In 2022, a not very bright year for the global economy, however, Sacombank still recorded a pre-tax profit of VND 6,339 billion, up 44% compared to 2021 and exceeding 20% compared to the year plan. As of December 31, 2022, total assets reached nearly VND 592,000 billion, up 13.6% over the previous year. On-balance sheet bad debt ratio decreased from 1.47% to 0.98%.
These achievements are not only thanks to the flexible development strategy, but also the pioneering spirit, creating new values of which Sacombank’s 20-year digitization journey is a typical example.
The above figures do not fully represent the vision of Sacombank’s leadership and employees and the bold investment in digital transformation. Currently, Sacombank’s customer scale reaches more than 15 million, of which about 50% are digital customers. In 2022, transactions on Sacombank Pay increased 140% in quantity and 127% in value compared to 2021. Notably, the percentage of payment transactions via digital channels accounted for 97% of the total number of transactions – numbers impressive to Sacombank and among the top among joint stock commercial banks in the market.
This is when Sacombank picked the first “sweet fruits” from the digital “seeds” planted decades ago, when very few banks had the idea to invest heavily in digital transformation.
The determination of digital transformation in every person at Sacombank is huge. The Bank established a Steering Committee headed by the President, followed by the Permanent Vice President cum General Director, and put into operation the Digital Transformation Center from 2021 with the task of implementing projects. number conversion. When senior leaders directly run and apply digital achievements to their work, it is easy for digital “DNA” to be implanted and flowed into the lives of more than 18,000 employees. Sacombank also encourages employees to explore and innovate working methods to bring creative and optimal results with new tools such as Design thinking, Agile, Culture hack…
A few decades ago, while other banks were still using the core system of domestic companies, Sacombank invested USD 5 million to invite foreign partners to build T24 core bank, the most modern core system at the time. at that time. At that time, for a young bank, investing such a large amount of money was quite a bold decision.
This does not seem to be enough in Sacombank’s digitization strategy when the ultimate goal is to meet the increasingly demanding needs of customers in service experience. “In the past, many banks said to be customer-centric, but they did not really understand, but only rudimentary understanding that what customers need, we will meet it,” Mr. Binh, recalls. .
At Sacombank, being customer-centric means reflecting on the customer’s experience, measuring needs, and touching on the areas that customers want to improve. In that spirit, in addition to Sacombank Pay launched in 2018, Sacombank deployed a series of other optimal technologies.
In 2010, Sacombank applied digital technology to create modern transaction channels such as customer service center, merging online transaction channels Internet Banking and Mobile Banking. In 2015, Sacombank pioneered in issuing and accepting standard EMV cards on POS and ATM machines. In 2017, the Bank issued the first contactless payment card in the market, implementing the global EMV standard QR payment method.
In 2019, Sacombank digitized the credit approval process, upgraded the core bank T24-R17, applied artificial intelligence (chatbot), Robot technology (RPA), etc. For online payment transactions, Sacombank applied security technology encrypts card information and authenticates transactions 3D Secure protects cardholders’ interests. In 2020, Sacombank will initially operate a network security operation center according to international standards.
To achieve the above technological achievements, Sacombank laid the first bricks 20 years ago.
At that time, Sacombank was the first joint stock commercial bank in Vietnam to invest in building a specialized information technology and infrastructure management system with an investment scale of up to 3 million USD. This is the foundation for the implementation of the strategy to ensure continuous and safe operation, meeting the requirements of international integration.
Sacombank is considered by experts to go against the digitization trend of most banks. Instead of investing in the interface, which is most impressive to users, invest in things related to core, data and security first. As a result, Sacombank now possesses a strong system foundation and advanced technology, allowing the bank to quickly deploy any new features to serve customers’ needs.
In the second wave of digital transformation, Sacombank upgraded and replaced new systems to try to understand customers better. With more than 30 years of service experience, understanding the needs of customers, when refining the system to suit the new business environment, Sacombank still has many strengths. Currently, the bank has entered the stage of improving security, analyzing data based on new technology methods such as CRM, LOS, DMC in sales, credit approval, debt collection management; develop digital technology platform through new technology solutions (Open API, cloud computing…).
The things that Sacombank did many years ago have become more useful and breakthrough when the market appeared a group of “paperless” customers. Sacombank understands the presence of technology in all aspects of life, especially for Gen Z, young people born in the era of technology development, have the opportunity to interact with technology from an early age.
According to Mr. Binh, the technology absorption capacity of Gen Z customers is higher than that of previous generations, so financial products and services must meet high technology criteria: “With Sacombank, digital transformation is zero. simply converting the method of implementation from manual to digital, because today’s young people have limited the use of paper and ink, instead accessing technology devices very early, so manipulating and interacting with devices have become familiar, which is also the foundation of a digital society.”
A representative of Sacombank also said that in the digital transformation process, Sacombank does not focus too much on serving Gen Z or Gen Y, because the bank researches for a whole life cycle suitable for each customer group at each stage. paragraph. Currently, Sacombank is ready to “open the door” to welcome Gen Z customers with completely different experience priorities.
Sacombank is implementing a series of digital transformation projects in its technology development roadmap for the next 5 years. Although the number is quite large, the cost and resources for deployment must be cautious and drastic. However, Sacombank believes that with the determination of digital transformation to comprehensively serve the needs of customers instilled in the mind of Sacombank, the bank will definitely create modern and strong technological values.