IDBI Bank - Innovation unlimited
I hope you havent got too bored by now and switched windows to browse some picture of Salman Khan or Ash, as your preference may be. But if you are still here then read on- as to how IDBI Bank changed my views on innovation in the financial sector.
I had till recently held the errounous view, that innovation in this sector could not provide a sustained competitive advantage. New financial provides could be easily copied. If it requires complex IT solns, then it would take about a month for a competing institution to introduce the product in the marketplace. So, the advantage of an innovative new product could at best be Fleeting.
But what if a financial institution has developed a culture of sustained innovation? Can this provide a "Sustainable competitive advantage"? Can there be a 3M of the financial world?
I believe now tha answer is an emphatic YES, and i was lucky enough to see a glimse of it in IDBI Bank.
From simple ideas like provide portfolio value of demat accounts through mail, instant account opening packs , 100 % housing loans and ATM based on open source s/ware, it was innovation unlimited. Gunit Chadha and his team had done an unparalled job at the bank.
I had till recently held the errounous view, that innovation in this sector could not provide a sustained competitive advantage. New financial provides could be easily copied. If it requires complex IT solns, then it would take about a month for a competing institution to introduce the product in the marketplace. So, the advantage of an innovative new product could at best be Fleeting.
But what if a financial institution has developed a culture of sustained innovation? Can this provide a "Sustainable competitive advantage"? Can there be a 3M of the financial world?
I believe now tha answer is an emphatic YES, and i was lucky enough to see a glimse of it in IDBI Bank.
From simple ideas like provide portfolio value of demat accounts through mail, instant account opening packs , 100 % housing loans and ATM based on open source s/ware, it was innovation unlimited. Gunit Chadha and his team had done an unparalled job at the bank.
posted by tvm at 10:58 PM
3 Comments:
Hi,
You are doing a great job. This is the first Indian blog on investment banking / banking i have seen. keep up the good work.
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bala
(also it would be greatly helpful if you also haloscan commenting. using this commenting is tedious as blogger requires logging in everytime to write a comment)
Great going Mr A=p(1+r)^n, all the four pieces were interesting to read. looking forward to learn more abt DALAL STREET...............
thanks bala for the kind words.
changed the posting settings
tvm
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