Tag Archives: Retail Banking

Risk & Compliance Reinventing Origination: Engage the Customer in the Process

Digital
May132019

In the first of my three-part blog series on reinventing the origination process I discussed how digital transformation has reshaped consumers expectation from the companies they do business with – which means that leading financial institutions must transform their customer experience as well if they wish to remain competitive. In the second part of my series, I want to focus on improving the customer experience, through customer information management focusing on speed, efficiency, and customer engagement. Develop a Holistic Approach to Customer Information Across the Organization There are few things that irritate a customer more than providing the bank with information they already have. Nothing screams “you are not important” more than having to provide my address to the very institution that helped me secure a mortgage to buy my property in the first place. Connecting legacy systems can be a messy and expensive venture, but the benefits of implementing... [Read More]

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Risk & Compliance Secure, Standardized Data Sharing Empowers Consumers & Promotes Innovation

Consumer data
Apr092019

Data is being used to improve all aspects of a consumer’s life in our increasingly digital world. eCommerce companies use data for a number of purposes, such as to personalize the experience of users across mobile apps and the web, suggest purchases and make it easier to find high-intent products. Retail stores use location data to drive consumers to local stores and restaurants and is even used in the store to better design its layout and available inventory. With the emergence of consumer-permissioned data in the financial services ecosystem we are beginning to see similar impact. Consumers’ ability to access and control their financial data is providing them with greater utility and benefit than ever before. Along with this comes expectations of better experiences, on-demand access and deeper insights. The good news is that consumer-permissioned data is providing the industry a platform for further innovation. Even now, at the tap of... [Read More]

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Analytics & Optimization Banking AI: 9 in 10 APAC Banks Feel They Lag US & Europe

Banking AI
Jan282019

Banking AI – APAC Survey We recently surveyed 33 chief risk officers from across Asia Pacific at our CRO Forum regarding the operationalizing of banking AI. We found that 91 percent of banks in Asia Pacific (APAC) felt they lagged behind banks in the US and Europe when it came to implementation of AI in their operations. The remaining 9 percent indicated that they were at least on par with US and Europe counterparts, while not a single respondent felt they were ahead. When asked about the biggest challenge in adopting AI and machine learning into existing bank operations, 42 percent indicated that it was the lack of available talent. The use of legacy systems (28 percent) came in second, followed by cost (16 percent). Banking AI – Operationalizing AI “The shortage of talent continues to be an issue worldwide as the use of AI continues to grow quickly,” said... [Read More]

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Risk & Compliance Competing in a Digital-first Environment: Is your Origination Process Ready?

Banking - Originations
Jan092019

“He who defends everything defends nothing” That quote, attributed to the 18th century King of Prussia Frederick the Great, refers to military strategy, but it could just as easily be used to describe the dilemma faced by financial services executives as they modernize their loan origination processes. In the first post of my multi-part series on how banks are solving common challenges in acquiring and retaining new customers, I looked at the challenges and opportunities financial institutions need to address in improving marketing performance. In this write-up, I want to focus on similarly practical solutions to common challenges in the origination process as it is a convergence point for a lot of different objectives necessary to deliver growth—provide a compelling customer experience, minimize credit losses, prevent fraud, maximize revenue, and comply with regulations. Fully addressing all of those objectives (or defending all of those fronts) is an impossible task. Move... [Read More]

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Risk & Compliance Money 20/20 Sits Down with FICO CEO Will Lansing

Money 2020
Nov212018

FICO CEO Will Lansing recently sat down with Money 20/20 following his keynotes at this year’s premier payments and fintech event.  He answered a few pressing questions on new innovations in credit scoring, the evolution of consumer permissioned data, and how consumers are changing the lending industry.  Hear first-hand his key takeaways from the 2018 Money 20/20 U.S. event in the video below.

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Customer Engagement Challenges Banks Face in Acquiring Customers in a Digital-first Era

Banks and customers
Nov142018

In my role at FICO I have the privilege of engaging in strategic planning discussions with senior banking executives across the globe. Most of these meetings as of late are similar: We are improving the customer on-boarding user experience, both through improved user interfaces, but also through improved analytics to bring everything we know about the customer to bear in our interaction…regardless of product line or channel. Right now we are working on our data lake. At which point, I nod. Then I ask: OK, so who is in charge of the customer journey that you are transforming? At a strategic level, banks understand the challenge they are facing and where their organizations need to go in order to thrive. At a tactical level, the decisions become much more complicated. Who owns the customer? Is that new data source worth the risk of potentially slowing down my origination process? How seriously... [Read More]

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