Changing the Banking Model of Service for Corporate Clients
https://doi.org/10.26794/2220-6469-2022-16-2-89-102
Abstract
The author examines the peculiarities of the work of banks, the regulatory and competitive pressure on which has increased significantly in the last 10 years, which negatively affects the profitability of their activities. The purpose of the study is to find the optimal model for the interaction of universal banks with corporate clients, which provide most of their income and profits. The theoretical and methodological basis of the study was the scientific work of foreign scientists and experts on improving the efficiency of banks’ work with corporate clients. Methods of qualitative and quantitative analysis of scientific publications, analytical materials of well-known consulting organizations, and statistical data were used. As a result of the study, the author concludes that in a significantly more complicated and unstable macroeconomic environment, it is expedient and beneficial for banks and companies to reconsider the nature of cooperation and proposes a new model for servicing corporate clients by banks, in which each party will deepen its specialization.
About the Author
V. D. Smirnov
Financial University
Russian Federation
Russian Federation
Vladimir D. Smirnov — Cand. Sci. (Economics), Associate Professor, Department of World Finance
Moscow
References
1. Buehler K., Burkhardt R., Dietz M., Khanna S., Lemerle M., Mehta A., Nadeau M.-C., Rajgopal K., Sengupta J., Sieberer M., White O. A test of resilience: Banking through the crisis, and beyond. McKinsey Global Banking Annual Review 2020. Washington, DC: McKinsey & Company; 2020. 52 p. URL: https://www.mckinsey.com/~/media/mckinsey/industries/financial%20services/our%20insights/mckinsey%20global%20banking%20annual%20review%202020%20a%20test%20of%20resilience/a-test-of-resilience-banking-through-the-crisis-and-beyond.pdf
2. Benintende F., Floetotto M., Kuyoro M., Pinter Z., Van Oostende M., Wos A. Seeds of outperformance: How M&A can help banks thrive in the next normal. Washington, DC: McKinsey & Company; 2020. 10 p. URL: https://www.mckinsey.com/industries/financial-services/our-insights/seeds-of-outperformance-how-m-and-a-can-help-banks-thrive-in-the-next-normal
3. Garvey J., Bichard J., Dr. Wackerbeck P., Alexander O., Burns P., Hughes C. Securing your tomorrow, today. The future of financial services. London: PwC; 2020. 27 p. URL: https://www.pwc.com/gx/en/financial-services/pdf/pwc-the-future-of-financial-services.pdf
4. Grasek B., Stoklosa M., Lord N., Zerbe K., Dobreva I., Miotto G., Kenny R., Shah V., O’Kelly R., Rosberg M., Walsh D., Davis J., Khutti N., Becker A., Karlstrom M. Striving to sustain returns. New York: Morgan Stanley; 2021. 37 p. URL: https://www.oliverwyman.com/content/dam/oliver-wyman/v2/publications/2021/apr/Oliver-Wyman-Morgan-Stanley-Wholesale-Banks-2021.pdf
5. Kent S., Kamyk K., Freddi R., Chikova D., Pastore E., Pethe S. New decade, new crisis: European retail banking radar. Chicago, IL: Kearney; 2020. 23 p. URL: https://www.kearney.com/documents/20152/23369618/Retail+Banking+Radar+Articles.pdf/ae39a46a-9bac-09e9–66f3–55f6beb0e5db?t=1608470935000
6. Le Boulay G., Saujana E., Dany O., Goyal D., Baumgaertner C., Van den Berg P., Beetz E. S., Benayad A., Orain F. The new reality for wholesale banks. BCG. Nov. 07, 2019. URL: https://www.bcg.com/publications/2019/new-reality-wholesale-banks
7. Malhotra S., Senant Y., Drummond A., Ampenberger M., Batra I., Strauss M., Roongta P., Dab S., Tfeli A., Tan T., Bussey K. Global payments 2019: Tapping into pockets of growth. Boston, MA: BCG; 2019. 27 p. URL: https://web-assets.bcg.com/img-src/BCG-Global-Payments-2019-Tapping-into-Pockets-of-Growth-September-2019-rev_tcm9–231986.pdf
8. Smirnov V. D. Changes in the financial function of companies. Mir novoi ekonomiki = The World of New Economy. 2021;15(3):56–68. (In Russ.). DOI: 10.26794/2220–6469–2021–15–3–56–68
9. Bhattacharya S., Thakor A. V. Contemporary banking theory. Journal of Financial Intermediation. 1993;3(1):2–50. DOI: 10.1006/jfin.1993.1001
10. Boot A. W.A. Relationship banking: What do we know? Journal of Financial Intermediation. 2000;9(1):7–25. DOI: 10.1006/jfin.2000.0282
11. Petersen M. A., Rajan R. G. The effect of credit market competition on lending relationships. The Quarterly Journal of Economics. 1995;110(2):407–443. DOI: 10.2307/2118445
12. Lewis M. K. Modern banking in theory and practice. Revue économique. 1992;43(2):203–227. DOI: 10.2307/3501990
13. Miwa Y., Ramseyer J. M. Does relationship banking matter? The myth of the Japanese main bank. Journal of Empirical Legal Studies. 2005;2(2):261–302. DOI: 10.1111/j.1740–1461.2005.00051.x
14. Guo Y., Holland J., Kreander N. An exploration of the value creation process in bank corporate communications. Journal of Communication Management. 2014;18(3):254–270. DOI: 10.1108/JCOM-10–2012–0079
15. Guo Y. Implementing relationship banking strategies and techniques and improving customer value. Finance and Market. 2017;2(2):14. DOI: 10.18686/fm.v2i2.980
16. Degryse H. A., Ongena S. Bank relationship and firm profitability. Financial Management. 2001;30(1):9–34. DOI: 10.2307/3666389
17. Ogura Y., Yamori N. Lending competition and relationship banking: Evidence from Japan. Munich Personal RePEc Archive. MPRA Paper. 2009;(16707). URL: https://mpra.ub.uni-muenchen.de/16707/1/MPRA_paper_16707.pdf
18. Dietz M., Ferreira N., Nadeau M.-C., Sengupta J. The great diversion. McKinsey global banking annual review 2021. Washington, DC: McKinsey & Company; 2021. 54 p. URL: https://www.mckinsey.com/~/media/mckinsey/industries/financial%20services/our%20insights/global%20banking%20annual%20review%202021%20the%20great%20divergence/global-banking-annual-review-2021-the-great-divergence-final.pdf
19. Evans C., Colyer T., Howard-Jones D. A credit renaissance is beginning. New York: Oliver Wyman; 2021. 10 p. URL: https://www.oliverwyman.com/content/dam/oliver-wyman/v2/publications/2021/aug/a-credit-renaissance-is-beginning.pdf
20. Soares J. Investors have soured on Europe’s banks, and now a downturn looms. Boston, MA: Bain & Company; 2019. 12 p. URL: https://www.bain.com/insights/investors-have-soured-on-europes-banks/
21. Smith K., Rorrer J. Data driven mastery in commercial banking. Dublin: Accenture; 2021. 22 p. URL: https://www.accenture.com/us-en/insights/banking/data-driven-mastery-commercial-banking
22. Barbey R., Bujon de l’Estang T., Burghardt M., Carlos M., Dab S., Levet J., Senant Y., Subramanian S., Tang T., van den Berg P., Wee C. K. Corporate treasury insights 2016. Boston, MA: BCG; 2016. 16 p. URL: https://www.bcg.com/publications/2016/financial-institutions-corporate-treasury-insights-security-client-experience
23. Agrawal A., Eklund S., Waite J., Woodcock E. Finance 2030: Four imperatives for the next decade. Washington, DC: McKinsey & Company; 2020. 7 p. URL: https://www.mckinsey.com/business-functions/operations/our-insights/finance-2030-four-imperatives-for-the-next-decade
24. Malek V., Rychlik P., Michniak P., Mlynski P. Business partnership: Inside the intelligent finance function. Amstelveen: KPMG; 2015. 52 p. URL: https://assets.kpmg/content/dam/kpmg/pdf/2016/03/pl-Report-KPMG-in-Poland-Business-partnership-Inside-the-intelligent-finace-function.pdf
25. Senant Y., Ampenberger M., Mathur A, Batra I., Clavel J., Dab S., Malhotra S., Nowicki S., Roongta P., Strauss M., Tfeli A., Vaca A. Global payments 2020: Fast forward into the future. Boston, MA: BCG; 2020. 34 p. URL: https://web-assets.bcg.com/7c/e0/596af1214f32820093f1f88c05f0/bcg-global-payments-2020-fast-forward-into-the-future-oct-2020–1.pdf
Review
For citations:
Smirnov V.D. Changing the Banking Model of Service for Corporate Clients. The world of new economy. 2022;16(2):89-102. https://doi.org/10.26794/2220-6469-2022-16-2-89-102
Views:
333
Email this article 