Banking on Productivity

• Main Author: LIM, Chu Yeong
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2012
• Subjects: banking; productivity; financial institutions; Accounting; Human Resources Management
• Online Access: https://ink.library.smu.edu.sg/soa_research/909; https://ink.library.smu.edu.sg/context/soa_research/article/1908/viewcontent/BankingProductivity.pdf
• Institution: Singapore Management University

Streamlining processes and improving productivity in the accounting function has been identified as the single most important challenge in a survey of the Institute of Management Accountants (IMA) members conducted in 2011. This is despite the majority of members indicating that they have achieved significant long term productivity improvements. Some of the other challenges identified by the interviewees include managing change in a global environment, implementing an enterprise resource planning system and connecting finance to front office. Automation and investing in data analysis/ business intelligence tools are some of the tools used by the interviewees to improve productivity (IMA, 2011). In this article, the same theme of productivity improvement will be followed. Although this article is primarily set in the context of banks, the same principles may be applicable to non-banks. This article is organised as follows: The first section covers the interaction between accounting and other functions. This is followed by discussions on the measurement of productivity and the possible obstacles to higher productivity in banks respectively. Finally, it concludes by suggesting possibilities to enhance productivity.