Likhit Wagle — Global Industry GM - Banking & Financial Markets, IBM Digital Money Symposium 26 January 2016
A perfect storm
“Silicon Valley is Coming”
Square gets into the lending business Lending Entrant offering credit products, stand-alone or bundled with another product
Starbucks aggregating deposits Starbuck Mobile Payments Volume Q412 to Q314, US Stores, $millions Deposit Gathering Aggregation of value on platforms outside traditional banking products +71% (e.g., savings, checking) Source: Starbucks financial statements
Blockchain – rapidly growing domains of application Blockchain A shared ledger technology allowing any participant in the business network to see THE system of record (ledger)
Industry response New Lobby Better Operational Partner Standalone Regulators Proposition Barriers Leverage Build a new Partner with Lobby Leverage capabilities – standalone new entrants regulators to existing build a better business level the playing capabilities value field proposition
Enhanced industry response • Go beyond digital think Cognitive • Market Place Banking
Evolution to Cognitive Analytics Sophistication What What could happened? happen? How can we Simulation achieve the Captured best outcome? How many, Optimization how often, Detected What if these where? Cognitive trends continue? Inferred What exactly Forecasting How can is the achieve the problem? Use structured and best outcome unstructured data and address What will happen next variability? What actions if? Predictive Stochastic are needed? Modelling Optimization Descriptive Predictive Prescriptive Analytics Analytics Analytics
Cognitive – potential to transform business end-to-end TRANSFORMED EMPOWERED OPTIMIZED ENGAGEMENT ADVISORS OPERATIONS MONITOR DECIDE EXPLORE ENGAGE Risk and Self-Service Wealth Advisor Customer Service Compliance Engagement Assist Support Scaling sales and Accelerating expertise Enabling assurance across all Delivering one-on-one service expertise on demand business processes experiences at scale Direct-to-consumer Employee-facing Employee-facing cognitive virtual agents applications that applications that that serve, guide, & augment service across enhance wealth advise on web or mobile the customer life-cycle management operations 10
Marketplace Banking
Recommend
More recommend
