Social Priorities of Internal Banking Assortment (Products) Policy

Abstract

1. Introduction Charity, benefit, donations, alms and more modern social responsibility, social orientation, social priorities that pursue various goals and include various types of motivation and intensity were always associated not only with state and social but also commercial entrepreneurial activity of both organizational structures and individuals. Various factors that at the same time have some common features initiated social projects. Postulates in almost all religions call on and often demand to take care of sick, physically and mentally challenged people, and orphans, share wealth with poor and homeless people, and help ascetics and talented ones. It includes alms after a church service, distribution of a part of offering and Christmas presents in orphanages, hospital and almshouses. It is necessary to share the success and wealth received with the God's help with orphaned and poor people, help talented poor youth with thanks to the Almighty. It is quite natural that in the Orthodox Russia not only merchants and manufacturers but also members of the czarist family, mainly women, were engaged in charity work, construction of hospitals for wounded and poor people, orphanages, almshouses, cheap houses. Probably, the reform of the saving system was the most outstanding example of such religiously initiated state social projects in the area of credit relations. In 1861 savings treasuries were transformed into savings banks. Various types of them aimed to protect the indigents from moneylenders and included clearly socially oriented establishments such as widows, students, and soldiers and sailors savings banks (Dyba & Zvonova, 2013). With more or less evidence progression and intensity, social orientation was implemented in the activity of Soviet savings banks, and in the work of their successor Sberbank functioning as a commercial state bank. To a large extent social orientation and social priorities that are formed and implemented by Sberbank sometimes even involuntarily but in strict compliance with its declared mission serve as a model and a benchmark for many commercial banks which management includes social responsibility in preferences of the internal banking policy. Academic studies, methodological researches, guidance papers, and what is the most important, many-years and in certain aspects centuries-long experience of social priorities in various areas and modifications focused on the bank management specifics allowed to reveal both really actual projects required by the society and often having a synergetic effect, and externally rather favourable actions that bear significant pure risks, and often shocks of both bank concentration and bank initialization. Herewith, it is important that according to theoretic provisions of bank management and especially bank risk management, the definition of positivity or negativity, desirability or undesirability, chance or pure risk of a phenomena, or event, or an action depend on the position of the person who is involved in this action or event defines his attitude and estimates the level of his acquisitions and losses. It predetermines the necessity of both basic and appropriate detailed classification of social priorities in the internal banking policy focused on the assortment of banking products (Rusanov & Rusanova, 2014). Banks as quasi non-governmental organizations initially bear certain social load. Herewith, they can implement it not only as compulsory social responsibility but also as purposefully formed social priorities in all areas of the bank activity including the management of qualitative characteristics of banking products. Based on the stated above, the research goal is formulated as follows: to classify areas of social activity by projecting them on the benchmarks of the bank management and setting forth the approaches to forming a socially oriented complex of banking products; to develop recommendations on socially defined preferences, limitations and prohibitions of the internal banking assortment policy. …