Digital Transformation Powering the Next Generation of Financial Services
I bet you’re asking why there is a photo of the Archbishop of Canterbury at the top of this post about digital transformation and financial services… It’s a good question; more on that to come.
Here at Persistent Systems, we’ve been involved in many groundbreaking projects with organizations where they re-invent their business and better serve their customers, often in ways not imaginable just a few years ago. Many have been able to attract and serve new customers who simple were not able to take advantage of a traditional service. Banking is a great example.
Leveling the Playing Field
Digital transformation allows organizations to re-invent an industry solution from the ground up; something difficult for established companies due to deeply entrenched systems, territorialism, and investments. Digital transformation involves not just digitizing and re-designing the entire process to address both customer and employee needs – it means rethinking the entire relationship and end-to-end customer experience. In banking, it starts with on-boarding and digitally identifying a customer, which is the foundation of most digital transformations. #Data is one of the key drivers for digital transformation.
The emergence of cloud-based platforms and software-driven solutions is changing the game for new banking organizations. It’s allowing them to compete with legacy and extremely well-funded players, often leapfrogging them with more advanced, customer-centric solutions. Now, these upstart financial organizations have the agility to rapidly design, launch, service and scale their banking and lending portfolio. This typically encompasses a #fintech eco-system with a digital customer interface and advanced digital marketing, to support a national network of banks.
We’ve completed many projects over the years on the Mambu platform– a fantastic cloud-based banking system powering modern digital financial services. Click on the image above to watch how Mambu helps financial institutions all over the world deliver business value in a constantly changing market, allowing its clients to grow, scale and transform to meet evolving digital demands.
Just look at how we work with Mambu and Gojoko, a London-based fintech that supports the transformation of a network of community banks and credit unions into modern financial institutions offering services to members across the UK. It offers a unique lending platform via its website catering to the near-prime market – giving 20 million borrowers better access to fair credit and preventing them from falling into the hands of high-cost lenders. The platform stands apart in a space where other loan providers are either P2P platforms or wholesale funding platforms.
With the Mambu platform, new financial services organizations can address the gaps or underserved sectors left by established players. They can focus on buying versus building a platform, with minimum customization and faster time to market.
It’s a whole new game
Led by tech innovators like Mambu, a new ecosystem is empowering companies like Gojoko to be nimble and faster in reinventing a particular segment then scale quickly. It’s a classic David and Goliath scenario – new banks are now able to take on what were once the unassailable major players.
And that’s where the Archbishop of Canterbury comes in. A few years ago, Archbishop Justin Welby referred to the need for credit unions as a moral imperative. So it’s exciting that Persistent and Gojoko will soon announce a new highly flexible and dynamic API/integration layer with ready-made integrations designed to dramatically reduce the time it takes credit unions to go to market. We’ll be announcing that in London – we’ll keep you posted on details.
There you have it. Digital transformation is a game-changer for many industries – the chance to take a new approach that puts the customer at the center of everything. I’d love to hear your thoughts.