Leading banking and finance industry transformation in next normal

We saw a lot of change from the past 2 years since COVID-19 pandemic began, and how the world is coping from COVID-19 incident, and moving toward recovery and aiming for a reset for the coming of the next normal.

We saw a lot of the mega trends happening, and most of it existing banking and financial institutions are playing conservative, or some will call it reactive. For instance, fintech, mobile wallet for payment, all is initiated by non existing banking and finance players. More and more player out from existing banking and finance continue to roll out their application and initiative to capture the market share for it, to make sure they are capture the financial transaction, and capable to build up big data for the spending patterns and provide various business intelligence like consolidate financing package to up sell and cross sell what the next likely purchase items. Crypto currency and blockchain that made mega waves for years, none of them being tapped by any existing banking and financial institutions proactively as well.

More and more countries are moving toward a cashless society, it eliminates the need for paper notes and coins, and more and more mobile wallet players are making their brand and platform first choice over any banking debit cards. By swap of the smartphone, then the transaction is completed, so handy for the consumer. We can observe and see that most of the banking and financial institutions continue to move away from consumer banking and focus on enterprise financial needs and requirements. As you can see from what the global banking player is doing, disinvest from consumer banking, with the hope to remain in shrinking market share.

We will continue to see for the customer loyalty will move away from the banking and financial player toward the integrated shopping platform or global corporation who offer one stop solutions, such as smartphone manufacturer mobile payment, financing, to telco communications player who attempt to offer telecommunication service together with their various attractive offering, include entertainment to smartphone financing and installments. Same goes with the global and regional shopping platforms who attempt to do the same. Technology is enabling it for those who have the visionary and know how to use it for their business strategy. Next normal era will see for even more blur for the industry and sector definition, the traditional way for define the industry and sector should not be prohibit the player and it should enabling for them pursue digital transformation, cross industry and sector and harvest the brand and ecosystems they can provide, and each player is attempt to do next. This is why we saw smartphone manufacturers enter into tablet, PC, credit card financing, entertainment content producing and subscription, smart glass, smart car and anything else they can unlock by technology.

It is just like some nations prefer for younger chiefs to lead, who are more accepting of the change. Same goes for the various industries and sectors, it is time to think and assess for your chief, do they possess what is needed to lead the organization to growth in the next normal? Do they understand the value and are capable of using technology to unlock the business potential for the organization? Leadership remains one of the very fundamental criteria we are expected to see for how it contributes to the organization to growth, to shrink for the said organization in the next normal.

E-SPIN Group in the enterprise ICT solution supply, consultancy, project management, training and maintenance for corporation and government agencies did business across the region and via the channel. Feel free to contact E-SPIN for your project requirement and inquiry.