ORGANIZATIONAL STRUCTURE OF BANKS

Abstract

Analyzing the historical facts, we clearly see the original and leading role of banking in the financial industry. The bank, with its intermediary role, becomes a bridge of connection and a key injection of development and growth of economic units, which indirectly conditions the progress of society as a whole. With changing market conditions, its role also changes, but not in the direction of easy suppression from fierce market competition, but in the direction of supplementing its role as a consultant and manager of other people's property.
It must be emphasized that modern non-banking financial institutions are built on the postulates of traditional banking, as well as on the integrity and strength of each financial sector as a pillar of the development of a social community. However, many dynamic changes in the complex market environment affect the adjustment of the basics of banking activity in relation to its growing needs and demands. In the first place, the modernization of the banking system would mean the enrichment of the range of products through traditional frameworks in the direction of the activities of non-banking financial institutions, such as financial advisory services, cash management, equipment leasing services, work with securities, selling insurance policies and others.
The transformation of the service program in the bank inevitably leads to the adjustment of the organizational structure, which is inseparable from the functionality of the banking system in general. The process of globalization not only faces banking with a sharp increase from competition, but also requires functional and organizational restructuring of banks according to world frameworks and standards.
For a more efficient collection, direction and control of the distribution of bank assets by the management of the bank, it is necessary to expand the existing organizational structure in the direction of forming new departments and sectors. Another aspect of the changes in the banking organization is aimed at improving the quality of banking personnel and bank management. The development of technique and technology and the application of computer systems in the performance of banking services that automate and speed up operational work, reducing, to a significant extent, the costs of business operations, requires a wider knowledge and experience of banking staff in working with electronic equipment, and also customer education.