Continuing Professional Development (CPD) & Banking, Financial Services, and Insurance Sector

 What is Continuing Professional Development (CPD)?


CPD stands for Continuing Professional Development. It entails tracking and documenting the skills, knowledge, and experiences you gain over time, both through formal and informal learning, following your initial training. CPD is essentially a record of what you have learned and applied in your professional life. While certain organizations use CPD to refer to a training or development plan, it more appropriately reflects the continuous process of recording and commenting on your professional learning and improvement.

The CPD procedure facilitates the continued management of your professional development. It helps you to record, examine, and reflect on what you've learned, going beyond simply monitoring finished training. CPD is a comprehensive strategy for understanding and controlling your own long-term growth.

The Banking, Financial Services, and Insurance (BFSI) sector is a critical component of the Sri Lankan economy, driving growth, stability, and development. Here's an overview of its significance, including relevant data and references:

Employment: The BFSI sector is a significant employer in Sri Lanka. According to a 2021 study conducted by the National School of Business Management (NSBM), the sector directly employs around 40% of the overall workforce in the financial system [1].

Contribution to GDP: The BFSI sector makes a substantial contribution to Sri Lanka's economy. According to the Central Bank of Sri Lanka (CBSL), the banking sector accounted for more than 61.9% of total assets in the whole financial system as of 2022 [2]. This represents a significant portion of Sri Lanka's GDP, while a comprehensive statistic for the entire BFSI sector is not readily available.

Stability and Development: A strong BFSI industry promotes financial stability by offering reliable financial services and successfully managing risks. This stability creates a favorable atmosphere for businesses to invest and succeed resulting in overall growth in the economy.

Financial Intermediation: The BFSI sector serves as an important intermediary between savers and investors. Banks collect deposits from consumers and businesses and convert them into productive loans and investments, eventually increasing economic activity. This financial intermediation function is essential to driving economic growth.

Innovation and Inclusion: The BFSI sector is continually changing, embracing innovations in technology to provide innovative financial products and services. This promotes financial inclusion by introducing more individuals and companies to the formal financial system.

Challenges: Despite its importance, the BFSI sector in Sri Lanka has challenges. These include ensuring financial stability, handling cyber security issues, and keeping up with rapid technology improvements.

The BFSI sector remains an important pillar of the Sri Lankan economy, driving growth, stability, and progress. This sector may contribute even more to Sri Lanka's economic growth by addressing current obstacles and encouraging continued innovation. Continuous professional development (CPD) is critical for maintaining competitiveness and establishing sectoral flexibility in an era of rapid technological developments and changing regulatory environments.


Performance Impact on CPD 

According to a 2022 study conducted by the Institute of Bankers of Sri Lanka (IBSL), firms with efficient CPD programs experienced a 25% improvement in employee productivity and a 15% reduction in compliance-related incidents.


What CPD offers?

  1. Enhances Skills: It helps individuals continuously improve and update their skills, ensuring they stay relevant and effective in their roles.

  2. Promotes Career Growth: By actively engaging in CPD, individuals can advance their careers, achieve promotions, and increase their professional opportunities.

  3. Boosts Confidence: Gaining new knowledge and skills builds confidence in one's abilities and enhances professional competence.

  4. Supports Goal Setting: CPD helps individuals set and achieve personal development goals, aligning their learning with their career objectives.

  5. Encourages Lifelong Learning: It fosters a habit of lifelong learning, keeping individuals engaged and motivated in their professional journey.

  6. Improves Job Performance: Applying newly acquired skills, and knowledge can lead to better performance and productivity in one's current role.

  7. Facilitates Reflection: It provides a structured way to reflect on experiences and learning, leading to personal and professional growth.

  8. Increases Employability: Continuous development can enhance an individual’s employability by demonstrating a commitment to professional growth and up-to-date expertise.

Overall, CPD supports individuals in remaining relevant in their field of work, advancing their careers, and improving their professional performance.


Reference:

Comments

  1. Maneesha GamageAugust 5, 2024 at 9:09 AM

    I am a banker in profession. My previous employer as well as my current employer provide more encouragements for professional development. Further we can reimburse our course fees after submitting the final certificate to the Finance department via T&D unit. Apart from that we will be adding additional 5 marks for our next promotion if we can submit additional professional qualification proofs which we were obtained within the same year (So, it should be the latest one).

    ReplyDelete
    Replies
    1. D. Dhanushka HettiarachchiAugust 6, 2024 at 5:52 AM

      Reimbursing training fees and providing extra marks for promotions based on new qualifications are great incentives. And also some organizations provide interest free or low interest rate loan scheme for employees higher education. These efforts not only promote lifelong learning, but also support in job growth. Thank you very much for your valuable feedback.

      Delete
  2. W.P.K.I.SewwandiAugust 6, 2024 at 10:12 PM

    This post provides an excellent overview of the importance of Continuing Professional Development (CPD) in remote and hybrid work settings. The strategies outlined for maintaining and enhancing skills in these environments are both practical and timely.

    ReplyDelete
    Replies
    1. D. Dhanushka HettiarachchiAugust 10, 2024 at 2:02 AM

      Thank you very mush for your feed back. Yes Continuing Professional Development is very impotent aspect in future world.

      Delete
  3. Naduni MandalawattageAugust 7, 2024 at 1:33 AM

    With a focus on skill development and career promotion, this article provides a thorough analysis of continuing professional development (CPD) in the banking, financial services, and insurance (BFSI) industry. Particularly instructive are the practical strategies for putting CPD into practice and how it affects output and compliance. With the growing use of automation and artificial intelligence (AI) in the BFSI industry, how do you think the role of CPD evolving?

    ReplyDelete
    Replies
    1. D. Dhanushka HettiarachchiAugust 10, 2024 at 2:11 AM

      Thank you for your valuable comment. The role of Continuing Professional Development (CPD) in the BFSI industry is changing dramatically as automation and artificial intelligence (AI) gain traction. As these technologies become increasingly integrated into operations, CPD must continue to include training in areas such as digital literacy, AI management, and data analysis. This change guarantees that professionals remain skilled in using new tools, complying with changing requirements, and increasing productivity. Emphasising abilities that complement technical improvements will be critical to the industry's continued competitiveness and effectiveness. Therefore, CPD evolving is very impotent to the BFSI Industry.

      Delete
  4. Shehani DawundageAugust 8, 2024 at 7:12 AM

    This blog effectively highlights the importance of Continuing Professional Development (CPD) in enhancing skills, promoting career growth, and boosting job performance. By linking CPD to real-world data from the BFSI sector in Sri Lanka, it demonstrates how continuous learning directly impacts productivity and compliance. The emphasis on CPD as a tool for lifelong learning and personal reflection underscores its role in maintaining professional relevance and fostering long-term career success.

    ReplyDelete
    Replies
    1. D. Dhanushka HettiarachchiAugust 10, 2024 at 2:17 AM

      Thank you for your valuable feedback. I'm delighted the blog clearly communicated how CPD improves skills, career progression, and work performance, particularly through its real-world impact on productivity and compliance in Sri Lanka's BFSI industry.

      Delete
  5. Kalaichelvi (Selvi)August 9, 2024 at 12:45 AM

    Continuous Professional Development (CPD) is an essential practice for professionals, it goes beyond training, encouraging long term growth by encouraging the continual enhancement of skills, knowledge, and experience. In sectors like BFSI, CPD not only boosts individual career prospects but also drives overall industry progress by ensuring that professionals remain competent, adaptable, and innovative.

    ReplyDelete
    Replies
    1. D. Dhanushka HettiarachchiAugust 10, 2024 at 2:20 AM

      Absolutely Yes. CPD is essential for promoting long-term growth and adaptation in professionals. In the BFSI sector, it benefits both individual careers and industry success by encouraging continual skill and knowledge development. Thank you very much for your feedback.

      Delete
  6. SajAugust 10, 2024 at 8:35 AM

    Continuing Professional Development (CPD) is like learning a new language but not practicing it regularly. Without consistent practice and application, the knowledge and skills acquired through CPD may diminish over time. Just as language skills require practice to maintain proficiency, CPD needs to be actively implemented to benefit both individuals and organizations in the long run. It is the knot that ties together ongoing learning and professional excellence. Me being in healthcare sector its soundproof CPD goes “CME” continuous medical Education is where it knowledge sharing and implement in practice.

    ReplyDelete

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