Photo - Bernard Chiang, Managing Director, SAP Malaysia
Asia based Banks and other financial institutions need to become more agile as well as meet new compliance regulations by using big data analytics and other on-demand solutions, said enterprise solutions firm SAP Malaysia.
"In today's exceedingly competitive environment, business can't leave innovation to chance," said SAP Malaysia managing director, Bernard Chiang. "Gone are the days where the big boys who can afford all the shiny toys dominate the market, and corporates are increasingly seeking to streamline operations using new ideas."
"This is especially true with financial institutions as they struggle with tight cost to income ratios against the ever increasing cost of compliance with new regulations," said Chiang. "Yet technology is not a core business to banks, and that's where thought leaders in the field can make a difference."
"Financial institutions today face multiple challenges such as increased onboarding costs, changes in supply chain, and management harmonization," he said. "Development projects that are critical can still stretch out, limiting their ability to respond to new opportunities in an agile manner."
"There are so many needs that they have to fulfil, and they need to do it faster, and cheaper than the competition. The idea is not for them to dump in massive amounts of cash, but they really need to pay attention to what kind of benefits strategic investments can bring," said Chiang.
"With Asia banks today looking to expand both regionally and globally, it is critical that they have the capability to move into new markets quickly without establishing new banking connectivity," he said.
Seamless multi-bank solution
"Banks need to have the ability to easily exchange messages such as payments, statements and more. They also need simplified and secure connectivity for transacting with multiple financial institutes," Chiang said.
With the use of Big Data analytics [BDA] and real-time computing, companies can now gain a remarkable and previously unattainable view of markets, and consumers, he said. "This information can then be used as a guide to innovation, and ultimately shape the way they can adapt and survive change."
Chiang said that SAP formed its Financial Services Network [FSN], an innovative on-demand solution, to help connect banks and other financial institutions. "The network offers multiple services over one single channel while supporting the deployment of new ones."
He said the "timely deep integration of key business processes could not only lower total cost of ownership, but also increase time to value in onboarding and provision of key banking services. And if done correctly, operational risk can be kept minimal, while at the same time better visibility and control is available."
Sign up for CIO Asia eNewsletters.