Improve Revenue, Competitive Differentiation, Costs and Compliance Through Improved Control Over Business Processes From a recent webinar sponsored by Signavio. Replay available at https://www.signavio.com/events/focus-on-banking-processes/

1. Intelligent Banking
Processes
Improve Revenue, Competitive Differentiation, Costs and Compliance
Through Improved Control Over Business Processes
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2. Today’s Challenges in Banking
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3. Challenge #1: New Competitors
• Online brands of traditional competitors
• Online-only brands
• FinTechs
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4. Challenge #2: New Business Models and
Products
• Aggregator of third-party services
• Self-service for high-net-worth customers
• Low-cost/“starter” products
• Ethical investments
• Mobile payments
• Automated financial recommendations
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5. Challenge #3: New Regulations/Risks
• KYC/AML
• GDPR
• Impact of RegTech
• Non-financial risks, e.g., cybersecurity
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6. Challenge #4: New Customer Expectations
• Modern online presence
• Personalized experience
• Omnichannel access
• Instant response/automated processing
• Decreased loyalty/multiple banks
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7. Challenge #5: Technology Modernization
• Modernization is critical for meeting business challenges
• Straight-through real-time processes
• Integration with third parties
• Ability to quickly create new products
• Agile regulatory framework
• Modern online customer experience
• Retire/isolate legacy systems
• Retrain/hire staff for new technology paradigms
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8. What Are We Trying To Achieve?
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9. Top-Level Growth Goals
• Revenue increase
• Customer satisfaction
• Wallet share
• Competitive differentiation
• Culture of innovation
• Agility
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10. Top-Level Cost/Risk Goals
• Cost reduction
• Efficiency and productivity
• Modernization and automation
• Compliance and risk management
• Process and rules oversight
• Security
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11. Achieving Goals: Two Dimensions
• Vertical alignment
• Ensure that your top-level goals are driving departmental
actions
• Horizontal integration
• Understand and measure end-to-end processes
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12. Linking Goals To Actions
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Corporate
purpose
•Outward-facing view of what the company does; value proposition
•Goals are explicit measurement of corporate success
Business
capabilities
•Services provided to customers
•Capability KPIs must be aligned with corporate goals
Business
functions
•Internal processes that support business capabilities
•Process metrics must be aligned with capabilities KPIs
Tasks
•Activities of teams and individual contributors within processes
•Performance measures must be aligned with process metrics to ensure
that employees are rewarded for contributing to corporate goals

13. Understanding The Customer Journey
• The customer journey is the only process that matters
• Make end-to-end process owners responsible for
customer success factors
• Conway’s Law:
“organizations design systems that mirror their own
communication structure”
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14. What Are Intelligent Processes?
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15. Characteristics Of Intelligent Processes
• Strategic scope
• End-to-end process covering entire customer journey
• Integrate functional silos
• Automated where possible
• Process, decision and task automation
• Self-learning via AI/ML
• Agile to allow changes
• Model-driven processes and decisions
• Service-oriented capabilities
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16. Intelligent Automation Tools Landscape
• Modeling and analysis
• Process/decision modeling
• Process mining
• Simulation
• Monitoring
• Performance visualization
• Predictive analytics
• IoT/digital twin
• Automation
• Capture
• Tasks (RPA)
• Processes (BPM/DCM)
• Decisions/rules
• AI/ML
• Event handling
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17. Combining Technologies:
One Size Does *Not* Fit All
• Modernization
• Gradual replacement of monolithic applications with
intelligent automation technologies
• Designing for agility and scalability
• What technology to use when?
• Application architecture/templates
• Case management
• Straight-through processing
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18. Creating Intelligent Processes
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19. Use Case: Onboarding and KYC
• Key to risk mitigation and compliance
• The challenge:
• Document-intensive
• Manual processes and decisions
• Multiple systems
• Can require requesting additional documents from customer
• Long completion time can deter customer
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20. Understanding Your Onboarding Process
• Process modeling
• What you think happens
• Process mining
• What really happens
• Customer journey map
• What the customer sees
Do these match?
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21. Designing Intelligent Onboarding
• Automate everything possible:
• Collection of documents from customer
• Analysis of customer information
• “Next steps” decisions
• Alerts/reminders
• Escalation triggers
• Human intervention only when required
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22. Intelligent Onboarding Results
• Faster time to completion
• Fewer internal resources
• Customer in control
• Greater consistency
• Lower risk/higher compliance
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23. Thanks!
Sandy Kemsley
sandy@kemsleydesign.com
Read my blog at column2.com
Find me on Twitter @skemsley
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