Executive summary and business objective of a project - Essay Example

Integration of TinyBank Branches by TBTF “Too Big To Fail” Bank: An Executive Summary Integration of TinyBank Branches by TBTF “Too Big To Fail” Bank Executive Summary TBTF is currently the number five largest American bank by deposits. In pursuit of increased growth and expanded market share, TBTF acquired TinyBank, America’s tenth largest bank by deposits in a hostile takeover. The acquisition is aimed at growing TBTF’s revenue by approximately $ 60 billion in year one and grow to $ 100 billion annually thereafter.

Following this acquisition, TBTF management initiated a project to oversee the integration of all the TinyBank’s branches, systems, employees and customers into TBTF bank system. The project entails the conversion of 550 TinyBank branches in New York, Connecticut, New Jersey, Maryland and Virginia alongside 2500 employees, 250, 000 customer accounts and divesture of 40 bank branches. This project will in overall impact on TBTF’s asset management, Consumer credit business, retail banking and mortgage banking strategies.

The entire integration project is expected to cost approximately $ 45 million over a period of two years running to 2013. The key players and stakeholders of the project team will comprise of the HR coordinator, project managers, shareholders and technology and procurement officers, TinyBank directors and bank regulators. Upon completion, the project will generate a 35 % return on investment in year one and a 125% return on investment the subsequent year accruing from the expected growth in revenue from the new branches.

The projected will be sponsored and coordinated by John Too (CEO TBTF Bank), Bob Tiny (CEO TinyBank), Jane Fail (Exec. VP, TBTF) and Jack Big (COO, TBTF), who will be the program manager. Project Description The project is initiated with the sole purpose successfully integrating TinyBank’s branches, employees, customers and business systems into the TBTF Bank. The main phases of the project will include communication integration, core systems integration, branch conversion and branch liquidation.

All the phases will be managed in accordance with the PM guidelines, each phase flowing through project initiation, planning stage, validation and completion stages. Since the TBTF Bank is currently the fifth largest bank in the US and still in a constant search for opportunities to grow its revenues through an expanded market share, the acquisition of the TinyBank is obviously an aggressive strategic move that will see TBTF grow its deposits and business opportunities to become the third largest bank in the US by deposit.

This is achievable through the intended acquisition and integration of TinyBank into TBTF, which see TBTF multiply its branches from 750 to 1200. This growth in market share will justify the purpose of this project, which is to fully integrate TinyBank into TBTF. Business Objectives of the Project The main business objective of the project is to oversee a successful integration of TinyBank’s 40 branches, business systems, and employees, communications into the TBTF bank with a view of increasing the market share of TBTF in core competitive areas such as retail banking, mortgage banking, asset management, and consumer credit.

Upon its successful completion, the project is intended to not only grow TBTF’s customer base, revenues and profits but also to facilitate TBTF’s strategic objective of becoming the largest depository institution in the US by expanding into new markets through the acquisition of another competing bank, TinyBank. The strategic move is expected to raise TBTF’s revenues by $ 60 million by year end and further $ 100 million growth from 2012.