You’re probably aware that the way we bank has evolved dramatically over the last few years, but that banking business models have been slow to keep pace. Combined with the general lack of trust in our banking institutions, the industry is poised for massive disruption.
Failure to keep pace with changing consumer preferences has opened the door for nimble FinTech startups to cannibalize traditional banking revenue streams such as lending, payments, and money transfers. And in this environment what’s really keeping banking executives up at night is whether they’ll get Amazon-ed in all this tech disruption?
BigTech like Google, Amazon, Facebook, and Apple have brand recognition, the customer base, and pockets deep enough to cause a titanic shift in the way financial products are consumed. They have the advantage of providing superior customer experiences via information-rich touchpoints along every step of the customer journey.
To compete, incumbents must do two things:
First, they must tap into the power of their existing customer relationships. But that is hard to do when everything you know about your customers is scattered across the organization, in multiple repositories, known only to the few who access specific information on a routine basis. In other words, no single individual in your organization can possibly know where all your critical customer information resides, or know how to search and retrieve it. But engaging in the traditional rip-n-replace methodology to try to expose all this information is risky, costly, time-consuming, and results in a business disruption. You need a modern 2-step approach that first lets you connect to all your information in-place regardless of where it resides. Only then, can you take the second step to consolidate and sunset those information systems that no longer deliver business value; and do so at your own pace.
Second, you must acquire the digital agility of a modern platform to deliver new capabilities in days or weeks. Spending months or years developing products and services to leverage this new wealth of unlocked information is simply no longer acceptable. To realize the full potential of your organization and stave off the threat from non-traditional competition, you need a platform that delivers unique individual functional services exposed through programming interfaces that can quickly be stitched together to support multiple business models. And, that platform must be able to run natively on the cloud to ensure dynamic provisioning and optimum performance and scalability.
At Nuxeo, we’re uniquely positioned to address both your information and platform imperatives to take control and thrive in these highly disruptive times. Learn more about Nuxeo’s modern 2-step approach in our new eBook that explores the strategic modernization of information systems within financial services.