Organizational Structure Change and Its Impact on Commercial Business Performance: A Case Study of Bank BRI Region 14
DOI:
https://doi.org/10.63208/21014-676Keywords:
Banking, Change, Organizational, PerformanceAbstract
Organizational structure change is an inevitable phenomenon in the modern banking industry. The dynamics of the business environment, advances in digital technology, regulatory demands, and changes in customer behavior are the main factors driving organizational restructuring in this sector. This study aims to analyze the key causes of organizational structure changes in banking and to assess their impact on operational effectiveness, employee performance, and institutional competitiveness. The research method used is a qualitative approach through literature analysis and case studies of several national banks that have undergone organizational transformation. The results show that service digitalization, competitive pressure from fintech, and cost-efficiency policies have encouraged banks to shift from traditional hierarchical structures to flatter and more agile ones. The positive impacts include faster decision-making, improved operational efficiency, and enhanced service quality. However, these changes also create challenges such as role uncertainty, employee resistance, and the need to upgrade human resource competencies. In conclusion, the success of organizational structure change in banking greatly depends on transformational leadership, effective internal communication, and organizational culture readiness to face the digital era.
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