Reshaping the financial services landscape
For banks, insurers, FinTechs and technology incubators, today’s rate of technological and regulatory change is unprecedented. The FinTech phenomenon has shaken up the financial services sector at every level, challenging conventional thinking. With companies looking for new ways to create value, success is about optimizing processes while delivering better customer experiences and engagement.
- As consumers, we have more choice, information and control than ever before. With open banking, which allows individuals to share their finances with multiple financial providers and apps, we will have faster and better everyday tools; insurers too are harnessing data to offer more value.
- The arrival of GDPR and new open banking regulations are challenging financial services institutions and bringing major opportunities to reshape the services that touch all our lives.
- Financial services companies must embrace real-time analytics, robotic process automation, artificial intelligence and the Internet of Things. This is not just about more efficient processing: it is fundamental business transformation to create essential improvement in business agility.
- With the global megatrends of increased competition and changing ownership of financial infrastructures, new players and incumbents have to adapt faster and deeper to win and keep profitable market share.
Investing to deliver total transformation
Atos is investing in the financial services sector as a partner to banks, insurers, FinTechs and technology incubators, helping them to find new ways to create and deliver value through total transformation.
- Harnessing AI to improve performance. Ulster Bank has completed the world’s first full-scale implementation of the first ever comprehensive Customer Relationship Management (CRM) AI platform in financial services. Now the Bank has far better insights that enable front-line staff to make real-time decisions that are better for the Bank and its customers. The result? Increased sales revenue for Ulster Bank, accompanied by higher customer satisfaction.
- Data-driven insurance companies. Insurance companies are using data and analytics to deliver more targeted flexible products while minimizing their own portfolio risk and reducing the cost of re-insuring. Data and analytics are also deployed to remove friction from tedious and repetitive administrative work, in combination with artificial intelligence and robotic process automation.
- Optimizing financial services to complete. Given the rapid advances in technology, together with the new Payment Services Directive (PSD2) and the Government support for FinTechs in the UK, the future looks bright for new players. So how can more traditional institutions compete and meet changing customer expectations? The answer is total transformation: this enables businesses to become leaner, agile, future-proofed digital operations while continuously enhancing the experience of their customers.
- Embracing open banking. As regulations change, the ability to engage and add value to consumers is no longer just the preserve of banks; it will be shared with FinTechs, digital companies, retailers and other innovators. PSD2 is also the prelude to ongoing disruption as regulators liberate other parts of banking into the market. Institutions are acting not just to embrace PSD2, but to be ready for future directives.
In this newly disrupted space, very different types of organization must strive to achieve the same things: the ability constantly to flex and change, deliver new, innovative, and outstanding customer experiences, as well as operate efficiently and leverage vast amounts of data for differentiation and growth. Yet there are also specific challenges for incumbents who must achieve more agility and innovation or find their customer base gradually eroded. On the other side of the coin, smaller FinTechs need to innovate at scale, comply with regulation and above all, find markets and partners to realize their full potential.
Read the full Digital Vision for Financial Services paper to learn more atos.net/digital-vision-programme/digital-vision-financial-services
Digital Vision for Digital Britain
This article is part of the Atos Digital Vision for Digital Britain opinion paper. At a time where the pace of technological change has never been so fast, we explore how Atos applies cutting-edge technologies to prepare our clients for a new digital era.