Oleksandr Butenko


The paper focuses on the issue of how bank’s operational expenses originate and on new approaches to their reduction by using tailored methods from industrial production. Principal issues of how the banks currently manage operational expenses are raised and their relevance to challenges the banks are facing is considered in this article. The paper provides quick review of methods developed by Toyota Motor Corporation (Toyota Production System) and now used by major industrial production companies to optimize their production processes and reduce expenses and implementation of these methods for retail financial service company is researched. The author studies experience of the leading Eastern European bank in Russian Federation and Ukraine.


Bank; Operational Excellence; Reducing Expenses; Lean Production; Lean Six Sigma; TPS; Business Model of a Retail Bank

Full Text:



Asefeso, A. (2014). Lean Banking. Swindon, UK: AA Global Sourcing Ltd.

Mai, H. (2012). IT in banks: What does it cost? Retrieved from

George, M. (2003). Lean Six SIGMA for Service: How to Use Lean Speed and Six SIGMA Quality to Improve Services and Transactions. New York, NY: McGraw-Hill Education.

GoLeanSixSigma (2015). Lean Six Sigma Success Stories In Financial Services Industry. Retrieved from

HfS Research (2013). Business Services Outsourcing in Banking and Financial Services: 2013 Market Report. Retrieved from:

Holmes, T. (2014). Credit card ownership statistics. Retrieved from

Imai, M. (2012). Gemba Kaizen: A Commonsense Approach to a Continuous Improvement Strategy, Second Edition. New York, NY: McGraw-Hill Education.

Liker, J. (2004). The Toyota Way: 14 Management Principles from the World's Greatest Manufacturer. New York, NY: McGraw-Hill Education.

Lodge, G., Zhang, H., Jegher, J. (2015) IT Spending in Banking: A Global Perspective. Retrieved from

National Bank of Ukraine (2015). Financial Reporting of Ukrainian Banks. Retrieved from

National Transportation Safety Board (2015). Aviation Statistics for 2014. Retrieved from

Nichols, C. (2014). How Lean Six Sigma Can Help Your Bank. Retrieved from

Ohno, T. (1988). Toyota Production System: Beyond Large-Scale Production. Portland, OR: Productivity Press.

Ohno, T. (1988). Workplace Management. Portland, OR: Productivity Press.

Oppenheim, B., & Felbur, M. (2014). Lean for Banks: Improving Quality, Productivity, and Morale in Financial Offices. Boca Raton, FL: CRC Press.

PwC (2012). Lean forward or fall back: How applying lean principles can improve the finance function Retrieved from

Sberbank (2015). Investor Relations. Retrieved from

Sberbank in Ukraine (2015). Sberbank of Russia in Ukraine Corporate Site. Retrieved from

TechTarget (2009). lean production definition. Retrieved from

van Lieshout, Laurens. (2006). Lean manufactory house. Retrieved from

Yurcan, B. (2013). IT Investment A Priority for Banks: Report Retrieved from


  • There are currently no refbacks.

Copyright (c) 2015 Oleksandr Butenko

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

ISSN (Print) : 2449-7320

ISSN (Online) : 2449-8726