using the IT ( including financial one) in Euro zone countries, published in February 2002, one should submit the matter of positive influence of IT use at banks for intensive discussion. It is commonly thought that introduction of IT to banks is connected with costs decrease . It undoubtedly means decrease of unit cost because the average cost of operation with electronic medium use is considerably lower than that in traditional bank branch. One should, however, ask oneself question if the reduction of costs due to the IT introduction significantly outstrips financial expenditures incurred on the investment. There is no doubt that the electronic operations are less expensive than traditional ones. It is even so that in many countries
Banks have to introduce IT if they want to be competitive and keep their market rating. However, this is connected with investments that will bring a profit only after a longer period of time. Indeed, it results from the research of American consulting firm Booz Alle & Hamilton that the cost of bank operation realized in bank branch 107 times higher, than in case of realization of the same operation via internet. However, there arises a question when banks can expect return of borne expenditures. According to the analysis of period of investment return in internet banking, the expected savings on servicing customers with internet will be obtained when certain number of customers is reached, interest on internet credits is lower than that at cash desk. Moreover, the fees of bank orders via the internet are cheaper (or there are not any) than those realized in conventional way.
which in turn requires longer and intensive activity period in order to increase number of customers using this form of contact with bank. Therefore banks should assume in their business strategy an attitude mainly towards winning clients which is not a simple task in the present competitive times. According to Nicolaus Copernicus University research work, the profitability of on-line account is reached in Poland if monthly turnover reaches PLN 1060 (EUR 247), what at traditional bank amounts to PLN 1298 (EUR 302), respectively. When we analyse the situation taking into account the number of customers the profitability threshold is estimated at the 600 thousand users level. These are very optimistic results because they show that the largest banks have already reached, or will exceed this threshold in the nearest future.
The information technologies (IT) are becoming the key challenge formulated in strategy of retail - banks. They offer higher level of organizational flexibility, they become both the creator of employment as method of its reduction. As a result of IT use in banking system, completely different experts class is required than several or a dozen or so years ago. Today not necessarily higher- educated bankers are needed, they can be even persons with lower qualifications - and at the same time "cheaper " from the bank's point of view - but having computer science (IT) knowledge and abilities. Besides one should take into consideration the fact that in effect of IT introduction to banks the number of front office workers dealing with customers direct service gets reduced, whereas number of employed back office experts caring for efficient functioning of computer system tends to be growing, though this growth does not balance decrease of staff that serves bank customers directly at cash desks. Therefore when introducing IT to banks one should take into consideration the following:
the result of growing number the back office workers is increase of material input of maintenance of backup facilities complex, maintenance of equipment, electricity, as well as materials, eg. of printing - out paper, ink etc;
lowering of prime costs does not always occur quickly - it is dependent on e.g. efficiency of the system implementation;
introduction of computer solutions may be connected with new financial expenditures.
As a result of development of information technologies more and more firms dealing with providing services via internet from outside bank sector appear. Banks have to be aware of the fact that they will have to share market of electronic operations service with these firms. Controversial matter is only the question of future conditions under which they will be competing and conditions under which the electronic transaction service market will be subdivided and shared. As a result of introducing electronic banking instruments by non-bank firms, banks have to take into account sharp price competition, which involves decrease of the profitability of bank activity. Yet banks have the considerable advantage over firms providing e-service. The advantage manifests in that the customers rely more on institution which have already been existing on market. Besides, the banks use the instruments of electronic banking, as one of numerous sources of profit. They
