Evaluation of E-Banking Systems with Analytic Hierarchy Process Model

E-banking systems streamlines business processes and individual lives. A proper E-banking system helps to drive the economy of a country. However, there are several determinants that may affect customers’ adoption on the E-banking system. Since this is a multi-criteria decision-making problem, analytic hierarchy process (AHP) is used to study the adoption of E-banking among consumers in Malaysia. Risk, convenience, and accessibility are the three most important decision criteria influencing the adoption of E-banking in Malaysia, with weights of 0.2988, 0.2894, and 0.1927. Among the sub-criteria, all-day availability (0.1604), system security (0.1343), ease of understanding (0.1147), function coverage (0.0974), and privacy and confidentiality (0.0967) are the top determinants on the adoption of E-banking in Malaysia. Mobile banking has the highest local weights in terms of service fulfilment (0.4438), risk (0.4227), accessibility (0.4840), convenience (0.5554), and user interface (0.4812). Mobile banking is thus the most preferred E-banking system with regards to all the decision criteria with a global weight of 0.4800. This paper helps the government and banks to identify the most impactful main criteria and sub-criteria to help them improve on the E-banking system to increase customer adoption.