Exploring the barriers and organizational values of blockchain adoption in the banking industry

Abstract

Purpose

This study intends to extend the literature on IT business value by unveiling the organizational values and hindrances of blockchain adoption in the banking industry.

Design

The study incorporated a mixed-method qualitative analysis composed of semi-structured interviews (15 experts), a two-panels Delphi study (26 & 20 experts), and a systematic literature review of 35 papers about blockchain adoption. In total, 65 experts from Europe, Asia, and the Middle East working in the banking industry participated in our study.

Findings

The Delphi study ended up in a list of 25 organizational values and 20 barriers. The values were classified into four main categories: business, strategy, operation, and knowledge management, while the barriers were classified into three main categories: technological, organizational, and environmental. The study shows that the most critical organizational values of blockchain in the banking industry are related to business operations. It will increase the transparency, traceability, and trustworthiness of business processes. The least essential organizational values of blockchain are related to the business strategy domain: flexible business models, the flexibility of compliance to regulations, and certain ROI. The study shows that the most critical barriers to extracting value from blockchain in the industry are organizational and environmental, lack of understanding by top managers, compliance and regulatory requirements, and marketing noise.

Value

Theoretically, this study will extend the literature on blockchain business value, and practically it can provide insights for managers regarding mechanisms to maximize value from the blockchain. We recommended some future studies as well.