Simon Paris, global head of strategic industries at SAP, discusses emerging technology trends and banks' approach to technology transformation in a competitive marketplace.
December 11, 2013 | Neeti AggarwalThe race to improve customer wallet share and experience has already steered banks towards significant technology investments. With players from other industries, such as telecommunication firms, increasing their roles and respective foothold in traditionally banking domains such as payments and remittances, the banking industry no longer works in an insulated environment. Banks are now being forced to look at new business model, technology innovations and also learn from customer-centric practices adopted by players in other industries.
According to Simon Paris, head of strategic industries at SAP, “Software companies are arriving to banking with experience from other industries, and bringing product functionalities like real-time offer management, relationship-based pricing, differential pricing per channel and product configurations that have been proven in other industry segments."
Currently, banks place emphasis on improving customer centricity levels, number of accounts, wallet share and inclusive banking. They are also focusing on multichannel integration where a transaction started in one channel can be concluded at any other channel, with real-time information flowing across multiple channels. This has meant a great thrust for mobility, internet banking and integration across channels. However, banks often lack the required infrastructure for these growth objectives. Moreover, to achieve these objectives, initiating a technology discussion alone is not enough; operational and organisational model changes must also take place.
“In this scenario, markets that have less dependency on legacy systems will move faster. We would not be surprised to see banks in Asia Pacific and Latin America move faster than those in the US because they do not have a legacy architecture, mindset, and multi outsourcing contracts that act as handcuffs. Banks in these markets have a more positive approach towards technology and desire for growth,” Par...
Categories:
Channels, Customer Centricity, Technology & OperationsKeywords:SAP, Simon Paris, Channel Integration, SAP Financial Services Network
Simon Paris, global head of strategic industries at SAP, discusses emerging technology trends and banks' approach to technology transformation in a competitive marketplace.
December 11, 2013 | Neeti AggarwalThe race to improve customer wallet share and experience has already steered banks towards significant technology investments. With players from other industries, such as telecommunication firms, increasing their roles and respective foothold in traditionally banking domains such as payments and remittances, the banking industry no longer works in an insulated environment. Banks are now being forced to look at new business model, technology innovations and also learn from customer-centric practices adopted by players in other industries.
According to Simon Paris, head of strategic industries at SAP, “Software companies are arriving to banking with experience from other industries, and bringing product functionalities like real-time offer management, relationship-based pricing, differential pricing per channel and product configurations that have been proven in other industry segments."
Currently, banks place emphasis on improving customer centricity levels, number of accounts, wallet share and inclusive banking. They are also focusing on multichannel integration where a transaction started in one channel can be concluded at any other channel, with real-time information flowing across multiple channels. This has meant a great thrust for mobility, internet banking and integration across channels. However, banks often lack the required infrastructure for these growth objectives. Moreover, to achieve these objectives, initiating a technology discussion alone is not enough; operational and organisational model changes must also take place.
“In this scenario, markets that have less dependency on legacy systems will move faster. We would not be surprised to see banks in Asia Pacific and Latin America move faster than those in the US because they do not have a legacy architecture, mindset, and multi outsourcing contracts that act as handcuffs. Banks in these markets have a more positive approach towards technology and desire for growth,” Par...
Categories:
Channels, Customer Centricity, Technology & OperationsKeywords:SAP, Simon Paris, Channel Integration, SAP Financial Services Network
