The role of artificial intelligence in achieving financial performance using the balanced scorecard for Jordanian banks (An analytical study from the point of view of bank employees)

Abstract

The purpose of this study was to demonstrate the role of artificial intelligence (AI) in improving financial performance using the Balanced Scorecard (BSC) for Jordanian commercial banks, especially considering its diverse applications in various aspects of life, including the banking sector. The study followed a descriptive-analytical approach, selecting a random sample and utilizing a questionnaire as the data collection tool. After determining the study population size, which amounted to 66, the questionnaires were distributed to the sample, consisting of 56 participants, with 52 valid responses retrieved for analysis, representing 92.85% of the distributed sample among employees of Jordanian commercial banks.

      The study revealed several findings, including the prevailing trend among Jordanian commercial banks towards using
AI applications in line with technological advancements. Additionally, the results indicated a statistically significant positive impact of AI utilization on financial performance using the BSC. Furthermore, a positive correlation was observed between AI, represented by its dimensions, and the Balanced Scorecard, albeit with a very weak impact, as evident from the probability values, which varied across dimensions: Computer Vision (28.1%), Machine Learning (59.1%), Prediction (3.1%), and Natural Language Processing (57.4%), with relative differences among these dimensions.

      The study's key recommendations emphasized the necessity for Jordanian commercial banks to diligently work on developing their banking system by expanding the use of AI applications. Additionally, banks in general, and commercial banks in particular, are urged to prioritize training employees on the latest AI technologies and applications. Finally, the study recommended conducting further research to explore additional variables not yet studied, such as the role of AI in reducing loan default rates for commercial banks and utilizing other dimensions of artificial intelligence.