and transaction offices. Therefore, it is limited in marketing customers using BIDV cards. Meanwhile, the ATM network of the Bank for Agriculture and Rural Development has covered all districts in the area.
+ Some other services such as Internet-banking, bankplus… technology is not good yet so it is not really attractive for customers to use the service.
- Eight , limitations in management and administration:
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Service business planning has not been implemented for each product/service, so management by product/service has not been implemented. Current departments are heavy on operations, not really researching and analyzing to come up with effective product management methods. Information flow reporting on business results of each product/service has not been implemented, reports are general, lacking specific analysis and evaluation.
- Nine , Technology limitations: this affects the quality of products and services as well as the implementation of new products and services. Many new products are deployed later than planned or the quality does not meet the requirements. Improving the utility of products and services as well as expanding implementation faces many difficulties such as information services and transactions on the Internet.
- Tenth , the marketing team is active .
pedestal
g service:
Activity
winter
unprofessional marketing
and understanding
too high , no plan
master plan. Review of the list
products , branches have one
category
ready
The products are relatively rich compared to other banks in the area, but these products have only been fully consolidated for internal use and have not been
advertising , advertising for customers to know and use
g; Work
save
choose
partner
in work
inconsistent and lost promotion of products and services
a lot of time and money .
+ Product and service marketing is still weak in both internal marketing and customer marketing; No sales team.
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Professional. The progress of implementing many marketing programs is still slow and has not been carried out as planned.
+ BIDV Son Tay's transaction space is not yet unified according to the system-wide standards. The style and attitude of the transaction officers of some transaction offices are not good and unprofessional...
- 2.4.2.2. Causes of limitations
a) Subjective influencing factors
- There is no strategy for developing services in a synchronous, systematic and planned manner in the entire BIDV system as well as in Son Tay branch. The development of non-credit services of the branch still depends too much on Vietnam Joint Stock Commercial Bank for Investment and Development, leading to the lack of right steps in improving the quality of services with specific characteristics suitable to the characteristics of the area.
Non-credit products and services are not diverse and rich, not really based on demand, that is, they only provide what they have, not what customers need. The main reason for this existence is that branches (not only Son Tay branch) still have to depend heavily on the Head Office, branches cannot deploy new products proposed by the branches themselves but must follow the direction of the Central. This has greatly limited the branches' ability to be dynamic and creative in creating products that are suitable to customers' needs and the specific characteristics of the area.
- Weak financial capacity makes the competitiveness poor compared to other banks. Investment in purchasing equipment to serve service development still faces many difficulties, first of all within the system due to complicated and cumbersome approval procedures that must go through many levels of review. Poor competitiveness is also the reason why some utility service products are poor such as POS service, machine transmission lines are often broken, service
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There is a shortage of ATMs so customers have to wait a long time to withdraw money, the BSMS text messaging service is slow and requires a fee...
- New services are still small and bring in little revenue, many services after implementation have almost no transactions, the ability to maintain and take care of the service after implementation is still poor. We can mention here the service of POS card acceptance points: due to lack of human resources, it is impossible to take care of it regularly, so sometimes the machines and transmission lines are broken, causing difficulties and inconveniences for customers in payment. In addition, due to the lack of a systematic training program, business owners where POS machines are installed do not fully understand the service, so they are still hesitant to let customers pay by card because they are afraid of not being able to collect money directly upon delivery.
- Lack of general information
to eat
porch
activity
g customer care
personal information such as customer rating information ( based on usage )
service,
deposit balance , etc. ) or other basic information
Not yet
ok
exact information such as date of birth , address
crazy
ok,.....like that
can not have
appropriate customer service
and understanding
fruit .
- The coordination between departments is still not good, sometimes causing inconvenience to customers, affecting the service quality, image and brand of BIDV. Although the working environment has been improved, there are still many shortcomings of a state-owned enterprise, such as employees cannot freely express their opinions, freely create in their own way, always have to comply with strict regulations and unwritten principles. Talented people are not treated commensurate with their talent, income distribution is not based on ability and level of contribution but mainly on seniority and is heavily leveled. This has caused psychological discomfort for some officials, especially young officials. This has led to some people moving to work for joint stock commercial banks.
- Not paying attention to marketing activities: Image promotion is not done regularly, continuously and systematically.
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has not created a highlight and impression on customers. Has not created a professional and modern style and service manner to create an impression and highlight BIDV's image to customers. Has not helped customers understand clearly about the services that the bank provides. Advertising campaigns for new products are only implemented in a superficial and general form.
- BIDV has not yet built a unique image in the minds of local customers, its products and services do not have many unique outstanding utilities. There is no policy or plan to build a unique image through the quality of operations, transaction style, and business processes. BIDV's image promotion has not been done regularly, continuously, systematically, consistently, and has not created highlights and impressions for customers. A professional service style has not been created, thereby highlighting BIDV's image in the eyes of customers.
- Customers often have to wait a long time to use BIDV's services because the procedures still have unreasonable points. Most of the procedures are mainly to ensure the safety of bank operations but do not pay attention to the fact that it can cause inconvenience and make customers wait. At customer transaction offices, the arrangement of transaction counters and the way of handling situations are not scientific, leading to congestion and customers having to wait a long time on busy days. There is no specialized department to guide customers such as: how to fill out documents, show customers to the corresponding transaction counter... so many customers coming to the bank for the first time are still confused and do not know how to do the procedures, which is both time-consuming and paperwork-consuming, causing psychological inhibition for both customers and bank tellers.
b) Objective influencing factors
- Vietnam in general and Son Tay Town in particular are still a market where payments are mainly made in cash. Currently, although there are some non-cash payment methods such as cards, checks, bank transfers, payments via POS/EDC card acceptance machines... applied in a
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The number of completed transactions has not yet reached the level of socialization. The level of education is not uniform, the lack of knowledge combined with the habit of hoarding and using cash every day has made it very difficult for non-credit services to develop. Many banking services are still very new to the majority of the population, combined with the average income of the people being low and the procedures for payment documents through banks not being improved to be simpler, so they are not suitable for the general level of the population, leading to many difficulties in providing banking services. The proportion of the population using banking services is still very low.
- Lack of synchronous infrastructure: For example, in the past time, to implement Directive 20 of the Prime Minister on salary payment via account, salary payment service via account has developed. Most agencies and units have implemented salary payment via account for staff (at the Joint Stock Commercial Bank for Investment and Development of Vietnam, Son Tay branch, the number of cards issued to serve this service is over 1,500 cards). The purpose of implementing the directive and developing this service is to encourage people, led by civil servants and public employees, to use non-cash payment methods. However, the ATM system is lacking, the number of card acceptance points is still low, the understanding of people and card acceptance facility owners is still low, so POS service has hardly developed. Salary paid into the account is immediately withdrawn in cash because in places where people use money the most such as markets, stores, etc., the card acceptance system is not enough and not available to meet people's payment needs.
- Fierce competitive environment: this is inevitable and it has a significant impact on the development of non-credit services of the branch. In a small area like Son Tay Town, by the end of 2014, there were 3 level 1 branches (Agribank Son Tay, BIDV Son Tay, MB Son Tay) and 4 transaction offices of other banks (Maritime Bank transaction office, Techcombank transaction office, Dong A transaction office, MHB transaction office). The newly opened commercial banks here have used many measures to attract and entice customers.
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customers such as promotions, gifts, interest rate increases, thereby causing many difficulties for the branch's business operations.
Above are some of the existing aspects and limitations of the development of non-credit services at the Vietnam Joint Stock Commercial Bank for Investment and Development, Son Tay Branch, the objective and subjective causes of these existing and limited issues. Understanding the causes will help us find solutions and measures to resolve the existing issues, propose recommendations to leaders at all levels to resolve difficulties, helping non-credit services at the Vietnam Joint Stock Commercial Bank for Investment and Development, Son Tay Branch to develop further.
Chapter 2 Conclusion
Chapter 2 of the thesis analyzed the socio-economic conditions of Son Tay town for the development of non-credit service activities of BIDV Son Tay Branch. This chapter provided a panoramic picture of non-credit service activities of Vietnam Joint Stock Commercial Bank for Investment and Development - Son Tay Branch.
Based on practical research and data collection, the thesis focused on analyzing the current status of the system of non-credit products and services: payment services, trade finance, guarantees, foreign currency trading...profits from services at the Joint Stock Commercial Bank for Investment and Development of Vietnam - Son Tay Branch.
Through analyzing the current status of non-credit service activities of Vietnam Joint Stock Commercial Bank for Investment and Development - Son Tay Branch, the thesis has evaluated the current status from two perspectives: Achievements, existing limitations, and at the same time pointed out the causes of limitations to create a practical basis for solutions and recommendations in the next chapter.
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CHAPTER 3: SOLUTIONS TO DEVELOP NON-CREDIT SERVICES AT VIETNAM JOINT STOCK COMMERCIAL BANK FOR INVESTMENT AND DEVELOPMENT, SON TAY BRANCH
3.1 Orientation and development of non-credit services at Vietnam Joint Stock Commercial Bank for Investment and Development, Son Tay branch
3.1.1 Orientation for developing non-credit services at Vietnam Joint Stock Commercial Bank for Investment and Development, Son Tay branch until 2020
According to international practices and standards, the assessment of a bank's performance is based on the assessment of four criteria: "Safe Development - Quality".
- Effective - Sustainable", to fully implement those criteria, BIDV determines that developing non-credit services plays an important role, creating a sustainable foundation for BIDV's long-term development in the direction of becoming the leading modern commercial bank in Vietnam. Accordingly, it is necessary to have a strong shift in BIDV's non-credit activities, towards increasing both scale, efficiency and quality; identifying this as a core business activity, it is necessary to continue investing, creating breakthroughs in banking activities in the coming time with the goal of:
Goal by 2020: Develop effective and quality non-credit services, hold the largest market share in terms of outstanding credit, capital mobilization and non-credit services.
3.1.2 Objectives for developing non-credit services at Vietnam Joint Stock Commercial Bank for Investment and Development, Son Tay branch by 2020
To concretize its product and service supply orientation and contribute to making BIDV a modern multi-functional financial group equivalent to major banks in the country and in countries in the region, Son Tay Branch has set for itself a number of specific development goals:
First: Turn the Branch into a modern, multi-functional, sustainable bank branch with a strong brand, financial capacity, and qualifications in technology, human resources, and banking management.
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Second: The branch has a diverse and multi-utility banking service system oriented towards the needs of the economy on the basis of continuing to improve the quality and efficiency of traditional banking services, while quickly accessing high-tech banking and financial services to best meet the needs of the economy and maximize added value.
Third: Strengthening the connection and cooperation with credit and non-credit institutions in researching and developing banking products and services according to market demand. Closely linking credit and non-credit services, between banking services and non-banking financial services to diversify types of quality banking services.
Fourth: Diversify service distribution channels by promoting the development of new, modern distribution channels to increase convenience for customers. In addition, strengthen the development of payment agency services.
Fifth: Have a stable customer base to promote the provision of banking products and services.
Sixth: Continue to search for locations and research market demand to expand the network of transaction offices in the same business area.
Based on the overall strategic orientation for developing banking services of BIDV Vietnam and the service development plan in each phase, the branch proceeds to implement the steps.
To successfully implement the strategic orientation on service development set forth by BIDV Vietnam, and at the same time overcome the shortcomings and weaknesses in the development of banking services in the past, the branch needs to find appropriate and feasible solutions, suitable to its capabilities, exploit advantages and take advantage of resources to develop banking services in the most successful way.
With such goals, the branch identifies service development, especially non-credit services, as a strategic focus, becoming a competitive advantage to help the branch develop sustainably in the future.
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