196

Journal of Management Sciences. Vol., 1 (9), 196-208, 2015

Available online at http://www.jmsjournal.com ISSN 2149-3324 ©2015

Developing Strategy Map of Mellat Bank in Path of

Development of Comprehensive Banking

Amir Hossein Amirkhani

1 , Malihe Moghadas

2*

1Professor associate of Tehran PNU University, Iran

2Msc in Executive Management, Payame Noor University, Tehran, Iran

*Corresponding Author Email: m.moghadas@bankmellat.ir

Received: 20 March 2015

Accepted: 24 June 2015

Published: 12 August 2015

Abstract: With the development of banking services as the heart of financial system and the money and capital

market in complex economy of today's world and Interpretation of that as the Tool for economic growth and

development of countries, investing at Purposefully planning, Research and development and expansion of a

variety of provided services by banks is one of the necessary actions which from its Valuable achievements can

be mentioned at determining key goals , analysis of strategic direction, orientated policy making and prevention

from waste of resources and money. So on, many banks given to importance of expanding services, forecasting

and fulfilling the needs of various range of clients and preparation of new services, have stepped into way of

Fundamental changes on their services and activity.One of the Evolutionary approaches, is entry of banks to the

consultation market and providing comprehensive service package to large customers and corporative, which

engage into daily transactions with significant amounts. This group of customers requires special attention and

Services and will lead to high profits .So, development of Comprehensive banking including both actual and

corporate services is among the actions that would lead to growth and development and, ultimately, maintenance

of banks. Mellat bank is one of the first governmental banks that came into private property and also as one of

the biggest private banks of country has adopted this policy and gradually by entering various fields of business,

has established development of comprehensive banking.On this study, in order of determination of Effective

factors on mellat back strategies in path of development of comprehensive banking, by using Opinions of the

experts, extraction of strategic factors In the form of balanced scorecard has been studied and then in order of

drawing strategic factors Relationships map, Dematel phasic method was used which its results about affection

of Factors under the control of bank on other Strategic Indicators is Remarkable.

Keywords: Strategic Plan, Fuzzy Dematel, Comprehensive Banking, Balanced Scorecard.

Introduction

Today banking industry plays a fundamental role on economic structure of countries and specially

economies with bank-oriented financial system. Banks as the main levers of economic macro policies through

financing investments and the introduction of new financial instruments and products provide suitable substrates

for growth and economic development. On modern financial system this role is even more important , because

today the banks, are considered as financial institutions which possess variety of assets and they are active in all

economic sections specially financial sections. Therefore, in accordance with such a wide range of activities,

importance of variety in products and financial services is even doubled .Comprehensive banking is an answer

to this need and Necessity, because this pattern by providing variety of products and services in shape of a

financial supermarket, answers a various collection of clients’ needs with a wide range of financial services.On

the other hand On today's world economic literature, The role and importance of the financial system and the

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money and capital market , consequently financial and credit institutions as the executive arms of this system

and means of economic development of countries is such palpable that steady development of economy is no

possible without their growth and development. So on, expansion of financial and credit institutions have a key

role on this area. However, exclusive and limited number of Iranian banks services for many years, had forced

customers to accept what they proposed. On this situation, banks usually dictated their services to customers,

and many of the tools and competitive behavior were ignored. Gradually with changes which were made in

banking system and emergence of private banks, slowly customers found more Power of Choice and Services

became more diverse, attitudes became better and readiness for change and competition was increased. On this

changes and diversities, Attitude and approach of bankers has changed to some extent and gradually terms and

conceptions like strategic planning and developing a strategy map became common. Speaking of strategy, when

there isn’t any goal in mind, it senseless. Faust and his colleagues believe that strategy clarifies The main

objectives of the organization and its future orientation, so strategy Is responsible for process that UT becomes

obvious during it that which resources should develop and organize in order of achieving collection of goals and

Competitive priorities will be followed up through strategic planning in each of the key areas of operations that

had been defined. In addition to the necessity of a strategic plan, one of the Topics discussed by bank managers

in strategic planning is implementation of strategy. Although develop of strategy and existence of a Codified

Program on organization has a high importance, it should be noticed that documentation without implementation

is an effort without any results. Company strategy always seems like a written that had been very abstract and

even may result in Distortion or misunderstanding, so the need of a systematic implementation of strategy to

resolve this fundamental problem on process of strategy implementation was always felt.Strategy maps show the

way to create value in organizations. One of the main concerns of now day’s organization is implementation of

strategies. In Explanation of the significance of strategy map it is enough to say that it is considered as the first

running point of strategy on many modern perspectives of strategy area, Nevertheless, over the years past of this

concept there are still many defects and deficiencies in the formulation and implementation of strategy maps

which had been considered by many experts. One of the lacks which is indicating a potential Spot to improve

the formulation of strategy maps is existence of an approach or mechanism for selecting and refining the

strategic goals which should be on the map. Importance of This discussion is because of that in practice,

organizations during codifying their strategy map confront a mass of goals which they confront a kind of

obsession and green in presence of all of them on the map.

Today, providing banking services through a network of information and communication technology in the

world on one hand and the development banks and presence of private banking system in the country, on the

other hand, has created a high competition in the banking industry. Competitiveness, sustainability, offering new

services and constantly changing needs and demands of customers, have made banks to develop strategies in

such a way to while maintaining existing customers, attract new customers by offering better services. The

similarity of the services and the increased competition in this area makes marketing difficult for banks in such a

way that inevitably to earn market share and survival they are always looking to find modern methods of

marketing and appealing to the different ways of development and implementing competitive strategies such as

differentiation strategies, reduce costs and focus. Designing strategy map causes the banks to be able to create

new areas in their business and attract new customers and to achieve a safe margin. Competitive edge in the

global economy directs Banks as financial institutions to a way to use various tools and methods to develop their

qualitative and quantitative market and undoubtedly it is major strategies of bank which has direct effect on

Advertising and promotion strategies of banks. In the meantime development and implementation of strategic

plans with looking at all aspects, and taking into account environmental and internal factors which often take

place in a long-term time frame, is of a great importance. Due to the extensive and effective development of

competitive markets, in industries and various enterprises, especially banks, management and strategic planning

combined with strategic thinking; market based and with regard to marketing as a fundamental and pervasive

issue on all stages and levels of strategic planning, has been introduced. So according to the prevailing

conditions of the global economy and competitive market of banks, that type of strategic planning in banks is

accountable and ensures their success On a competitive market that is based on the market. In Iran also with

increase of banks activities , prescience of new competitors on this industry and complex economic factors and

the needs of society, the importance of defining the goals and developing banking programs at different levels

have been doubled, which this matter requires knowledge of various aspects of bank performance.Since mellat

bank is no exception from this matter, and in recent years it is following creation of comprehensive banking, so

the need of programming and developing strategy map in order of successful transition to a comprehensive bank

for mellat back is a necessity. Comprehensive banking gets created when there is a focus on a specific group of

customers. In other words when banks adjust their performance to answer needs of their customers, they should

use new specialties on wider areas of financial markets. Comprehensive banking is created based on needs of

customers groups on way of Human development and it is able to cover large and small business areas. On

recent decade at Iran with entry of private banks and fulfilling the privatization of state-owned banks, the need

to develop a strategic plan based on modern banking methods in order to maintain or expand the share of banks

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is felt. So on , in recent years go vernal banks such as mellat bank because of Transferring part of them through

the stock exchange has more freedom and they have considered modern banking and non-banking methods to

maintain market share. Therefore, in this study, it is intended to investigate cause and effect relationships

between important factors in the development of bank strategy map and the relationship between each of these

indicators in conjunction with other indicators to be ascertained.These indicators are based on the balanced

scorecard approach and are categorized in four aspects. According to the principles of the Balanced Scorecard to

create a strategic plan, in addition to determination of performance indicators, the Way of influence of these

measures in respect to each other or their priority and Regency should be determined. On many of strategic

plans, the way of influence of indicators is determined in shape of judgment and only on the basis of expert

opinions .Given the importance of strategic plan to develop long-term plans of comprehensive banking and the

necessity of a codified solution to determine the structure and priorities of strategies, in this study we have tried

by using DEMATEL method which is one of the decision making methods to determine The effectiveness of

performance indicators that have been identified by experts as well as the severity of impact so that drawing an

integrated strategic plan of mellat bank in the direction of comprehensive banking can be achieved. On this way,

continue of this study is organized as following: after the introduction, review of Theoretical Principles of

research in the field of balanced scorecard and Dymtl method is discussed and the next section describes the

background of similar studies. Then the combined methods and procedures used in conducting the survey is

expressed and at the end the application of the proposed method of mellat bank with case study based on real

data has been studied.

Theoretical Principles of research

Strategy Maps and Balanced Scorecard: The rapid development in today's world and rapid environmental

changes has made awareness of developments necessary. Organizational systems in order to gain success in

competition should take a form of management that is future-oriented and environmentally. So that in addition

to identifying the factors and environmental changes in a long-term time horizon, determines their impact on the

organization and how organization interacts with them. This type of management is the strategic management.

Strategic Management has three core processes: strategy formulation, strategy implementation and evaluation of

strategy. Most organizations are facing difficulties in the implementation of the strategy. Balanced scorecard

and strategy map are means to fill the vacuum created by when the implementation of the strategy is considered

and translates strategy into understandable and operating terms. So one of the powerful means which has been

purposed on the field of programming and implementation of strategies, is balanced scorecard which was

presented in 1992 by Kaplan and Norton.

Balanced Scorecard as a strategic management tool, makes it possible to achieve organizational goals.

Balanced Scorecard has passed a developmental process from the beginning as a performance measurement tool

that seemed to goes beyond traditional financial measures to be a strategic control and management system.

Kaplan and Norton had purposed BSC as a mechanism to report performance of an organization given to its

strategy. The framework of Balanced Scorecard presents four hierarchical levels of financial, customer

orientation, internal processes, business and learning and growth. Kaplan and Norton in response to some

criticism, introduced strategy map as an improved outlook for the BSC. Thus Kaplan and Norton to connect four

aspects mentioned above in a single organization, offered the strategy map and gradually by introducing strategy

maps, developed balanced scorecard. Can be said that the concept of the balanced scorecard was developed by

presentation of strategy maps of a performance management tool to a strategic management tool for the

formulation, interpretation and implementation of the strategy. This map is a graphical representation of the

company's critical success factors and causal relationships between them. Strategy maps provide a compatible

way to show the strategy, so that the objectives and measures get established and managed. In the balanced

scorecard literature, words used to describe the strategy map are different. Kaplan and Norton have used the

term strategy map, but nilly and borne used the term "map of success."

Kaplan and Norton (2004) in their approach only emphasis on the content of the map and this subject that

goals should be of what kind. Managers on action stage in the consultation meetings have purposed a number of

objectives and these objectives are all placed at the map and considered as strategic objectives. The

disadvantage of this is that organizations sometimes face a lot of strategic objectives contained in the

management plan which management of their realization will sometimes face them with many difficulties. Main

focus of BSC subjected studies was mainly on performance indicators but a few of studies had investigated

creation of a mechanism which distinguishes The causal relationships between key performance indicators in

order of implementation of studied strategy and almost none has purposefully introduced a plan to build a

strategic plan. These studies also focus more on the general framework of four perspectives of the balanced

scorecard to measure performance. The main issue is the lack of a systematic approach to develop a complex

interrelationship in designing a strategy map. Strategy map is considered as a visual tool to show cause and

affect relationships in every management system with balanced scorecard and determines indicators and their

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relationships with strategies. However, many companies had made the effect of their efforts on their Balanced

Scorecard system unsuccessful because of major mistakes on mapping .

During the implementation of the first generation of the scorecard, there were many limitations: for

example, this generation was involved of a simple causal and indirect mechanism, with no real concept of cause

and effect relationship, and the relationship between operational and strategic objectives were too vague. But the

chain of causal relationships express the strategy plans that brings intangible assets into tangible results. Chain

of cause and effect relationships among all four perspectives of the balanced scorecard indicators, in addition to

strategies that reflect changes dynamically, displays the way of creation of value from organization and proves

that strategies has been planned on the basis of dynamic changes over time. Kaplan and Norton argue that by

creating strategy map, missing link between formulation and implementation have been found. As the process of

creating a strategy map shows, this process is human-centered process which on it, in order to reach an overall

agreement, priorities, experiences and knowledge of the Board of Directors are considered. This tool gives

employees a clear and direct view so that they would know that how their careers and activities will connect to

overall goals of organization and will coordinate them in order of accomplishment of their works. In fact, the

foundation and the basis of the Balanced Scorecard is strategy map. Successful implementation of BSC is based

on exact drawing of causal effect relationships between strategic objectives of organization in the four

perspectives of financial, customer, internal process and learning and growth. BSC inventors believe that the

best way to draw strategy map is a top-down approach. This approach started with the aim and purpose of the

organization and plotters ways to achieve the intended destination. The balanced scorecard, by integrating

financial and non- financial strategies variables in the cause and effect relationship, focuses on four aspects:

1- The customer perspective to determine the level of customer satisfaction through qualitative and quantitative

measures on product or services used. Several factors is influenced on customer satisfaction. These include the

quality of services provided to customers, staff efficiency and organizational knowledge.

2- Internal business processes to assess the processes required by organizations.

In this perspective, organizations must specify procedures which by overcoming them, they would be able to

create value for customers and ultimately their shareholders. Achieving each of the goals set in the customer

perspective, needs to do a series of operational processes in an efficient and effective form.

These processes should be set in terms of internal processes and proper criteria should be developed to monitor

their progress.

3- Organizational learning and development focuses on staff training, acquisition of knowledge, and how to use

it, in order to participate and survive in a competitive market. When the objectives and criteria related to

customer perspective and internal processes are determined, immediately gap between the required skills and

capabilities and current level of skills and capabilities will appear. Thus, the objectives and criteria of this

perspective should be be specified in order to fill this gap and then determine appropriate measures to control

their progress.

4- The financial indicators are used in order to identify needs and financial performance. Financial criteria are

the most important components of a balanced assessment system. Particularly in profitable organizations this

criteria show that successful implementation of the goals that have been set in other perspectives, ultimately,

lead to what results and financial achievements. All efforts to improve customer satisfaction, improving the

quality and reducing delivery time of products and services, if not lead to tangible financial results, will be of no

value.

DEMATEL Method (laboratory tests and evaluation of the decision)

DEMATEL method is one of decision making methods which creates complex cause and effect

relationship and was used for the first time on BMI institution of Switzerland between years of 1972 and 1976

on a project at Geneva research center. This method with utilizing the principles of graph theory extracts mutual

Influenced and affected relationships between elements in the graph, so that the intensity of these relations is

determined by a numerical rating. From advantages of this method over other decision-making methods, is the

use of feedback relationships. This means that in the structure of this technique, each element can affect all same

level, higher and lower levels elements of its own, and in exchange can be affected from each one of them. In

general5major steps for development of this method is proposed by definitive data as follows:

Step 1) Calculate the average matrix. The decision makers will be asked to comment on the direct effect of each

factor on other factors with a scale of integrated numbers from 0 to 50. The higher the score, indicating that in

terms of decision maker, lack in I factor will have a direct and severe effect on weakening factor, or in other

words, to improve needs to improve as much as possible. By using direct matrixes of decision makers, average

matrix of A can be obtained. The elements of this matrix are the average of the corresponding matrices of

decision makers.

Step 2) Calculation of matrix direct effect. Initial direct effect of matrix Dcan is achieved with non-scaling

average matrix of A, so that all its main diameter elements are zero. Using the matrix D it is possible to

determine the effect that one factor may pose to another factor or gets from it. D matrix elements illustrate

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structural relationships between system elements and they can be shown in formation of a structural model of a

map of the system effect with respect to the relationships. For example, in Figure1 the decision makers were

asked to only demonstrate the direct Relationships on directed graph of Figure 1, agent indirectly affects factors

j and k and indirectly first effects on factors l , m , n and then o and q .

Figure1. An example of a direct graph.

Steps 3) calculate the complete matrix direct/indirect effects. If the matrix D reaches to consecutive powers, i.e.,D,,D,D 32

, the indirect effects of equation will continuously reduce. On figure 1 effect of I factor is less than

m factor and in comparison with its effect on j factor it will be even less. Accordingly infinite series of direct

and indirect effects can be achieved. Element of row i and column j of A matrix is shown by ija. Using relations

(1) to (4), the desired matrix can be achieved.

(1) 0s,AsD

Or

(2) ni.js,asd ijij ,1,2,0

This on these equations s is defined as following:

(3)

n

i

ijnj

n

j

ijni

aa

Mins

11

11

11

max

,

max

Also

(4) 0

m

mDlim

Full matrix of direct/indirect effects F, Which is infinite sequence of the direct and indirect effects of each factor

can be achieved by Matrix operations on D. this matrix shows the final structure of factors. (Equation5). If fWi

is defined as non-scaled sum of row i of matrix F, fWi will show direct/indirect sum effects of I factors on the

other factors. On the other hand, fVi which is non-scaled sum of row I of matrix f, shows sum effect which I

factor receives from, other factors.

(5) 1

1

DIDDFi

i

In explaining the equation (5) can be said:

(6)

m

,DIDDIDIDDDID

DDDIDDDDD

m

mm

i

i

1112

122

1

i

k j

n m l

q o

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201

Step 4) determining threshold and mapping network connection (NRM).To describe the governing

structure among the factors, determining a threshold value of p to monitor the observed effects indicated by the

matrix F is necessary. Each element of F matrix , like ijf shows information about value of effect that factor i

exerts on factor j or the effect that factor j receives from factor i. if all data of matrix F transforms to Map of

network connection, using necessary data for making decision will be difficult. In order to achieve an

appropriate map of network connection, determining a threshold value for judging about the effect of factors on

each other seems necessary. Only those elements of the matrix F transforms to the map that their value is larger

than determined threshold value. The threshold is determined by the decision or through negotiation with

experts. Such as matrix D, structural relationship between matrix F elements can be demonstrated on a map. If

the threshold is too low, map gets very complex and necessary information for decision making will not be easy

to be inferred. If the threshold is too high, also many factors without having any relation with other factors will

be shown independent. As much as threshold goes higher, more factors and relations will get removed from the

map. To achieve appropriate map and information for decision making, an appropriate threshold should be

determined.

In case of using the fuzzy data on DEMATEL method, some researchers have developed more advanced

methods from the concept of then on-fuzzy. Among them it can be mentioned to the method used by Jassbi et al

(2011) top draw strategy map. Purposed method by these researchers in developed based on Triangular fuzzy

numbers. Accordingly they have used the presented five scales on table 1 in order to transform Verbal variables

used on explaining the intensity of the relationship between elements of the triangular fuzzy numbers.

Table 1. Verbal variables and their equivalent triangular phase numbers.

Verbal word phase value Very high impact (VH) (1.0 ،1.0 ،0.75)

High impact (H) (1.0 ،0.75 ،0.5)

Low impact (L) (0.75 ،0.5 ،0.25) Very low impact (VL) (0.5 ،0.25 ،0)

Without impact (W) (0.25 ،0 ،0)

In cases that amount of K experts attempt to evaluate the effect of the elements on each other, relation matrix of

each is explained as kpz p ,,~ 1,2 . Intermediate matrix is defined as the average of individual matrices.

(7) k

z~z~z~z~

k

21

Which shows the operator of triangular fuzzy numbers sums. Initial direct correlation of fuzzy matrix z~ will

have a structure as following:

(8)

0

0

0

21

221

112

nn

n

n

zz

zz

zz

z

~~

~~

~~

~

On this matrix

ijijijijumlz ,,~

are the triangular fuzzy numbers and Diagonal elements nizii ,,~ 1,2

will be considered as triangular fuzzy numbers? On next stage, by non-scaling z~ matrix, non-scaled Fuzzy

direct correlation matrix will be achieved as follows.

(9)

nnnn

n

n

x~x~x~

x~x~x~x~x~x~

X~

21

22221

11211

On X~

matrix

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202

(10) ijijij

ijijijij

ij u,m,lr

u,

r

m,

r

l

r

z~x~

Which on relation (1), or defines as follows:

(11)

n

j

ijni

ur1

1max

X~

Matrix can be shown as 3 definitive matrix of

ijuuX

~ and

ijm

mX ~

ijl

lX ~

.after calculating above matrix,

total relation of fuzzy matrix F~

will be defined based on relation (5).

(12) k

kX~

X~

X~

limF~

21

F~

Matrix will have a structure as follows:

(13)

nnnn

n

n

f~

f~

f~

f~

f~

f~

f~

f~

f~

F~

21

22221

11211

Which on it

ijijijijumlf ,,

~

and:

(14) 1 llij X

~IX

~l

(15) 1 mmij X

~IX

~m

(16) 1 uuij X

~IX

~u

With formation of F~

matrix Analysis can be performed as definitive mode for the elements. On this state,

values of

nifDn

jiji ...,,,, 21

1

from the total Row of the elements of matrix F and nifR

n

iiji ...,,,, 21

1

from the

total column of the elements of matrix F, is created. In fact iD indicator shows the amount of effect that I

elements will have on other factors and iR will show the amount of effect that it gets from other elements. On

Analysis the amount of effect of these elements two values of ii RD and ii RD

are used which first one is

called advantage or privilege of I elements which shows the amount of effecting and affection of an element.

This indicator shows a picture of the importance of the relevant criteria. On the other hand, ii RD indicator

which also is called equation, divides criteria into two groups of cause (if positive) and effect (if negative). On

this study values of ii RD and ii RD

are analyzed based on non-fuzzy values of defdefdefdef RDRD , .

Background of study

In recent years, many researchers have used Quartet Balanced Scorecard method to extract indicators of

strategy formulation and drawing the way of banks. In this section, a number of them and the achieved results in

order of creating more acquaintance with indicators and purposed methods on this filed, are considered. On

2000 liter and colleagues had shown using balanced scorecard analysis a major part of the mapping process of

strategy map on one of the most important banks of England. Their research showed that the key success factors

in the bank's strategy formulation are classified in four aspects of BSC. Zhang and Li (2009) used the Balanced

Scorecards viable alternative for the traditional financial measures in the management purposes of Commercial

banks. In addition, they have paid attention to strategy implementation, limitations of application, and future

prospects of the commercial banks. Their research suggests the capability of this method on the dynamics of

banks, executive procedures and processes of evaluation and control of the banks. Accordingly, they believe that

the Balanced Scorecard is a management tool that enables organizations to define their vision and strategy and

turn it in to program. Jafari Eskandari et al (2013) also in order to extract key indicators of success, on drawing

strategy map of banks used balanced scorecard method and then to draw the map of the way they used

combination of two ANP and FUZZY DEMATEL methods.

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203

Wu and Lee (2007) used Dymtl techniques to draw causal and effect relationships of manager’s

competence. Lee et al (2011) in order to investigate the correlation between the factors and agents and drawing

network relations about investment and purchasing stock, used DEMATEL method. Chen et al (2011) used

Dymtl technique to identify and map causal relationships of each balanced scorecard perspectives and then

creating relationships of cause and effect on standards of each aspect separately.

Amiri et al (2011) used the balanced scorecard for classification of important features which affect locating

of Supply chain distribution centers of Iran's oil company projects and grouped them based on DEMATEL

method. Seyedhosseini et al (2011) used the Delphi technique for rating, Dymtl approach to determine the

causal relationships between the strategic objectives existing on strategy map and determination of priority and

Regency of strategic objectives and weights of strategic objectives. Hematian et al (2012) used DEMATEL

fuzzy technique for drawing causal effects of balanced scorecard and used Data envelopment analysis

techniques to model and measure the exact performance of 10 Azad Universities. Dehghan et al (2012) have

used Dematel techniques to draw causal relationships and used theidealplanningto reducedeviations from

objectives at the Iran University of Science and Technology. Heydariyeha et al (2012) used the DEMATEL

FUZZY technique in order of determining and rating causal relationship of strategic objectives on a company

operating on Glassindustry. Falatoonitoosi et al (2012) by used DEMATEL method to draw casual relations

between four aspects of balanced scorecard and creating casual relationships between each one of strategic

objectives on related Criterion. Hung (2012) to link key performance indicators with the strategy map and draw

causal relationships between key indicators of the performance of banks in Taiwan, has used the DEMATEL

technique.

Alvandi et al (2012) have used DEMATEL technique for creating a cause and effect relationship off our

perspectives and key performance indicators of each of the sights individually. As other studies outside the

scope of strategy map, to draw strategy map, Najeeb Shaik & Abdul-Kader (2014) had drawn Reverse logistics

criteria of causal relationships in the balanced scorecard by using DEMATEL method.

Materials and Methods

After the expressing the importance and questions of study, Familiarity with research literature and

studying background of existing researches, it is time to determine structure of research implementation and

used tools. Given the importance of the role of strategy on developing comprehensive banking, the researcher in

order of extracting the right strategies, effective and workable, should utilize effective and proven methods. The

methodology used in this study is shown in Figure 2.

Figure 2. Methodology of research.

Collecting data

In this context, given the importance of expert opinions in the process of formulating the strategy, some

interviews have been taken from experts in the field of banking which is resulting on extraction of a number of

questions with strategic base that its questionnaire is designed in the form of a balanced scorecard approach.

Present questionnaire is designed with 20 questions and was distributed among the directors of departments of

Bank Mellat which according to the formula of Cochran sample size, a sample with following size was chosen:

1112

2

2

2

d

pqzN

d

pqz

n

Primary index extraction

Distribution and complement of questionnaire

Statistical analysis by one-sample sign

test

Strategic index determination

according to BSC method

investigating the relationship among

indices using DEMATEL method

Developing a strategic plan in line with comprehensive

banking

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Table 2. Size of sample.

Population size: 246 people Confidence level: 0.05 P,Q = 0.5

Z: 1.96 Sample size: 70 (69.27)

people

Error size: 0.1

Due to the size of the obtained sample, questionnaire was distributedamong100managers of Bank Mellat

departments with the rate of return of 0.75, 75questionnaireswerecompletedof which72questionnairewereusable.

In this context, in order to assess the reliability of the questionnaire, Cranach’s alpha was calculated to

beapproximately0.75, which showed very good reliability of the questionnaire. In continue in order of

determining final index, One sample sign test was used which results of the analysis are presented in Table 3.

Results

In this part of the study in order to extract the remaining impact in dictators on each other, the DEMATEL

method is used. In this context, due to the opinions of experts and expressing their verbal opinions, fuzzy

numbers are used which allow the responder to express his opinions approximately and on the other hand allows

the responder, by using Calculating fuzzy methods, determines relation between strategic indicators on

formulating strategic programs of comprehensive banking. In this regard Assessment from one of the five

people participated in the survey reports, on the relations of strategic indicators is presented in Table 4as sample.

Table 3. Fuzzy evaluation matrix of one of the committee members Relations.

1C 2C 3C 16C 17C

1C 0 VL VL L VL

2C VL 0 VL L VL

3C VL VL 0 L L

16C H H H 0 VL

17C VH VH H VH 0

On next step by using table 1, corresponding Amounts with each opinion is replaced on each of the table cells

and finally five Experts opinions were averaged and the z~ table was formed. In follow, by using equations 10

and 11, X~

matrix is formed which its data are non-scaled fuzzy numbers.

Table 4. None scaled fuzzy matrix.

1C 2C 17C

1C (0.00, 0.00, 0.00) (0.00, 0.00, 0.02) (0.01, 0.03, 0.05)

2C (0.00, 0.02, 0.04) (0.00, 0.00, 0.00) (0.00, 0.02, 0.04)

3C (0.00, 0.02, 0.04) (0.00, 0.02, 0.04) (0.01, 0.03, 0.05)

17C (0.04, 0.06, 0.08) (0.04, 0.05, 0.07) (0.00, 0.00, 0.00)

Then with separation of components of the first, second and third numbers in the matrix, 3 definitive matrixes of

ijl

lX ~

and

ijmmX

~ iju

uX ~

are extracted. On the next step, using equations 14, 15, and 16 we will

attempt to calculate and form

ijijijijumlf ,,

~

matrix. On this section because of high size of mentioned

matrixes we have avoided from putting them on the literature. With the formation of this matrix, analysis such

as definitive state can be done for elements and analysis graph relations based on non-fuzzy values of

defdefdefdef RDRD ,.

J. Manag. Sci. Vol., 1 (9), 196-208, 2015

205

Table 5. Table of impact of cause and effect factors.

Factors Phase ii

RD Absolute

iiRD

Phase iiRD Absolute

iiRD

1C 0.992051 3.18352 16.11236 6.762645 -8.21571 -0.37248 6.904604 -0.5612

2C 0.929905 3.028911 15.83596 6.59826 -8.01128 -0.33662 6.894776 -0.48438

3C 0.936142 3.066033 15.89009 6.630755 -7.94756 -0.25718 7.006385 -0.39945

4C 0.976497 3.143534 16.07512 6.731717 -7.92825 -0.26357 7.170379 -0.34048

5C 1.019878 3.263252 16.42858 6.903903 -8.02929 -0.20817 7.379417 -0.28601

6C 0.978542 2.942157 14.84471 6.255135 -5.86351 0.661576 8.002658 0.933576

7C 1.11535 3.396053 16.50685 7.006084 -7.86225 -0.10837 7.529253 -0.14712

8C 1.095491 3.318296 16.28872 6.900834 -7.56428 -0.02492 7.628946 0.01325

9C 1.018509 3.159008 15.8577 6.678406 -6.97196 0.25633 7.867228 0.383865

10C 0.929672 2.771732 15.00856 6.236655 -7.19563 -0.10181 6.88326 -0.13806

11C 0.929248 2.780729 14.77443 6.16147 -5.90827 0.603641 7.936919 0.877431

12C 1.105852 3.275169 16.29214 6.891053 -6.85271 0.433835 8.333575 0.638233

13C 0.897602 2.917699 15.17655 6.330617 -7.55558 -0.20354 6.723367 -0.34525

14C 1.018023 3.226336 16.27145 6.838602 -7.20529 0.278762 8.048132 0.373868

15C 0.9114 2.946977 15.33078 6.396386 -7.00025 0.127002 7.419126 0.181958

16C 0.953661 3.085156 15.93656 6.658458 -8.17358 -0.34386 6.809319 -0.56937

17C 0.863587 2.852699 14.97571 6.230666 -7.18204 -0.14063 6.930088 -0.13086

Given to obtained values on rows of definitive iiRD

and definitive iiRD

, we will attempt to draw graph of

casual and effect relationship intensity between factors. On this study with respect to high amount of initial

impact matrix dimensions, based on expert’s opinions, usage of top limit of Fuzzy numbers matrix is replaced

for complex calculations of thresholds which its value is calculated as 0.46. In continue, in order of drawing

casual and effect relationship graph, definitive amounts of iiRD column is compared with 0.46 number and

positive values bigger from it are considered as affecting negative values.

J. Manag. Sci. Vol., 1 (9), 196-208, 2015

206

Figure 3. Causal and effect relationship graph between factors.

Given to shown relations on graph of figure 3, strategy map of mellat bank on path of comprehensive banking

development on Competitive banking industry of country with an emphasis on effective factors to reach major

strategies of comprehensive banking is obtained as following map.

Perspective Factor

fمin

an

cia

l

per

spec

tiv

e

Inte

rna

l p

roce

ss

per

spec

tiv

e

Gro

wth

an

d

lea

rnin

g p

ersp

ecti

ve

Co

stu

mer

s

per

spec

tiv

e

Figure 4. Strategic map of effective factors in comprehensive banking.

Increase in

the return on

assets

Development of

electronic banking

infrastructure

Staff performance

evaluating system

Research and

Development

The quality of

staff performance

in line and center

Attracting and

empowering human

resources in line and

center

Meet the needs and

demands of

customers Quality of

physical

facilities

Increase in the

rate of return on

equity

Increase in

capital

quality

J. Manag. Sci. Vol., 1 (9), 196-208, 2015

207

As it is obvious from strategy map of mellat bank comprehensive banking, mainly because of strategic

reasons, such as research and development, recruitment and empowerment employee, employee performance

evaluation system etc. Which arose from the perspective of learning and growth and perspective of the internal

processes and under the control of management and internal organization powers, are effective against other

strategic factors on customer and financial perspectives such as Fulfilling the needs of customers, quality of staff

performance and rate of return of equity, rate of return of assets and capital adequacy.

Discussion and Conclusion

After selecting study goals, choosing methodology, choosing experts and collecting their ideas, performing

analysis and drawing strategy map of mellat bank comprehensive banking, the relationship between the various

strategic elements on advancing of the strategic objectives of bank with comprehensive banking approach in the

context of the balanced scorecard's 4 sights was extracted. These relations with emphasis on effectiveness of

some factors over the others, purpose Approaches in the direction of implementing comprehensive banking

strategy as follows. Physical features quality is considered as one of the fundamental effective factors over the

financial strategic indicators such as Increase of the rate of return on equity and capital adequacy rate. In

addition to the strategic factor, the development of infrastructure of electronic banking is another factor that is

provided to Executives and eventually will effect on amount of fulfilling the needs and demands of customers.

In this regard, equipping physical and virtual facilities of branches in order to facilitate in person and virtual

clients access to Corporate banking services which in terms of mobility and the transfer of high sums, requires

significant need for safety and security, is one of the first and essential strategic factors on decision making in

order to develop comprehensive banking .

Other financial factor such as rate of return on assets, gets affected from the phenomenon of research and

development and with increased research efforts, the level of productivity and the return on assets is increased.

In fact, this analysis emphasis on this fact that strategic process of development and research, although to be

expensive, finally effects on rate of Return on assets of banks and refers to the importance of productivity in

strategic decision making. The results indicate that the proper focus on employing forces processes in order of

equipping corporate banking branches from the beginning of employment and then as empowerment of the

queue and staff, on quality of performance of staff in these branches has a particular importance. The advantage

of this study is to derive strategic factors in the form of above standard sights which In determining the amount

of attention required during the strategic planning on Every aspect gives the managers a solution and has

prioritize their effectiveness.in this regard, present factors on two aspects of internal process and learning and

growth, are considered as the most effective factors on drawing strategy map of comprehensive development.

Present factors on financial aspect and customers most often get affected by these factors and play affected role

in the strategy map of bank.

With respect to the formed investigates and obtained data from DEMATEL analysis, direct impact between

effective factors on strategic map of comprehensive banking is shown. On this section it is suggested that

analysis between effective factors on developing strategic map of banks and financial institutions gets done

using modeling structural Interpretative methods which in addition to Interpretative the relations between factors

starts to draw a structure for these complicated factors. Using fuzzy cognitive map method (FCM) to extract

causal relationships among the major factors in the formation of a complex map of the bank's strategy as another

widely used fuzzy method in the mapping strategic development of comprehensive banking is recommended.

Conflict of interest

The authors declare no conflict of interest.

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