Finacle Whiteboard

But not always fun. The low-cost carriers…the quickie city-tours… hotel rooms with just the bare essentials…you feel so far from the familiar comfort of home. And wonder how you ever thought you were ready for this. Come to think of it, banks having embarked on a multi-country transformation journey, often curtailed by tight budget and tighter business mandates, are just as flummoxed by the surprises that come their way - several of them not particularly pleasant.

But having had the opportunity to enjoy a ringside view of the banking business, I can tell you, it doesn’t have to be that way. Pro-active planning goes a long way in easing the passage. Take for example, this not-so-uncommon situation. While pursuing its global ambitions, a bank acquires local technology platforms to support its activities, possibly as a result of merged operations. With processing then developing in a series of silos, it is often saddled with multiple systems which duplicate functions. Needless to state, wasted time and resources is the outcome. The bank has little option but to overcome this challenge by consolidating its IT infrastructure, centralizing the back-office and homogenizing operations across geographies. I firmly believe that banks can maximize ROI from their multi-country transformation by streamlining their approach towards consolidation, standardization – systems, solutions and process, while eventually rationalizing localization.

Additionally, a bank can leverage transformation evaluation tools to track the multi-country journey, through its execution with a unified 360-degree view. This will bring to fore multi-perspective views across the project, at a very micro level, for important stakeholders. This evaluation acts like a true index of the success of transformation.

Today, for progressive banks it is no longer a question of “if” but it is one of “when and how” to embark on such a program of technology-led multi-country transformation. For these banks I’d like to leave a thought. A clearly defined technology strategy driving your transformation program can help propel innovation, flexibility and growth, which in turn can increase productivity and profitability. The ‘multi-country trip’ is most often well-worth the time, resource and passion invested, when you realize the pay-off, back home.

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Posted by Mahesh R at 04:25 AM | Permalink | Comments (0) | TrackBacks (0)

Someone called a bank the other day and asked “I was wondering if you offer online banking…”Reply from the bank’s front-office was a polite “Of course ma’am. You can certainly use our online services. Just sign up for online banking with us.“ “But where does the money come out?” insisted the caller. “I’m not sure I understand” said the puzzled banker. “You know…” the caller asked “Does the money come out from that slot in my computer?”

Not sure how the banker handled that one, but I know this fact is here to stay: Customer expectations from Internet banking have certainly changed. He won’t walk the one way street of e-banking, much longer, content with just making balance enquiries or fund transfers. He yearns for the comfort of branch-like two way interactions, online too.

Here’s where I see a clear opportunity for banks to transform today’s passive Internet banking into one that provides a more widespread and interactive experience. Leveraging social networks like Facebook, collaborating through Web 2.0 to take e-banking to multiple online locations, personalizing the experience, empowering informed online sales, empowering banking customers to create their own online spaces, filled with all that is relevant to them, while they also bank - are just some avenues open for those that think out-of-the-box. Needless to say, these will also be the ones laughing all the way to the bank…or more aptly getting their customers to come laughing all the way to their bank.

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Posted by Jaymalya Palit at 04:14 AM | Permalink | Comments (0) | TrackBacks (0)

They take my book order over the phone, pack the stuff up and let me pick up my shopping, on the run, from their store. Some weekends I browse through their store…can’t make up my mind to really buy something but end up placing my order through their online store after I’ve read a couple more reviews. Other times I’m visiting their online store, but dial them out to check if there’ll be discounts on the title during their annual sale, and then decide if I want to buy the book. It seems to me a great idea that I can interact with my favourite bookstore over any channel or combination of channels that I choose, and enjoy the same friendly experience. Something that banks can do as well…and with greater success too!

Your customer may be attracted by the convenience and speed of online banking but will want to meet your rep to apply for a loan. Her approach to channel transaction is additive, not substitutive. And banks must transform their channel strategy around the idea of ‘channel chains’, where a combination of channels performs complementary roles for customers. Now, did I hear you scoff and mutter “Easier said than done”? Of course you would! Times are tough, resources limited, competition fierce and customers demanding. Yet, these are just the reasons why you’d want to realize the 10% to 25% annual cost savings in IT and operations that multi-channel integration promises banks. And that’s not all.

Today, the customer hops between different channels, depending on her convenience, location, time of day and the transaction. The quality of her experience is impacted by the consistency of service her bank provides. By ensuring that each channel offers the same experience, channel integration creates user delight, and loads the odds in favour of the bank, when it comes to retaining customer patronage. Integration also introduces much-needed intelligence and empowers the bank to strengthen its cross-sell and up-sell agenda, thereby increasing profitability.

Now, where banks can score one over my bookstore is by aligning their business plan with the right kind of technology. Banks can leverage the advantage of Service Oriented Technology (SOA). It supports integration, while vastly simplifying the IT landscape, making the business more responsive to dynamic business challenges.

And speaking of responsiveness to business challenges, there’s this retailer at the mall who has his act truly perfected. But then…that’s another story…another post perhaps…

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Posted by Anuradha Mallya at 05:40 AM | Permalink | Comments (0) | TrackBacks (0)

One more comparison, one more analysis, one more indicator! And one intriguing question – what does it mean to the CXO at the bank?

It was only last week that I reviewed this latest analysis of global banking platforms – The Forrester Wave: Global Banking Platforms, Q1 2009. Undoubtedly I was a happy man. After all, brand Finacle was named a leader, once again. What next? Will this translate into more customer enquiries, more opportunities and more business? Only time will tell. While it’s not unusual for tech providers to get exceedingly excited when an independent analysis places them well against competition, does it do anything at all for the actual consumers of this analysis – the CEOs and CIOs of banks? I’d say, it does play a crucial role.

This downturn is all about the failure of trust. Customer loyalties are waning and caution is in the air. In such an environment what a business leader seeks is confidence. And confidence is often built with data, not promises. What reports like these do is help cut through the clutter of slick packaging and tall promises.

As banks battle the current downturn and look up to technology to cut down costs and redefine customer experience, a clear sense of direction can help. Now that the analysis has been voiced on this one, let's wait and watch to see just how appropriate in relation to the question, it all turns out to be.

Posted by Sumit Virmani at 05:15 AM | Permalink | Comments (0) | TrackBacks (0)