digital disruption in finance

113
Digital Transformation ——— Digital Disruption in finance ——— June 2015 [email protected] / @jcaudron / +32 475 43 80 98

Upload: duval-union-consulting

Post on 21-Apr-2017

8.546 views

Category:

Economy & Finance


0 download

TRANSCRIPT

Page 1: Digital disruption in Finance

Digital Transformation

——— Digital Disruption

in finance ———

June 2015

[email protected] / @jcaudron / +32 475 43 80 98

Page 2: Digital disruption in Finance

AllDigitalNow

• we are a digital consulting company

• founded in 2009

• we work for large European clients

• we have a strong vision on the impact of digital and act accordingly

• we are advisors, writers, coaches and entrepreneurs

Page 3: Digital disruption in Finance

@jcaudron

Page 4: Digital disruption in Finance

Digital disruption is real. Expect a smack in the face…

Page 5: Digital disruption in Finance

who is your…

Page 6: Digital disruption in Finance
Page 7: Digital disruption in Finance

Waves of Digital Disruption

1995+ Music Photography Video Rental …

2010+ Print Media TV Travel HR …

2015+ Finance Healthcare Automotive Retail Education Telco …

2020+ All Safe havens will be subject to digital disruption …

Page 8: Digital disruption in Finance

@jcaudron

Disruption

Modeling

Transformation

You have a choice

Page 9: Digital disruption in Finance

@jcaudron

What can we learn?

Page 10: Digital disruption in Finance

The Glass House

Transparency

Accountability

Proximity

Responsiveness

Bi-directional

Humanization

Authenticity

Page 11: Digital disruption in Finance

Transparency, trust, authenticity,…

Transparency

Accountability

Proximity

Responsiveness

Bi-directional

Humanization

Authenticity

The Glass House

google.com/trends/

Page 12: Digital disruption in Finance

Transparency

Accountability

Proximity

Responsiveness

Bi-directional

Humanization

Authenticity

The Glass House

Page 13: Digital disruption in Finance

Transparency

Accountability

Proximity

Responsiveness

Bi-directional

Humanization

Authenticity

The Glass House Accountability

Page 14: Digital disruption in Finance

Transparency

Accountability

Proximity

Responsiveness

Bi-directional

Humanization

Authenticity

The Glass House

Bi-directional

Page 15: Digital disruption in Finance

Transparency

Accountability

Proximity

Responsiveness

Bi-directional

Humanization

Authenticity

The Glass House “Simple”, remember these guys…

simple.com Humanization

Transparency

Page 16: Digital disruption in Finance

Transparency

Accountability

Proximity

Responsiveness

Bi-directional

Humanization

Authenticity

The Glass House New transparent technologies like the Blockchain

blockchain.info

Page 17: Digital disruption in Finance

Monolithic vs. atomic

APPification

Long Tail

Personalized

Experience

Speed

Price

(Self-)service

Scalability

The Package

Page 18: Digital disruption in Finance

Angry Birds Twitter, Facebook

Newspaper Website

CNN online / app

Blogs

Vertical sites and specialties portals

Yelo App Boxee

Spotify

Sporza.be

LinkedIn, Monster, ...

eBay

Pinterest, blogs

Weather Pro (iPhone)

Traffic: Waze + iCoyote (iPhone)

YouTube

Twitter, Facebook

RSS

Breaking news

In-depth analysis

Services

Weather

Classifieds

Jobs

Sports

TVFun

Specials

Discovery

culture

Trends & Lifestyle

Monolithic vs. atomic

APPification

Long Tail

Personalized

Experience

Speed

Price

(Self-)service

Scalability

The Package Unbundling

Page 19: Digital disruption in Finance

The Package

Monolithic vs. atomic

APPification

Long Tail

Personalized

Experience

Speed

Price

(Self-)service

Scalability

Unbundling of banks

Page 20: Digital disruption in Finance

The Package

Monolithic vs. atomic

APPification

Long Tail

Personalized

Experience

Speed

Price

(Self-)service

Scalability

PayPal’s simple and social payments app

venmo.com

Page 21: Digital disruption in Finance

Personalized pricingThe Package

Monolithic vs. atomic

APPification

Long Tail

Personalized

Experience

Speed

Price

(Self-)service

Scalability metromile.com

Page 22: Digital disruption in Finance

The Package

Monolithic vs. atomic

APPification

Long Tail

Personalized

Experience

Speed

Price

(Self-)service

Scalability

Rebundling of health insurance with personalized lifestyle improvements

zoomcare.com/health-insurance

Page 23: Digital disruption in Finance

The Package

Monolithic vs. atomic

APPification

Long Tail

Personalized

Experience

Speed

Price

(Self-)service

Scalability

Subscriptions & packages in healthcare insurance

hioscar.com

Page 24: Digital disruption in Finance

The Package

Monolithic vs. atomic

APPification

Long Tail

Personalized

Experience

Speed

Price

(Self-)service

Scalability

Exquise user experience

m.gobank.com

Page 25: Digital disruption in Finance

The Package

Monolithic vs. atomic

APPification

Long Tail

Personalized

Experience

Speed

Price

(Self-)service

Scalability

Scalability

Page 26: Digital disruption in Finance

The Frog

Bypassing

Virtualization

Fragmentation of touchpoints

Page 27: Digital disruption in Finance

Bypassing

Virtualization

Fragmentation of touchpoints

The Frog Bypassing

Page 28: Digital disruption in Finance

Bypassing

Virtualization

Fragmentation of touchpoints

The Frog Other industries are getting into finance

Page 29: Digital disruption in Finance

Bypassing

Virtualization

Fragmentation of touchpoints

The Frog Bypassing of overdrafts through better rates and no waiting times

koalaboox.com

Page 30: Digital disruption in Finance

Bypassing

Virtualization

Fragmentation of touchpoints

The Frog Bypassing of stockbrokers

robinhood.com

Page 31: Digital disruption in Finance

Bypassing money transfer fees

Bypassing

Virtualization

Fragmentation of touchpoints

The Frog

transferwise.com

Page 32: Digital disruption in Finance

“The People” bypassing banks, Bitcoin is for real

Bypassing

Virtualization

Fragmentation of touchpoints

The Frog

goabra.com

Page 33: Digital disruption in Finance

Bypassing

Virtualization

Fragmentation of touchpoints

The Frog Bypassing of money transfer companies

Page 34: Digital disruption in Finance

New gatekeepers

Recommendations

“Good is good enough”

Ambassadorship

The Gatekeeper

Page 35: Digital disruption in Finance

New gatekeepers

Recommendations

“Good is good enough”

Ambassadorship

The Gatekeeper Product simplification will allow for new gatekeepers…

Page 36: Digital disruption in Finance

New gatekeepers

Recommendations

“Good is good enough”

Ambassadorship

The Gatekeeper New generations want new gatekeepers

millennialdisruptionindex.com

Page 37: Digital disruption in Finance

New gatekeepers

Recommendations

“Good is good enough”

Ambassadorship

The Gatekeeper FinTech investments tripled in 1 year

Page 38: Digital disruption in Finance

New gatekeepers

Recommendations

“Good is good enough”

Ambassadorship

The Gatekeeper They are afraid, are you?

shareholder.com/downloads/ONE/JPMC-AR2014-LetterToShareholders.pdf

Page 39: Digital disruption in Finance

New gatekeepers

Recommendations

“Good is good enough”

Ambassadorship

The Gatekeeper New gatekeepers

etoro.com

Page 40: Digital disruption in Finance

New gatekeepers in retirement spending

myabaris.com

New gatekeepers

Recommendations

“Good is good enough”

Ambassadorship

The Gatekeeper

Page 41: Digital disruption in Finance

New gatekeepers

Recommendations

“Good is good enough”

Ambassadorship

The Gatekeeper Rebundling all methods and channels into one experience

adyen.com

braintreepayments.com

Page 42: Digital disruption in Finance

New gatekeepers

Recommendations

“Good is good enough”

Ambassadorship

The Gatekeeper Apps integrate payments through stripe, not banks

stripe.com

Page 43: Digital disruption in Finance

New gatekeepers

Recommendations

“Good is good enough”

Ambassadorship

The Gatekeeper “Good is good enough”

Pay, track, save, loan.

Page 44: Digital disruption in Finance

The Traveller

Place

Utility

Empowered self

Instant gratification

New way of working

Contextual awareness

Real-time

Page 45: Digital disruption in Finance

The Traveller

Place

Utility

Empowered self

Instant gratification

New way of working

Contextual awareness

PLACE OnlinePoS HybridOmnichannel

(digital entering PoS)

(all functions go digital too)

Page 46: Digital disruption in Finance

The Traveller

Place

Utility

Empowered self

Instant gratification

New way of working

Contextual awareness

Real-time

The rise of mobile

Page 47: Digital disruption in Finance

The Traveller

Place

Utility

Empowered self

Instant gratification

New way of working

Contextual awareness

Real-time

27% of global transactions on mobile devices

adyen.com/home/about-adyen/press-releases/mobile-payments-index-april-2015

Page 48: Digital disruption in Finance

The Traveller

Place

Utility

Empowered self

Instant gratification

New way of working

Contextual awareness

Real-time

Empowered Self, Utility, Instant Gratification

moven.com

Page 49: Digital disruption in Finance

The Traveller

Place

Utility

Empowered self

Instant gratification

New way of working

Contextual awareness

Real-time

Utility for better driving behaviour

axa.com.my/1741/en/useful-links/axa-drive/axa-drive

Page 50: Digital disruption in Finance

The Traveller

Place

Utility

Empowered self

Instant gratification

New way of working

Contextual awareness

Real-time

KBC wants to keep some offices open at night and during weekends - New way of working

Page 51: Digital disruption in Finance

The Participant

Community

Gamification

Collaboration

The power of the crowd

Sharing economy

Page 52: Digital disruption in Finance

The Participant

Community

Gamification

Collaboration

The power of the crowd

Sharing economy

The sharing economy

audiunite.com/se/service/en_unite.html= 200 euro per maand per persoon

Page 53: Digital disruption in Finance

CrowdfundingThe Participant

Community

Gamification

Collaboration

The power of the crowd

Sharing economy

Civic crowdfunding

bron: frankwatching

Page 54: Digital disruption in Finance

Peer-to-peer lending with better ratesThe Participant

Community

Gamification

Collaboration

The power of the crowd

Sharing economy

lendingclub.com

Page 55: Digital disruption in Finance

Guess who are partnering with the Lending Club?The Participant

Community

Gamification

Collaboration

The power of the crowd

Sharing economy

lendingclub.com

Page 56: Digital disruption in Finance

Insurance based on your networkThe Participant

Community

Gamification

Collaboration

The power of the crowd

Sharing economy

friendsurance.com

inspeer.me

Page 57: Digital disruption in Finance

Community for student loans and support

commonbond.co

The Participant

Community

Gamification

Collaboration

The power of the crowd

Sharing economy

Page 58: Digital disruption in Finance

Group buying your insuranceThe Participant

Community

Gamification

Collaboration

The power of the crowd

Sharing economy

boughtbymany.com

heyguevara.com

Page 59: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

Page 60: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

Internet of Things

Page 61: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

Contactless payments

This is about data, not money.

Page 62: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

Financial management on your wrist

Page 63: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

Wearables will change our lifestyle

Page 64: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

Credit & insurance through smart device monitoring?

Page 65: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

The future of car insurance?

Page 66: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

Data, Data, Data!

finextra.com/news/fullstory.aspx?newsitemid=27366

Page 67: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

Smart contracts

Page 68: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

Programmable banks are coming

programmableweb.com/api/fidor

Page 69: Digital disruption in Finance

The Cyborg

Internet of Things

Wearables

Quantified self

Robotics

Data

Monitoring

New industries for insurance

bitgo.com

coverdrone.com

Page 70: Digital disruption in Finance

So, back to Digital Transformation

Page 71: Digital disruption in Finance

Create your own Digital Transformation vision and plan1

Create Digital Leadership2

Innovate in the right place(s)3

Build the Transformation Fleet4

Change the culture5

Page 72: Digital disruption in Finance

Create your own Digital Transformation vision and plan1

Create Digital Leadership2

Innovate in the right place(s)3

Build the Transformation Fleet4

Change the culture5

Page 73: Digital disruption in Finance

Glass House

Package

Frog

GatekeeperTraveller

Participant

CyborgTHE WHEEL OF CHANGE

Use the wheel to:

Spot and understand thedynamics of digital

disruption

Analyse the impact on your industry and business

Create a future vision and write a transformation strategy for your company

Build a roadmap that gets you there.

Sold in 28 countries

Page 74: Digital disruption in Finance

@jcaudron

It’s no longer about digital, it’s about business

Corporate (comm)Strategy

Digital Strategy

CompanyStrategy

Digital World

Page 75: Digital disruption in Finance

@jcaudron@jcaudronDigital Transformation Modeling

From ... ... to

The Business

Digital (at the sideline)

Digital in the core

Page 76: Digital disruption in Finance

@jcaudron@jcaudronDigital Transformation Modeling

From ... ... to

The BusinessDigital (at

the sideline)

From ...

The Business

Digital (at the sideline)

Page 77: Digital disruption in Finance

@jcaudron@jcaudronDigital Transformation Modeling

From ... ... to

The BusinessDigital (at

the sideline)

Digital in the core

From ...

The Business

Digital (at the sideline)

Digital in the core

Digital in the core

Digital in the core

Page 78: Digital disruption in Finance

@jcaudron@jcaudronDigital Transformation Modeling

From ... ... to

The BusinessDigital (at

the sideline)

Digital in the core

From ...

The Business

Digital (at the sideline)

Digital in the core

Digital in the core

Digital in the core

Page 79: Digital disruption in Finance

@jcaudron@jcaudronDigital Transformation

TV

Rad

io

Prin

t

Billb

oard

s

DM

Dig

ital C

hann

els

From ... ... to

Sale

s

Mar

ketin

g &

Com

mun

icat

ion

Serv

ice

& S

uppo

rt

HR IT

PR &

Ext

erna

l Com

mun

.

R&

D &

Ent

erpr

ise

2.0

Digital Transformation

Page 80: Digital disruption in Finance

Create your own Digital Transformation vision and plan1

Create Digital Leadership2

Innovate in the right place(s)3

Build the Transformation Fleet4

Change the culture5

Page 81: Digital disruption in Finance

“If you can't understand the new world of digital, fire yourself.

Build an executive team that is digital-first (when problems arise, the first solution is always digital). Make sure there is a techie on the

board of directors. If the board has a low digital IQ, the company

will have a low digital IQ”

George ColonyCEO Forrester Research

So, where are you? How digital is your

company?

Digital Leadership Assessment

Page 82: Digital disruption in Finance

The ideal situation

CEOIdeally your CEO is the digital lead

CIO COO CbsOSalesMkt

Page 83: Digital disruption in Finance
Page 84: Digital disruption in Finance

Outside world

Digital Network

Digital Officers

DIGITAL OFFICE

You need Digital Leadership, on all levels

CIO COO CbsOSalesMkt

CDO

Virtual Digital Leadership Team Digital Leads

Board of Directors

Shareholders

CEO

Page 85: Digital disruption in Finance

Create your own Digital Transformation vision and plan1

Create Digital Leadership2

Innovate in the right place(s)3

Build the Transformation Fleet4

Change the culture5

Page 86: Digital disruption in Finance

The Classics The Converted The Digital The Ruptured

• (mentally) older generation that will not go digital soon

• no longer open to changes brought by digital

• they make you stretch the traditional business as long as possible

• slowly getting involved with digital and embracing it.

• they expect the digital services to be a translation of the traditional services.

• most of the digital investments today are focused here, but this is mainly fixing the basics

• still knows the old business models and logic, but that is already adopting a new behaviour and new business models and services.

• first adopters of entirely new business models (cfr. Netflix, Uber, …). Invest in this too

• raised with new concepts, with no recollection of the old models

• use a broad variety of business models and technologies

• digital natives, the children that grow up with tablets, apps and everything on-demand.

Traditional modelTraditional channels

Traditional modelsDigital channels

New modelsDigital channels Everything new

Incumbents (you) Challengers (them)

Page 87: Digital disruption in Finance

Different types of innovation

The Factory The Guesthouse The Garage

Incremental innovation• Development of ‘need to have’

digitals projects and technology

• Working on the existing foundation of the company

• Follows general procedures and regulations

• Slow

Change projects• Small and dedicated project-teams, focused

on in-house innovation

• Limited independency: they are an (internal) supplier of the factory

• Focus on strategically important new-style projects or add-ons that will be rolled-out within the existing company architecture

Breakthrough innovation• Small dedicated teams focused on innovation

• Autonomous operations and decisions

• Possibly separate entities

• Focused on agile and rapid development and roll-out of ideas in a stand-alone model

•These can be grass-root internal initiatives or acquisition of interesting targets

Page 88: Digital disruption in Finance

Create your own Digital Transformation vision and plan1

Create Digital Leadership2

Innovate in the right place(s)3

Build the Transformation Fleet4

Change the culture5

Page 89: Digital disruption in Finance

@jcaudronDigital Transformation

From ... ... toFrom ...

Page 90: Digital disruption in Finance

Create your own Digital Transformation vision and plan1

Create Digital Leadership2

Innovate in the right place(s)3

Build the Transformation Fleet4

Change the culture5

Page 91: Digital disruption in Finance

@jcaudron

1. The customer always

decides

Page 92: Digital disruption in Finance

@jcaudron

2. All things you do must start from a

superior experience

Page 93: Digital disruption in Finance

@jcaudron

3. From now on, you are an agile and flexible company

Page 94: Digital disruption in Finance

@jcaudron

4. You live in a world

of uncertainty

Page 95: Digital disruption in Finance

@jcaudron

5. Always play on the offense instead of

the defense

Page 96: Digital disruption in Finance

@jcaudron

6. Don’t be afraid to cannibalize

your own business

Page 97: Digital disruption in Finance

@jcaudron

7. Never, ever, disrespect

new or small players

Page 98: Digital disruption in Finance

@jcaudron

Never, ever, disrespect new or small players

The customer always decides

All things you do must start from a superior experienceFrom now on, you are an agile and flexible company

You live in a world of uncertainty

Always play on the offense instead of the defense

Don’t be afraid to cannibalize your own business

How far away is this from YOUR business reality?

Page 99: Digital disruption in Finance

7 Key Take-Aways

Page 100: Digital disruption in Finance

@jcaudron

Disruption is real, deal with it!

Disruption

Modeling

Transformation

1. Disruption is happening anyway, often without

your knowing…

Page 101: Digital disruption in Finance

@jcaudron

Disruption is real, deal with it!

Disruption

Modeling

Transformation

2. There are methods to understand the

impact and plan for the future

Page 102: Digital disruption in Finance

@jcaudron

Disruption is real, deal with it!

Disruption

Modeling

Transformation

3. You can take transformation in your own hands, but you will have to start NOW, in order to stay in the drivers seat!

Page 103: Digital disruption in Finance

@jcaudron

4. You’ll need digital leadership throughout the entire

organization

Page 104: Digital disruption in Finance

@jcaudron

5. You will need to embrace new culture, policies, rules, methodologies, technology,

processes, attitude, …

Page 105: Digital disruption in Finance

@jcaudron

6. You’re no longer too big to fail …

Page 106: Digital disruption in Finance

7. still looking for n°7

Page 107: Digital disruption in Finance

7. still looking for n°7

Thank you!

[email protected]@jcaudron00 32 475 43 80 98

Page 108: Digital disruption in Finance

AllDigitalNow

• we are a digital consulting company

• founded in 2009

• we work for large European clients

• we have a strong vision on the impact of digital and act accordingly

• we are advisors, writers, coaches and entrepreneurs

Page 109: Digital disruption in Finance

AllDigitalNow

Our Vision: AllDigitalNow

All businesses will have to do things in

a digital way because that’s what their

clients want.

Even non-digital companies will see

their business be impacted by those

who are digital (clients, competitors,

partners, digital challengers, …).

There is no way around this, the time

of not believing is over.

Page 110: Digital disruption in Finance

AllDigitalNow

We make companies understand the long

term impact of digital on their business, what

this means for their future and how they can

take digital transformation in their own

hands.

We create business strategy, concepts and

plans for online, mobile, social, …

We are advisors. We do our job in a

bootstrapped way, mixing high-end strategic

thinking with pragmatic implementation,

through thought leadership and

entrepreneurship.

“AllDigitalNow”1

2

3

Page 111: Digital disruption in Finance

Out Now!

• www.digitaltransformationbook.com

• Available in Dutch and English

Page 112: Digital disruption in Finance

Functional design, wireframing, RFP, …

Social Media set-up, policy, roles, tools, training…

Ambassadorship

Content Marketing

Strategy

Architecture

Digital Strategy & Concept Development

Digital Transformation Modeling

Step 1: Impact, Vision and Ideas

Step 2: Trendmapping

Step 3: Digital Transformation

DearMedia, Digital Strategy & Transformation

Page 113: Digital disruption in Finance

Digital Transformation

——— Dealing with

Digital Disruption ———

June 2015

[email protected] / @jcaudron / +32 475 43 80 98