Post on 14-Mar-2022
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Table of Contents 1 Background.......................................................................................................................................3
2 APIATM............................................................................................................................................4
2.1 Paradigmshift.................................................................................................................................................4 2.2 Newinfrastructure..........................................................................................................................................4 2.2.1 On-Us..........................................................................................................................................................4 2.2.2 Traditionalschemesolution.......................................................................................................................5
3 Conclusion........................................................................................................................................8
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1 Background Technology in the banking sector tends to demand own systems, massive investment and complex
infrastructuresolutions.
Withchangesintechnologywenowseebreakthroughswhichallowtechnologytoconnect,beconnected
anddeployedsimply,easierandmoreeffectively.
Thispaperisdesignedtooutlinetheoptionsavailabletothebanks.
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2 API ATM
2.1 Paradigmshift
A newdimension has come to the banking technologymarket, driven by technology advances and new
openplatformapproaches.
Withtheadvancementoftheinternet,APIshavecometotheforeasthenewcommunicationplatformfor
devices.Weseethiswithsmartphones,tabletsandcomputers.
IndeedeachcountryistakingadifferentapproachtoAPIsolution;somearetakingapragmaticapproach
and regulators are promoting ‘Open Banking’ API solutions as seen in the UK,
https://www.openbanking.org.uk.Thishasbenefitsas itencouragesallbanks tocommunicateona level
playing field allowing customers tomove easily from bank to bank and so is a more customer friendly
solution.
Whereasinothercountriesbanksandtechnologycompaniesareploughingtheirownfurrow,sotospeak,
withtheirownbespokesolutions.Thisisnotascustomerfriendlyasonecouldhopebutatleastadvances
infrastructures.
Ifwe look at the self service devicemarket thenwe seeAPIs transforming themarket by allowing new
innovativesolutionswithouttheneedforintensiveandexpensiveintegrationprojects.
2.2 Newinfrastructure
WiththeadvancesinAPIandtechnologywecannowseenewsolutionscomingtothemarketwhichbring
anewdimensionto‘On-Us’andopenbankingsolutions.
2.2.1 On-Us
Forexamplean ‘On-Us’ solution couldallow smartphones/tablets to talk to the cashunit toprovide the
functionalityasdefinedinthebanksApporonlineservices.
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HerethedevicescanprovideBankorRetailfunctionalityinlinewiththeApp.Componentsinclude:
1. Drivingdevicea. POSunitasseeninsmallretailb. Smartphoneasprovidedbytheclientc. Tabletasprovidedbythesiteorclientd. AnyAppbaseddevicewithconnectiontotheinternet
2. Cashunita. Purecashdispenserb. Cashrecyclingunitfordepositsc. Dropunitforchequesorotherpaperbasedvalueitems
3. Applicationa. Asdefinedbytheretailerb. Asdefinedbythebank
Anycombinationoftheabovecanbedeployedtodayforuseinan‘On-Us’closedloopenvironment.
2.2.2 Traditionalschemesolution
Fullopenarchitectureasseenbelow,connectingtothetraditionalbanksystemsorcardnetworks.
TerminalHandler
TerminalManagementsystem
WebServicesBank
HostSecurityModule(HSM)
CloudbasedOn-Usenvironment
Confidential
AdvancedATMApplication
Cash Devices
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The above solution then allows the bank to offer traditional solutions as a cash dispenser or even cash
deposit/recyclingsolution.
The devices that can be deployed can be traditional ATMs however we would encourage some new
conceptssuchasacashunitconnectingtotheclientssmartphoneortabletallowingthefunctionalitytobe
alignedwiththebankinternetormobileapplication.
OneexampleisseenbelowwhereatraditionalPOSunitcanconnecttoacashdepositanddispensingunit.
TerminalHandler
TerminalManagementsystem
WebServicesBank
TransactionAuthorisationSchemes
HostSecurityModule(HSM)
Cloudbased‘On-Us’andSchemesolution
Confidential
AdvancedATMApplication
Cash device
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Inaretailenvironmentthiscouldthenlooklike:
Thekeyelementsofthesolutioninclude:
1. App
2. Cashunit
a. Dispenser
b. Deposit
c. Recycler
3. Masterunit
a. POSterminal
b. Smartphone
c. Tablet
d. Other
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3 Conclusion Thekeypointhereisthatdevicescanbedeployedwhichallowthebankstomeettheirtraditionalbranch
servicesbutinacloudbasedsolution.
We believe this can relieve pressure on the banks and allow solutions to be deployed effectively and
withoutoverheadswhileprovidingbranchsolutions.
Bankscanconsiderdeployingdedicated‘On-Us’solutionsorthesecouldalsobecombinedwithtraditional
paymentschemesifrequired.
Thescopeandlimitsarepurelydowntothetransactionalsetrequiredtobedeployed.
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Retail-BCG
Retail-BCG specialise in the payments sector bringing innovation and expertise to the complex
areasofpaymentsandpaymentdevices suchasATMs throughour intimateknowledgeof card
schemes, regulations and operational models. Within our group we also operate an ATM
outsourcingandBPOmanagedserviceforourclients.Webringtomarketnewtechnology,new
providersandnewsolutionswhichreduceoperatingcostsandenhanceservicecapability.