Technological Innovation in Indian Banking Sector – Use of It Products

The change and advancement in technology are a significant factor in the banking business. Technology has led to tremendous improvements in this industry. Since the commencement of this millennium, people have shown great love for their mobile phones (Ozaki 1992). It necessitated the invention of mobile applications (APPs). From the introduction of the mobile banking, APP people rarely go to the banks. All their transactions get done simply by the stroke of a finger. Businesses face a challenge of adapting to changes in the technology sector. Mobile banking either through actual investing or any other means is on the rise.

With the aid of relevant sources and appropriate research methodology, the researcher wishes to answer the question, “How adoption of IT did solved an existing banking problem of the Royal

Carol M Graham, Mark V Cannice, Todd L Sayre. Journal of Management Research. New Delhi: Aug 2002. Vol. 2, Iss. 2; pg. 63, 10 pgs

Technology 's impact on society has changed in many areas of our lives. Technology has changed travel, you can now book your own plane ticket without going to a traveler’s agency, schooling you can take classes online, and have access to doctors and medicine without having to leave your home. I chose to write about the topic of banking. With the help of technology banks are able to reach out to more customers and provide better services to them. How has technology affected the world of banking? What choices do we have when it comes to our banking needs?

Technological advancement has had a gigantic effect in the banking industry. Over the past few decades, the financial services industry has changed considerably with banking transforming from the pen and paper method to the computers and internet method. The pen and paper method took weeks or even months for the transaction to be eventually completed, and then the dramatic introduction of the computer and internet method which changed that time frame to only a matter of seconds to be completed, which reduced the amount of time and labor needed to complete a transaction significantly. Banking is considered one of the most important economic sectors with it being severely influential and responsive to any little change, whether it is domestic or international. Some extreme changes that were brought about by the development of this new technology turned into a globalized nature for the financial services industry. One stroke of a key on a computer could and would change a person 's life extensively or even have a global impact. The new technologies that were created and introduced changed how the consumers managed their money from that time on. Technology has helped to protect peoples’ hard earned money and make it much more impossible for people to be able to write out bad checks or even holding up a bank. The advancement in technology however, also came with some security risks as most things do, that could affect the money that people trusted with the bank and

Banks are the most significant players in the Indian financial market. They are the biggest purveyors of credit, and they also attract most of the savings from the population. Dominated by public sector, the banking industry has so far acted as an efficient partner in the growth and the development of the country. Driven by the socialist ideologies and the welfare state concept, public sector banks have long been the supporters of agriculture and other priority sectors. They act as crucial channels of the government in its efforts to ensure equitable economic development.

A variety of new trends and innovations have expand in banking industry. Some are positive and negative, but some show a mix of plus and minus. Government has been really concern and increasingly keeping eyes on these case, especially after 2008 financial crisis.

Banking is undergoing a revolution similar to the one seen on high street travel, betting and book-selling. Banks should be afraid, the disruption of financial services has only just begun.

Senthil K. Nathan & Dr. Sw. Rajamanoharane Department of Management Studies J.J. College of Engineering and Technology Tiruchirappalli 620 001, Tamil Nadu, India senknat@yahoo.com, swrksr@gmail.com

Private banking industry has changed in a very basic way, driven by many key factors such as: free competition systems, modern developments in information technology (in particular, developments of the internet), and changing demographics. Private banks now operate in an environment shaped by increasing and shifting regulations, and in markets influenced by the uncontrolled situations of the world economy and geopolitical issues.

Online banking is an important example of efforts that grow banking industry. In US, online banking was introduced widely when four of the city 's major banks (Citibank, Chase Manhattan, Chemical and Manufacturers Hanover) started to offer home banking services, using the videotex system. “When the clicks-and-bricks euphoria hit in the late 1990s, many banks began to view Web-based banking as a strategic imperative. The attraction of banks to online banking are fairly obvious: diminished transaction costs, easier integration of services, interactive marketing capabilities, and other benefits that boost customer lists and profit margins. Additionally, Web banking services allow institutions to bundle more services into single packages, thereby luring customers and minimizing overhead.”

Apr 23, 2011 - Essay topics ... 3) Are the efforts taken by banks to popularise banking been successful? ... Banking related general awareness -- 6 2013 TWO.

Dr. Suresh Kumar Bhaker, Assistant Professor, Management in Haryana School of Business, Guru Jambheshwar University of Science and Technology Hisar, Haryana

Banking sector viewed from personnel angle has its peculiarities. It is a labour intensive industry and competence of employees has got a bearing on the value of services offered. This being the case, it should have been likely that professionalization of management of personnel should have earned superior precedence but sadly personnel happened to be the most deserted facet of banks management. The emblematic functioning of banks per se does not entail any kind of professional training and is an industry where it is robustly believed that anything can be done by everyone and as one knows no body does much to the affluence of the organization. This feature is additionally noticed by the fact that banks function in a seller’s market with entire nonexistence of an element of competition and the prices of deposits accepted is ascertained by the banks, but by an external agency like the RBI and the GOI. In such a sheltered environment, the call for professionalization of bank management was by no means felt personnel happened to be managed by a non-expert and generally by an average officer who could not or else flourish on banking operations.

In India the banks are being segregated in different groups. Each group has their own benefits and limitations in operating in India. Each has their own dedicated target market. Few of them only work in rural sector while others in both rural as well as urban. Many even are only catering in cities. Some are of Indian origin and some are foreign players.