Dissertation chapter1 and chapter 4 sample

FINANCIAL INNOVATION IN EUROPE AND
ASIA:A COMPARATIVE STUDY

Table of Contents
CHAPTER 1: INTRODUCTION ................................................................................................... 5
1.2 Research Background: .......................................................................................................... 5
1.3 Research Aim and objectives................................................................................................ 6
1.3.1 Research Aim................................................................................................................. 6
1.3.2 Research Objectives:...................................................................................................... 6
1.4 Scope and Significance of the Research ................................................................................... 6
1.5 Rationale for the chosen topic................................................................................................... 7
1.6 Dissertation Structure................................................................................................................ 7
Chapter -2: Literature Review........................................................Error! Bookmark not defined.
2.1Financial innovation..............................................................Error! Bookmark not defined.
2.2 Technology revolution and its limit .....................................Error! Bookmark not defined.
2.3 Security and fraud cases occurred in the banks in past decades due to inappropriate
security system...........................................................................Error! Bookmark not defined.
2.4 Role of Biometric in banking sector ....................................Error! Bookmark not defined.
2.5 Use of Biometric in E-banking system ................................Error! Bookmark not defined.
2.6 Benefits of Biometric in banking and financial institution..Error! Bookmark not defined.
2.7 Opportunities generate for Implementation of Biometrics Based Programs in Asia and
Europe ........................................................................................Error! Bookmark not defined.
2.8 Risk associated with biometric authentication system.........Error! Bookmark not defined.
2.9 Future strategies for biometrics innovations in the banking institutions in the regions of
Asia and Europe.........................................................................Error! Bookmark not defined.
CHAPTER: 3 RESEARCH METHODOLOGY ...........................Error! Bookmark not defined.
3.1 Introduction..........................................................................Error! Bookmark not defined.
3.2 Research Philosophies .........................................................Error! Bookmark not defined.
3.3 Purpose of Research.............................................................Error! Bookmark not defined.

3.4 Types of Research................................................................Error! Bookmark not defined.
3.5 Research Process and Design...............................................Error! Bookmark not defined.
3.6 Methods of Data Collections ...............................................Error! Bookmark not defined.
3.7 Sampling Techniques...........................................................Error! Bookmark not defined.
3.8 Research Ethics....................................................................Error! Bookmark not defined.
3.9 Reliability and Validity........................................................Error! Bookmark not defined.
CHAPTER 4 DATA ANALYSIS .................................................................................................. 9
Introduction................................................................................................................................. 9
Thematic Analysis of Primary Data............................................................................................ 9
Theme Categorization................................................................................................................. 9
Themes and their Analysis........................................................................................................ 10
CHAPTER 5 ..................................................................................Error! Bookmark not defined.
RESULTS AND DISCUSSION ....................................................Error! Bookmark not defined.
5.2 Cross reference with theory & practice................................Error! Bookmark not defined.
5.3 Research gap ........................................................................Error! Bookmark not defined.
5.4 Researchers contribution to filling up the gaps....................Error! Bookmark not defined.
5.5 Conclusion ...........................................................................Error! Bookmark not defined.
CHAPTER 6 ..................................................................................Error! Bookmark not defined.
CONCLUSION AND RECOMMENDATIONS ..........................Error! Bookmark not defined.
6.2 Achievement of Objectives..................................................Error! Bookmark not defined.
6.3 Recommendations................................................................Error! Bookmark not defined.
CHAPTER- 7.................................................................................Error! Bookmark not defined.
PERSONAL DEVELOPMENT ....................................................Error! Bookmark not defined.

7.2 Skills currently possessed by the researcher........................Error! Bookmark not defined.
7.3 Skills that I able to garner from the dissertation ..................Error! Bookmark not defined.
REFERENCES ............................................................................................................................. 19
Appendix....................................................................................................................................... 23

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CHAPTER 1: INTRODUCTION
Security of the money related information remains concern toward the financial
organizations everywhere throughout the world furthermore in Asia and Europe. Biometrics in
banking exhibit a reasonable and imaginative secure technique for managing an account that can
possibly ensure the information of the financial institutions and that of the clients.
It is shocking to find that about a large portion of the world's populace does not have a bank
account (Digitalpersona, 2014). Biometrics displays an extraordinary opportunity for banks to
tap this opportunity and permit clients to work their ledgers utilizing biometrics. Biometrics
engineering gives a more secure and precise innovation for the issue of the bank credit and check
cards that aide in the recognizable proof of the clients on the premise of their smart-id cards
biometrics information. The biometrics introduces a reasonable and basic engineering for the
bank enrolment and keeps the shots of any false action (Digitalpersona, 2014).
Biometrics innovation includes the checking of the fingerprints of the client or representative on
the enrolment that is trailed by the framework checking and matching for any copies to avoid
misrepresentation. The client or employee filtered fingerprints at the time of getting to
information and the framework naturally reports any suspicious action and creates the reports.
1.2 Research Background:
Financial innovation has played an instrumental role in improving the financial services all over
the world while bringing convenience to customers in different parts of the world. There are a lot
of differences in financial technology that is evident in the regions of Asia and that of the
Europe. Therefore, a research study is being conducted so as to analyze the differences in the
financial innovations that may exist between the regions of Asia and Europe.
The majorities of consumers in the Asia region are younger and have greater acceptance of new
technologies in the field of financial sector that motivates the banking institutions in these
regions to launch innovative products and services to cater to the demands of the changing
consumer preferences. The majorities of consumers in the European regions are mature and
therefore the financial institutions in these countries have a lesser orientation towards
innovations. An important factor that also affects the level of innovations in the regions of
Europe and Asia is the difference in the economic growth in these regions. The economies of
Asia region are still in the emerging stages and have considerable scope for growth and

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development. The economy of Europe on the other hand, is mature and stable in growth and
development.
Security of the financial data remains a concern for the financial institutions in the regions of
Asia and Europe. Some of the innovations in the banking industry include biometrics
technology, RFID technology for credit cards and mobile payments technology. The innovation
selected for the current study is biometric technology.
Biometric technology is a modern technology that allows security to the banking institutions to
detect fraud and theft. Biometrics is automated methods to recognize customers on the basis of
their biological characteristics such as fingerprints, retina, and iris and voice recognition patterns
(Trader, 2014).
1.3 Research Aim and objectives
1.3.1 Research Aim
The main aim of research is to identify and analyze the impact of biometric technology
innovations in the security and efficiency in the banking institutions in Asia and Europe
1.3.2 Research Objectives:
 To assess the importance of biometrics innovations in the banking institutions in Asia and
Europe regions.
 To identify the challenges and opportunities in the implementation of biometrics
innovations in banking institutions in Asia and Europe.
 To recommend future strategies for biometrics innovations in the banking institutions in
the regions of Asia and Europe.
1.4 Scope and Significance of the Research
The study will assess the importance of biometrics innovations in the banking institutions in Asia
and Europe regions and will identify the challenges and opportunities in the implementation of
biometrics innovations in banking institutions in Asia and Europe. As part of the study
recommendation will be given as what strategies could be followed by the banks in
implementing biometrics innovations.
This study will help in understanding the importance of Biometrics innovations in the security
and efficiency in the banking institutions in Asia and Europe. In the context that the technology
has evolved and the use of biometric applications have increased. It is important the banks gain a

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competitive edge by implementing a more secured security system which will help in gaining the
confidence of the consumers. Research findings will be useful for banks as well as future
researchers who wish to peruse further study on the topic.
1.5 Rationale for the chosen topic
Biometrics has been an answer to security issues spanning across industries like defense etc.
Biometrics can be used to solve the security issues faced by the consumers and Banks for
protecting the financial data. The solutions can vary from voice biometrics to face recognition
and can nearly provide security of accuracy level 99.9% (Cook, 2013). The biometrics is an
excellent and secure solution to provide secure financial transactions for the banking institutions.
Exploring the area would help in assessing the innovations in the field of biometrics in banking
institutions and assess the most efficient, secure convenient and reliable solutions for financial
security. The research subject is of importance in the context that security of transactions and
data is the major concern for the bankers and customers. The choice of comparison between Asia
and Europe was considered as Asia is the leader in innovations in the financial sector, according
to a research study released by Infosys (Ryan, 2013). The banks in Asia region, primarily deal
with customers that are comparatively younger in age and embrace new technology in
comparison to European banks where the median age of the consumers is around 40 years (Ryan,
2013). The comparison between the Asian and European banks will be done in terms of the
practices followed, technological innovation available and the challenges and opportunities in the
implementation of biometrics innovations
1.6 Dissertation Structure
There will be seven chapters in this dissertation. The dissertation will start with the
“Introduction” chapter. The chapter will focus upon the importance of the research topic and will
present the background and the context of the study. Research aims and objectives are also
presented in this report. This chapter will be followed by the “Literature Review”. The focus of
the chapter will be on past studies which are relevant to the research topic. Some of the
previously conducted study will be used as the base for conducting the research. Next chapter
will be the “Research Methodology” where the research methods and procedures used in the
study will be briefly discussed. The chapter also presents the justification for the research
methods selected for the study. The fourth chapter i.e. the “Data Analysis and Presentation” is

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the next and the important chapter of the dissertation. The data collected through the primary
and secondary research methods is analyzed in this section. The next i.e. the fifth chapter is the
“Results and discussions”. The results drawn from the data analysis conducted is present in this
section. The second last chapter of the report i.e. the sixth chapter will be the “Conclusions and
Recommendations”. The chapter will present a discussion on how the objectives undertaken for
research have been met. The conclusions drawn from the study are presented along with few
recommendations which will be useful of the readers. The seventh and the last chapter will be
the “Personal Development” where the researcher would discuss the contribution of research in
developing his personality.

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CHAPTER 4 DATA ANALYSIS
Introduction
Data analysis plays a very important role for achieving the objectives of the research and
it further helps in enhancing the overall quality of the dissertation undertaken. It is that part of a
study which involves aspects such as documentation, presentation and analysis of the primary
data collected from the 4 sample size to assess the biometrics innovations in the banking
institutions in Asia and Europe regions. This data collected will also help in supplementing
secondary data that have been looked after by the researcher considering different academic
literature and other works carried out by scholars and investigator regarding assess of biometrics
innovations in the banking institutions in Asia and Europe regions. Sample selected for the study
have been interviewed by researcher using Skype internet video technology and its findings are
presented in this chapter. Investigator in total has framed 12 questions to be asked to the
respondents considering various aspects with respect to biometric technology to be used in the
banking industry. Data was collected on this basis and on the basis of responses proper
categorization has been carried out, so as to carry out comprehensive thematic analysis.
Thematic Analysis of Primary Data
Thematic analysis is considered to be one of the qualitative analytic techniques used for
extracting and documenting patters concerning specific data collected for the study. It is one of
the method that helps researcher in organizing minimal data to be converted into rich information
that is further interpreted and deducted from the said data. Thematic analysis is all about dividing
collected data into various palpable themes. Theme is designed on the basis of some pertinent
component that is reflected in the collected data. These themes entirely depend upon the research
questions and represent some degree of a pattern with respect to recorded data. The rationale that
can be drawn out of thematic analysis is that it is one of the tool that helps investigator in
drawing out comprehensive idea with respect to data collected. However, this cannot be drawn
out of any other means of analysis. Even the flexibility of this technique helps in achieving the
research objective in a most effective manner and also increases the potential of the research.
Theme Categorization
Before categorization of theme researcher need to carry out through thorough analysis
process in this regard. Information collected through interviews from the respondents concerning

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various aspects with respect to biometric technology to be used in the banking industry.
Researcher in this respect has gone through responses many times, in order to develop a strong
understanding for developing appropriate themes for the collected data.
Themes and their Analysis
In this part researcher has carried out an analysis process concerning themes that has been
drawn out of views and opinions that has been detailed by four respondents who were
interviewed for achieving the objectives of the study. Author has also incorporated its
interpretation for the purpose of analysis. Themes have been drawn concerning a meaningful
structure and it is entirely based upon the perspectives of each respondent.
Theme: 1 Finger print authentication is mostly used biometric technology in financial
institution domain.
Respondent 1 Finger Print Authentication, Hand geometry,
voice verification and retinal scanning
Respondent 2 Finger Print Scanning
Respondent 3 Facial recognition, Signature verification, Key
stoke, Hand scan and Hand vein
Respondent 4 Iris, Retina scanning, Figure Print
Authentication, Hand Geometry, Hand vein
and Voice recognition
When bank managers of different countries were being asked about different biometric
technologies they used in banking domain then majority of the respondents turn out their
response in favor of using of finger print authentication. The reason of this preference for finger
print authentication was found to be as highly accurate and less time consuming by the
respondents i.e. bank managers. Following to finger print authentication, most of respondents
also admitted that hand geometry and retina scanning is also widely used biometric technology in
banking sector. In addition to this, bank managers also accepted that their banks use voice
verification and hand vein in order to provide better security customers with regard to monetary
transactions. Managers of banks believes that it is important to adopt biometric technology in

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the banking domain as it ensures security of money and other assets like gold to the customers
and this lead to increase in reputation of the bank in the minds of clientele.
Theme: 2 Biometric technologies is of significant importance for the banking as well as
overall financial industry
Respondent 1  Important for security of funds and
protection of confidential data and
assets
Respondent 2  Enhances overall performance of bank
 It reduces fraudulent activities.
Respondent 3  Gives more convenience to consumers
for doing of secure transactions.
 Biometric technology saves time of
consumer by facilitating quick access
or transactions.
Respondent 4  Highly good in securing money of
customers with utmost easy and
convenience.
In the above table, responses of respondents with respect to importance of biometric
technology can be seen that they considered biometric technology as the most important for
security related aspect. Majority of the respondents admitted that biometric technology facilitates
security of transaction i.e. funds and data or confidential information. In addition, bank managers
also turn out their response by stating that biometric technology proving to be as significant in
reducing or eliminating fraudulent activities. Following this response, bank mangers of Asian
countries also answered that biometric technology provides more convenience and ease of use
accessibility to the user or consumers. They answered that this technology is helping users in
reducing the burden related to carrying of plastic cards and remembering of their passwords for
doing of transactions at point of sale. So by seeing this aspect related to biometric technology,
the fact can be laid down that biometric technology has significant importance in banking sector.
Theme: 3 Biometric technology enabling banking firms to attain security of transaction and
data in a larger extent.

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Respondent 1  In India biometric technology is widely
used in banks.
 Yet more improvement is required.
Respondent 2  Biometric technology offers wide range
of features with respect to providing of
security of funds.
Respondent 3  Gives high security of banking
transaction to the users.
Respondent 4  Biometric technology facilitates greater
security in doing of financial
transaction by having good scanning
processing.
From the interview of bank managers of India and United Kingdom flooring information
related to biometric technology was deduced. By evaluating the responses of bank managers of
India and UK, it was found that biometric technology has widely been adopted in Indian banks
but still much improvement with respect to biometric technology is required in India. Bank
managers of Indian banks believed that sound development in biometric technology will provide
more security of financial data and transaction to the users as well as banks and this will help
banks in increasing their overall performance. Similarly, the bank managers of United Kingdom
banks also believed that biometric technologies proving to be highly prolific to the banking
institutions as it provides high security in doing of financial transaction. Further, the bank
managers also admitted that the scanning process which is used in biometric technology is very
effective as it eliminates the fraudulent activities. Further, bank managers also laid down the fact
they able to convince customers to use their banking services as their banks are capable enough
to provide enough security for financial transaction as well as other assets. So, by seeing this
aspect customers are building trust on their banks services.

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Theme 4: Retina scan is the most suited biometric technology that can be used within banking
industry
Respondent 1 Fingerprint recognition
Respondent 2 Retina scan and fingerprint
Respondent 3 Face recognition scan
Respondent 4 Retina scan
From the above response table it can be interpreted that respondents of India consider that
fingerprint scan will be one of the technique that can be deployed in the banking domain of the
country. On the other hand differences has been seen in the responses of UK respondents as they
responded face recognition and retina scan to be most suited biometric technology that can be
used within banking industry. From the analysis it can be said that financial innovation that can
be initiated in India in banks can be through incorporation of fingerprint scan. However, in UK
face recognition and retina scan has laid down greater focus towards acceptability of biometric
technology in the banks. Hence, in India the most acceptable biometric technology that can be
deployed in banking industry must be the fingerprint scan for the security of the funds of the
consumer. Even it is one of the techniques that is cheap and can be easily acceptable in the
banking domain of developing country. But UK being one of the developed economies can
deploy technology which has got high investment such as retina and face recognition.
Theme: 5 Finger print scanning is the most convenient security system biometric
technology
Respondent 1  Finger Print Recognition
Respondent 2  Finger Print Scan
Respondent 3  Finger print and voice recognition.
Respondent 4  Finger print recognition.
In the above table, it can be seen that majority of the respondents stated that finger print
recognition is one of the most convenient and best biometric technology which should be

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implemented in the banking institution. Bank managers of India see finger print scanning
biometric technology as the best because it is cheap in cost which can be executed in large
extent. Bank managers of Indian banks also believe that finger print scanning biometric
technology is comparative cheaper as compared to other biometric technology. In addition to that
bank managers of Indian banks also stated in their responses that finger print recognition is one
of its kind of biometric technology systems which requires very less space for storage as
compared to other biometric technology system. Similarly, the bank managers of United
Kingdom banking institution also highly believes that finger print scanning is one of the best
biometric technology which can be used successfully in banks as it is lower in cost and also
facilitates high security to the both service providers as well as the service users. Following to
finger print recognition, bank managers of United Kingdom also gives preference to voice
recognition biometric technology. They said voice recognition biometric technology is also
highly protective for service users or people for doing of financial transaction by using ATMs or
point of sales.
Theme 6: Cash withdrawal, fund transfer, cash deposit and mobile internet banking are
considered to be the most suitable place where biometric technique can be used within
banking industry.
Respondent 1 Withdrawing cash, fund transfer, cash deposit
or other banking operations
Respondent 2 Withdrawal, fund transfer, balance check for
customers.
Banks can use it in their mobile and internet
banking operations
Respondent 3 In point of sale activity and for verifying and
processing credit card transactions
Respondent 4 Mobile and Internet banking to perform
banking transactions such as checking the
balance in hand or fund transfer over the
telephone

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One of the interview question asked by the researcher was concerning the banking
channels where biometrics technique can prove to be most suitable. In this respect Indian
respondent stated that biometric can prove to be best in the area of withdrawal, fund transfer,
balance check for customers and banks can use it in their mobile and internet banking operations.
However, UK respondents indicated this aspect to be mobile and Internet banking to perform
banking transactions such as checking the balance in hand or fund transfer over the telephone.
The analysis indicates that in India biometric technique can be used in banking industry for
providing services to the customers with respect to withdrawing of their cash, transferring of
funds and for checking out their balance. But in this respect UK responses that it can be used in
banks for carrying out sale activity and for verifying and processing credit card transactions.
Even it can be used for carrying out banking transactions and for checking balance in hand
considering their bank accounts.
Theme 7: Retina scanning biometric technology should be used in ATMs
Respondent 1  Retina Scanning
Respondent 2  Finger Print Scanning
Respondent 3  Retina Scanning
Respondent 4  Voice verification.
In the above analysis, it was found that finger print recognition biometric technology
should be used in banking system as it is cheaper and also very convenient of using. However, in
the interview when respondents i.e. bank managers were being asked that what biometric
technology should be used or implemented in ATMs or point of sale then most of respondents
turn out their response by taking favor of retina scanning. So, it can be comprehend that majority
of the bank managers preferred to use or implement retina scanning in ATM’s in order to provide
high security of transaction and credential information to the service users. Following to retina
scanning preference, bank managers of Indian banks and United Kingdom banks also gave their
choice for finger print scanning and voice recognition. Bank manager said these biometric
technologies can be used along with retina scanning or can be used as alternative biometric

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technology for providing of security of transaction to the consumers. Further, in the analysis, it
was found that bank managers give preference to retina scanning because it cannot be replicated
or used by other individual.
Theme 8: Hand geometry biometric technologies should be used for authentication in
banking applications.
Respondent 1 Finger print technique
Respondent 2 Hand geometry
Respondent 3 Retina scanning technique
Respondent 4 Hand geometry technique
Researcher asked one of the questions to the respondents that which biometric
technologies should be used for authentication in banking applications. In this respect most of
the respondent indicated that hand geometry can be deployed within the banks for carrying out
the authentication process in banking applications. In both the countries this aspect is considered
to be effective to be placed in the banks. The analysis proves that hand geometry is considered to
be most authorized access and it can uniquely identify a user in a system in a proper manner.evn
it is one of the technique that is most developed to be used within the banking industry and easy
to use.
Theme: 9 Biometric technologies are now mature enough to be used in the banking domain
Respondent 1 It should be used in banking sector by seeing
the security aspect of financial transactions.
Respondent 2 Biometrics technologies are matured enough to
be used in banking industry
Respondent 3 Must need to use in the fast changing
technological environment.
Respondent 4 Biometric technologies are still in developing
phase. It needs much improvement.

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In interview, when respondents were being asked about whether do they believe
biometric technologies are mature enough to be implemented in the banking sector then majority
of the respondents answered that biometric technology has been developed in a larger level and
can be successfully used in banking industry. Bank managers also stated that the security and
protection which biometric technologies provide cannot be replaced by any other technologies.
From the evaluation, it was also identified that bank managers of United Kingdom also perceives
that biometric technologies is still in developing stage which require lot improvement in order to
provide sound security of transaction to the customers. So, some respondents think biometric
technology should be implemented in banking domain when it is in sound position to deal with
security related issues.
Theme: 10 Providing of security and ease of doing of financial transaction are the significant
benefits which banking institution can harnessed from biometric technologies
Respondent 1 Security
Respondent 2 Ease of doing transactions
Respondent 3 Easiness and convenience way of doing
financial transactions.
Respondent 4 Providing of security to consumer for doing of
financial transactions.
By doing analysis of the responses of bank managers of Indian banks and United
Kingdom Banks, it is found that the main benefits which banking institution derives from
biometric technologies are providing of secure and convenient way of financial transactions to
the consumers. In addition to that biometric technologies also help banks customers in
eliminating the risk of losing of credential information which are generally seen in doing of
financial transaction by using Plastic cash i.e. Debit or Credit Visa or Master Card.
Theme 11: Main barriers or limitations in the implementation of biometric technology in
banks.
Respondent 1 Acceptability and multifactor authentication

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Respondent 2 Failed to give accurate results
Fingerprint worn with hard labour work or age
Respondent 3 Privacy and confidentiality
Respondent 4 Financial literacy and lack of basic education
are prohibiting factors
One of the questions asked by the researcher was regarding main barriers or limitations in
the implementation of biometric technology in banks. In this respect respondents details varieties
of barriers that are associated with biometric technology. Indian responded that major barriers
are concerning the its acceptability and multifactor authentication by the consumer, failed to give
accurate results and fingerprint worn with hard labour work or age. However, UK responded
stated that privacy and confidentiality to be an important barrier in this regard and even financial
literacy and lack of basic education are prohibiting factors.
Theme 12: Stringent policies of government are the steps that bank officials should take in
order to overcome the limitations
Respondent 1 RBI and Bank should create a council to
identify and eliminate biometric loopholes
Respondent 2 Create an office of biometric at state and
district level
Respondent 3 Government and appoint technology experts
who are proficient in their core area
Respondent 4 Proper knowledge with respect to biometric
system must be communicated to each
individual consumer
From the above responses it has been seen that biometric limitations can only be avoided
if governments frames out proper policies in this regard. Proper strategies formulated by the
government officials in this regard will help in removing the barriers which come across the
implementation of biometric ion the banking industry.

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[Accessed on: 28 December 2014].

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October 2014].

23
APPENDIX
INTERVIEW QUESTIONNAIRE AND TRANSCRIPT
1. What are the different biometric technologies which are used in the banking
domain?
Respondent 1 (India):”In my opinion there are various banks who have been using biometric
techniques such as figure print authentication, hand geometry, voice verification and retinal
scanning etc.”
Respondent 2 (India): According to me, most of the banks are using finger print scan biometric
techniques because they are highly accurate as well as verification time is very less.
Respondent 1 (UK): As per opinion, banks are concentrating more on different biometric system
in banking applications such as facial recognition, signature verification, key stoke, hand scan
and hand vein techniques etc.
Respondent 2 (UK): I believed that banking sector has used various types of biometric
techniques to increase security and perform transaction efficiency in an appropriate manner.
Banks generally use iris, retina scanning, figure print authentication, hand geometry, hand vein
and voice recognition techniques.
2. How would you depict the importance of biometric technologies in banks?
Respondent 1 (India): “As per my view with an updating technology in the present era its
importance is increasing in every domain of business. Particularly with respect to banking it has
laid down a great importance with respect to security of funds of customer. Banking activities
can be performed in a more secured manner by both banks officials and consumers who are
undergoing such high tech technological use in their functioning. It protects personal data of
customer in a more effective manner.”
Respondent 2 (India): “Being in a financial industry for such a long period I believe that yes
biometrics has got some extra importance in the banking system. It is said to be one of the

24
approaches which is highly accurate and a system which has got wide range of deployment
environments. Biometric accuracy has enhanced his overall importance in the banking industry,
as it is very important to be secured while carrying out banking operations. If there will be any
lack of security then it can lead to huge loss to both banking institution and consumer. However,
such a system has reduced all fraudulent activities and enhanced the overall performance of
banking system”
Respondent 1 (UK):“In my opinion biometric technology has got great importance in the
banking industry. It enhance the performance of banking as individuals need not have to worry
about carrying plastic cards with them for withdrawing cash from their bank ATM. Biometric
technology has helped individuals to reduce their overall burden with respect to remembrance of
password that they need to keep in mind while operating ATM machine. However, use of
biometric technology has reduced such burden of consumer as their physical presence can help
them in carrying out transaction in a most easy and faster manner. Even it has reduced the time
in which banking transaction used to incur as it has fasten the overall speed with which banks
use to carry out their operations.”
Respondent 2 (UK): “Biometric technology innovation in banking industry has helped a lot in
securing the individual money in their accounts. In my opinion it is has laid down a lot of
importance because people do not need to remember their password for withdrawing cash from
their ATM accounts. Even it helps in reducing hacking of passwords by experts in the field which
can lead to greater financial loss to an individual. Many a times it has been seen observed that
many specialized hacker tracks password of ATM cards and withdraw entire cash laying down in
an account of an individual. Further, it becomes very difficult in tracing such kind of financial
loss by banks and consumers. However, innovation of such kind of technology has helped in
reducing such kinds of unethical activities and has protected the money of an individual in a
most secured manner”
3. To what extent do you feel biometric technology increases security in banking
domain?

25
Respondent 1 (India): “In India it is not seen that there is wide use of biometric technology in the
banking domain. But still I believe that there is lot of increased security which can be enhanced
by deploying such technology in the banking system. Even with the acceptance of modernized era
slowly the face of acceptability towards high tech technology in the area of banking industry has
began. This is because biometric technique has laid down positive image in the eyes of individual
customer of banks regarding its security benefits that it details to a banking institution for
protection against various financial data”
Respondent 2 (India): “As per my view this technological system has got wide variety of features
for protecting individual funds that are kept in the banks. Biometric technology lays down
security in which individual presence is very much important for carrying out any type of
transactions from banks, so it has got increased security in banking domain. If an individual with
a bank account will not be present then transactions cannot be carried out. It is because
biometric tool has got very unique security characteristic in which presence of bank account
holder is important for carrying out safe financial transaction”
Respondent 1 (UK):”As per my opinion biometric technology is a system which recognizes
individual body parts for carrying out any banking transaction. Hence, it has got significant
importance in the area of banking domain by keeping the security level to very high. System has
laid down very high security as in each transaction person need to go for thumb impression,
retina scan, and face or voice recognition. In each case presence of particular bank account
holder is necessary without that it is very difficult for any other member or relative to carry out
transaction on behalf of a particular person. It doesn’t function as per normal ATM password
number. This technology is very high tech and requires proper authentication of an person who
holds bank account in a particular banking institution”
Respondent 2 (UK):“Yes, I feel that biometric technology increases security in banking domain.
This is because this system has got varied features which an individual’s need to clear for
accessing any transaction from banking system. Proper scanning process is carried out by such
biometric tool for getting proper access to carry out financial transaction from bank. It is a high

26
security technology which has lay down great importance for financial transaction in a more
secured manner. Its proper use will enhance the overall performance of banks in the industry”
4. Which according to you is the most suited biometric technology for you? Why is it
the most suitable one?
Respondent 1 (India): “In my opinion fingerprint recognition will be the most suitable biometric
technique that can be initiated further in India, as people will be more comfortable in accepting
in this system. It has been seen that in a highly populated nation there are many individuals who
do not even have their bank accounts and are even illiterate to basic financial aspects that are
carried out in banks. Hence, I feel that finger print scan can be one of the most effective
biometric technologies that can be used by the banking institution for initiating security and
protection of transaction of person”
Respondent 2 (India):”As per me retina scan and fingerprint scan will be the most suited
biometric technology that can be use in the banking system. This is because it is difficult for
someone to trace retina scan for the purpose of hacking bank account. These are the biometric
technique which has got very unique characteristic as no individual can have similar retina and
finger print scan to be same. It is the reason why I believe that these are the most suited tools
that can be used within the banking industry. Even banks can go for face and voice recognition,
but these aspects have some defaults as face and voice of a person can be copied by various
experts in the field of this area. Hence, in my opinion retina scan and fingerprint scan are the
effective biometric technology that can be use in the banking system”
Respondent 1 (UK):”I believe that every individual biometric system has got their own unique
features. However, as per my view face recognition scan can be the best methods that can be
adopted in the banking domain.”
Respondent 2 (UK):”I feel that retina scan be the best biometric technique that can be used in
banking domain. It is because it can be the most secured way for carrying out banking
transaction as every individual has got their own unique retina. I believe that it is one of the

27
biometric techniques which has got very unique characteristic as no individual can have similar
retina scan to be same. This is the reason why I believe that it is one of the best innovative
technologies which mostly suits the requirement of banking industry.”
5. According to you, which biometric technology is most convenient in implementing a
biometric based security system?
Respondent 1 (India): “Finger print recognition can be the most convenient method that can be
implemented in India concerning biometric based security system. This is because it is cheap and
can be accepted easily in the banking industry of India. It is a system which is more economical
in terms of expenditure that banking industry will be requiring deploying at their various
branches.”
Respondent 2 (India): “For the implementation purpose I believe finger print scan will be most
convenient biometric based security system. It is because it is cheaper when compared with other
biometric technologies that are present in the market. It is also one of the system that requires
very less space concerning for the storage of data in the database of banking system”
Respondent 1 (UK): “As per my opinion both finger print and voice recognition can be the most
convenient method for implementing a biometric based security system. Both these techniques
are highly protective in terms of security for the protection of transaction that consumer carries
out while withdrawing or transferring cash from the bank”
Respondent 2 (UK):“According to me the most appropriate biometric based security system that
can be implemented in the banking system can be finger print recognition. It is one of the easiest
and cheapest techniques that can be deployed while carrying out the financial transaction by
consumer”
6. In which banking channels can the biometrics prove to be most suitable?
Respondent 1 (India): “According to my point of view, biometric technique is most suitable in
Branch and ATM banking sector in terms of successful implementation of various banking
operations such as withdraw cash, fund transfer, cash deposit or other banking operations in a

28
significant manner. With the help of biometric technology this process has become very easy for
an individual to carry out their transaction from anywhere and at any time”.
Respondent 2 (India): “As per my view biometric technique can be in used in a banking channel
in order to facilitate customers for cash withdrawal, fund transfer, balance check for customers
etc. I feel that banks can use it in their mobile and internet banking operations. These are some
of the features that can be used by individuals with the help of biometric technology in different
channels of their banking operations”.
Respondent 1 (UK): “As per my opinion banks can use biometric in point of sale activity and for
verifying and processing credit card transactions in an appropriate manner. These are some of
the channel which I believe were biometric can be used in the banking industry. Further, even
biometric technique utilization can be made effective in banks as it can help in saving cost which
banks need to incur on paper transaction and eliminates password frustration of customers etc”.
Respondent 2 (UK): “According to me, biometric technique will be beneficial for banks in
mobile and Internet banking to perform banking transactions such as checking the balance in
hand or fund transfer over the telephone etc. With the help of biometric all these activities can be
carried out in a most effective manner. Even it helps in reducing manual transactions that banks
need to incur while recording transactions. However, using biometric will help in reducing all
these manual transaction and all activities be done by this system automatically”.
7. While using an ATM, which biometric technology should be implemented?
Respondent 1 (India): “Retina scanning biometric technique should be implemented because in
this precautions have to been taken with retina scans to be sure that user is a living human
being. It is a one of the best technique innovated in biometric as every individual has got a
unique retina identity which helps in enhanced security that an individual can lay down towards
banking transactions. In this system presence of an individual will be needed as transactions
cannot take place if a person with a bank account will not be present at that point of time.

29
Respondent 2 (India): “Finger print should be used because it is the most economical biometric
PC user authentication technique. It is the technique which is mostly considered reliable as there
is no high authentication or precaution required for implementation of such biometric technique.
Even it is considered less complicated when compared with other biometric tools that are used in
the market. Even it is one of the systems that require very small storage space for template and
database storage. Hence, in my opinion I will consider this biometric technique to be more
efficient in all terms with respect cost, storage and effectiveness while using ATM.”
Respondent 1 (UK): “According to my point of view, retina scanning will be beneficial for banks
ATM because it is the most accurate physical biometric available today since there is no known
way to replicate a retina. It even reduces the risk of error that can take place as no other
individual can have an identical retina as a human being. Even it reduces the amount of time
that a person need to incur for carrying out banking transaction as scan of retina take place
within few seconds. As per my opinion it is one of the added advantage that this biometric
carries while performing functioning in banking domain.”
Respondent 2 (UK): “As per my opinion, voice verification technique should be deployed in
banking sector because it recognizes voice of an individual and on that basis banking
transactions will be executed in secure manner. Even it forms a very good security aspects while
withdrawing cash from ATM, as every human individual has got high and low frequency pitch
while the speak anything.”
8. Which biometric technologies should be used for authentication in banking
applications?
Respondent 1 (India): “According to me, figure print technique should be used in banking
applications because it is one of the most developed biometrics and easy to use.”
Respondent 2 (India): “Hand geometry should be used because it concerned with measuring the
physical characteristics of the customer hand and fingers. It is associated most commonly with
authorized access and it can uniquely identify a user in a system in a proper manner.”

30
Respondent 1 (UK): “As per my perception, retina scanning technique can be employed in banks
because it emphasized on to identify the unique patterns of the retina of the customers. It is an
appropriate tool to conduct financial transactions in every hour a day and in any location,
through a website in a secure way.”
Respondent 2 (UK): “According my opinion, hand geometry technique should be used by bank to
overcome financial transactions and identity related thefts in a appropriate way. Banks can
easily it can be easily integrated this biometric device into other devices or systems in a
systematic manner.”
9. Are the biometric technologies mature enough to be used in the banking
application?
Respondent 1 (India): “I agree with the fact that with development of biometric techniques it is
enough to be used in various banking applications such as branch, ATM and POS banking etc.”
.
Respondent 2 (India): “According to me, biometric techniques used in banking applications are
enough mature as compared to other traditional techniques because it emphasized on security
and transparency concerned.”
Respondent 1 (UK): “As per opinion, in global era, technology is changing with pace and in
such kind of situation, it is essentials for banks to fulfil needs of techno-savvy customers and
provide safety on their banking transactions.”
Respondent 2 (UK): “According to me, biometric techniques are in development phase some
improvements are still required to deploy biometric techniques in various banking applications
in a secure manner.”
10. Could you please sum up the main benefits of biometric technology utilization in
banks?
Respondent 1 (India): “The main benefits of biometric techniques are to make secure banking
transactions such as withdraw cash, fund transfer, cash deposit or other banking operations in a

31
significant manner. These all activities can be performed easily using biometric technology in
banking domain. Even it reduces the manual transaction that banks need to incur. This system
records all transactions automatically concerning specific requirement without any error or
mistake. Further, even I believed that biometric techniques, help Banks and Financial
institutions to protect their reputations and to build and maintain authenticate public trust. It is
because if proper security will be given by banks to the hardcore funds earned by an individual
then it is automatically going to enhance the reputation of such banking institution.”
Respondent 2 (India): “As per my opinion, voice recognition biometric technique will be
beneficial for banks in order to secure point of sale delivery that allows customers or banks to
automatic transfer of the purchased amount from the customer’s account to the vendor’s account
in a secure and quick manner.”
Respondent 1 (UK): “According to me, finger print biometric tool will be helpful for banks
because it provides various facilities to customer to perform banking transactions such as
checking the balance in hand or fund transfer over the telephone in an appropriate manner. It
enhances the performance of carrying out a transaction as remembering a password for
accessing account sometimes become very sophisticated for some individuals. However, with the
help of finger print biometric tool remembrance of such passwords gets avoided and it enhances
the overall performance of banking transactions. “
Respondent 2 (UK): “I feel that biometric techniques will be beneficial for banks because it
provides higher security protection for customers to execute their day to day banking transaction
in stipulated time without any interruption or security thefts. It is one of the secured banking
system and benefit that biometric technique carries while performing customer transactions. I
personally believe that innovation of such system has enhanced the banking performance in a
much better way by protecting the banking transaction of individuals in a more secured form. “
11. What according to you are the main barriers or limitations in the implementation of
biometric technology in banks?

32
Respondent 1 (India): “According to me, depends on user acceptability and multifactor
authentication sometimes can create big issue for implementation of biometric. I feel that the
lack of knowledge and understanding of possible benefits and drawbacks of biometric techniques
in banking sector is major barriers while implementing biometric in banking sector.”
Respondent 2 (India): “As per my opinion, voice and figure print techniques have still some
improvements needed because in some situations biometric is failed to give accurate results such
as Voices became weak due to of illness and fingerprint worn with hard labour work or age.
Apart from it, available standards and legislation of country negatively affect adoption of
biometric techniques in banking services.”
Respondent 1 (UK): “According to my opinion, there is some risk associated with privacy and
confidentiality if biometric signature gets stolen or misused as well as matter of security &
privacy has influence in using Biometric services. I recognized that some health conscious
people are against to use of biometric system due to health related issues such as damage to the
human body and ethical concerns from the use of physiological data during banking functions.”
Respondent 2 (UK): “As per my perception, financial literacy and lack of basic education are
prohibiting factors leading to non-access of biometric banking services in their day to day
banking operations. I feel that religious objections and the culture of banking sector are creating
hurdle in successful implementation of biometric system in banking sector.”
12. What according to you are the steps that bank officials should take in order to
overcome the limitations?
Respondent 1 (India): “According to my opinion, RBI and Bank should create a council to
identify and eliminate biometric loopholes that allow risky and abusive practices. Banks should
increase transparency in their transactions and try to improve password maintenance, auditing,
reporting and record keeping processes. “
Respondent 2 (India): “I agree with the fact that biometric techniques usage has increased in
developed counties. However, in developing counties such as India still people and banks do not

33
prefer to adopt biometric techniques in their banking operations as they are not aware about the
usage of such high technology in their banking transactions. This can be overcome when banks
create an office of biometric at state and district level with expertise and monitoring banking
biometric transactions and increase awareness of people towards use of biometric.”
Respondent 1 (UK): “According to me, legal issues and data management related issues
concerning the protection of user privacy and right that affect biometric techniques adoption in
banking services. These are some of the issues which have always played a crucial role in the
area of banking industry. It cannot be avoided as it lays down high tech security of financial data
of banks customer. Even deployment of such biometric technology needs approval of various
government officials leading to cause strict rules against such system. However, banks can
overcome these kinds of issues by taking helps from government and appoint technology experts
who are proficient in their core areas. Proper knowledge with respect to the technology must be
communicated to the government officials for proper implementation of such kind of system in
the banking industry. “
Respondent 2 (UK): “As per my opinion, banks should emphasize to overcome some social and
psychological issues about biometric techniques that are creating fear in the minds of customers.
Apart from this, banks should focus on effective use of biometric techniques as well as to provide
a high level of security by securing the transactions. It will help banks to gain the trust of identity
of customers. Proper knowledge with respect to biometric system must be communicated to each
individual consumer that is approaching to the banks. It will help them in understanding such a
system in a much better way and its acceptability will also increase among such consumer. “

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