A strategic management paper for Philippine Business Bank / Christian M. Tan.

Thesis (M.A)--Pamantasan ng Lungsod ng Maynila, 2023.

A strategic management paper presented to the Faculty of the PLM Business School -- Graduate Program in partial fulfillment of the requirements for the degree Master in Business Administration.

Banking industry is currently experiencing strong growth due to increase in loans, investments, and the demand for new bank deposits brought on by technological advancement in all industries. Banking sector in the Philippines is estimated to be worth PHP 309 billion as of 2022, up from PHP 224 billion the previous year, according to report published by Bangko Sentral ng Pilipinas in 2022.

Banking industry must occasionally adapt to changes and significant development because it is significant part of the Philippine economy. The demand for financial services increases exponentially as Philippine economy expands. Therefore, in order to maintain customer loyalty and grow market share, industry players must continually adjust to the growing demand and improve their services.

China Bank Savings Inc. and City Savings Bank are the two competitors of Philippines Business Bank identified for this strategic management paper based on market share and income level based on the financial statement year 2021. Porter's Five Forces, were used to analyze the baking industry. Five Forces were carefully examined in relation to the sector and the businesses that make up that sector.

The business operations of Philippine Business Bank were examined for both external and internal factors to achieve the company's current state, both financially and operationally. Culture, Management, Financial, Operations, Information System and Research and Development are the internal analysis factors that were taken into account for this essay. The economic, competitive, legal, political, and government factors, on the other hand, were taken into account when conducting an external analysis. Forces from society, culture and technology.

The findings and evaluation of the industry,internal and external factors concerning the chosen company were further analyzed using 5 matrices to analyze the industry competition, company, and service segment performance and identify possible growth and new opportunities.
The top 3 strategies that were chosen according to the results of the matrices were the following|: 1. Establish a partnership with an existing virtual account opening company.. 2. Venture into the development of online banking with bills payment, sending money, and applying for loan products. 3. Invest in the development of a data analytics platform to strengthen consumer analysis and further expand market share.

These 3 strategies were thoroughly examined and graded through the Quantitative Strategic Planning Matrix to check their relation and impact in accordance with the identified SWOT. Corresponding to the result of the QSPM, the winning strategy was identified to be to establish a complete and fully integrated banking business segment.

Strategy map was designed to be in line with the selected strategy and to have a logical relationship between financial, customer, internal, learning and growth and community and social responsibility. Strategy map will assist the business in explaining how value is anticipated to be created throughout the entire organization. Financial projections was created by adding the financial impact of the selected strategy to the company's 3 year financial statement. This will verify whether the identified financial objective will be achieved. Last but not the least, the action plans were designed to have coordinated cross-functional programs that will guarantee the strategies successful launch.

In conclusion, the Philippine Business Bank will find this paper to be useful for getting a clear view of the industry in general and the impact of the external and internal factors that directly affect their business operations. With the help of this paper, the business will be better able to adapt to the shifting demands of the sector and develop a strategy that will be profitable for them.