The modern world is highly globalized and run by modern technology and innovation (Boddy, 2016). In all aspects of the business section; digital technologies are highly used and affected profit, growth and operational activities. Along with the business performance through technology, another important weapon of a business firm is corporate social responsibility. This report will be categorized into two tasks. The first task will be discussed the technological effect on the banking sector especially for Lloyds Bank plc which is a British retail and commercial bank.
The report also will be focused on the process of affecting the operations, sales, profits and growth of Lloyds Bank plc through the use of modern and innovative technology. In the second task; the paper will be generalized the definition and necessity of Corporate Social Responsibility (CSR) for banking sectors especially for Lloyds Bank plc. Due to the application of Corporate Social Responsibility (CSR) in the Lloyds Bank plc, a model named Archie Carroll’s (1991) CSR model will be applied and discussed in detail in this paper. This paper will help Lloyds Bank plc to manage and proper use of technology and innovation along with the proper management of CSR activities.
1.1 Assess the impacts of innovation and technology on Lloyds Bank plc.
1.2 How innovation and technology has affected the operations, sales, profits and growth of Lloyds Bank plc
2.1 Evaluate the importance of Corporate Social Responsibility (CSR) for Lloyds Bank plc.
2.2 Apply Archie Carroll’s (1991) CSR model to Lloyds Bank plc.
Francesco Campanella (2015) stated that in every type of business, there is a great importance of technology and innovation. The first task contains the technological effect on the banking sector especially for Lloyds Bank plc which is a British retail and commercial bank. In addition, the report focuses on the process of affecting the operations, sales, profits and growth of Lloyds Bank plc through the use of modern and innovative technology. The headquarters of the bank is at 25 Gresham Street, London. The number of employees is 45,856 with an operating income of £17.5 billion and Net income of £16.6 billion (Lloyds Bank, 2020).
1.1 Assess the impacts of innovation and technology on Lloyds Bank plc
According to Morrison (2017), Innovation and technology indicate that the process of doing business functions through using tools and techniques by which costs and time are saved. In this competitive business world, every business tries to impose several tools and techniques for reducing their costs and increasing the quality of products and services (Paul Ndesaulwa, 2016). Jaraji Kikula (2017) stated that the main reason behind the use of innovation and technology is to satisfy customers for generating growth of the business. In the case of this paper, Lloyds Bank plc is selected to generate the impact of technological innovation on the performance of this bank. There are many positive impacts of innovation and technology on the functions of this bank.
Firstly, information technology helps a bank including Lloyds Bank plc to prepare and control the database management of the bank. In addition, information technology also helps the bank to create a strong communication and coordination strategy among the stakeholders of the firm (Hani et, al., 2018). Communication technology is very important for the banking organization to meet with the various parties for analyzing the situations and taking accurate decisions. For this reason, the information and communication technology helps Lloyds Bank plc to ensure database management and smooth communication within and outside the bank.
Hani et, al. (2018) mentioned that technological innovation helps in increasing the rate of internet and mobile banking, automated teller machines and computer software. According to Francesco Campanella (2015), these technologies help banks and clients to save time and costs for making transactions. These have a positive effect on the overall performance of Lloyds Bank plc. The clients can easily connect with the bank from remote areas that increase the fairness of the banking transactions. Jaraji Kikula (2017) also stated that these technologies also help to ensure the green banking activities of the bank by reducing paperwork. It has already been published that green banking has a greater positive impact on environmental protection.
Thirdly, the business intelligence of the banking sector can be increased through the use of technological innovation (Francesco Campanella, 2015). Lloyds Bank plc can generate new and modern ideas about the business process and develop various types of banking services for the customers (Lloyds Bank, 2020). These new, modern and quality services help to ensure the satisfaction of the clients. Lloyds Bank plc also can retain the clients for a long period with greater satisfaction and loyalty.
Additionally; digital technologies and innovation help the banking sector to record a huge amount of business data, analyze the data and help to manage business risk successively (Francesco Campanella, 2015). Lloyds Bank plc uses digital technologies and innovation for collecting data, analyzing the data very carefully to make the appropriate decision of risk management. The Lloyds Bank plc has faced several problems and challenges in the market. But digital technology and innovation help to overcome the problems of ineffective systems………………………….