TECHNOLOGY
FRICTIONLESS PROCESSING
To move away from customer frustration
experienced while accessing banking
products and services, we need to streamline
the management and execution of processes.
This is achieved through the implementation
of straight-through processing, enabled
through technology such as business process
management, business rules processing and
cloud orchestration.
AS THE BANK’S
CORE PRODUCTS
ARE REPLACED
BY DIGITAL
INTELLECTUAL
PROPERTY AND
DIGITAL PRODUCTS,
IT IS ESSENTIAL
THAT CUSTOMERS
CAN ENGAGE
THESE IN A
FRICTIONLESS
WAY, ACROSS
THE WHOLE
VALUE CHAIN.
SIMPLIFIED PRODUCT MODEL
Essentially, customers engage a bank
either to borrow or save money. When
they want to access this money, they do
so through a set of predefined mediums –
card transaction, EFT or through a mobile
device. This simplified approach places
the customer at the centre of the bank’s
universe. Similarly, product design can be
simplified by designing a base product that
possesses all the possible product properties
(such as the minimum and maximum
balances) and all associated functionality
(such as money-in and money-out
functionality). Then when a new product
is created, it is instantiated from this base
product at the customer level.
This approach provides flexibility and
customer centricity, employing a componentbased approach to product development. It
provides flexibility through tailoring of the
product to customers’ specific needs, almost
in a “wizard-type” style. This flexibility allows
the bank to price and bill the customer at
portfolio level – versus a flat product-related
fee. This model also enables the digital bank to
expose these financial products as “services”
for third party consumers and the integration
of these services can be done seamlessly
through the bank’s cloud orchestration layer.
MOBILE PAYMENTS
We need to engage this low-cost payment
medium within the digital bank. In time, this
will require proactively influencing merchants
to adopt specific mobile payment solutions for
the digital bank.
This will ultimately reduce costs associated
with card issuing and management, and will
make the payments solution much more
accessible and affordable to both the customer
and merchant.
Gys Hyman is Director of Technology Innovation
at Deloitte.
To advertise in
t
WTH men
GRO ploy
NAL unem
ATIO cing
D N redu
6
on
E AN to
SM lution
Editi
13
A so
SA
20
uth
F
rica
h Af
SO
Sout
EAR ACY sociation
R anre
20 Y OvCoof r fuBtu king As
u e
rt
in
a
DEMst s e Thris Haew
h
| 20 14
n 11
tE
StA oR
A KF
BAn UtH
SoRiCA?
F
ion
edit
10
ION
EDIT
11
SSO
SSO
PICA
LINE
HEAD
ENT
OPMts ?
ge
EVEL
Who redit ers’
AL D ers cand stom
ION
nk ncy cu
the
e
FESS ’s ba telack
PROwing SA compeB perienc
Gro ncing owth ex
ha al gr
En on
pers
0 9:19
A
AM
/12/2
2013
g
nkin
f BA
n
rE o 2030 gulatio
fuTu nk of
to re
ThE The ba nding d
E&Y g Respothe clou
kPM king in
+ Ban
7 1:03
PM
/04/0
2014
SSo
PicA
LINE
HEAD
line
HeAd
L.ind
8 FINA
ition
1_ed
over
er_C
Bank
d 1
Ed itio
C istic vi
al
A re
ele
ash ?
ce M eeded
Prin E succ
BE
Has
9
PICA
ed
ION
CAT orient
EDU vingsER
sa
l for
SUM g a
ntia
CON uragin
esse
Enco oach eracy
appr ncial lit
Fina umers
cons
The
P
SA
ion
iSAt
nAl
io
nAt
p Magaz
ion
LINE
HEAD
1
rica
edit
8
SSO
editi
er1_
Cov
ker_
Ban
to use.
on2-
Opti
on7_
h Af
KER
7
ION
ION
EDIT
EDIT
PICA
indd
The
6 AM
6 11:5
/10/1
E
Es
Sout
ion
Our
Twin
n no e all
ks ca rovid ients’
‘Ban rd to p JAHl cl
al
ts to
affo KALU O alities
ro uc re
pORd bond
FESS ture
PROastruc
Infr
SM
ciat
n
file
Pro B’s a
udsm
SAR tja illay
Lese P
Ombliganyago to
e
CK vThe road ks
ea
Bas ortunit
opp vative
inno ing
fund
2013
FOR
ISIS
CR burden
e
ING
ND se th
A FU to ea
How
Asso
ing
SA
6
1.ind
over
er_C
Bank
PM
Bank
Le ban
or
sect lid
so
to a ding
stan
SA nking
ba ws tes
neel III creafor
y
M
P
ND
7 3:26
/07/1
2013
az
The
’s
and
FirstR Sizwe
a
CEO xasanthe
N ading king
sey
cKin longer
the
ing
ritis
Prio
Mag
of
ine
on 10
Editi
4
201
ker
ON
ture
2 funkin
TheBanking
aummit
of bS
The
er SA
SA
EDITI
s
Is p ut SA
g
abo re nkin
Ba
21
futu
The tion at
cia
sso
13 g
A
0
NEW
a
Afric
azin
Mag
hief
’s C ist
FNB nom
Ecowe a
Siz edlan
Nxositive
d 1
uth
n So
atio
soci
g As
nkin
e Ba
Th
e of
SA
9
BAN
rica
h Af
Sout
BAnk
ion
ciat
Asso
ER
ing
Bank
BANK
SA
SA
e
azin
Mag
e
of Th
io n
Ed it
2014
8
a
Afric
Asso
ER
Mag
ing
Bank
BANK
azine
e
of Th
on
Editi
2013
BAn
n So
ciatio
ER
BANK
E
kets
ANC mar
FIN ging
er
MIC
ISLA ow em
To gr
7
on
Editi
2013
SA
SA
SA
EwS
g n il
kin
BAnlry in reta bonds ey
e
Riva structur er surv
Infra l custom
Globa
1
9:13
AM
PicA
dd
_3.in
/19
2014/09
SSo
A_C
4 AM
10:2
HeA
kerS
Ban
tion9
_edi
over
e
dlin
d 1
ons.ind
r opti
l cove
DLIN
HEA
A_C
kerS
Ban
SSO
10_fina
ition
over_ed
PICA
E
Banker SA is a quarterly publication,
published in January, April, July and October
/23
2014/06
ED.indd
1
ROV
11_APP
ition
over_ed
A_C
BankerS
To advertise in Banker SA or to subscribe, please contact Andrew Green at:
[email protected] • Tel: 021 469 2400 switchboard • Direct: 021 469 2469 • Cell: 061 915 8191
Digital Bank.indd 41
2014/12/18 10:13 AM