Knowledge Management and Decennial Growth of a Private Sector Bank – A Case Study of ICICI Bank

Abstract

All over the globe the banking sector has witnessed a drastic change during the last decade. After liberalization, globalization and privatization initiatives of the government of India the scenario in banking sector has been changed. The private sector banks have strengthened significantly through sound financial health by adopting best methodologies and practices. The performance of private sector banks has influenced the growth of Indian economy and financial institutions. During the period of 2002-12 the banking sector in India has undergone different phases of global economic crisis. This period includes the pre crisis time, the crisis time and post crisis period. But the private sector bank which adopted knowledge management strategy from the beginning of this decade has not much affected by the global crisis in its performance and growth. Hence, in this paper to understand the implementation strategy of knowledge management initiatives and its impact, we study the performance of the largest private sector bank in India (ICICI bank) by analyzing the growth and trends of various performance parameters namely, 1) deposits, 2) investments, 3) assets, 4) expenditure, 5) income, 6) profit, and 7) other business related parameters. It is observed that in ICICI bank all these parameters have recorded an increasing trend during the period 2002-12 except in the period 2008-10. In the year 2008-10 due to world economic crisis the ICICI bank also suffered with a negative compound growth in some parameters. But with respect to other parameter the bank recorded a significant growth. However, in all parameters the bank is again performing well with positive growth after 2010 onwards.