Over the past sixty years Toronto-Dominion Bank has grown to become one of the largest banks in Canada. Their growth has been consistent and ever evolving. Banking is changing rapidly over the years, and TD is reflecting that change through their evolution.
TD Bank is recently pushing forward by cutting back. TD Bank has hired the Boston Consulting Group to examine methods that can be taken to increase efficiencies within the bank. All banks desire efficiency in every operation; however, effectiveness must not be compromised in this situation.
This evolution comes at a cost, a big one. In order to maximize effectiveness, Toronto-Dominion Bank has decided to lay off staff in Canada and in the US. These cuts are reaching all the way to the heads of department. This path hopes to reduce costs for the bank. This cut of positions is the first step in a two-pronged restructuring plan.
The second step to the reconstruction plan has not been fully noted at this moment, but has hopes to refresh TD Bank’s approach to their position in the market.
Great changes have also come from Bharat Masrani, the relatively new CEO of TD Bank. Masrani has visions of organic growth for the upcoming years. The goal for TD Bank is to adapt to accommodate for competition between the largest banks in Canada and in the US. Balancing this act is a very tricky task which requires a solid plan; that plan is overall organic growth within TD and within every branch in North America. This plan of growth through cutting down is risky, because of the possibility of decline. The bank has laid out their path leading to their goal; in Masrani’s opinion, this evolution is the option, which holds the most direct path for organic growth.
In order to grow organically, TD Bank must always be focused on good old-fashioned customer service. The challenge is to uphold that pillar of TD Bank in the ever-evolving world with technology. Bharat Masrani is pushing to have the bank open more days of the week. Being open on Sunday is not a revolutionary step, many banks can replicate TD Bank’s move there; however, they cannot replicate TD Bank’s customer centric culture. This unique trait they will also pass forth through technology. Updated technology that accommodates every type of user, both young and old will highlight the friendly customer culture.
Over the past year TD Bank has seen some great changes, both in structure and approach. As the new CEO of TD Bank, Bharat Masrani, is looking to the future to further expand the outreach of the bank. His two-pronged approach to refresh TD Bank’s approach to the market is under way and will fully be in place by the end of the year.
Many substantial changes in the structure of the bank has lead to positive and negative outcomes; however, the desired overall resultant is a new and more efficient approach to the ever changing world of banking. With the drive to succeed, Masrani will push to bring TD Bank to new heights both in Canada and in the United States.
Written By: Peter Fojtu
“TD Bank CEO Bharat Masrani on the Future of Banking.” Canadian Business Your Source
For Business News. Canadian Business, 09 Apr. 2015. Web. 29 Oct. 2015
“TD Bank Lays off Canada, U.S. Staff after Review: Sources.” | Business | Reuters. N.p., 17 Oct. 2015. Web. 29 Oct. 2015.