Impact of Operational Efficiency and Customer Satisfaction on Banking Performance: Empirical Examination on UAE Islamic Banking
Mansoor Mulla1, Osama Isaac2, Ibrahim Alrajawy3, Amiya Bhaumik4
1Mansoor Mulla, Lincoln University College, Selangor, Malaysia.
2Osama Isaac, Lincoln University College, Selangor, Malaysia.
3Ibrahim Alrajawy, Lincoln University College, Selangor, Malaysia.
4Amiya Bhaumik, Lincoln University College, Selangor, Malaysia.
Manuscript received on 18 September 2019 | Revised Manuscript received on 05 October 2019 | Manuscript Published on 11 October 2019 | PP: 304-309 | Volume-8 Issue-2S10 September 2019 | Retrieval Number: B10510982S1019/2019©BEIESP | DOI: 10.35940/ijrte.B1051.0982S1019
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© The Authors. Blue Eyes Intelligence Engineering and Sciences Publication (BEIESP). This is an open access article under the CC-BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/)
Abstract: The primary aim of the research is to examine the effect of operational efficiency and customer satisfaction in case of Islamic banking performance in UAE. Proposed model’s evaluation was done using questionnaire survey data that was obtained from 158 valid responses from Customer Service Officers, Bank Managers, Front Line Officers, and Assistant Manager working in the Islamic banks of UAE. Structural Equation Modelling via PLS3.0 software was used to define the crucial levels of associations and interactions between the tested factors. The proposed model, as evidenced by the goodness of fit of the model to the data, explained 39% of the variance in the Islamic banking performance. The multivariate analysis showed a major impact of operational efficiency on Islamic banking performance as compared to the impact on customer satisfaction. The study results gave insights into the strategies of Islamic banking system.
Keywords: Operational Efficiency; Customer Satisfaction; Islamic Banking; Performance; UAE.
Scope of the Article: Social Sciences