multiple-criteria decision-making
Fatemeh Mojibian; Maryam Daneshvar; Ehsan Kafash Abdi
Abstract
With the rapid expansion of digital technologies and the ongoing transformation of financial services, FinTech has emerged as a key driver of change in the banking industry. Banks, as core components of the financial system, face fundamental shifts in service delivery, customer behavior, and competitive ...
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With the rapid expansion of digital technologies and the ongoing transformation of financial services, FinTech has emerged as a key driver of change in the banking industry. Banks, as core components of the financial system, face fundamental shifts in service delivery, customer behavior, and competitive patterns following the integration of FinTech. However, the adoption of these technologies is inherently associated with multiple risks that may affect banks’ performance, security, and reputation. Thus, timely identification and effective management of FinTech-related risks are essential. This study aims to evaluate the critical risks of FinTech adoption in banks using a multi-criteria decision-making (MCDM) framework in a neutrosophic environment, with a case study on Pasargad Bank. First, relevant risk factors were identified through an extensive literature review. Using the neutrosophic Delphi method, seven major risks were confirmed: security, credit, operational, strategic and competitive, legal and regulatory, reputational, and liquidity risks. The relative importance of these risks was then assessed using the neutrosophic Best–Worst Method (BWM). The results highlight security risk as the most significant factor influencing FinTech adoption in Pasargad Bank. Finally, various FinTech implementation scenarios were ranked using the neutrosophic Multi-Attributive Border Approximation Area Comparison (MABAC) method, with the scenario of “collaboration with other banks to establish a FinTech consortium” receiving the highest priority. The findings provide valuable insights for banks to better understand critical risk dimensions and to select optimal strategies for the successful implementation of FinTech solutions.
