STAMFORD, Conn.--(BUSINESS WIRE)--Banks are collectively investing billions of dollars in new technology platforms, but when it comes to understanding how all that IT spending is actually affecting their competitive positioning, senior executives have been flying blind.
A new solution from Greenwich Associates addresses this problem by helping banks to benchmark where on the digital continuum they sit relative to their peers. Performance is measured at both the overall level and in specific business functions like Onboarding, Payments, Credit Underwriting, and Sales.
“As banking evolves into a technology and data business, banks that underinvest or invest poorly risk getting leapfrogged by competitors that successfully leverage tech to win market share and become more efficient,” says Don Raftery, Managing Director at Greenwich Associates. “The question for senior management is: How do you know you’re getting it right when the cost of not getting it right is large in terms of time and money?”
Corporate Banking’s Tech Transformation is Happening Now
When compared to retail banking, commercial and corporate banking are still in the early stages of this evolution. Companies like Amazon and Uber have used mobile technology to redefine consumer expectations for simplicity, transparency and ease of doing business. Fintech providers like PayPal and Zelle have changed day-to-day consumer behavior in payments and other areas. Wholesale executives are also retail banking customers and are accustomed to performing most routine banking tasks online or on their phones.
For a variety of reasons, commercial and corporate banks have been slower to digitize their platforms and processes. “In wholesale banking, the true transformation is going on now, and the outcome will go a long way in determining who will be the winners and losers in the next decade and beyond,” says Chris McDonnell, Managing Director at Greenwich Associates. “This is a multi-year journey and the race to meet client expectations and efficiencies at scale is well underway.”
Greenwich Digital Transformation Benchmarking
Greenwich Digital Transformation Benchmarking allows banks to benchmark where they are on their digital transformation journey relative to their competitors and peers, both overall and in specific functions. This solution is designed to help bank management teams prioritize large, important and competing technology investment decisions, and maximize ROI.
Based on a deep assessment of a bank’s technical capabilities and processes, Greenwich Associates shows where that bank ranks against its peers and relative to best-in-class providers in the critical areas of Digital Client Channels, Salesforce Enablement Tools, Credit Underwriting & Servicing, Payments, and Onboarding, and whether current investments are delivering intended improvements in client experience and efficiency.
Greenwich Associates drills down into granular application functionality to highlight potential gaps. For example, within Onboarding, the assessment measures a bank’s technology capabilities in know-your-customer (KYC), digital document vaults, e-signatures, entitlements, authority management, rules engines, use of AI/ML/OCR, and other functions, showing the relative performance of the client bank, peers and best-in-class.
“Because ultimately everything comes down to ROI, Greenwich Digital Transformation Benchmarking provides clear data on how technology investment is impacting the client experience, top-line revenues, bottom-line profits, returns on capital, and other financial key performance indicators,” says Amos Welder IV, Associate Consultant at Greenwich Associates.