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Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Find Out More<\/a><\/div>\n","post_title":"Commonwealth Bank of Australia Learns Digital Banking in Silicon Valley","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"commonwealth-bank-of-australia-learns-digital-banking-in-silicon-valley","to_ping":"","pinged":"","post_modified":"2020-02-26 05:43:28","post_modified_gmt":"2020-02-26 13:43:28","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/commonwealth-bank-of-australia-learns-digital-banking-in-silicon-valley\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"}],"next":false,"prev":false,"total_page":1},"paged":1,"column_class":"jeg_col_2o3","class":"epic_block_5"};
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Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

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\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n
\"Image<\/figure>\n\n\n\n

Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

\"Image<\/figure>\n\n\n\n

Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

\"Image<\/figure>\n\n\n\n

Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

\"Image<\/figure>\n\n\n\n

Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

\"Image<\/figure>\n\n\n\n

Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

\"Image<\/figure>\n\n\n\n

Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

\"Image<\/figure>\n\n\n\n

Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n

Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

\"Image<\/figure>\n\n\n\n

Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

\"<\/figure>\n\n\n\n

Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

Heading into the future<\/strong><\/h2>\n\n\n\n

During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


\n\n\n\n

Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

Search

Latest

\n
  1. Corporate innovation and startup engagement<\/li>
  2. The transformation of payments infrastructure<\/li>
  3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

    Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

    Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

    Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

    You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

    In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

    This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

    Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

    \"Image<\/figure>\n\n\n\n

    Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

    Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

    Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

    In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

    If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

    In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

    During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

    Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

    Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

    Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

    Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

    A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

    However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

    Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

    If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

    The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

    During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

    \"<\/figure>\n\n\n\n

    Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

    Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

    Heading into the future<\/strong><\/h2>\n\n\n\n

    During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

    Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


    \n\n\n\n

    Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

    Search

    Latest

    \n

    The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

    1. Corporate innovation and startup engagement<\/li>
    2. The transformation of payments infrastructure<\/li>
    3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

      Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

      Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

      Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

      You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

      In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

      This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

      Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

      \"Image<\/figure>\n\n\n\n

      Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

      Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

      Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

      In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

      If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

      In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

      During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

      Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

      Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

      Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

      Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

      A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

      However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

      Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

      If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

      The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

      During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

      \"<\/figure>\n\n\n\n

      Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

      Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

      Heading into the future<\/strong><\/h2>\n\n\n\n

      During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

      Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


      \n\n\n\n

      Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

      Search

      Latest

      \n

      As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

      The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

      1. Corporate innovation and startup engagement<\/li>
      2. The transformation of payments infrastructure<\/li>
      3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

        Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

        Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

        Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

        You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

        In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

        This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

        Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

        \"Image<\/figure>\n\n\n\n

        Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

        Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

        Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

        In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

        If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

        In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

        During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

        Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

        Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

        Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

        Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

        A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

        However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

        Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

        If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

        The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

        During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

        \"<\/figure>\n\n\n\n

        Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

        Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

        Heading into the future<\/strong><\/h2>\n\n\n\n

        During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

        Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


        \n\n\n\n

        Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

        Search

        Latest

        \n

        Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

        As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

        The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

        1. Corporate innovation and startup engagement<\/li>
        2. The transformation of payments infrastructure<\/li>
        3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

          Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

          Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

          Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

          You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

          In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

          This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

          Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

          \"Image<\/figure>\n\n\n\n

          Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

          Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

          Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

          In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

          If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

          In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

          During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

          Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

          Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

          Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

          Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

          A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

          However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

          Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

          If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

          The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

          During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

          \"<\/figure>\n\n\n\n

          Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

          Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

          Heading into the future<\/strong><\/h2>\n\n\n\n

          During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

          Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


          \n\n\n\n

          Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

          Search

          Latest

          \n

          For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

          Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

          As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

          The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

          1. Corporate innovation and startup engagement<\/li>
          2. The transformation of payments infrastructure<\/li>
          3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

            Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

            Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

            Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

            You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

            In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

            This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

            Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

            \"Image<\/figure>\n\n\n\n

            Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

            Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

            Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

            In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

            If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

            In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

            During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

            Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

            Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

            Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

            Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

            A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

            However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

            Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

            If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

            The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

            During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

            \"<\/figure>\n\n\n\n

            Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

            Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

            Heading into the future<\/strong><\/h2>\n\n\n\n

            During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

            Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


            \n\n\n\n

            Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

            Search

            Latest

            \n

            While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

            For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

            Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

            As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

            The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

            1. Corporate innovation and startup engagement<\/li>
            2. The transformation of payments infrastructure<\/li>
            3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

              Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

              Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

              Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

              You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

              In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

              This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

              Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

              \"Image<\/figure>\n\n\n\n

              Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

              Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

              Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

              In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

              If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

              In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

              During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

              Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

              Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

              Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

              Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

              A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

              However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

              Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

              If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

              The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

              During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

              \"<\/figure>\n\n\n\n

              Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

              Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

              Heading into the future<\/strong><\/h2>\n\n\n\n

              During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

              Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


              \n\n\n\n

              Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

              Search

              Latest

              \n

              Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

              While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

              For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

              Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

              As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

              The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

              1. Corporate innovation and startup engagement<\/li>
              2. The transformation of payments infrastructure<\/li>
              3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                \"Image<\/figure>\n\n\n\n

                Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                \"<\/figure>\n\n\n\n

                Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                Heading into the future<\/strong><\/h2>\n\n\n\n

                During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                \n\n\n\n

                Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                Search

                Latest

                \n

                Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                1. Corporate innovation and startup engagement<\/li>
                2. The transformation of payments infrastructure<\/li>
                3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                  Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                  Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                  Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                  You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                  In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                  This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                  Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                  \"Image<\/figure>\n\n\n\n

                  Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                  Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                  Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                  In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                  If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                  In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                  During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                  Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                  Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                  Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                  Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                  A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                  However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                  Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                  If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                  The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                  During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                  \"<\/figure>\n\n\n\n

                  Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                  Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                  Heading into the future<\/strong><\/h2>\n\n\n\n

                  During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                  Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                  \n\n\n\n

                  Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                  Search

                  Latest

                  \n

                  As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                  Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                  Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                  While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                  For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                  Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                  As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                  The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                  1. Corporate innovation and startup engagement<\/li>
                  2. The transformation of payments infrastructure<\/li>
                  3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                    Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                    Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                    Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                    You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                    In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                    This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                    Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                    \"Image<\/figure>\n\n\n\n

                    Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                    Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                    Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                    In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                    If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                    In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                    During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                    Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                    Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                    Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                    Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                    A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                    However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                    Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                    If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                    The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                    During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                    \"<\/figure>\n\n\n\n

                    Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                    Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                    Heading into the future<\/strong><\/h2>\n\n\n\n

                    During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                    Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                    \n\n\n\n

                    Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                    Search

                    Latest

                    \n

                    The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                    As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                    Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                    Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                    While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                    For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                    Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                    As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                    The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                    1. Corporate innovation and startup engagement<\/li>
                    2. The transformation of payments infrastructure<\/li>
                    3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                      Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                      Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                      Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                      You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                      In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                      This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                      Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                      \"Image<\/figure>\n\n\n\n

                      Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                      Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                      Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                      In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                      If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                      In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                      During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                      Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                      Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                      Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                      Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                      A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                      However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                      Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                      If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                      The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                      During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                      \"<\/figure>\n\n\n\n

                      Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                      Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                      Heading into the future<\/strong><\/h2>\n\n\n\n

                      During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                      Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                      \n\n\n\n

                      Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                      Search

                      Latest

                      \n

                      When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                      The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                      As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                      Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                      Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                      While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                      For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                      Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                      As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                      The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                      1. Corporate innovation and startup engagement<\/li>
                      2. The transformation of payments infrastructure<\/li>
                      3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                        Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                        Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                        Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                        You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                        In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                        This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                        Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                        \"Image<\/figure>\n\n\n\n

                        Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                        Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                        Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                        In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                        If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                        In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                        During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                        Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                        Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                        Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                        Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                        A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                        However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                        Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                        If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                        The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                        During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                        \"<\/figure>\n\n\n\n

                        Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                        Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                        Heading into the future<\/strong><\/h2>\n\n\n\n

                        During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                        Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                        \n\n\n\n

                        Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                        Search

                        Latest

                        \n

                        5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                        When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                        The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                        As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                        Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                        Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                        While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                        For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                        Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                        As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                        The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                        1. Corporate innovation and startup engagement<\/li>
                        2. The transformation of payments infrastructure<\/li>
                        3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                          Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                          Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                          Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                          You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                          In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                          This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                          Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                          \"Image<\/figure>\n\n\n\n

                          Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                          Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                          Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                          In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                          If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                          In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                          During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                          Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                          Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                          Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                          Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                          A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                          However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                          Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                          If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                          The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                          During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                          \"<\/figure>\n\n\n\n

                          Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                          Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                          Heading into the future<\/strong><\/h2>\n\n\n\n

                          During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                          Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                          \n\n\n\n

                          Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                          Search

                          Latest

                          \n

                          To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                          5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                          When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                          The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                          As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                          Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                          Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                          While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                          For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                          Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                          As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                          The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                          1. Corporate innovation and startup engagement<\/li>
                          2. The transformation of payments infrastructure<\/li>
                          3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                            Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                            Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                            Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                            You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                            In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                            This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                            Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                            \"Image<\/figure>\n\n\n\n

                            Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                            Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                            Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                            In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                            If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                            In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                            During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                            Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                            Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                            Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                            Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                            A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                            However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                            Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                            If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                            The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                            During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                            \"<\/figure>\n\n\n\n

                            Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                            Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                            Heading into the future<\/strong><\/h2>\n\n\n\n

                            During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                            Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                            \n\n\n\n

                            Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                            Search

                            Latest

                            \n

                            In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                            To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                            5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                            When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                            The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                            As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                            Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                            Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                            While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                            For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                            Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                            As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                            The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                            1. Corporate innovation and startup engagement<\/li>
                            2. The transformation of payments infrastructure<\/li>
                            3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                              Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                              Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                              Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                              You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                              In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                              This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                              Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                              \"Image<\/figure>\n\n\n\n

                              Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                              Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                              Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                              In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                              If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                              In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                              During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                              Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                              Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                              Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                              Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                              A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                              However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                              Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                              If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                              The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                              During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                              \"<\/figure>\n\n\n\n

                              Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                              Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                              Heading into the future<\/strong><\/h2>\n\n\n\n

                              During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                              Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                              \n\n\n\n

                              Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                              Search

                              Latest

                              \n

                              While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                              In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                              To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                              5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                              When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                              The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                              As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                              Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                              Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                              While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                              For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                              Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                              As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                              The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                              1. Corporate innovation and startup engagement<\/li>
                              2. The transformation of payments infrastructure<\/li>
                              3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                \"Image<\/figure>\n\n\n\n

                                Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                \"<\/figure>\n\n\n\n

                                Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                Heading into the future<\/strong><\/h2>\n\n\n\n

                                During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                \n\n\n\n

                                Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                Search

                                Latest

                                \n

                                Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                1. Corporate innovation and startup engagement<\/li>
                                2. The transformation of payments infrastructure<\/li>
                                3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                  Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                  Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                  Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                  You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                  In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                  This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                  Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                  \"Image<\/figure>\n\n\n\n

                                  Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                  Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                  Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                  In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                  If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                  In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                  During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                  Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                  Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                  Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                  Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                  A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                  However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                  Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                  If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                  The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                  During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                  \"<\/figure>\n\n\n\n

                                  Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                  Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                  Heading into the future<\/strong><\/h2>\n\n\n\n

                                  During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                  Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                  \n\n\n\n

                                  Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                  Search

                                  Latest

                                  \n

                                  4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                  Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                  While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                  In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                  To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                  5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                  When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                  The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                  As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                  Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                  Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                  While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                  For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                  Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                  As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                  The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                  1. Corporate innovation and startup engagement<\/li>
                                  2. The transformation of payments infrastructure<\/li>
                                  3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                    Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                    Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                    Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                    You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                    In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                    This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                    Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                    \"Image<\/figure>\n\n\n\n

                                    Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                    Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                    Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                    In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                    If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                    In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                    During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                    Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                    Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                    Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                    Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                    A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                    However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                    Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                    If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                    The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                    During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                    \"<\/figure>\n\n\n\n

                                    Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                    Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                    Heading into the future<\/strong><\/h2>\n\n\n\n

                                    During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                    Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                    \n\n\n\n

                                    Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                    Search

                                    Latest

                                    \n

                                    Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                    4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                    Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                    While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                    In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                    To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                    5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                    When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                    The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                    As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                    Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                    Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                    While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                    For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                    Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                    As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                    The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                    1. Corporate innovation and startup engagement<\/li>
                                    2. The transformation of payments infrastructure<\/li>
                                    3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                      Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                      Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                      Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                      You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                      In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                      This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                      Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                      \"Image<\/figure>\n\n\n\n

                                      Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                      Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                      Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                      In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                      If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                      In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                      During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                      Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                      Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                      Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                      Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                      A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                      However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                      Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                      If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                      The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                      During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                      \"<\/figure>\n\n\n\n

                                      Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                      Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                      Heading into the future<\/strong><\/h2>\n\n\n\n

                                      During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                      Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                      \n\n\n\n

                                      Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                      Search

                                      Latest

                                      \n

                                      Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                      Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                      4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                      Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                      While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                      In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                      To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                      5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                      When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                      The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                      As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                      Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                      Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                      While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                      For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                      Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                      As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                      The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                      1. Corporate innovation and startup engagement<\/li>
                                      2. The transformation of payments infrastructure<\/li>
                                      3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                        Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                        Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                        Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                        You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                        In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                        This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                        Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                        \"Image<\/figure>\n\n\n\n

                                        Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                        Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                        Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                        In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                        If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                        In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                        During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                        Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                        Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                        Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                        Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                        A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                        However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                        Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                        If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                        The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                        During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                        \"<\/figure>\n\n\n\n

                                        Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                        Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                        Heading into the future<\/strong><\/h2>\n\n\n\n

                                        During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                        Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                        \n\n\n\n

                                        Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                        Search

                                        Latest

                                        \n

                                        3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                        Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                        Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                        4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                        Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                        While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                        In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                        To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                        5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                        When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                        The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                        As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                        Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                        Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                        While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                        For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                        Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                        As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                        The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                        1. Corporate innovation and startup engagement<\/li>
                                        2. The transformation of payments infrastructure<\/li>
                                        3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                          Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                          Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                          Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                          You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                          In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                          This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                          Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                          \"Image<\/figure>\n\n\n\n

                                          Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                          Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                          Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                          In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                          If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                          In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                          During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                          Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                          Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                          Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                          Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                          A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                          However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                          Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                          If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                          The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                          During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                          \"<\/figure>\n\n\n\n

                                          Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                          Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                          Heading into the future<\/strong><\/h2>\n\n\n\n

                                          During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                          Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                          \n\n\n\n

                                          Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                          Search

                                          Latest

                                          \n

                                          For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                          3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                          Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                          Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                          4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                          Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                          While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                          In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                          To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                          5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                          When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                          The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                          As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                          Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                          Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                          While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                          For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                          Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                          As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                          The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                          1. Corporate innovation and startup engagement<\/li>
                                          2. The transformation of payments infrastructure<\/li>
                                          3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                            Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                            Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                            Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                            You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                            In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                            This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                            Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                            \"Image<\/figure>\n\n\n\n

                                            Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                            Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                            Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                            In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                            If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                            In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                            During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                            Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                            Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                            Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                            Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                            A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                            However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                            Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                            If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                            The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                            During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                            \"<\/figure>\n\n\n\n

                                            Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                            Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                            Heading into the future<\/strong><\/h2>\n\n\n\n

                                            During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                            Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                            \n\n\n\n

                                            Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                            Search

                                            Latest

                                            \n

                                            Transformational innovation is allocated to specialized teams within R&D, innovation labs and corporate VC. They are accorded the time and bandwidth to focus on aggressively pursuing transformational innovation.<\/p>\n\n\n\n

                                            For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                            3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                            Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                            Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                            4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                            Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                            While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                            In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                            To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                            5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                            When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                            The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                            As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                            Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                            Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                            While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                            For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                            Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                            As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                            The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                            1. Corporate innovation and startup engagement<\/li>
                                            2. The transformation of payments infrastructure<\/li>
                                            3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                              Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                              Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                              Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                              You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                              In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                              This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                              Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                              \"Image<\/figure>\n\n\n\n

                                              Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                              Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                              Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                              In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                              If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                              In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                              During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                              Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                              Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                              Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                              Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                              A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                              However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                              Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                              If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                              The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                              During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                              \"<\/figure>\n\n\n\n

                                              Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                              Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                              Heading into the future<\/strong><\/h2>\n\n\n\n

                                              During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                              Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                              \n\n\n\n

                                              Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                              Search

                                              Latest

                                              \n

                                              Resourcing competing innovation priorities must be a well-choreographed affair. Top companies understand this and so resource each type of innovation differently across the entire organization. Incremental innovation is cascaded to business units, making them responsible for improvements to existing offerings. Adjacent innovation is delegated to middle-level management, which looks for adjacent interdepartmental opportunities.<\/p>\n\n\n\n

                                              Transformational innovation is allocated to specialized teams within R&D, innovation labs and corporate VC. They are accorded the time and bandwidth to focus on aggressively pursuing transformational innovation.<\/p>\n\n\n\n

                                              For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                              3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                              Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                              Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                              4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                              Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                              While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                              In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                              To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                              5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                              When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                              The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                              As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                              Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                              Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                              While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                              For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                              Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                              As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                              The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                              1. Corporate innovation and startup engagement<\/li>
                                              2. The transformation of payments infrastructure<\/li>
                                              3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                                Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                                Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                                Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                                You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                                In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                                This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                                Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                                \"Image<\/figure>\n\n\n\n

                                                Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                                Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                                Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                                In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                                If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                                In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                                During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                                Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                                Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                                Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                                Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                                A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                                However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                                Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                                If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                                The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                                During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                                \"<\/figure>\n\n\n\n

                                                Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                                Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                                Heading into the future<\/strong><\/h2>\n\n\n\n

                                                During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                                Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                                \n\n\n\n

                                                Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                                Search

                                                Latest

                                                \n

                                                2. They Understand the Importance of Having the Right Innovation Team in Place<\/h2>\n\n\n\n

                                                Resourcing competing innovation priorities must be a well-choreographed affair. Top companies understand this and so resource each type of innovation differently across the entire organization. Incremental innovation is cascaded to business units, making them responsible for improvements to existing offerings. Adjacent innovation is delegated to middle-level management, which looks for adjacent interdepartmental opportunities.<\/p>\n\n\n\n

                                                Transformational innovation is allocated to specialized teams within R&D, innovation labs and corporate VC. They are accorded the time and bandwidth to focus on aggressively pursuing transformational innovation.<\/p>\n\n\n\n

                                                For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                                3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                                Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                                Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                                4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                                Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                                While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                                In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                                To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                                5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                                When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                                The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                                As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                                Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                                Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                                While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                                For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                                Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                                As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                                The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                                1. Corporate innovation and startup engagement<\/li>
                                                2. The transformation of payments infrastructure<\/li>
                                                3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                                  Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                                  Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                                  Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                                  You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                                  In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                                  This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                                  Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                                  \"Image<\/figure>\n\n\n\n

                                                  Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                                  Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                                  Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                                  In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                                  If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                                  In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                                  During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                                  Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                                  Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                                  Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                                  Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                                  A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                                  However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                                  Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                                  If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                                  The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                                  During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                                  \"<\/figure>\n\n\n\n

                                                  Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                                  Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                                  Heading into the future<\/strong><\/h2>\n\n\n\n

                                                  During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                                  Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                                  \n\n\n\n

                                                  Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                                  Search

                                                  Latest

                                                  \n

                                                  Top Silicon Valley companies have a matrix that allocates 40% to incremental, 30% to adjacent and 30% to transformational. By allocating comparatively more resources to transformational innovation, these top companies anticipate and capitalize on market changes well before other companies catch on.<\/p>\n\n\n\n

                                                  2. They Understand the Importance of Having the Right Innovation Team in Place<\/h2>\n\n\n\n

                                                  Resourcing competing innovation priorities must be a well-choreographed affair. Top companies understand this and so resource each type of innovation differently across the entire organization. Incremental innovation is cascaded to business units, making them responsible for improvements to existing offerings. Adjacent innovation is delegated to middle-level management, which looks for adjacent interdepartmental opportunities.<\/p>\n\n\n\n

                                                  Transformational innovation is allocated to specialized teams within R&D, innovation labs and corporate VC. They are accorded the time and bandwidth to focus on aggressively pursuing transformational innovation.<\/p>\n\n\n\n

                                                  For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                                  3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                                  Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                                  Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                                  4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                                  Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                                  While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                                  In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                                  To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                                  5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                                  When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                                  The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                                  As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                                  Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                                  Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                                  While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                                  For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                                  Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                                  As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                                  The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                                  1. Corporate innovation and startup engagement<\/li>
                                                  2. The transformation of payments infrastructure<\/li>
                                                  3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                                    Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                                    Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                                    Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                                    You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                                    In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                                    This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                                    Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                                    \"Image<\/figure>\n\n\n\n

                                                    Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                                    Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                                    Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                                    In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                                    If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                                    In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                                    During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                                    Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                                    Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                                    Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                                    Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                                    A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                                    However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                                    Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                                    If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                                    The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                                    During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                                    \"<\/figure>\n\n\n\n

                                                    Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                                    Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                                    Heading into the future<\/strong><\/h2>\n\n\n\n

                                                    During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                                    Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                                    \n\n\n\n

                                                    Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                                    Search

                                                    Latest

                                                    \n

                                                    Although many companies practice both types of innovation, top Silicon Valley companies differ when it comes to the matrix of such initiatives. For most companies, a typical innovation matrix involves 50% of time spent on incremental innovation\/ improvements, 30% on adjacent innovation opportunities and 20% on transformational innovation.<\/p>\n\n\n\n

                                                    Top Silicon Valley companies have a matrix that allocates 40% to incremental, 30% to adjacent and 30% to transformational. By allocating comparatively more resources to transformational innovation, these top companies anticipate and capitalize on market changes well before other companies catch on.<\/p>\n\n\n\n

                                                    2. They Understand the Importance of Having the Right Innovation Team in Place<\/h2>\n\n\n\n

                                                    Resourcing competing innovation priorities must be a well-choreographed affair. Top companies understand this and so resource each type of innovation differently across the entire organization. Incremental innovation is cascaded to business units, making them responsible for improvements to existing offerings. Adjacent innovation is delegated to middle-level management, which looks for adjacent interdepartmental opportunities.<\/p>\n\n\n\n

                                                    Transformational innovation is allocated to specialized teams within R&D, innovation labs and corporate VC. They are accorded the time and bandwidth to focus on aggressively pursuing transformational innovation.<\/p>\n\n\n\n

                                                    For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                                    3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                                    Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                                    Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                                    4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                                    Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                                    While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                                    In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                                    To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                                    5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                                    When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                                    The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                                    As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                                    Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                                    Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                                    While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                                    For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                                    Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                                    As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                                    The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                                    1. Corporate innovation and startup engagement<\/li>
                                                    2. The transformation of payments infrastructure<\/li>
                                                    3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                                      Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                                      Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                                      Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                                      You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                                      In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                                      This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                                      Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                                      \"Image<\/figure>\n\n\n\n

                                                      Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                                      Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                                      Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                                      In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                                      If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                                      In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                                      During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                                      Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                                      Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                                      Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                                      Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                                      A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                                      However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                                      Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                                      If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                                      The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                                      During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                                      \"<\/figure>\n\n\n\n

                                                      Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                                      Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                                      Heading into the future<\/strong><\/h2>\n\n\n\n

                                                      During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                                      Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                                      \n\n\n\n

                                                      Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                                      Search

                                                      Latest

                                                      \n

                                                      The most innovative companies in Silicon Valley see transformational innovation as the key to sustained growth as compared to incremental innovation. Transformational innovations are radical initiatives that lead to entirely new products or business models. Incremental innovation, on the other hand, focuses on improving existing products to increase efficiency, profitability or market share.<\/p>\n\n\n\n

                                                      Although many companies practice both types of innovation, top Silicon Valley companies differ when it comes to the matrix of such initiatives. For most companies, a typical innovation matrix involves 50% of time spent on incremental innovation\/ improvements, 30% on adjacent innovation opportunities and 20% on transformational innovation.<\/p>\n\n\n\n

                                                      Top Silicon Valley companies have a matrix that allocates 40% to incremental, 30% to adjacent and 30% to transformational. By allocating comparatively more resources to transformational innovation, these top companies anticipate and capitalize on market changes well before other companies catch on.<\/p>\n\n\n\n

                                                      2. They Understand the Importance of Having the Right Innovation Team in Place<\/h2>\n\n\n\n

                                                      Resourcing competing innovation priorities must be a well-choreographed affair. Top companies understand this and so resource each type of innovation differently across the entire organization. Incremental innovation is cascaded to business units, making them responsible for improvements to existing offerings. Adjacent innovation is delegated to middle-level management, which looks for adjacent interdepartmental opportunities.<\/p>\n\n\n\n

                                                      Transformational innovation is allocated to specialized teams within R&D, innovation labs and corporate VC. They are accorded the time and bandwidth to focus on aggressively pursuing transformational innovation.<\/p>\n\n\n\n

                                                      For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                                      3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                                      Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                                      Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                                      4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                                      Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                                      While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                                      In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                                      To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                                      5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                                      When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                                      The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                                      As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                                      Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                                      Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                                      While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                                      For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                                      Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                                      As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                                      The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                                      1. Corporate innovation and startup engagement<\/li>
                                                      2. The transformation of payments infrastructure<\/li>
                                                      3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                                        Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                                        Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                                        Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                                        You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                                        In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                                        This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                                        Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                                        \"Image<\/figure>\n\n\n\n

                                                        Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                                        Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                                        Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                                        In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                                        If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                                        In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                                        During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                                        Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                                        Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                                        Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                                        Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                                        A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                                        However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                                        Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                                        If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                                        The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                                        During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                                        \"<\/figure>\n\n\n\n

                                                        Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                                        Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                                        Heading into the future<\/strong><\/h2>\n\n\n\n

                                                        During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                                        Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                                        \n\n\n\n

                                                        Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                                        Search

                                                        Latest

                                                        \n

                                                        1. They Focus More on Transformational Innovation and Not Just Incremental Innovation Practices<\/h2>\n\n\n\n

                                                        The most innovative companies in Silicon Valley see transformational innovation as the key to sustained growth as compared to incremental innovation. Transformational innovations are radical initiatives that lead to entirely new products or business models. Incremental innovation, on the other hand, focuses on improving existing products to increase efficiency, profitability or market share.<\/p>\n\n\n\n

                                                        Although many companies practice both types of innovation, top Silicon Valley companies differ when it comes to the matrix of such initiatives. For most companies, a typical innovation matrix involves 50% of time spent on incremental innovation\/ improvements, 30% on adjacent innovation opportunities and 20% on transformational innovation.<\/p>\n\n\n\n

                                                        Top Silicon Valley companies have a matrix that allocates 40% to incremental, 30% to adjacent and 30% to transformational. By allocating comparatively more resources to transformational innovation, these top companies anticipate and capitalize on market changes well before other companies catch on.<\/p>\n\n\n\n

                                                        2. They Understand the Importance of Having the Right Innovation Team in Place<\/h2>\n\n\n\n

                                                        Resourcing competing innovation priorities must be a well-choreographed affair. Top companies understand this and so resource each type of innovation differently across the entire organization. Incremental innovation is cascaded to business units, making them responsible for improvements to existing offerings. Adjacent innovation is delegated to middle-level management, which looks for adjacent interdepartmental opportunities.<\/p>\n\n\n\n

                                                        Transformational innovation is allocated to specialized teams within R&D, innovation labs and corporate VC. They are accorded the time and bandwidth to focus on aggressively pursuing transformational innovation.<\/p>\n\n\n\n

                                                        For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                                        3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                                        Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                                        Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                                        4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                                        Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                                        While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                                        In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                                        To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                                        5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                                        When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                                        The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                                        As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                                        Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                                        Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                                        While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                                        For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                                        Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                                        As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                                        The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                                        1. Corporate innovation and startup engagement<\/li>
                                                        2. The transformation of payments infrastructure<\/li>
                                                        3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                                          Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                                          Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                                          Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                                          You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                                          In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                                          This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                                          Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                                          \"Image<\/figure>\n\n\n\n

                                                          Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                                          Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                                          Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                                          In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                                          If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                                          In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                                          During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                                          Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                                          Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                                          Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                                          Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                                          A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                                          However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                                          Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                                          If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                                          The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                                          During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                                          \"<\/figure>\n\n\n\n

                                                          Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                                          Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                                          Heading into the future<\/strong><\/h2>\n\n\n\n

                                                          During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                                          Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                                          \n\n\n\n

                                                          Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                                          Search

                                                          Latest

                                                          \n

                                                          How do they manage to remain so innovative while other equally well-resourced organizations falter? To answer this question, we highlight five innovation practices these top Silicon Valley companies share.<\/p>\n\n\n\n

                                                          1. They Focus More on Transformational Innovation and Not Just Incremental Innovation Practices<\/h2>\n\n\n\n

                                                          The most innovative companies in Silicon Valley see transformational innovation as the key to sustained growth as compared to incremental innovation. Transformational innovations are radical initiatives that lead to entirely new products or business models. Incremental innovation, on the other hand, focuses on improving existing products to increase efficiency, profitability or market share.<\/p>\n\n\n\n

                                                          Although many companies practice both types of innovation, top Silicon Valley companies differ when it comes to the matrix of such initiatives. For most companies, a typical innovation matrix involves 50% of time spent on incremental innovation\/ improvements, 30% on adjacent innovation opportunities and 20% on transformational innovation.<\/p>\n\n\n\n

                                                          Top Silicon Valley companies have a matrix that allocates 40% to incremental, 30% to adjacent and 30% to transformational. By allocating comparatively more resources to transformational innovation, these top companies anticipate and capitalize on market changes well before other companies catch on.<\/p>\n\n\n\n

                                                          2. They Understand the Importance of Having the Right Innovation Team in Place<\/h2>\n\n\n\n

                                                          Resourcing competing innovation priorities must be a well-choreographed affair. Top companies understand this and so resource each type of innovation differently across the entire organization. Incremental innovation is cascaded to business units, making them responsible for improvements to existing offerings. Adjacent innovation is delegated to middle-level management, which looks for adjacent interdepartmental opportunities.<\/p>\n\n\n\n

                                                          Transformational innovation is allocated to specialized teams within R&D, innovation labs and corporate VC. They are accorded the time and bandwidth to focus on aggressively pursuing transformational innovation.<\/p>\n\n\n\n

                                                          For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                                          3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                                          Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                                          Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                                          4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                                          Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                                          While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                                          In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                                          To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                                          5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                                          When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                                          The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                                          As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                                          Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                                          Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                                          While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                                          For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                                          Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                                          As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                                          The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                                          1. Corporate innovation and startup engagement<\/li>
                                                          2. The transformation of payments infrastructure<\/li>
                                                          3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                                            Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                                            Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                                            Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                                            You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                                            In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                                            This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                                            Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                                            \"Image<\/figure>\n\n\n\n

                                                            Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                                            Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                                            Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                                            In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                                            If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                                            In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                                            During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                                            Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                                            Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                                            Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                                            Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                                            A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                                            However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                                            Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                                            If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                                            The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                                            During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                                            \"<\/figure>\n\n\n\n

                                                            Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                                            Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                                            Heading into the future<\/strong><\/h2>\n\n\n\n

                                                            During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                                            Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                                            \n\n\n\n

                                                            Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                                            Search

                                                            Latest

                                                            \n

                                                            This points to the fact that no company gets innovation correct year after year. Enterprises that beat these trends to remain at the top of their industries include Apple, Google, Microsoft, Amazon, and other top Silicon Valley companies.<\/p>\n\n\n\n

                                                            How do they manage to remain so innovative while other equally well-resourced organizations falter? To answer this question, we highlight five innovation practices these top Silicon Valley companies share.<\/p>\n\n\n\n

                                                            1. They Focus More on Transformational Innovation and Not Just Incremental Innovation Practices<\/h2>\n\n\n\n

                                                            The most innovative companies in Silicon Valley see transformational innovation as the key to sustained growth as compared to incremental innovation. Transformational innovations are radical initiatives that lead to entirely new products or business models. Incremental innovation, on the other hand, focuses on improving existing products to increase efficiency, profitability or market share.<\/p>\n\n\n\n

                                                            Although many companies practice both types of innovation, top Silicon Valley companies differ when it comes to the matrix of such initiatives. For most companies, a typical innovation matrix involves 50% of time spent on incremental innovation\/ improvements, 30% on adjacent innovation opportunities and 20% on transformational innovation.<\/p>\n\n\n\n

                                                            Top Silicon Valley companies have a matrix that allocates 40% to incremental, 30% to adjacent and 30% to transformational. By allocating comparatively more resources to transformational innovation, these top companies anticipate and capitalize on market changes well before other companies catch on.<\/p>\n\n\n\n

                                                            2. They Understand the Importance of Having the Right Innovation Team in Place<\/h2>\n\n\n\n

                                                            Resourcing competing innovation priorities must be a well-choreographed affair. Top companies understand this and so resource each type of innovation differently across the entire organization. Incremental innovation is cascaded to business units, making them responsible for improvements to existing offerings. Adjacent innovation is delegated to middle-level management, which looks for adjacent interdepartmental opportunities.<\/p>\n\n\n\n

                                                            Transformational innovation is allocated to specialized teams within R&D, innovation labs and corporate VC. They are accorded the time and bandwidth to focus on aggressively pursuing transformational innovation.<\/p>\n\n\n\n

                                                            For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                                            3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                                            Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                                            Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                                            4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                                            Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                                            While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                                            In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                                            To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                                            5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                                            When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                                            The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                                            As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                                            Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                                            Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                                            While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                                            For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                                            Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                                            As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                                            The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                                            1. Corporate innovation and startup engagement<\/li>
                                                            2. The transformation of payments infrastructure<\/li>
                                                            3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                                              Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                                              Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                                              Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                                              You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                                              In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                                              This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                                              Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                                              \"Image<\/figure>\n\n\n\n

                                                              Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                                              Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                                              Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                                              In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                                              If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                                              In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                                              During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                                              Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                                              Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                                              Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                                              Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                                              A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                                              However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                                              Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                                              If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                                              The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                                              During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                                              \"<\/figure>\n\n\n\n

                                                              Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                                              Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                                              Heading into the future<\/strong><\/h2>\n\n\n\n

                                                              During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                                              Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                                              \n\n\n\n

                                                              Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

                                                              Search

                                                              Latest

                                                              \n

                                                              It\u2019s no secret that innovation practices is difficult. According to a top innovators list published by Boston Consulting Group (BCG)<\/a>, even major companies like General Electric and Proctor and Gamble, both considered highly innovative companies, rise, and fall in the rankings each year.<\/p>\n\n\n\n

                                                              This points to the fact that no company gets innovation correct year after year. Enterprises that beat these trends to remain at the top of their industries include Apple, Google, Microsoft, Amazon, and other top Silicon Valley companies.<\/p>\n\n\n\n

                                                              How do they manage to remain so innovative while other equally well-resourced organizations falter? To answer this question, we highlight five innovation practices these top Silicon Valley companies share.<\/p>\n\n\n\n

                                                              1. They Focus More on Transformational Innovation and Not Just Incremental Innovation Practices<\/h2>\n\n\n\n

                                                              The most innovative companies in Silicon Valley see transformational innovation as the key to sustained growth as compared to incremental innovation. Transformational innovations are radical initiatives that lead to entirely new products or business models. Incremental innovation, on the other hand, focuses on improving existing products to increase efficiency, profitability or market share.<\/p>\n\n\n\n

                                                              Although many companies practice both types of innovation, top Silicon Valley companies differ when it comes to the matrix of such initiatives. For most companies, a typical innovation matrix involves 50% of time spent on incremental innovation\/ improvements, 30% on adjacent innovation opportunities and 20% on transformational innovation.<\/p>\n\n\n\n

                                                              Top Silicon Valley companies have a matrix that allocates 40% to incremental, 30% to adjacent and 30% to transformational. By allocating comparatively more resources to transformational innovation, these top companies anticipate and capitalize on market changes well before other companies catch on.<\/p>\n\n\n\n

                                                              2. They Understand the Importance of Having the Right Innovation Team in Place<\/h2>\n\n\n\n

                                                              Resourcing competing innovation priorities must be a well-choreographed affair. Top companies understand this and so resource each type of innovation differently across the entire organization. Incremental innovation is cascaded to business units, making them responsible for improvements to existing offerings. Adjacent innovation is delegated to middle-level management, which looks for adjacent interdepartmental opportunities.<\/p>\n\n\n\n

                                                              Transformational innovation is allocated to specialized teams within R&D, innovation labs and corporate VC. They are accorded the time and bandwidth to focus on aggressively pursuing transformational innovation.<\/p>\n\n\n\n

                                                              For instance, Google X and Google Ventures each pursue core transformational innovation mandates that explore radically different products and business models for the parent company, Alphabet. By properly allocating human resources, top Silicon Valley companies manage to outpace other large companies on the innovation front.<\/p>\n\n\n\n

                                                              3. They Support Innovation Through Effective Incentives<\/h2>\n\n\n\n

                                                              Benchmarking Innovation Impact 2018<\/a>, a report by Innovation Leader, found that only 35% of respondents said their company incentivized innovation. The story is different when it comes to top innovative companies, 80% of which have innovation incentive programs in place. These findings demonstrate the correlation between effective incentives and developing an innovation culture. But, what kind of incentives effectively fuel innovation?<\/p>\n\n\n\n

                                                              Incentives can be anything from innovation labs to offering employees time to work on innovation side projects (such as the famous FedEx Day<\/a>) to offering innovation bounties. However, the underlying incentive that top companies go for is recognition. No matter what the incentive, it must provide recognition to employees who deliver innovation results. Such recognition should sweep the entire organizational hierarchy, from bottom to top.<\/p>\n\n\n\n

                                                              4. They Invest Real Dollars to See Real Change<\/h2>\n\n\n\n

                                                              Innovation typically presents a chicken and egg situation<\/a>. For innovation practices to attract funding, it must first demonstrate traction, impact and market wins. However, to achieve this, such projects require funding.<\/p>\n\n\n\n

                                                              While less innovative companies get stuck in this conundrum, top Silicon Valley companies defy this loop by investing in ideas that may not yet have demonstrated market potential. However, they hedge their bets by investing heavily in lean and agile prototyping.<\/p>\n\n\n\n

                                                              In this way, although they may have innovation budgets, these funds do not get lost in building products that have no market value. Comparatively, less innovative companies invest too much time and resources building out \u201cinnovative\u201d products only to find out at launch that the market has moved on.<\/p>\n\n\n\n

                                                              To maintain quick deployments and fast responses to market changes, top innovative companies maintain well-funded agile teams to spearhead their innovation agendas.<\/p>\n\n\n\n

                                                              5. They Emphasize Innovation as Part of Organizational DNA and Overall Strategy<\/h2>\n\n\n\n

                                                              When Western Union sought to transform from a traditional money transfer company into a digital financial services company, it constituted an innovation team whose mandate was to infuse an innovation culture into the entire company.<\/p>\n\n\n\n

                                                              The team worked on a function-by-function basis across the company to introduce innovation to the core company. Similarly, the most innovative companies in Silicon Valley approach innovation as a culture shift, rather than an operational measure.<\/p>\n\n\n\n

                                                              As such, when innovation is introduced to a company\u2019s DNA, everyone assumes an innovation mandate, even though they may not be directly involved in innovation. For instance, at companies like Google, Amazon, and Apple, every employee is encouraged to take on an innovation mantle and challenge the status quo with new and innovative thinking and ideas.<\/p>\n\n\n\n

                                                              Further, when such innovations are picked up, such employees are internally recognized. When matched to the overall company strategy, having innovation as part of organizational DNA turns the entire organization into an innovation powerhouse, driven by organic impetus and not by executive mandate.  <\/p>\n\n\n\n

                                                              Innovation Practices is Not One-Size-Fits-All<\/h2>\n\n\n\n

                                                              While innovation practices are not one-size-fits-all, it is apparent that when customized and implemented properly, they can lead to astonishing results. One of the innovation practices at Google, the 20% program, gave rise to Gmail, the most popular free email service in the world. The program also spawned numerous other services like AdSense and Google Talk.<\/p>\n\n\n\n

                                                              For companies seeking to consolidate and accelerate their innovation programs, it is imperative to apply some, or all, the practices outlined in this article, and to commit to developing an innovation culture that not only embraces change but actively seeks it out.<\/p>\n","post_title":"The 5 Innovation Practices of Top Silicon Valley Companies","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"the-5-innovation-practices-of-top-silicon-valley-companies","to_ping":"","pinged":"","post_modified":"2020-02-25 08:36:54","post_modified_gmt":"2020-02-25 16:36:54","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/the-5-innovation-practices-of-top-silicon-valley-companies\/","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"},{"ID":541,"post_author":"1","post_date":"2019-04-01 17:49:00","post_date_gmt":"2019-04-02 00:49:00","post_content":"\n

                                                              Banking today is driven by customer experiences that are digital and seamless. It is not about what product or service a bank offers, but how it makes that offer and through which channels. The winners in today\u2019s era of digital disruption will be the financial institutions that can become truly client-oriented and deliver the smooth, digital journeys customers now expect.<\/p>\n\n\n\n

                                                              As Australia\u2019s leading provider of integrated financial services, Commonwealth Bank is aware of the urgency for digitizing and improving customer engagement. Founded in 1911 and with close to 50,000 employees in 15 countries, CommBank understands that the way to resist disruption and continue to grow is through continuous innovation in customer service and operations.<\/p>\n\n\n\n

                                                              The bank\u2019s latest annual report summarized its mission as \u201cBecoming a simpler, better bank\u201d. To help CommBank achieve this and best position itself for the digital future, Silicon Valley Innovation Center (SVIC) designed a custom immersion program in Silicon Valley<\/a> for over 20 Commonwealth Bank executives centered around three key concepts:<\/p>\n\n\n\n

                                                              1. Corporate innovation and startup engagement<\/li>
                                                              2. The transformation of payments infrastructure<\/li>
                                                              3. The future of banking and digital currencies<\/li><\/ol>\n\n\n\n

                                                                Our program offered CommBank\u2019s executives the opportunity to immerse themselves in the global hub of innovation and connect with digital experts at Google, Token and SVIC.<\/p>\n\n\n\n

                                                                Becoming Innovators for the Digital World<\/strong><\/h2>\n\n\n\n

                                                                Silicon Valley is the global hub of innovation, where tech giants and early-stage companies are shaping the future. The immersive program for CommBank\u2019s executives included company visits to Google and expert talks at SVIC to provide the executives with a deeper understanding of innovation culture and engagement with the startup space.<\/p>\n\n\n\n

                                                                You have to re-imagine how money can be managed and moved because there's going to be more change in the next five years in financial services than in the past 30.<\/p>Dan Schulman, CEO of PayPal<\/cite><\/blockquote>\n\n\n\n

                                                                In its 2018 annual report, Commonwealth Bank highlighted the importance of having a culture that is customer-oriented, values risk management and supports an inclusive, diverse workforce. A company visit to Google aligned well with these aspirations. During a presentation by one of the tech giant\u2019s engineering managers on \u201cSecrets of Innovation\u201d, the Australian executives were able to learn more about the culture of innovation that has helped Google develop the products and services used by millions of customers around the world every day.<\/p>\n\n\n\n

                                                                This session also provided the perfect setting for CommBank\u2019s executives to hear about the emerging trends that may lead future waves of disruption, such as self-driving vehicles, cloud computing, cyber-security and cyber-insurance.<\/p>\n\n\n\n

                                                                Later, CommBank met with SVIC\u2019s Innovation and Corporate Accelerator Director to hear about the future of business and engaging with the Silicon Valley ecosystem. The Australian group was very interested in collaborations between established companies and startups, and the talk shed light on the IPO process and investments in early-stage companies.<\/p>\n\n\n\n

                                                                \"Image<\/figure>\n\n\n\n

                                                                Executives from Commonwealth Bank of Australia hear about startup engagement during a full-day immersion program in Silicon Valley.<\/p>\n\n\n\n

                                                                Key takeaways from Google and SVIC:<\/strong> the age of disruption is transforming the world at lightning speed and a company\u2019s ability to innovate and adapt to change has become a key driver for success. Changing organizational culture and partnering with startups are pathways for established financial institutions to become innovators in their industry, resist disruption and prepare for the future.<\/p>\n\n\n\n

                                                                Digital Banking on the future of money<\/strong><\/h2>\n\n\n\n

                                                                In recent years, the finance sector has seen fintechs rapidly capture market share. What explains their fast growth and the way they\u2019ve earned users\u2019 trust? In essence, these young companies have been able to satisfy the needs of consumers for convenient, accessible services<\/a> through mobile-based business models and easy-to-use apps. For established financial institutions, it is now a priority to innovate around the entire customer lifecycle and leverage AI and machine-learning to offer simpler, faster operations.<\/p>\n\n\n\n

                                                                If banks can\u2019t offer something more valuable than Amazon Prime, then we\u2019re probably in the wrong business.<\/p>Bradley Leimer, Former Head of Innovation\/Fintech Strategy at Santander US<\/cite><\/blockquote>\n\n\n\n

                                                                In the case of CommBank, an overview of its mobile and tech tools would indicate that they are ahead of the digital finance curve. The bank\u2019s mobile app offers an integrated chatbot that understands 85,000 different ways of asking questions and helps customers complete 282 banking tasks. Still, companies today not only need to prepare for the business landscape of the next five years (in which apps will be a given and chatbots increasingly ubiquitous), but implement digital innovation strategies that will give them a competitive advantage and help resist disruption in the long term.<\/p>\n\n\n\n

                                                                During their visit to Silicon Valley, the CommBank group wanted to learn more about innovation in payments and, in particular, the potential uses of cryptocurrency. A session with fintech Token - an experience the executives described as \u201ceye-opening\u201d - was the perfect context to satisfy their curiosity and learn about cutting-edge applications for digital banking.<\/p>\n\n\n\n

                                                                Founded in 2015 with the mission of \u201cdoing for value what the World Wide Web did for information,\u201d Token has developed an open platform for banks to interact in a global finance ecosystem and a single application programming interface, or API, to access all banks. By enhancing the access and sharing of data and helping banks meet compliance requirements more efficiently, open-banking platforms and APIs<\/a> can significantly enhance the delivery of financial services for both retail and business consumers.<\/p>\n\n\n\n

                                                                Hearing from Token not only brought the CommBank team up to speed on the developments and potential of these tools, but also gave them the chance to gain insights on two growing trends where fintechs are leading the way: instant payments and peer-to-peer transactions with cryptocurrency and blockchain technology.<\/p>\n\n\n\n

                                                                Emerging (crypto)currencies in finance<\/strong><\/h3>\n\n\n\n

                                                                Cryptocurrencies have been described as a money revolution<\/a> and are based on the highly disruptive blockchain technology. Blockchain, by definition, is a decentralized ledger shared across a private or public network and at its core is the absence of third-party intermediaries. With a central premise in such direct opposition to the role of banks, it would seem a major competitor to established financial institutions and the traditional banking ecosystem.<\/p>\n\n\n\n

                                                                A report<\/a> by the World Economic Forum has forecast that 10% of global GDP will be stored on blockchain by 2027.<\/p><\/blockquote>\n\n\n\n

                                                                However, as CommBank learned during Token's presentation, banking incumbents who develop smart strategies to engage with blockchain may find valuable business models within the technology. Over a Q&A, the executives heard about profitable opportunities with cryptocurrency in foreign exchange and after the presentation were very keen to discuss these opportunities with clients they advise.<\/p>\n\n\n\n

                                                                Blockchain applications for instant transactions<\/strong><\/h3>\n\n\n\n

                                                                If there is one defining trait of the digital world, it is immediacy. And customers now expect the same in their banking services. As a result, payment systems around the world are increasingly being revamped to offer real-time payments through multiple channels, including mobile apps and digital wallets.<\/p>\n\n\n\n

                                                                The technology on which these payment infrastructures could be based? Blockchain.<\/p>\n\n\n\n

                                                                During the presentation, the Australian executives also gained insights into this trend and the use of cryptocurrencies as well as traditional currency to provide instant bank-to-bank payments, a potential application for CommBank to offer its own customers.<\/p>\n\n\n\n

                                                                \"<\/figure>\n\n\n\n

                                                                Executives from Commonwealth Bank hear about applications of blockchain and cryptocurrency from fintech Token.<\/p>\n\n\n\n

                                                                Key takeaway from Token<\/strong>: blockchain applications like cryptocurrency are very new and there is space for banks to shape this growing ecosystem. Banks can integrate cryptocurrency to their operations and transform their payment infrastructure on blockchain technology to offer customers real-time transactions, a service with increasing adoption worldwide.<\/p>\n\n\n\n

                                                                Heading into the future<\/strong><\/h2>\n\n\n\n

                                                                During their custom immersion program in Silicon Valley, Commonwealth Bank of Australia executives learned about the future of banking and the crucial role innovation will play in the industry\u2019s future. At Google and SVIC, the group was able to dive into the culture of innovation and the way companies can engage with it through startups. A session with Token gave them a thorough overview of digital banking, the role of banks in the future and potential applications of blockchain and cryptocurrencies at finance institutions like their own.<\/p>\n\n\n\n

                                                                Commonwealth Bank came away with the tools and knowledge to become a simpler, better partner to its customers and a leader in the digital banking future.<\/p>\n\n\n\n


                                                                \n\n\n\n

                                                                Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a fintech executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives will benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives will also gain deep insights<\/strong> into how partnering with Silicon Valley startups<\/strong> can be a game-changer<\/strong> for their businesses.<\/p>\n\n\n\n

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                                                                Blog: April 1, 2019

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