DUBLIN--(BUSINESS WIRE)--Research and Markets (http://www.researchandmarkets.com/research/bc54ee/the_current_and_fu) has announced the addition of the "The Current and Future State of IT Adoption in Indian State Banks" report to their offering.
Growing competition and increasing customer aspirations have led to increased awareness amongst banks of the potential and importance of technology in banking. The arrival of foreign and private banks with their superior state of the art technology has pushed the Indian banking fraternity to follow suit by adopting the latest technological advances, so as to meet the threat of competition and customer expectations. The Indian banking industry today is in the midst of an IT revolution. A combination of regulatory and market forces has also supported the implementation of technology and automation in the industry.
Today, almost every public sector bank branch is at some stage of technological adoption, be it Automated Ledger Posting Machines, Total Branch automation or Core Banking Solution (CBS). Keeping in mind the large branch network of these banks, the Core Banking solution (CBS) is being introduced in a phased manner. According to latest estimates, CBS covers around 40% of the bank branches accounting for nearly 70% of the business volume. ATMs (including shared ATMs aided further by the National financial Switch initiative of RBI), Internet banking, any branch banking, credit cards, debit cards, etc, are being increasingly offered. There are over 11,000 ATMs across the country and 11 million net connections with around 23 million users.
Technology implementation in public sector banks appears to be more for regulatory and policy compliance. This has oriented the banking technology to be more employee friendly rather than customer friendly. Business processes re-engineer to leverage manpower for business growth and increased profitability, and to derive optimum benefits of technology up-grades. However, this has not happened at the desired pace.
There is clearly an absence of vision of how technology is going to drive business and customer relationship. State-owned banks seem to be reluctant to use technology that they have already deployed. Public sector banks continue to deploy staff to manually crunch numbers for the submission of returns to the regulator.
RBI plans to come out with a road-map, giving banks a deadline for compliance. RBI plans to introduce a new system using XBRL (Extensible Business Reporting Language) which allows its computers to communicate directly with the servers in banks and pull out the required information. RBI expects that with CBS in place, data can be entered without manual intervention, leading to the integrity and reliability of the data. This would also free back office staff and result in improved customer service.
IT has helped in increasing the speed and efficiency of banking operations by facilitating the introduction of innovative products and new delivery channels. With a view to further leveraging the role of information technology (IT) in enhancing the efficient functioning of the financial system, the Reserve bank undertook important steps regarding IT infrastructure and the implementation of new applications. RBI plans to promote green IT to develop technology and create awareness of environmental problems at the same time.
Key Topics Covered:
- Overview of the Banking Sector
- Market Size
- Market Structure & Segmentation
- Organisational Structure
- Business Segmentation
- Major Products and Services
- Key Public Sector Banks
- Current IT System & structure
- Future of IT in public sector banks
- Green IT and its relevance to Banking Sector
- Key Drivers
- Key Challenges / Barrier
- Key Opportunities
- Key Success factors
- Country Advantage
- Regulatory Advantage & legal frameworks
For more information visit http://www.researchandmarkets.com/research/bc54ee/the_current_and_fu