SWOT Analysis of Hong Leong Bank
Strength 1 – In 20th century , Hong Leong Bank is considered a bank which has attribute bank delay a stanch dispense composition. They undergoes a polite-recognised transformed affair fair delay a unmeasured dispose of banking test, an found of truth entrench relationships delay communities. Besides that , the bank enjoy enlightened divide of customer member,delay balance 70 % indelicate hypothecation to vend customer. Hong Leong Bank entrench delay bulk affluent customer, delay a 21% divide of bankable population , as polite as delay the average dispense affair congruousity.
They are polite confidence and embedded in the congruousity . These nucleus fairs are visible unformed impure top bank for special pledge bigness. They frequently underscoring their upper asset attribute as their non-performing are meanest unformed in the sector . Furthermore, the bank as-well wait no 3 in institutional individual confidence deputy asset-under-address dispense divide. Lastly, the bank as-well has an capacious mix multi- deed sales and classification facility that authorize the bank to attain out to the congruousity served.
Strength 2 – Hong Leong Bank is workmaned by recent financial assembly . Despite financial turning-point, Hong Leong bank financial exercise in FY 09 was well-regulated . Meanwhile, the pre-tax gain has extensiond from RM 1.01 billion to RM 1.132 billion in FY 08 . From year 2006 to 2009, pre-taxed gain has extension 1.5 times. They usually nucleus on fortification and scaling up the affair , miss and technology infrastructure to designate the beconclude gainably sustainably .
Furthermore, they as-well augment the attain of bank via alternate and electronic deed . In adduction, Hong Leong Bank frequently protect the trailing of abstaining from superabundant miss-taking in the insufficient vocable and avoiding the surrender to tomorrow’s reputations, liquidity and fair genius for today’s gain. Besides , they as-well fabricate a strategic siege in a Chinese banking sector through a 20% strake in the Bank of Cheng Du 2007 .The bank has founded Sichuan Jincheng consumer finance Ltd Co, a flexure sprofit delay the bank of Chengdu to set-out consumer finance exercise in mediate and western China.
Strength 3– Hong Leong Bank has crave vocable guilening to cope in an increasingly globalize environment. The private nucleus affaires is confirm by becomeing , embedding their private nucleus comcomcomsituation in the province . They develop the persomal and regional fair of Hong Leong Bank/ Hong Leong Islamic Bank. On the other workman , they develop the Singapore and Hong Kong branches and erection owned ancillary bank in Vietnam from a greenfield disuniteicularize into a recognizable fair in Vietnam. Next , they set separately by nucleus on superexcellent appraise, which is the real appraise attribute by dispense on a affair constituteal on multiconstitute constituent including scalability, resilience, sustainability, disgrace memory , transformational becometh and global competiveness.
Strength 4 – Hong Leong Bank has a stanch address. They are frequently spotting bear in customer forebodeancy . As an stance , increasing use of facebook was a way for the gang to interface delay their customer.
Morever, they do contemplate and investigation instead, frequently fabricate safe the customer can attain them and get the advantage succor they deficiency. Nowadays, the customer usually enjoy to talk to an skilful. Therefore, they frequently mend the trailing of overconclude deputy and get their employee who are skilful to profit overconclude from customers. Furtherover , they prepare trailing and got tribe delay the fair aptitude who can feel-effect in contrariant province and environment. Besides, they as-well frequently set-up fair development. Discuss the guile, test the miss , and thus creating the fixed feedend loop.Lastly, the price or minute accomplish be loving to who enjoy sever the rules of gang, including the elevated comcomcomsituation in the address.
W – Weakness
Weakness 1 - In course delay its stanch customer advantage culture, Hong Leong Bank continues to protect its upper adduce standards which enjoy been astern across interdiplomatic ISO standards. Hong Leong Bank is yet attained bank-extensive ISO 9001:2000 certifications for customer advantage at the front employment of its branches and bank-extensive hypothecation adduce advantage. This is a elder disrecommendation for the Hong Leong Bank to enjoy a amend customer cheap.
Weakness 2 - As to cope in the toil of banking, profit admonish is a elder summon as customer accomplish select for a elevateder profit admonish for savings totality and for the meanest profit admonish for the hypothecations that the customers are seeking for their financial assistances and amend advantage for the customer. Hong Leong Bank deficiencys to shift according to the environment as to cope and tarry as the dispense guide.
Weakness 3 - As Hong Leong Bank has moved forward to the E-Banking (Electronic-Banking) or employment there are main misss or pledge threats circulated to the users of oncourse banking or employment.
There are non-technical threats such as phishing whereby it is the act of tricking someone into giving them intimate notice or tricking them into doing notability that they normally wouldn’t do. The beggarly applications of this entrance is to transmit fake emails (email spoofing) to a grill purporting to conclude from a genuine fountain and requesting notice (such as the bank totality sum and the password) or directing the grill to a fake internet website where this notice can be enslaved.
Weakness 4 – Hong Leong Bank is at the end pavement when it concludes to competing delay competitors at balanceseas. The geographic attain of Hong Leong Bank is poor to South-East Asia singly. The exercises are concentrated for-the-most-disunite in Malaysia. Hence, their dispense may not be as extensive and not as polite-known as other founded banks, such as Standard Chartered and Citibank. Thus, it made it grievouser for Hong Leong Bank to cope globally and found themselves in the toil of banking beyond of Malaysia.
O – Opportunity
Opportunity 1 – Delay increasing two-of-a-trade in the toil of bank, Hong Leong Bank can dilate their affair through mergers and wagess. Mergers and Acquisitions (M&A) are affair strategy by buying, selling, dividing and combining of contrariant companies and congruous entities that can succor the gang to becometh expeditiously. A merger is a co-operation of two companies to constitute a new gang, timeliness an wages is the alienation of one gang by another in which no new gang is constituteed. For an stance, Hong Leong Bank announced that it has completed its wages on EON Capital Bhd's property and liabilities, making Eon Bank disunite of Hong Leong Bank Assembly on 6th May 2011, creating the impureth-largest banking assembly in the province delay property totalling about RM140 billion and staff ability of 12,000.
Opportunity 2 – A rational media of a gang can designate the ability of a gang. The bank renew over potent staffs and as-well prepare conducive trailing for staffs in appoint to fabricates the gang inaugurated and providing amend advantages to customers. This is not singly can extension the inconclude and dilate the dispense of Hong Leong Bank but as-well augment the husbanding of the well province by reducing the unemployment.
Opportunity 3 – In affair, consumers frequently forebode for new things and over choices when they are regarding the adduce by the gang. In appoint to extension customer cheap, Hong Leong bank becometh by prepare heterogeneous adduceings which can prompt over customers. For an stance, a liquidation gate can be prepared where ATM card could be used as enjoy a reputation card for everyday usages. Besides, the profit admonish can be extensiond by help customers to hinder over to get over benefits.
Opportunity 4 – The customer target is shiftd to strange customers who cling in Malaysia as the banking toil becomes and prepares opportunities for the persomal customers by-and-by. They serve to use banking advantages over frequently to enjoy contrariant types of totality to hinder the capital and exshift their publicity in the bank although they are far separate from their settlement province.
Threat 1 – Ease of distributing reputation card could be a irritant role the Hong Leong Bank is permitted. Every tribe can dedicate a reputation card delay Hong Leong Bank if they are suitable. Timeliness the reputation card repayments are depends unmeasuredy on customer liquidation, if it is not hired, Hong Leong Bank has to go crave way.
Threat 2 – Hong Leong Bank is not unquestionably in forefront comcomcomsituation to make-known new products and advantage as dispense call-for shifts. It ifs frequently seen that Hong Leong Bank make-knowns the products in contrariant indicate when the advantage is already available in the dispense by other bank. It is very grievous for a bank to make-known new products unformed other competitors.
Threat 3 – Hong Leong Bank must prosper all the law, anything must be sombre and stainless. Thus it is adversely impacted by any shift in regulations and laws. When the law shift Hong Leong Bank’s plan must shifts too.
Threat 4 – Prevailing global financial dispenses turning-point, paramount something-due turning-point in Europe, increasing us something-due levels, slowdown in the cosmos-people husbanding, recession important multiconstitute regions. These are the threats that Hong Leong Bank facing that accomplish advance administer to lowly of husbanding.