Casestudy of banks R us Case Study Example | Topics and Well Written Essays - 1000 words

Casestudy of banks R us - Case Study Example strategical surgical process directly influences strategic goals hence, it is even more critical to an organizations success. On the separate hand, operational performance management is defined as the alignment of all business units / functions of an organization to accomplish core business aims of an organization. Organizational performance is measured against standard rates of effectiveness, productivity, efficiency, regulatory compliance and other such indicators. Banks R Us had primarily focused on deposits, withdrawals, and loan facilities by creating brand loyalty. It thrived by providing a low fee as advantageously as a highly personalized realm of banking service. Nonetheless, the low profit margins prevented large-scale growth for the bank. However, with escalated financial competition and emergence of Internet banking, the strategic performance of Banks R Us deteriorated. This is evidenced by a downfall in market share and ope rating profits. Thus, new strategic goals and plans are being realised in order to enhance strategic performance once again. The new strategic goals are two-fold to widen the current guest base by cooking of a variety of financial products and to reduce transaction costs for all customer segments. Strategic goals can be accomplished through successful strategic performance. The success of strategic performance lies entirely upon improvement in operational performance. ... As more and more customers are provided customized services, the inflow of cash to the bank is expect to increase. In addition, the introduction of Internet banking as currently servicing 80% customers is unprofitable hence, strategic performance is poor and inquires improvement in this flying field too. Moreover, strategic performance needs to be focused on changing the previous image of Banks R Us as a transactions central processing unit of cheques and deposits to a novel image of an excellent financial adv isor. The basic contention is to make the bank as attractive as possible to existing customers as well as potential customers. The bank lacks good advertising, good location, and word of mouth as quoted by general manager of operations, Pamela Andrews. Therefore, strategic performance should waste the marketing aspect of banking into account. Banks R Us needs to transform the perspective of customers of not being a logical source for products like managed funds, superannuation funds, insurance policy and financial advice. Operational performance should involve advertising through various channels, employment of financial product specialists and provision of advisory services to build customer confidence and alter the previously held image. Industry data has revealed the existence of two market segments. The first are interested in the lowest priced personalized services of standard financial products such as savings, loans and withdrawals. Market statistics suggest that Banks R Us strategic performance is appreciable in this segment however, slowly they need to encourage these customers towards Internet banking for reaping even greater profits. The other market segment comprises of customers interested in purchasing all kinds of