Arbitration chambers and trust in technology provider: Impacts of trust in technology intermediated dispute resolution proceedings

The feasibility of online dispute resolution in the Islamic banking industry in Malaysia

International Journal of Law and Management ◽

10.1108/ijlma-06-2016-0057 ◽

2018 ◽

Vol 60 (1) ◽

pp. 34-54

Author(s):

Umar A. Oseni ◽

Abideen Adeyemi Adewale ◽

Sodiq O. Omoola

Keyword(s):

Dispute Resolution ◽

Banking Industry ◽

Retail Banking ◽

Behavioural Intention ◽

Islamic Banking ◽

Intention To Use ◽

Legal Basis ◽

Content Type ◽

Online Dispute Resolution ◽

Trust In Technology

Purpose The paper aims to examine the perceptions of three major stakeholders – bankers, lawyers and customers – in the Islamic banking industry in Malaysia to assess their behavioural intention to use the proposed online dispute resolution (ODR) mechanism. Design/methodology/approach The study modifies the unified theory of acceptance and use of technology (UTAUT) within the context of ODR and its feasibility in the Malaysian Islamic banking industry. The model was extended to include trust in technology and trust in bank, which might have significant influences on the intentions of major stakeholders to use ODR for banking-related disputes. Actual use of the ODR was not included in the model as specified in the original UTAUT. Based on an internet survey, responses were obtained from about 109 respondents. The data obtained were subjected to multivariate statistical analyses. Findings Results obtained indicate that trust in technology and effort expectancy are the most influencing determinants of the behavioural intention to use ODR among stakeholders in the Islamic banking industry in Malaysia. However, performance expectancy and social influence did not produce significant effects on behavioural intention. Research limitations/implications Applying ODR in the banking industry in Malaysia will contribute to sustainable banking businesses in major Islamic finance jurisdictions. Being the most advanced region in global Islamic banking business, Asia sets the pace through theoretical and empirical studies in exploring innovative ideals such as ODR to promote sustainable business that not only ensures proper customer relationship management but also promotes consume protection. Practical implications Results obtained suggest that the increasing use of internet banking will make ODR the preferable mechanism for dispute resolution in small-scale disputes in retail banking. This will also require some form of predictability, enforceability and Shari‘ah compliance in the process of dispute resolution for the major stakeholders to have full confidence in the ODR mechanism. The recently introduced Financial Ombudsman Scheme in the Islamic Financial Services Act 2013 of Malaysia is expected to serve as a good legal basis for the ODR mechanism. Originality/value This appears to be one of the earliest attempts to examine the application of ODR in resolving Islamic banking disputes with a detailed analysis on its legal basis and implication.

Download Full-text

Mediation and Its Applications for Good Decision Making and Dispute Resolution

10.1017/9781780687568 ◽

2016 ◽

Cited By ~ 1

Author(s):

Menkel-Meadow Carrie

Keyword(s):

Decision Making ◽

Dispute Resolution ◽

Good Decision

Download Full-text

Consumer Financial Dispute Resolution in a Comparative Context

10.1017/cbo9781139236829 ◽

2013 ◽

Cited By ~ 1

Author(s):

Shahla F. Ali

Keyword(s):

Dispute Resolution

Download Full-text

Trust in Management Information Systems (MIS)

Zeitschrift für Arbeits- und Organisationspsychologie A&O ◽

10.1026/0932-4089/a000306 ◽

2020 ◽

Vol 64 (1) ◽

pp. 6-16 ◽

Cited By ~ 5

Author(s):

Sarah M. Meeßen ◽

Meinald T. Thielsch ◽

Guido Hertel

Keyword(s):

Information Systems ◽

Information Overload ◽

Management Information Systems ◽

Empirical Work ◽

Future Research ◽

Management Information ◽

Trust In Management ◽

Actual Use ◽

Trust In Technology ◽

The Internet Of Things

Abstract. Digitalization, enhanced storage capacities, and the Internet of Things increase the volume of data in modern organizations. To process and make use of these data and to avoid information overload, management information systems (MIS) are introduced that collect, process, and analyze relevant data. However, a precondition for the application of MIS is that users trust them. Extending accounts of trust in automation and trust in technology, we introduce a new model of trust in MIS that addresses the conceptual ambiguities of existing conceptualizations of trust and integrates initial empirical work in this field. In doing so, we differentiate between perceived trustworthiness of an MIS, experienced trust in an MIS, intentions to use an MIS, and actual use of an MIS. Moreover, we consider users’ perceived risks and contextual factors (e. g., autonomy at work) as moderators. The introduced model offers guidelines for future research and initial suggestions to foster trust-based MIS use.

Download Full-text