Welcome to Scribd, the world's digital library. Read, publish, and share books and documents. See more
Download
Standard view
Full view
of .
Look up keyword or section
Like this
2Activity
0 of .
Results for:
No results containing your search query
P. 1
Lejeune Roehl 2003

Lejeune Roehl 2003

Ratings: (0)|Views: 34|Likes:
Published by Albert Lejeune
Hard and soft ways to create value from information
flows: Lessons from the Canadian financial services
industry (Note 1)
Article submitted to the CJAS Special Topic Issue on
Electronic Business and Commerce in Canada
by
Albert Lejeune* and Tom Roehl**
January 20, 2003
Hard and soft ways to create value from information
flows: Lessons from the Canadian financial services
industry (Note 1)
Article submitted to the CJAS Special Topic Issue on
Electronic Business and Commerce in Canada
by
Albert Lejeune* and Tom Roehl**
January 20, 2003

More info:

Categories:Types, School Work
Published by: Albert Lejeune on Dec 30, 2008
Copyright:Attribution Non-commercial

Availability:

Read on Scribd mobile: iPhone, iPad and Android.
download as PDF, TXT or read online from Scribd
See more
See less

02/08/2014

pdf

text

original

 
1
Hard and soft ways to create value from informationflows: Lessons from the Canadian financial servicesindustry (Note 1)
 
Article submitted to the CJAS Special Topic Issue onElectronic Business and Commerce in Canada
byAlbert Lejeune* and Tom Roehl**January 20, 2003* Professor at the University of Quebec in Montreal, School of Management (ESG), Department of Management and Technology, P.O. Box 8888, Centre-Ville Station, Montréal, Québec, Canada H3C 4R2.Telephone: (514) 987-3000 #4844, fax: (514) 987-3343; e-mail:lejeune.albert@uqam.ca.** Assistant Professor at Western Washington University, Bellingham, Washington, College of Businessand Economics, Department of Management Parks Hal 351l, MC-9075, Bellingham, WA 98225-9075.Telephone: 360-650-4809, fax: 360-650-4844, e-mail:Tom.Roehl@wwu.edu.
 
2
Abstract:
Over an extended period during the 90’s, we studied the Canadian banks transformationusing long interviews with the top management of five banks and secondary data. Weobserved how the Canadian banks have changed to take full advantage of the increasedtechnological potential for developing and exchanging information. The failure of the‘Pure players’ have shown that the information advantages of the Internet are notsufficient to lead to sustainable competitive advantage. Existing financial institutions canmake better use of that same information flow by combining it with organizationalchanges that make the new information more strategically valuable. By aligninginformation technology and the hard elements of their organizational architecture withsoft elements like reputation, cooperation and information sharing, traditional banks havedeveloped powerful advantages in the 90’s.
Résumé:
Nous avons étudié durant les années 1990 la transformation des banques canadiennes àl’aide d’entrevues en profondeur et l’utilisation de données secondaires. Nous avonsobservé les changements majeurs de ces banques pour exploiter au mieux le potentielcroissant des technologies de l’information. L’échec relatif des banques virtuelles adémontré que les avantages informationnels basés sur le réseau Internet ne mènent pas àdes avantages concurrentiels durables. Les banques traditionnelles ont réussi à faire unmeilleur usage des flux informationnels en les combinant à des changementsorganisationnels valorisant stratégiquement leur information. En alignant lestechnologies de l’information et les éléments « hard » de leur architectureorganisationnelle avec des éléments «soft» comme la réputation, la coopération et lepartage d’information, les banques traditionnelles se sont créés des avantages stratégiquespuissants.
 
3
Introduction: The problem area
Value chains, processes, and activities are kept together by the “glue” of information.Since this glue has started melting (Evans & Wuster, 2000), the traditional physicalmodel of a bank has been coming apart. Some observers contend that specialization willinevitably become the dominant business model in banking and financial services(Klinkerman, 2000). The new entrants would be small specialized electronic banks.However, despite the hype, Web services won’t disrupt the financial services industryany time soon (Landry, 2002). In fact, the traditional banks have extended theirdominance to internet banking in Canada (Insurance Canada, 2002). How did thegeneralist banks successfully struggle to find effective ways to utilize the newly availabletechnologies to reenergize their organizations using these new technologies?Canadian banks found themselves in the mid 90’s with an organization that did not havegood flows of information with its most important clients. They needed to find ways totake advantage of the new information technologies within their organizations.The bank –soon transformed into a “one-stop” financial services group – becomes available wherecustomer business is. As the number of branches has steadily diminished, the level of integration between traditional and automated branches has become more sophisticated.In short, the banks recreated their contact points with their customers to take fullorganizational advantage of the information flows that the new technologies allowed.Why is this new combination superior to a banking relationship that is based solely onnew information technologies themselves in an Internet bank? Wouldn’t it be moreefficient to start a new Internet bank from scratch? Canadian banks initially thought so.

Activity (2)

You've already reviewed this. Edit your review.
1 thousand reads
1 hundred reads

You're Reading a Free Preview

Download
scribd
/*********** DO NOT ALTER ANYTHING BELOW THIS LINE ! ************/ var s_code=s.t();if(s_code)document.write(s_code)//-->