COMMBANK CASE Introduce Commonwealth Bank of Australia (CBA) Commonwealth Bank of Australia (CBA) is the largest company listed on the Australian Stock Exchange and the largest retail bank in Australia, with a presence in New Zealand, Europe, and the Asia-Pacific region. They are Australia’s leading provider of integrated financial services, including retail, premium, business and institutional banking, funds management, superannuation, insurance, investment and share-broking products and service. With a lot of operations, CBA need the most complex IT system and spend more on IT than any other institutions in Australia, we will study the impact of IT on CBA’s business. IT involves any banking operations Today, banking environment has become …show more content…
Information technology was rapidly changing customers’ expectations of banking and creating opportunities to develop profitable new products and services. At that time, CBA’s existing IT operation was costly, relatively inefficient, and at times unreliable. A business-oriented CIO, Mr. Harte quickly saw a need to transform the bank’s IT so that it could become a driver of business value instead of a cost center. In 2010, CBA achieved its bold 2006 goals with a top ranking in customer service in many areas and a cost-to-income ratio of 40 percent. According to a report by the Boston Consulting Group, CBA was the ninth-top-performing bank in the world from 2005 to 2009, in the top 10 by market capitalization in 2010. In 2012, it was ranked the twelfth-safest bank in the world by Moody’s, Standard & Poor’s, and Fitch …show more content…
Security breaches in which data is compromised could also be classified as an operational risk, and recent instances in this area have underlined the need for constant technology investments to mitigate the exposure to such attacks. As other competitors, CBA had mitigated their risk and problem related to that updated system to HP Enterprise. So, HP Enterprise is solely responsible for management and maintenance of integration HLS system and UNIX system. In few recent years, CBA increased spending on IT security and resilience of IT systems, enhanced IT testing requirements (e.g. pre-product launches) and started integrating IT security and resilience into risk models.