A key success factor is the thing that most affects the ability of a company to succeed in the market. A company must develop competence on its industry’s key success factors if it has to remain successful. Sound strategy incorporates efforts to be competent on all key industry success factors and to excel on at least one factor. The key success factors in the banking industry include:
1) Management –
Management plays a key role in ensuring success in almost any initiative within an organization. Nothing makes greater impact on an organization than when leaders model the behavior they are trying to promote among employees. For banks to succeed in their operations, good management practices must be employed.
2) Human Resource –
This refers to the individuals within the firm and to the portion of the firm’s organization that deals with hiring, firing and other personal issues. The strategic human resource is based on the deep knowledge of the organization’s processes procedures and the business strategy. A well managed human resource will lead to success in the banking industry.
3) Equipment and facilities –
These play an important role in the success of any industry. Banks should always ensure that they have modern equipment and facilities that are up to date and will enable them to carry out their duties effectively.
4) Cost of products and operations –
This is an important key success factor in the banking industry. Banks should ensure that he cost of their products is affordable to their customers and competitive within the industry and also reduce the cost of their operations so as to maximize profits. Banks should try to reduce the cost of their operations and maximize revenue so as to be successful.
5) Prices or Rates –
Pricing is a huge part of what makes a consumer choose a company or a product. Banks should set competitive prices and...