Core Systems Strategies in Retail Banking (Strategy Focus)

Table of Contents

• DATAMONITOR VIEW
  • CATALYST
  • SUMMARY
• ANALYSIS
  • A customer-centric approach will be a strategic priority for retail banks going forward
    • Customer service underpins customer retention and cross-sales
    • Product origination should be consistent across channels
  • Flexibility will be key for banks seeking to move to a future proof platform
    • Product development and time to market to support a customer-centric focus
    • Scalability and breadth to support future growth opportunities
      • Acquisitive banks should develop a framework for incorporating new institutions
      • Expanding into new geographies offers the opportunity to leverage synergies across borders
    • Core systems investments should support future regulatory developments
  • Cost control and operational efficiency will be the foundations of core renewal investments
    • Total cost of ownership remains a key issue on the IT side
    • Improving operational efficiency will improve organizational flexibility
    • Banks will start to consider alternative sourcing strategies to further improve flexibility
  • Information management and internal controls need to be built into core systems platforms
    • Information management is essential to support and improve both the back and front office operations
    • Audit and control should be addressed from an enterprise-wide perspective, and rooted in the core system
• APPENDIX
  • Further reading
  • Ask the analyst
  • Datamonitor consulting
  • Disclaimer
  • List of Figures
    • Figure 1: European banks' priorities for enhancing business growth through technology