the conditions of the employees amongst the few banks in the region that do
employ innovations. It would therefore be very interesting to highlight the differences that are faced by
the employees in these different workplaces and get an inside view of the actual benefits or
complications that come about with the proliferation of innovation technology in the banking sector.

The researcher did not give particular importance to banks that have not yet embraced the
technological revolution competently as these have been widely studied and exhausted as evidenced by
the vast majority of literature on the subject. Furthermore, there exists very few regional studies on
these emerging strategies that strive to boost employee performance through technological . The
researcher is such inclined to the belief that there are still many factors unknown and in need of further
study and verification on this subject. As such, the results of the study could give new information to add
to the few existing literature. It is also a necessity as a potential source if inspiration for the regional
bank’s strategic planning on human resources. According to Maheshwar (2018), innovation studies in
the Suleiman region of Kurdistan are an on growing necessity towards the growth of the industry within
the region. Also, as an employee within the same sector, the researcher feels obligated to use the
opportunity of familiarity with the area to conduct studies on the subject in the region instead of other
areastud

1.6 Breakdown of chapter

Chapter 1 provides a detailed overview of the research subject and an overview of the whole study. The
chapter gives the study's model, hypothesis and questions. The reasons for conducting this study are
also highlighted.

Chapter 2 This section examines the theoretical and empirical literature on technological innovation,
motivation, training and employee performance This document provides also an opportunity to develop
the hypotheses of the study
Chapter 3 The methodology of the study is discussed in this chapter. Detailed information is provided on
research design, methods of data collection, sampling and analysis.

Chapter 4The analysis of the data collected in detailed presentation

Chapter 5 This chapter deals with the results from the analysis in the previous chapter . The researcher
provides answers and compares the previous results from other studies to the research questions. This
provides the means for recommendations and findings from the present study.

Chapter 2. Literature Review

2.1 Introduction

The focus of this chapter is on the previous studies done by other scholars in relation to the concept of
technological innovation and employee productivity. It also seeks to explore the limitations encountered
in the works of these other studies as the basis of its importance. The chapter delves into the theoretical
literature to explain each of the variables used in this study and also an empirical study of other related
works done on the subject. The combination of these was evaluated and used as the basis for the
creation of the hypotheses developed .

This chapter begins with the exploration of the independent variable of technological innovation and
how it has developed along with its relationship to the development of business structures. The
dependent variables are then also explained and explored through the findings of previous studies in
order to build a well informed synthesis of the subject.

2.2Concept of Innovation
Innovation is an ever evolving subject. It is because if this that it has always been perceived highly as a
subject of scholarly studies in both its theoretical and practical element. There exists a multiple schools
of thought defining innovation and there is a general controversy among them. The word innovation is
rooted from the Latin word "novus" which defines newness (Merriam-Webster, 2010).

In contemporary society, the earliest attempt at defining innovation came from Schumpeter (1934), who
defined it as “the new combinations; of new or existing knowledge, resources, equipment and other
factors”. The main focus of Schumpeter was to clarify the difference between innovation and invention
as there two words were being used interchangeably. Accordingly, Shah et al (2014) distinguished
innovation as an economic activity for the purposes of commercial gain whereas invention is a universal
activity without the limitations of commercial services. In short, invention is the creation if novelty
whereas innovation is the employment of novel ideas in commercial practice. On the other hand,
innovation has also been defined as a creative function by Simmonds (1986) who asserted that
innovation is the use of new ideas within the development of new products and services or other
marketing strategies.

According to the studies by Sternberg (2017), innovation is intricately involved with new ideas and
creativity processes that lead to business growth. The studies by Sternberg (2017) illustrate the writings
of Simmonds in showing that innovation is the development of new and distinguished creative works.

Contrary to Sternberg (2017), other studies argue that innovation is not only limited to the creativity of
new and distinguished ideas, but has to add value to existing system (Kearney and Hisrich (2014). This
places emphasis on the quality of contributions made in order for these new ideas to be recognized as
being innovative.

Innovation is important in its novel recombination of ideas to contribute an entrepreneurial function

(Schumpeter, 1934). Innovation is important to economic and business activity as it contributes greatly
to the creation and development of new businesses (Yadav and Garima, 2015). In short, innovation is a
key factor in the creation of entrepreneurship which leads to economic development and growth.

Drucker (1954) supports Schumpeter’s perspective asserting that a business' only purpose is to generate
a customer. To support this purpose, business needs two things that are technological innovation and
employee productivity. These two factors are used for innovation and marketing of the business. As
such, innovation is at the heart of any organizational function aimed at the creation and satisfaction of
customers (Al-Zahrani, 2015).

Drucker’s assertions are applicable across all industries although there are other scholars such as Mohr
and Sarin (2009), who argue that this is mostly limited to high-tech industries. These industries rely on
sophisticated methods of marketing for survival and competition. This argument is highly outweighed by
majority of literature available. The general consensus among scholars recognizes innovation as an
intrinsic phenomenon at the heart of all organizations regardless of their sector of industry (Desai,
2013).

It is generally agreed that in contemporary society, an organization cannot survive in the long term
competition against other organizations without innovating its means of production and delivery or
products and services (Dangolani, 2011).
According to Porter (1990), who is the leading authority on business strategy, innovation is not only
about the use of new knowledge and technologies. It also includes remodeling and improvements made
to already existing ideas and products.

As already highlighted, innovation is considered by other scholars as a creative process (Simmonds,

1986). Simmonds defines it as the new ideas and creations in products aandmd services and
improvements made upon existing products and services or developments in marketing strategies. On
the other hand, studies by Sternberg (2017) consider innovation to consist of new ideas, growth and
development and creativity. Kearner and Hisrich (2014) assert that these qualities are not enough to be
considered as innovation as there needs value added and benefits coming from their contributions. This
is very apt as the success of innovation is considered in terms of its added benefits to existing systems
and products

Based on these different perspectives, Kranzberg (2015) combines all these views to summarize all these
works. Accordingly, innovation is consisted of three factors;

1. it is a reactionary process based off the demand or recognition of an existing opportunity,

2. it is the brainchild of successful creativity giving birth to novelty

3. it is the pioneer for change

As asserted by Schumpeter (1934), innovation is not invention but invention is part of the innovation
process as evidenced by the literature reviewed.

This is supported by a model designed by Rogers(2003) based off 4000 published innovation studies
defining innovation as characterized by realization and implementation. Realization is when ideas are
employed into making inventions and implementation is when the invention is launched and successful
on the market by adding value and benefits.

2.3 Technological innovation

According to Osman et al (2016) technological innovation involves the use of technology whether new
or old or a combination of both in products and services. it is aimed at improving work processes and
generally making the work easier (Sahadie, 2014). Technological innovation employs tools like machines
that make the work easier and for it to be successful then the tools employed should be easy to use for
the employees otherwise they will resist them.

Source: Diaconu (2011)

Figure 1: Technological innovation process

The diagram above shows the technological innovation according to Diaconu (2011). The explanation is
that innovation may follow the stages shown in the diagram as a linear process. However, this is not
always the case as innovation is based on developments using already existing knowledge to come up
with new products or processes (Mairesse and Robin, 2010). They explained that the process starts with
basic knowledge that stems from previous experiences. This knowledge is then turned into artefacts and
disseminated through the process of knowledge diffusion (Diaconu, 2011). They also pointed out that
the research and development stage is the most important as this forms the foundation of the
innovation process.

Other scholars also pointed out that some companies did not have research and development stage but
still conducted other important activities such as designing, engineering and setting up processes that
allowed technology processes to flow within the organization (Baba. Y, 2011). In most cases, innovation
is a response to the demands of the market and all available knowledge is used to come up with
innovations. A culture of acceptance of new ideas is thus essential to promote the process of
technological innovation (Chang et al, 2011). In addition, vital information can be gleaned from
customers who are the end users of the technology. Other important stakeholders are competitors, and
other organizations.

Because of imitators in the industry, it is also important for the company that innovates to be able to
develop more innovations based on their current innovation so as to stay ahead of the competition
(Imran et al, 2014). This facilitates innovation diffusion in the organization where the organization uses
certain innovation as foundation for more innovations. (Schumpeter, 1934).

Technological innovation consists of two types that are product innovation and process innovation
(Singh and Kamlesh, 2013). Product technological innovation involves coming up with new products or
modification of existing ones in a way that brings about innovation. On the other hand, process
innovation entails coming up with novels ways of implementing business processes or modifying existing
process (Al-Zahrani, 2015). Process technological innovation can involve changes in equipment, software
and techniques. Product innovation can involve changing the specifications or usage of a product,
changes in packaging and even functions (Dangolani, 2011).

Several scholars have pointed out that process innovation results in improved employee productivity
(Masso and Vahter, 2012; Hall et al, 2008, Obeng and Mkhize, 2017). According to Chang et al (2011)
explained that process innovation had a great effect on employee productivity. They contended that
creativity and innovation is enhanced where there is emphasis on training and equipping employees
with the necessary skills. Increased output would lead to increased customer satisfaction and ultimately
employee productivity .

2.4 Technological innovation and employee productivity

Technological innovation refers to formation of new ideas through the process of reorganizing existing
knowledge or the creation of completely new paradigms (Masso and Vahter, 2012). Technological
innovation greatly influences the performance of the firm (Mumford 2000). In most cases, technological
innovation is born from internal improvements in the firm (Pavitt, 1990) and internal innovation is a
result of employee productivity. This highlights the intrinsic interdependence between technological
innovation and the productivity of the employees (Huselid, 1995).

According to Dauda and Akingbade (2011), the efficiency of the human resources department is
necessary to employ technology in an ethically acceptable and productive way. As such technology can
only improve productivity when employed in lieu with other resources.

On the other hand, innovations is necessary as it increases the efficiency of the employees and overall,
the firm as a whole unit (Lawless and Anderson, 1996). More specifically, technological innovation has
the potential to improve the overall performance of the organization ( Li and Deng, 1999).

The relationship between technological innovation and employee productivity is cemented through
continuous induction training. This is because through induction training, the employees are exposed to
absorbing new knowledge and it also broadens innovative potential (Chi et al , 1989). The receptivity
and development of new insights by employees in performance of their duties is highly dependent on
their level of motivation which then greatly affects the rate at which technological innovations occur
(Hennessey and Amabile,1998).

According to the resource-based theory, the resources available to the firm are of chief importance in
the organization’s development and human capital is at the top above all else in its importance (Obeng
and Mkhize,2017). The true potential of this resource is a direct result of the employees’ capabilities and
level of enthusiasm, and the effectiveness of the human resources management by the organization
(Mumford, 2000).

As human resources heavily rely on technological instruments in utilizing the other resources, the
innovations made in technology become very significant in the productive potential of the employees
( Nohria and Gulati, 1996). Technological innovation is a necessary and crucial unit in promoting
employee productivity (Hitt et al., 1997). According to the results of numerous studies, there exists a
positive relationship between the productivity of employees and the organization as a whole, and the
technological innovations instigated within the organization. This has lead to the conclusion that
technological innovations are a necessary and crucial factor in the productivity of the employees (Foster,
1986).

Value added is the method of measurement employed in the service sector and studies done by Masso
amd Vahter (2012) indicated the existence of a positive relationship between employee productivity and
innovation output. Studies by Mairesse and Robin (2010) have also supported that the innovation of
products also has an impact on the productivity of employees.

Process innovation has a positive contribution to employee productivity (Huergo & Jaumandreu, 2004).
There is a more significant effect of process innovation on employee productivity than the impact on
product innovation (Hall, Lotti, & Mairesse, 2008).

Research in banking industries has shown that well trained employees given the discretion to employ
creative initiatives in their work have significantly higher levels of productivity. (Chang, Gong, & Shum,
2011). Banking secrors have also shown that high-end product innovation greatly contributes to the
satisfaction of employees resulting in increased levels of productivity (Obeng & Mkhize, 2017).
Where there is efficient use of innovative technology, there also exists increased levels of productivity
(Sabherwal &Chan, 2001). Supplementing innovative technologies with innovative training projects also
contributes to higher productivity among employees. This works much more efficiently when
incorporated along with other resources as technological innovation only serves to assist already
existing systems (Dauda & Akingbade, 2011).

2.5 Induction training and technological innovation

Training is a key component that is present within all organizations (Abbas, 2014). Its function is to allow
the organization to recognize and adjust its discrepancies recognized amongst employees from the
moment they become a part of the firm. Its importance is also because it equips the employees with
adaptive flexibility in handling the complexities that accompany innovations. Furthermore, it also serves
as a basis for motivating the firm’s human resources and allows them to handle any new developments
that arise within their working environment (Amagada, 2006).

According to Becker (1964), induction training equips employees with the capacity to use nee skills. The
employees who have gained the most innovative potential and knowledge are the most important
assets of an organization (Obeng and Mkhize, 2017). They also serve to gain more knowledge and
capacity necessary in the development of new innovative technologies. Training is necessary for the
advancement of the employee’s knowledge and skill-set. Innovation includes the generation of novel
ideas and their subsequent utilization in the significant issues present within the organization (Mumford
and Gustafson, 1998). Induction training improves the rate at which employees absorb new data and
also their potential to generate new innovations ( Chi et al., 1989). Furthermore, employees who have
acquired and mastered more expertise in their skills and knowledge become the pioneers of new
technological innovations (Mumford, 2000).

Organizations employ training and development as a method of improving and updating the skills and
productivity of their employees (Singh amd Kamles, 2013). It has been demonstrated through research
that firms improve their outcome levels through increased investment in the areas of problem solving,
decision-making and teamwork assignments ( Singh & Mohanty, 2012). Furthermore, some firms have
displayed a positive correlation between induction training and the employees productivity through
output measurements. (Singh and Kamlesh, 2013). Induction training is not ephemeral but rather a
continuous and systematic evaluation and adjustment process based on the analysis of the needs of the
employees and those of the organization. This means that training is continuously analyzing and
adapting its qualities in line with the development of the employees and the objectives of the firm
(Singh and Mohanty, 2012).

This highlights that training is not only a necessity for the employees in advancing their skills and
capabilities towards the necessary features of their employment, but also to achieve the set objectives
of the company (Sultana et al., 2012). As such, competent human resources management is unparalleled
and irreplaceable. Firms are primarily motivated by profit values for their responsible shareholders and
this achieved through unique and high quality service provision to customers (Shukla, 2014). The appeal
of their products and services determines the size of their customer-base and as such firms invest in the
continuous development and induction training of their employees. This enables the firm maintain and
develop competitive products and services necessary to gain the upper hand on the market competition.
It is for this reason that firms employ various types of induction training projects designed to address
individual necessities of the employees such as promotions, status and monetary compensation
( Mehmood et al., 2012).

As a result of the increased prominence of the global market, organization are constantly dealing with
new issues that were not present in their local market sectors (Chang et al, 2011). This necessitates the
increase in the qualification skills and capabilities needed amongst employees in order to handle these
emergent tasks efficiently. Training is used a process of equipping the human resources with the
required skill-set and competence to employ contemporary technological innovations needed to
competitively perform their task (Farooq and Khan, 2011).

Technological innovations changes the nature of the working environment and tasks that are performed
by the employees (Ameme,2016). This requires employees to assimilate and employ new skills and
knowledge to handle their work efficiently. Training becomes the strategic response of firms aimed
solely for the adaptation of the employees skills and capabilities necessary to improve their productivity
(Goldstein and Gilliam, 1990). According to results from cotemporary studies, most organizations are
burned with two major issues that are new technologies and an ageing working force. This makes
training indispensable in the induction of the ageing workforce towards contemporary developments
and such as artificial intelligence, computerized systems and web-based operations among other recent
technologies (Colquitt et al., 2000).

2.6 Technological innovation and motivation

Motivation refers to the behavioral fluctuations within an individual that do not reflect any bearance on
their general qualities. It is the drive towards investment of more effort in displaying a certain behavioral
trait (Quinone, 1997). Motivation is an internal quality that arises from within the individual although it
can be stimulated by external circumstances.

To this end, Orpen (1994) asserts that technological innovation is influenced by employee’s motivation.
It is necessary for the organization to invest in incentives for employees in order to advance innovation
as a process (Harsanyi, 1969). These incentives are generally set into two categories which are material
and immaterial incentives (Gruber, 1996). Material incentives are more focused on economic gain where
as immaterial incentives feature qualities like self actualization and social status. Depending on their
needs and wants, different employees require different types of motivation. Both material and
immaterial incentives can also be used to address the necessities of these employees in technological
innovation (Gruber, 1996).

When successfully motivated, employees commit more to their responsibilities and perform more tasks.
Through research, it has been identified that highly motivated employees participate a crucial task in the
wellbeing of an organization (Asante et al, 2015). In other words, motivation defines productivity as it is
the driving force that guarantees the success of an organization. It is the quality of an individual’s
willingness to partake in their roles with high levels of enthusiasm in an attempt to satisfy an internal
desires (Saeed & Asghar, 2012).
Motivation is an important factor in an organization as it is the engine that drives human resources into
pioneers of new ideas and innovations (Asante et al, 2015). As motivation boosts an employee’s
standard of efficiency, it is crucial towards the bolstering the rate of innovation within the organization
(Kaur and Bhatia, 2016). This is highly desirable from the perspective of the organization as it increases
the potential of the organization to achieve its objectives. It is the role of the management to identify
the motivations that drive their employees in order to achieve organizational success. (Ali, Abrar, &
Haider, 2012).

Studies have also shown that employees are more likely to perform poorly when they are not motivated
(Porter, 1990). Furthermore, organizations with low levels of motivation among employees have been
noted to innovate much more slowly compared to those that have highly motivated employees.
(Sternberg, 2017). This shows that motivation is an important factor in the technological innovation
process of an organization. These studies are supported by business practice of offering more privileges
towards better performing employees compared to those that do not perform as much. (Mohr Sarin,
2009). These privileges often come in the form of promotions, organizational status and monetary
bonuses. Accordingly, these studies show that within organization that offer a lot of benefits there are
higher levels of productivity and innovation within their functions (Chintalloo & Mahadeo, 2013).

2.7 Motivation and Employee Performance

There is a growing consensus among scholars that when organization show their appreciation of the
employees' efforts, it leads to am increase in productivity (Diaconu, 2011). These studies also assert that
apart from motivating the employees, this also creates chemistry between the management and the
employees leading to organizational pride and loyalty. When these feelings of loyalty exist in the
employees, it increases their motivation to contribute more to the organization leading to am increase
in productivity (Kranzberg, 2015).

As such, it is the aim of this study to highlight the importance of management and employee
relationship as a strategy towards productivity. As studies show motivation as an indicator of employee
treatment in an organization, it can then then be used to measure the productivity of the employee.
This is important for the organization to secure the best possible workforce for each respective task
(Rudge, 2011).

Within the context of this work, motivation is being considered as a dependent variable that affects the
productivity of employees. The purpose of this is to measure whether an increase or decrease in
motivation has any influence in the productivity of the employees, either increasing it or decreasing it. It
is important to highlight that there other important factors that garner the motivation of employees
such as the behavior of the management and nature of the working environment (Khan, 2012).

For the sake if productivity, it is necessary for the organization to invest in the motivation of their human
resources(Osman et al, 2016)) An organization needs to be successful in recognizing and addressing the
particular needs that motivate employees in order to foster positive organizational behavior. This will
impact positively on the nature of the working environment for the employees (Drucker, 1954).

Acknowledgment of the inputs of employees, provision of the appropriate working environment and
satisfactory job designs with support from the management positively impacts on the productivity of the
organization (Dauda and Akingbade, 2011). It greatly allows for efficiency and motivation within the
performance of employees as they can easily achieve their objectives. This makes motivation an
important factor in the productivity of employees (Khan, 2012).

In contemporary business society, there has been a growing focus on the influence of motivating
employees in order to increase productivity (U.S., 2013). Organizations across all sectors are more
interested in the motivation of their human resources as a strategic maneuver to achieve their goals and
objectives. This is true for both public and private sector organizations, becoming more and more aware
that motivation increases the productivity of their employees (Kaur, 2012). The inspiration of employees
is now part and parcel of organizational policies which is aimed at improving the interrelationship
between the management and employees associations.

It has been recognized that well motivated employees quickly respond in aligning their efforts towards
the achievement of the organization’s goals and objectives (Milne, 2007). Employee motivation is a
necessity for the success of the organization as a unit because if the employees’ continuous enthusiastic
contribution to the objectives of the organization. This is because motivated staff often works harder
towards improving their skills on the job even under normally limiting circumstances (U.S., 2013).

2.8 Technological Innovation in the Banking Sector

Although the notion of technological innovations has greatly affected each and every industry, the focus
of this study will be limited only to the dynamics within the banking sector of industry. Across the ages ,
the banking sector was generally a traditional institution that had infrequent renovation to any of its
systems (Kanayi, 2012). It was regarded as "a conservative industry, characterized with a fixed industry
structure, defined boundaries, identifiable players, and clear business models that made change linear
and predictable in the past” (Fasnacht, 2009).

Banks have been historically slow to innovate because of regulations and higher risk management
(Banarjee, 2009). However, this has changed significantly, although, some banking institutions are much
slower at adopting technological innovations

In this sector, the adoption of technological innovations is determined by organizational and

environmental factors (Damanpour, Walker & Avellaneda, 2009). Innovation is largely focused on
improving the nature of products and services delivery and processes (Damanpour, 2010).

Technological innovation is distinguished into development of new products and services, and
processes; or the improvements made in the two categories (OECD, 2005). Technological innovation
provides the software and hardware necessary to deliver performance that enhances the experience of
the user (Laudon and Laudon,2012). In empirical literature, banks are recognized as using the product
and process typology approach to technological innovation (Delgado-Verde et al., 2011).

OECD (2005) defines product innovation as the introduction of considerably revised or new goods and
services. Scholars argue that core banking products should allow for the bank to efficiently innovate and
customize its services to suit the needs of the receiver (Reghunathan and Jayanthi, 2012). The function
of product innovation is to improve employees’ service performance to address the demands for
improved customer service or the venture into new markets (Damanpour, 2010).
Product innovation allows for the improvement or resuscitation of business services and also enables
the organization gain competitive advantages while responding to threats from other competition
(Prajogo & Ahmed, 2006).

Technological innovation in the banking sector is mostly concentrated on process innovation (Sahadie
2014). This has equipped banks with proprietary advantages and differentiation of services (Davenport,
1993). Process innovation relates to the development and use of significantly revised or new versions of
production and service delivery, including the tools and techniques employed (OECD, 2005). It is also
concerned with the design and development of working strategies both new and revised along with
conception of process design efforts (Bofondi and Lotti, 2006).

Process innovation reduces the costs of operation while increasing productivity and efficiency
(Damanpour, 2010). It improves the productivity of the employees by decreasing the number of
processes participated by the employees (Bessant et al., 2005). It increases productivity and value of the
business services in line with the strategies and objectives of the organization (Davenport, 1993). It is
crucial in banking services as they require coordination and constant management of functional
interdependencies (Walker, 2008). The potential of computerized operations and communication is
phenomenal but can only be realized with the use of competent human resources (Davenport, 1993).

Innovation technology has brought a radical change towards Iraq’s banking sector in terms of quality of
operations, transaction costs, and delivery of competent value added products and services (Dauda &
Akingbade, 2011 ). There is increasing reliance among banks on technological innovation including
services computer banking, mobile banking, SMS banking, electronic funds transfer, automated teller
machine (ATM), electronic data interchange among others (Prahalad, 2017). The development of these
services has widened their market sections and created new markets (Aliyu & Tasmin, 2015).

Innovation technology has reduced the amount of work performed by employees (Chen, 2017).

Automated teller machine (ATM) are computerized telecommunication machines used includes a
record keeping system and cash vault in one unit. This has greatly increased the productivity granting
cost efficiency and more convenience to the clients (Dangolani, 2011). This has also increased the speed
of service delivery and eliminated most of instances of human error (Al-Zahrani, 2015).

Telephone banking (telebanking) is another instrumental innovation introduced into the banking
system(Masso & Vahter, 2012). It is a virtual banking service that extends banking services from branch
offices to customers greatly increasing the productivity of employees responsible for these operations.
This system employs automated messages and options for real-time contact with the banks thus
reducing costs of operation and 24/7 productivity with reduced costs of operation.

Another innovative technology that has increased productivity of the banking sector is personal
computers (Chang et al, 2011). This employs installed software provided by service institutions giving
access to the branch services on the device of the client with unlimited access to telephone banking
24/7.

By far and large, internet banking stands out as one of the most cost efficient innovations introduced
into the banking services (Kaur, 2012). Because of improved telecommunication technology, almost all
traditional banking services like information and transactional services can be operated online by the
clients. It has increasing popularity by providing continuous low cost and secure platforms for both the
Banks and their clients (Mutuku & Nyaribo, 2015).

2.9 Conceptual Framework

After the extensive review of the given literature in the above paragraphs, the research was able to
come up with the following conceptual model. It shows how technological innovation, which is the
independent variable of the study, affects employee productivity which is the dependent variable.
Motivation and induction training are also key factors in both and as shown they are included in the
process of applying technological innovations to improve employee productivity.

Figure 2.

2.10 Hypothesis

H0: There is no significant relationship between technological innovation and motivation.

H1: There is significant relationship between technological innovation and motivation.

H0: There is no significant relationship between technological innovation and training.

H1: There is a significant relationship between technological innovation and training.

H0: There is no significant relationship between motivation and employee productivity.

H1: There is a significant relationship between motivation and employee productivity.

H0: There is no significant relationship between training and employee productivity.

H1: There is significant relationship between training and employee productivity.

2.11 Empirical literature

A recent study was conducted by Setia et al (2021) on the role participated by technological on job
satisfaction and employee performance during the Covid-19 pandemic. The study was focused on the
rural banks in Bali, India on how the introduction of new technologies had influenced the performance
of its employees and their job satisfaction. Through the use of an unstructured online questionnaire
facilitated by Google Form, a total of hundred samples were acquired. The data was processed through
Structural Equation Modeling with a variance based approach using a Partial List Square. The results of
this study highlighted that there is a significant improvement in employee performance through the
introduction of new technologies. The results also showed a significant positive relationship between
the technological introductions and the employees job satisfaction.

Scholars such as Wilson (1993) have undertaken sample studies on the effects of technological
innovations on the performance of employees. The results obtained through these studies indicated
that there was a significant improvement in the performance of employees with the introduction of new
technologies.

Imran et al (2014) conducted a study on the impact of technological advancement on the performance
of employees in the banking sector. Survey questionnaires were used to acquire data for statistical
regression analysis. The results of this study highlighted a significant positive relationship between
technological advancement, motivation and training of employees. However, there was no significant
positive relationship between motivation and training of employees as the results were unsubstantial.

Another descriptive study by Sanesh. K. P (2018) on the effects of technological advancement on the
productivity of employees also showed a positive relationship between technological innovation on
employee productivity in the banking sector of Sri Lanka. Convenient sampling method was used for
primary data collection. The results of this study showed that innovation technology improves the
functionality of banks through the improvements made on the employees in productivity.

According to studies by Asare Yaw Obeng and Emmanuel Boachie (2018), banks rely on technology
driven strategies to drive technological innovations that improve the performance of employees.
Through logistical regression analysis, the study found that innovation on processes had a more impact
on the performance of employees than the impact of product innovation. The study highlighted that
technological innovations in processes were largely responsible for the improvement in the productivity
of employees. Investment into the innovation of processes would guarantee the system with more
efficiency, higher employee productivity and ultimately an increased efficiency in the whole firm.

Cross sectional studies on innovation technology through the use of surveys to generate information
from employees in the banking sector showed a positive but moderate correlation between induction
training and increased employee productivity ( Sapta, 2021). According to Nguyen et al, these studies
exist to reinforce the already existent corroboration of the results obtained from earlier unstructured
interviews.
Quick access to quality and accurate information is the greatest contribution of innovation technology to
productivity and performance of employees in the banking sector (Abbas, 2014). This was the result
obtained from a study of the Allied Bank employees in Pakistan. Data was amassed through
unstructured interviews and analyzed through IBM SPSS Text analytics. Accordingly the result showed
that technology significantly increases performance of employees. It showed that the introduction of
technology greatly reduced the workload of employees and the occurrences of fraud and human errors.
The study also revealed a trend of poor performance amongst employees who lacked proper training in
the use of introduced technology which slowed down services and increased instances of error.

Another study on the relationship between technological advancement and employee motivation
showed that the increased used of technology reduced the instances of employee absenteeism as well
as instances of error (Nuskiya et al, 2017). The study was based in Sri Lanka in the Ampara district. The
study employed a descriptive study of correlation analysis which showed a positive correlation of
information technology and the performance of employees. A strong correlation of 0.809 and 0.803
respectively was shown on absenteeism and rate of error. 42% of employees agreed and 34 strongly
agreed that information technology reduced their workload. As a result, the study found that banks that
invested in information technology gained a competitive advantages in the industry through the
increase in employee productivity. The private sector invest and adopt more technological innovations
than government banks.

Awang et al (2017) has demonstrated that cases of increased investment in technological innovation are
positively correlated with an increase in employee productivity. However, Strassman (2013) has also
shown through his studies that investments in technological innovations increase employee productivity
but however, increase the costs for the firm. In other words, his studies allude to that improved
productivity of employees does not extend to the whole organization if costs incurred are high (Lang and
Noelle, 1998).

The argument presented is that estimated marginal benefits are less in comparison to estimated
marginal costs (Hitt, 2002). Magutu et al (2009) noted through studies of other literature, that an
increase in profits was not always a result of investment in information technology. Loveman (1994),
Madueme (2016) and Litchenberg (2013) also showed that use of innovation technology made no
significant positive impact on the performance of banks when investigated through Cobb Douglas
production function.

On the other hand, Otieno (2016) noted that innovation technology has become the norm in the
direction of development of banks in Kenya’s financial services industry. Sonja (2010), Morufu and
Taibat (2012), Kaleem (2008) instigated research in Nigeria on bankers’ attitude towards electronic
banking with regard to its potential threat and benefit through interviews with the employees. The
result was that the majority viewed electronic banking and other technological introductions as
indispensable necessities to the system.

Studies in Nigeria on technological innovation have shown its potential to revolutionize the nature of
business not just for banking firms but for the quality of work for the employees as well (Amaoko, 2017).
Information and communication technologies are now the cornerstone of banking services providing
unparalleled efficiency and productivity (Agboola, 2006).
Table of most related literature

Authors and title of study Research design and findings Limitations and suggestions

Imran et al (2014)

The impact of Technological advancement on employee performance in the banking sector

Descriptive type sampling method and regression analysis. Technological advancement was the
independent variable and employees’ performance was the dependent variable. Results showed a
positive relationship between technological advancement and employee performance Need for more
research based on more exhaustive list of variables to determine employee performance

Obeng and Boachie ( 2018)

Impact of information technological innovation on productivity of bank’ employees Descriptive

sampling of 36 participants. I.T innovation was the independent variable and productivity was the
dependent variable. Results showed that I.T innovation greatly improves the satisfaction of employees
and increases productivity. Not enough significant participation to create a representative
generalization of results

Mutuku & Nyaribo (2015)

Effect of information technology on employee productivity in selected banks in Kenya Descriptive

research using Regression analysis. Results showed a positive correlation between information
technology and employees’ productivity. Information technology was the independent variable, and
employees’ productivity and employees’ satisfaction were the dependent variables. Only applied 3
indicators of productivity. Need for a more exhaustive list of variables to create a broader definition of
measuring employee productivity.

Obeng and Mkhize (2017)

An explanatory analysis of employees’ and customers’ responses in determining technological

innovation of banks Through unstructured interview and Logistical analysis, results showed a
positive impact of innovation technology on performance, innovation technology on risk management,
innovation technology in employees’ productivity. Innovation technology was the independent variable.
The study was too broad to be indicative of employees’ productivity. Need for an in-depth
analysis of employees’ productivity as a stand alone subject

Singh & Kamlesh (2013)

Employee productivity of private sector banks in India Used Descriptive sampling and Regression
analysis. Employee productivity was the dependent variable. A total of 12 indicators of productivity were
employed. Result showed a positive but average correlation between employees’ productivity and
technology The main limitations of this study was the lack of adequate participation by
respondents. The study focused on productivity as a whole and did not give an in-depth analysis of the
effects of technological innovations. Need for more centralized analysis of the two.

Dangolani (2011)
Impact of information technology on productivity Quantitavi study of organizational fluctuations
in organizational costs of innovation technology and profits of the organizationover a period of six years.
Results showed that although information technology was a necessity, its expenses moderated the
profits gained by the organization. It however increased the productivity of the employees. Data
was inferential and could be regarded as being an over estimation of the influence of technology on the
productivity of employees. Other factors need to be considered as well to give an accurate
measurement of technological contribution

Gozi & Uchihara

Effect of technological change on employee performance. A study on the Union Bank of Nigeria Used of
descriptive design sampling and Chi Squared statistical tool. Results showed a significant positive impact
of Technological change on the performance of employees Need for more grounded sampling to
generalize findings. Need to consider other determinants of experience like number of years employed,
number of banks worked for by the employees’ among other factors

2.12 Criticism and Contributions

Most of the available literature on innovation is not focused on the employees as the main subject of
the study. This means there are very few works that have contributed an in depth review on the
dynamic of employee productivity as a stand alone subject. Another shortcoming with the available
literature is that there is very limited studies in the local region of Kurdistan where this research is being
done. It is of great importance that apart from reliance on studies executed in other regions ,there be
local studies on the subject to offer details that are specific to the situation of the region.

As such, this study serves to contribute to the available but limited literature on the role of technological
innovations on the productivity of employees in the banking sector. It will serve as part of the
foundation for similar studies in the future and to be referenced by other scholars in their own
developments. The study is also of great importance to the education sector of Iraq in providing insight
on the dynamics of employee productivity from the contribution of technological innovations alone. This
will also serve to highlight potential opportunities for strategic developments by businesses on the
dynamics of technological innovations and the role played by the employees

.2.13 Conclusion

The chapter was centered on the theoretical and empirical review of previously conducted works. The
chapter offered an in-depth review on the independent variable or technological innovation and the
dependent variables of employee productivity, motivation and induction training. The theoretical
framework was based on the hypotheses formulated to guide the study . In the next chapter, the study
will explore the methodologies that will be employed to conduct the study.

Chapter 3 Methodology of the study

Introduction

The foundation of all goals and achievements is centered on the efficiency of the planning process. In
the field of research, this translates to the methodology employed. The focus of this chapter is to
highlight the manner in which the compiled data, that is the sources used and the inspiration that built
the research including the process employed to grade and quantify that acquired data. The process has
been outlined in detail as per the Cooper and Schindler (2014) standard which championed that
competent research should give a clear outline of the of the research process to afford confidence in
results . Accordingly, failure to include paramount details of the research undermines the authenticity
and reliability of the whole research. Methodology details include: design, sample, setting, limitations of
the Methodology used , data collection and analysis methods ( Creswell, 2016). For this particular
research, methodology entails the sequential process and details of the manner in which the research
was conducted.

3.2 The research process.

The research process after the successful completion of the guiding research questions follows the
stages developed by Cooper and Schindler (2014), and Saunders et al(2015). The following diagram
represents these stages.

Figure 2.1.1 Research process

Source: Saunders et al (2015)

3.3 Research design

Saunders (2015) asserts that research design gives a roadmap outline to the study. It provides
perspective to how the research answered the research questions, and how data collection and analysis
was conducted. The most important aspect of any research is the objectivity of results acquired (Cooper
and Schindler, 2014). Creswell (2016) defines a research design as a “formal written set of specifications
and procedures for conducting and controlling a marketing research project”. It is the overall strategy
towards the collection and analysis of the data necessary to allow the researcher to carry out the project
successfully. Design techniques, type of data, sample methods and procedures and also budgets are all
considered as part of the strategy.

The primary research design employed in this research is the descriptive. This is research design with the
amin objective of demonstrating authentic qualities of involved subjects, situations and groups (Swain,
2016). Its main focus is the around the “ who, what and how” concepts of the research questions. It
seeks to outline the qualities of subgroups such as their needs, perspectives and attitudes towards
particular topics.

Employing a descriptive research design, a cross sectional analysis was incorporated in one time to give
a true dimensional representation of what is happening at all across the chosen setting. The researcher
acquired information from representative sample population simultaneously. The research design was
also inclusive of an explanatory element. As the research was built upon theory giving existence to the
guiding questions of the research, it also means that the research in answering these questions offers an
explanation for the existence of these phenomenon (Cooper and Schindler, 2014). In conformity,
Neurman (2014) also asserts that this type of research addresses the ‘why’ aspect of the occurrences
rather than a simple representation of the occurrences without explanation. The gist behind this
method arises when the ‘what’ is accounted for but there is need for an understanding by the
researcher of underlying motivations behind the occurrences.

As a result of this multidimensional nature of employing these two methods of research, the research
can acquire an in-depth review of the impact of technological innovations on the performance and
productivity of the employees in the banking sector of Kurdistan. This assimilation of two approach
design within a single study is in line with Neurman (2000) who contended that a single study can be
employed to delve into exploration of both the descriptive and explanatory elements of a study.
However, the Neurman (2000) also highlights that these studies often give an imbalance to the two
giving predominance to one aspect more than the other. This is true for this research as it is
predominantly descriptive in nature.

3.4 Research method

This study was based on a deductive logic and a quantitative approach. Studies of numerical context that
use figures are optimally suited for quantitative approach. This is because it enables easier generation
and replication of competent logical conclusions. Deductive logic employs an uninvolved and
independent researcher who does not participate an active role in the research.

3.5 Population and Sampling.

Population refers to the overall figures of the subject units of the study. Creswell, (2016) defines
population as the sum demography of individuals who posses qualities in common that are of particular
interest to the researcher. The population for this study was bank employees in Northern Ira. The
particular target population of the researcher was the employees of banks situated in the Sulaymaniyah
region of Kurdistan.

Sampling is an identification of representative demographics of a particular subject who can be

accessible to the researcher through various channels such as mail, telephone or in person. These
individuals are chosen for their having the desired information and capacity to provide it to the
researcher in order to solve the research issues of interest ((Michael and Jose, 2016). In this study,
random sampling method was employed for the selection of participants in the sample. The main
reasoning for this is that it has equal probability that in turn gives an equal opportunity of participation
towards all available persons of interest.

As sampling is the unit extraction from a given population, and the subsequent analysis of acquired
information for specific results, this research aimed for the development of generalizations that are
applicable to the whole population. The purpose for this is to test the formulated hypotheses on this
chosen sample and then applying the results on the whole population. This makes the uniformity of
required characteristics to be of paramount importance in order to accurately build a proper
generalization.

The target population for this study was selected from six commercial banks in Erbil which is the capital
of Kurdistan. Amongst these, two are foreign, one is public and the remaining three are privately owned.
The criteria of selection for these banks were levels of technological innovation which was categorized
into informational services only, communicational level services and transactional services.
Informational services are those that only allow presentation of the banks varied services, its branches
among other things available on the Banks's online websites. On the other hand, communicational level
services are those that allow mostly one way interaction between employees and the customers such as
submission of complaints via electronic means. The third and highest let is transactional level services
which are two-way communication between employees and customers and automated services to
provide banking services independently without the help of these employees (Baker, 2000). These are
services like online mobile banking such as withdrawal and deposition of funds and transfer of funds
through automated remote technology available through the internet and other such platforms.

Of the available banks in the public sector, Trade Bank of Iraq (TBI) is the only bank that operates at the
communicational level offering services such as Master cards and Automated Teller Machines. The rest
of the banks are still limited to informational services reflective of the slow proliferation of technological
innovations in the region (CSIS, 2017). In the private sector, Kurdistan International Bank (KIB), Cihan
Bank and Trade Bank (TB) were chosen as they operate at transactional level services. The foreign banks
Byblos and BBAC Banks were also chosen for their transactional level services. This is because these
services are the most reflective of the impact that adoption of innovation technologies has had on the
productivity of employees. Private banks are the majority of banks in the region (CBI,2019).

As such the employees of these six highlighted banks are the target sample population involved in this
research as they are at the forefront of the region’s technological innovation process.

3.6 Data collection

Primary and secondary data sources are employed in research projects. Primary data is defined as the
data that is acquired specifically for a given purpose first hand from the source by the researcher. It is
advantageous in that it specifically addresses the intended purpose of the research and is first hand in
nature. In this research, primary data was acquired from the respondents of the distributed
questionnaires given to the employees of the aforementioned banks in the region. Permission was
granted by the respective administrations of these branches. A letter of support was also forwarded
from the University of Kurdistan Hawlār (UKH) to afford the respective banks confidence and
transparency of the study's intention in collecting their data.

As expected, secondary data was also employed. Secondary data refers to already existing information
acquired by other scholars for their own respective studies being employed by another study. Its main
attraction is that it is already available and thus easy to acquire. It is however, the responsibility of the
researcher to sort through this plethora of information in order to determine their relevance and
suitability to their particular subject. The researcher acquired secondary data from journals, internet
sites, academic articles, and other published records

3.7 Research Instrument

Tools used in the collection of data for the purposes of the research are what are known as research
instruments (Kumar, 2011). This research used questionnaires in the acquisition of information from the
participants. Questionnaires were employed as the primary tool for data collection in the quantitative
study because they are time efficient, cheap and thus convenient. These were self-administered by the
respondents and it afforded the research with a very noticeable increase in the response giving the
research a greater degree of clarity.
The structure of the questionnaires involved four sections. the first section included background
information with the purpose of enlightening the participants as to the reason for the study while also
highlighting the demographic qualities that qualified them. In the next section, information regarding
the respondent’s employment conditions such as duration of employment, qualifications, and levels of
technology employed. In the third part, information regarding the effects of technologies used and their
level of innovation was sought. The fourth section of the questionnaires involved seeking information
with regards to the respondent’s perceived influences of these innovations on their work and
productivity.

The research was based on closed- ended questions withing a structured design to ensure the responses
gained were within the spectrum of the study as per the recommendation of Kumar (20122).
Furthermore, this was to enable a simless interaction with the analysis method opted for by the
researcher.

3.8 Measurement

Research instruments are expected to be able to measure variables in a manner that allows for future
replication in follow up or related studies. One of the common ways used to identify and measure
attitude intensity is through an attitudinal scale which employs a spectrum of emotions controlled by a
specific scale notch (Kumar, 2011). The results obtained from the questionnaires were subjected to the
Linkert scale. This type of scale ranges emotional responses on varying scales of either three, five or
seven values on the scale. The scale chosen for this study was a five point scale ranging from strongly
disagree to strongly agree albeit with a middle value of neutrality signifying uncertainty of opinion on
the subject or even indifference, from 1-5 respectively. The reasoning behind the employment of this
scale is that it is neither too small and restrictive nor is it uncertain in its presentation of opinions which
led to it being used to gauge the responses of the participants.. the questions employed were borrowed
from similar studies conducted by other researchers in different areas although on the same study.

3.9 Pilot study

It is imperative that research is presented using instruments that suit the study without giving
uncertainty of wording or results in order to assure easy understanding by the participants. To support
this, the researcher initiated a pilot study employing ten questionnaires. The reasoning behind this was
to allow the researcher to detect any incongruences and or problems within the research instrument
before conducting the main study. This is of utmost relevance as it ensures time efficiency and
ascertains the quality of the research instrument. Furthermore, it helps to dissolve any potential
complications that might have occurred in the study in its later stage in the data collection process.

3.10 Reliability and validity

Cronbach Alpha was used to ascertain the reliability of the questionnaires presented. This is a
measurement tool that is employed to establish the authenticity of the research instrument in its
capacity to quantify variables within present and potential future studies. This validity is a measure of
the capacity of the research instrument employed to address all criteria of the study. The validity of the
contend of the research instrument was verified through the pilot study and through academic
evaluations

3.11 Analysis
Two methods were employed in order to conduct the analysis of the acquired data. Since the study
primarily employed a quantitative structure, a quantitative approach method was also employed to
analyze quantitative data. The data that was acquired through means of questionnaires was analyzed
through the Statistical Package of Social Sciences (SPSS). The frequency of particular variables was done
through descriptive statistics. The importance of the research instrument was also determined through
reliability tests. Correlations were used to clarify the relationship between technological innovations and
employee productivity.

3.12 Ethical consideration

High conformity with expected ethical standards is expected from the researcher. Cooper and Schindler
(2014) recommend that the researcher must express sensitivity towards the moral codes and standards
within the community they are operating in and above all must show exemplary standard of integrity in
transacting their research. In this study, the researcher maintained a high level of ethical conformity and
integrity in doing the research.

The researcher also sought for the recommendation of the university’s ethical committee in conducting
the study where it was necessary. Apart from the university, the researcher also had the approval of all
the responsible authorities of the different institutions that were involved in this study. Transparency of
data collection was also awarded to the research participants outlining the academic purposes for which
their data was being required for. Anonymity of all participants was also maintained in line with the
ethical standards expected of the researcher. It was disclosed and maintained to the respondents that
their participation was voluntary and that they could rescind their participation at any point if they so
felt like it. No monetary agreements were accorded to any of the participants and the research was
strictly voluntary in every sense.

3.14 Summary

This chapter of the research outlined the manner and structure under which the data was acquired and
analyzed by the researcher. A descriptive and explanatory cross-sectional design was employed for the
purposes of conducting this study. The collection of data was done in a triangulated approach.
Questionnaires were the primary instruments for thew data collection of quantitative data used in the
study. The chosen sample was constituted by employees chosen from six chosen banks from the region
of Kurdistan. Through a process of random sampling. For the analysis of data, the SPSS package was
employed. The proceeding chapter focuses on an in-depth presentation of the analysis of the data that
was obtained from the research study.

Chapter 4 Analysis of study findings

The investigation was restricted to seven first quartile widespread banks in Kurdistan. For a sensible
comparison and investigation Each of the seven (7) banks were chosen from the reliably appraised first
quartile all inclusive of banks in Kurdistan somewhere in the range of 2010 and 2015 (see
PricewaterhouseCoopers, 2016). Members were chosen from the local branches within the region of the
researcher although covering a broad territory and incorporating a variety of employees. To accomplish
legitimacy of the discoveries, representative employees who use IT in their work with banking items or
administrations and cycles for various intentions were arbitrarily chosen at the branch levels. These
representatives may display productivity and adaptability due to new/improved job related cycles and
items making their commitment more proper to the study. Information for the examination were
gathered utilizing review approach. At first, a survey comprising both shut and open-finished inquiries
were tried and adjusted (see Appendix A) and subsequently managed to respondents with the
assistance of prepared examination collaborators between the first of May lasting until the fifteenth of
May 2021. Altogether, 120 surveys were circulated through online Google sources to bank employee
( 165 representatives). 98 addressing 82% of the surveys were gotten (a reaction pace of 59.39%).

In chosen banks, Jani and Raval (2012) utilized monetary proportion of business per worker and benefit
per worker to dissect the efficiency of staff, while Yadav (2012) utilized staff usefulness, cost viability,
benefit, and monetary administration to quantify their usefulness. In this study, spellbinding
measurement is utilized to catch the usefulness of representatives. The goal was to sum up the data
predominantly to get the hidden commitments of technological advancement to be representative
usefulness. Members were approached to show how technological advancement has influenced certain
types/exercises of their banks, how technological innovation has affected their efficiency as workers,
and the fundamental benefits they consider technological innovation has brought to their expertise
every day participation of their work.

Table 1 portrays respondents’ attributes of the example utilized in this investigation. Fifteen
autonomous factors and three ward factors appeared in Table 2 were utilized to show the increased
performance of employees.

Table 1. Characteristics of respondents

Characteristics Frequency & percentage

Gender N % Age N % Education N %

Male 67 68 18–29 21 21.4 University 79 81
Female 31 32 30–39 63 64.3 Polytechnic 3 3
MV 0 0 40+ 14 14.3 College 13 13
MV 0 0 Other 1 1

MV 2 2

Name Definition
Innovation_impact (Dependent) Innovation effect on bank products
Product Innovation effect on bank process
Process Innovation effect on customer service delivery time
Service_Delivery_Time Operational_Flexibility Innovation effect on operational activities
Risks_Management Innovation effect on bank risk management activities
Employee_Productivity Innovation effect on employees’ productivity
Customer_Service Innovation effect on customer service delivery