Michael Henny Describes yourself as a “corrected banker”. Consumer Banking Architecture as the head of the product strategy in the provider Galileo Financial TechnologiesIt has a unique approach to the modernization of payment, and it paints a clear picture of modern consumer expectations that some banking executives neglect their risk.
“We live in the world where we expect immediate matters, okay? We press a button and a movie on my TV screen, or my luggage is transported within an hour,” said Honey said that the expectation of this net flax is a basic banking architecture.
Financial institutions are recognizing that technology strategies and business strategies can no longer be separated. In the recent panel debate with pilots, Henny discussed the matter Dan WilliamsSenior Vice President of Embeded Banking Bank of.
“When you realize how far the technology is in consumer choice and how they choose things, you realize that the technology strategy and your business strategy are much more connected,” said Williams during a widespread discussion on banking modernization. Honey echoed the theory, indicating that banks faced consumer expectations. “Right now”, while increasing his comments about the world, Honey noted that digitally local species do not grow to pay for a bodies, check or waiting day. They expect that financial transactions, like their entertainment services, will be the same with the same strength.
For this integration of technology and business strategy, banks need to think differently about their infrastructure. “When I think about how easy it is to do business with the bank, I am talking about my payment services and requests where our clients want to use them,” said Williams. “And are they currently capable of cooperating with these points of consumption when they want to do it?”
External pressure driving change
The speed of technical change has created significant external pressure on financial institutions. Williams pointed to the changing distribution of financial services as a key driver. “When we think about the supply of payment products, depositary products, you see them connected with the technology that our customers use,” he said.
Honey identified three important expectations of consumers, which are newly shaped to banking: real time processing, data -driven insights and blended financial services. “We are going out of the world where there are financial services in these silas,” he said. “They want to mix the best of them.” He said that the features such as access to initial wages and now buy, the later capabilities are expected from the commercial clients as well as consumers.
The two executives emphasized that consumers and businesses rapidly expect that their daily work flow and financial services will be embedded in their daily workflows and applications, rather than the need for separate interaction with banking channels. For heritage agencies responding to these challenges, some architecture changes were necessary. Honey offers three main components: modern middleware (including API management and event streaming architecture), cloud infrastructure and a data first-minded-time, key building blocks for providing customer-focused experiences.
“Many of the heritage architecture did not have the first mentality of data, which makes it very difficult to transmit the data inside and out,” Henney said. “That’s why we see that Chief Data Officers – especially in major banks – focuses on data governance, data standards and data as a whole.”
Williams emphasized the importance of interplasticity within business workflows: “Whatever we do in financial services, it is primarily part of some wider business work flu,” he said. He said that something happened before the payment had done to decide to start it. He said that his business in his business is something after paying for his business, “he said, adding that connecting financial systems with workflow metadata creates a cleaner process which benefits consumers.
The height of composables
The panel discussion also noted a significant change away from the traditional “RIP and changed” methods of modernization. Honey explained a number of methods, including the “Green Field” method where Bank Launches launches new product lines or digital seeds to experience before dealing with infrastructure.
For banks not interested in the Greenfield’s approach, Honey recommends “a recession and a progressive style” where the company “gradually eats a legacy infrastructure.” He emphasized the importance of showing business value in every budget cycle: “The days have passed where we have a five -year change programs and you do not see the cost of business at the end.”
Williams reinforces the importance of continuous improvement: “When you think of providing unique benefits in these functions or experiments … the ultimate impact on consumer experience is permanently improving and adapting you.”
When asked about the concept of future banking infrastructure, Williams was straight: “I think even the term ‘future proofing’ is a bit stupid. Like what we do now, what do we do now that somehow mean that we do not need to change in the future, but it is a more important name, but it is a big name, but it is a big name, but it is a big name. You have to keep where you can better and better over time. It is all about to change. It is all about to move. Whether or not they are just guiding or following these matters.
Composable Banking Tables becomes steaks
The conversation concluded with the point of view whether the composing has been transferred to the table stakes with the banking strategic benefit.
Henny said, “The concept of fertilizing, the concept of composing, these things we are talking about are definitely table stakes.
Williams added that the industry often describes bank vs. Fentic statement, at a time when Fintec is renewing its identity and business model. Regardless of these relationships, the two executives re -executed the conversation.
Williams said, “We have a lot of amazing relationships with Fantake.” They can be consumers whom we give strength, they can be a distribution channel, or they may have a technology with which we increase our basic services. This is not a strategic problem. This is a problem. Everyone reads the same cheating sheet on how the world changes. It is just whether you can process or not. “
