Organizational Fintech Integration and Psychological Empowerment: Mediating with Digital Mindset of Nepalese Banking Employees

Abstract

This study explored the effect of organizational fintech integration (OFI) on employee psychological empowerment (EPE) mediating with digital mindset of banking employees. The study based on social cognitive theory (SCT) and Self-Determination Theory (SDT), explaining the cause of structural environment to gain employee motivation through internal cognitive filters. Data were collected from the employees of commercial banks in Kapilvastu district, through a close-ended structured questionnaire survey. The descriptive and explanatory research design was adopted, and data were analyzed using the PROCESS macro (Model 4) to test for mediation. The study showed a significant positive relationship between OFI and EPE (b = 0.4906, p < .001), confirming that employee psychological Empowerment influenced by fintech integration. Furthermore, the presence of digital mindset has a significant partial mediation effect (ab = 0.2524, 95% CI [0.1400, 0.3521]), suggesting that the presence of a personal cognitive factor has Impact on Structural Integration for Psychological Empowerment. The findings suggest that fintech integration (environmental change) leads to psychological empowerment (individual behavior/motivation) be more worthy by prioritizing to embed digital mindset (cognitive factor) of employees. The study provides actionable insights by connecting the organizational reinforcement as a stimulus and the empowerment of human resources as a reaction, catalyzing individual digital cognition.