With United Bank of India planning an IPO in December, the state-run bank is embarking on a major image revamp. But first, it?s scouting for the right consultant.
?For a bank of our size we need to have consultants like BCG (Boston Consulting Group) or McKinsey,? said SC Gupta, CMD, UBI. ?The consultants will look into the product-wise profitability of the bank. They will have a look into our processes and come out with a plan for business process reengineering,? he said. The consultant is likely to suggest the bank on a number of issues, including marketing, employee training and a set-up for a next generation bank. ?We have to train our people to meet challenges like risk management, Basel II requirements,? Gupta said.
The bank is also looking at a new logo, but that will happen only after the IPO. ?Today we have a logo which is typical of agriculture, which has a limited value. Agriculture is around 10% of the company?s total exposure. That cannot reflect our true strength,? he said.
It is also looking at a major upgrade on the technology front and has roped in Infosys and HCL. ?Instead of internet banking we are going to offer online banking where you can physically move your balance within the bank. Similarly, there will be mobile alerts. The advantage of entering late is you have the latest technology available,? Gupta said. On the business front, UBI is looking at a target of Rs 1, 25,000 crore by the end of this fiscal, an almost two-and-a-half fold growth over the previous fiscal. The bank is expecting a 25% growth in credit during 2009-10, while deposits are projected to expand by 21%.