The Information Age

How Financial Services organisations

can thrive in this data-centric environment

November 14, 2019 | Monica Hovsepian

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Monica Hovsepian

Monica Hovsepian is the Global Industry

Strategist for Financial Services at OpenText.

With more than two decades of financial

industry experience, Monica has become a

trusted subject matter expert in the Financial

Services industry, having worked with

numerous large and international banks

in North America, Europe and Asia.

A little about me…

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Agenda

• Embracing ‘platformification’ – meeting data governance standards

and the increasing customer expectations

• Moving to a single data platform that enables holistic information

flow, individualised customer engagement and secure transactions

• Achieving a consistent customer experience across all channels

and engagements to gain maximum wallet share

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Embracing platformification

• Our organisations are led, in part, by the

expectations of our customers and driven

by the regulations of our governing bodies

“Friction will be the biggest killer

of bank revenue in the next 10 years.”Brett King, Bank 4.0: Banking Everywhere, Never at a Bank

• To reduce friction, deliver insights and

provide better services, platform-based

businesses are being embraced by

consumers Source: Digital Banking Report © October 2019 Digital Banking Report

Deployed

at scalePartially

deployed

Limited

deployment

Still in

design phaseNo digital

transformation

strategy

17%

11%

27%

41%

4%

Deployment of digital transformation

still lags at most organisations

Q: Which of the below options best describes the stage of your

organisation’s digital transformation initiative? (chose one)

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Governance and expectations

Data privacy is perceived as

being a benefit to the customer

Data security is perceived as

a requirement of being an FSI

Data sharing is perceived as

being a benefit to the provider

79%

of consumers

are aware

of key data

privacy rights1

1. Deloitte, A new era for privacy–GDPR six months on (2018)

2. Which?, Open banking: 92% of the public in the dark (2017)

92%

of consumers

were not aware

of open banking2

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The benefits of platformification

Image source: PWC - Financial Services Technology 2020 and Beyond: Embracing disruption

1 million EU businesses

transact via online platforms

B2C eCommerce is forecasted

to reach €602 billion

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Is Banking prepared?

Source: Digital Banking Report © October 2019 Digital Banking Report

• Platformification is another digital

transformation project that needs

to be undertaken

• FSI executives are aware of

the opportunities, threats and

requirements driving platformification

• Being aware, does not mean actions

are in place to drive change

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Enabling holistic information flow

Source: Digital Banking Report © October 2019 Digital Banking Report

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Data privacy and security

1 World Economic Forum, Cyber risk is a growing challenge. So how can we prepare? (2018)2 Accenture, Cost of Cyber Crime: Financial Services (2019)3 The Clearing House, Fintech Apps and Data Privacy: New Insights from Consumer Research (2018)

$1 trillion+

Estimated U.S.

annual economic

cost of cybercrimes1

$18.28 million

Annual cost

of cybercrimes for

Financial Services2

9/10

Consumers in the U.S.

Are concerned about data

privacy and sharing3

Detection is as important as prevention

Confused

Tight security

Empowered

Open framework

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Achieving a consistent customer experience

Source: Digital Banking Report © October 2019 Digital Banking Report

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Gaining a platform advantage

• Managing information flow within our

businesses, with our partners and with

our customers is more important now than

ever before

• Fully embracing an ecosystem platform will

provide the biggest benefits to both consumers

and the organisations that service them

• Creating value from information flowing

both into and out of the organisation will be

the key to success

Source: Accenture – Brave New World of Digital Banking

By 2020, European

banks that exploit open

banking to become

digital leaders may

generate up to:

20%

21%

17%

12%

of lending

revenue pool

of current account

revenue pool

of payments

of retail investments

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