OVERVIEW OF ICICI

ICICI Bank (formerly Industrial Credit and

Investment Corporation of India) is a major
banking and financial services organization in
India.
It is the 4th largest bank in India and the largest
private sector bank in India by market
capitalization.
The bank also has a network of 1,700+branches
(as on 31 March 2010) and about 4,721 ATMs in
India and presence in 19 countries, as well as
some 24 million customers (at the end of July
2007).

ICICI Bank offers a wide range of banking

products and financial services to
corporate and retail customers through a
variety of delivery channels and
specialization subsidiaries and affiliates in
the areas of investment banking, life and
non-life insurance, venture capital and
asset management etc

Business Process Reengineering

Business process reengineering (BPR) is the

analysis and redesign ofworkflows within
and between enterprises in order to
optimize end-to-end processes and
automate non-value-added tasks.

HISTORY
The concept of BPR was first introduced in
the late Michael Hammer's 1990Harvard
Business Reviewarticle.
It received increased attention a few years
later, when Hammer and James Champy
published their best-selling
book,Reengineering the Corporation.
By the mid-1990s, BPR became popular as
a justification fordownsizing.

Benefits of Reengineering
The rewards of reengineering are
many including:
empowering employees;
eliminating waste, unnecessary
management overhead, and obsolete or
inefficient processes;
producing often significant reductions in
cost and cycle times;
enabling revolutionary improvements in
many business processes as measured by
quality and customer service.

REASONS FOR BPR

INITIATIVE

In year 2000 , ICICI Bank had to move away from

the branch-centric model and make its services
available nationwide.
Legacy systems: The traditional systems at ICICI
Bank were very centric to the branch. For
example a server at New Delhi was specific to the
branch in that city.
ICICI realized the importance of offering
nationwide banking but this would be possible
only by having a centralized data repository.

Contd.
For faster work
To face competition
For secure data transfer
For making banking very easy for a retail
as well as corporate customer
Core banking system and centralized data
system
Automate all its branches across the
country

Project Design

The basic network was set up for providing the email facility, but none of the applications were
linked to the network. With growing business and
rapidly increasing accounts, it was extremely
difficult to administer and manage the system.
The centralization procedure started around late
1999. ICICI InfoTech made the first network
design for the group in 1999it was a hub and
spoke architecture
Centralizing the operations was not the solution,
but centralization of data was. Problem was with
the legacy systems that they were stand-alone
systems and the data from one branch was not
available with another branch.

Teams Involved
Infosys is one of technology partner for ICICI
Bank which game the assistance to
implement Finacle for handling all the
banking activities
Bill Desk for online payments
SYBASE: Sybase, an SAP company
SAS for business analytics software and
services

SOLUTION

The Solution

A design with a mix of VSATs, leased-lines, radiolinks and ISDN was selected. A mixed design was
selected because of the disparate locations of the
group across the country.
The network follows hub and spoke architecture a
mix of VSATs, leased lines, ISDN and radio links.
The most important aspect to setting up a
network was to have a good relation between the
technology consultant (network integrator), the
vendor and the client.

CONTD.

There is a primary site from where spokes go out

to the regional branches and the other offices.
The secondary site has the disaster recovery
system
High-end Cisco routers and switches have been
deployed for connectivity. The network is
monitored using HP OpenView and CiscoWorks.
Hardware at both these sites varies from low-end
NT servers to the high- end SUN E 10K along with
12 terabytes of data storage at each end
connected through a Storage Area Network.

RESULTS

The scalable and open systems based architecture,

enabled Finacle to successfully manage the increase
in transaction levels from 400,000 transactions a day
in 2000 to nearly 2.1 million by 2005 with an
associated growth in peak volumes by 5.5times.
Currently has the ability to process 0.27 million
cheques per day and manage 7000 concurrent users.
In1997, it was the first bank in India to offer Internet
banking with Finacles e-banking solution.
Currently, only 25 per cent of all transactions take
place through branches and 75 per cent through other
delivery channels.

CONTD.

On an average, ICICI Bank adds 300,000

customers a month, which is among the highest
in the world.
ICICI Bank announced merger with Bank of
Rajasthan. On 23May ICICI Bank announced
merger with Bank of Rajasthan with it through
share-swap in a non-cash deal that values the
Bank of Rajasthan at about Rs 3,000 crore.
All the banking process has been implemented th

Supporting Tools & Techniques

Finacle a core banking and universal banking

solution from Infosys
The network follows a hub and spoke architecture
a mix of VSATs (Very small aperture terminal) ,
leased lines, ISDN and radio links. It has around
800 leased lines, about 600 VSATs, approximately
800 ISDN lines and multiple 34 Mbps lines.
UNIX is the preferred OS for most of the
hardware while most of the databases use Oracle
with a few on Sybase and MS SQL

CONCLUSION

An intense customer focus, superior process

design and a strong and motivated leadership are
vital ingredients to the recipe for the success of
any business corporation.
ICICI Bank has grown immensely over a period of
time with it through business process reengineering to a company of net worth Rs 73,000
crore.