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Digitalisation: A Harbinger in the Transformation of the Department of Posts

Journal of Entrepreneurship & Management

Volume 12 Issue 3

Published: 2023
Author(s) Name: Veera Shivananda Kumar Sishta | Author(s) Affiliation: Government First Grade College, Bapujinagar, Shimoga, Karnataka, India.
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Abstract

India Post, commonly known as The Department of Posts, is the largest postal network in the world and also it is one of the most essential Service Sector Departments under the Government of India. The cardinal feature of the Department of Posts is that most of its post offices (around 84% of the total 1.5 lakh post offices) are rendering selfless service in the rural areas. The main function of this department which was started under the British Raj with a few post offices was to deliver mails. But, in the course of time, the Department of Posts became the backbone of communication in India as a result of which the number of post offices increased rapidly. With the advent of liberalisation, globalisation and privatisation, the Department had to Re-engineer itself to adapt to the ever changing and competitive environment. It announced itself on the platform of the changing environment by adopting digitalisation through Information Technology. This digitalisation process became a harbinger in changing the face of the Department of Posts. The major areas of digitalisation process in the Department of Posts include computerisation of all counter transactions, introduction of Core Banking System, Project Arrow, iMO, eMO, DARPAN (Digital Advancement of Rural Post Office for a New India), Internal Money Transfer System, etc. With the help of digitalisation, India Post has ventured into banking operations by entering the payments banks sector. It has received license from RBI and has thus become the third entity in India to start its own payments bank. Though, India Post has adopted digitalisation on a large scale, yet, there are a few challenges in implementing them. In the years to come, digitalisation would surely help the department to shed its loss making image and transform it into a profit-making premier Government Department.

Keywords: Digitalisation, Globalisation, Core Banking System, Project Arrow, e-Post, e-Payment, DARPAN, eMO

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