Enhancing Bank Performance: Integrating Enterprise Risk Management with Mobile Banking Applications

Harsono Yoewono; Ananto Prabowo

doi:10.14414/jebav.v27i2.4572

Authors

Harsono Yoewono Universitas Multimedia Nusantara, Tangerang, Banten, Indonesia
Ananto Prabowo Universitas Multimedia Nusantara, Tangerang, Banten, Indonesia

DOI:

https://doi.org/10.14414/jebav.v27i2.4572

Keywords:

Enterprise risk management, Mobile banking adoption, Bank performance

Abstract

This study investigates how the implementation of mobile banking and enterprise risk management (ERM) contributes to the success of financial institutions in a rapidly evolving financial environment. To understand the relationship between ERM, mobile banking adoption, and bank performance, we surveyed 250 senior bankers from the 25 largest banks in Indonesia using Partial Least Squares Structural Equation Modeling (PLS-SEM). Our findings indicate that effective ERM implementation positively affects bank performance. Mobile banking enhances customer convenience, streamlines operations, and broadens market reach, increasing customer satisfaction, operational efficiency, and profitability. Additionally, using mobile banking applications mediates the positive indirect impact of ERM on bank performance. This research highlights that ERM's effect on Indonesian banking performance is partly mediated by adopting mobile banking applications. The study contributes to the literature on RBV theory, which suggests that banks can create innovative ERM strategies and leverage its unique resources, such as mobile banking, to remain competitive and sustain their performance. The innovation aligns with the principles of TAM, which highlights the significance of perceived usefulness and ease of use in technology adoption.

Author Biographies

Harsono Yoewono, Universitas Multimedia Nusantara, Tangerang, Banten, Indonesia
Harsono Yoewono is a Lector in the Faculty of Business at Universitas Multimedia Nusantara from 2020. He earned a Bachelor in Accounting (2000) in Accounting Programme from Trisakti University and his magister in accounting from Tarumanagara University (2011). He worked in accounting sector from 2004- 2013, then start to be full time lecturer at 2014 in Tanry Abeng University until 2020. His Current research mainly focuses on financial accounting and banking. He has published the journal in the journal of Ultima Accounting, Journal of Management and Leadership, Journal Accounting and Finance Studies, Journal of Economics , Business and Accounting, Journal Owner (Riset dan Jurnal Akuntansi) , Journal WIGA (Penelitian Ilmu Ekonomi), Journal Media Ekonomi, Journal Akuntansi, Journal of Artificial Intelligence Research. Author’s contact detail: Faculty of Business; Universitas Multimedia Nusantara; Jl. Scientia Garden Boulevard, Banten 15810, Indonesia; +62816983165; harsono@umn.ac.id
Ananto Prabowo, Universitas Multimedia Nusantara, Tangerang, Banten, Indonesia
Ananto Prabowo holds the position of senior lecturer in the Faculty of Economics and Business at Universitas Multimedia Nusantara, located in Tangerang, Indonesia. In 2001, he obtained a bachelor's degree in accounting from Universitas Trisakti and later pursued a Master of Commerce in Accounting with Business Information System at the University of Sydney, Sydney, Australia. Following the completion of his master's degree, he gained professional experience at various companies in Australia from 2003 to 2008 and in Indonesia from 2008 to 2013. Subsequently, he made the decision to transition into the academic field in 2014. His primary research areas include accounting behavior, fraud accounting, environmental accounting, taxation, and banking and finance. His academic articles have been published in the Indonesian Journal of Accounting Research, Jurnal Akuntansi Keuangan dan Bisnis, Jurnal Akuntansi Syariah, etc. Author’s contact detail: Faculty of Business; Universitas Multimedia Nusantara; Jl.Scientia Garden Boulevard, Banten 15810, Indonesia;+60 16-637-7392; ananto.prabowo@umn.ac.id

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