DIGITALIZATION TO THE BANK




Introduction

Today, digital business is becoming a major challenge to all industries. The banking system is moderate up to the digital technologies for services in a better way to fulfil the customer acquisition and satisfaction. In Sri Lanka banks have invested a lot in digitalization same as the world.

Global context in digitalization to the banking

According to the largest Russian bank (Sber bank) details in 2020, the bank despite its massive market share. The bank issues nearly 40 million bank cards to the customers. With all the digital data available to them, Sberbank aims to have fulfilled profiles of 95% of its customers and base 90% of its sales consultations on these profiles by 2020.

 

Advantages of digitalization in the banking sector

*Reduces operational cost and human error.

* 365-day banking facilities to the customers.

*save effort and time.

*can use digital data to make the data-driven dynamic decision.

*Higher security and less risk of carrying cash.

*Well speed of the movements of cash.

*Improve the level of service

How to use digitalization in the banking sector in Sri Lanka

In Sri Lanka, there is a huge competition through the banking industry to serve their customers via digital products. They use,

*one to one unique mobile apps

*easy payment methods

*scan QR codes

*online banking

*24 hour CDM & ATM services

HR issues towards the digitalization

*Gathering applicants having digital skills- candidates who analyse data and act digital can will gain the advantage for this. Organization can hired persons from outside to do this

*Training & development – banks are invested a lot of money in the digitalization methods. So, mainly the staff members should be properly knowledgeable & they should have to ability to operate the IT tools and system. Therefore training & development programs should be conducted by the organization.

* Re-design career paths- when digitalization comes to bank operations, more jobs will become automated and some job functions will change.

Conclusion

At present, the whole world is changing in various ways. Customer behaviour and their expectations are becoming unlimited.  Banks need to understand what digital reinvention means for them based on their specific strategy and readiness to complete in the digital arena. Therefore it is essential to achieve digitalization in the banking industry.

 

References

 digitalization in banking industry. [Online]
Available at: https://www.e-zigurat.com/innovation-school/blog/digitalization-in-banking-industry/
[Accessed 02 04 2021].

singh, s., 2015. peoplematters.in. [Online]
Available at: https://www.peoplematters.in/article/technology/5-things-hr-can-do-digitization-banks-10858
[Accessed 04 04 2021].

Comments

  1. Ruwan Herath5 April 2021 at 00:50

    As author described there are some challengers to HR during digital banking. Since most of the front line staff not required much as previous those employee either change the role or should layoff. HR has to play major role specially on employee moral boosting. If author could explain little bit about the challengers which HR has to face, would be much better.

    ReplyDelete
  2. Sevani Ereporuwa11 April 2021 at 00:03

    Digitization is the conversion of data into a digital format with the adoption of technology. Adoption of digitalization is very important for the banking sector. Author has well explained the advantages, global context & the country practice in banking sector. Worth to read

    ReplyDelete
  3. Janashi Lamahewa24 April 2021 at 07:08

    Highly noticed your topic as now most of things have changed tradition to digitalization. COVID-19 is accelerating demands for new banking technologies. According to Maya (2021), There are some more advanced feature in the digital banking sector, such as, use of block chain technology, Artificial Intelligence (AI) automated security system , biometrics personal identification systems(identifying clients through fingerprints to face IDs),streamlined Billing and Voice Assistance (The technology detects and understands customer’s voice and do the needful.) Well written and timely article.

    ReplyDelete

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