Asia Green Development Bank (AGD)
Asia Green Development Bank (AGD) is one of the most leading banks in Myanmar. AGD bank is
a public commercial bank founded in Myanmar in 2010 with the aim of delivering banking
excellence through inspired and outstanding customer service, while offering innovative
products and services that meets customers’ requirements. AGD bank ’s headquarter is in
Yangon, which is the industrial and commercial centre of Myanmar. ADG bank ’s services are
ranging from Personal Account, Business Account, Foreign Currency Accounts, loans, Bank Card,
Trade Finance, Foreign Exchange and Remittance to corporate and international banking
including business packages. AGD bank has 77 branches and 65 foreign exchange counters
throughout Myanmar, operating across corporate, retail and international banking with over
2500 staff. ADG serves both corporate and individual customers by offering the best quality of
service. Currently, AGD bank’s customer base is around 700000 across the country and services
are available through mobile and internet banking. ADG Bank is recognised as a leading promoter
of financial technology solutions with the launch of AGD Pay and Onepay which are popular
mobile payment apps. There are about 27 local and 13 foreign-based banks while 49
representative offices of foreign banks are in Myanmar. ADG bank’s key competitors are
Kanbawza Bank limited (KBZ), Yoma Bank, Ayeyarwady Bank ( AYA Bank), United Amara Bank,
Co-operative Bank Limited (CB Bank), Innwa Bank Limited, Myanmar Economic Bank, Myanmar
Foreign Trade Bank(MFTB), State Bank of India, MUFG Bank, Sumitomo Mitsui Banking
Corporation, OCBC Bank, Bangkok Bank, Mizuho Bank, Industrial and Commercial Bank of China.
Before launching a big project or making a big decision for organisation growth, board of
directors, who see the big picture of future market direction by looking the current market
situation, assess whether the outcomes are likely achievable using four decision-making tools:
• Decision Trees
• Problem solving process
• The Gap Analysis
• SAFe techniques
Decision Tree
“Decision trees are flowchart graphs or diagram that help explore all of the decision alternatives
and their possible outcomes.” (Brooks, 2014)
Launch new product
Market testing No Testing
Successful $ Fail (10) Successful Fail (10%)
Launch (30%) Launch (30%)
$ 150,000 $ 75,000 $ 100,000 $ 50,000
Figure 6: Decision Trees
Decision trees result in the best suited approach to the management decision-making by
evaluating the options and taking out the unpreferable criteria. However, there are also
disadvantage of using decision tree. “A small change in the data can trigger instability in the
structure of the decision tree and calculations are very complex and inaccurate if may outcomes
are linked” (WIKIPEDIA, 2020).
Problem Solving Process
“Problem solving process means that the process of working through details of a problem to
reach a solution” (BusinessDictionary, n.d.).
Creative problem solving
Problem definition Problem solution
• What is the • What Actions
problem? are need?
Recognition and Implementation
making sense of and action
issues
Identification Realisation
Diagnosis Conception
• What is the
nature of the • What is the
problem? solution?
Analysis and Imaging and
reflection formulation
Figure 7: Problem Solving Process
According to the problem-solving process, organisation needs to identify the problem in strategic
decision marking as a first step and then diagnosed the nature of the problem. After analysing
the root of the problem, the team has to find the right solution and take appropriate action to
solve this problem as final step. Each step should be done properly by handling the risk to get
preferable result and solve the problems effectively which hinder organisation’s growth. “The
advantages of problem-solving process are increasing productivity, better communication within
the team and improving the team’s abilities in problem solving” (McNamara, n.d.).
There are also the disadvantages of this problem that should not be overlooked. As it takes more
time and attention to find the right solution, time constraint can give the pressure on the team
abilities. Because of the team leaders’ directions, objective guidelines can be unclear and
ineffective. Finally, it will lead to a great loss for the organisation wasting the resources and time.
The Gap Analysis
“A process used in business to identify the requirements that will enable a company to close the
gap between its current level of performance utilizing existing resource allocation and its
potential performance based on the optimum allocation and integration of resources. Gap
analysis provides the basis for determining whether desired outcomes are realistic based on time,
money and human resources available to achieve them” (Anon., n.d.).
Figure 8: The gap analysis
The benefits of using gap analysis help AGD bank increase production and performance within
given time and pinpoint the essentials and nonessential needs for the organisation. But the
success of the gap analysis replies only on the time and cost. A consultant will be needed to assess
the potential gaps or areas of deficiencies. The presence of consultant from outside will end up
suspicion and arise tension within the organisation.
SAFe (Suitability, acceptability and feasibility evaluation)
Suitability
Suitability is concerned with the strategic analysis to address the issues, threats and
opportunities and whether organisation exploit its strength and mapped out the weaknesses.
Acceptability
Acceptability evaluates risk, return and stakeholders’ reactions.
Feasibility
Feasibility focuses on whether organisation has the resource and capabilities to deliver a strategy.
AGD bank’s decision-making tool
After reviewing the advantages and disadvantages of four decision -making tools, AGD bank
assumes that SAFe is the most appropriate to support business decision-making.
Option Suitability Acceptability Feasibility Total
Do nothing 2 0 2 4
Launch new product 2 1 3 5
Open new retails 1 1 1 3
Expand overseas 1 1 1 3
Table 1: AGD bank’s SAFe criteria based on strategic direction
options
Suitability evaluation techniques
To be successful business decision-making, suitability evaluation techniques help AGD bank
choose the approaches and strategies that are fit for the organisation’s structure and internal
resources or market predictions. Source analysis including PESTLE, Porter’s five forces
competitive analysis, strategic groups, the value chain and cultural web are the main pillars for
the process of strategic thinking and strategy implementation.
Suggested suitability evaluation techniques are Ranking, Decision trees, life-cycle analysis,
scenarios and bases for gaining competitive advantage. These techniques can be employed to
evaluate the issues associated with major environmental changes, industry convergence and
supply chain management, competitive rivalry.
Based on this analysis and utilizing these techniques, AGD bank can make decision in relation to
strategic direction and use of organic development, M & A and any alliances.
Acceptability evaluation techniques
AGD bank should manage potential risks with sensitivity analysis, financial risk control and break-
even analysis. These risk control management will minimise their impact on the organisation’s
planning process of strategy based on the identification of the best – and worse-case scenarios.
Assessment of return on investment with cost-benefit analysis, profitability analysis and
shareholder value analysis will ensure to get approval from stakeholders for AGD banks’ strategic
decision and the success of the strategy.
Feasibility evaluation
With the help of suitability evaluation techniques and acceptability evaluation techniques, AGD
bank appraise to acquire the necessary resources such as capital, human resources and
integrating resources and implement the proposed strategy.
SAFe should be applied to support proposals and justify strategy selections in decision making as
it forms the possible outcomes and the risks reviewing the options from different perspectives.
