Table of Content Executive Summary 1 Statement of the Problem 2 Areas of Consideration 3 PEST analysis 3.A Internal Environment 3.B Assumption 4 Alternative Courses of Action 5 Analysis of Alternative Courses of Action 6 Recommendation 7 Plan of Action 8 Conclusion 9 Appendix 10 Curriculum Vitae 11 Acknowledgement The completion ot this case study could not have been possible without the assistance and support of some people whose name may not all be innumerable. Their contribution are sincer ely appreciated. However, I would like to express my deep appreciated particularly to the ffollowing: To my family for there support financially and morally this would never happen withput them, For my classmates who give some ideas , and for Mrs. Marlou Abadinas who sends some loa d. Above all to our all mighty God who gives us knowledge and wisdom. Executive Summary Banco de Oro Unibank, Inc. Also known as Banco de Oro and BDO, is the seconda la rgest bank in the Philippines in terms of assets and is owned and is ownedby the SM Group of comp anies, the group company of SM in terms on industry leading retail merchandising,shopping mall opp erations, banking and its products are its financial services . Its rain headquarters is situated in 12 AB D Avenue Ortigas Center Mandaluyong City Philippines. As a universal bank, BDO provides a wide r ange of corporate, commercial, retails and investment banking services in the Philippines. These ser vices include traditional, insurance, and crefit products as well as treasury , trust, cash management, insurance, and credit card services. BDO's principal market are currently a select niche in the corpor ate, market and the middle market banking seant, consisting of mid-sized corporations, the small and medium-sized enterprise market and retail/consumer market. 1 Statement of the Problem This study aims to focus on the loan services offered by the bank Specially , it sou ght to answer the following question: 1. What are the different loan services innovations made by the BDO Unibank? 2.Is there clear evidence that there is an increase in profitability within the bank? 3. How do the above mentioned innovations affect the following performance indicators 3.1 Profitable 3.2 Growrh rate 3.3 Retur of assets; and 3.4 Return of equity 4. How does in contribute to the development of the BDO loan services? .5 How does if affect in customer's satisfaction and patronage? 2 Areas of Consideration At the time of merger PCI is the 3rd largeat bank and BDO is the 5th largest bank in ter ms of asset. In the Philippines and PCI had almost three timea the capital BDO Equitable PCI bank was known for a wide range of services from savings to insurance and, its wholly-owned subsiding equiptable CardNetwork, was the largest Philippine cr efit card issuer. It received many works and recognitions since the time it establish. In the 90's PCI was known to be tha most aggresive bank in terms of acquisitionand me rger but then in 200, BDO become the most aggressive. Equitable PCI's debr rating is currentlt a B and Banco de Oro has B+ ratinv Since 2004, BDO wanted to merger with PCI; it was only successful on december 2006 with the formation of Banco de Oro Unibank. Inc. 3 PEST analysis PEST analysis for the banking indusrty . Thr banking insduatry affects all the countries . But it's subservient to many factors l, particularly to the government and to economy. Bank are unabl e to behave independently and must provide services base or the laws taht affect their growth and of ferings. This PEST analysis highlights key factors affecting the banking industy Political factors: A tool for the big guys. The banking sector looks all powerful but it's susceptibleto a b igger giant: the government Economic factors: easily influence the bankinh industry and the economic are tied. How income flow s weather the economic prospering or babrely surviving during timea of recesition, affects how much capital banks can access. Spending habits, and the reasons behind them , afects how much capital banks can access. Spending habits, and the reasons behind them , affect when customers borrow or spend funds at banks. Sociocultural factors:consumers want ease cultural influences such as buying behaviors and necess ities, affect how people see and use banking options. Peopleturns to banks for advice and assistanc e for loans related to business, home and academics. Consumers seek knowledge from bank tellers regarding saving acoounts, bank related credit card, investments, and more. Technology factors: ssmartphones to the rescue. Once, it was expected to visit the local bank to mak e changes to financial accounts. But not anymore. Many banks offer a mobile app to witness account s , transfer funda, and pay bills on smartphones. 3.A Internal Environment Being the premier universal bank in the country, BDO has utilized its strength in building cust omers loyalty throughout the years. With their slogan " We Find Ways", the bank has been able to bui ld a strong customer base to the extent on operating in extensive banking hours. Table1:BDO SWOT analysis Strength Advance Technology, customers loyalty, strong and competent management, diverse and innovative services, extensive banking hours . Weakness Limited international presence, limited presence in the rural areas, inconsistencies in customer servic es Oppotunities Explosion for foreign markets, merhe with other banks, increase exposure in the Philippines. Threats Tight competition in the market no substitute for financial services, increased amount of foreign banks , government regulation, ASEAN ontegration 3.B Assumtion BD o wanted to improve the facilities of the internal and external training they offer through th eir courses. Up until now, all their tarining was delivered in brick-and-mortar classes , whicj resulted i n high traning facilities , high cost of printed materials, high cost of instructors- responsible for all the face to face training , evaluations, practices and assessment of courses, additionally, because the o nly small amount of earners could participatein each course. The possible outcomes that may appe ar if this problem may not be solve as soon as possible the result would be a decrease percentage of the performance of the company that could lead into a serious problem it could be the loyalty of th ere customers . 4 Alternative Courses of Action BDO academy chose TIME To KNOW 's trainingning platforms to take their training to t he next levell witb easy engaging content creation, moving to a blended leaning environment and re al time actionable insights on performance and engaged. TiME To KNOW enables BDO to have a di gital training flow, creating 914 digital content items in 3 months, and conduct practice and assessm ent . Thank to these capabilities, TIME TO KNOW shortened the need for high cost training facilities . As a result BDO could offer a larger number courses while maintaining facilities and instructo6s ba se. Above all , following a successful implementation of the training platform, BDO increased their rev enue by 20%. 5 Analysis of Alternative Courses Equitable PCI bank and BDO remain two single entities Advantage Retention of the name which it took the long years establish No possibilityof lay-offs of the employees The top management wwould retain their position The bank would remain independentand and can grow on its own and can still achieve the hi ghest rank in the market with their effective competitive strategies Disadvantages: Bank might incur higher coat for capital generation Expansion to become the nation's largest would entail more cost of capital To become the nation's largest would take time and might be impossible since at the time ban king business were dominatedby 2 major players namaely MetroBank ang BPI 6 Recommendation TIME TO KNOW shortened the need for high cost training facilities. As a result BDO could offer a larger number courses while maintaining facilities and instructo6s base. Above all , following a successful implementation of the training platform, BDO increased their revenue by 20%. Since the out come of this training had been increase in 20 % there for this are the possible sulution . 7 Plan of Action Improving their services and facilities includes: Electronic online services and call center Speed of doing tasks Fair facilities BDO should also focus on improving their systems as well as developing their systems one's in order to better improve satisfaction services which will then lead to better customer satisfaction. Improving their system includes: computer system, internet banking, phone banking, and ATM terminals 8 Conclusion In conclusion BDO are one of the well known bank here in the Philippines and also it really had a great management for they come up qith the idea that really solve their companies problem and really shows the growth to their company and show to their customers that BDO are worthy of there loyalty. 9 Appendix https://enabley.io/case-studies/bdo-case-study/ https://www.scribd.com/doc/46829705/Final.stramos https://www.scribd.com/document/26522685/Ba-case-Analysis-Finals https://pestleanalysis.com/document/265522685/Ba-case-analysis-finals https://www.scribd.com/doc/285456859/17-curriculum 10