This year’s edition of the Innovation in Retail Banking report shows that while progress has been made in the areas of digital transformation, progress is exceedingly slow. In fact, there are indications that many organizations are not fully understanding the scope of change required.
This year’s report also illustrates that, while more organizations are focusing on investing in innovation, the scale of innovation is more incremental against current processes and products than transformational. It also appears that many innovations are still focused on reducing costs and changing processes than on improving the customer experience.
In the end, while digital technologies provide the opportunity for efficiency gains, it is the customer experience that needs to be improved. More importantly, if the organization’s culture remains the same, digital transformation will simply magnify these flaws.
As we move to 2020, the process of digital transformation and innovation will become much more about having the right leadership and culture than simply having the right technology. Part of this leadership and cultural change is having the willingness to act. With the financial services industry enjoying strong revenues, it is difficult for many organizations to take action on opportunities found.
Too many organizations have top executives who hesitate to implement new technologies or innovations, steeped in analysis paralysis and in the comfort of current success. Unfortunately, there is a significant cost to doing nothing.
Change is happening faster than ever before – and will not slow down in the future. Financial institutions need to embrace the change occurring, take a modest risk, implement new innovations, and test and learn. Waiting — is a losing proposition.
Keywords : Innovation , Bank Products & Services