Financial Performance Evaluation of Domestic Commercial Banks: An Empirical Study in Malaysia

This study aims to evaluate the financial performances of commercial banks over the period from 2011 to 2015 in Malaysia. The sample comprises five domestic commercial banks; CIMB, Public Bank, Maybank, AmBank, and RHB Bank all listed in the Malaysian Stock Market (Bursa Malaysia). The data for this study taken from the annual reports of the banks and Bursa Malaysia official website. This data is analyzed by multiple regression and DEA efficiency scores to check the relationship between bank performance and bank size, operational efficiency and asset management. The asset management, operational efficiency and bank size are taken as independent variables along return on asset (ROA) as dependent variable. The findings of this study reveals there is significant relationship between ROA and asset management. The operational efficiency shows less significant relationship with bank performance. According to the comparison of all predictors, bank size has more strong relationship with bank performance because domestic banks are inefficient to control their costs than efficiently operating by optimized economies of scale. Key Word: Banks, ROA, Financial Performance, Asset Utilization, Operational Efficienc

The Mediating Role of Institutional Trust on Corporate Image and Customer Trust in Iraqi Banking Sector

In today’s highly volatile environment, banks strive to leverage the perceptions of their multiple customers more than ever before to build a sustainable competitive advantage. Accordingly, corporate image and customer trust concepts are of vital importance for both academicians and practitioners, concerning their potential impact on internal and external stakeholders. Recognizing the intensified significance of a multi-stakeholder perspective, the current study attempts to contribute to the literature by examining the mediating role of institutional trust on the relationship between corporate image and customer trust. The study applies the partial least squares structural equation modeling (PLS-SEM) method to examine this relationship. The data are collected from a total of 372 Iraqi banking customers using a random sampling technique. The finding for path-1 shows that there exists a positive and significant association between corporate image, institutional trust, and trust in online banking services. Similarly, the result of path-2 also reveals a positive and significant association between institutional trust and trust in online banking services. Finally, bias-corrected bootstrapping confirms that institutional trust plays a mediating role between corporate image and trust in online banking services in Iraq. This study has important theoretical and practical implications. It not only fills some of the gaps in the literature about trust in online banking services, particularly for Iraq but it also reinforces to policy-makers that institutional trust is an important factor in promoting customers’ trust in financial services

Modeling employees' skills for sustainable banking services

In Bangladesh, more clarity is needed on data that could contribute to the provision of sustainable banking services. Therefore, the qualitative exploration of bank employees' skills to advance contemporary banking careers and services has been rational. Moreover, limited knowledge of what constitutes a sustainable banking career and service inspires this study to adapt to the new normal post-COVID-19. Fifteen experienced employees from the banking industry participated in the interview to accomplish the research. The results from content data analysis showed that technical skills may vary from department to department based on employees' job responsibilities. However, the employee skills are more or less similar for different banks. The results further showed that the banking sector emphasizes the need for honesty from banks' employees, as they maintain a large amount of cash and other types of assets in their vaults. Additionally, the research participants expressed their sentiments regarding other skills, such as patience, smartness, and technological expertise. These skills are needed to carry out the day-to-day operations and achieve high customer satisfaction. Therefore, the study recommends that banks focus on creating an employee base with the skills found in the investigation to develop banking services

The Relationship between CEO Characteristics and Financial Bank Performance: Empirical Evidence from Iraq

This paper examines the link between financial bank performance and Chief Executive Officer (CEO) characteristics by the use of an unbalanced panel of 27 banks from 2005 to 2014 in lraq. This study is estimated by using the panel fixed effects approach. CEO characteristics variables are represented by CEO tenure, CEO education and CEO ownership. Return on Equity (ROE) is used to measure the bank financial performance. The findings of this study show that CEOs equipped with high qualification and high share ownership lead to better performance of Iraqi banks. However, CEO tenure has no significant impact on bank financial performance in Iraq. Collectively, the results of this study suggest that banks seeking some improvement in their financial performance should recruit CEO who has high qualification and high share ownership. This study contributes to the existing literature of the upper echelon theory and the determinants of financial banks' performance. Firstly, to the author's best knowledge, this study is considered as the first study of its kind to test effects of CEO characteristics on the financial bank performance in Iraq. Secondly, to the author's best knowledge, this study is considered as the first study of its kind to test effects of CEO education in developing countries. Thirdly, the authors attempt to classify the CEO in accordance with the educational background into two groups for comparing the effects of CEO characteristics on banks' performance. The findings of this study will till the literature gap of the association between CEO characteristics and banks' performance as demonstrated by the Upper Echelon Theory and Agency Theory