Positioning as an “orchestrator”: integrating technologies
Both local and multi-regional banks can achieve a positioning as orchestrators, functioning as a
gateway to the modularised world of financial services: in the disruption scenario, the multitude
and complexity of the financial services offered often exceed the understanding and patience of
both retail and corporate clients. Players that create, explain and deliver a cutting-edge product
portfolio (including third-party components) create sustainable value for their clients (“guides in
the digital jungle”).
More far-reaching technological advances enable multi-regional banks in particular to integrate
seamlessly with client systems (e.g. Payment transaction, or liquidity provision). Clients will
increasingly look for solutions that eliminate the need to contact banks directly for their
day-to-day businesses (“invisible bank”).
Additionally, those banks that offer to assume non-standard risks for their clients (e.g. Where
credit portals may no longer be able to offer a standard solution), will remain in demand as
“risk partners”. As is the case with “invisible banks”, multi-regional banks also have an advantage
to become “risk partners”, given that they can capitalise on their larger size when it comes
to diversification effects and the availability of know-how.
In an ever-changing setting, however, banks – local and multi-regional ones – that cling to the
traditional, integrated bank operating model, will face the same issues as formerly successful
department stores or hardware component manufactures not keeping up with the times