cetif - digital banking hub...the value of gft’s api governance framework governance process...
TRANSCRIPT
INNOVATE. TRANSFORM. DELIVER.
March 2018 - workshop “API Governance & Service Integration”
CETIF - DIGITAL BANKING HUB
20/03/2018
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Our approach to Digital Transformation
20/03/2018
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Challenge remains!!
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BECOME A DIGITALLY MATURE FINANCIAL SERVICES
Strategic Model Real-time Model Life journey Path Core banking Path
There is no one perfect digital transformation planning process, each one should customize the best approach to suit the culture of its members and their current technological and organizational situation.
Ideal for companiesthat have enoughresources to pursuevery ambitious visionsand goals, externalenvironments arestable, and currentlydon´t have a largenumber of issues toaddress.
Issues-based Model
This model worksbest for organizationsthat have very limitedresources, severalcurrent and majorissues to address, andvery little buy-in tostrategic planning.
It suits especially forcompanies whobelieves that changesare too often andrapidly for long-term,detailed planning toremain relevant.Therefore planningshould be donecontinuously, “in realtime”
This path transformorganizations totailor /prioritizeservice experiencesto the expectationsand habits ofindividual users. Itsuits with flexiblecompanies that wantto continuechallengethemselves.
Ideal for companiesthat wants to evolveto a Bank as aPlatform, designing anew functional mapthat allows toevaluate eachinternal domainseparately andtransform itindividually.
STRATEGIC APPROACH TACTICAL LEVERAGE
Digital approach
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Digital transformation? – the 4 pillars
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SCOPE OF ACTION
Based on the experience of previous models, we believe that in order to carry out the challenges of digital transformation in the financial industry it is necessary to focus the model on four areas/pillars:
• Customer Experience ( customer centricity)• Open Organization (collaboration)• Process Optimization ( operational efficiency)• Data management ( data driven)
An in-depth review of each one allow us to face the technology challenges and found answers to the needs of customers, partners and employees.
“Building the bank of the future it is aboutbeen more digital, diversified, adapted to thenew environment and well positioned for thelong term.”
Market places
New business models
Crowdlending, P2P payments
Digital On-boarding
Chatbots
Robo-advisor
Blockchain
Audit and trace
user activity
Smart regulatory &
compliance reporting
Anti-Money Laundry
Identity & Fraud
Robot Process
Automation
Smart alertsSocial networks to
credit score & risks
front off
ice
back o
ffic
e
Core
Banking
Loans´ approval
VR & AR
Environments
Home
Assistants
Recommendations
engines
Biometrics
signature
New incomes with non
financial services
Customer 360º
Open API
Fraud analytics
Trading patterns
REAL-TIME MODEL aligning four challenges, making tangible and driving by a JOURNEY PATH
“Accelerating company transformation designing a
company at 2 speeds prioritizing Customer Journeys“
R E
G U
L A
T I
O N
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Digital transformation? - the 4 initiatives
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Augmented
Banking
Open
Banking
Automation
Banking
Cognitive
Banking
Augmented Banking Open Banking
Cognitive Banking
Enhance customer´s relationship with new contextual interactions providing personalized advices.
Combined services from banks and other suppliers to offer higher added value to the
consumer than separately.
Integrate and analyze the relevant data to present hypotheses, arguments and recommendations that are unique.
Automation Banking
Pair intelligent automation with banks organization to adjust the way employees work and type of they do.
Exponential Banking Initiatives
Business challenges in conjunction with technological advancements are disrupting the industry, the answer to this question allow us to define four initiatives that seems the beginning of a visionary era of hyper-banking.
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Augmented
Banking
Open
Banking
Automation
Banking
Cognitive
Banking
Augmented Banking
Business challenges in conjunction with technological advancements are disrupting the industry, the answer to this question allow
us to define four initiatives that seems the beginning of a visionary era of Exponential Banking
Open Banking
Automation Banking Cognitive Banking
Intelligent
Interfaces
Intelligent
Algorithms
Intelligent
Solutions
Intelligent
Process
Automation
Robotic Process
Automation
Digital
Solutions
Augmented
Solutions
Open APIs (Marketplaces)
Bank as a
Platform
Modular Banking
Channels /
Architecture
AR/VR
Computing Vision
IoT
Web / Mobile
CPA
RPA
BPM
Bots
BaaS, BaaP
Blockchain
APIfication
Microservices
Machine Learning
Deep Learning
NLP
Bots
Mainframe Optimization/ IT
platforms Downsizing
Digital Process
Automation
The 4 initiatives: open banking
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Open Banking - Key Assets (Tangible Uses Cases)
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Augmented
Banking
Open
Banking
Automation
Banking
Cognitive
Banking
Augmented Banking
Uses Cases involve in different Customer Journeys is the best way to make tangible and understand which expectations and
challenges are covered to customers and business benefits
Open Banking
Automation Banking Cognitive Banking
PFM / BFM
New ways Payments
Biometric SignatureDigital Onboarding
Digital Branch
Extended Mobile
Immersive Experience
New Interaction ways
Mobile experiences Digital Architecture
Aggregated APIs
API IAM
API GovernanceAPI Management
API Development
Bank Store
New Banks
Mainframe downsizing Mainframe Optimization
Banks Platforms
Agile Banking
API Solutions (PSD2)
Video / Messaging
ClassifierCategorization
Cognitive algorithms
Chabot Virtual Assistant
Insight / OpportunitiesObject identification
Robot AdvisoryAI Lab
Augmented Reality
Operational efficiency
Reduce Costs Accelerate timing
Reduce Errors
Intelligent decision making
Connected Apps
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Internal API
Core Banking
BANK DOMAIN
Proprietary
Apps
BANK DOMAIN
Proprietary
Apps
Core Banking
open API
Third party
Apps
BANK DOMAIN
Banking
Ecosystem
Unified API
Layer
Fintech
Neobanks
Traditional
Bank or
Spin-off
BANK DOMAIN
Banking
Platform
PLATFORM
Open Modular Bank (BaaS) Bank as Platform (BaaP)
Integrate external services and
aggregate multiple APIs from
external providers.
Open Banking Platform
New business models and accelerate
digital strategy
Unified API
Layer
CloudCibersecurity
Blockchain
Bank(Private API)
OPEN BANK
Closed Bank as traditional model. Use APIs as a channel for own bank
products. Expose bank services
through open APIs to third Party
developers.
Define the API first (Channels)
Open your API to others new entrants
in the competitive space (Api Market)
A unified API layer for the whole
system provides access to the
world ( Aggregator & Distributor)
Provide a complete platform to
develop a new bank (Platform)
Financial Data
Non Financial
ECOSYSTEM
Cloud
APIs APIs
Open Bank (Open API)
Cloud
APIs
Modernize Core Banking, mainframe
optimization or downsizing
Evolution
Open Banking - Evolution
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API Governance
INNOVATE. TRANSFORM. DELIVER.
GFT’s framework
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The three pillars of an API strategy
Definition of the digitization process to anticipate
and face the new banking business needs of the
coming years.
API Advisory for
Assessment and
Prioritisation
API Governance
Framework
API Design,
Implementation and
Architecture
Assessment of impact on legacy systems
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What is an API ?
API should be seen as a Business Product
An API can be considered a contract between a
provider and a consumer
Its specification describes the functions it performs
or services it offers and the data each requires and
returns
An API specification is separate to its technical
implementation
The API definition is global yet can have local
implementations
An API abstracts the service from the back-end
systems involved
API Definition
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What is an Open or Public API
What is an Open API?
An Open API is an API where the design
and technical implementation are suitably
robust and secure for external
consumption
An Open API approach to all API design
provides the organisation with the choice
to expose any banking capabilities as a
service (BaaS) to any consumer (owned
channels, as well as digital apps, third
party systems, fin techs, etc.)
BaaS
User Interface
Engagement APIs (e.g. BFF)
API Definition
API Implementation / Middleware
Core/Legacy systemsCountr
y
specific
Consum
ers
(AP
I Consum
er)
Countr
y
specific
Serv
ice
(AP
I Pro
vid
er)
Glo
bal
Main
FrameCRM BPM ...
API Gov
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What isn’t an API ?
API shouldn’t be seen as
A way to scale your application
A technological challenge for banks
A synonymous of Mobile App
API Definition
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Scope of API Governance
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API Gov Scope
Interface
Requirements
SW Service
Definitio
n
De
velo
pm
en
t
Execution
Monito
rizatio
n
(monito
ring)
Development status
(Country + Version)
API Catalog / Doc
Dev Portal
Consumer App’s Mon
API Mon
Deployment status
(Country + Environment + Version)
PaaSTech Arch
Robust governance should not constrict innovation. It must foster a collaborative community to enable the organisation to try early,
learn fast and scale easily, exploiting the maximum business value offered to the intended audience.
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Reference Process & Roles
Documentation
Implementation interfaces
API Consumer SDK
Samples server
API Definition Validation Releasing Execution Decommission
API
Supervisor
Contributors
Contributors
.
.
.
Development
Process
Automatically
produced
GOVERNANCE
Global
supervision
Discussions
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The value of GFT’s API Governance Framework
Governance Process Design
API’s life cycle definition (Global/Local)
API’s conceptual model for the governance:
Working model and governance for the internal open
source Club
Club control model
Artifacts: Roles (Global/Local), Committees, centres
of excellence
PoC Implementation
Development of a PoC based on the selected tools and
following the defined model:
Implementation of a base suit of tools to make it
understandable
Training for the in house teams
Benchmark of the Tools
Tool’s benchmark to follow the defined workflows
Functionality analysis
Recommendation
Blueprint Definition
Best practice definition for financial API design
Recommendations, examples, and accelerators
Joint design of the first APIs together with the client teams
Implementation of the complete life cycle and governance for
a certain number of verbs and endpoints
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How do you setup?
API as a channel?
How do you structure the organisation and people?
How do you scale?
How to monetise the API?
How to run the API?
From API definition through to implementation?
What is the implementation reference?
What is the process to release to Production?
What are the considerations toward PaaS?
Programme loading
What are the correct sizing of teams for implementation and execution?
What is the impact on legacy?
What is the Open vs Internal API approach?
What are the security considerations?
Topics you need to consider…
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Interesting patterns
API architecture
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Definitio
nTech Arch
Scope of API Architecture
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API Gov Scope
Interface
Requirements
Service
Execution
Monito
rizatio
n
(monito
ring)
Development status
(Country + Version)
API Catalog / Doc
Dev Portal
Consumer App’s Mon
API Mon
Deployment status
(Country + Environment + Version)
PaaS
Robust architecture should not constrict innovation. It must foster collaboration, knowledge sharing and services reuse to enable the
organisation to implement early, learn fast and scale easily, exploiting the maximum business value offered to the intended audience.
SWDe
velo
pm
en
t
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CQRS - architecture patterns #1
Stands for Command Query Responsibility Segregation.
At its heart is the notion that you can use a different model to update information than the model you use to read
information. For some situations, this separation can be valuable, but beware that for most systems CQRS adds risky
complexity.
The mainstream approach people use for interacting with an information system is to treat it as a CRUD datastore.
In the simplest case, our interactions are all about storing and retrieving these records.
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CQRS - architecture patterns #1
Source: ThoughtWorks
© Martin Fowler
23CONFIDENTIALGFT GROUP
Shaping the future
of digital business DIGITAL BANKING HUB - “API Governance & Service Integration”
20/03/2018