The Role of Information Technology in Customers’ Service Delivery and Firm Performance: Evidence from Nigeria’s Insurance Industry

  •  Adekunle Idris    
  •  Tajudeen Olumoko    
  •  Sunday Ajemunigbohun    


Information technology is crucial for a communication based process. Therefore, this study presents an
investigation of the significant role of information technology in customer service delivery and firm performance
in selected insurance companies in Nigeria. Specifically, three hypotheses were tested. They are to determine
whether: (i) customers are not aware of the availability of IT facilities in their dealings with the Nigerian insurance
companies; (ii) the use of IT does not enhance the performance efficiency of insurance organizations in Nigeria;
and (iii) providing quality customer service delivery will not enhance organizational performance of insurance
companies. The survey research design for the study was a cross examination. The study sample consisted of 112
participants made up of IT managers, marketing managers, and underwriting managers drawn from 25 insurance
companies which were randomly selected from the directory of member companies. One-sample T-test and simple
frequency percentage tables were used for data analysis. The study revealed that most customers hardly use online
services in their engagement with the Nigerian insurance companies even with the level of awareness created
which depicts a low level business relationship. Thus, many of the insurance organizations indicated that they
experienced high performance efficiency in their investment in and adoption of information technology. This study
recommends that insurance administrators and regulators at all levels should gather relevant information as regards
factors that may assist in contributing meaningfully to the usefulness of IT in effective service delivery. They
should also undertake optimal investment in IT, provide quality service delivery to customers and regularly
evaluate IT usage in every department of insurance organizations in Nigeria in order to take appropriate strategic
decisions capable of enhancing firm performance.

This work is licensed under a Creative Commons Attribution 4.0 License.
  • ISSN(Print): 1918-719X
  • ISSN(Online): 1918-7203
  • Started: 2009
  • Frequency: quarterly

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