Union Bank revamping itself for high growth
By Joseph Samson
Dec 28, 2007
Print    Email    RSS   

New Delhi: Focusing Small & Medium Enterprise (SME), Retail Banking and Agri-business as its growth vehicles,  Union Bank of India (UBI) is undergoing a major business process re-engineering (BPR) drive, which will make its branches more market oriented and customer centric.

UBI has decided to centralize the process of various loan sanctions. 33 select centers have been identified all over the country for this purpose, which will handle home loans, education loans, vehicle loans etc. The loan recovery process is also being strengthened by emphasis on diligent screening, active monitoring and comprehensive documentation of all loan applications. This re-engineering drive will help the bank position itself as a well equipped institution to grab the new opportunities in retail segment.

The processing and sanction of Small and Medium Enterprise (SME) loans will now be relocated to 15 specialized Centralised Processing Centres (CPCs) strategically located at industrial areas. The bank will involve credit rating agencies to get an idea of the credit worthiness of its customers and offer differential pricing based on the risk profile of a borrower.

Union Bank is also planning to extend its coverage in rural areas and bring around 25,000 villages under its service. Active use of Biometrics, information technology and hand held devices will be made to achieve this goal of providing door-step services to rural masses. Union Bank will also set up Village Knowledge Centers, which will spread banking awareness among concerned population.

The branches will now focus on marketing effort with regular back office processes like clearing work, account opening, issue of cheque book, dispatch of statement of accounts would be carried out from the centralised back offices. Union Bank is seeking the services of reputed Management Consultants, Boston Consulting Group to assist the bank in establishing this new business model and achieve new levels of growth.

(Comments Posted : 0) Post Your Comments
Show All Comments
 Select a product:

 Select a product:

The home loans interest rate story: The...
Manage your loans, avoid recovery agents
Get rid of your home loan faster
A chronicle of excesses by loan recovery...
Mortgage insurance’s relevance in India

PINJORE: CaℒL Giℛℒs In PiNjOrE 09915787550...
PINJORE: CaℒL Giℛℒ In PiNjOrE 09915787550...
how to gate my home loan certificate

Canara Bank earned a profit of 60%. Feb 6, 2015
New Branch of Laxmi Vilas bank at Vijayawada Jan 30, 2015
Home loan EMIs expected to drop down Jan 21, 2015
Corporation Bank received MSME banking excellence award 2014 Jan 19, 2015
Home loan rates set to fall, after reduction in repo rate Jan 16, 2015
News Archive