CONCEPTUAL BASES FOR THE FORMING STRATEGY OF BANKING BUSINESS DEVELOPMENT MANAGEMENT

The introduction states that in conditions of high competition, banks need to develop new ways to improve their performance. In order to ensure long-term development, it is above all necessary to improve strategic management. The forming strategy of banking business development managements is a major factor in the development of banks, and this is why the affected issues are relevant. The article seeks to clarify the concept of «strategy of banking business development managements», defining the principles, factors and stages of strategy formation, developing the relationship of directions-objectives-tasks for the strategy of banking business development managements. The purpose of the article is to find out the conceptual foundations that will serve as the basis for a qualitative forming strategy of banking business development management. The results of the research showed that banks need to formulate and follow strategy of management in order for their decisions to be systemic-oriented. The strategy of banking business development management is a general long-term plan that is developed by management entities in the form of objectives, tasks and directions to ensure the efficient functioning of the bank, which will facilitate its development and obtain more profits by the bank. Objectives need to be formed in different spheres of activity, but all of them must be mutually agreed and aimed at realizing the major objective — ensuring the development of the bank. Each sphere is regulated by a separate policy. Tasks need to be formed according to objectives, since they indicate how to act to achieve the objectives. An important condition for the formation of an effective strategy is also compliance with the principles of constructing the strategy and taking into account the factors described in the research. In the process of constructing the strategy, one must adhere to a certain algorithm — the sequence of implementation stages of the forming strategy of banking business development management: stage I — strategic analysis, or diagnosis of the bank; stage II — definition of the mission and strategic objectives of the bank; stage III — the formation of alternative scenarios; stage IV — selecting the main scenario and developing a strategic plan; stage V — implementation of the strategic plan and its current adjustment. The conclusions indicate that banking business development management in modern conditions is impossible without strategic management. This approach has many advantages. It allows to identify development priorities, orientates managers into perspective thinking, and helps precisely coordinate efforts to achieve the objectives. The objectives of the strategy are the growth of bank market value, increase of sales and increase of competitiveness on the market. The forming strategy of banking business development management is a complex and potentially powerful tool through which a bank can effectively compete and benefit in a changing market environment.