The integration of human resources (HR) would be the main focus area in the amalgamation of Indian Bank and Allahabad Bank, said Padmaja Chunduru, MD & CEO, Indian Bank.
Addressing the first town hall meeting after the boards of the two lenders approved the amalgamation, she said in the process, the banks faced two issues — technology and integration of HR.
Last week, the boards of Allahabad Bank and Indian Bank gave its in-principle approval for the amalgamation. The town hall meeting was held to address various challenges and discuss the growth potential of this merger.
Since both the banks worked on the common core banking solutions (CBS) platform, it would make the amalgamation relatively smoother and would open up new vistas of growth, she pointed out.
It was the integration of HR (to form a wider talent pool) that held the promise of strong growth for the merged bank and better career prospects for the employees, she added.
Deriving synergies
According to her, the bank would derive synergies from wider pan-India presence, economies of scale, higher investments in technology and improving productivity.
While exhorting the employees to continue their focus on business growth and customer service during the transition period, she said customers would benefit from better customised product and service offerings and digital initiatives that will be rolled out.
S.S. Mallikarjuna Rao, MD and CEO, Allahabad Bank, expressed confidence that the combined entity would turn into a ‘great bank in the future’.
“The customisation that had gone into the CBS platforms of both the banks will require deeper attention in the process of unification of products and services. There will be capacity for better adaptability to faster technological changes, achieving economies of scale,” he said.
