Bpi Strategic Management Report

The banking industry has undergone major upheaval in recent years, largely due to the lingering recessionary environment and increased regulatory environment. Many banks have failed in the face of such tough environmental conditions. These conditions

In simple understanding, strategic management refers to managing the resources so as to achieve the desired objectives and goals of an organization. In broader terms, it can be understood as a continuous process which

"Strategic management is a set of managerial decisions and actions that determine the long-run performance of a corporation" (Wheelen & Hunger, 2006, p.3). The benefits of strategic management helps the firm focus on the objectives and develop the steps involved in obtaining the vision and financial wealth of the organization. An effective strategic management plan should include the following three questions: (1) Where is the organization now? (2) If no changes are

Strategic management is the process where leaders establish an organization’s long-term direction, set the specific performance objectives, develop strategies to achieve these objectives in the light of all external and internal changes, and undertake effective strategies to manage these changes and execute action plans.

Concerning increased cost, this adversely affects profitability. Pure play investment banks are facing a reduced demand

Banking industry is currently operating in the maturity stage. There are many players as a result of which the competition is quite high. Competition is broadly based on the levels of fees charged, reputation, the range of services and products provided. As the industry consolidates and the range of services broadens, the size and geographic spread of industry players in increasing. Providing a high set of barriers is the capital and regulatory requirements within the banking sector. Entities that want to start up as a commercial bank and/or investment bank or securities dealer face significant establishment costs in order to gain acceptance and meet market reputation. Furthermore, start-ups require up-front expenses in order to establish proper distribution channels. Globalization is high and the trend is increasing. Cross-border sales and acquisitions of banking operations are also occurring, as assets are shuffled in the race to raise capital.

Strategic management is the process where leaders establish an organization’s long-term direction, set the specific performance objectives, develop strategies to achieve these objectives in the light of all external and internal changes, and undertake effective strategies to manage these changes and execute action plans.

Strategic management straps up the comprehensive potential of an organisation by integrating operational plans into the strategic process. Strategic management is a task undertaken by the entire organisation all the time. It comprise combining ideas and acting towards the best idea and

Strategic plans result from a great amount of energy, time and focused discussion with the intention of the organizations successful delivery of the plan to their shareholders, customers and employees. Success may not only be defined by fiscal measurements of success and may include both short, mid and long-term strategies including; increasing market share, expanding product or service offerings, investment in the organization or having higher customer satisfaction scores than their competitors. Often, strategic plans are financial or cost cutting iterations rather than living breathing documents that answer the questions 1) where are we now, 2) where are we going, 3) how do we get there and 4) how did we do? Thus,

Strategic management is an ongoing process to develop and revise future-oriented strategies that allow an organization to achieve its objectives, considering its capabilities, constraints, and the environment in which it operates.

Financial institutions in Thailand include commercial banks, finance companies and credit foncier companies according to section 4 of Financial Institution Business Act, B.E. 2551.

Strategic planning is important for every organizations function in order to align priorities and resources towards the strength of the organizational progression. It gives a clear route for the organizations directions towards the intended common goals. It provides a disciplined process to guide the fundamental decisions leading to the proper action required to develop and progress the organizations intended results and responses to ever changing environments. This should be articulated to the employees, leaders and stake holders within the organization.

As technology improves, the wide use of “hard information”, such as the borrower’s credit history, reduces informational asymmetries. Therefore, long-distance small business lending is easier (Frame, Srinivasan, \& Woosley, 2001; Petersen \& Rajan, 2002). However, even with the use of credit score data, collecting ``soft information" still helps local lenders control risks to avoid delinquency (DeYoung, Glennon, \& Nigro, 2008) and provides informational advances in offering more favorable rates (Agarwal \& Hauswald, 2010).

Private banks, regardless of where they operate all over the world, also facing similar demands arise from the

With the latest CBN regulation and the systematic withdrawal of Federal funds from the banks, a lot of banks are on the brink of extinction. As a result of this a lot of banks are now either going public or trying to position themselves as banks of  choice for possible merger or acquisition by other banks. This new development would also impact on employment, as most top management would be affected and other young staff would be thrown into the labour market in the bid to have the required number of directors by the regulatory authorities and on the economy at large.