NongHyup Bank to build next-generation information system
NongHyup Bank said Tuesday it has launched a project to establish a “next-generation information system” that will enable the lender to offer data-driven, customer-oriented services.
The system will be in operation by as early as May 2023, helping customers of the bank to receive customized services anywhere in real time, it said.
“Starting with the successful launch of the project, we will be able to build up a core infrastructure for our digital transformation,” NongHyup Bank CEO Kwon Junhak said. “The bank will stand at the forefront of innovating businesses in a more customer-oriented manner.”
Ever since the start of the COVID-19 pandemic, Korea’s financial firms have been launching a series of similar digital projects amid the rapid growth of digital transactions. Earlier this year, leaders of the top banking groups also emphasized the importance of enhancing digital expertise by discarding conventional and conservative attitudes prevalent in the banking industry here.
KB Savings Bank also shared its plan recently to introduce a next-generation digital system by September. The move is aimed at providing integrated customer-oriented services across many sales channels — including mobile devices, physical branches and even call centers, according to the KB subsidiary.
The growing preference for digital transactions will also likely push more banks to reorganize their IT and digital systems. According to data from the Korea Federation of Banks, the number of sales offices from the nation’s commercial banks came in at 3,316 as of the end of 2021, down by 230 from the previous year.
“Regardless of whether the pandemic ends or not, the number (of sales offices) is expected to be on the gradual decline, as banks are more likely to maximize efficiency by cutting fixed costs in running such branches and increase investments in setting up more secure and convenient digital platforms,” an industry source said.