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All over the world, banking institutions are increasingly complex. To be successful in a competitive environment, they need to be more customer-oriented and should aim at reducing operational and business risks to maximize profits.
However, even the most powerful strategy cannot be carried out with proper retail banking organization structures to support it. Retail banking organizations usually have the problem of multiple distribution channels which deliver inconsistent customer services. In addition, they have diverse and incoherent planning and management information systems that target different approaches across the channels based on different methodologies and technologies.
That is why retail banking organization structures should be based on a set of measurements or metrics. Analyst feel that retail banking organizations should have metrics in six categories which are income metrics, investment return metrics, cost metric, interest margin metric, company assets metrics and risk metrics.
Efficient banking strategies allow the retail banks to improve channel productivity and performance, gain visibility in profitable customer segments, identify areas of improvement, increase revenue from new business, and reduce cost rates, defaults and losses. However, all this will fall flat without proper and streamline organization structures.
Having a combination of efficient banking strategy along with retail banking organization structures, retail banks will be able to deliver sustainable customer profitability and reduce business and operational risks.
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Retail banking strategy in developing countries is essentially focused on local business. There are few signs of internationalization and increase in competition at regional levels. However, developing countries are now having an economic boom and it makes sense to concentrate on retail banking in these countries. 
