Essay Example on ANZ: A Leading Financial Services Organization in Australia

Australia and New Zealand Banking Group Limited (ANZ) is a financial services organization that is based on Australia and the second largest bank regarding their assets. ANZ is categorized as one of the largest and most reputable banks in Australia (Bollen et al., 2015). The bank came up after the acquisition of the New Bank of New Zealand in 2003. Currently, ANZ employs over 30,000 people, and it is represented in New Zealand, Asia, India, and the Pacific. It also provides its services to over five million customers around the world. Its current assets stand at AUD 260 billion.

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ANZ reported a surplus of $2.2 million without including the tax adjustments in the 2017/2018 financial year. The company had an increased revenue which increased at a rate of 1.2% to $132 million and a falling cost which reduced with 5.3% to $129 million. In 2017, the company experienced a deficit of $6.8 million as a result of several investments in the areas of technology and the provision of various member services. Their membership also grew with a 3.7% rate to 121, 400 members. In 2018, the number of females who entered ANZ`s-chartered accounting grew more than the rest of the years (Bollen et al., 2015). The females outnumbered the men in their membership level by a ratio of 52 to 48%. The organization also made 240 submissions which were done to improve the business setting in Australia and New Zealand. Another major highlight is that the company`s Mentor Exchange Program realized a 50% increase in the total matches from 2017.

The strengths of ANZ lie in their ability to make a unique banking program where they became leaders in corporate responsibility and establishing a sustainable value. The bank commits in building a relationship of trust, respect, and integrity with various stakeholders in the banking industry (Seltzer, 2017). This long-term engagement with other stakeholders enables them to be successful in their operations since they incorporate a diversity of a wide range of ideas. ANZ is also guided by a set of values and missions that give it a competitive lead in the banking industry. For example, they put their customers first in everything they do, and they perform their activities to establish a culture of value for their shareholders. ANZ also leads and inspires other organizations, and they work towards gaining the trust of the community. Most importantly, they have a breakout, and they are bold and courageous. This enables them to be different from other competitors in the market.

ANZ`s strengths enable them to gain a significant market share, and it allows them to penetrate new markets in various regions. ANZ`s management reports that they have a good return on capital expenditure. They do this by starting new projects and using the generated returns on capital expenditure by establishing other revenue streams. Australia and New Zealand Banking Group Limitedhave a strong brand portfolio that is useful in helping them to expand to new product categories (Brown, 2006). Their active dealer community enables the company to build a culture among their distributors and dealers who promote their products. The sales teams are also trained to relate with the customers and gain maximum benefits from the products.

Moreover, ANZ has automated its activities, and this brings consistency in the quality of its banking group. Their free and robust cash flow offers various resources that enable ANZ to expand to new projects. ANZ has a strength in their labor force which is highly skilled from the learning programs that are offered by the organization (Seltzer, 2017). The company has set aside many resources of training and development of the employees. This results in a motivated workforce which is always driven towards achieving more.

ANZ has several weaknesses such as an organizational structure which is only compatible with the current business model (Brown, 2006). This limits their ability to expand in other product segments. ANZ also has a high day inventory which enables the company to raise a higher capital of investing in various channels. This affects their long-term growth in the main areas of operation. Also, ANZ has limited success beyond their core business. This limits their potential to venture in other product segments. ANZ has a high attrition rate of their workforce where they spend a high amount of capital in the training and development of employees. Also, ANZ has several gaps in its product range, and this gives the competitors a foothold in the market.

Generally, Australia and New Zealand Banking Group Limited is a growing organization which has many opportunities in the banking industry. They have new trends in consumer behavior which enables them to access new markets. This allows the company to grow its revenue streams, and they diversify in the delivery of new products and services in the market (Seltzer, 2017). The government also allows them to open new markets which come as a result of new technology and access to free trade agreements. Furthermore, ANZ is favored by a new tax policy which improves their ways of doing business and getting opportunities. ANZ discloses that they have a market development program which increases their competitiveness compared to other organizations (Seltzer, 2017). They also have a stable free cash flow which gives them an opportunity of maintaining loyal customers who benefit from excellent services and value-oriented services.

The computerized technique for all their online stores is gone for finishing the client's voyage and giving a touchpoint to the brand. Style Tread is somewhat their advanced leader, so it has a truly modern promoting program. The company utilizes internet-based life, online commercial centers, every one of the advancements that are accessible for online retail. The banking company is decent, steady and fruitful business, yet despite everything, they had such a great amount of chance before it. ANZ was somewhat disturbed by the decisions of what we could do, instead of what we ought to do. After the program, we turned out with an extremely clear arrangement, and we can survey openings substantially more effectively. Notwithstanding the vital arrangement, the program additionally helped the business to put resources into their workers and their way of life. It was expected to set up more frameworks to get the best out of individuals. The ANZ bank has put resources into its HR group by going from not having one to three changeless workers.

Conclusion

In conclusion, ANZ is a successful banking company which mainly operates in New Zealand and Australia. The bank offers its services to over five million people around the world. In 2018, the bank had an increased revenue which increased at a rate of 1.2%. Their membership also grew with a 3.7% rate to 121, 400 members. The strengths of ANZ company include a high return on their expenditure, a stable and robust brand portfolio, steady cash flow, high customer satisfaction, and skilled workforce. Their weaknesses include a high day inventory, a low success beyond their core business and high attrition in their workforce.

References

Bollen, B., Skully, M., Tripe, D., & Wei, X. (2015). The Global Financial Crisis and Its Impact on A Australian Bank Risk. International Review of Finance, 15(1), 89-111. '

Brown, G. (2006). Australia and New Zealand Banking Group (ANZ): Aligning community strategy with business strategy. Journal of Corporate Citizenship, (22), 18-22.

Seltzer, A. J. (2017). Implicit contracts and acquisitions: An econometric case study of the 19th-century Australian banking industry. German Journal of Human Resource Management, 31(2), 185-208.