Results tagged “banking innovation”

Technology Trends Reshaping Banking in 2017

In the past few years there has been rapid evolution and adoption of digital technology that is disrupting established banking business. But digitization has also thrown open significant number of opportunities for banks to deliver sophisticated customer experience, smarter decisions and operational excellence. We believe that banks need to implement a bold and comprehensive "Truly Digital" transformation strategy to succeed in 2017; and we have identified six technology trends that banks need to address in 2017 to be #TrulyDigital:

  • Unleashing innovation with open APIs and open banking
  • Banking in cloud-fi­rst strategy
  • Blockchain: The race to production begins
  • AI - your sci-fi­ movie imagination is turning into a reality
  • More things to bank on
  • Banking Architecture - driving value with simplicity
You can read in detail about the top trends reshaping banking here.

Moving a Step Closer towards Autonomous Banking

The Infosys Finacle - Efma report on retail banking mentions that 53% of the banks feel that pervasive automation will be one of the key drivers for digital transformation in the coming year. While this makes a good case on behalf of automation, the foremost question on everyone's mind at the moment is, how are technologies like automation along with artificial intelligence, will impact the workforce.

AI - Your Sci-fi Movie Imagination is Turning into a Reality

Artificial intelligence (AI) is going to become the competitive advantage for banks in the future. In fact, a majority of banks feel that AI is going to have a significant impact in the coming year as a disruptive technology. Progressive banks are getting on board the AI train, and now intelligent digital assistants are omnipresent in banking - from payments, to money management, and financial advice as well. While progressive and challenger banks are already off the starting block, it is expected that their traditional counterparts will soon follow suit.

Economics of the Business Ecosystem will come into Play

There is distribution, decentralization and disintermediation of assets brought on by digitization in today's world. This is the brave new world of the sharing economy, and businesses are partnering with other service providers to bring value to consumers in a scalable and flexible manner. When banking becomes truly digital, it will resemble the business models of today's successful platform businesses like Alibaba, Uber, etc. There is no other industry that is as pervasive as the financial services sector when it comes to consumers; hence this makes a solid case for having a banking service option embedded in all applications.

Customer Experience will make Winners and Laggards

Customer experience has been the talking point whenever trends forecast for any industry come up. The fate of any banking institution largely depends on the quality of customer experience it provides and the year 2017 is no different. In the Infosys Finacle - Efma report on emerging banking business models, more than 70% banks mentioned that creating a customer centric organization and enhancing channels to give an omnichannel digital experience were top priorities in the coming year. However, it seems that banks are falling short on this objective; in a recent survey of about 700 millennials, 75% said that they were dissatisfied with their banking experience.

You must Bank on Insights - Every time, Everywhere

Data science has been evolving ever since it has come into the picture for businesses and the year 2017 is no different. This evolution is driven by the sheer volume of data being generated and affordable computing power along with maturing algorithms. Business analytics is borrowing analytical advances from pure science and is making strides in generating actionable outcomes.

Empower your Employees for Digital Transformation

One of the biggest challenges that banks face today in their digital transformation is the absence of right people, culture, and organizational structure. Hence, to complete a truly digital transformation one of the key priorities for banks in 2017 will be finding the right set of people, and empowering them to carry forward with the transformation strategy.

Strategic Trends Reshaping Banking in 2017

Banking is evolving continuously, and this pace will only be faster than ever in 2017. We, at Infosys Finacle believe that there are six strategic trends that will reshape banking in the coming year. Only banks that proactively disrupt themselves to manage these trends will be successful in their journey from digital to #TrulyDigital. Listed below are our top picks for strategic trends that will transform banking in 2017:

  • Customer experience will make winners and laggards
  • Economics of the business ecosystem will come into play
  • Moving a step closer toward autonomous banking
  • Security will be more pervasive, adaptive, and integral
  • You must bank on insights - every time, everywhere
  •  Empower your employees for digital transformation
You can read about these trends in detail here

Businesses across various and diverse industries have seen rapid disruption in the past few years. One of the major drivers for this disruption is the consumer and how they are coming to expect a Frictionless approach. Some have called it the Uber effect. No cash is needed, it is on demand and simple to use. That experience is what customers are now expecting when interacting in the Ecommerce world.  Many traditional corporates are playing catch-up and some like Sears, JC Penny's, American Eagle, Sports Authority and Barnes & Noble cannot pivot fast enough, leaving them in a position of reporting negative growth or closing all together. Players like Amazon are disrupting their business models by leveraging the latest in technology and rolling out customer centric digital offerings. These offerings appealed to the digitally savvy customers and those companies have grown rapidly over the past few years. 

Banking will never be the same, with distributed ledger technology. The industry is changing very rapidly. Banks are dealing with the most sophisticated customers in history, whose basic demands include speed, convenience, and personalization. The banking sector is facing unprecedented levels of regulation in the wake of the financial crisis, with regulators demanding greater transparency in banking operations. Economic uncertainty and slowing growth around the world are straining the core business, forcing banks to look at shoring up non-interest income. Last but not least, new, non-banking players are rewriting the banking landscape with their innovative, often disruptive, business models.

Why India is a poster child for global banking models

Digital disruption is paving the way for newer, more agile banking models and India is becoming the poster child for banks all over the world. Between the innovations in mobile and social banking, and progressive regulations, India has managed to leapfrog the legacy systems and processes that burden most banks in the world.  One of the most recent technology led revolutions in the banking front in India, was the launch of Unified Payments Interface (UPI), by the National Payments Corporation of India (NPCI). The UPI has the promise to be a game changer in the era of cashless payments. Imagine a scenario where you don't have to jump through all the hoops to make a payment, and just need a unique ID, similar to an email ID, to make a payment. Imagine a cashless transaction, that doesn't require you to type out your credit or debit card details.

How Ready Are Indian Banks For Blockchain Adoption?

Blockchain technology underlying the 'Bitcoin' crypto currency has created lot of buzz in the technology landscape compared to any other technology in the past. Perhaps, blockchain is considered to be the biggest disruption post 'internet'.

The Rise Of The Better Indian Bank

Every month your bank reminds you that your credit card payment is due. But on the rare occasion that you forget to pay, I really doubt anyone bothers to check with you once more before slapping that late fee. Isn't that strange considering your bank knows you intimately - your bank balance, creditworthiness, the fact that you always pay on time - and therefore knows with reasonable certainty that this is a one-off slip up? Shouldn't the bank have at least shown you the courtesy of a call?

A bank that truly worked for the wellbeing of its customers certainly would have. This is what separates the better bank from the rest of the field. Unfortunately most banks do not live up to their promise of customer-centricity, or to their customers' expectations. That leaves the door wide open for non-banking players, such as Fintech companies, to take a quick share of the market by offering products, services, solutions and experiences that really work in their customers' favor. 

Benefit with Blockchain

Some of you might have heard of Blockchain. You might have read that it could disrupt and change banking, payments and other financial services forever. Perhaps you are wondering how it might affect you, especially if you are employed in the financial services industry. 

Banking the next generation: How engaging is your platform

Youth, like women, is fast emerging as a key focus area for the banks. I have spoken about this in my previous blog "Niche banking services: It's the icing that matters" as well. Banks have identified 2 key factors for which, it is important to acquire these young users and acquire them soon.

Defining Digital

An effective digital strategy can boost profitability by 40 % or erode it as rapidly as 35% in the next 5 years - if you don't get it right, says one study. Another says digitization is at top the agenda at retail banks, ahead of all else. There is universal agreement that the future of banking, indeed every business, is digital. Most banks you speak to are cognizant of the need to digitize, and fast; a number of them have already got a plan going.

Bank in an Ecosystem

Creating the world's largest transportation company without owning cars or the world's largest hospitality company without owning a single property - digital technologies have not merely transformed entire industries, they have managed to upturn many established business models and mindsets.

The customer isn't one

Identical individuality is a pre-digital concept. Digital customers expect their banks to recognize their individual identity, their contextual needs and create personalized solutions that are relevant to their unique financial life stage. Customers want financial partners, rather than financial service providers, who will help them achieve their financial goals and aspirations. And so forth.

From efficiency to experience

In an omnichannel banking world, the quality of experience enjoyed by a customer is actually built backstage, where internal processes are hard at work. It is process innovation that ensures that every transaction in every channel is optimized to maximize customer expectations as well as business objectives.

Where Products and Services Get More Innovative

Innovation has become the leitmotif of the global retail banking industry. Changing trends in consumer expectations, competitive dynamics and new technologies are compelling banks everywhere to focus on innovating on everything, from products and processes to channels and business models.

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