Page 1 of 21

Journal for Studies in Management and Planning

Available at

http://edupediapublications.org/journals/index.php/JSMaP/

ISSN: 2395-0463

Volume 03 Issue 11

October 2017

Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 21

ICT and Development of Human-Capital on Performance of Nigerian Deposit Money

Banks

Nwakoby Nkiru Peace,

Department of Business Administration,

Nnamdi Azikiwe University, Awka

Ajike Ada Kalu

Department of Business Administration,

University of Nigeria, Enugu Campus

Abstract: This study is to explore the critical need of ICT in development of human-capital with regard to

the performance of Nigerian deposit money banks. Specifically, this paper seeks to: ascertain the extent at

which ICT has significantly contributes to human capital development in Nigerian deposit money banks

and determine the effect of ICT on efficient performance of human capital development in Nigerian

deposit money banks. Survey research was adopted for the study. The population of the study consists

of the staff three selected commercial banks situated in Onitsha metropolis. The total population is 62

staff. Data obtained from questionnaire administered and hypotheses formulated were presented in

tabular form and analyzed using five point likert‟s scale. The hypotheses formulated for this study were

tested with one sample t-test statistics with aid of SPSS version 20.0 software to arrive at a logical

conclusion. Based on this, the study found that ICT has significantly contributes to human capital

development as well contributes to the efficiency performance of human capital in Nigerian deposit

money banks. The study therefore recommended among others that Nigerian bank should emphasis more

on motivational policies that will enhance productivity of their staff after engaging them on the basic ICT

training and development exercise.

Key words: ICT, Human Capital Development and Nigerian deposit money banks

Introduction

Information and communication

technologies played a significant role in

redefining social relations, facilitating the

linkage between individuals, groups and

institutions across the globe. Vast swathes

of human populations, divided along ethno- cultural and geographical lines, have been

united in an intriguing interconnectedness

enabled by ICT tools. Increasingly, too,

ICTs are becoming more affordable to

those Collier in Spence and Smith (2009)

tag the “bottom billion” or “next billion‟ or

“bottom of the pyramid”, thus empowering

the world‟s poorest and offering them, at

the same time, massive opportunities and

possibilities that were considered mere

Shangri-la many years ago. ICTs through

globalization or globalization through ICTs

have continued to drive human civilization

by the scruff. A corollary of the hegemonic

posture of ICTs in the global society is

typified by the patent dependence of the

social structure on technology.

Page 2 of 21

Journal for Studies in Management and Planning

Available at

http://edupediapublications.org/journals/index.php/JSMaP/

ISSN: 2395-0463

Volume 03 Issue 11

October 2017

Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 22

Information and communication

technology (ICT) offers the promise of

fundamentally changing the lives of much

of the world‟s population. In its various

forms, ICT affects many of the processes of

government and business, how individuals

live, work and interact, and the quality of

the natural and built environment. The

development of internationally comparable

ICT statistics is essential for governments

to be able to adequately design, implement,

monitor and evaluate ICT policies

(Madueme, 2010). Information and

Communication Technology (ICT) has now

been accepted as one of the main driving

force behind organizational

competitiveness in the present day business

environment. Presently, ICT is having

dramatic influence on almost all areas of

human activities and one of the areas of

economic activities in which this influence

is most manifest is the banking sector. The

banking industry is one of the critical

sectors of the economy which makes

invaluable contributions to the pace of

economic growth and development of

nations (Ajayi, 2003; Madueme, 2010).

Nigeria is endowed with abundant natural

and human resources. It is expected that

with such abundance of natural and human

capital resources, Nigeria would have

become a prominent figure among the most

industrialized nations in the world. Sadly,

the situation appears to be the reverse.

Nigeria continues to wallow in economic

under-development and technological

backwardness.

Efforts in the past which attempted to

reverse this trend were unsuccessful

primarily because Nigeria has an economic

system which suffers from a plethora of

deficiencies. Prominent among these is the

relegation of human capital to a secondary

role in the production process. Beginning

with the four National Development Plans,

through Austerity Measure, Structural

Adjustment Programme (SAP), the vision

2010 (later shifted to 2020), to the present

political leaderships Seven Point Agenda,

the various administrations failed to nurture

economic growth and development through

clearly defined human capital development

strategies to evolve competitive market- oriented economy. Most developing nations

including Nigeria have embarked on

various reforms that foster the use of ICTs

in their economies. These reforms tend to

yield little or minimal benefits to economic

growth and development, especially when

compared with the developed countries of

the world. Technological advancement is

known to impact fast rate of economic

Page 3 of 21

Journal for Studies in Management and Planning

Available at

http://edupediapublications.org/journals/index.php/JSMaP/

ISSN: 2395-0463

Volume 03 Issue 11

October 2017

Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 23

development. In Nigeria, policy on

adoption of Information and

Communication Technologies was initiated

in 1999, when the civilian regime came into

power of government. The operations of

the licensed telecommunication service

providers in the country has created some

well-felt macroeconomic effects in terms of

job creation, faster delivery services,

reduced transport costs, greater security and

higher national output (Emmanuel &

Adebayo, 2011).

Attempts to ensure sustainable economic

development and poverty reduction of most

nations usually involve the development of

agriculture, mining, industrial as well as the

service sectors. The Industrial Revolutions

in Europe and America, generally and

specifically, have been premised on

technological breakthroughs. During the

late 1990s, Information and

Communication Technology (ICT) was the

largest contributor to growth within capital

services for both Canada and the United

States (Harchaoui, 2002). Similar trend has

been observed with the economic

development of China, Korea, Taiwan,

India, South Africa, and other emerging

economic powers (Fuss & Waverman,

2005). In Nigeria, provision of public

infrastructure is grossly inadequate and

poor.

Past studies on the developing economy

have bothered on the challenges and roles of

ICTs on economic growth (Carayamis and

Popescu, 2005; Ndukwe, 2003, 2004; Igwe,

2005), hence Nigeria, the giant of Africa‟ is

faced with the intimidating and

overwhelming challenge of developing her

human capital. Developing countries spend

much less on ICT. So far, however, there

have been very little empirical studies for

the developing countries in this field.

However, similar to studies in developing

countries, a major conclusion is that ICT

will not be productively utilized without

changes in the structure, organization and

business models of firms and without

improvement in ICT skills of the labor force,

nor without institutional or regulatory

change. In the light of the above, this study

set out to determine the impact of ICT on

human capital development in financial

institution.

This study explores the critical need of ICT

in development of human-capital with

regard to the performance of Nigerian

deposit money banks. Specifically, this

paper seeks to: