The main purpose of a business is sometimes stated in a “mission statement”.  By knowing this customers can determine what the business does.  For example James Crosby the Chief executive of HBOS has said that the creation of HBOS is:

“A strategy to beat customer (our customer must be our greatest advocated), colleagues (our colleagues are central to our ambitions – they must be motivated in your industry) and shareholders expectations (our shareholders deserve growth – we will make sure its quality growth).”

HBOS exists to provide a service to the wider community, the objectives of HBOS are as follows:

  • Profit

The primary purpose of the merger (HBOS) is to create New Force Banking and improve the growth prospects for both businesses (Halifax and Bank of Scotland).  Profit is extremely important for HBOS, as the business cannot survive for very long if it is not profitable.  Without the profit HBOS cannot keep its shareholders happy, it cannot pay higher wages to its employees, also it will find it difficult to plough back money into research and development.  It is true that shareholders want HBOS to do well, but they also want to receive a return on their shares in the form of dividends.  If HBOS continues to make a loss, the shareholders will lose confidence and many would sell their share.  The benefit of profit for a plc (HBOS) is that they make more money as the company has expanded, but the constraint is that the capital has to be shared between shareholders.

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  • Customer satisfaction

 

As any business, HBOS carries out customer surveys and services and general attitudes to their brands.  For example, corporate banking has recently carried out a customer focusing on carious issues, including satisfaction generally and in relation to specific products/services.

The main complaints that are in customer service are:

  • Customer Complaints about products and services
  • Advertising complaints upheld
  • Complaints about late payment

  • Developing and Motivating Staff

Training is very important to HBOS as it helps individuals to develop themselves, they will be more inclined and better able to contribute to ...

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