KOLKATA: In a sudden move towards organisational restructuring, Bank of BarodaNSE 1.19 % has closed all regional offices under its Mumbai zone and created vertical structures to achieve operational synergies.
The bank, after its mega merger with Dena Bank and Vijaya Bank, has decided to have exclusive teams for business generation and outbound sales while another set of teams will look after administration, service and support function. This vertical system is only for businesses under ..
The decision was taken “to give thrust to business development”, the bank said in a note, which ET has reviewed.
"The purpose is for streamlining and effective control of operations post amalgamation as it offers cost and revenue synergies. The realisable revenue synergies arise from wider product offering, improved cross selling, and deeper micro market penetration. The branch and administrative office rationalisation and tech spend optimisation offers potential cost synergies. In fact, the zonal offices, after the amalgamation, have increased to 18 from 13,” the spokesperson said.
According to t ..
The clusters will be headed by cluster heads of assistant general manager rank supported by a team of relationship managers, a system prevailing in private sector banks. Clusters heads will only look after business generation while all non-business functions such as operational issues, audit, control, compliance and human resource will be controlled directly by departments concerned at the zonal offices, the bank said.
“All regional offices in Mumbai was suddenly shut down after the top ..
“Our near-term assessment of the merger will be potentially negative — particularly for asset quality — while any benefits from scale, cost and business synergies would be visible only in the medium-to-long term, subject to smooth integration of the banks' businesses,” Fitch ratings said on Bank of Baroda on May 30.
“We believe the merged bank is likely to have higher levels of impaired loans and provisioning in the near term, which may in turn pressure Bank of Baroda’s core capitalisat ..
The bank, after its mega merger with Dena Bank and Vijaya Bank, has decided to have exclusive teams for business generation and outbound sales while another set of teams will look after administration, service and support function. This vertical system is only for businesses under ..
The decision was taken “to give thrust to business development”, the bank said in a note, which ET has reviewed.
"The purpose is for streamlining and effective control of operations post amalgamation as it offers cost and revenue synergies. The realisable revenue synergies arise from wider product offering, improved cross selling, and deeper micro market penetration. The branch and administrative office rationalisation and tech spend optimisation offers potential cost synergies. In fact, the zonal offices, after the amalgamation, have increased to 18 from 13,” the spokesperson said.
According to t ..
The clusters will be headed by cluster heads of assistant general manager rank supported by a team of relationship managers, a system prevailing in private sector banks. Clusters heads will only look after business generation while all non-business functions such as operational issues, audit, control, compliance and human resource will be controlled directly by departments concerned at the zonal offices, the bank said.
“All regional offices in Mumbai was suddenly shut down after the top ..
“Our near-term assessment of the merger will be potentially negative — particularly for asset quality — while any benefits from scale, cost and business synergies would be visible only in the medium-to-long term, subject to smooth integration of the banks' businesses,” Fitch ratings said on Bank of Baroda on May 30.
“We believe the merged bank is likely to have higher levels of impaired loans and provisioning in the near term, which may in turn pressure Bank of Baroda’s core capitalisat ..
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