A minor systems glitch spoiled the first day of business for the world’s largest bank, as reported today by the Associated Press.
Bank of Tokyo-Mitsubishi UFJ, which was formed Oct. 1 when Mitsubishi Tokyo Financial Group Inc. and UFJ Holdings Inc. merged, could not process about 10 Internet-based remittance payment orders. Bank officials say the problem has been fixed.
The merger had been delayed as information technology staffs from the two banks attempted to consolidate and integrate the two banks’ computer systems. The computer systems are yet to be completely integrated, and bank officials are not sure when the integration will be completed.
In a similar merger two years ago by Tokyo-Mitsubishi UFJ rival Mizuho, computer glitches caused ATMs to crash, double-billings on credit card purchases and stalled bill payments, cash transfers and withdrawals.
In past CIO Magazine surveys, CIOs have cited mergers, and the subsequent risks associated with integrating disparate computer systems, as one of the primary biggest challenges they face. Managing risks of such magnitude – when integrating systems or upgrading central computer networks) are increasingly becoming a large part of a CIO’s job. (See “Risks’ Rewards,”, “The Four (Not Three, Not Five) Principles of Managing Expectations,” , “Running the Risk.”)
Bank of Tokyo-Mitsubishi UFJ has assets of about $1.6 trillion, slightly more than Citigroup Inc.’s $1.55 trillion.
By Allan Holmes