Research purpose:
This study explores ISO 20022 adoption at BIDV, identifying key challenges and benefits, and proposes a strategic roadmap with practical guidelines to support other Vietnamese financial institutions in implementing similar modernization initiatives.
Research motivation:
SWIFT’s global adoption of ISO 20022 requires financial institutions to adapt. In Vietnam, banks like BIDV face challenges, including legacy systems and limited expertise, which lead to message rejections, data loss, and reconciliation issues. Yet, practical implementation research remains scarce, especially in developing economies undergoing similar remittance system transitions.
Research design, approach, and method:
This research employed a mixed-methods approach, comprising case studies, surveys, interviews, and SWOT analysis, guided by the Technology Acceptance Model (TAM) to assess user perceptions before and after the implementation of ISO 20022. BIDV ultimately selected the bridged translation model as the most feasible solution for a smooth system transition.
Main findings:
ISO 20022 adoption significantly improved operations at BIDV, enhancing message quality, efficiency, and compliance. Rejection rates fell from 9.2% to 1.4%, manual effort dropped 60%, and processing time decreased from 2.6 to 1.5 hours. Over 60,000 MX messages were processed, with 75% staff satisfaction in Q4 2023.
Practical/Managerial Implications
This thesis offers practical recommendations, highlighting phased implementation, cross-department coordination, and stakeholder training. It suggests permanent resource allocation, quarterly supervision, and proactive risk management to support sustained efficiency and ensure compliance in modernizing international remittance systems