From April 1, 2019, Bank of Baroda, now the second largest Public Sector Bank, comes together to Create “Ab Saath Hain Teen, Behtar Se Behtareen.”
The tripartite amalgamation of Bank of Baroda, Vijaya Bank and Dena Bank, reflects the government’s focus towards consolidation and strengthening of the public-sector banking. Through the “Power of 3”, these banks come together to take products & services from better to the best. The focus is on reaching out and serving customers with the best-in-class products and services supported by robust processes. Employee interests are protected as the bank collectively works towards preserving the combined heritage and culture that fosters meritocracy, transparency and fairness for all.
In September 2018, ‘in-principle’ approval to the amalgamation was granted by the boards of the three banks pursuant to the Government proposal on the same. The move was indicative of the government’s steadfast commitment to not just consolidate, but to further strengthen the public sector banking system. Subsequently, the government notified the Scheme of Amalgamation on January 2, 2019, with the date of commencement as April 1, 2019.
The new brand campaign highlights the “Power of 3” theme which has been unveiled today. The “Power of 3” focuses upon each bank’s contribution and the positive impact of amalgamation indicating a better future for all the stakeholders.
The synergy is aimed at creating a contemporary banking entity that’s truly Indian at Heart and Global in Scale. The process of amalgamation promises to leverage the specific skills of each bank and imbibe their best practices. The mega entity now has the ability to do more and reach further to fulfil the needs of customers with world-class offerings backed by robust processes.
The articulation of “Power of 3” became an evocative campaign line “Ab Saath Hain Teen, Behtar Se Behtareen”, which takes inspiration from the fact that when three great institutions come together, things will go from better to the best. The bank has undertaken an extensive media campaign to reposition the brand and communicate the value proposition of the new entity.
The 80-110-year-old rich legacy of the three amalgamating banks will be pooled to build a modern, world-class, and new-age banking institution that simultaneously provides continued stability, a significantly enhanced proposition, and a delightful experience to all customers.
The Bank will be able to offer a uniform, high-quality experience to the customers through an integration process. Customers of erstwhile Vijaya Bank and Dena Bank will continue to use their base branch as the primary channel for their everyday banking needs. Also, they will continue to operate their existing account numbers, passbooks, cheque books, IFSC and MICR Codes, ATM Cards, Debit and Credit Cards.
By the end of April 2019, all the customers will have access to key services like cash deposit, withdrawal and funds transfer up to a certain amount, balance enquiries, stop payments and statements available across the combined branch network. Inter-bank charges at the ATMs will not be levied to the customers of the amalgamated entity for usage of combined ATM network.
An exhaustive list of Frequently Asked Questions along with responses has been uploaded on the banks’ websites. Customers can also call on the toll-free number which has been set up for any queries related to the amalgamation. A pro-active customer communication through various channels has also been planned. Customers will have a wider reach and receive an enhanced suite of the products, services and credit facilities.
Since the seamless technology integration which includes moving to a single IT system is an absolute necessity for enabling customers to be served in any of the branches and achieving full interoperability would take around 12-18 months, customers will continue to have access to respective bank branches as hitherto for a bulk of their service requirements. A minimum level of interoperability of key services is proposed for the amalgamated bank, in the beginning, the scope of which will be expanded gradually. Interoperability would mean that these services can be accessed by the customers in any of the branches regardless of their relationship with any of the three banks.
The employees of the amalgamated bank will have brighter professional prospects in a larger bank having significantly expanded its size and scale. The service conditions of the employees will not be impacted and the interests of employees will be fully protected. The best HR practices adopted by each of the banks will be examined for adoption in the amalgamated entity.
Airing his views on the momentous day, Mr P.S. Jayakumar, MD & CEO, Bank of Baroda, said, “It is a moment of great honour and pride for Bank of Baroda to have become the second largest public sector bank and third-largest lender in the country. The success of this amalgamation is a function of effective execution of all the activities to build a stronger organization, enable the transfer of best practices and strengths to the amalgamated bank with ease. We will use the opportunity provided by the amalgamation to create one of the best banks in the country for our customers, employees, partners, and other stakeholders. Post-consolidation, the amalgamated entity will not only facilitate national and global outreach but will also further integrate the public sector banking in India. Fundamentally, the amalgamation offers a unique opportunity to leverage upon the rich legacy to build a modern and world-class banking institution.”
The amalgamated bank of Bank of Baroda will have 9,500+ branches, 85,000+ employees serving 120 million+ customers and assets worth INR 10 lakh+ crore with deposits and advances of INR 8.75 lakh+ crore and INR 6.25 lakh+ crore respectively.