Impact of Fintech revolution : HR function to get revamped

HR in India’s Banking world has largely been focused on hiring and basic training as it handled massive business growth. With Digital enabling higher performance without proportionate increase in resources, the actions on HR would change with focus on: – Hiring Digitally savvy professionals across all units (not just in technology and digital units). Many of these resources would be part timers / consultants. – Re-training current employees on Digital so as to help in organisation massive transformation – Revisiting compensation structure to support differential skill level. Some of the skilled resources in Digital transformation / AI / ML /…

Building Fintech + Financial Institution

There has been lots of talk around technology teams working in Bimodal way (transformational as well as Business as Usual). I believe that this approach would not go beyond a point. Technology teams are part of digital initiatives and not the only driver of change. I believe that the entire organisation has to work in dual mode. There has to be a team focused within each unit focused on – Digital Transformation team: This team would be run like a Fintech with focus on business initiatives powered by technology. This team would have direct access to Board and Top Management…

Tech is Tech until proven Business (Part 3)

Key areas, where banks have missed the business by underplaying technology are: API Banking:  APIs have been in existence for a long time in banking industry. While specific technology may have changed, but APIs were used for a long time for ATM transactions, SWIFT, Payment Gateways, CIBIL, Bill Payments etc. New innovations like IMPS, UPI are simply secure API platforms for payments. Even now, any discussion with board or management on APIs would have a debilitating  impact on the CIO. I have a heard about a large private bank, which could not setup API platform as “the business head could…

Tech is Tech until proven Business (Part 2)

Key areas, where banks have missed the business by underplaying technology are: Automation: Technology was available for more than a decade to automate 90 percent (if not more) of operations / credit / sales management / compliance etc. However, only operations area came under automation largely as “it was a weak link and always considered as cost centre”. Due to their relatively powerful position, credit / sales / marketing / compliance kept their distance from technology. As we all know, when automation takes over, there is higher transparency (removes discretion), lower costs (linked to lower human resources needs), lower TAT…

Tech is Tech until proven Business (Part 1)

As a business person working in Digital and Technology for past 2 decades, I have realised that business leaders have a bit of mental block in managing technology. They typically ignore technology, until its all over the environment. By the time, they react, the market typically would have moved ahead and then they play catch-up for years to come. In the first couple of years of my career, I was not involved in technology initiatives and I always thought “why do tech folks talk about SIT / UAT?”. “Why can’t any initiative go live immediately post coding?” From that time…

Mumbai as Fintech Capital of Asia : Education First

As an underpinning of any revolution, education system needs to be aligned to focus on that area. As we work on making Mumbai “The Fintech Hub of Asia”, there is a massive need for educating the industry partners as well as students on Fintech. We have started our journey to support this bigger cause by taking few baby steps: –          Fintech course: Thanks to powerful initiative by Madam Anuja Agarwal,  I have started Fintech course for MBA – Tech students of NMIMS Mukesh Patel School of Tech Mgmt. I believe that this first step will create ripple effect across education…

CTO / CIO / CDO : Time to enter Board / Take CEO position

Jamie Dimon said in year 2015  “Silicon Valley startups are coming to eat Wall Street’s lunch”. However, couple of years down the line, Boards of financial institutions are still driven by sales, legal and finance experts. As focus is to get support on regulatory compliance, retired Civil Servants and ex-Bankers come onboard as independent directors. While there is talk of tech driving business (Fintechs?), CIOs / CDOs are still operating couple of levels below CEOs with limited power to change the strategy of the organisation. Most of these digital leaders are still focused only on running the organisation or at best…

Grooming for CEO position : Kill the Silos First

For centuries, the business world has been led and managed by Sales and Finance experts. Most of the CEOs would essentially work in either Sales or Finance all their life before taking the leadership position.Normally, people are constrained (they are also accountable for this) to remain in one silo (be it ops / tech / sales / finance). As these leaders move into CEO position, their understanding of different units remain low and this impacts the overall growth of the organisation. Though, I am a business person, I spent 2 decades in Digital / Tech / Product, without direct exposure…

Only person responsible for your Career is You

When we study in schools and colleges, our parents review and control our progress. While we work and progress, we look at them for guidance. However, once you enter corporate world, parents take their eyes off you. As a person, you start looking at your organisation taking care of you and your career. In current era, this approach is suicidal. I suggest few suggestions for building successful careers: – Be ready to learn / Be aware of market changes / Read Self help books – Work across streams: In my life, I never worked in Sales and Marketing (despite majoring…

Reskilling – Avoid Career Death

As banking industry moves through massive transformation, there will be major change in skill needs of the bank. Need for large teams in back office and sales will come down. The skills in demand would be: – Data science / analysis – API implementation and sales – Recon – Customer experience management – Program management We have seen challenges in IT Industry, where nearly 50000 resources have been asked to go… One of the best bank is reducing in team size, while growing fast. Take charge of your career. Reskill yourself now… Has your organization started reskilling courses…