Banks’ decision-making process needs to be improved: Vasudevan

Our Banking Bureau

Mumbai, Aug 3: Banks’ decision-making process needs to be improved, and the latest technological developments in data warehousing and data mining processes help them improve efficiency, said honorary advisor to the Reserve Bank of India (RBI) and author of the Vasudevan Committee Report, Dr Vasudevan.

Data gathering is limited and the data is of a low quality, now. This needs to be improved. Information is shared on only a few variables, which are deemed to be critical. Banks will have to undertake data warehousing strategies to reap the benefits of technology better.
In this context, he said the RBI has also initiated data warehousing on a gigantic scale to serve its own requirements. But the project would take some time to stabilize.

He was speaking at ‘The Knowledge Forum’, a meet for discussing data warehousing and data mining for banking and financial institutions, organised by SAS and Hewlett Packard.

Evidence of the banks’ commitment to technology is visible by the fact that the use of very small aperture terminals (VSATs) has increased, of late.

Work on the real time gross settlement system (RTGS) is also moving at a fast pace. RTGS is expected to help online settlements of monetary transactions.