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Their Aim Was ‘to Explore The Motives And Overall Gains From Large ...

Their aim was ‘to explore the motives and overall gains from large cross-border bank mergers in the EU, focusing on the first large cross-border merger between Swedish bank, Nordbanken and a Finnish Bank, Merita'.
Their analysis was based on a series of interviews conducted with top and middle management of the new bank to develop a summarised ‘balanced scorecard model'. This particular concept was first introduced by Kaplan and Norton (1992) as a means to communicate a company's strategy to its separate business units. They could do this by identifying key success factors and measuring related key financial and non-financial performance indicators. The uniqueness of this approach is organising these measures into four different areas which are not only linked to each other but the strategy of the company. Hence it isn't just an appraisal tool but a means by which top management can communicate their overall strategy to each business unit.
My suggestion is that this balanced scorecard approach (BSA) could be used to assess the strategic goals of the big five UK banks. This would allow a stronger understanding of the motives as to why they would want to follow the .
The Financial Perspective focuses on the economic performance of the banks before and after the merger. Fulfilment of financial objectives either long or short term. Which financial and performance measures the bank management are emphasising in order to add economic value? What financial measures are used to stimulate revenue or profit growth and cut costs. Note that obtaining economic value added is a trade-off between increased profitability and increased risk. Hence you need to look at the bank's performance from a risk perspective P.48 (Wagner 2000). You can do this by breaking down a banks ROE into two components: return on invested funds (ROIF) and return on financial leverage (ROFL)
The customer perspective the underlying assumption is consumer value creation is positively correlated to the financial performance of the bank. Customer loyalty may be a key performance indicator and lead to an improvement in ROIF. Does the merger affected which customer areas are targeted? How is the bank ensuring customers are satisfied.
The Internal Business Process Perspective internal efficiency of the bank. What are the most essential internal processes to achieving profits and satisfying customers. Three sub-processes innovation, operations and post-sales service. Innovation: what products customer will need in the future. Product development etc. The operations process: production and distribution process. Post-sales service: what actions banks takes after customer has received their product or service. How does bank ensure product quality.

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