Competition is changing the business landscape, forcing organizations to evolve with times. Measuring corporate performance too has evolved with times.
Measures such as EVA and MVA were developed and have attained widespread acceptance. The Balanced Scorecard (BSC) proposed by Robert Kaplan and David Norton was one such modern measure that looked at corporate performance beyond financial metrics. In this framework, emphasis was given to Internal Business Processes, Learning and Growth, Customer Satisfaction and Financial Performance. The first paper, “An Empirical Study on Balanced Scorecard as a Measurement and Management Tool for Corporate Performance”, by Anish Kumar Dan uses the BSC and compares the performance of two industry categories—Healthcare and Fast Moving Consumer Goods. The author identifies 36 companies in India for the analysis which reveals that both sectors are actively pursuing the approach. Sector-wise differences, according to the author, were not significant. Other findings of the study indicate ease of implementation and benefits to organizations. However, challenges remain in terms of identifying quantifiable measures, fixing weights to different perspectives and resource constraints. The study is important from an emerging market perspective.
Business research extensively incorporates variables that influence the relationship between dependent and independent variables. Researchers term them as moderating variables. The second paper, “Moderating Variables in Business Research”, by Rayees Farooq and Sandeep Vij looks at the importance of these moderating variables. The authors identify more than a dozen important and frequently used variables that are explained in detail. Citing works featured in popular databases such as Ebscohost and Proquest, the authors put forth compelling arguments in favor of using the moderating variables to enrich our understanding of relationships among dependent and independent variables. The authors conclude that the nature of theory building and validation needs the inclusion of different variables that influence the organizational subsystem. Resource allocation becomes easy when managerial understanding of the business ecosystem is enhanced. The paper will be of immense significance and importance to the academic and research community at large and industry in particular.
Rapid industrialization inflicts collateral damage on the environment. One of the fastest developing countries that is affected by industrialization in the world and a true economic success story has been China. One cannot disagree with comparisons that are drawn between China and India, although it is not a fair comparison. The Indian economy too is going through some interesting and challenging times. Economic growth invites challenges that have serious consequences. The authors Sunita Upendra Sharma and Rashmi Lotwala of the paper, “Learning from China: Mitigating the Problems of Make in India Through Responsible Business Behavior”, compare the growth stories of the two economies and call for more Responsible Business Behavior, which they are convinced is an important prerequisite for sustainable and responsible growth. The timing of this paper is all the more relevant as India has drawn its own initiatives such as Make in India and is inviting global companies to invest in India. While such measures evoke high regard and are sure to create opportunities, one must not miss the collateral outcomes. Of serious implication are issues such as environmental pollution (air and water). China is already facing the consequences of poor air quality and frequent flooding in its cities due to rapid industrialization. While it is important from the growth perspective, businesses must look towards Responsible Business Behavior without neglecting the society in which they operate.
Automated Teller Machines (ATMs): The Changing Face of Banking in India
Bank Management
Information and communication technology has changed the way in which banks provide services to its customers. These days the customers are able to perform their routine banking transactions without even entering the bank premises. ATM is one such development in recent years, which provides remote banking services all over the world, including India. This paper analyzes the development of this self-service banking in India based on the secondary data.
The Information and Communication Technology (ICT) is playing a very important role in the progress and advancement in almost all walks of life. The deregulated environment has provided an opportunity to restructure the means and methods of delivery of services in many areas, including the banking sector. The ICT has been a focused issue in the past two decades in Indian banking. In fact, ICTs are enabling the banks to change the way in which they are functioning. Improved customer service has become very important for the very survival and growth of banking sector in the reforms era. The technological advancements, deregulations, and intense competition due to the entry of private sector and foreign banks have altered the face of banking from one of mere intermediation to one of provider of quick, efficient and customer-friendly services. With the introduction and adoption of ICT in the banking sector, the customers are fast moving away from the traditional branch banking system to the convenient and comfort of virtual banking. The most important virtual banking services are phone banking, mobile banking, Internet banking and ATM banking. These electronic channels have enhanced the delivery of banking services accurately and efficiently to the customers. The ATMs are an important part of a bank’s alternative channel to reach the customers, to showcase products and services and to create brand awareness. This is reflected in the increase in the number of ATMs all over the world. ATM is one of the most widely used remote banking services all over the world, including India. This paper analyzes the growth of ATMs of different bank groups in India.
International Scenario
If ATMs are largely available over geographically dispersed areas, the benefit from using an ATM will increase as customers will be able to access their bank accounts from any geographic location. This would imply that the value of an ATM network increases with the number of available ATM locations, and the value of a bank network to a customer will be determined in part by the final network size of the banking system. The statistical information on the growth of branches and ATM network in select countries.
Indian Scenario
The financial services industry in India has witnessed a phenomenal growth, diversification and specialization since the initiation of financial sector reforms in 1991. Greater customer orientation is the only way to retain customer loyalty and withstand competition in the liberalized world. In a market-driven strategy of development, customer preference is of paramount importance in any economy. Gone are the days when customers used to come to the doorsteps of banks. Now the banks are required to chase the customers; only those banks which are customercentric and extremely focused on the needs of their clients can succeed in their business today.
