The financial market has a small margin, fierce competition and a constantly decreasing level of customer loyalty. In this situation, the worst thing that classic financial players can do nowadays goes with the flow. The digital transformation process is inevitable in order to be a competitive in the banking sector. Notably, the industry is trying to adapt to the new business challenges by a combination of the new technologies and transformation of the old leadership system.
Nowadays, a lot of new players appear in the financial market, including financial, technological and telecommunication companies. All of them are eyeing the most attractive segments of the financial industry. As a result, in order to maintain competitiveness, banks should devote much more attention to converting their services to digital form and not forget about the most important factor of their success — about customers and their needs.
In most cases, technological transformation involves the implementation of large-scale changes that may take years to build a new customer-oriented banking system. It is a complex process of change, which includes the total destruction of the organization’s outdated structure and the execution of new strategies, skills, and technological advancements. The basic idea is moving from a product focus to a consumer focus.
For that reason, the digital transformation of the banking system is more influential when all updated processes improve the customer-facing engagement including direct communication, products and services, marketing strategies and support customer services. The prominent feature of the digitalization is creating a productive and successful interaction through multiple channels.
What are the main features of the Digital Organization?
First and foremost, such companies use their customers as a prior focus. It means that the firm should simplify interaction with customers through all the channels and track the customers’ experience at every contact point.
Secondly, the firm should update its corporate policies and the rules of conduct among staff. This point is closely related to the fact that the banking system always has a lot of employees who interact not only with each other but with external clients too. That is why, it is important for the distribution of roles, placing the structure and defining the responsibilities of employees.
Thirdly, corporate culture reinforces the company’s new technological innovations and helps implement its digital strategy. At that point, we can define the emerging new digital culture and its culture shift in the financial sector.
Why is digital culture important?
Culture is an integral aspect of influence in the process of the technological transformation of banks . . . keep reading here
