‘A CIO has to transform the banking industry by way of adopting new technologies’
Changing role of a CIO
Modern Banking is going to be an extension of technology with a specific purpose of solving a lot of things beyond the financial needs of individuals, countries and nations. In this context, a CIO/CTO plays the most vital and influential role in aligning technology with the business requirements and also aligning business with available technology by conceptualizing innovative business models.
Traditionally, banks have recruited people/staff to do the banking which revolves around dispensing services through channels which were not too complicated from a technology perspective. As is being observed and debated, successful banking requires banks to be technology companies doing banking business. So there is a need to review the skill required to run a bank, find a balanced mix of technology and banking skills, reform the recruitment methodology and put in place means and processes to make the staff unlearn the old skill and reskill the staff as and when required in a timely and efficient manner.
As banking dominance rests on the adoption and execution of technology, the pre-eminence of core technology excellence must be established in the organization for all to adopt and practice. In this context, the following items need to be in the agenda for prioritization –
• Enhance and improve the existing technology and process infrastructure to assimilate new technology • Tie up with Fintech Companies to act as a platform for myriad banking services
• Be a part of the open API culture and ecosystem to monetize digital assets
• Adoption of blockchain and leverage distributed ledger technology for data immutability, integrity, consistence and cost reduction
• Cloud adoption and moving to cloud based systems.
• Leverage the strength and use of Social Media
• Adopt robotics, artificial intelligence, chat-bots/virtual assistants, advanced machine learning, robotic process automation and augmented reality for customer engagement &customer experience
• Strengthening Identity management, Authentication, authorization
• Risk Management, sufficient attention to cyber information security and cyber security
Skill augmentation, staff performance management, training and e-learning etc. are essential components on the path to success in the face of new challenges due to demands of the complexities of the requirements. Banking is going to be a platform for all other players to step in and do their business with the clients, not bothering to do the banking themselves.