The Information Age - FST€¦ · The Information Age How Financial Services organisations can...
Transcript of The Information Age - FST€¦ · The Information Age How Financial Services organisations can...
The Information Age
How Financial Services organisations
can thrive in this data-centric environment
November 14, 2019 | Monica Hovsepian
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Monica Hovsepian
Monica Hovsepian is the Global Industry
Strategist for Financial Services at OpenText.
With more than two decades of financial
industry experience, Monica has become a
trusted subject matter expert in the Financial
Services industry, having worked with
numerous large and international banks
in North America, Europe and Asia.
A little about me…
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Agenda
• Embracing ‘platformification’ – meeting data governance standards
and the increasing customer expectations
• Moving to a single data platform that enables holistic information
flow, individualised customer engagement and secure transactions
• Achieving a consistent customer experience across all channels
and engagements to gain maximum wallet share
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Embracing platformification
• Our organisations are led, in part, by the
expectations of our customers and driven
by the regulations of our governing bodies
“Friction will be the biggest killer
of bank revenue in the next 10 years.”Brett King, Bank 4.0: Banking Everywhere, Never at a Bank
• To reduce friction, deliver insights and
provide better services, platform-based
businesses are being embraced by
consumers Source: Digital Banking Report © October 2019 Digital Banking Report
Deployed
at scalePartially
deployed
Limited
deployment
Still in
design phaseNo digital
transformation
strategy
17%
11%
27%
41%
4%
Deployment of digital transformation
still lags at most organisations
Q: Which of the below options best describes the stage of your
organisation’s digital transformation initiative? (chose one)
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Governance and expectations
Data privacy is perceived as
being a benefit to the customer
Data security is perceived as
a requirement of being an FSI
Data sharing is perceived as
being a benefit to the provider
79%
of consumers
are aware
of key data
privacy rights1
1. Deloitte, A new era for privacy–GDPR six months on (2018)
2. Which?, Open banking: 92% of the public in the dark (2017)
92%
of consumers
were not aware
of open banking2
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The benefits of platformification
Image source: PWC - Financial Services Technology 2020 and Beyond: Embracing disruption
1 million EU businesses
transact via online platforms
B2C eCommerce is forecasted
to reach €602 billion
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Is Banking prepared?
Source: Digital Banking Report © October 2019 Digital Banking Report
• Platformification is another digital
transformation project that needs
to be undertaken
• FSI executives are aware of
the opportunities, threats and
requirements driving platformification
• Being aware, does not mean actions
are in place to drive change
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Enabling holistic information flow
Source: Digital Banking Report © October 2019 Digital Banking Report
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Data privacy and security
1 World Economic Forum, Cyber risk is a growing challenge. So how can we prepare? (2018)2 Accenture, Cost of Cyber Crime: Financial Services (2019)3 The Clearing House, Fintech Apps and Data Privacy: New Insights from Consumer Research (2018)
$1 trillion+
Estimated U.S.
annual economic
cost of cybercrimes1
$18.28 million
Annual cost
of cybercrimes for
Financial Services2
9/10
Consumers in the U.S.
Are concerned about data
privacy and sharing3
Detection is as important as prevention
Confused
Tight security
Empowered
Open framework
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Achieving a consistent customer experience
Source: Digital Banking Report © October 2019 Digital Banking Report
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Gaining a platform advantage
• Managing information flow within our
businesses, with our partners and with
our customers is more important now than
ever before
• Fully embracing an ecosystem platform will
provide the biggest benefits to both consumers
and the organisations that service them
• Creating value from information flowing
both into and out of the organisation will be
the key to success
Source: Accenture – Brave New World of Digital Banking
By 2020, European
banks that exploit open
banking to become
digital leaders may
generate up to:
20%
21%
17%
12%
of lending
revenue pool
of current account
revenue pool
of payments
of retail investments