An approach and model for assessing the business value of e-banking distribution channels: Evaluation as communication

The reluctance of information systems practitioners to adopt recommendations of evaluation methods and techniques is a sobering realization. One possible explanation is that they do not accommodate changing perceptions of what constitutes system-derived business value whose assessment requires richer evaluation approaches than mono-dimensional cost-benefit analyses. This paper reports a study that was undertaken in a bank faced with the challenge of assessing the value of its main e-banking channel in operation. Arguing that the evaluation of an information system should be seen as a form of communication, we describe the approach and evaluation model that was created and applied. The model employs five different perspectives each having its own set of metrics. These can be used to assess the business value along two viewpoints: (a) the internal view, where the channel is considered as a resource whose utilization must be maximized; and (b) the external view, where the channel as an interface to the bank's customer base should enable and support customer relationship management.