Alpha Bank: New investments of 430 million euros for the implementation of the transformation program

Alpha Bank announced total investments and restructuring costs, amounting to 430 million euros, for the financing of the transformation program of the  Bank that is already in progress and the achievement of the business planning, during the presentation of the program to all employees of the bank.

The central message during the big online event of Alpha Bank’s CEO, Vassilis Psaltis and its management team, was “We are changing Alpha Bank and, together, shaping the future of banking in Greece“, while pointing out that the evolution of the transformation program constitutes a substantial change for the bank and lays strong foundations for Alpha Bank to maintain its leading role in the greek market.

At the event, which marks the completion of a year of transformation in the bank, the identity of the alpha blueprint transformation program was presented, as well as the three main pillars of interventions, which are customer-centric growth, improvement of the operating model and enhancement of organizational efficiency.

“The implementation of the transformation program, core to the success of the strategic plan”

Mr. Psaltis also stressed the crucial importance of transformation in the success of Alpha Bank’s strategic plan, highlighted the priorities of the program and explained the latter’s connection with the new corporate culture and values of the organization. “The success of the strategic plan, which we presented in May and which has as its main objective the achievement of a return on equity of 10%, is based on the implementation of the ambitious transformation program.We are now ready for the next phase, that of a substantial, structural change of our bank,” he said.

As noted, among other things, the bank, sets as its main and ongoing goal the provision of the best customer experience, both in the stores and in the digital channels. “We differentiate our overall proposal depending on the market segment and profile of each customer. In other words, we change our organization, our processes, our products and our systems, in order to offer every part of our clientele the services they need, in time and in the way they need it.At the same time, we digitize the daily customer service in a series of transactions and in the sales of simple products. This will allow us to focus our attention on the customers and products that bring greater value to the bank”, underlined the CEO of Alpha Bank, pointing out that the catalyst for the transition is the utilization of modern technology.

Investments in technology exceeding 120 million euros

Mr. Psaltis argued that “the investment plan in technology for the entire perimeter of the transformation amounts to more than 120 million euros.”, adding that through these investments, the web and mobile banking sector is drastically strengthened, which is now becoming a key sales and service channel, with the store being upgraded to a hub for the provision of value-added services and substantial communication between clients and executives.

The CEO of Alpha Bank explained how the transformation program and the philosophy on which it is based are changing the way Alpha Bank is repositioning itself in society, as an active vehicle for progress, bringing sustainability to the center of its strategy and contributing to the formation of a new environment for banking in Greece.

The transformation program began in April 2020 and is expected to be completed in 2023. It provides a 25% improvement in productivity, while at the same time reducing average work time and operational risk and a net reduction in operating costs by 60 million euros on an annual basis, from all interventions, the use of technologies, the improvement of efficiency and the rationalisation of the operating model.

In Retail Banking, the aim is to achieve additional revenues of 60 million euros from interests and 65 million euros from commissions within 4 years. In Business Banking, the aim is to increase interest income by 200 million euros and the increase in commission revenue by 35 million euros by 2024.

Two new business centers will be created in Athens and Thessaloniki, a new sales team of transaction banking products, an entry gate and new transactions in Web Banking of businesses and a program to transfer business transactions from the branches to alternative channels.

Also, granting of small consumer loans to alternative networks (myAlpha mobile, myAlpha Web and check-out digital retailers), automatic credit decision-making at a rate of more than 50%, approval for consumer loans in less than one day, approval for a car loan in less than an hour, as well as more than 15 actions to enhance efficiency, reduce average work time and operational risk using Robotic Process Automation.

It was also stressed that Alpha Bank is now giving another dynamic to its image as an employer, with the aim of optimizing the experience of its employees to be able to continuously attract new talent from the market, while maintaining its leading position as an employer in Greece.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More