N.SRIDHAR D.

KIRAN KUMAR
ASSISTANT PROFESSOR Technical Officer
9494786991 9849188855

[email protected] [email protected]

GANAPATHY ENGINEERING COLLEGE SOFTWARE TECHNOLOGICAL PARKS

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DIGITAL LITERACY FOR BANKS WITH IT

It is well enough that people of the nation do not understand our banking and monetary system,
for if they did, I believe that Information Technology is a reason and revolution. Today
Information technology is a key element for many developed countries for their success and it
has become an increasingly challenge for many developing countries. Digital literacy the ability
to use technology to navigate, evaluate and create information has brought people much closer
together than ever before, providing a democratizing and mostly stabilizing influence. The New
IT trends like internet and email have practically eliminated the physical cost of communication.
There are now increasing facts that Knowledge-driven improvement is an important feature in
the competitiveness of nations, industries, organizations and firms. This paper presents and
promotes the use of IT facilities in the Banking industry, Changes in C Content & Quality,
Current trends, discussed about the use and implementation of Technological variables like
project design, product designs through technological innovations, IT devices, ability and quality
of user-population to access, internal technological infrastructure, and the provision of technical
skills and others for the operations in banking industry. Information Technology and business
are becoming inextricably interwoven. I don't think anybody can talk meaningfully about one
without talking about the other. When we talk about business in service sector banking industry
is moving very fast with the help of Information technology Even though Information
technology has been one of the leading drivers of globalization, and it may also become one of
its major victims.

KEY WORDS: Digital literacy, Banking industry, Technological variables, innovations,

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INTRODUCTION

IT in banking segment submit to the use of classy in sequence and statement with latest
technologies in concert with computer science to enable banks to present enhanced services to its
customers in a safe, consistent and reasonable way and continue viable improvement over other
banks. Technology has opened up innovative marketplace, new products, new services and
efficient delivery channels for the banking industry. Online electronics banking, mobile banking
and internet banking are just a few examples. Information Technology has also provided banking
industry with the ability to deal with the challenge the new economy poses. Information
technology has been the basis of recent financial sector reforms aimed at increasing the speed
and reliability of financial operations and of initiatives to strengthen the banking sector. The IT
revolution has set the stage for unprecedented increase in financial activity across the globe. The
progress of technology and the development of worldwide networks have significantly reduced
the cost of global funds transfer. It is information technology which enables banks in meeting
such high expectations of the customers who are more demanding and are also more techno-
savvy compared to their counterparts of the yester years. They demand instant, anytime and
anywhere banking facilities.

Banks are no longer limited themselves to customary banking activities, but look at
newer possibilities to enhance business and confine new market by put into practice the
innovative latest technology. The significance of technology is greatly felt in the financial sector
in view of the competitive advantage for banks resulting in the efficient customer service.
Banking sector plays a very important and crucial role in the development of economy and
specifically very important for developing countries like INDIA. Banking sector always position
at the top of the economy and modernization has vital apprehension to the use of new technical
process and procedures. The use of automation and computerization is a live example where the
productivity and efficiency is improved.

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Modernization of Indian Banking

Entry of technology in Indian banking industry has undergone a total change in the
functioning of banking transactions. Moving effortlessly from a manual paper constrained
environment to a technological leading environment.

The banking sector eye witnessed a variety of liberalization measures. One of the major
objectives of Indian banking sector improvement was to support equipped self-support,
flexibility and competition in the system and to increase the banking standards in India to the
international best practices. Many measures have been reorganized and gave importance to
human resources development, technological up-gradation, structural development which helped
them for achieving universal benchmarks in terms of prudential norms and paramount practices.
The new private & foreign banks emerged with latest equipped technology. These structural
changes has opened up new prospects for banks to raise revenues by expanding into investment
banking, insurance, credit cards, mortgage financing, depository services, securitization, etc .
The word financial supermarket has marked a good roof with various financial services with this
change in banking industry.

Modern developments of Indian banks sector with IT

The change management has been a factor for great success for many banks to meet the
competition in the digital world. The demand from customers and technological challenges are
some good examples for change management. The innovations and the technological trends have
improved the relationship between banks and customers for better edge. It is also view as a
mechanism of cost reduction and effective communication with people and institutions
associated with the banking business.

Some of the recent IT devices described as below-

 Electronic Payment and Settlement System

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  ECS-Debit

 Electronic Fund Transfer (EFT)

Conclusion

Technology is going to hold the key to future of banking. The Indian banks are creating adequate
infrastructure to face competition with international banks in providing online banking. By
designing and offering simple, safe and secure technology, banks reach at the doorsteps of the
customers. There is a need for banks to try and implement change. Indian Banks need to focus on
swift and continued infusion of technology regularly.

Thanks to information technology, India banking sector has improved a lot with the
implementation of latest technological trends and this has proved to the world about the potential
and the scope of Indian banking sector. The cost effective methods, timely service to customers
will increase the transactions in banks and many customers will increase for using banking
services. It is an advantage and great benefit for banks. There is a need to update the human
resources too with the latest technological trends.
Bibliography
www.google.com
https://www.journals.elsevier.com/journal-of-banking-and-finance/recent-articles
http://www.businessinsider.in/topic/Banking
http://www.economist.com/topics/banking
http://www.infosys.com/finacle/solutions/thought-papers/Documents/banking-in-India-
evolution-in-technology.pdf
www.abhinavjournal.com (Abhinav National Monthly Refereed Journal of Research in
Commerce & Management

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SHIV SHAKTI International Journal in Multidisciplinary and Academic Research (SSIJMAR)
Vol. 2, No. 1, January-February (ISSN 2278 – 5973)

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