DIGITAL TECHNOLOGY INVESTMENT AND THE PRODUCTIVITY PARADOX: LESSONS FOR THE VIETNAMESE BANKING INDUSTRY

Abstract

Recent years have witnessed increased digital technology investment by banks aiming to enhance competition and performance. However, the productivity paradox has tempered the impact of digital transformation. This study explores the factors contributing to this paradox and provides insights for the Vietnamese banking industry. By aligning digital strategy with business goals, emphasizing data-driven decision-making, developing a digitally skilled workforce, prioritizing customer experience, fostering open innovation, measuring performance, managing cybersecurity risks, and cultivating a digital culture, Vietnamese banks can mitigate the productivity paradox and maximize the benefits of digital transformation.