RBI released Gopalakrishna Committee report on Capacity Building in Banks and non-Banks

The Reserve Bank of India on 24 September 2014 released Gopalakrishna Committee report on Capacity Building in banks and non-banks.  The committee has recommended a 360-degree feedback for a transparent and comprehensive performance assessment exercise, one that ensures adequate performance differentiation between employees.

The key recommendations of the Report include and pertain to:
• Approach to capacity building in banks and non-banks
• Enhancing Human Resources Management practices
• Creation of position of Chief Learning Officer in banks and concept of return on learning
• Strategies for addressing issues of replacement or replenishment of talent in banks
• Process and steps for skill development
• Training strategy and need for expert trainers to help build capacities
• Coaching and mentoring including mentoring programme for Top Management of banks
• Entry point qualifications at recruitment stage, development of competency standards and certification or accreditation in various areas of training
• Conducting a common Banking Aptitude Test (BAT) at entry levels
• Qualifications for generalists and specialists
• E-learning as an important constituent for building capacity and imparting training
• Training and learning Infrastructure oriented to banking
• Proposal for setting up a Centre of Excellence for Leadership Development in banking sector
• Fostering research on skill development in banking sector and evolving a monitoring framework for capacity development in banking sector
• Creation of skills registry for the banking sector

About Gopalakrishna Committee
RBI constituted the Committee on Capacity Building in banks and non-banks headed by G Gopalakrishna. He is a former Executive Director of RBI and currently Director, Centre for Advanced Financial Research and Learning (CAFRAL).

The committee was constituted with an objective to implement non-legislative recommendations of the Financial Sector Legislative Reforms Commission (FSLRC) relating to capacity building in banks and non-banks, streamlining training intervention and suggesting changes thereto in view of ever increasing challenges in banking and non-banking sectors.

The objectives also included evolving an appropriate certification mechanism in the realm of training, where feasible, examining possible incentives for undertaking such certification and covering all stages of hierarchy-from the lowest rung to the Board level executives.