Less is more
Article Abstract:
Efforts to build and effectively use data warehouses have failed in many banks. The most common reason for such failure is the complexity of the projects, with database marketing executives getting overly ambitious even before gaining a basic understanding of the concept. There are numerous pitfalls in constructing data warehouses. These include the difficulty of combining source information from a huge number of disparate systems, the uncertainty about the goals and objectives of the warehouse, the lack of complete and consistent data, and time and cost overruns. Given these challenges, financial institutions are carefully considering whether they should create a comprehensive warehouse or opt for a less complex arrangement such as a data mart. A data mart supports just one set of products, uses fewer data feeds and is often used by internal analysts.
Publication Name: Banking Strategies
Subject: Business
ISSN: 1091-6385
Year: 1998
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Year 2000 outsourcing: trust but verify
Article Abstract:
Bank managers are urged to evaluate details of their contracts with the vendors or specialists they hire to solve their Year 2000 computing problems. They are advised to carry out some form of check and balance on the vendors' work, particularly the personnel assigned to their account. They should also see to it that they retain all critical records associated with the contract. Moreover, bank managers are encouraged to verify the expertise of the vendors, taking into consideration their previous projects and relationship with past clients. They should also consider the various factors affecting the solution of their computing problems. These include code modification and testing, impact analysis, tool customizations, and regulatory issues.
Publication Name: Banking Strategies
Subject: Business
ISSN: 1091-6385
Year: 1998
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Connecting with customers
Article Abstract:
Decision-support systems have improved the ability of bank sales personnel to respond to client needs and market services. These systems use specialized software to provide salespeople with information about a customer they are dealing with. Product suggestions for specific customers are also supplied. However, managers must realize that the effectiveness of these systems depend on the education of its users. This means that investments must be made on training to ensure that sales people understand the company's business strategy and how these relate to the data provided on their screens. Moreover, the relative newness of these systems has made it difficult to quantify their actual impact on profitability.
Publication Name: Banking Strategies
Subject: Business
ISSN: 1091-6385
Year: 1999
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