The reason Sberbank case study is analyzed in this paper as an example of current actor in banking digital transformation in Russia is quite obvious. This traditional bank has leading and strong market position in Russian Federation and countries of its presence (22 in total). Even though the depreciation of the ruble has hit hard on the positions of Russian banks, they have so far managed to maintain their leadership in Eastern Europe. The Banker (2016) notes that Sberbank continued to lose ground: if in 2014 it took 33rd place, in 2015 - 43rd, then in 2016 only 51st. Nevertheless, the Russian banks have so far managed to maintain a leading position in the region of Central and Eastern Europe - Sberbank ranked first in these regions in terms …show more content…
Sberbank over the past few years has already modernized a number of internal and external processes and technologies: created an industrial risk management system, modernized IT systems, centralized operational work, increased efficiency, manageability and quality of the Bank's processes. A fundamentally new management team was created, new skills and capabilities of the team were applied, advanced management technologies were implemented. Understanding of the fact that digitalization of the bank is inevitable, in order to maintain and improve Sberbank’s current positions in the market, had come several years ago. In the company's development strategy until 2014, the top management of the company identified five priority areas: increasing quality of client-oriented service for all customer categories; centralization and consolidation of internal functions; implementation of the ideology of continuous improvement (SPS – Sberbank Production System); HR management modernization; and developing international …show more content…
The bank integrated its remote service channels with the Aeroflot system, which allowed the company to provide its customers with convenient service for purchasing air tickets. A service for transferring funds through its own information and payment terminals was introduced to repay loans received from other banks. Sberbank also introduced a self-learning fraud monitoring system that monitors financial transactions and authorizations in real time. A new product, E-invoicing, was launched - a service of paperless legally significant electronic document management, including the submission of reports to government agencies. This service is integrated into the Internet banking platform for corporate clients. Another new product of the bank was SMS-acquiring. This is a payment system that allows sellers to receive payment for their services via SMS messages without the client presenting a bank
As their name suggests, they only execute their operations online. Customers can only be in contact with their money over the internet since they do not have any physical branches. Because online-only banks require lower overhead costs, they have the capability to offer more free services and higher interest rates compared to a traditional bank. Online banking provides many customers the convenience of handling their business at any physical location as long as they have access to internet. This is possible because of the variety of services that online banks provide despite limiting interaction to only the internet. Some of their services include applying for loans online, transferring funds and paying bills online. While the convenience of being able to access banking through the internet is worthwhile, there are limits to it. For example, making large deposits to the bank is limited and can only be made through the mail, they don’t service cashier checks for transactions, and withdrawing money from the account is very inconvenient. Luckily, the role of the internet in financial transactions is becoming increasingly prominent so that spending money online is more accessible, but it is important to understand both the benefits as well as restraints of online banking. Nowadays, many large brick-and-mortar banks have caught on and provide some online services in attempts to
Financial institutions and banks will continuously claim in order to provide the customer driven services. For this the banks and financial institutions are being adopted the unique concepts in business process reengineering i.e., the fundamental rethinking and radical redesign in the business of processes to achieve the dramatic improvements of critical, contemporary measures in performance such as the cost, quality, speed and service. At present the era of cut throat competition in both at national and international levels banks and could specifically want to provide the customer oriented services to fill the gap. However in order to become the market leader, it could require more in breakthrough of corporate performance by adopting the BPR with it. SBI (State Bank of India) have adopted the concept in BPR by the breakthrough innovations among all branches across the whole world. This research paper study typically discusses regarding the changing scenario of SBI (State Bank of India) after adopting the concept of BPR. I have really adopted the case study method approach in which I had taken four branches of SBI (State Bank of India) and could analyze the effect of BPR in these specified branches. In the above study, we could see that after adopting the concept of BPR the branches had increased the number of customers. After adopting BPR concept, service gap could almost eradicate in order to a greater extent. Again among the aggregate industry growth
Technological change can bring new style of business to organizations. It can change both the product and business way. Since the constant improvement of the Internet, HSBC has launched its online banking services in China. People can have an electronic account to check user’s balances and transactions, make transfer as well as pay bills. Simultaneously, doing business through the Internet not only save the time for customers, but also simplify the business process for HSBC so that they can cut large amount of cost.
The main objective of implementing ICT in an organization is to enable it achieve its goals. Information system is regarded costly, but the changes that have taken place in the information system over a time has greatly reduced the cost of transmitting data, the acquiring storing, and transformation of data. In the banking industry for example the introduction of ATM, e-banking and smartcard has made the distribution of banking services more efficient. Indeed, it has brought about a lot of competition in the financial institutions, the banking methods have evolved, with a lot of innovations in the banking industry.
The goal of marketing efforts at this stage is to differentiate a firm's offerings from other competitors within the industry. Thus, the growth stage requires funds to launch a newly focused marketing campaign as well as funds for continued investment in property, plant, and equipment to facilitate the growth required by the market demands.
Askari commercial bank commenced its operation in 1992 and the main headquarters of Askari bank is placed near AWT Plaza. Askari bank comprises of 326 branches all over the Pakistan, I was given the opportunity to experience internship in the branch Bilal Plaza, Haider Road Rawalpindi. It was my golden chance and first step of my professional life. Askari Bank expanded its department in three story building to deal with unique desires and facilitates the customers appropriately. It comprises of ten departments and twenty three employees. The significance of the bank can be calculated, keeping in view the other businesses and currency markets located in the vicinity. The environment of bank is very dynamic and attractive. The branch is well managed; staff is well mannered and hardworking with enormous devotion. They are committed to their work and always prepared to assist other staff members in case of any emergency. They also cooperate with internees while providing information related to their work and the bank. The bank manager of this branch is Ibrahim Ur Rehman. Gentleman is very superb natured and conscientious. The bank held a great image in public for making good relations with customers and providing them vast services. To operate the operations of bank every staff member has access of software called Flex Cube using their own account present on the server.
In order for Blom Bank to stay the leading Bank in Lebanon, it should improve and sustain its competitive advantage. To do so, Blom Bank is advised to use VRIO business analysis and Resource Based View(RBV) by adding value to its resources, making its resources rare, making its resources hard to imitate and creating a good organizational structure (Barney, 1997; Oliver, 1997). First, Blom may add more value to its service, by providing a better customer service, giving customers what they want at the least cost possible which will increase the value of the customer’s experience. Second, Blom may want to achieve rareness; in order to do so, Blom Bank might want to develop new products and services that other banks haven’t developed yet. Making Blom’s service and products rare and sought after. Third, Blom Bank might want to make its resources hard to imitate, resources that are intangible are well-known to be hard to imitate (Grant, 1991 as cited by Powell, 2001); thus, Blom Bank must work on creating a better social complexity (intangible resource). According to Barney (1997), some socially complex resources are reputation, trust, teamwork, and culture. Thus, Blom Bank should sustain its well-known reputation, implant as much trust in customers, work as a team and sustain its culture. Finally, Barney suggests having a good organizational culture as the 4th pillar to sustaining competitive advantage using the VRIO business analysis and RBV. Organizational culture is the basic functioning and the most important unit of any firm. Blom Bank should improve its formal reporting structure, management control systems, and compensation policies. By improving its organizational structure, Blom Bank will guarantee an increase in employee productivity, better management, and a better whistleblowing system. If Blom Bank goes after
BBB Bank plc (hereby mentioned as the ‘Bank’), has a great power in the market due to the large selection of banking services and products being offered. The Bank current approach seems to be focused on profit making, with wrong selling techniques which lead to miss-selling of endowment policies. It is also being noted that the bank has invested customer’s money in derivatives which had made a loss. Apart from that, it is being stated that a whistleblower accused a member of the board of acting unethically and trying to hide the true picture of the bank’s financials.
The telecom, banking and regulatory infrastructure varies country to country. Yet none of these important issues seems to be a limiting factor for the banks that are most successful at attracting digital customers and getting them to use these channels. Finalta has run benchmarking studies in the region for the past three years and has identified several trends in Latin American digital banking that this paper
Bank Solutions, for a while, has been thriving and dominating the market place in its scope of specialty under the new management, owing the irrefutable success to the rigorous changes that have been undertaken since the new managerial executives took office. However, after a rigorous audit undertaken on the firm and its operations, it has come to our attention that Bank Solutions has operations and regulatory risks posing as a great security threat, and could prove disastrous for the institution and its existence. Despite the glorious flourishing of this firm, the flawless returns coming in day after the other and the incrementing numbers of customer institutions and partnerships, there are underlying threats that if not urgently addresses, in case of a disaster would see the firm to its turmoil. Below are findings relating to interoperability, security and operation gaps.
Today’s banking system very much gives us the hint about the banking system say 20 to 25 years from now. Digitization promises to automate and improve many banking processes. Yet it’s not without peril: customer demands and expectations are increasing, and technology is fuelling the emergence of significant new competitors. (www.mckinsey.com) Banking Transitions- Branch banks have historically been the front line of the customer relationship.
Also different banks employ different banking applications software to gain competitive edge and introduced various electronic products. The challenge here is that some of these ICT packages are not compatible or were not properly understood before been introduced and banks have already incurred huge costs in the acquisition of these technologies
Banks in Bangladesh should review their business strategy and create the required space for adopting technology driven banking.
PT. Bank Rakyat Indonesia (BRI) is the most profitable bank and the largest banks in Indonesia that specializes in Micro, Small and Medium Enterprises (MSME). The official website of BRI [1] reported, as of December 2014, BRI serves its customers through more than 10,000 outlets (divisions, main branch, sub branch, micro units), 150,000 electronic outlets (ATMs, CDMs, EDCs) and 120,000 professional employees that spreads all over Indonesia. Most of its customers; the recent data showed that BRIs customers reach approximately 55.7 million; are lower-middle income people such as land workers, fishermen, factory workers, small businesses and government employees. As one of the state-owned banks and a bank that has the widest network in Indonesia, BRI is always chosen by the government as an agency to distribute social aid funds and enacting social programs of the government in economic empowerment. To provide the best service for citizen that spread all over Indonesia, no doubt, that technologyinfrastructure and systems plays a very important role. With powerful and good technology provided by BRI, it ensures that all goals, as a business company and a government agent, will be achieved.
In Bangladesh the banking sector is expanding day by day. A number of new banks are also taking preparation to merge in the market. Banking process is becoming faster and easier because internet banking system has already introduced in many banks. Now-a-days in order to keep pace in the competitive field all the banks are trying to come up with the innovative products and services to satisfy their customers. On the other hand customers also need to have an idea about all the process and products of the different bank in order to make a right choice.