The Impact Of Digital Transformation Of Commercial Banks On Business Performance

With the continuous promotion of interest rate marketization policies and the strengthening of competition among banks,the interest margin that commercial banks can obtain is constantly narrowing,and the profitability level of commercial banks relying solely on traditional deposit and loan projects is precarious.But the continuous development of digital technology and financial technology has brought new opportunities to commercial banks.Most commercial banks actively embrace digital technology,and some Digital transformation measures of commercial banks have achieved good results,but in general,Digital transformation of commercial banks in China is still in the initial stage,especially in the direction of Digital transformation,transformation measures and transformation strategies,there is still no effective successful experience.Therefore,studying and exploring the measures of Digital transformation of commercial banks and whether there is a positive impact on business performance will have an important impact on the future development of commercial banks.In 2015,ICBC launched an Internet brand and established a digital architecture of "three platforms and one center" to improve its initial strategy of Digital transformation,which also provided ideas and directions for other commercial banks to promote Digital transformation,and ICBC’s annual investment in Digital transformation and the results achieved are second to none in China,As a commercial bank with the highest comprehensive strength in China,it is also the best choice for other commercial banks to learn and learn from.Based on this,this paper selects Industrial and Commercial Bank of China Digital transformation as a case for analysis,trying to summarize and analyze the successful experience of Digital transformation in commercial banks and its specific impact on business performance,and put forward relevant suggestions.This article adopts the research methods of literature research and case analysis,and is divided into five parts.The first part introduces the significance of Digital transformation of commercial banks and the innovation and shortcomings of the paper.The second part studies the measures taken by commercial banks to carry out Digital transformation and the possible impact of transformation on business performance through combing the literature.The third part introduces the case,mainly introduces the motivation,measures,current situation and problems of ICBC’s Digital transformation.The fourth part selects net return on assets,dividend surrender ratio,non-performing loan ratio and necessary coverage rate,and net interest income as evaluation indicators and uses DEA model to measure the impact of ICBC’s Digital transformation on business performance.The fifth part focuses on the conclusions and suggestions on the impact of ICBC’s Digital transformation on business performance.To sum up,the successful experience of Digital transformation of ICBC has certain reference significance for other commercial banks,and the conclusion that Digital transformation of ICBC has a positive impact on business performance can also improve the attention of commercial banks in China to Digital transformation,increase capital investment,and establish their own scientific and technological talent team,so as to promote the great development and new breakthrough of commercial banks in China on the road to Digital transformation.