SOME CONCEPTUAL PRINCIPLES OF STRATEGIC BANK MANAGEMENT IN THE CONDITIONS OF TRANSFORMATION PROCESSES IN THE BANKING SYSTEM OF UKRAINE

Abstract

The authors have determined that external and internal changes of environment are to be considered when defining a bank mission and its strategic objectives. Development strategies should be elaborated, implemented and improved in a manner that ensures efficient achievement of high economic and social results, strategic objectives posed before the bank. We have also defined that strategic management tools are poorly applied in bank operations. Their long-term goals are undefined; no close ties exist between various structural subdivisions of the institution, as well as deficient employee incentive system to achieve the targeted results in the best fashion. Sequence of tasks has been clarified in order to logically build conceptual principles of strategic bank management in the conditions of transformation processes in the banking system of Ukraine. Furthermore, specifics of strategic bank management have been characterized, which involve achievement of a certain target as a result of bank policies, i.e. qualitative shift in the bank operations. The importance of applying relevant tools in strategic bank management has been evaluated, which required constant research and analysis. Basic aspects of strategic bank management in the conditions of transformational processes in the banking system of Ukraine have been characterized using analysis. In the framework of efficient implementation of strategic bank management, the necessity of professional personnel, its productivity and period of adaptation to the conditions and technology of work have been emphasized. To conclude, the authors consider specific situation in the financial market to demand that the bank activate only certain instruments. First of all, it is important to define the competition level in the banking sector of Ukraine and bank's place among its own competitors, as well as to assess the level of financial rationalization of activity trends.