Does Organizational Capabilities Mediate the Relationship between E-Business Adoption and Organizational Balanced Scorecard Performance? Evidence from Fintech Companies in Nigeria

Abstract

There is no doubt that the emergence and continual adoption of e-business has profoundly improve both financial and non-financial performance indicators of many organizations, yet, the role of organizational capabilities has been grossly undermined in the literature. This study is motivated to empirically investigate the mediation of organizational capabilities in the relationship between e-business adoption and organizational balanced scorecard performance in the Fintech Companies in Nigeria.  A cross-sectional survey was employed to administer 205 Chief Executive Officers (CEO) in the Fintech sector but only 202 questionnaires were analyzed. The data were tested and estimated using Confirmatory Factor Analysis (CFA) and Mediation Linear Regression analysis through Statistical Packages for Social Sciences (SPSS) software. Findings from the four hypotheses tested reveal that e-business adoption directly influences organizational balanced scorecard performance and e-business adoption has the highest multiplier impact on learning and growth than other dimensional impacts of balanced scorecard performance. Furthermore, this study reveals that organizational capabilities partially mediate the relationship between e-business adoption and organizational balanced scorecard performance in the Fintech companies in Nigeria. Going forward, the management should not only intensify on the adoption of e-business but effectively optimize e-business adoption to enhance organizational financial performance and also invest massively in all organizational capabilities dimensions to reduce the mediating effect in the relationship between e-business adoption and organizational balanced scorecard performance in the Fintech Companies in Nigeria.