How more traditional financial institutions are utilising emerging technologies to improve efficiencies or provide better services to clients
Many banks across Europe are rapidly having to embrace the digital age and dramatically redesign and improve their digital offering to satisfy customer demand and fight off more nimble challengers. In particular, banks and other financial services organisations are recognising the need to focus on improving the "online customer journey" with user-centric design and self-service to help maintain their competitive edge and protect market share.
Key Challenges
Financial services organisations have until recently been relatively slow in comparison to other industries such as retail and travel in adapting to the online revolution. Commonly cited challenges such as security risks and regulatory burdens mean that these traditionally risk adverse organisations are often reluctant to move away from the "tried and tested" ways of working.
The cost and expense of legacy systems that they have invested in over years also contributes to the reticence to move to new digital platforms. We have seen, however, that it is not enough for banks and other financial services organisations to simply create new front-end tools such as a mobile apps or online payment calculators - to become fully "digital", organisations need to overhaul their entire business processes, staff capabilities and mentality. This is no mean feat.
Becoming a Digital Bank
While technology is the driver, it is the people - not just the technology - that will transform organisations for the future. Many banks and other financial services organisations have found that engendering a start-up mentality within their organisation that helps drive change and challenges and disrupts some of the legacy bureaucratic processes has been an effective catalyst in helping realise their digital agenda and goals.
Of the banks and other financial services organisations that we have been working with in this area we have found that the most successful are those who ensure their digital strategy is aligned with the organisation's overall strategic objectives. For these organisations, the strategy is focused on consolidating and simplifying their technology landscape and business processes, as well as seeking to introduce and leverage an "agile" way of thinking and working.
Aviva is one example of a large financial services organisation widely reported in the press to be actively fostering a start-up culture in its organisation through the opening of several "Digital Garages", including in the heart of London's Tech City. Aviva states publicly that it aims to use its Digital Garage to bring together specialists from different parts of its business to work on projects focused on increasing its digital functionality and working in more agile ways.
It is an exciting time for organisations looking to push their digital agenda and challenge the current market. The impact and successful implementation of digital transformation will be further explored at the DLA Piper European Tech Summit in London on 28 September 2016. A panel of industry leaders will look at how organisations which conquer this transformation can become more agile, innovative and spark creativity to flourish and gain market share.
If you'd like to hear a variety of perspectives on the topic, or add your own voice to the conversation, then register your interest now to attend this exclusive event.
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