ly lead to reduced profitability, emanating from the
reduction of their sales revenue. This will affect the objectivity of the
banking corporation, and therefore give an edge to its competitors in the
banking sector. Poor communication strategies will also affect the employees of
the organization. For instance, withdrawing important information to the
employees in regard to the objectives of the company, will make them loose
focus, and concentrate on their desires at the expense of serving the customers.
This will lead to poor and inefficient service, leading to loss of customers,
and again reducing the profitability of the business organization.
Poor communication with a corporation will result to a culture of rigidity,
and therefore limit the innovative capacity of its employees (Bell and John,
33). The competition in the banking organization is fierce, and to survive in
the market, it is important for the bank to encourage innovation. Lack of it, is
recipe for poor performance, therefore giving an edge to its competitors. To
encourage innovation, the banking organization must initiate proper channels of
communication, and increase incentives to anybody who comes up with better
business ideas.
Customers expect so much from the banking corporation. One expectation of
customers is honesty from the customer care staff, while giving information on
certain services of the organization. For instance a customer might approach the
customer care staff on the requirements of taking a loan, and how to repay the
loan. It is essential for the customer care staff to act in a professional
manner, and give out all the details concerning the issue at hand, and the
expectations of the customer.
By doing so, the customer care staff will help the banking organization to
create a brand name, that depicts honesty and reliability. This is an essential
element in attracting and retaining customers. Another expectation of a customer
is a speedy flow of information. Customers might require certain information
from the banking corporation, and to get the information, they need to contact
the customer care staff. The employee might need to consult, and gather the
information. This process should not take long. This is because it will create
anxiety on the employee, depending on the issue at hand.
There is also an issue of accessing their bank accounts. Customers require
mobility in accessing their bank accounts. Their presence at the banking
premises must not be essential, for them to access their banking account. They
may need details of their transaction, or to check the balance in their
accounts. The cooperation can device measures of ensuring that their customers
can access their accounts through the internet or even their mobile phones. This
will require a high degree of innovation.
Solution to the Problem:
One of the most effective methods of solving
the communication problem within the organization is to adopt the concepts of
open innovation. The cooperation needs to conduct a case study, and observe how
successful banking cooperation such as Barclays Bank, Citi Group developed their
communication strategies. The organization will thereafter adapt the strategies
that are beneficial to them. For example integrating Information Technology in
the organization is essential. This is a strategy that CEEMEA, a branch of Citi
Group Cooperation enacted as part of its communication strategies (Mohan,
27
