ANZ Bank Analysis

Name: Lucky Steven F Noris

ID: 11900055
Executive Summary
This report discusses CSR practices that have been carried out by ANZ banks. by doing CSR
practice which is an obligation of a multinational company in Australia. This CSR practice can also be
used as a marketing tool by the company. In addition to having an impact on external factors, ANZ
also considers the code of ethics within the company, so that the work environment within the
company is comfortable and operates optimally. and include external or internal factors that cause
threats and opportunities that companies can use to develop business strategies later on. With
experienced leaders in the financial world it is expected to build better business opportunities, but
leaders must also be able to guide employees to work optimally but without pressure.

1
Table of Contents
Executive Summary................................................................................................................................. 1
Introduction ............................................................................................................................................ 3
Corporate Social Responsibility .............................................................................................................. 4
Analysis of the external environment ..................................................................................................... 5
PESTEL ................................................................................................................................................. 5
ANZ Bank Porter’s Five Force Analysis ................................................................................................ 6
Internal factor from ANZ bank that has customer, buyer and supplier. ................................................ 7
Successful CEO ........................................................................................................................................ 8
Conclusion ............................................................................................................................................... 9
References ............................................................................................................................................ 10

2
Introduction
The progress of the banking industry in Australia is very fast, making it difficult for banking
business players to survive in business competition. With advances in technology and information that
are rapidly developing at various times make the wider community such as small communities able to
absorb and search for information easily and efficiently. Until now the people are able to choose
various industries and compare them with the best in their view. This requires banks to constantly
improve their performance and business strategies in accordance with their metrics. Competition is
marked by an increase in a variety of products to attract people to use their services. Now there are
many programs that want to increase competition in the banking industry in Australia, not only
competition companies are currently being held accountable for matters of the environment and
surroundings. How to move banks with various social and environmental aspects. It not only benefits
the community but also supports the advancement of banking companies one of them is an increase
“Brand Image” through corporate imaging. is very valuable because the corporate image will affect
the loyalty of consumers or customers.

3
Corporate Social Responsibility
To attain the vision of being the pride of the nation, ANZ Bank strives to provide the best
efforts to contribute to the growth of this nation. In order to make a better Australia, the Bank’s
existence is not solely to pursue profitability. There are other noble things such as constructing a
prosperous, righteous, and prosperous society. The CSR programs implemented not only to restore
benefits to the society, but rather emphasize the realization of a harmonious relationship with the
surrounding environment, particularly the community and environment, while also provide
sustainable value for all stakeholders. ANZ Bank has carried out various CSR programs throughout
2018 which are divided into several sustainability, such as 18% reduction in greenhouse gas emission,
3.188 Million taxes paid, 32% representation of women in leadership roles, and rank first Australia
and New Zealand institutional net promoter score. (Ratings and recognition | ANZ, 2019)
alsdhakjf ahskjhdasufhau asduahf ajkshfasui a skjhfkajshfa hasjhfaos fasjhflasf alksjflkahsf a
sklfjlaafffasfa alksjfalksfjai asjklajsf asjkf lasjfaofhkasfja ajshfaskfjaoi a ajshfasoifh ahsfoiahklfsh a
soiahiofha asfhaklhsjfa a flasihfa shoifjhalsfjal ivjalsnfla laksjdaisd af ajshf akljshfa laksdjlahdo
aksjhfaoiashh ajshdalisdja lasjkdlaisiaoa laksjfaisfha ljahslkfjapshfa lakshfpaisfhas lakshfaosifpasih alls
alsssslakshhhh aa a asfasfa aga
au asduahf ajkshfasui a skjhfkajshfa hasjhfaos fasjhflasf alksjflkahsf a sklfjlaafffasfa
alksjfalksfjai asjklajsf asjkf lasjfaofhkasfja ajshfaskfjaoi a ajshfasoifh ahsfoiahklfsh a soiahiofha
asfhaklhsjfa a flasihfa shoifjhalsfjal ivjalsnfla laksjdaisd af ajshf akljshfa laksdjlahdo aksjhfaoiashh
ajshdalisdja lasjkdlaisiaoa laksjfaisfha ljahslkfjapshfa lakshfpaisfhas lakshfaosifpasih alls alsssslakshhhh
aa a asfasfa aga

Managerial ethics is vital for every company because people will follow what leaders do.
Although a company has ethics policies in place, when top leaders ignore these standards, it resonates
throughout the company. This negative permeation doesn't continually look similar. It might mean
that some employees won't act ethically if they are following the actions of leaders. It could also
reduce employee pride and morale. ANZ Bank also supporting their employee, especially working
parents. From July 2018 ANZ New Zealand have new regulation for parental leave. ANZ paid parental
leave for 18 weeks and now increase to 26 weeks. This program ANZ have demonstrated from the
New Zealand government because above of minimum requirements but the company still committed
to their employee. On other hands this program it makes the company awarded the supreme white
camellia award, a United Nations Women and United Global Compact initiative celebrating an
organisational commitment to women empowerment principles (WEPs).

4
Analysis of the external environment
PESTEL
The PESTEL analysis is a tool devised by Harvard professor Francis Aguilar to conduct an
intensive external analysis of the business atmosphere of any business that data is accessible. this is a
vital step for eventually devising a strategy that can effectively manoeuvre the competition to
maximize a firm's chances of sustainability and profitability. PESTEL is an amalgam of initials of various
factors that not only affect ANZ however the whole business as a whole- these factors are namely
Political, Economic, Social, Technological, Environmental and Legal.
Political analysis
ANZ bank is a big company that doing their business in the economy sector. In this business can no
longer to ignore the political impact on their company. The political risk such as the US and China
market war is part of the political risk. Furthermore, political strife has an impact on all major
economics activities, for example, affect the growth rates and creditworthiness for bank industries.
Economic analysis
Bank industries that running in the financial field will have a bigger impact on economic growth.
Worldwide and regional issues might impact to changes in the inflation rate, the foreign exchange
rate, interest rate, the gross domestics product, and it is part of economics cycle. This factor in general
potential to make a company highly profitable or extremely suffer the loss.
Social analysis
Qakjfhfakj fajsfha sfkjhasf ajksfhashfasfafh aksjfhasfkb akfjhaskjf asjfkhaskjfahsfjk ajfakjsfhaksfh
akjshfaf jasfhakjsfh ajkshfkjashf jkahfjkah akjshfkahs fkajsfhak ukhuncekjbn kekjh cniuecjkna fnceiun
kajnc iue cnjkena cui aekjcn eaunc akjen caeukjnc ekucjaencakj ekjcnejan ukejacna,en caui cae,ncak
ajnc kaunc ae,n ca eiucn a.a nc iuecna ,.ac aeniclacn ackunjeanc aeuin a,aancuiecb a aencaeuchaecb
akejnc ueakbc ake akcueaucaec akechaeku cakec aekcj leauc akcn akejck,ken caulce lae,ca cakucu akc
aj,jc a.cauec a,jenc akuc akejcna,e cu ea, cnekacb ae ,,,,,,,,,a.ca nucn can a,nc,ancuae ca,cnauk enca,nc,

Technological analysis
Technology now is changing so fast it impacts the banking industry make transaction fast and reliable.
Technology factors help industries play a role while operating efficiency and customer satisfaction. In
order to compete with other banks, ANZ also needs to adapt and anticipate technology change. On
other hands by using modern technology, all online transaction must offer a more secure online
environment for its customers.
Environmental analysis
dddfjsdhf skdjhfkjsd hfskjdh sdhfjksdhf skjfhsdjkfhs kfhsjk fkjshdf ksjh skjhfjksdhf sdkjh skjhdfs kh
skdjhs skjhdfksh s .sv jsvjs. S dvksnvjns .v nskvsh s,nv s.s vushkvj s.s vnkusjvsn v.snv siuvhs .sn
vsudvjsn .snv skdvubs n.snv sduvsj vns.ns, vnsukdvbs vs.s vsdukvbs .sv sudkvbs .s vnuskdvs .snv sukv
sd.vnsd vb nsl .vsndvks bvs v.svnskuvb ksd vns.snvkusbv s,vn .snvsukv skvn s.snv skuvbsk vs. snukvsb
v,s.vnsvbuks dvs.vnskvbsk vns.v svskvbsl vlsivj sv,.svnsuv sv.svnsk uvbs .smsl vus vs. vnsukv sv.svs vus.

Legal analysis
The banking industry globally is impacted by many laws. it is also a large employer and is affected by
the labour laws. A similar rule applies to ANZ as it has to guarantee compliance with all legal

5
requirements pertaining to its business operations. Moreover, the actual fact that ANZ has operations
in a large number of countries, the bank is affected by laws and laws in every jurisdiction it operates
in. Thus, it has to determine standards and objectives that are in line with international legal
guidelines, for example, in Australia, the Bank has to operate below the requirements of the Banking
Act 1959 and has to hold an Australian Financial Services License under the corporations Act 2001.
Bank has to participate in government consultative bodies in order to engage with regulators and
government officials.

ANZ Bank Porter’s Five Force Analysis

Rivalry among existing competitors
The rivalry among existing firms shows the number of competitors that give a big impact to ANZ. High
rivalry makes ANZ can face strong pressure from rival banks such as Commonwealth, NAB and
Westpac. Changing in nature competition in technology, deregulation and global competition which
can limit each other growth potential, profitability in such program is low that because in bank firms
adopt aggressive targeting to customers and pricing strategies against each other.
The threat of new entrant
This factor reflects how new competitors want to enter this market, in banking industries barriers to
enter is huge because dealing with money and financial information from customers need to be
trusted and safe. That’s made to enter this competition is low to moderate. The opportunities from
government regulation are firstmac deposit program is cover deposit money by the Australian
government guarantee. Which are placed with an Authorised Deposit-taking Industry (ADI) up to
$250,000. (Australian Government Guarantee Terms - Firstmac, 2019)
The threat of substitute product
The availability of a substitute in banking industries makes the competition very challenging especially
for a big company like ANZ. Many of substitute bank are available across country, that offers almost
the same product and services. On other hands, Australia Prudential Regulation Authority (APRA) has
done the job to avoid a bank collapse on its watch. APRA will be monitoring retail banking industries
by following same regulation and give transparency information to customers. So, for ANZ they do not
fear their customers will go. (APRA Banking Statistics | ANZ Shareholder Centre, 2019)
Bargaining power of suppliers
Primary resources on the bank is capital, and there is another major supplier contribute to capital in
the bank industry. Another supplier is customer deposit, mortgages and loan, mortgage-backed
securities and loan from another institution. The suppliers have strong bargaining power it will cost
bank more that impact increases the competition in the industry and lower the profit and growth
potential.
Bargaining power of customers
Bargaining power of buyers indicates the pressure that customers exert on the business organisations
to get top quality products at reasonable costs with excellent customer service. This force directly
influences the ANZ’s ability to accomplish the business objectives. strong bargaining power lowers
profitability and makes the business more competitive. Whereas, once customer power is weak, it
makes the business less competitive and increase the profitability and growth opportunities for ANZ.

6
Internal factor from ANZ bank that has customer, buyer and supplier.

7
Successful CEO
In order for an organization to grow and thrive, employees need to embrace its values,
perceive its goals and be dedicated to its success. financial incentives only go to this point and it's the
task of the CEO and other executive leaders to inspire and motivate employees. One-way they can
accomplish that is through intentional communication with their groups. The CEOs act to
communication is a top priority—and employee will find that a combination of strategies is the
handiest.
(ANZ Shareholder Centre, 2019)

8
Conclusion
In practice, ANZ Bank has experienced developments in the case of CSR which have increased
from year to year, as well as improving the quality of existing management within the corporate
environment both at headquarters and branches. evaluating internal and external factors in planning
company strategies so that bank ANZ knows what are the opportunities and threats so that these
threats can be minimized. all of these things can be done regularly on the influence of leaders who
provide motivation and support to all employees on duty. made NAZ bank and became 1 of the
References major banks in Australia. and continue to create sound, strong and efficient banking.

9
References
Anz.com. 2019. [online] Available at: <https://www.anz.com/resources/d/b/db2f3c3a-bffb-46b3-
980c-732eec1057c8/2018-sustainability-review.pdf?MOD=AJPERES> [Accessed 18 August 2019].
Anz.com. 2019. Leading And Inspiring Our People. [online] Available at:
<https://www.anz.com/aus/corporateresponsibility/ourpeople/LeadInspireA.asp> [Accessed 21
August 2019].
Anz.com.au. 2019. Ratings And Recognition | ANZ. [online] Available at:
<https://www.anz.com.au/about-us/sustainability/reporting/ratings-recognition/> [Accessed 19
August 2019].
Bluenotes.anz.com. 2019. Q&A: Elliott On The Healthy Chaos Of Agile. [online] Available at:
<https://bluenotes.anz.com/posts/2018/06/q-a--elliott-on-the-healthy-chaos-of-agile> [Accessed 21
August 2019].
Canstar.com.au. 2019. ANZ Business Growth Program & CEO Strategy | Canstar. [online] Available
at: <https://www.canstar.com.au/business-loans/many-ceos-dont-understand-strategy/> [Accessed
22 August 2019].
Department of the Environment and Energy. 2019. Department Of The Environment And Energy.
[online] Available at: <https://www.environment.gov.au/climate-change/government/carbon-
neutral/ncos> [Accessed 22 August 2019].
Firstmac.com.au. 2019. Australian Government Guarantee Terms - Firstmac. [online] Available at:
<https://www.firstmac.com.au/products/term-deposits/australian-government-guarantee>
[Accessed 20 August 2019].
Shareholder.anz.com. 2019. APRA Banking Statistics | ANZ Shareholder Centre. [online] Available at:
<https://shareholder.anz.com/apra-banking-statistics.html> [Accessed 24 August 2019].
Shareholder.anz.com. 2019. ANZ Shareholder Centre. [online] Available at:
<https://shareholder.anz.com/personnel/shayne-elliott-management> [Accessed 20 August 2019].

10