Impact of Innovation, Technology, and CSR on Lloyds Bank's Growth

This report provides a business environment analysis focusing on Lloyds Bank, a major British retail and commercial bank. It examines the impacts of innovation and information technology on the bank's operations, sales, profitability, and overall growth, highlighting specific examples such as digital banking and automated services. The report also explores the importance of corporate social responsibility (CSR) for Lloyds Bank, discussing how CSR initiatives enhance market share, improve brand image, facilitate cost savings, and provide a competitive advantage. It references Archie Carroll’s CSR model to illustrate the company's approach to social responsibility. The report concludes by emphasizing the significance of technology and CSR in shaping Lloyds Bank's strategic goals and objectives within the broader business environment.

Business Environment

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Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Impacts of innovation and technology and it affect operation, sales, profits and growth of
organisation............................................................................................................................3
TASK 2............................................................................................................................................6
Importance of Corporate social responsibility.......................................................................6
Archie Carroll’s (1991) CSR model.......................................................................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Business environment consists of micro and macro aspects that relates and impact on
organisational functions and operations. Employees, supplier, management authorities refers to
an internal environment of organisation. On the other side, customers, government, competitor,
CSR practices and information technology are defined as external aspects of business
environment. This report is written from perspective of Lloyds bank which is a British retail and
commercial bank and provides financial services to its clients. It is a public limited organisation
and headquarter of bank is situated in Gresham street, London (Wetherly, 2014). Moreover, the
report highlights on two different perspective which is information technology and corporate
social responsibility that is impacting on business goals and objectives. Archie Carroll’s model
will also be focused in the report to understand CSR practices and principles.
TASK 1
Impacts of innovation and technology and it affect operation, sales, profits and growth of
organisation
Information technology can be defined as an effective system which involves development,
maintenance and use of computer system for completing a project. The main role of IT
department and its members is to process and distribution of data in minimum time period
among all departments. In context of Lloyds bank information technology is used by
management to ensure that information such as amount of investment and personal bank detail of
individuals is stable and secured. Moreover, bank also ensures that details provided by its clients,
investor and stakeholder are accurate and updated in internal system of bank. This ensure with
right information of clients it is also easy for management to manage and complete work in
proper manner specifically related with customer requirement. One of the major benefit of
information technology obtain by Lloyds bank department is that management is now
completing its task and fulfil requirements of each individual in specified time period. So the
customer’s satisfaction directly enhances profits for business (Mazzucato and Penna, 2015).

Figure 1Source(https://www.lloydsbankinggroup.com/careers/our-roles/contact-centre-roles/
customer-operations/)
Impact of innovation and technology on operations of organisation
Financial industry is managing and operating its business in terms of monetary aspects
that is a confidential and crucial aspect for both. Either organisation as well as customer both
exchange it services with motive of earning benefits in finance industry. Innovation and
technology impact on operations of bank and financial industry. Example- Various local finance
company are offering loans to clients from its smart phone. It demonstrate there are drastic
changes are monitored in operations of finance industry (Karim and et. al., 2015). From
perspective of organisation it is identified that there are operations are managed by Lloyds bank
but due to changes in technology it is complex for management to perform all of its business in
an effective manner. Some changes monitored in Lloyds back are as follow:
 Retail- Retail banking is one of the face for Lloyds banking group which is providing
their services to more than 30 million customers. This refers it is complex to manage
operations at such a huge level but with implement of technology among all operations.
This is easy for management to complete all work in proper manner through performing
their task and operations systematically.
 Commercial banking- Another most important aspects for organisation is to perform
their work with motive of completing their work in minimum time period. In perspective
of banking and related service for small and medium organisation. This works for

providing better corporate and financial institution. In context of operations innovation is
impacted on organisation to perform work in proper manner that bank is making to
manage work for gaining intelligent finance.
Impact on sales on organisation
Information technology plays an important role in managing sales for organisation.
Financial institution services or product offered by Lloyds bank determines that investment
guidance, gold bonds, market trading and insurance services are offered by organisation to its
customers for satisfying needs and wants of customers. Along with this the number of branches
operated by Lloyds banks is more than 500. In order to manage them all it is identified that
technology is improving transfer of information from one place to other in easy manner through
implementing technology and its perspective to record and manage sale for each action
separately (Igwe, Icha-Ituma and Madichie, 2018). Example- Insurance department of
organisation is improving sales by using innovation perspective and offering their products from
website that evolve less formalities to complete work properly. Similarly, on other technology is
leading all organisation for complete and manage its operations at a similar platform. Therefore,
to boost sales of its products at global platform management of Lloyds bank use technology to
attract more number of customers.
Impact of innovation and technology on profit of organisation
There are various task and operations performed by management which is leading
business area but to manage them at large area information technology is required by
management. This also consider that with right task and operations all operations is identified
that understand all individuals aspect and satisfying it needs to complete work in proper manner.
There are different research programs identified that innovation factor implemented understand
by Lloyds bank that is offered by Lloyds bank to earn better profits through entering into new
market (Cai and Yang, 2014). This is internet banking, mobile banking, automated machines
such as ATM and financial software. It all works as a perspective which is leading management
to manage and operate work as a key aspect that leased banks to perform all work with new
solutions. It determines management implement new creative ways that leads organisation to
complete all work properly and in order to increase profits. This is identified by Lloyds bank to
work with motive of analysing performance of its competitor. So it is easy to gain competitive
advantage in market that also helps to complete work as per first mover advantage.

Impact of innovation and technology on growth of business
With understand of innovation perspective it is used for calculating profits for completing
all work in minimum time period. In terms of growth for business, innovation and information
technology both are used by Lloyds bank to ensure better position in the market. This is leading
business organisation to address all questions through which it is easy for management to
complete work with new solutions. In context of banking sector innovation is utilised to make
and offer better facilities which leads customers to attract more number of individuals and
transact orientation to complete all work according computerised system. In baking sector
technology is also used by management for performing task with innovation perspective to
increase their market size. Lloyds bank utilised this system for completing work with new
system. This refers management is providing better goals under which banking sector involve to
reduce operations cost. Cash less transactions is an innovation perspective that is introduced by
all working organisation to make payment mode easy (Bah and Fang, 2015). Moreover, due to
less use of cash paper is also saved that work as positive point for organisation through initiating
steps towards environment safety. Therefore, growth of business is done properly to undertake
longer benefits.
TASK 2
Importance of Corporate social responsibility
Corporate social responsibility refers to a process which is attempted by business for
completing their work with motive of providing benefits to society. In order to develop positive
relations this is identified CSR practices leading company for completion of work by managing
task as per legal laws and ethical ways that provides importance to organisation for accomplish
of longer results. In simple terms the main motive of corporate social responsibility is to increase
their market share for more than a period of five years. With several study of research it is
identified that CSR practices it increasing market share for business with a growth of 20%
through implementing positive perception in organisation. Lloyds bank is one of well-recognised
organisation which provides their services to large number of customers. Therefore, it is also
mandatory for management to improve its goodwill for satisfying needs of employees in proper
manner. With aspects of this it is identified by Lloyds initiate some steps as it is important for
organisation to organise and manage work as per corporate social responsibility (Antony,

Setijono and Dahlgaard, 2016). Some important points which are achieved by business through
CSR are as follow:
 Increase in market share- Social responsibility and ethical practices are the key aspects
for organisation that is leading business area to complete work in proper manner. This
also consider management and its task which is leading business for managing and
organising area that make products responsible to manage statistics and increase
awareness about making importance for complete of work and demonstrating results to
seek better products by managing interest of individuals in organisation services. Lloyds
banks is completing work for generating interest about importance and make social
results that analyse products and its area to work with ethical practices.
 To improve brand image- One of the most crucial decisions which is relates with
business is to understand all requirements of customers. Therefore, one of the major and
most effective method is to complete work with business practices of utilising CSR
practices that directly provides benefits to society. Within this society practices it is
identified management of Lloyds bank provides home loans at minimum rate. These
results more than 50,000 individuals purchase their own house within UK. It improves
goodwill of society that manage work for introduce business practices that attract more
customers to become a part for organisation.
 Cost saving- In present scenario, local and multi-national organisation both are
competing with each other at a similar platform. Therefore, it is mandatory for business
to promote business practices for approaching more number of customers to buy
organisational products but is an expensive method to gain more market share. Therefore,
CSR business practices is also beneficial for promote of business with minimum amount.
It results that simple changes among department and its policy favour sustainability for
long period in an intense competitive market (Adams and et. al., 2016). Lloyds bank
implement cost saving practice by performing their work through evolving of digital
platforms in all of this operations that reduce stationery cost.
 Advantage over competitors- By embracing the practices of Corporate social
responsibility among functions and operations of an organisation it is possible for
management to develop separate stand as compare to its competitors. In order to make an
unique stand CSR practice assist Lloyds bank to adopt first mover advantage in market

by analysing opportunity. This results the major advantage committed by organisation to
make social results which is used in leading environmental aspect to make offers through
which all outlets that are developed by management is leading business organisation to
analyse coverage in which brand and its services both are engaged. From perspective of
Lloyds bank management implement and engage in operations of charity through which
community and society practices are increased. This results operations are performed
properly that is included business that contribute better amount in charity functions.
With the above CSR practices it is identified that there are various task and operations performed
by management which leads to complete all work properly. In context of business practices
adopted by Lloyds bank consider market share and CSR ranking for organisation both are
increased with 15% in local market.
Archie Carroll’s (1991) CSR model
Carroll’s pyramid is defined as a simple framework which argues that there each
organisation must match with responsibilities of organisation and market needs. This determines
that role of each business is to complete whole task with building better foundation or base.
Further, to provide strength for base it is identified that organisation must build better relations
with society individuals by applying steps which work as foundation for business. But according
to this model each step of social responsibility must be managed as require time period and
foundation is only built when organisation adopts more amount of profits from market. Carroll’s
CSR pyramid consists of different steps which is performed by management to make argue in
favour of completing work with social responsibility.
Economic- One of the major responsibility for each business organisation is to increase their
profits in order to deal with business cost and practices (Adams and et. al., 2016). Moreover, the
only method to retain in a competitive market and to offer regular benefit is to invest monetary
amount which only comes towards a business by earning more amount of revenue. Lloyds bank
is enhancing economic benefits from society by providing them better services which provides
more value to business.
 Legal- Legislations, laws and regulation plays an important role for all organisation so
it is essential for management to obey all rules and complete all work as per decided
laws and policies. Lloyds bank perform operations that are related with finance
industry so employment, competitors and health of employees are key phase which

boost desired results for management. It also refers that management must follow rules
relates with finance industry that are to secure confidential information of clients.
 Ethical- Ethic and value consider operations and functions which are performed by
management to complete their work with moral and ethical approach. From the
requirements of business of Lloyds bank it is identified that there are various operations
performed by management including investment, insurance and finance, but to
complete all work it is used to treat all employees with a similar platform. This is used
in managing and treating employees to go beyond a narrow market.
 Philanthropic- With above three step it is identified that organisation using legal,
ethical and economical perspective to earn better amount of profits. After all this the
step for philanthropic exist and its stands for providing benefits to society to complete
work in proper manner (Antony, Setijono and Dahlgaard, 2016). Along with charitable
donations that is performed by Lloyds bank is to gain amount from sponsorship and
social media press relations are main tool for offering benefits to society. So
management first understand needs of society and then take action for satisfying them
in proper manner.
CONCLUSION
From the above report it is identified that it is essential for each business to complete
their work as per business environment. This refers that internal and external aspects of business
also relates with work performance of organisation. Corporate social responsibility support a
business from various perspective that is to improve their goodwill and enhance market area for
increasing more amount of profits. Innovation and technology are two pillar for current business
organisation and it is leading management to perform their work according to existing business
situations. This refers operations, growth, profits and sales aspects are impacted by market
changes so to deal with them innovation system is adopted by management. In the last, Archie
Carroll’s CSR model is also included to make imperative study for business policies and
practices.

REFERENCES
Books and Journal
Adams, R and et. al., 2016. Sustainability‐oriented innovation: A systematic
review. International Journal of Management Reviews, 18(2), pp.180-205.
Antony, J., Setijono, D. and Dahlgaard, J.J., 2016. Lean Six Sigma and Innovation–an
exploratory study among UK organisations. Total Quality Management & Business
Excellence, 27(1-2), pp.124-140.
Bah, E.H. and Fang, L., 2015. Impact of the business environment on output and productivity in
Africa. Journal of Development Economics, 114, pp.159-171.
Cai, S. and Yang, Z., 2014. On the relationship between business environment and competitive
priorities: The role of performance frontiers. International Journal of Production
Economics, 151, pp.131-145.
Igwe, P.A., Icha-Ituma, A. and Madichie, N.O., 2018. The evaluation of CSR and social value
practices among uk commercial and social enterprises. Entrepreneurial Business and
Economics Review, 6(1), pp.37-52.
Karim, K and et. al., 2015. Corporate social responsibility: Evidence from the United
Kingdom. Journal of International Business Research, 14(1), p.85.
Mazzucato, M. and Penna, C., 2015. Mission-oriented finance for innovation: New ideas for
investment-led growth. Policy Network and Rowman & Littlefield International.
Wetherly, P., 2014. The business environment: themes and issues in a globalizing world. Oxford
University Press.