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Bank Mandiri: Strengthening financial inclusion in Indonesia

@ Varnika Goel

Company Insights

twimbit Purpose Index

Bank Mandiri (Group financials)- An overview as of 31st December 2020

Bank Name Bank Mandiri
Headquarters Jakarta
Operating revenue (31st December 2020) USD 6.14 billion
Group net profit (31st December 2020) USD 1.26 billion
Total Assets USD 102 billion
Employees 38,247
Countries of operation 8
Number of branches 2,714
Software asset value (31st December 2020) USD 263.23 million 26% increase from 2019
Bank ranking in particular country 2nd in Indonesia
Number of customers NA
Market capitalisation (31st December 2020) USD 17.48 billion
Operating revenue CAGR growth (2016-2020) 3.05%
Note: Indonesia’s accounting period follows a cycle from January- December. The above financials are as per accounting year 1st January 2020– 31st December 2020.
The IDR to USD dollar conversion rate used is 0.00007165.

Shareholder Value (31st December 2020)

Return on Equity (31st December 2020) 9.36%
Total Shareholder Return (1-Year) 35.4%
Net Income Ratio 20.58%
Common Equity Tier 1 Ratio 18.38%
Price Earnings Ratio (31st December 2020) 17.42

Awards

2020 Majalah Infobank
The Best Bank in Mortgage 2020 Kategori BUKU IV
The Top SME Lender Awards 2020 Kategori BUKU IV
Rank 1: Credit Card Products – Conventional Commercial Banks with assets> IDR 500 trillion (Infobank Digital Brand Awards 2020)

Global Finance
Best Bank in Indonesia

Forbes
World’s Largest Public Companies Peringkat 3 – Indonesia

Bank Mandiri and its strategic focus areas

The Bank Mandiri 2021 vision is to be ‘your preferred financial partner’. Its mission is to provide simplified and reliable digital banking solutions.

  • Business strategy

Bank Mandiri’s key business strategies for 2021 are:

  1. Leader in wholesale banking– The bank aims to do so by acquiring new potential sources of income beyond lending. Steps include:
    1. Collaborating with its subsidiaries, namely Mandiri Sekuritas and overseas offices to provide structured finance, trade, and advisory solutions
    2. Improving transaction banking, cash management, forex, and capital markets services, along with strengthening capabilities of wholesale digital banking services
    3. Becoming the customers’ financial advisor by strengthening its relationship managerial capabilities
  2. Focusing on sustainable SME growth:
    1. Improving the process of acquisition and credit analysis by leveraging technology, streamlining business and value chain processes
    2. Integrating the SME sales force into the bank’s branch network
    3. Developing digital loan applications
    4. Focusing on developing micro-customers with the right set of banking tools and services to become sustainable and profitable in the market. These are customers, cooperatives or other businesses that fall under the criteria of obtaining a maximum loan limit of IDR 1 billion (USD 71,650).

Initiatives taken by the bank to support its business strategy in 2020 were:

  1. Encouraged credit growth in fast recovery sectors:
    1. Expanded credit in potential and stable industrial sectors by considering the potential capacity and capability of each segment. The bank maintains credit growth through selective and prudent lending to sectors with positive prospects or would recover more quickly, including the telecommunications sector, the food and beverage industry, health services, and agriculture.
    2. Optimised value chains to capture the customer’s business potential in its respective sector.
  2. Optimised fee-based income:
    1. Due to the limited operation in branches in 2020, the bank focuses on increasing productivity of e-channels such as ATM, EDC (Electronic Data Capture) and mobile and internet banking (Mandiri Online)
    2. It increased the intensification of existing customers through client advisory sales. The bank produces tailored solutions for customers on hedging, structured funding, and other related treasury transaction services.
    3. The bank encouraged recurring fee-based income growth through host-to-host integration for eCommerce customers and by increasing partnerships with the fintech industry.
  • Customer experience

To provide a positive customer experience (CX) to all customers, Bank Mandiri aims to undertake the following initiatives:

  1. Complaint management– Bank Mandiri has established an SLA (Service Level Agreement) which requires the bank to follow up on and resolve customer complaints immediately. The service guarantees under the SLA are continuously reviewed and updated to meet customer expectations. In case of a written complaint, the bank aims to resolve it within 20 working days, and under certain conditions, can extend beyond 20 days.
  2. Customer satisfaction– To improve the quality of products offered by the bank, Bank Mandiri aims to receive feedback from customers by conducting customer satisfaction surveys.

Initiatives taken by Bank Mandiri in 2020 to enhance customer experience:

  1. Mandiri Intelligent Assistant (MITA)- This is a chat application that acts as an information service. It can be accessed directly by users via cell phones to find information about products, services, promotions, ATM locations, and branches.
  • Employee experience

Bank Mandiri works towards improving each stage in the employee life cycle, from attracting human capital to succession management and even dismissal.

Talent development was one of the five key agendas within the bank’s 2020-2024 corporate plan. Bank Mandiri aims to educate the workforce and develop a quality workforce for Indonesia:

  1. Learning Value Chain: Facilitated by Mandiri University, the bank aims to use this new operating model for continuous talent development processes. The learning chain analyses the bank’s business needs and employee competencies to measure the impact of learning on business success or achievements.
  2. Development delivery methods: The bank supports various learning solutions by adequately distributing informal, social, and offline learning in the ratio of 60: 20: 10.

Bank Mandiri has undertaken a range of employee development initiatives in 2020 to create highly qualified leaders:

Officer Development Program (ODP) A training program for recent graduates on-boarded for managerial positions
Staff Development Program (SDP) A training program for employees to be promoted for managerial positions within the bank.
Program Pasca Sarjana (S2) A selective training program for employees via formal education in master’s scholarship programs at overseas universities. The program is determined and carried out entirely at the expense of the bank.
Mandiri Advanced Leaders Program (MALP) A leadership program for the top talent at Level 3. MALP emphasises managing people and communications, digital transformation, strategic banking, and finance.
Mandiri Advanced Senior Leaders Program (MASLP) A leadership program for top talent at Level 2 that emphasises managing people and communications, digital transformation, strategic banking, and finance.
SESPIBANK Program A training program for senior executive or top management to be the top leaders of the bank.
Executive Development Program (EDP) A training program for the board of directors, SEVP, group head, and regional CEO.
Technical development program The bank carries out technical and digital capability development programs for its employees in business units such as wholesale banking, retail banking, banking operations, governance & risk, digital banking & IT, compliance & finance, as well as leadership and human capital.

The bank has also supported its human capital with appropriate system and infrastructure capabilities:

  1. Mandiri Talent Management System (TaMS)- The human capital and line manager teams use TaMS to manage employee mobility, determine talent classification, succession management, and compensation management.
  2. Mandiri Click- It is an employee self-service portal that includes features that allow employees to understand their rights and obligations according to the bank’s internal policies.
  3. Mandiri Easy– It is a cloud-based system to align employee targets and ensure monitoring of these targets regularly
  4. Mandiri Young Leaders (MYLD)– It is a support tool for Mandiri Young Leaders participants to keep up-to-date with the Mandiri Young Leaders Program information.
  • Society and planet impact

Bank Mandiri exercises good corporate governance for sustainable growth, taking into account the economic, environmental, and social needs of the country:

  1. Green banking– Channelling funds to environment-friendly customer activities. The bank is implementing several policies that restrict lending activities to businesses or projects that threaten the environment.
  2. Green office– Inculcating environment-friendly banking operations by saving energy, water, paper, and treating waste and reducing emissions.
  3. Education and entrepreneurship independence- Supporting young individuals in Indonesia who are independent and competitive through an ‘Education and Entrepreneurship Independence’ program to face the challenges in the global market.
  4. Customer education– Conducting banking education to all elements of society as the bank aims to make Indonesia more financially literate than before.

Activities undertaken by the bank in 2020 for environment conservation:

1. Crediting Policy (KPKD)– The policy prohibits the financing of businesses or projects that endanger the environment. Bank Mandiri has a Standard Crediting Procedure (SPK), which includes the submission of Environmental Impact Analysis (AMDAL) within the business plan or Environmental Management Effort (UKL)—following regulations as a pre-requisite for potential borrowers.

Activities undertaken by the bank in 2020 for social development of the community:

  1. Mandiri Young Entrepreneur– The bank works with the government of Indonesia to foster entrepreneurship amongst the younger generation. Bank Mandiri implemented the Mandiri Young Entrepreneur (WMM) 2020 Program to generate creativity and innovation amongst the young Indonesian population.
  2. Customer Education- The bank organised an education program called Mandiri Education 2020 through Zoom Webinars to 500 Institut Pertanian Bogor (IPB) University students with topics of Smart Entrepreneurship & Smart Investing.
  3. Mandiri Young Entrepreneur– The bank works with the government of Indonesia to foster entrepreneurship amongst the younger generation. Bank Mandiri implemented the Mandiri Young Entrepreneur (WMM) 2020 Program to generate creativity and innovation amongst the young Indonesian population.
  4. Customer Education- The bank organised an education program called Mandiri Education 2020 through Zoom Webinars to 500 Institut Pertanian Bogor (IPB) University students with topics of Smart Entrepreneurship & Smart Investing.
  • Cybersecurity

Bank Mandiri aims to apply four layers of protection within its security strategy, including security awareness amongst employees, operation controls, IT security, and fraud detection:

  1. Awareness: Ensuring that employees are aware of technology security.
  2. Operation Controls: Every activity carried out in the bank is made with due observance to the optimal control design.
  3. IT Security: Implementing information security technology to safeguard information security optimally and make the bank resilient against cyber-attacks.
  4. Fraud detection: The bank’s information security carried out by the CISO Office is based on the Enterprise Information Security Architecture (EISA), which focuses on 3 (three) areas, namely governance, protection, and operation. The design of EISA enabled it to carry out IT security activities, as well as to prevent, detect, respond to, and remedy the bank from cybersecurity incidents. The bank has adopted the following systems for risk management and fraud detection:
Integrated Processing System and Loan Origination System Improve the efficiency of the loan process and maintain data quality in all business segments
Loan Monitoring System Monitor the credit quality individually or as a portfolio in the framework of an early warning mechanism
Integrated Central Liabilities System (ICLS) Enhance the integration and quality of data for implementing adequate controls to limit return-risk the bank faces within the branch network
Impairment & Provisioning Measure credit loss impairment (CKPN) according to the application of PSAK 71 and the related dashboards and analytics
Summit System Manage and monitor market risk for treasury activities
ALM System Manage and measure the amount of risk in the banking book market and liquidity risk for asset and liability management activities.
Risk Assessment Consolidation Generator System (RACER System) Monitor or manage integrated risk management effectively by displaying data and information related to the risk profile of Bank Mandiri and its subsidiaries.
Regulatory Capital system To perform risk-weighted asset (RWA) measurements and capital charge calculations in accordance with the Basel II/III regulations.
Fraud Detection Systems (FDS) To monitor transactions of loan cards, debit cards, merchants, internet banking and microloans by using predetermined parameters (rule-based) on historical data, mode and fraud trends. With the existence of this system, precautionary measures can be taken in advance, which can see fraudulent transactions.
Fraud Risk Management System (FRMS) To provide an integrated fraud control system capable of carrying out early detection of transactions on various channels. Currently, FRMS is available on the Mandiri Online channel. Next, there will be further implementation of other channels, including loan cards, debit cards, prepaid cards (e-money), and mobile banking (USSD, STK/DSTK, Text Type).
Anti-Fraud Application System (AFAS) To detect the risk of application fraud by utilising rules in AFAS. This system is available on loan cards, microloans, and unsecured loans.

Digital Strategy

As a part of its 2020-2024 corporate plan, Bank Mandiri devised a digital transformation strategy comprising of a 4-point framework, which is as follows:

  1. Digitise the internal platform- Building a reliable internal platform infrastructure and improving business processes as the foundation for a sustainable digital transformation.
  2. Develop digital native product- Developing digital-native products is an end-to-end digital product development exercise that enables branchless banking.
  3. Modernise the digital channel- Modernising distribution channels via digitalisation to improve customer experience.
  4. Leverage digital ecosystem– Expanding customer access to bank products through open banking with fintech and e-commerce collaboration. By acquiring potential SME customers, the bank aims to collaborate with accounting service providers for solutions, such as customer financial management to transactions through Mandiri Cash Management.

The initiatives taken by Bank Mandiri as a part of their framework were as follows:

1. Develop digital native product– In 2020, the bank launched an online onboarding platform. Customers can open a bank account online within 12 minutes without having to download an application. Currently, the average account opening through online onboarding was 2,500 per day, with a year-to-date (YTD) cumulated of 385,000 accounts by December 2020.

2. Modernise digital image–

  1. Mandiri online development
    1. The bank added 30 new transaction support features in their mobile banking app, some of which are as follows:
      1. Credit and debit card block
      2. Power cash
      3. Auto instalment
      4. Time deposit account
      5. Top-ups, check balances, check balance history and update Mandiri e-Money balances
    2. Customers could obtain non-transactional information, such as checking account balances, checking account transaction mutations, and blocking debit cards.
    3. Self-service machine- the bank implemented card vending machines that offer card replacement, checking for lost cards, and account opening features.
    4. Mandiri Pintar Service – This service was for small businesses to conveniently apply for microcredit via a digital platform.
  2. Leveraging the digital ecosystem
    1. Digital acquisition- Non-bank Mandiri customers could open an account with the bank via partner platforms
    2. Digital payment and financing- Bank Mandiri collaborated with 5 e-wallets companies and e-commerce platforms for direct debit services. The bank also partnered with fintech companies for digital financing services to support SME and retail customers.
  3. Leverage digital ecosystem partnerships for cashless transactions- The bank has carried out strategic partnerships to support its objective of a cashless society with a cobranding e-commerce cooperation, Shopee. It also has partnerships in the transportation sector: Jak Linko (Mandiri x Transjakarta) and Commuter Pay (Mandiri x KCI).
  4. Amartha– Partnered with the peer-to-peer lending companies to provide finance or credit to various unreachable and unbanked micro, small and medium-sized businesses.

IT Strategy

To carry out the digital strategy for 2020-2024, Bank Mandiri has identified the following IT objectives for 2021:

  1. Mandiri H2H payment feature development – Adding this payment feature will allow customers to undergo cross-currency transactions and international foreign exchange transactions. Future-date transactions are also being made available for the further convenience of its customers.
  2. Loan Application Module- Expanding the Mandiri cash management facilities to allow loan submissions to SME customers. This expansion will make the determination of credit risk more measurable and reliable, as it has its basis on business transactions conducted by the customers.
  3. Online Registration for Auto Debit Accounts via Microsite– Facilitating auto debit account registration, which allows the registration of an account without a power of attorney and a wet signature. As a substitute, the authentication mechanism uses a debit card and SMS authentication, which identifies the validity of the account owner.

The initiatives taken by the bank as a part of the IT strategy in 2020 were:

  1. Core Banking System Capacity Improvement– The bank could increase processing time by 50% and reduce maintenance costs by 60% for its core banking system.
  2. Cloud implementation– The bank also made innovations by providing an IT infrastructure called Mandiri Cloud in the form of Infrastructure as a Service (IaaS) and Platform as a Service (PaaS). While the conventional model took 12 weeks to set up (procurement, server set-up, storage set-up, set-up network), it took 15 minutes for IaaS resource provisioning and 1 hour for PaaS.
  3. Re-engineering and Digitalising Business Process (BPR)- The bank used a decision engine for retail loans. Guided by machine learning, there was an acceleration in the application and auto-decision process by 70%.
  4. Data Analytics
    1. 92% reduction in complaints by applying sentiment analytics on customer complaint trends.
    2. 22% reduction in credit risk through analysis of debtor transaction trends.
    3. 20% increase in the use of Mandiri Online through structured customer campaigns.
    4. 105% increase in credit card transactions through personalised promotions.
    5. 10% increase in converting ATM users to Mandiri Online users.

5. API Gateway development

Bank Mandiri prepared more than 100 Application Programming Interface (API) Services that could be used by its bank partners. API-based cooperation forms had been implemented with various business partners, including e-commerce, fintech, subsidiary companies, etc.

Bank Mandiri and its ICT contracts

  1. Sleekr by Merkari– Collaboration with the software-to-service company, allows business clients to manage company reports linked with Bank Mandiri accounts efficiently.
  2. Privy Id- Partnered with this regulatory technology start-up that provides legally binding digital signature services. Consequently, the process of opening security accounts has dropped from 7 days to 30 minutes.

9 Growth and Innovation Opportunities

  • #1 Cost to serve
  1. The cost to income ratio of Bank Mandiri saw a significant increase from 67.44% in 2019 to 80.03% in 2020. In 2020, the bank faced operational challenges due to internal constraints, such as credit growth rates primarily due to the decreased interest income from loans. The weakening of credit due to COVID-19 and the implementation of credit restructuring to support debtors were the main factors behind the decline.
  2. The bank’s allowance for impairment losses also increased by 81.85% from USD 841 million in 2019 to USD 1,530 million in 2020, a major contributor to the decline in its operational profit for 2020. The increase in the allowance for impairment losses came primarily from loans amounting to USD 626 million. With skimmed net interest margins and a low-interest rate economic environment in Indonesia, Bank Mandiri must undertake stringent measures to sustain itself. It can focus on the following key areas to optimise the cost structure:
    1. A sound net interest margin management in a low-interest rate climate is achievable by identifying repayment risk in loans and attrition risk in deposits. The bank can use predictive behavioural models to revise its interest-rate risk models and hedging strategies continuously.
    2. Increase focus on non-interest income and complementary revenue streams to offset the impact of high impairment charges.
    3. Investing in intelligent document processing (IDP), powered by robotics process automation (RPA) and AI. This step involves character recognition and an integrated customer verification ability, reducing the manpower cost of conducting customer remediation.
    4. The implementation of transaction-level transparency through RPA-enabled audit trails for red-flagging any high-cost inflexions.
  3. The overall operating expenses spiked by 1.4%, with the influencing factor mainly being the increase in salary and allowances. The increase in salary and allowances was 3.19% from 2019 to 2020. The bank can tighten its increasing expense on personnel salaries with:
    1. The reduction of call centre use for customer query management and sales, and instead investing in AI-driven virtual assistants and chatbots for iterative functions
    2. Replacing man-hours with cognitive process automation of routine and daily back-end tasks
    3. The digitalisation of more functions and processes that are currently human-intensive, such as branch relationship management, cashier, and customer grievances
  • #2 Transformation of branch and its branch networks

As of 31 December 2020, Bank Mandiri had one head Office, 13,217 ATM networks and 2,714 office networks consisting of branch offices, sub-branch offices, foreign offices, cash offices and other office networks such as payment points, mobile cash, and mobile micro cash. There was an increase in the bank’s fixed assets by 0.70%. This growth was mainly a consequence of increased direct ownership of buildings which went up by 8% from 2019 to 2020. While the bank has effectively taken measures to split its physical footprint into different branch types, it can further modernise branches in the following ways:

  1. Cash offices and ATMs can make way for Interactive teller machines (ITMs), which are capable of providing the same services without the need for in-person tellers. ITMs can contribute to reducing a branch’s size and consequently lower real estate costs for the bank.
  2. Promoting online engagement with the bank’s staff in the form of in-app video conferencing and virtual assistants rather than visiting a branch physically.
  3. Revamping the bank branch into a community hub where individuals can connect with executives and socialise. They will also have access to all banking services and facilities. Some of the options are cafes, lounges, and pop-up stores.
  • #3 Customer experience

The bank has worked on feature enablement to enhance customer experience:

  1. Omni-channel experience: The bank has a multichannel presence since it provides various touchpoints to consumers, including bank branches, mobile banking, ATMs, and contact centres. There is an opportunity to build an omnichannel experience across all physical and digital touchpoints for a frictionless customer experience. This omnichannel capability will be a distinct competitive advantage compared to the many other neobanks and incumbents operating in the region.
  2. Personalised insights: As the bank provides a bill prediction feature to assess the monthly targeted expenditure and integrates an ecommerce shopping experience within the app, it can expand on this capability and add other functionalities, such as:
    1. Budgetary tools for personal financial management
    2. Evidence-backed recommendations to reduce spending and manage savings
  3. Complaint management: Bank Mandiri offers an intelligent assistant chat service to customers, offering basic information about products. However, its complaint resolution time of 20 days remains much higher than the industry average. The bank should focus on investing in chatbots, virtual assistants, and video conferencing so that they can reduce their turnaround time to approximately 1-2 days.
  • #4 Business segment expansion

As SMEs are in the COVID-19 recovery stage, the demand for working capital is higher than ever. Therefore, Bank Mandiri can enhance its SME financing strategies by implementing these strategies:

  1. Identify and create a line of credit for SMEs who are potential first-time borrowers and don’t have access to credit facilities via traditional banks.
  2. Develop business advisory and management tools that will allow SMEs to make smart investment and banking decisions over digital platforms.
  3. Collaborate with e-commerce websites to extend credit to small vendors who wish to enter the Indonesian market.
  4. Reduce merchant interchange reimbursement fees and roll out tactical card acquisition and usage campaigns, including offering low merchant discount rates.
  5. Provide personal and business overdraft facilities in addition to offering basic loan services to the SME sector.
  • #5 Employee experience and productivity

Bank Mandiri has invested heavily in employee development programs and provides a flexible work environment. However, the following are some facilities which the bank can consider providing to their personnel:

  1. The onset of COVID-19 has given rise to increased mental health concerns. The bank can consider creating a well-being hub that offers tools, programs, or services to support their employees’ mental, physical, and emotional health.
  2. Giving its employees the option to work on cross-department projects for lateral career advancements.
  3. Extending pre-natal and child-bonding leaves with childcare assistance.
  4. Digital training for senior professionals to prepare them for the future of work.
  • #6 Migration of workload to the cloud

The bank is currently adopting a Virtual Private Cloud (VPC) technology, a hybrid mechanism since it runs on a shared infrastructure, just like a public cloud. However, a VPC offers a level of isolation between the cloud customers’ shared resources. This isolation layer is achievable through a private IP subnet or a virtual local area network (VLAN). In the future, Bank Mandiri should consider transitioning further 80% towards public cloud, depending on government regulations for data management in Indonesia. This transition will allow the bank to achieve greater scalability and cost-efficiency by:

  1. Providing complete end-to-end protection of all confidential data stored in the cloud. This protection enables the bank to maintain the customers’ trust and confidence in obtaining, analysing, and sharing the personal information of customers.
  2. Incorporating backup and redundancy capabilities to address security and compliance concerns.
  3. A quick response to market shifts, such as black swan events – Covid-19 and entry of non-bank players in the banking environment with the grant of digital banking licenses.
  • #7 Neo banking
  1. A key objective for Bank Mandiri under its 2020-2024 corporate strategy is to leverage sustainable SME growth. The bank aims to do so via fintech partnership and introducing a loan application module for the SME segment. However, there remains a huge opportunity for penetration in Indonesia, as 51% of its population is unbanked, and 52% of its SMEs cannot secure credit from traditional banks.
  2. Traditional banks also have an average loan approval time of approximately 10-15 days. Therefore, SMEs would be willing to attain credit from a neobank with more flexible and fast loan approval criteria.
  3. Three leading banks have already established their digital spin-offs in Indonesia and are fostering financial inclusion in the country. Bank Mandiri should also consider a revitalised digital brand that connects with the SME sector.
  4. The bank can learn from the leading examples of neobanks in the country to institute a robust neobank profile in accordance with its internal digital platform and ecosystem strategy.
  • #8 Artificial Intelligence(AI) in everything

Bank Mandiri has deployed AI in data analytics to provide more accurate and personalised recommendations to its customers. However, the bank should expand the usage of AI within more business processes:

  1. Deploying cognitive process automation into (Bank Mandiri Mobile online) tasks that improvise on previous iterations such as bill payments, changing subscription plans based on best offers, and alerts for stock updates, among others (categorise saving and spending patterns).
  2. Automating labour-intensive, error-prone, and complex risk processes that involve high volumes of structured and unstructured data.
  • #9 Society and planet contribution

The bank has a comprehensive strategy to save electricity and fuel via its environmentally friendly green office infrastructure. However, Bank Mandiri should aim to reduce 50% of its energy consumption from renewable sources by:

  1. Building on-site solar facilities and signing renewable agreements to add new wind and solar electricity to the grid, as well as focus on paperless transactions by investing in digitalisation of services.
  2. Launching supporting projects in impoverished areas, which help to preserve biodiversity and drive reforestation while furthering local economic mobility.

Organisation structure: Leadership

Executive Profile

Darmawan Junaidi
President Director

Appointed as the President Director of Bank Mandiri for the first time at the extraordinary general meeting of stakeholders (GMS) on August 21, 2017, based on the Deed of Decision of the Extraordinary General Meeting of Shareholders Number 25 dated January 23, 2018. He previously served as the Director of Treasury, International Banking and Special Asset Management. Junaidi is also the Chairman of the Indonesia Foreign Exchange Market Committee (IFEMC).

Quote

  • Customer experience, 22 October 2020

The COVID-19 pandemic has disrupted economic activity and various businesses have to operate below minimum capacity due to low demand and social distancing protocol. However, Bank Mandiri is committed to serving its clients, strengthening its businesses and providing support to micro, small and medium enterprises (MSMEs)

Alexandra Askandar
Vice President Director

Appointed as Director of Bank Mandiri for the first time based on the resolution of the Annual GMS on March 21, 2018, according to the Deed of the Minutes of the Annual General Meeting of Shareholders Number 57 dated March 21, 2018. She previously served as the Director of Corporate Banking.

Ahmad Siddik Badruddin
Director of Risk Management

Appointed as Director of Bank Mandiri for the first time based on the resolution of the AGM of Shareholders on March 16, 2015, per the Minutes of the AGM of Shareholders No. 14 dated 16 March 2015. He previously served as the Director of Risk Management and Compliance PT Bank Mandiri (Persero) for three years.

Rico Usthavia Frans
Director of Information Technology

Appointed as a Director of Bank Mandiri for the first time based on the resolution of the Annual General Meeting of Shareholders on March 21, 2016, following the Minutes of the Annual General Meeting of Shareholders No. 25 dated 21 March 2016. He previously served as the Information Technology and Operation Director for one year and the Digital Banking and Technology Director for two years at Bank Mandiri.

Agus Dwi Handaya
Director of Compliance and HR

Appointed as a Director of Bank Mandiri for the first time based on the resolution of the Annual GMS on March 21, 2018, under the Deed of the Minutes of the Annual General Meeting of Shareholders Number 57 dated March 21, 2018. He previously served as Compliance Director at PT Bank Mandiri for a year.

Toni E. B. Subari
Director of Operation

Appointed as Director of Bank Mandiri for the first time at the Extraordinary GMS on October 21, 2020, based on the Deed of Decision of the Annual General Meeting of Shareholders No. 16 dated October 21, 2020. He previously served as the President Director at Bank Mandiri Syariah for three years.

Sigit Prastowo
Director of Finance and Strategies

Appointed as a Director of Bank Mandiri for the first time based on the resolution of the Extraordinary GMS on 21 October 2020 in accordance with the Minutes of the Extraordinary GMS Number 16 dated 21 October 2020. He previously served as the Director of Finance at PT Bank Negara Indonesia (Persero) Tbk and PT Bank DKI.

Quote

  • Business strategy- 30 April 2020

Business sectors like tourism, transportation and property which are deeply affected by COVID-19 might need to extend their loan restructuring schemes. The loan restructuring programme to cushion the impact of the pandemic on borrowers and banks is extended until March 2022.

Appendix A

  • twimbit Purpose Index

We evaluate Asia Pacific’s top banks to understand whether their strategic objectives, market positioning, and operational efficiency align with continued sustainability and profitability. In evaluating the respective bank’s focus areas and performance, we base our analysis on five purpose pillars and score each bank on them.

Endnotes

Bank Mandiri, (2020, December 31). Group annual report. https://www.bankmandiri.co.id/documents/38265486/0/AR+2020+%23+PT+Bank+Mandiri+%28Persero%29+Tbk+%28ENG%29+23042021+LR+%281%29.pdf/bbe64ab0-d688-4728-8ae6-4ba4d6ce69c7

Largest banks in Indonesia as of Q1 2020, by total assets (2020, July). Statista. https://www.statista.com/statistics/830681/indonesia-top-banks-by-total-assets/

PT Bank Mandiri PE Ratio, (2020, December 31). Charts.
https://ycharts.com/companies/PPERF/pe_ratio

Bank Mandiri appoints Darmawan Junaidi as president director, (2020, October 22). The Jakarata Post. https://www.thejakartapost.com/news/2020/10/22/bank-mandiri-appoints-darmawan-junaidi-as-president-director.html

Bank Mandiri Q1 assets up, (2021, April 30). The Star.
https://www.thestar.com.my/business/business-news/2021/04/30/bank-mandiri-q1-assets-up

Gurinayat Brar, Research Intern, contributed to the research in conducting a preliminary literature review and conceptualising the article.

BankofTomorrow BranchTransformation EmbeddedFinance
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