Customer Relationship Management

Customers tend to have products and services from multiple product areas across a Bank. It is important to bridge these divisions both from the Bank's perspective - so that a group wide view of customer risk can be assembled - and from a customer perspective - so that a single customer isn't faced with myriad service personnel.

Given these requirements CRM is a vital part of Banking Operations. We have disaggregated this operational area into three key units.

1. Customer Risk
2. Customer Static
3. Contact Management

Further details about each of these units can be found in the Customer Relationship Management section of the Banking Framework Scope page.

Howbankswork.com presents reports and articles on themes relevant to Banking Operations. To help you find information easily we have listed below all the reports and articles that relate to the CRM units described above.

Related Articles

This article covers what has happened to Interbank markets over the last 6 months, why this has happened and the expected impact on IT and Operations.

There are two main areas of change as a result of the credit crunch for IT and Operations;

• Stop / Run down programmes
• New MI based on Capital

These are discussed further in the article.

This Appendix highlights why Banks lend to each other and the three means that are used;

• Money Market Loan and Deposits
• Syndicated Loans and Loan Markets
• Securitisation and CDOs

These mechanisms, whist technically independent are not completely so. If for some reason banks are unwilling to lend to a particular banking organisation it is probably because they do not believe that organisation’s loans to its customers are very good. Hence trying to sell these loans via Syndicated Lending or Securitisation may not be fruitful either.

This article provides a lucid summary of the New Basel Capital Accord and describes the risk MI requirements that will require change in a Bank's processes and systems.

This article relates the requirements of Basel II and IAS 39 to functional gaps in the MI systems Banks currently have in place and suggests solutions.

This article describes what new business processes and MI will be needed to support the Operational Risk requirements of Basel.

This article examines the key strategies and technologies currently being pursued in UK Banking Operations departments and provides some discussion of the implications for customer service.

This article assesses the likely impact of recent technologies and strategies for customers. This topic relates to more general customer relationship management although there is no specific discussion of CRM from a Bank's perspective.

This article is based around an interview between Ray O'Brien - managing director of risk consultancy E1Works - and the Howbankswork team. The interview provides some interesting views on the risk work currently developing in the major Banks and what the solutions are likely to be.

Related Links

The links below provide further information relevant to CRM.