Investment in technology.
Efficient Employment and Human Relations policies. Satisfaction of all the shareholders of the company, by sharing responsibilities within the organization. Invested aggressively in e-commerce.
IT Strategies - Differences
HSBC Holdings Plc Positioned itself to be Worlds Local Bank by following strategies like Managing for Value and Managing for Growth. Devised a plan with eight strategic imperatives. Adopted a Decentralized approach wherein all the regional technology services consisting of various departments met the local technology needs. Citigroup Positioned itself as a diversified Financial Services Company.
Divided the business into three groups. Adopted a Centralized approach, providing a common technological platform which integrated all its services.
Expanded itself through offshoring and Expanded itself through Mergers and strategic alliances. Acquisitions
and can be used for examining the impact of IT investments on organizational performance metrics. A cross-sectional analysis - useful in examining a specific type IT investment across firms or industries. Cost-benefit analysis used to estimate payoffs for a one-time IT investment. Regression analysis used to test relationships between investment in IT and productivity. Production function analysis used to estimate the value of an IT investment on the firms operation. The real options technique It provides a foundation for undertaking future business opportunity.
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The above chart shows the comparison between the Net profit earned per unit of IT Expenditure for HSBC and Citigroup. The above comparative graph shows that Citigroup has been earning more net profit per unit of its IT Expenditure than HSBC
Regression Analysis
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