Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n Within Ai, Voice-as-a-Channel is taking off across consumer industries. Spearheaded by the development and rapid evolution of Ai-driven devices like the Amazon Echo, iPhone and Google Home that have brought AI assistants to the masses, organizations are scrambling to develop business use cases for smart assistants. In finance, Bank of America\u2019s Ai assistant Erica<\/a> is one such example of the role Ai assistants will play in the future. Currently, Erica can help users perform simple voice-activated tasks like inter-account transfers, P2P payments, and bill queries. Such tasks, however, only represent the tip of the iceberg of what is possible.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n Within Ai, Voice-as-a-Channel is taking off across consumer industries. Spearheaded by the development and rapid evolution of Ai-driven devices like the Amazon Echo, iPhone and Google Home that have brought AI assistants to the masses, organizations are scrambling to develop business use cases for smart assistants. In finance, Bank of America\u2019s Ai assistant Erica<\/a> is one such example of the role Ai assistants will play in the future. Currently, Erica can help users perform simple voice-activated tasks like inter-account transfers, P2P payments, and bill queries. Such tasks, however, only represent the tip of the iceberg of what is possible.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n As the concept of big data matures, finance organizations can use such data to generate higher-value business advice, perform better planning and forecasting, streamline accounting and compliance, enhance decision making, lower costs and mitigate errors, and decrease risk while generating higher returns. Such options open possibilities for finance organizations to offer better-customized products and services to customers that meet and anticipate needs in a dynamic and evolving manner, shelving the one-size-fits-all approach to service provision. However, the dilemma that remains to be solved to unlock big data gains is disparate siloed data, which currently makes it difficult for finance organizations to generate a single view of organization-wide processes.<\/p>\n\n\n\n Within Ai, Voice-as-a-Channel is taking off across consumer industries. Spearheaded by the development and rapid evolution of Ai-driven devices like the Amazon Echo, iPhone and Google Home that have brought AI assistants to the masses, organizations are scrambling to develop business use cases for smart assistants. In finance, Bank of America\u2019s Ai assistant Erica<\/a> is one such example of the role Ai assistants will play in the future. Currently, Erica can help users perform simple voice-activated tasks like inter-account transfers, P2P payments, and bill queries. Such tasks, however, only represent the tip of the iceberg of what is possible.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n Big data has been a buzzword for the last ten years. Today, the term is getting better quantified as more understanding of data and its possibilities emerges. According to Forrester<\/a>, of all data collected, organizations analyze or use less than 0.5% of gross collected data. In finance, the possibilities are even more pronounced. Consider the amount of data finance organizations generate as customers interact with various financial services and tools.<\/p>\n\n\n\n As the concept of big data matures, finance organizations can use such data to generate higher-value business advice, perform better planning and forecasting, streamline accounting and compliance, enhance decision making, lower costs and mitigate errors, and decrease risk while generating higher returns. Such options open possibilities for finance organizations to offer better-customized products and services to customers that meet and anticipate needs in a dynamic and evolving manner, shelving the one-size-fits-all approach to service provision. However, the dilemma that remains to be solved to unlock big data gains is disparate siloed data, which currently makes it difficult for finance organizations to generate a single view of organization-wide processes.<\/p>\n\n\n\n Within Ai, Voice-as-a-Channel is taking off across consumer industries. Spearheaded by the development and rapid evolution of Ai-driven devices like the Amazon Echo, iPhone and Google Home that have brought AI assistants to the masses, organizations are scrambling to develop business use cases for smart assistants. In finance, Bank of America\u2019s Ai assistant Erica<\/a> is one such example of the role Ai assistants will play in the future. Currently, Erica can help users perform simple voice-activated tasks like inter-account transfers, P2P payments, and bill queries. Such tasks, however, only represent the tip of the iceberg of what is possible.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n Big data has been a buzzword for the last ten years. Today, the term is getting better quantified as more understanding of data and its possibilities emerges. According to Forrester<\/a>, of all data collected, organizations analyze or use less than 0.5% of gross collected data. In finance, the possibilities are even more pronounced. Consider the amount of data finance organizations generate as customers interact with various financial services and tools.<\/p>\n\n\n\n As the concept of big data matures, finance organizations can use such data to generate higher-value business advice, perform better planning and forecasting, streamline accounting and compliance, enhance decision making, lower costs and mitigate errors, and decrease risk while generating higher returns. Such options open possibilities for finance organizations to offer better-customized products and services to customers that meet and anticipate needs in a dynamic and evolving manner, shelving the one-size-fits-all approach to service provision. However, the dilemma that remains to be solved to unlock big data gains is disparate siloed data, which currently makes it difficult for finance organizations to generate a single view of organization-wide processes.<\/p>\n\n\n\n Within Ai, Voice-as-a-Channel is taking off across consumer industries. Spearheaded by the development and rapid evolution of Ai-driven devices like the Amazon Echo, iPhone and Google Home that have brought AI assistants to the masses, organizations are scrambling to develop business use cases for smart assistants. In finance, Bank of America\u2019s Ai assistant Erica<\/a> is one such example of the role Ai assistants will play in the future. Currently, Erica can help users perform simple voice-activated tasks like inter-account transfers, P2P payments, and bill queries. Such tasks, however, only represent the tip of the iceberg of what is possible.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n The blockchain is an immutable network of distributed ledgers (records) that each maintains a copy of data. When one block changes, it replicates the changes to all the other blocks. For someone to change one block and hide the changes, they would need to change all the blocks, something that is incredibly difficult. This technology could solve the fraud problem by making it near-impossible for criminals to tamper with records to favor their fraudulent activities. While blockchain implementation is still in its infancy, the theoretical possibilities are very promising. Finance organizations interested in putting the issue of fraud to bed will do well to invest in blockchain experiments.<\/p>\n\n\n\n Big data has been a buzzword for the last ten years. Today, the term is getting better quantified as more understanding of data and its possibilities emerges. According to Forrester<\/a>, of all data collected, organizations analyze or use less than 0.5% of gross collected data. In finance, the possibilities are even more pronounced. Consider the amount of data finance organizations generate as customers interact with various financial services and tools.<\/p>\n\n\n\n As the concept of big data matures, finance organizations can use such data to generate higher-value business advice, perform better planning and forecasting, streamline accounting and compliance, enhance decision making, lower costs and mitigate errors, and decrease risk while generating higher returns. Such options open possibilities for finance organizations to offer better-customized products and services to customers that meet and anticipate needs in a dynamic and evolving manner, shelving the one-size-fits-all approach to service provision. However, the dilemma that remains to be solved to unlock big data gains is disparate siloed data, which currently makes it difficult for finance organizations to generate a single view of organization-wide processes.<\/p>\n\n\n\n Within Ai, Voice-as-a-Channel is taking off across consumer industries. Spearheaded by the development and rapid evolution of Ai-driven devices like the Amazon Echo, iPhone and Google Home that have brought AI assistants to the masses, organizations are scrambling to develop business use cases for smart assistants. In finance, Bank of America\u2019s Ai assistant Erica<\/a> is one such example of the role Ai assistants will play in the future. Currently, Erica can help users perform simple voice-activated tasks like inter-account transfers, P2P payments, and bill queries. Such tasks, however, only represent the tip of the iceberg of what is possible.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n In a landmark survey<\/a> that drew participants from 70 countries, PwC found that up to 45% of finance organizations had suffered an economic crime over the duration of the survey as compared to only 34% across the other industries polled. The survey found that among the key threats the finance organizations faced, the top five were asset misappropriation, cybercrime, money laundering, accounting fraud, and bribery and corruption. These challenges represent the core challenges finance organizations face in their operations, with massive investments going into mitigating them. However, a breakthrough technology known as blockchain may hold the key to finally solving this millennia-old problem.<\/p>\n\n\n\n The blockchain is an immutable network of distributed ledgers (records) that each maintains a copy of data. When one block changes, it replicates the changes to all the other blocks. For someone to change one block and hide the changes, they would need to change all the blocks, something that is incredibly difficult. This technology could solve the fraud problem by making it near-impossible for criminals to tamper with records to favor their fraudulent activities. While blockchain implementation is still in its infancy, the theoretical possibilities are very promising. Finance organizations interested in putting the issue of fraud to bed will do well to invest in blockchain experiments.<\/p>\n\n\n\n Big data has been a buzzword for the last ten years. Today, the term is getting better quantified as more understanding of data and its possibilities emerges. According to Forrester<\/a>, of all data collected, organizations analyze or use less than 0.5% of gross collected data. In finance, the possibilities are even more pronounced. Consider the amount of data finance organizations generate as customers interact with various financial services and tools.<\/p>\n\n\n\n As the concept of big data matures, finance organizations can use such data to generate higher-value business advice, perform better planning and forecasting, streamline accounting and compliance, enhance decision making, lower costs and mitigate errors, and decrease risk while generating higher returns. Such options open possibilities for finance organizations to offer better-customized products and services to customers that meet and anticipate needs in a dynamic and evolving manner, shelving the one-size-fits-all approach to service provision. However, the dilemma that remains to be solved to unlock big data gains is disparate siloed data, which currently makes it difficult for finance organizations to generate a single view of organization-wide processes.<\/p>\n\n\n\n Within Ai, Voice-as-a-Channel is taking off across consumer industries. Spearheaded by the development and rapid evolution of Ai-driven devices like the Amazon Echo, iPhone and Google Home that have brought AI assistants to the masses, organizations are scrambling to develop business use cases for smart assistants. In finance, Bank of America\u2019s Ai assistant Erica<\/a> is one such example of the role Ai assistants will play in the future. Currently, Erica can help users perform simple voice-activated tasks like inter-account transfers, P2P payments, and bill queries. Such tasks, however, only represent the tip of the iceberg of what is possible.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n In a landmark survey<\/a> that drew participants from 70 countries, PwC found that up to 45% of finance organizations had suffered an economic crime over the duration of the survey as compared to only 34% across the other industries polled. The survey found that among the key threats the finance organizations faced, the top five were asset misappropriation, cybercrime, money laundering, accounting fraud, and bribery and corruption. These challenges represent the core challenges finance organizations face in their operations, with massive investments going into mitigating them. However, a breakthrough technology known as blockchain may hold the key to finally solving this millennia-old problem.<\/p>\n\n\n\n The blockchain is an immutable network of distributed ledgers (records) that each maintains a copy of data. When one block changes, it replicates the changes to all the other blocks. For someone to change one block and hide the changes, they would need to change all the blocks, something that is incredibly difficult. This technology could solve the fraud problem by making it near-impossible for criminals to tamper with records to favor their fraudulent activities. While blockchain implementation is still in its infancy, the theoretical possibilities are very promising. Finance organizations interested in putting the issue of fraud to bed will do well to invest in blockchain experiments.<\/p>\n\n\n\n Big data has been a buzzword for the last ten years. Today, the term is getting better quantified as more understanding of data and its possibilities emerges. According to Forrester<\/a>, of all data collected, organizations analyze or use less than 0.5% of gross collected data. In finance, the possibilities are even more pronounced. Consider the amount of data finance organizations generate as customers interact with various financial services and tools.<\/p>\n\n\n\n As the concept of big data matures, finance organizations can use such data to generate higher-value business advice, perform better planning and forecasting, streamline accounting and compliance, enhance decision making, lower costs and mitigate errors, and decrease risk while generating higher returns. Such options open possibilities for finance organizations to offer better-customized products and services to customers that meet and anticipate needs in a dynamic and evolving manner, shelving the one-size-fits-all approach to service provision. However, the dilemma that remains to be solved to unlock big data gains is disparate siloed data, which currently makes it difficult for finance organizations to generate a single view of organization-wide processes.<\/p>\n\n\n\n Within Ai, Voice-as-a-Channel is taking off across consumer industries. Spearheaded by the development and rapid evolution of Ai-driven devices like the Amazon Echo, iPhone and Google Home that have brought AI assistants to the masses, organizations are scrambling to develop business use cases for smart assistants. In finance, Bank of America\u2019s Ai assistant Erica<\/a> is one such example of the role Ai assistants will play in the future. Currently, Erica can help users perform simple voice-activated tasks like inter-account transfers, P2P payments, and bill queries. Such tasks, however, only represent the tip of the iceberg of what is possible.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n However, there remain systemic challenges in finance. These include fraud, financial modeling and forecasting, and customer experience management. Today, few finance organizations can claim significant differentiation from the competition. While some may excel in one area or another, in general, finance is as homologous an industry as they come. This picture may be set to change as organizations embrace digital transformation. Focus on disruptive technologies like Ai, blockchain, and others has become the prime differentiating factor that finance organizations are rushing towards. In this article, we look at three such disruptive FinTech technologies and the possible applications they have in finance.<\/p>\n\n\n\n In a landmark survey<\/a> that drew participants from 70 countries, PwC found that up to 45% of finance organizations had suffered an economic crime over the duration of the survey as compared to only 34% across the other industries polled. The survey found that among the key threats the finance organizations faced, the top five were asset misappropriation, cybercrime, money laundering, accounting fraud, and bribery and corruption. These challenges represent the core challenges finance organizations face in their operations, with massive investments going into mitigating them. However, a breakthrough technology known as blockchain may hold the key to finally solving this millennia-old problem.<\/p>\n\n\n\n The blockchain is an immutable network of distributed ledgers (records) that each maintains a copy of data. When one block changes, it replicates the changes to all the other blocks. For someone to change one block and hide the changes, they would need to change all the blocks, something that is incredibly difficult. This technology could solve the fraud problem by making it near-impossible for criminals to tamper with records to favor their fraudulent activities. While blockchain implementation is still in its infancy, the theoretical possibilities are very promising. Finance organizations interested in putting the issue of fraud to bed will do well to invest in blockchain experiments.<\/p>\n\n\n\n Big data has been a buzzword for the last ten years. Today, the term is getting better quantified as more understanding of data and its possibilities emerges. According to Forrester<\/a>, of all data collected, organizations analyze or use less than 0.5% of gross collected data. In finance, the possibilities are even more pronounced. Consider the amount of data finance organizations generate as customers interact with various financial services and tools.<\/p>\n\n\n\n As the concept of big data matures, finance organizations can use such data to generate higher-value business advice, perform better planning and forecasting, streamline accounting and compliance, enhance decision making, lower costs and mitigate errors, and decrease risk while generating higher returns. Such options open possibilities for finance organizations to offer better-customized products and services to customers that meet and anticipate needs in a dynamic and evolving manner, shelving the one-size-fits-all approach to service provision. However, the dilemma that remains to be solved to unlock big data gains is disparate siloed data, which currently makes it difficult for finance organizations to generate a single view of organization-wide processes.<\/p>\n\n\n\n Within Ai, Voice-as-a-Channel is taking off across consumer industries. Spearheaded by the development and rapid evolution of Ai-driven devices like the Amazon Echo, iPhone and Google Home that have brought AI assistants to the masses, organizations are scrambling to develop business use cases for smart assistants. In finance, Bank of America\u2019s Ai assistant Erica<\/a> is one such example of the role Ai assistants will play in the future. Currently, Erica can help users perform simple voice-activated tasks like inter-account transfers, P2P payments, and bill queries. Such tasks, however, only represent the tip of the iceberg of what is possible.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\n\n\n\n Five thousand years ago, a Sumerian farmer recorded the sale of livestock on a clay tablet, setting in motion the finance industry as we know it. The industry has gone through numerous transformations over those five thousand years, but none as big as the one currently underway. With the development and maturing of digital technologies like the internet and commercial software, the financial industry has managed to become one of the most dynamic and vibrant industries in the world. A Fujitsu Global Digital Transformation report<\/a> found that of all industries surveyed, finance stood out as the most aggressive in the adoption of digital transformation technologies with 89% of finance companies polled planning, testing or implementing digital transformation strategies.<\/p>\n\n\n\n However, there remain systemic challenges in finance. These include fraud, financial modeling and forecasting, and customer experience management. Today, few finance organizations can claim significant differentiation from the competition. While some may excel in one area or another, in general, finance is as homologous an industry as they come. This picture may be set to change as organizations embrace digital transformation. Focus on disruptive technologies like Ai, blockchain, and others has become the prime differentiating factor that finance organizations are rushing towards. In this article, we look at three such disruptive FinTech technologies and the possible applications they have in finance.<\/p>\n\n\n\n In a landmark survey<\/a> that drew participants from 70 countries, PwC found that up to 45% of finance organizations had suffered an economic crime over the duration of the survey as compared to only 34% across the other industries polled. The survey found that among the key threats the finance organizations faced, the top five were asset misappropriation, cybercrime, money laundering, accounting fraud, and bribery and corruption. These challenges represent the core challenges finance organizations face in their operations, with massive investments going into mitigating them. However, a breakthrough technology known as blockchain may hold the key to finally solving this millennia-old problem.<\/p>\n\n\n\n The blockchain is an immutable network of distributed ledgers (records) that each maintains a copy of data. When one block changes, it replicates the changes to all the other blocks. For someone to change one block and hide the changes, they would need to change all the blocks, something that is incredibly difficult. This technology could solve the fraud problem by making it near-impossible for criminals to tamper with records to favor their fraudulent activities. While blockchain implementation is still in its infancy, the theoretical possibilities are very promising. Finance organizations interested in putting the issue of fraud to bed will do well to invest in blockchain experiments.<\/p>\n\n\n\n Big data has been a buzzword for the last ten years. Today, the term is getting better quantified as more understanding of data and its possibilities emerges. According to Forrester<\/a>, of all data collected, organizations analyze or use less than 0.5% of gross collected data. In finance, the possibilities are even more pronounced. Consider the amount of data finance organizations generate as customers interact with various financial services and tools.<\/p>\n\n\n\n As the concept of big data matures, finance organizations can use such data to generate higher-value business advice, perform better planning and forecasting, streamline accounting and compliance, enhance decision making, lower costs and mitigate errors, and decrease risk while generating higher returns. Such options open possibilities for finance organizations to offer better-customized products and services to customers that meet and anticipate needs in a dynamic and evolving manner, shelving the one-size-fits-all approach to service provision. However, the dilemma that remains to be solved to unlock big data gains is disparate siloed data, which currently makes it difficult for finance organizations to generate a single view of organization-wide processes.<\/p>\n\n\n\n Within Ai, Voice-as-a-Channel is taking off across consumer industries. Spearheaded by the development and rapid evolution of Ai-driven devices like the Amazon Echo, iPhone and Google Home that have brought AI assistants to the masses, organizations are scrambling to develop business use cases for smart assistants. In finance, Bank of America\u2019s Ai assistant Erica<\/a> is one such example of the role Ai assistants will play in the future. Currently, Erica can help users perform simple voice-activated tasks like inter-account transfers, P2P payments, and bill queries. Such tasks, however, only represent the tip of the iceberg of what is possible.<\/p>\n\n\n\n Consider the National Australia Bank (NAB), which through its innovation lab NAB Labs, is working at integrating Amazon Alexa into its financial services<\/a>. The partnership would blend the access Alexa has to users\u2019 personal lives with their financial transactions. This level of visibility could potentially turn Alexa and similar Ais into personal financial planners able to advise users on the best financial decisions to make. Further, finance organizations can use this data to build even more sophisticated products and services for customers, opening new revenue streams. Such a transformative customer experience would provide finance with the key differentiating factor that has so far proven elusive.<\/p>\n\n\n\n Unlike other industries, finance may have the highest stakes when it comes to embracing digital transformation. Facing mounting pressure from digital currencies like Bitcoin, increasing scrutiny by legislators, and the commoditization of fraud and cybercrime, finance sector players must, as a necessity, forge forward with digital transformation agendas. Such a push holds even greater promise for smaller players in the sector, who can disrupt incumbents by deploying digital-first finance experiences as is the case with Lemonade insurance<\/a>. Established companies will need to be on the lookout for such disruptive technologies as startups, and other more-nimble competitors throw all their chips on the table with the hope of cashing in big when the digital-first economy goes mainstream.<\/p>\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 Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 Silicon Valley Innovation Center<\/strong><\/a> helps financial sector executives experience and connect with the Silicon Valley fintech startup ecosystem through a Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 While traditional banks are today focused on becoming digital banks, the next frontier, which is already emerging, is the need to transform into smart banks. While digital banks are nothing more than digitally-enabled traditional banks that offer the same old services, smart banks are the banks of the future that offer products and services based on each customer\u2019s unique needs. Such banks will not have a list of services offered but instead will have a list of questions an AI will ask to provide custom-made products and services for each customer. For traditional banks to attain this metamorphosis, they must create a build, buy, adopt or partner strategy that leverages FinTech advances emerging in Silicon Valley, which will afford them the insights and technical capabilities to become the leaders in this bold new world.<\/p>\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 Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 While traditional banks are today focused on becoming digital banks, the next frontier, which is already emerging, is the need to transform into smart banks. While digital banks are nothing more than digitally-enabled traditional banks that offer the same old services, smart banks are the banks of the future that offer products and services based on each customer\u2019s unique needs. Such banks will not have a list of services offered but instead will have a list of questions an AI will ask to provide custom-made products and services for each customer. For traditional banks to attain this metamorphosis, they must create a build, buy, adopt or partner strategy that leverages FinTech advances emerging in Silicon Valley, which will afford them the insights and technical capabilities to become the leaders in this bold new world.<\/p>\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 Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 Further to this, artificial intelligence (AI) assistants are poised to play an increasingly pivotal role in how customers access retail banking services. For instance, if a customer asks a bank AI assistant what is required to get a loan, the AI must be able to analyze the customer\u2019s financial records and provide them with a tailored answer. Voice controlled actions like balance requests, bill payments, internal and external transfers are also an area banks must focus on to meet retail customers\u2019 expectations. Combining this with deep consumer analytics will help banks automate credit approval processes, increase speed-of-service (a key factor in retail banking) and provide deep analytics to customers that help them make better financial decisions based on their unique contexts.<\/p>\n\n\n\n While traditional banks are today focused on becoming digital banks, the next frontier, which is already emerging, is the need to transform into smart banks. While digital banks are nothing more than digitally-enabled traditional banks that offer the same old services, smart banks are the banks of the future that offer products and services based on each customer\u2019s unique needs. Such banks will not have a list of services offered but instead will have a list of questions an AI will ask to provide custom-made products and services for each customer. For traditional banks to attain this metamorphosis, they must create a build, buy, adopt or partner strategy that leverages FinTech advances emerging in Silicon Valley, which will afford them the insights and technical capabilities to become the leaders in this bold new world.<\/p>\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 Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 An AVOKA State of Digital Banking Report<\/a> found that only 1 in 4 banking products can be applied for online while less than 10% of small business accounts can be opened online. The challenge here is that most retail banking processes are still manual. Mortgage lending, for instance, is still firmly rooted in manual processes, resulting in a 40-day approval time. Roostify<\/a>, a FinTech startup based in San Francisco, California, is using technology to automate this process and shave off days from the loan approval process. By doing this, the startup is helping lenders meet the expectations of customers, who expect automated digital services wherever they transact.<\/p>\n\n\n\n Further to this, artificial intelligence (AI) assistants are poised to play an increasingly pivotal role in how customers access retail banking services. For instance, if a customer asks a bank AI assistant what is required to get a loan, the AI must be able to analyze the customer\u2019s financial records and provide them with a tailored answer. Voice controlled actions like balance requests, bill payments, internal and external transfers are also an area banks must focus on to meet retail customers\u2019 expectations. Combining this with deep consumer analytics will help banks automate credit approval processes, increase speed-of-service (a key factor in retail banking) and provide deep analytics to customers that help them make better financial decisions based on their unique contexts.<\/p>\n\n\n\n While traditional banks are today focused on becoming digital banks, the next frontier, which is already emerging, is the need to transform into smart banks. While digital banks are nothing more than digitally-enabled traditional banks that offer the same old services, smart banks are the banks of the future that offer products and services based on each customer\u2019s unique needs. Such banks will not have a list of services offered but instead will have a list of questions an AI will ask to provide custom-made products and services for each customer. For traditional banks to attain this metamorphosis, they must create a build, buy, adopt or partner strategy that leverages FinTech advances emerging in Silicon Valley, which will afford them the insights and technical capabilities to become the leaders in this bold new world.<\/p>\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 Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 An AVOKA State of Digital Banking Report<\/a> found that only 1 in 4 banking products can be applied for online while less than 10% of small business accounts can be opened online. The challenge here is that most retail banking processes are still manual. Mortgage lending, for instance, is still firmly rooted in manual processes, resulting in a 40-day approval time. Roostify<\/a>, a FinTech startup based in San Francisco, California, is using technology to automate this process and shave off days from the loan approval process. By doing this, the startup is helping lenders meet the expectations of customers, who expect automated digital services wherever they transact.<\/p>\n\n\n\n Further to this, artificial intelligence (AI) assistants are poised to play an increasingly pivotal role in how customers access retail banking services. For instance, if a customer asks a bank AI assistant what is required to get a loan, the AI must be able to analyze the customer\u2019s financial records and provide them with a tailored answer. Voice controlled actions like balance requests, bill payments, internal and external transfers are also an area banks must focus on to meet retail customers\u2019 expectations. Combining this with deep consumer analytics will help banks automate credit approval processes, increase speed-of-service (a key factor in retail banking) and provide deep analytics to customers that help them make better financial decisions based on their unique contexts.<\/p>\n\n\n\n While traditional banks are today focused on becoming digital banks, the next frontier, which is already emerging, is the need to transform into smart banks. While digital banks are nothing more than digitally-enabled traditional banks that offer the same old services, smart banks are the banks of the future that offer products and services based on each customer\u2019s unique needs. Such banks will not have a list of services offered but instead will have a list of questions an AI will ask to provide custom-made products and services for each customer. For traditional banks to attain this metamorphosis, they must create a build, buy, adopt or partner strategy that leverages FinTech advances emerging in Silicon Valley, which will afford them the insights and technical capabilities to become the leaders in this bold new world.<\/p>\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 Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 Another reason why Millennials would consider big tech companies as a viable option for financial services is the digital experiences such entities offer. While mobile apps and text messages have a high adoption rate<\/a> in this age set, a large proportion of this cohort expects digital experiences to be more meaningful than this. For instance, the ability to seamlessly access banking services via social, mobile and web without having to log in each time, or repeat questions is an important driver in this area. Consider the seamless nature with which a user can move from one service to another within the Google ecosystem. This is the level of omnichannel access retail banking needs to adopt to build walled gardens of their own that result in exceptional digital experiences for a digitally omnivorous customer base.<\/p>\n\n\n\n An AVOKA State of Digital Banking Report<\/a> found that only 1 in 4 banking products can be applied for online while less than 10% of small business accounts can be opened online. The challenge here is that most retail banking processes are still manual. Mortgage lending, for instance, is still firmly rooted in manual processes, resulting in a 40-day approval time. Roostify<\/a>, a FinTech startup based in San Francisco, California, is using technology to automate this process and shave off days from the loan approval process. By doing this, the startup is helping lenders meet the expectations of customers, who expect automated digital services wherever they transact.<\/p>\n\n\n\n Further to this, artificial intelligence (AI) assistants are poised to play an increasingly pivotal role in how customers access retail banking services. For instance, if a customer asks a bank AI assistant what is required to get a loan, the AI must be able to analyze the customer\u2019s financial records and provide them with a tailored answer. Voice controlled actions like balance requests, bill payments, internal and external transfers are also an area banks must focus on to meet retail customers\u2019 expectations. Combining this with deep consumer analytics will help banks automate credit approval processes, increase speed-of-service (a key factor in retail banking) and provide deep analytics to customers that help them make better financial decisions based on their unique contexts.<\/p>\n\n\n\n While traditional banks are today focused on becoming digital banks, the next frontier, which is already emerging, is the need to transform into smart banks. While digital banks are nothing more than digitally-enabled traditional banks that offer the same old services, smart banks are the banks of the future that offer products and services based on each customer\u2019s unique needs. Such banks will not have a list of services offered but instead will have a list of questions an AI will ask to provide custom-made products and services for each customer. For traditional banks to attain this metamorphosis, they must create a build, buy, adopt or partner strategy that leverages FinTech advances emerging in Silicon Valley, which will afford them the insights and technical capabilities to become the leaders in this bold new world.<\/p>\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 Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 An EFMA and Capgemini report<\/a> found that 32.3% of retail banking customers might consider big tech companies like Google and Amazon for financial services. This is in line with the previously cited FICO survey that found that 68% of millennials gravitate towards big banks. This affinity to big players is traceable to the ecosystems these big players tend to build, which makes it easy to switch from one service to another. Consider Lending Club<\/a>, another Silicon Valley tech company that provides Credit-as-a-Service. Users of the platform can borrow from any lender, whether that lender is another bank or another individual, without having to create an exclusive relationship with either. This sort of mobility, by a generation that has grown up in a sharing economy, provides insights into the direction retail banking must head in order to stay apace with a digital-first consumer base.<\/p>\n\n\n\n Another reason why Millennials would consider big tech companies as a viable option for financial services is the digital experiences such entities offer. While mobile apps and text messages have a high adoption rate<\/a> in this age set, a large proportion of this cohort expects digital experiences to be more meaningful than this. For instance, the ability to seamlessly access banking services via social, mobile and web without having to log in each time, or repeat questions is an important driver in this area. Consider the seamless nature with which a user can move from one service to another within the Google ecosystem. This is the level of omnichannel access retail banking needs to adopt to build walled gardens of their own that result in exceptional digital experiences for a digitally omnivorous customer base.<\/p>\n\n\n\n An AVOKA State of Digital Banking Report<\/a> found that only 1 in 4 banking products can be applied for online while less than 10% of small business accounts can be opened online. The challenge here is that most retail banking processes are still manual. Mortgage lending, for instance, is still firmly rooted in manual processes, resulting in a 40-day approval time. Roostify<\/a>, a FinTech startup based in San Francisco, California, is using technology to automate this process and shave off days from the loan approval process. By doing this, the startup is helping lenders meet the expectations of customers, who expect automated digital services wherever they transact.<\/p>\n\n\n\n Further to this, artificial intelligence (AI) assistants are poised to play an increasingly pivotal role in how customers access retail banking services. For instance, if a customer asks a bank AI assistant what is required to get a loan, the AI must be able to analyze the customer\u2019s financial records and provide them with a tailored answer. Voice controlled actions like balance requests, bill payments, internal and external transfers are also an area banks must focus on to meet retail customers\u2019 expectations. Combining this with deep consumer analytics will help banks automate credit approval processes, increase speed-of-service (a key factor in retail banking) and provide deep analytics to customers that help them make better financial decisions based on their unique contexts.<\/p>\n\n\n\n While traditional banks are today focused on becoming digital banks, the next frontier, which is already emerging, is the need to transform into smart banks. While digital banks are nothing more than digitally-enabled traditional banks that offer the same old services, smart banks are the banks of the future that offer products and services based on each customer\u2019s unique needs. Such banks will not have a list of services offered but instead will have a list of questions an AI will ask to provide custom-made products and services for each customer. For traditional banks to attain this metamorphosis, they must create a build, buy, adopt or partner strategy that leverages FinTech advances emerging in Silicon Valley, which will afford them the insights and technical capabilities to become the leaders in this bold new world.<\/p>\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 Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 An EFMA and Capgemini report<\/a> found that 32.3% of retail banking customers might consider big tech companies like Google and Amazon for financial services. This is in line with the previously cited FICO survey that found that 68% of millennials gravitate towards big banks. This affinity to big players is traceable to the ecosystems these big players tend to build, which makes it easy to switch from one service to another. Consider Lending Club<\/a>, another Silicon Valley tech company that provides Credit-as-a-Service. Users of the platform can borrow from any lender, whether that lender is another bank or another individual, without having to create an exclusive relationship with either. This sort of mobility, by a generation that has grown up in a sharing economy, provides insights into the direction retail banking must head in order to stay apace with a digital-first consumer base.<\/p>\n\n\n\n Another reason why Millennials would consider big tech companies as a viable option for financial services is the digital experiences such entities offer. While mobile apps and text messages have a high adoption rate<\/a> in this age set, a large proportion of this cohort expects digital experiences to be more meaningful than this. For instance, the ability to seamlessly access banking services via social, mobile and web without having to log in each time, or repeat questions is an important driver in this area. Consider the seamless nature with which a user can move from one service to another within the Google ecosystem. This is the level of omnichannel access retail banking needs to adopt to build walled gardens of their own that result in exceptional digital experiences for a digitally omnivorous customer base.<\/p>\n\n\n\n An AVOKA State of Digital Banking Report<\/a> found that only 1 in 4 banking products can be applied for online while less than 10% of small business accounts can be opened online. The challenge here is that most retail banking processes are still manual. Mortgage lending, for instance, is still firmly rooted in manual processes, resulting in a 40-day approval time. Roostify<\/a>, a FinTech startup based in San Francisco, California, is using technology to automate this process and shave off days from the loan approval process. By doing this, the startup is helping lenders meet the expectations of customers, who expect automated digital services wherever they transact.<\/p>\n\n\n\n Further to this, artificial intelligence (AI) assistants are poised to play an increasingly pivotal role in how customers access retail banking services. For instance, if a customer asks a bank AI assistant what is required to get a loan, the AI must be able to analyze the customer\u2019s financial records and provide them with a tailored answer. Voice controlled actions like balance requests, bill payments, internal and external transfers are also an area banks must focus on to meet retail customers\u2019 expectations. Combining this with deep consumer analytics will help banks automate credit approval processes, increase speed-of-service (a key factor in retail banking) and provide deep analytics to customers that help them make better financial decisions based on their unique contexts.<\/p>\n\n\n\n While traditional banks are today focused on becoming digital banks, the next frontier, which is already emerging, is the need to transform into smart banks. While digital banks are nothing more than digitally-enabled traditional banks that offer the same old services, smart banks are the banks of the future that offer products and services based on each customer\u2019s unique needs. Such banks will not have a list of services offered but instead will have a list of questions an AI will ask to provide custom-made products and services for each customer. For traditional banks to attain this metamorphosis, they must create a build, buy, adopt or partner strategy that leverages FinTech advances emerging in Silicon Valley, which will afford them the insights and technical capabilities to become the leaders in this bold new world.<\/p>\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 Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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 Going deeper into personalization, increasingly digitized consumers are looking for bespoke products and services that fit their lifestyle and future financial needs. Another FICO survey<\/a> found that Millennials are five times more likely than those over 50 to close all accounts with their primary bank. The primary reason cited for switching was high costs, a sticking point that banks can address by leveraging technology to lower costs. Another area banks must experiment in to bolster personalization is offering service access via voice ID, an important area as Voice-as-a-Channel gains momentum<\/a> through the proliferation of smart devices like Amazon Alexa and Google Home.<\/p>\n\n\n\n An EFMA and Capgemini report<\/a> found that 32.3% of retail banking customers might consider big tech companies like Google and Amazon for financial services. This is in line with the previously cited FICO survey that found that 68% of millennials gravitate towards big banks. This affinity to big players is traceable to the ecosystems these big players tend to build, which makes it easy to switch from one service to another. Consider Lending Club<\/a>, another Silicon Valley tech company that provides Credit-as-a-Service. Users of the platform can borrow from any lender, whether that lender is another bank or another individual, without having to create an exclusive relationship with either. This sort of mobility, by a generation that has grown up in a sharing economy, provides insights into the direction retail banking must head in order to stay apace with a digital-first consumer base.<\/p>\n\n\n\n Another reason why Millennials would consider big tech companies as a viable option for financial services is the digital experiences such entities offer. While mobile apps and text messages have a high adoption rate<\/a> in this age set, a large proportion of this cohort expects digital experiences to be more meaningful than this. For instance, the ability to seamlessly access banking services via social, mobile and web without having to log in each time, or repeat questions is an important driver in this area. Consider the seamless nature with which a user can move from one service to another within the Google ecosystem. This is the level of omnichannel access retail banking needs to adopt to build walled gardens of their own that result in exceptional digital experiences for a digitally omnivorous customer base.<\/p>\n\n\n\n An AVOKA State of Digital Banking Report<\/a> found that only 1 in 4 banking products can be applied for online while less than 10% of small business accounts can be opened online. The challenge here is that most retail banking processes are still manual. Mortgage lending, for instance, is still firmly rooted in manual processes, resulting in a 40-day approval time. Roostify<\/a>, a FinTech startup based in San Francisco, California, is using technology to automate this process and shave off days from the loan approval process. By doing this, the startup is helping lenders meet the expectations of customers, who expect automated digital services wherever they transact.<\/p>\n\n\n\n Further to this, artificial intelligence (AI) assistants are poised to play an increasingly pivotal role in how customers access retail banking services. For instance, if a customer asks a bank AI assistant what is required to get a loan, the AI must be able to analyze the customer\u2019s financial records and provide them with a tailored answer. Voice controlled actions like balance requests, bill payments, internal and external transfers are also an area banks must focus on to meet retail customers\u2019 expectations. Combining this with deep consumer analytics will help banks automate credit approval processes, increase speed-of-service (a key factor in retail banking) and provide deep analytics to customers that help them make better financial decisions based on their unique contexts.<\/p>\n\n\n\n While traditional banks are today focused on becoming digital banks, the next frontier, which is already emerging, is the need to transform into smart banks. While digital banks are nothing more than digitally-enabled traditional banks that offer the same old services, smart banks are the banks of the future that offer products and services based on each customer\u2019s unique needs. Such banks will not have a list of services offered but instead will have a list of questions an AI will ask to provide custom-made products and services for each customer. For traditional banks to attain this metamorphosis, they must create a build, buy, adopt or partner strategy that leverages FinTech advances emerging in Silicon Valley, which will afford them the insights and technical capabilities to become the leaders in this bold new world.<\/p>\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 Navigating FinTech Disruption executive immersion program<\/strong><\/a>. As Silicon Valley is a hotbed of fintech innovation, company executives benefit greatly from visiting the innovation hub and interacting with startups<\/strong> like the ones mentioned in this article. Through this immersive experience, executives 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<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Ai and Customer Experience Management<\/h2>\n\n\n\n
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Ai and Customer Experience Management<\/h2>\n\n\n\n
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Ai and Customer Experience Management<\/h2>\n\n\n\n
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Big Data and New Service Frontiers<\/h2>\n\n\n\n
Ai and Customer Experience Management<\/h2>\n\n\n\n
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Big Data and New Service Frontiers<\/h2>\n\n\n\n
Ai and Customer Experience Management<\/h2>\n\n\n\n
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Big Data and New Service Frontiers<\/h2>\n\n\n\n
Ai and Customer Experience Management<\/h2>\n\n\n\n
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Blockchain and Fraud Detection<\/h2>\n\n\n\n
Big Data and New Service Frontiers<\/h2>\n\n\n\n
Ai and Customer Experience Management<\/h2>\n\n\n\n
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Blockchain and Fraud Detection<\/h2>\n\n\n\n
Big Data and New Service Frontiers<\/h2>\n\n\n\n
Ai and Customer Experience Management<\/h2>\n\n\n\n
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Blockchain and Fraud Detection<\/h2>\n\n\n\n
Big Data and New Service Frontiers<\/h2>\n\n\n\n
Ai and Customer Experience Management<\/h2>\n\n\n\n
Conclusion<\/h2>\n\n\n\n
<\/a><\/figure>\n","post_title":"Digital Transformation Insights: Digital Transformation Opportunities in Banking","post_excerpt":"","post_status":"publish","comment_status":"open","ping_status":"closed","post_password":"","post_name":"digital-transformation-insights-digital-transformation-opportunities-in-banking","to_ping":"","pinged":"","post_modified":"2019-12-27 20:45:15","post_modified_gmt":"2019-12-28 04:45:15","post_content_filtered":"","post_parent":0,"guid":"https:\/\/siliconvalley.center\/blog\/digital-transformation-insights-digital-transformation-opportunities-in-banking\/","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"};
Visit Silicon Valley Fintech Startups<\/h2>\n\n\n\n
\n\n\n\nVisit Silicon Valley Fintech Startups<\/h2>\n\n\n\n
\n\n\n\nVisit Silicon Valley Fintech Startups<\/h2>\n\n\n\n
The Next Frontier: From Digital Banks to Smart Banks<\/h2>\n\n\n\n
\n\n\n\nVisit Silicon Valley Fintech Startups<\/h2>\n\n\n\n
The Next Frontier: From Digital Banks to Smart Banks<\/h2>\n\n\n\n
\n\n\n\nVisit Silicon Valley Fintech Startups<\/h2>\n\n\n\n
The Next Frontier: From Digital Banks to Smart Banks<\/h2>\n\n\n\n
\n\n\n\nVisit Silicon Valley Fintech Startups<\/h2>\n\n\n\n
Automation<\/h2>\n\n\n\n
The Next Frontier: From Digital Banks to Smart Banks<\/h2>\n\n\n\n
\n\n\n\nVisit Silicon Valley Fintech Startups<\/h2>\n\n\n\n
Automation<\/h2>\n\n\n\n
The Next Frontier: From Digital Banks to Smart Banks<\/h2>\n\n\n\n
\n\n\n\nVisit Silicon Valley Fintech Startups<\/h2>\n\n\n\n
Automation<\/h2>\n\n\n\n
The Next Frontier: From Digital Banks to Smart Banks<\/h2>\n\n\n\n
\n\n\n\nVisit Silicon Valley Fintech Startups<\/h2>\n\n\n\n
Digital Ecosystems<\/h2>\n\n\n\n
Automation<\/h2>\n\n\n\n
The Next Frontier: From Digital Banks to Smart Banks<\/h2>\n\n\n\n
\n\n\n\nVisit Silicon Valley Fintech Startups<\/h2>\n\n\n\n
Digital Ecosystems<\/h2>\n\n\n\n
Automation<\/h2>\n\n\n\n
The Next Frontier: From Digital Banks to Smart Banks<\/h2>\n\n\n\n
\n\n\n\nVisit Silicon Valley Fintech Startups<\/h2>\n\n\n\n