Bank executives (54%) expect only the largest global and national banks to master this capability – in line with their capacity to invest. We expect those players to gain significan competitive advantage, until these capabilities are available to all. Other banks will need to forge partnerships with third parties to match this advantage. We expect innovative service providers to emerge and assist smaller banks in competing with larger institutions. Among others, we expect today’s technology services providers to develop these offerings – it will not be enough in the future to provide technology and processing platforms, without information
and analytics. This will enable the rest of the banking industry to catch the leading players and reduce their early advantage.
To master these capabilites, banks will need to learn how to create an open, agile and innovative organisation. They will need to attract and retain a new sort of talent (seen by executives as the biggest barrier to success). They will need to pay more attention to foundational data management and data governance.
Building these capabilities will create significant advantage in the near/medium term, and be critical to successful competition in 2020.