Answer to Question #316586 in Management for Priya

Question

“Dynamic Bank Limited” is a well-established new generation bank started in India 35 years ago. As of today, it has over 800 branches across the country with over 25 branches in each of the metro cities (Mumbai, Delhi, Kolkatta and Chennai). It has about 10,000 full time staff across its branches and administrative offices. In the last 5 years, its personnel costs, occupancy costs and operational costs have been rising and consequently its profits were also declining. a. Analyze the existing situation and identify potential areas that need to be addressed to bring the bank to growth and profitability. b) Identify steps and measures that can potentially be deployed to shift product and service delivery to low cost operating models to enhance bank’s profitability.

Please share full answer.

Answer 1

a. The current situation of the bank is in its dwindling state. It is not making the expected profits. The bank managers should work on ways of revamping this financial company.

b. Business realignment.

Process costs.

Technology and automation.

Vendor relationship.