Corporate Jul 24, 2013
Hyderabad: Public sector Andhra Bank has appointed international consulting firm McKinsey to suggest ways for strategic business transformation to meet the growing customer demands.
B A Prabhakar, chairman and managing director, Andhra Bank, in his address at the Annual General Meeting of shareholders yesterday said the bank has taken up an initiative - NavShakti - to enhance the productivity and also deliver value to customers.
He also said that despite economic challenges and an uncertainty, the public sector lender is expected to grow at 15 per cent during the current financial year.
"Bank has taken up a strategic business transformation initiative 'NavShakti' with the assistance of leading consulting firm McKinsey to rejuvenate the business process to meet the discerning demands of the customers," Prabhakar said. "As part of the project, a thorough business re-engineering of the present processes, is taken up to enhance productivity and also deliver value to the customers," he added.
New generation branch models are designed to calibrate delightful business experience for customers, he said.
Talking about macroeconomic conditions, the banker said the challenge for the city-based bank would be to maintain a healthy asset profile in the wake of subdued growth of the economy. "Notwithstanding the uncertainties in the economic environment, your bank will continue to grow its business sustainability in FY'14. I am confident that the bank's business will grow by about 15 per cent in FY'14," Prabhakar said.
He said the steps taken by the government in clearing the bottlenecks in investments and also the policy measures taken to improve FDI flows should put India on upward growth trajectory. For the full year ended March 31, 2013, total income of the bank stood at Rs 13,957 crore against Rs 12,199 crore in 2011-12.
In FY'13, the net profit dipped to Rs 1,289 crore against Rs 1,345 crore in FY'12. Prabhakar had earlier said the last year was stressful for the overall business growth.
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