Innovation

embracing, nurturing, delivering

Success Factors

Customer

Simplicity

Teamwork

Retail Bank Re-start

3 Months Planning, 6 Months Execution

Profit: from ¥6.3B loss to ¥2.2B profit

Deposits ¥1.0 Trillion (25% YoY)

Revenue: ¥47.6B (16.3% YoY)

Profitable customer acquisition: from 8% to 54%

Share of Wallet: Upgraded 7% of customer base

⬇ Product rationalization: Goal 50%

ABC Bank Creating impact at

2009 and 2010 named by Asian Banker as the ‘No. 1. Retail Bank in Japan’

Nothing beats a great team!

DBS Chief Innovation Officer Introduction

Simply a lone nut with leadership aspirations

Exponential times

Banking is an information business

Personal Power A revolution in intelligence

More computing power than put man on the moon

Create the future

don’t patch the past

Digital Darwinism In the age of

Some banks won’t survive

Johanna Pung

Average life expectancy 1920

People S&P500 Companies

S&P Companies lived longer than people Professor Richard Foster from Yale University

Average life expectancy 2010

People S&P500 Companies

People live 5x longer than S&P500 companies Professor Richard Foster from Yale University

The average across all companies If you felt safe, I was exaggerating …

Companies are dying as kids McKinsey

In summary

0

10

20

30

40

50

60

70

80

1920 2010

Years

Life Expectancy

People S&P 500 Companies All Companies

Impact

Short lifecycles

Vertical adoption rates

Consumers

Driving

Change is accelerating

It’s a Pandemic Why is innovation accelerating?

http://www.flickr.com/photos/mendhak/6919674132/

Acquired Innovation Deficiency Syndrome

First to worst Extinction level event …

Easy to do this

Worst to first How to innovate?

But an apple a day …

John Reed CEO Citibank

“I never heard the word shareholder

value till the 90’s. It was customers,

customers, customers”

Steve Jobs CEO Apple

“You’ve got to start with the customer

experience and work backwards to the

technology”

Great CEO’s

But an apple a day …

Understand human nature Where to start?

What will customers buy? Why will they buy from you

Customer start here

To light a house? What is the easiest way …

Faster – Easier - Better

Photos8.com

To transport the the family? What is the easiest way …

Faster – Easier - Better

To access cash? What is the easiest way …

Faster – Easier - Better

What happens when you create …

Impact

Faster – Easier - Better

Irresistible relevance and ease of use

Sam Howzit

Takeaway

People are lazy

Aaron Y

Make life simple

Innovation My definition of …

KISS

Simplicity a step change for customers

© 2009 Stephen Monaghan

Understand human nature Where to focus?

What drives new behaviors?

Habit change is hard

How are customer habits changed? Bringing innovation inside

Recognizing habits Targeting change Effecting change

The Power of Habit by Charles Duhigg

Data Intelligence Social / Connectivity

A fine line between influential and invasive

Takeaway

People embrace familiar change

A fine line between influential and invasive

© 2009 Stephen Monaghan

8C’s of Innovation Driving Innovation Inside

Innovation success probability equals?

Probability

of

Success

= Customer x Clarity x Creativity

Simple

Sir Ken Robinson Who’s creative?

Don’t be limited by what you don’t know

8C’s of Innovation The basics

Innovation success probability equals?

or

Common Sense

Probability

of

Success

= Customer x Clarity x Creativity x Courage x Cohesion

Keep it simple

TED talks Leadership

is a piece of the puzzle http://www.ted.com/talks/derek_sivers_how_to_start_a_movement.html

8C’s of Innovation The basics

Innovation success probability equals?

Complexity

or

Common Sense

Probability

of

Success

=

“Complexity is at war with simplicity” – Ken Segall, Insanely Simple, The Obsession that Drives Apples Success

Customer x Clarity x Creativity x Courage x Cohesion x Commitment

Keep it simple

Takeaway

Teams effect change

Great teams win

© 2009 Stephen Monaghan

Contextual insight The challenge

Insight causing action

Information a commodity, insight remains invaluable

Information commoditization

http://farm1.staticflickr.com/4/7393410_1b9e9633fa_z.jpg?zz=1

Transparency creates trust

Money no longer made in the dark

Innovation

Asymmetry is competitive advantage

A continuous state of adaptation

Objective

The Future

Geoff Wong

Prepare to correct course frequently

Prediction is hard

The Future

It’s yours to create

Creation is easy

Kodomut

Thomas Edison

Execution is everything

JFDI Expert

Whether we

HLundgaard

Tap?

Banking

Or

Touch?

Banking

Or

http://www.flickr.com/photos/azugaldia/7457645618

Blink?

Banking

It’s not up to self

professed supermen

Great Teams Win

And we know

JFDI

© 2011 Stephen Monaghan

Exceptional

customer experiences

So make it real and create

And really JFDI

Only Sequel http://www.flickr.com/photos/antara365/2849958585/

감사합니다

ありがとうございます

谢谢

Thank you