Financial Function is to ensure the perenniality of the bank and keep it solvent; it has three main functions: To ensure that accounting information can be trusted and is in accordance with regulations: it is the accounting function.
Human resources department Life in a social unit like a bank is timed by the ins and outs of employees, internal mobility and promotion linked to career management, and also to a dialogue with social representatives.
To manage a bank, General Management depends on various functions: To check the respect of internal and external regulations To check the efficiency of procedures
Banks have the monopoly of the creation of means of payment necessary to the circulation of capital between economic agents. It can be cheques or credit-cards or even more sophisticated systems; their production and management are very complex and costly and need an adequate technological structure.
Presentation and evolution Because of diversity in the structures of credit institutions and in the Banking professions, it’s quite difficult to propose a simple and complete definition of what a bank is.
Another point is the underestimation of the necessity of modern personnel management and human resources development techniques for selection, training, motivation, promotion, of staff. C.I.S. bankers still have to be convinced that it is a key factor in today’s banking.
« The difficulties of C.I.S. banks come from their insufficient management know-how » (Hans Martens). In fact, we found there out-dated management practices which are incompatible with the requirements of effectiveness, efficiency and productivity. This, for instance, appeals for a necessary change of the traditional, either autocratic or bureaucratic leadership style.
(the reasons why changes can be difficult and the conditions for their successful achievement) The economic, technological and methodological changes of C.I.S. banks necessitate a human resources change in the behaviours, but also in knowledge’s, skills, competences and qualifications of employees.
A model for the understanding of reactions to change Let us start by some universal observations, showing, first, a conceptual frame that is currently used in western enterprises to deal with the difficulties of change.
In an EBTRA survey carried out by the Irish Management Institute, it turned out that in most CIS countries banks do consider competitive pressure non-existing or of secondary order. This is a bad sign for the banking sector as such and again highlights that most banks still function on behalf of government.
