HDFC Bank has made vital progress on the expertise entrance throughout FY22, making adjustments on the foundational stage, creating new digital options and modernising its legacy core, MD & CEO Sashidhar Jagdishan stated in his message to shareholders within the financial institution’s annual report.
“I am happy to inform you that thanks to the progress we have made on our technology investments, processes and governance, the regulatory actions have been fully lifted. We converted the challenge into an opportunity and have made substantial strides in the way we evaluate, manage and operationalise our technology,” Jagdishan stated.
In December 2020, the Reserve Bank of India (RBI) had imposed a ban on digital launches and recent bank card issuances by HDFC Bank, following repeated situations of outages on the financial institution’s digital channels. The embargo on card issuances was lifted in August 2021, and the financial institution was allowed to go forward with recent digital launches in March 2022.
Jagdishan stated that on the foundational stage, HDFC Bank has shifted its main information centres to brand-new services in Mumbai and Bengaluru to assist larger uptimes and create a strong IT spine for its operations. It has carried out a clearly outlined capability monitoring programme to proactively handle capability upgrades throughout all key functions. A expertise obsolescence programme administration workplace has additionally been put collectively to plan and change obsolescent elements. The financial institution has additionally began putting in a next-gen catastrophe restoration (DR) arrange for key functions, amongst different issues.
In phrases of recent digital options, HDFC Bank is rebuilding its acquisition processes in partnership with a world expertise chief in consumer expertise. “We have already built 10 new journeys and will be rapidly rolling out new journeys every three weeks. This includes journeys across account opening, loans and cards, covering both individual/ MSME customers and both existing and new-to-bank customers,” Jagdishan stated.
The financial institution has already launched Xpress automobile loans, which is supposed to permit current prospects in addition to non-customers to avail disbursement in half-hour, with credit score selections primarily based on speedy information evaluation. In the subsequent few quarters, it plans to launch extra digital services and products, together with a brand new funds platform for its prospects, a funds platform for retailers and a wealth platform — all in partnerships with new-age tech firms.
HDFC Bank has moved from a system of partner-owned mental property (IP) within the realm of expertise to an “enterprise factory” setup, Jagdishan stated. Under the brand new setup, the financial institution’s expertise and digital groups will work in a brand new age startup-like surroundings and co-create deep-tech IP capabilities, he added.
In order to modernise its core legacy methods, HDFC Bank is following a ‘hollow the core’ technique. Under a 15-month undertaking, the financial institution, in partnership with a startup with expertise in core banking expertise, is co-creating new core banking modules. “This project will enable the moving out of payments module from existing core banking platform and help in creating a fully resilient active-active payments architecture that will ensure minimal payments downtime, even if core banking is not available,” Jagdishan stated.
The financial institution has arrange a brand new centre in Bengaluru, the place the crew is re-writing the cell and netbanking platforms. The total undertaking can be accomplished in a two-year timeframe and can enable the financial institution to personal a contemporary cloud-enabled platform. HDFC Bank additionally intends to roll out new options each three to 4 weeks, in keeping with digital fintech firms.
Jagdishan stated that the financial institution’s give attention to the client has resulted in an enchancment within the financial institution’s efficiency on complaints decision, with buyer complaints within the bank cards, debit playing cards, operations and collections entrance down by 21%.
Source: www.financialexpress.com”