HSBC 2017 Case Study: Digital Transformation: Customer Experience

This case study analyzes HSBC's digital transformation initiative, focusing on improving customer experience and work methods through the implementation of Vizolution's LinkScreen technology. It discusses customer and employee complaints, highlights the differences between online and traditional banking journeys, and identifies gaps perceived by customers. The study also explores customer negotiation aspects and presents a chart summarizing customer types, issues, and approaches. The transition to online banking aims to reduce time-consuming processes and enhance user experience, addressing issues such as long queues and extensive formalities. The success of this transformation relies on understanding diverse customer needs and maintaining an upgraded technology that integrates various banking services.

Running head: HSBC
2017 Case Study: Digital: Transforming Customer
Experience & Work Methods
[HSBC]
Name of the student:
Name of the university:
Author note:

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Table of Contents
A. A Brief bank profile....................................................................................................................2
B. Customer complaints...................................................................................................................2
C. Employee complaints..................................................................................................................3
D. Differences between the customer journey for online vs traditional banking............................4
E. Gaps identified by the customers................................................................................................5
F. Customer negotiation...................................................................................................................6
G. Develop a chart...........................................................................................................................7
References........................................................................................................................................9

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A. A Brief bank profile
HSBC is one of the most reputed and the biggest banks in the world which has its
origination in Hong Kong. However, this is actually a British Multinational and financial service
company. It is the seventh largest banks on the global basis in terms of the total assets. It
originally belongs to Hong Kong and to quite a few extents to Shanghai. It has its existence
being spread over the entire world. The existence can be observed in different countries and
regions like Europe, Latin America & North America, the Middle East, Africa and Asia.
Approximately, close to 38 million people are the customers of HSBC. It provides services
through different sectors like Commercial Banking, Retail Banking and Wealth Management,
Global Private Banking and Global Banking and Markets (Hsbc.co.in).
B. Customer complaints
The process of allowing customers open up a new account with HSBC was traditionally
very time-consuming and annoying as well. Customers had needed to follow a lot of formalities
and had to sign in numerous places. The process was very similar to what other top class banks
in the world follow. However, in the ever-rising market competition, it is important to be
innovative (Miozzo et al. 2016). Being one of the largest banks in the world, HSBC was in
regular search for an innovation to provide its customers a much better experience. After years of
extensive experiments, HSBC had finally succeeded in bringing an innovative idea that promises
to define a new experience. The idea or the innovation is LinkScreen powered by Vizolution’s
technology (Vizolution.co.uk). The idea promises to deliver a never before experience to
customers. Customers will no longer be require to be present physically in bank stores at least for
quite a few purpose like opening of an account. The process will now be much smoother and

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faster also. Innovation in the form of LinkScreen was initially misunderstood and customers
thought that the service will now be even painful. However, the digital platform has actually
surprised customers with its intelligent performance. Customers will now be able to see their
transactions and also the request or the complaint status in real time.
C. Employee complaints
Employees are always wary of changes being brought into the system. Changes may be
smaller or bigger that purely depends on the management’s decision for this. There are many
reasons why employees are worried about changes. The level of unknowingness with the change
can be the one possible reason. They find them as uncertain on whether the change is compatible
with the existing system. They may also be wary of the level of training which will be required
to effectively understand the new system. On top of all, employees may also be wary of their job
security. They might panic for a fact that the new job will require a new set of workforce and
hence, their sustenance is in danger. The level of threats can be much severe if the transition is
bigger and innovative as well (Dabari and Saidin 2015).
In reference to the digital platform as introduced by HSBC, the change is bigger and can
be a factor of worry to those employees who are not equipped with a sound technical knowledge.
Notably, the newly introduced automated system can reduce the work burden which means that
there will be job cuts. Job cuts are one of the fears which few employees might panic from
(McManus and Mosca 2015). However, the change will also benefit the few other employees
who are well versed with relevant technologies. They will now have the added responsibilities in
the form of taking care of the digital platform. Moreover, such employees will have more

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opportunities to prove their worth for the company. The change will be more of a mixed
experience for employees.
D. Differences between the customer journey for online vs traditional banking
Traditional banking is perceived to be time consuming and annoying as well. It requires a
large workforce to support the different services in stores. Moreover, traditional banking asks for
huge investments in salary’s payments and the other benefits. In addition to this, it becomes a
hectic task for managers to manage such a huge workforce. Pieces of training, meetings and all
such things then become a common thing to happen. From the customer’s perspective, traditional
banking is full of hectic procedures which they are forced to follow. For example, account
opening which is the most basic of all works done in banks requires a huge list of formalities to
be followed. Long queues are common sights near and around the counters where account
opening works are conducted (Mohammad 2015).
Online baking is much more different than the traditional. Online banking is less time
consuming and is manageable in quite a few shorter steps. It is very user friendly as well. Online
banking does not have any physical presence of staffs. It means that customers will not be
required to face the account opening officers and their long-list of questions & formalities.
Customers will no longer need to be in queues in wait for their number. The process will be fast
and superior also (Al-Qeisi and Hegazy 2015).
In the context of HSBC, customers will be travelling from traditional banking to online.
Initially, HSBC’s customers have to fulfil a long list of formalities to get their work done. A
simple account opening task had required a long process to abide by before they are done with
the account opening. Now, with the advent of LinkScreen, its customers will no longer be

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required to be in queues. They will also not be going through the long formalities as it was the
case with traditional banking. The account opening experience and the other activities were near
to a pathetic experience as lots of formalities and documentation was required to be followed.
Now, the HSBC’s customers will travel to an online platform where there will be minimal steps
to be followed. Moreover, the experience will be far much better than the traditional banking.
The user-interface will be quite an exhilarating experience. Traditional customers were required
to be in queues for a long time. Now, they will be introduced to a world where there will be no
queues. The process will be much faster.
E. Gaps identified by the customers
HSBC customers are from the different socio-cultural backgrounds. Understandably,
customers will have lots of expectations from the bank in regards to the diverse services.
Therefore, there are places for company to occupy with innovative services. HSBC can come up
with variety of offers which are appealing to the cultural believes and norms of people that the
company serve. The fact can also be understood with the help of Hofstede’s Cultural Dimension
which identifies notable differences between two countries in comparison (Beugelsdijk, Kostova
and Roth 2017). For example, according to Hofstede, there are evident cultural differences
between the European and the Asian regions. People living in both regions may have different
purposes for using the banking system. To the European people, opening of accounts can be a
ways to access the credit card services. However, Asian people can opt this to make the savings
(Kim 2017). The number of services and the success stories which HSBC has to its credit is quite
notable. The bank is one of the most successful in the world due to its ability to identify its
customers and their diverse needs. However, customers generally face a few issues like standing
in long queues in branch offices. There was a need for a system which makes the difference for

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HSBC and its customers. The difference was an indication for an innovative approach which is
rare to the banking sector. The introduction of the new software just indicates that HSBC has
taken the initiative to fill the gaps.
F. Customer negotiation
Customer negotiation is the degree of acceptance of the services offered which is
influenced by different cultures and societal backgrounds (Rani 2014). HSBC like other banks in
the world offers the list of services to customers to fulfil their varying demands related to the
services. The economic state of the country does also impact the thought process in customers
across the globe.
The software is launched especially for the UK market. Notably, there are various
cultures and ethnic groups which exist in the region. It means that the technology must be
equipped with the system such as identifying the diverse needs of different groups of customers.
There must be a system which effectively provides a variety of options to customers, so that, list
of specific needs are identified. The prospect which the technology brings to customers is
perhaps a very good solution and a good move from HSBC indeed. However, the purpose will be
largely served if both customers and the service provider are at benefits. Customers would be
benefitted in multiple ways like freedom from being in large queues in the branch office, fast
services, bankable from any place and others. The service provider would be at benefits when it
is able to deliver a flawless service experience with the new software. Each and every new
technology should necessarily produce an impact which is evident as well. Hence, there is a need
to keep the technology upgraded with the wide range of features.

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Innovative ideas will be the key to success. Customers can make a lot of queries while
being in banks whereas such thing would be relatively difficult with the launched software. The
new technology must be integrated with features those fulfil the needs of diverse customers.
Such technology is a good step forward towards a much better world of banking; however, the
maintenance would be the key in fact.
The types of customers are identified with the kind of services they depend upon the
banks (Gao and Bai 2014). Customers are generally involved in many services like business &
the various other types of loans, opening & maintenance of savings accounts, availing debit &
credit cards, merchant services (check collection, reporting & reconciliation and processing of
credit cards etc.). Integration of these services is a must for establishing a fact that the newly
launched technology is valuable and the need serving as well.
G. Develop a chart
Types of
Customers
Verbal Approach
and Body
Language
Types of Typical
Complaints
Issues Repairing
Millennials (the
young population)
Casual Technology related
such as site is
irresponsive in most
of the times
Upgradation of the
software with newer
versions
Baby Boomers Serious and Deep Errors in Service

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Thinker calculations Improvement
Boomers Slow and confused Technology is
complicated
Improving the
services

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References
Al-Qeisi, Kholoud, and Ahmed Hegazy. "Consumer Online Behaviour: A perspective on Internet
Banking Usage in Three Non-Western Countries." Procedia Economics and Finance 23 (2015):
386-390.
Beugelsdijk, Sjoerd, Tatiana Kostova, and Kendall Roth. "An overview of Hofstede-inspired
country-level culture research in international business since 2006." Journal of International
Business Studies 48.1 (2017): 30-47.
Dabari, Ishaya John, and Siti Zabedah Saidin. "Determinants influencing the implementation of
enterprise risk management in the Nigerian banking sector." International Journal of Asian
Social Science 5.12 (2015): 740-754.
Gao, Lingling, and Xuesong Bai. "Online consumer behaviour and its relationship to website
atmospheric induced flow: Insights into online travel agencies in China." Journal of Retailing
and Consumer Services 21.4 (2014): 653-665.
Hsbc.co.in. "About HSBC | HSBC India." About.hsbc.co.in. N.p., 2018. Web. 29 May 2018.
Kim, Sangmook. "National culture and public service motivation: investigating the relationship
using Hofstede’s five cultural dimensions." International Review of Administrative
Sciences 83.1_suppl (2017): 23-40.
McManus, Joseph, and Joseph Mosca. "Strategies to build trust and improve employee
engagement." International Journal of Management & Information Systems (Online) 19.1
(2015): 37.

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Miozzo, Marcela, et al. "Innovation collaboration and appropriability by knowledge-intensive
business services firms." Research Policy 45.7 (2016): 1337-1351.
Mohammad, Haruna Isa. "7PS marketing mix and retail bank customer satisfaction in northeast
Nigeria." British journal of marketing studies 3.3 (2015): 71-88.
Rani, Pinki. "Factors influencing consumer behaviour." International journal of current research
and academic review2.9 (2014): 52-61.
Vizolution.co.uk. "Main Home - Vizolution." Vizolution. N.p., 2018. Web. 29 May 2018.