SunTec

  Brett King has been one of the few people advocating digital banking long before it was fashionable. In a ‘not so recent’  blog , he pointed out a scorecard for banks who think they are digital banking. Check it out if you haven’t already. Becoming a digital bank is on the lips of every banker worth their salt these days. However, most of them draw the line at being able to provide services on a digital platform. Being part of one of the companies deemed the leader in enabling an omnichannel experience orchestration; this is definitely much welcome news. However, digital channel is not the only component for a truly digital bank. Being able to truly transform yourself into a digital bank means you have to inherently become digital. As Brett puts it in his blog – ‘Everyone’s job is digital’. Especially for a corporate bank, digitalized channels are probably a very small benefit to the clients. Therefore, most corporate banking segments think they are quite separate from the...

A closer look into the Vietnamese banking sector and the challenges faced by banks in the age of rapid #DigitalTransformation The Vietnamese economy is developing fast.  At the heart of this progress is the country’s expanding banking sector. The top 10 commercials banks already account for 66% total assets and 46% charter capital of the whole banking system, while the local banks hold 90% of the market share in retail services due to their larger networks. With rising affluence and tech-savviness among the young population in Vietnam and the rapid development of consumer finance and banking infrastructure, digital banking is predicted to be the next big step towards a wholesome financial inclusion of customers from all age group.   What holds the key to the Vietnamese banking sector?   Banking is at the cusp of digitalization , and there is a huge potential in Vietnam. With only 20% of more than 90 million citizens in Vietnam holding bank accounts, there is room for gre...

  The General Authority of Zakat and Tax (GAZT) of the Kingdom of Saudi Arabia (KSA) announced the mandatory roll out e-invoicing from December 2021. This initiative will help the country to reduce errors, ensure tax compliance and minimize the shadow economy. But the transition to the new system can be challenging for banks as they also try to ensure uninterrupted operations and a seamless customer experience. This is a big change for them, and they will need comprehensive technology platforms and a well thought out strategy to ensure the least amount of disruption and maximum compliance. To be honest, the move to e-invoicing was inevitable. Across the world, there is a renewed push towards a digital economic foundation as countries try to modernize their taxation and invoicing laws, ensure better  regulatory compliance , and address loopholes in their legacy frameworks. This will help KSA to simplify and streamline reporting standards between taxpayers and the authorities, p...

  Amazon recently bought over the legendary MGM studios, extending their stake in the film and television business. 1  Naturally, fans asked what the future would hold for the super spy – would the franchise branch out into TV shows like the Avengers or stay true to its movie roots?  The answer came from Barbara Broccoli, co-owner of Danjaq LLC that owns half the rights to the franchise. She said,  “We make these films for the audiences…Our fans are the ones who dictate how they want to consume their entertainment. I don’t think we can rule anything out, because it’s the audience that will make those decisions. Not us.”  Broccoli’s statement is interesting because it places the future of 007 in the hands of his fans. It will go in whichever direction that fans and viewers want it to go. Movies are understood to be the ultimate expression of creativity. Genius scriptwriters, visionary directors, and brilliant actors, form the faces of the world of cinema in popul...

  In today’s world, this can be taken even further. Banks are dead the moment they want to play it safe. The need to innovate is ultimate in the digital world where customer needs and requirements are highly contextual. The traditional banking products have become commoditized and all financial service providers have them in their portfolio. The only way to differentiate yourself and stay ahead of the curve is by innovating constantly – both from a product and a service perspective Agility has become a much overused term these days – however, clichés are so for a reason. Agility in general and competitive agility in particular is essential for banks to survive. But how can a bank remain agile with legacy systems worth decades while the smaller, newer fintech firms have flexible technology to bring any change necessary within days. Before getting into the ‘how’, let’s discuss the ‘why’ for a bit. Most corporate banks are of the opinion that since their customers are corporations, th...

  How superior customer experience can help telecom operators differentiate themselves in the age of commoditized products and services It’s a jolly time to be a telecom consumer! You’ve seen the plethora of  advertisements, right? Free calls, cheaper data, lower rentals, innumerable plans to choose from and what not. Look closely. Is that all a customer wants? And, is that all a telecom player can offer? In wanting to outdo each other to gain more customers, major telecom players are turning a blind eye to another critical aspect that can get them ahead in this race to win users – Customer Experience. Where are we right now Improving customer experience is no longer a feel-good advantage provided by telecom organizations, but a major business priority. Many digital and communication service (henceforth referred to as DCS) providers offer similar services and products. But differentiation based on product and pricing alone can take them only so far ahead. Also, with stiff com...

  “Should we go digital” is definitely not the question banks are asking themselves. They were, but that was a long time ago. Just like global warming, we have all seemed to make up our minds that digital banking is the answer. Of course, just like global warming, there are a few naysayers who nobody, including the customer pays much attention to. As we cross into the 4 th  industrial revolution, the question therefore is “What is the best way to implement digital banking?” Well, I am afraid, there’s no silver bullet. It all depends on a myriad of variables, all dynamic, so dear chief digital officers – I definitely don’t envy you your jobs. There are a few things though that might help you out on your journey – and that’s what we are going to discuss in this blog. Talking about industrial revolutions always takes me back to the renaissance. The answer lies in the age-old cliché of how all banks started as product-centric organizations and moved onto customer-centric ones (or...

  Convergence of industries brings a tectonic shift When one of the major industrial convergence started its genesis, Google was not yet born. The postal industry and the information technology industry started to converge with Hotmail in 1995. This led to a tremendous shift in the way we communicate. Fast forward to 2017, and I do not remember the last time I snail mailed a letter or sent an MMS. The key point to note is the tectonic shift such a convergence brought out. There is a definition of convergence from Merriam which stands out – the merging of distinct technologies, industries or devices into a unified whole. To this, it is important to mention that when the “unified whole” is achieved, there will be a similar tectonic shift which causes an exponential technological progress. This convergence will go on for the foreseeable future till the point of singularity is reached. When singularity is reached (which itself gives another perspective on convergence), we will witness...

  In this converging world where banks are losing their traditional marketspace, what should banks do? There are four facets of approach that a bank can do – 1) Collaborate and not Compete; 2) Grow beyond banking; 3) Provide an Experience and 4) Expand the reach Leverage the power of collaboration  – As mentioned in an HBR article, “Collaboration is the new competition”. To stack up to today’s interconnected problems, banks will have to collaborate with other industries to create a larger collective impact. Think beyond operating in the current industry and operating models  – The future belongs to enterprises which look beyond the borders of industry they operate in. Provide customers with “experience” and not products –  As banking products become commoditized, it is important that banks create an experience. Only banks providing the best customer experience will have the highest customer retention rate. Rapidly expand the reach of the banks –  While...