Intelligent concentration of technology as a prerequisite for strategic differentiation
Many Swiss banks have yet to move their core banking platform to the next generation. The challenge now is not to miss the boat on digitalisation, which is essential to remaining competitive. Meanwhile, banks that have already migrated to a standard platform feel trapped by their past technology decisions.
Both groups of banks are trying to repair and add to their current technologies, which are often inadequate. Usually under immense time pressure and lacking top-down decisions, these banks are attempting to review the dependencies, coherence and strategy compliance of their technology decisions.
Recent Deloitte surveys conducted with Swiss banking executives paint a clear picture: strategically speaking, all Swiss banks have the same objective for their domestic market, i.e. that differentiation and strategic advantages should be achieved via client interaction. This ambition is driven more than ever by the technological capabilities of banks, but the survey shows the IT priorities of Swiss banks are effectively opposed to this objective.
The majority of IT investments – according to Swiss banking CIOs – should go towards compliance, maintenance of current systems and back-office optimisation. The expansion of additional technologies often occurs randomly and is uncoordinated. Promotional initiatives and social media are for the most part coordinated by Marketing; CRM and data analytics by sales; and e-banking overhauls and mobile solutions are often managed solely by IT.
The fact that social media goes hand in hand with mobile solutions, data analytics, CRM and e-banking is often ignored, as is the fact that all technological programmes need to follow the same strategy.
Inside magazine issue 5, June 2014
Inside is Deloitte’s quarterly magazine offering an exclusive insight into best practices, trends and opportunities faced by our clients across all industries.
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