The Impact of Digital Disruption on the Banking Industry: A Report

This report provides a comprehensive analysis of digital disruption within the banking sector, using Lloyds Bank, UK, as a case study. It defines digital disruption and its impact on the industry, highlighting how technological advancements and changing business models affect value propositions. The report explores the impact of digital disruption on Lloyds Bank, detailing its digital transformation efforts, investments, and the resulting changes in job roles and employee skills. It also examines the available jobs within the bank, such as Financial Analyst, Accountant, Data Processing Officer, and Data Scientist, along with the required skills for each role. The report includes an online research questionnaire designed to gauge customer perceptions and a discussion guide for interviews. It assesses the efficiency of the research techniques employed and the impact, awareness, and perception of digital disruption on careers within the banking sector, offering insights into how banks are adapting to remain competitive.

Data insights

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK ..............................................................................................................................................3
Meaning of digital disruption......................................................................................................3
Impact of digital disruption in banking sector............................................................................4
Available jobs and the skills required for the job.......................................................................5
Online research questionnaire ....................................................................................................6
Discussion guide for a interview.................................................................................................7
Efficiency of research techniques...............................................................................................7
Impact, awareness and perception of Digital disruption on career.............................................8
CONCLUSION ...............................................................................................................................9
REFRENCES.................................................................................................................................10
Books and Journals...................................................................................................................10

INTRODUCTION
Digital disruption occurs when there is change in digital technology or any business
model that affects the value proposition of existing goods and services. Today the world is
getting digital and there are so many innovations that has influenced the potential of many
industries. Digital disruption should not be confused with disruptive technology which means
using digital technology to innovate a product and compete in market. Digital disruption is
helping businesses to grow and capture market share (Chowdhury, Bhaduri and McKee, 2018) .
Due to influence of digital technology and so many changes the banking industry is also using
Digital disruption to carter more customers and influence them. They are innovating the
products, business models and also organisational culture. The banking sector are now exposed
to digital disruption from inside as well as outside. Banks are now using their profits towards
innovation and creating new values for customers. This report is about Lloyds Bank, UK which
is a limited public corporation that operates in Wales and England. In the report there is role
digital disruption in the bank and its effect on banking sector, types of job that are available in
banking sector and a questionnaire. Also, the perception of people in relation to digital
disruption and the discussion about various techniques that are carried for effective management.
TASK
Meaning of digital disruption
Digital disruption means the disruption that is taking place due to change in technology
and innovation in business models. The word disruption is used as there is change in current
market and due to new technology and updates in existing market the value and demand for older
goods and services is disrupted by new once. In new market for existing product is created. In
this dynamic world there is need for change as customers needs and wants are ever changing and
to be successful in business it is important to serve them with updated product and provide them
with best and updated services (Alhadad, 2018). Because of digital disruption the working of
industries has improved and they are able to make more profits. digital disruption is helping the
companies to satisfy their customers better. As this advancement in technology is leading to
growth of organisations it is also contributing to economic growth as people are spending more.
With use of digital disruption the consumers can be understood and served better. If existing
customers are served better also it will help to attract new customers and create market for them.

New opportunities are there in the market due to change in business model and
innovation. The organisation that grabs the opportunity first will get the advantage and serve the
customers better. The opportunity in always in the market it is the business who identifies and
grabs it. Better the needs of customers are identified more it the satisfaction level of consumers.
In relation to banks development is taking place and as there are significant changes that are seen
in relation to process automation and legislations foe efficient management. In context of Lloyds
Bank they are also using digital disruption to retain existing buyers as well as to attract potential
customers (Roscher, et.al., 2020). They are using digital channels and platforms to gain
competitive advantage in the market and accomplish their goals by satisfying the customers
better. Digital disruption is gr4owing and helping the businesses to grow which assuring the
growth of economy.
Impact of digital disruption in banking sector
The banking sector of UK is largest in Europe and forth largest in the world. Lloyds
bank is part of big banks in the sector. The banking sector is also growing and showing changes.
The development in the field can be seen due to their adaptability of changes. They banks are
updating with dynamic environment and serving the customers at their best. The way of
delivering services has changed due to digital disruption and the banks are now making use of
technology like machine intelligence(MI) to improve the functioning and make profits. It has
Lloyds bank helped the banks to achieve the targets fast ans easily. Lloyds bank has used digital
disruption to innovate a way to deliver service to its customers. They are focusing on providing
quality service to its customers and satisfy them. The are making digital transformation and
investing around £3bn towards this project.
Due to this digital technology manual work is decreasing machines are making the work
easier and faster. But the employees are removed from jobs, they are loosing job which is bad for
people. Around 600 employees have to leave the job as they were not having the desired skills
that are required by new technology (Ghasemaghaei, Ebrahimi, and Hassanein, 2016). No doubt
8000 jobs were created and it was opportunity for many but the existing employees are suffering
and this is not a pleasant thing for them. They are able to operate at less cost as the technology is
improving. They are using digital channels automated process which has made it faster for
banks. Automated process and digital technology has improved customer experience and leading
to advantage for banks. Lloyds bank is gaining competitive advantage as they have used the

technology when there was requiremant and have satisfied customers. They have attracted a lot
more customers after started using technology. It is now beneficial for organisation to use these
methods and help increase the profit of bank. They have improved products, services and their
distribution channels and consumer are attracted more.
Available jobs and the skills required for the job
The jobs that are available in Lloyds bank are written underneath:
 Financial Analyst: The person is responsible and has duty to tell the clients and helps
them to take investment decisions related to their investment. The analyst analyses the
environment and search fore the best option that the client can carry and earn profit. The
economic, global and uncertainties are all studies and they analyses is made based on all
the information. The main part is the analysing skills of the person should be good and be
able to understand the situation and forecast (Zhang, et.al., 2019). It helps to take
investment decisions of the company by analysing each and every detail.
 The skills required by financial analyst are as they should be good in maths, having good
communication skills, analytical skills and forecasting skills. They should be good at
financial reporting and interpersonal skills are also required.
 Accountant: The role accountant in Lloyds bank is for making financial accounts,
reports, MIS and for maintaining cash and bank ledger. The one is responsible for
mainlining the record of all the entries that have taken place in organisation. The person
is responsible for making payrolls and have to manage account payables and receivables
also they have to make plan for financial control.
 The skills required are they should have good knowledge of computer and also excel. The
person should be good at numbers. Be aware bout bank and works with integrity also
should be good at communication.
 Data processing officer: These personnel are responsible for overall operations of the
organisation and keep record of all offline transactions. The person is responsible for
checking the quality of work and also identify if there is any problem in job and try to
mainta9in quality at work. They keep all banking information and are responsible for
managing the information. They have to work on database and spreadsheets (Chehbi-
Gamoura, et.al., 2020).

 Skills required for this job are the person should have strong English, knowledge of excel
as well as word and a hight school diploma or equivalent degree.
 Data scientist: This is an important job under which the person has to manage fraud and
keep the data secure by using scientific means. They assure that consumer data is secured
and is there any investment risk. Protection of data is an essential function of the
organisation. Data science is used in many fields of banks like to satisfy customers, and
solve problems, make the data secure. It is an important role in an organisation (Ambühl,
et.al.,2017) .
Skills to become Data scientist are technical skills and knowledge related to data analysis, data
science etc.
The above written are some jobs that are done in Lloyds bank and the skills required for
the job are also mentioned.
Online research questionnaire
Q.1 What happens at frontier of banks?
a) traditional working methodology
b) digital transformation and automation in banking functions
c) both
Q.2 Are the clients of Lloyds bank prepared/willing to experiencing personalised brand?
a) yes
b) no
Q.3 What is the overall impact of digital disruption on Lloyds bank?
a) increase in number of clients
b) decrease in treats
c) decrease in cost while linking to customers
d) all of the above
Q.4 Has digital disruption impacted the employees?
a) agree

b) disagree
Q.5 recommendations and suggestions if any
Discussion guide for a interview
It is a map that helps individual to know and understand what they require for a job.
Discussion guide is a guide hat researcher want the participants to go through so as they go
through learning outcomes. The discussion guide is associated with digital disruption in banking
industry.
In Lloyds bank, it is important to search boundaries and identify the changes that are
taking place are the changes happening in limit or they are crossing the limits. The main thing is
to identify are the customers ready for getting change in sense of digital disruption and they
happy in taking and experiencing digital service. Is it worthy for the bank no spent money in this
field. Will the customers needs be satisfied or they will not like the services. It is essential
identify the needs and wants of customers and then only the decision regarding imparting the
digital disruption should be taken (Arnaud‐Haond, Stoeckel and Bailleul, 2020). As if the
customers are ready to take a change then it will be profitable for bank as well as customers
either the bank should not use its money, resource, time. So both the positive and negative
aspects are checked before implementing.
As using digital disruption in Lloyds bank will decrease the employment and many
employees will have to leave the job which is a negative factor as employees will be hurt and
will inform outsiders about the same. But if seen on other hand that more opportunities for new
skilled employees will be developed. Also the main reason is satisfaction of employees as the
market is changing drastically and they need to be satisfied as there needs and wants are also
changing. If the customers are satisfied and are ready to take the service then it is beneficial for
the organisation. Serving customers is main duty and the customers of Lloyds bank are satisfied
and liking digital disruption. So it is significantly important to analyse all the factors before
taking the decision of digital disruption.
Efficiency of research techniques
A research guide and questionnaire were made before taking the decision of digital
disruption, and the research is supported by information. In Lloyds bank the questionnaire is
filled by customers and they relevant information is obtained. The methods used by researcher to

collect data about a topic. There care many methods and here the questionnaire and research
guide has been used to collect the information related to digital disruption.
The methods used are effective and will help the bank to take a fair decision. But there
can be some improvisation as the people have their own of thinking and some wants one choice
and some choose the other option. Also there are people who are neutral about both. So it is
difficult to decide through questioner for the people who carry both the choices. It is important to
understand the needs and wants of customers and then decide the strategy that can be served
better and the technique should be decided accordingly.
Impact, awareness and perception of Digital disruption on career
With Digital disruption everything is changing. New technology and changes are taking
place. It is always difficult to address the changes in beginning but it depends will they
contribute to growth or leads to loss in the organisation. In relation to Lloyds bank due to the
innovation and implementing digital disruption the requirement of employees that were already
working is declining. The employees have to leave their jobs as they are not aware of the
technology. It will create a negative impact on the career of employees. The bank should retain
the employees and impart them training as they are part of the organisation. It is 9importantb to
innovate and satisfy customers by fulfilling their needs and wants but not at the cost of
employees as they will have a negative impact on their career (Betsch, C., Wieler and Habersaat,
2020).
As the bank is going to invest a huge amount on this innovation the positive impact is on
the people who are skilled and their highly required by the bank to use the machines and fulfil
the needs of customers. As all this is done to satisfy the customers. The bank will now have
around 75% of skilled staff that is a good thing for bank. The employees who will be employed
will have a good path towards career as t6hey will be using most recent technology that will
contribute to their career growth. It is now dependent on the skills of employees that they are
able to grab the opportunities or not as there are around 8000 vacancies that need to be filled.
Career of employees is carried in forward direction if they keep updating them regularly and
learn to use technology (Gupta and et.al., 2020). Digital disruption has created both negative and
positive impact on employees on Lloyds bank. He employees that have skills will be affected
positively and those who don't possess relevant skills have to suffer.

CONCLUSION
Digital disruption is a wider term and includes the change and improvement in
technology which is helping banking sector to grow. The use of technology makes it easier for
customers to avail banking services. As the customers get satisfied the position of the bank in
market improves and Lloyds bank is one of the largest bank in London. In the report there is
jobs that are available in bank along with the skills required to complete those job. Also
questioner is designed to know the thinking of customer and take decision accordingly. Research
techniques are used before taking thev decision related digital disruption. The employees should
enhance their skills and deal with change. Overall it is good for Lloyds bank to take decision of
digital disruption.

REFRENCES
Books and Journals
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Alhadad, S. S., 2018. Visualizing data to support judgement, inference, and decision making in
learning analytics: Insights from cognitive psychology and visualization science. Journal of
Learning Analytics. 5(2). pp.60-85.
Roscher, et.al., 2020. Explainable machine learning for scientific insights and discoveries. IEEE
Access,8. pp.42200-42216.
Ghasemaghaei, M., Ebrahimi, S. and Hassanein, K., 2016. Generating valuable insights through
data analytics: a moderating effects model.
Zhang, et.al., 2019. Progressive failure of brittle rocks with non‐isometric flaws: Insights from
acousto‐optic‐mechanical (AOM) data. Fatigue & Fracture of Engineering Materials &
Structures. 42(8), pp.1787-1802.
Chehbi-Gamoura, et.al., 2020. Insights from big Data Analytics in supply chain management: an
all-inclusive literature review using the SCOR model. Production Planning & Control. 31(5).
pp.355-382.
Ambühl, L., et.al.,2017. Empirical macroscopic fundamental diagrams: New insights from loop
detector and floating car data. In TRB 96th Annual Meeting Compendium of Papers (pp. 17-
03331). Transportation Research Board.
Arnaud‐Haond, S., Stoeckel, S. and Bailleul, D., 2020. New insights into the population genetics
of partially clonal organisms: when seagrass data meet theoretical expectations. Molecular
Ecology. 29(17). pp.3248-3260.
Betsch, C., Wieler, L. H. and Habersaat, K., 2020. Monitoring behavioural insights related to
COVID-19. The Lancet. 395(10232). pp.1255-1256.
Gupta, S and et.al., 2020. Digital analytics: Modeling for insights and new methods. Journal of
Interactive Marketing. 51. pp.26-43.