Page 147 - DMGT310_ENTREPRENEURSHIP_AND_SMALL_BUSINESS_MANAGEMENT

Entrepreneurship and Small Business Management

Notes
Core Banking at Mera Bank: A Modern Intervention to Survive in the Highly Competitive
Market
The Bank has over the years, earned the reputation of being a techno-savvy bank and is
one of the forerunners amongst public sector banks in the field of technology. It is one of
the pioneer public sector banks, which launched Core Banking Solution in 2000. As of June
2006, more than 70 branches/extension counters of bank are networked under Core Banking
Solution, powered with the centralized technology platform. The Bank has launched
multiple Electronic Delivery Channels and has installed nearly 100 networked ATMs.
Online Tele-banking facility is available to all its Core Banking customers. The multi-
facility versatile Internet Banking Solution provides extensive information, in addition to
the online transaction facility, to both individuals and corporates banking with the Core
Banking branches of the Bank. In addition to regular banking facilities, customers today
can also avail of a variety of value-added services like cash management service, insurance,
mutual funds and Demat from the Bank.

Mera bank had introduced Core Banking facilities to its customers, which involved series
of changes at Mera Bank which included:
1. Adopting a web mindset

2. Latching on to the first mover’s advantage
3. Recognizing the core competencies
4. Ability to deal multiplicity with simplicity

5. Senior management initiative to transform the organization from inward to outward
looking
6. Aligning roles and value propositions with the customer segments

7. Redesigning optimal channel portfolio
8. Acquiring new capabilities through strategic alliances
9. Corporate brand-building exercises which even includes infrastructure revamping
(like fully air-conditioned banks)
10. Computerization of all the banking transactions
11. Nationwide networking of the bank through WAN, LAN
12. Customer personalization programmes through ATMs and anytime banking
13. Improved services like hassle-free housing loan schemes, educational loans and
flexi-deposit schemes)
14. 8 to 8 banking in order to attract more and more customers.
The Problem

Samina Rafat, faculty in one of the premier management institutes, a customer for almost
seven years with Mera Bank was really happy to know about the positive developments
at Mera Bank especially 8-8 banking. She was certainly a loyal customer for she not only
had saving bank salary account but had also taken a home loan from Mera Bank. On her
way to the bank she was thinking “Oh! Mera Bank has given me so much relief, now I will
be able to do all my banking operations after my office hours. How can I forget those days
when all my work at bank remained pending for months as it was very difficult to take out
time from my busy work schedule”. When she entered the bank after almost a year,
Contd...

142 LOVELY PROFESSIONAL UNIVERSITY