Who's Who of Financial Services ANZ 2012/13 by FST Media

the

Who’s Who

12 EXCLUSIVE CXO INTERVIEWS Clive Whincup, Westpac Adam Bennett, NAB Michael Harte, CBA Anne Weatherston, ANZ Richard Holmes, BT Russell Jones, ASB Ron van de Riet, Kiwibank + more

of financial services MODUS OPERANDI CEOs from NAB, ANZ and TAL reveal the keys to success Revolutionary Road Insurance comes of age

13 Banking’s Silver Lining? The potential of Cloud

the 2012/2013 definitive guide to technology and innovation

The Who’s Who of fINANCIAL seRVICes GeNeRAL MANAGeR, edIToRIAL Angela Horvat

GeNeRAL MANAGeR, sALes John Todd

edIToRIAL dIReCToR

Contents

Patrice Gibbons

CoNTRIBUToRs Andrew Birmingham Vittorio D’Orazio Derry N. Finkeldey Michael Pollack Peter Redshaw

sUB edIToR

Reform is key to world-class standing

Leading Customer Relationship executives address the age old question of how to enhance customer engagement

CoLUMN: BILL shoRTeN MINIsTeR foR fINANCIAL seRVICes

Kimberley Gaskin

ART dIReCToR Mark Maric

sALes dIReCToRs Jason Hulme Glen Myles

ACCoUNT MANAGeRs Toby Wilcock Emma Charter Lily Liu Ciaran Moloney

Who’s Who CooRdINAToR Vidya Gopinath

CoLUMN: CAMeRoN CLyNe ChIef eXeCUTIVe, NAB

Transforming the customer journey

CoLUMN: MIke sMITh ChIef eXeCUTIVe, ANz

Innovation – more than a buzzword

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fULL sPeed AheAd

In a market where seconds count, technology is creating an arms race in capital markets

eXeCUTIVe RoUNdTABLe

Divisonal Heads of technology, customer and security discuss the delivery of innovation through emerging channels

They are Australia and New Zealand’s financial services chiefs shaping technology investment and business-enabled innovation

GeNeRAL eNQUIRIes PUBLIsheR

CoLUMN: BReTT CLARk ChIef eXeCUTIVe, TAL

Unified by shared experiences info@fst.net.au

eXeCUTIVe RoUNdTABLe

BANkING’s sILVeR LINING?

Cloud computing has the potential to be the next true game changer in banking

ReVoLUTIoNARy RoAd

The insurance sector is fast approaching a coming of age led by technology

Ceo 101

Top tips for aspiring IT professionals

The Who’s Who of fINANCIAL seRVICes

100

eXeCUTIVe RoUNdTABLe

The industry’s foremost payments authorities discuss how to drive enterprise transformation

108

dIReCToRy LIsTINGs

A concise catalogue of Australia and New Zealand’s leading product, service and solution providers w ho ’ s w ho o f fs i

www.fst.net.au

Where the Market Meets

Financial Services Technology Media where the market meets

Foreword It is my great pleasure to present you with the fifth annual edition of the industry-acclaimed publication, The Whoâ&#x20AC;&#x2122;s Who of Financial Services. This definitive guide continues its salute to the true believers of business-enabled innovation and delves into the minds of those leading the charge. FST Media has interviewed the most influential chiefs from Australia and New Zealand to gain perspective on the trends and disruptions shaping the technology agenda. What has emerged is a clear insight into the growing importance of multi-channel integration; strategies for the effective use of social media; and the need for 24/7 engagement with customers via their medium of choice. The consumerisation of technology continues to drive transformation across the financial services industry. In particular, the insurance sector is fast approaching a coming of age, as leading players begin to utilise mobile technology and social media in a similar fashion to their banking counterparts. A key driver behind this change is the need for insurers to engage in a meaningful way with digital natives. As a new generation of customers emerge, insurers adapt their services and offerings to meet the needs of this new market. Cloud computing remains a contentious issue across the financial services sector with two clear schools of thought developing. While some leaders view Cloud as the next game changer, others suggest that the regulatory and security challenges specific to the sector will ensure a private model emerges as the most viable option. The development of this space will be one of the most interesting to watch. For those aspiring to the coveted CEO role, this yearâ&#x20AC;&#x2122;s publication features advice on the key success from those in the top job. Insights shared include listening to your colleagues, celebrating their success and trusting in their ability. But most importantly, listening more and talking less. On behalf of the FST Media team I would like to thank you, our readers, for your continued patronage. I also extend my gratitude to those executives who agreed to be interviewed for the publication. A special thank you is also extended to the analysts and contributors who shared their insights. We hope you enjoy reading this esteemed publication as much as we have enjoyed compiling it.

Patrice Gibbons Editorial Director FST Media

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opin i on

Reform is key to world-class standing By The hon. Bill shorTen MP

By opening up the securities market we are offering consumers greater choice, pushing down costs, increasing the incentives for innovation and adding liquidity to the market.

who ’s who o f fs i

Australia’s financial services market is an economic powerhouse. The largest contributor to our national output, it provided around 11 per cent of real gross value-added in 2010-11, and continues to grow faster than most other sectors of the economy. Our reputation as an attractive business destination was confirmed in the 2012 Index of Economic Freedom. Australia was again ranked third overall, behind only Hong Kong and Singapore. The Index, which is produced by The Wall Street Journal and Washington’s Heritage Foundation, ranks countries on 10 measures of economic openness, including business freedom, trade barriers, the tax burden, government spending, price stability, investment openness, banking efficiency, property rights, freedom from corruption and labour freedom. But our enviable international standing and economic resilience is no reason for complacency. Australia’s financial services industry has much to offer our Asia Pacific neighbours. Indeed, we are already establishing our nation as a leading financial services centre in the region. To further this goal, the Government is working through APEC channels to develop the proposal for an Asia Region Funds Passport to enable the crossborder marketing of funds management within Asia. We are also implementing an Investment Manager Regime, ensuring that Australia’s taxation arrangements in relation to passive portfolio investments are in line with practices in other major international financial centres, and making Australia a more attractive destination for foreign funds. As a further step in developing our international competitiveness, I was delighted to welcome the launch of Chi-X, a global operator of equity trading venues. By opening up the securities market we are offering consumers greater choice, pushing down costs, increasing the incentives for innovation and adding liquidity to the market. Superannuation is a key part of the financial services industry and makes a vital contribution to increasing national savings, meeting our economy’s investment needs and facilitating economic growth. Our pool of

superannuation savings currently stands at almost $1.4 trillion – roughly the same size as our GDP. Recently, Australian superannuation assets moved up from the fifth to the fourth largest pension asset pool in the world. The Government’s superannuation reforms, including the historic increase in the superannuation guarantee to 12 per cent, will further boost the growth of a stronger, broader and more competitive economy. Australia’s total superannuation savings are estimated to increase to $6.2 trillion by 2036, including $550 billion from the increase to the superannuation guarantee. This is a crucial reform because by 2050 almost one in four Australians will have reached retirement age, compared to one in seven today. This is also why we need to continuously improve the efficiency and governance of our world-class superannuation system. The Future of Financial Advice (FOFA) reforms are another landmark achievement shaping the future of financial services. FOFA includes a number of specific, targeted measures, such as a requirement for advisers to act in the best interests of their client, a ban on conflicted remuneration, and the introduction of an ‘opt-in’ arrangement where ongoing advice fees are charged. But the impact of FOFA is expected to be far broader, driving an increasing level of professionalism in the financial services industry, and underpinning the trust and confidence of Australia’s retail investors. The Government believes that the post FOFA industry – an industry in which advisers always act in the best interests of their clients and do not receive conflicted commissions – will grow to meet the increasing need for quality financial advice demanded by an ageing population. As the Federal Minister for Financial Services and Superannuation, I would like to acknowledge all those in the industry who are working together with the Government to ensure that our financial services sector continues to grow wealth for Australia. Bill Shorten is the Federal Minister for Financial Services and Superannuation, Minister for Employment and Workplace Relations.

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Transforming the customer journey by Cameron Clyne

one in three nab internet banking logins are now done using a mobile device, making it our fastest-growing channel.

who ’s who o f fs i

When I became Chief Executive Officer (CEO) of National Australia Bank (NAB) in 2009, the world was experiencing the biggest global downturn since the great depression. Banks were not viewed favourably in the community, and while we attempted to point to other countries to show the dire consequences of a low-regulated banking system, the community sentiment towards Australian banks dropped to record levels. As a leader in the banking industry, I knew that we had to take control of the agenda and our reputation. In my first keynote address as CEO I spoke of the importance of reputation for our organisation, and the task we faced to improve our reputation with our customers, our people, our shareholders and our investors. We listened to all of our stakeholders, and our ‘fair value’ philosophy was developed – followed by our public ‘break up’ with the other major banks. Challenging the banking norms has become intuitive to NAB, whether it be removing the fees that were the most disliked, having the lowest standard variable rate of all the major banks for nearly three years, or simply breaking up with the other banks. Our people and our customers know that we are committed to being competitive and leading the industry. And people have responded to our message. Over the last 12 months we have attracted 650,000 new customers, grown our share of the market, and we recently recorded our highest customer satisfaction in 15 years. We have demonstrated that what is good for our customers is good for our business. That is something we are proud of. While our differentiated and competitive business strategy remains the most visible component of our approach, we have also been working just as diligently on the transformation of our customers’ experience – driving through the necessary changes that provide customers with safe and easy banking experiences. Competition is now greater than ever before and customer expectations have never been higher. We know we have to continue

to be innovative – developing new products and capabilities so that we are able to meet our customers’ needs. We know choice is key for customers – people want the power to make the decisions around how they conduct their banking. As devices like the iPhone and iPad become more popular, we have worked to ensure that our customers can access their money on-the-move. Recent data shows that close to one in three NAB Internet banking logins are now done using a mobile device, making it our fastest growing channel. And pleasingly, we are leading the industry in offering mobile Internet banking via all of the most popular smartphones and tablets. But these changes are not at the expense of the traditional banking channels. Customers still want to talk to a real person – be it for simple servicing requests right through to more complex help, guidance and advice. So rather than online replacing the physical, there is a greater merging of the channels to ensure that they complement each other. This means that the banking sector is working for the customer more than ever. We are unashamedly competitive about that fact − we want our customers to have the best experience regardless of how they choose to deal with us, be it through a branch, business centre, contact centre or online. This fast-paced move into the digital world is presenting a unique set of challenges for all participants in our industry. Instant access, flexibility, security and speed to market are now the norm. The division between the world of ‘old technology’ and ‘new technology’ continues to grow by the day and management teams, boards and regulators are being challenged on how to solve this issue. We have embarked on a transformation that will provide our customers with all the flexibility, capability and stability they will require now and well into the future. We are committed to this journey and we are confident we will get the job done. Cameron Clyne is the Chief Executive of National Australia Bank.

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Innovation – more than a buzzword by mike smith

banks that don’t innovate will face a serious threat not only from other banks, but also from the leaders of the digital world such as Apple, Google, PayPal and Amazon, or even start-up banks like simple.

who ’s who o f fs i

There are many parallels often explored between the Great Depression and the Global Financial Crisis (GFC) with analysis usually focused on the debt binge that led to the crisis and the contagion effect it had on the global economy. One recent comparison from McKinsey examined the impact the depression had on innovation and how companies that continued to invest were ultimately the ones that succeeded. We are noticing similar trends today with many Australian firms holding back investment dollars, preferring not to innovate and this could have a lasting impact on the overall productivity in Australian. The resources super-cycle Australia is experiencing compounds the issue further as traditional sectors such as manufacturing, retail and tourism are burdened by the high Australian dollar and a significant drop in consumer sentiment. A recent ‘innovation barometer’ from GE confirmed that Australian companies are holding back on investment during uncertain times with 85 per cent of respondents reporting the global recession had forced them to take fewer risks by essentially innovating less. Japan provides an example of how mature economies can adapt. While a decreasing number of cars are built in Japan, it has continued to be a global leader in the manufacture of the value added elements in the car manufacturing process. Australia could learn from this and our traditional manufacturing sectors should be focussing their attention and investment dollars on high-end ‘value-added’ manufacturing. The mining boom is not just a passing phenomenon and the economy needs to adjust to flow on impacts like a higher dollar by investing in future industries but we will not be successful without an improved focus on innovation. So what does this have to do with banking? Well, for starters it is the banks that will be essential in helping finance this investment and the banks need to recognise they have a vital role in helping these sectors adjust to the realities of a changing economy. But banking is also facing its own defining moment

as a result of the GFC. The combination of changing customer expectations with increased regulation, dramatically higher funding costs and reduced credit demand means that banks need to think differently to survive. Developments in mobile technology have not only changed the face of banking but will continue to reshape the industry. Banks that don’t innovate will face a serious threat not only from other banks, but also from the leaders of the digital world such as Apple, Google, PayPal and Amazon, or even startup banks like Simple. By innovation I don’t just mean creating new products, I mean innovation in thinking where the focus is on how we change the game instead of finding ways to play the same game harder. ANZ’s expansion into Asia is one of the most important innovations in our history and one that will help ensure ANZ remains a major Australian bank for another 175 years. Yet when we announced our ambition to transform into a leading super regional bank in 2007, our shares were marked down. The conventional thinking was that Australian companies fail outside Australia and that Asia was just an emerging market where it was tough for Australians to do business. Fortunately, the market in Australia has now opened its eyes to the shift in economic power from west to east – and for us at ANZ it has helped to put some runs on the board being one of the fastest growing banks in Asia; the fourth largest international bank in the region; and we now have access to over $10 billion in Asian savings to support our annual funding task. My point is that innovation is more than just a buzz word. It takes hard work and courage particularly when the perceived ‘safer’ option is to retreat like it was for ANZ during the financial crisis. Given the headwinds and challenges facing the financial services industry it will be those institutions that invest in their own innovation and continue to support investment in the broader economy that will ultimately emerge as the winners. Mike Smith is the Chief Executive of ANZ.

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Unified by shared experiences by brett clark

imagine the power of location-aware technology linking a financial adviser into a preferred social hub, providing customised sales and customer data, wrapped up with local area marketing tools. truly game changing.

who ’s who o f fs i

The best way to sum up the role of technology and innovation in business today and in the future is to borrow a line from one of the world’s most successful business people, technologist Bill Gates. “Information technology and business are becoming inextricably interwoven. I don’t think anybody can talk meaningfully about one without the talking about the other.” For Gates, technology and business are intimately linked. Each supports and relies upon the other. Being in business today therefore demands – at least to some degree – being in the business of technology. Applying this to the world of financial services and insurance, I see evidence throughout the value chain of the transformational role that technology has played in shaping the way we do business. Yes, we are in the business of life insurance; but it is inescapable that we are also in the technology business. We are seeing a paradigm shift in three specific areas. Firstly, advancements in technology are allowing us to work with our business partners more efficiently than ever before. Customers are rightly more discerning and more demanding and we must respond. Secondly, as an industry we have become experts in developing complex legacy system environments. We are now in a position where we must simplify our worlds. This is not just a cost exercise; we need to create a simpler environment for our staff, leading to more engaged personnel who are enabled to deliver better outcomes for customers. But perhaps the biggest shift taking place is how we deliver to customer expectations. These expectations are being shaped by technological advancements in other industries – banking, retailing and entertainment are prime examples – where more and more services are being made available to the consumer where, when and how they want it. Our ability to meet our customer in a digitally-empowered environment, creating meaningful engagement (dare I say valued experiences) at the time and through the medium of their choosing − while also

fulfilling all of their traditional needs, wants and product expectations − is the new reality in our world. Along the way we expect traditional boundaries to be broken down and rules to be rewritten. A great example of such a boundary span concept is the idea coined by John Doerr, called SoLoMo. Doerr’s abbreviation describes the convergence of three clear societal and technological trends (social, local and mobile) and the enormous potential impact this combination has for doing business in the new digital environment. Put simply, imagine the power of locationaware technology linking a financial adviser into a preferred social hub, providing customised sales and customer data, wrapped up with local area marketing tools. Truly game changing. The speed at which online, tailored insurance products are placing more power in the hands of the consumer is one such opportunity. Other trends include the advent of near field devices, and stored/micro payments technology that will certainly impact our collective future. Meanwhile social media, the continued rise of mobiles and tablet technology, Cloud and other business intelligence tools are also on the list of significant impact technologies or trends. So what of the future? We see innovation driving a closer relationship between the end customer, their adviser and us. Unified by a shared ‘experience’ and underpinned by a steadfast resolve to deliver quality outcomes of value, our business will continue to evolve. Without giving too much away, this ‘experiential’ model will require its own re-engineering – a future integration of processes and information across the various layers of our business. We must be part of this change if we are to remain relevant to our customers of the future. We believe the future leaders in business will inevitably be those people with strong vision, a willingness to embrace change and the intelligence to adapt quickly and stay ahead of the game. Brett Clark is the Chief Executive Officer of Retail at TAL Limited (formerly TOWER Australia).

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Banking’s

Silver

Lining? Cloud computing has the potential to be the next true game changer in banking. But its success will rely on the industry’s ability to overcome the barriers of security, regulation, culture and vendor immaturity, says Peter Redshaw in this exclusive report. Cloud computing remains a top strategic technology for financial services CIOs. Although one third of banks use some form of Cloud computing, it has mostly been limited to tactical, noncore applications and infrastructure in private Clouds, with continuing major challenges for transformative Cloud in this industry. Banks that have spent decades building private IT empires internally are now suddenly faced with the revolutionary and still formative concept of Cloud computing for new and better ways to handle business functions. Early candidates for Cloud adoption have tended to centre around

non-core areas and proofs of concept. Adoption is strongest for internally managed, non-core Software-as-a-Service (SaaS) solutions, such as email, file-sharing, notes management and other horizontal applications. Increasingly, however, the cost and margin pressures on the industry mean the Cloud is set to go mainstream – moving to the heart of business transaction origination and processing. Cloud can provide the opportunity to not just incrementally improve efficiency or effectiveness, but to also radically transform it by making feasible new business models that previously were not feasable. w ho ’ s w ho o f fs i

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status of Cloud

Gartner defines Cloud computing as “a style of computing in which scalable and elastic IT-related capabilities are provided ‘as a service’ to external customers using Internet technologies.” It has five defining attributes: Its basis is service, not technology It has scalable and elastic properties It is multi-tenanted It is metered by usage It is delivered over the Internet A recent Gartner survey shows how very little Cloud had penetrated core processing by the end of 2010 and, yet, how rapidly Banks and Investment Services (BIS) firms expect it to grow by 2015. The questions posed included: When do you estimate your organisation will support more than half of your transactions on a Cloud infrastructure? When do you estimate your organisation will support more than half of your transactions by applications leased using a SaaS model? Note that the report’s findings are merely saying that by 2015 more than 37 per cent of users will move to some form of Cloud – it is saying instead that these BIS firms intend to do more than half of their core processing of transactions on Cloud hardware (Infrastructure-as-a-Service) and Cloud applications (SaaS). That is a radical

transformation, if it happens. It depends on a set of major barriers being overcome well before 2015 and this outcome is far from certain.

Major Challenges

Security Security must be very tight, with encryption likely for data in transit and in storage. Highly confidential data that cannot go cross-border may have to be tokenised (using pointers to data rather than the data itself). This raises a concern with users that their ability to run analytics and searches on that data will be compromised. Vendors are adding extra security to their Cloud solutions, but users would prefer a single security solution, rather than multiple versions across their operations. Regulation Few supervisory bodies in the industry have framed regulations that are specific for Cloud computing – across all geographies, they rely on evolving interpretations of existing regulations for offshoring, data confidentiality and operational risk. These interpretations are often made on a caseby-case basis, which leaves many grey areas and an uncertain future. The prevailing uncertainty means that legal teams must be

Infrastructure and application spending planned by CIOs over the next five years Per cent 60 50 44

45 40

20 15 5

0 2010 Cloud infrastructure Source: Gartner, 2012

Data Sovereignty Regulators seem to think that keeping data in-country is lower risk and means it is subject to local legislation. For example many in the industry believe it is hard to find data standards for Cloud in Australia, or local providers that can guarantee data sovereignty. Intermediaries The lack of Cloud services brokers that are specific to this industry means that it is difficult for BIS firms to consolidate their Cloud operations because there is little bundling of financial services in the market. Having spent the past decade trying to consolidate and rationalise their vendor relationships and technologies, the risk is that this area will fragment all over again leaving firms back at square one. Vendor Immaturity Industry executives consider Cloud computing technology to be immature in many areas, and services, especially those specific to financial services, which are even further behind. Culture There is a general cultural resistance to Cloud computing at many BIS firms. For example, business units at BIS firms typically have very demanding recovery times – this means that many BIS firms feel they will still have to maintain their own Business Continuity Management (BCM)/Disaster Recovery (DR) sites and, that this will, in turn, destroy the business case for moving to the Cloud. The fact that most vendors cannot provide liability insurance for the Cloud reinforces this view.

brought in at an early stage, and this raises Cloud entry costs considerably.

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2011-2015 SaaS

2016-2020

Never

Alternatives There are existing alternatives to Cloud computing such as the many forms of more conventional outsourcing, including the emergence of industry utilities that will focus on standardisation and automation. These options may be attractive to small BIS firms that feel private Cloud is not good for them (insufficient economies of scale) and that public Cloud is impossible (too risky).

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Major Opportunities

If Cloud computing is deployed in a manner that focuses on business value, not just cost reduction of existing operations, it can transform the banking industry. Creative Destruction Cloud banking uses strategic, industryspecific services that can grow or transform a bank’s business. What makes it distinct from Cloud computing (tactical, cross-industry services that can run a bank’s business) is its ability to drive ‘creative destruction’. Cloud banking can provide the freedom to try completely new services and processes, maybe even running them in parallel. Successful new services can then displace the existing dominant process (for design, distribution or transacting) in a disruptive way, rather than just incrementally improving them. This echoes one of the comments we frequently hear from smaller BIS firms, namely, their desire to eliminate the bankowned data centre. Cloud Ecosystem Cloud-based insourcing and white labelling may be an opportunity for bigger BIS firms. There is a corresponding chance for smaller BIS firms to fight back against the ‘one-stop shop’ operated by the universal banking model. Rather than having to develop everything in-house or buy expensive packages, the metered usage and economies of access that comes from a Cloud-based ecosystem of suppliers could enable them to compete more evenly. As Central Processing Unit (CPU) and storage gets more and more commoditised, it makes less sense to own this asset on a permanent basis in a volatile market. Innovation Cloud computing, especially as it becomes more verticalised and industry-specific, should enable BIS firms to have quicker access to innovative processes and disruptive technologies. This will be accelerated if open-development platforms for banking take hold and attract a large community of small or independent software developers. Banking application stores could eventually replace the core applications installed at bank premises.

Storage Matrix BIS firms should have access to a matrix of storage options, rather than a one-size-fitsall model. A two-dimensional matrix where one axis represents the confidentiality of the data (from low to high) and the other axis represents speed of retrieval (from slow to fast) will clarify where storage can be low-cost and offshore versus where it needs to be premium cost and proximity-located. Shared Utilities If data cannot go offshore, but that is where all the existing Cloud providers are based, then there will be an opportunity for a collective of BIS firms to build a national utility. This has been done before, of course, in areas like cheque clearing, though not in the Cloud. The key to success here will be imposing open and common standards that limit the customisation of processes. Recommendations Do not put new, immature or missioncritical applications in the public Cloud. There is little business process improvement once an application is in the Cloud. Industry standards, such as Information FrameWork (IFW) and Banking Industry Architecture Network (BIAN), are not yet present in the public Cloud. CIOs must get a clearly articulated risk/compliance policy document from legal counsel, risk and compliance executives. This document should reflect internal and external Key Performance Indicators (KPIs) of Cloud usage. Cloud implementations should reflect this policy. Avoid putting tightly integrated systems with many custom interfaces on the Cloud. Establish a governance model that accommodates non-IT-procured Cloud solutions. Avoid vendor lock-in. Preserve competition among vendors and ensure that vendor offerings adequately address the ongoing needs of the industry environment.

Peter Redshaw is Managing Vice President in Gartner’s Industry Advisory Services team.

if Cloud computing is deployed in a manner that focuses on business value, not just cost reduction of existing operations, it can transform the banking industry.

CiO priOrities – Where dOes ClOud rank? 1. Analytics and Business Intelligence 2. Mobile technologies 3. Cloud computing (SaaS, PaaS, IaaS) 4. Customer Relationship Management applications (CRM) 5. Legacy application modernisation, upgrade or replacement 6. Service Oriented Architecture (including information services) 7. Virtualisation desktop, server and storage 8. Collaboration technologies (e.g. workflow management, team collaboration) 9. Business Process Management tools 10. Security technologies (access control, authentication, etc) Source: Gartner, 2012

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Emerging Trends in the asia Pacific Region five key strategies banks need to employ to capitalise on growth opportunities. By Vittorio D’Orazio

Technology has an important role to play in addressing the tremendous changes that banks will face as a consequence of new regulations, tough market conditions and the entry of new competitors.

After several years of constrained spending, the banking market has started to resume its positioning across the industries with a leading growth rate that is expected to stabilise as a growth sector for the upcoming years, according to Gartner’s forecast. Overall, there will still be areas of restricted IT budgets, including risky projects with low or uncertain Return on Investment (ROI) and projects that are not aligned with the banking strategy. However, the general focus will be on the front-end and operational spending. The reduction in overhead and the transformation of the fixed costs into variable costs will lead the initiatives in this sector. For this reason, Cloud services and other on-demand services will look extremely attractive to banks, if security concerns are properly managed. On the other hand, some other key trends will continue to dominate this industry globally, such as regulatory compliance, back-office replacement and increased automation, especially on the front end. Technology has an important role to play in addressing the tremendous changes that banks will face as a consequence of new regulations, tough market conditions and the entry of new competitors. In fact, all of those challenges will require a better alignment between business and IT strategies on the foundation of new business models that can be enabled only by technology.

IT Spending, Banking & Securities Sector, 2012-2015 (A$) 2012

2013

2014

2015

End User Spending (A$M)

8,855

9,122

9,403

9,699

Growth %

2.95%

3.02%

3.08%

3.15%

Source: Gartner, 2012

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The changing role and growing influence of customers – including their access to and use of technology – is also putting increasing pressure on financial services providers to communicate with and compete for clients. Banks and investment firms must focus on better serving customers and prospects, who may have better access to financial data and information than the actual providers do.

Emerging trends

1. Social web and Cloud-based services By 2015, new external social web and Cloud-based services will generate 25 per cent of consumer-driven banking products and services. Consumers worldwide are increasingly spending their time on social networks, far more than the time they spend on bank websites. As they look for greater competition amongst financial services providers, simpler access and a higher level of personalisation, they will increase the volume of banking interactions that they perform indirectly via Cloud services-based exchanges, portals and social websites, rather than on the corporate website. In response, banks are increasingly making rewards, offers and transactions available via social media. Traditional banks risk being disintermediated by social media websites that are increasingly looking for additional revenue streams beyond advertising. 2. Mobile banking By 2015, 60 per cent of banks will offer mobile-based banking services to business customers. Smartphones and media tablets make mobile business banking more accessible to business customers. Corporate customers often have more complex transactions and are more risk averse

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regarding exposure of account data and transactions via devices not fixed to internal networks. Banks have begun to offer mobile business banking services; however, typically it is only for account information services at this stage. 3. Personal Financial Management (PFM) By 2013, 65 per cent of banks will replace their transaction oriented online banking view with Personal Financial Management (PFM) interfaces. Online banking solutions typically provide a transaction-centric interface to customer accounts. Several large banks globally have updated their online banking sites to include PFM functionality, while others have upgraded their online banking so that the initial log-on experience is a graphical summary view of accounts and transactions when the customer logs in. While most of these offerings are currently US-based, Gartner expects PFM to expand to other markets during the next several years. PFM interfaces can be deployed as in-house solutions or from a private Cloud. 4. Commercial lending applications By 2015, failure to overhaul commercial lending applications will cost banks US$200 billion or more per year. Globally, banks are managing US$12 trillion of commercial loans with risky manual processes, spreadsheets and monolithic applications. Commercial lending has operated like this for many years, but two looming challenges make application overhaul urgent. Firstly, regulations previously viewed as applicable only to retail lending are increasingly being applied to commercial lending. Secondly, while established economies are struggling with low growth, emerging economies are struggling with high growth. While many banks have put more post-recession focus on commercial lending in hopes of better growth and margins, it will prove to be their downfall unless they change their processes and technology. Banks that fail to overhaul their commercial lending operations risk costs of US$300 billion or more per year because of undermining the viability of their banks, lost revenue opportunities and lower profitability.

5. Securities exchanges By 2014, at least two major securities exchanges will offer separate ‘slow-latency’ trading venues with short holds on orders. Increases in market volatility and highfrequency trading continue to reduce retail trader trust in market fairness and viability. In response, exchanges will introduce ‘slowlatency’ trading venues where investors can place limit orders that have a compulsory hold on the order of more than one-tenth and less than one full second prior to attempting a match. This will create a separate market that will not be suitable for high-frequency trading strategies, but will enhance retail investor trust by reducing perceptions of a tilted playing field – where professional traders have an inherent advantage.

Vittorio D’Orazio is a Research Director in Gartner’s Vertical Industries team covering financial services, including banking, securities, insurance and investment services.

CiO business PriOrities 1. Increasing enterprise growth 2. Attracting and retaining customers 3. Reducing enterprise costs 4. Creating new products and services (innovation) 5. Improving efficiency 6. Creating or improving customer channels 7. Improving profitability (margins) 8. Implementing finance and controls 9. Improve Governance, Compliance, Risk and Security (GCRS) 10. Improving marketing and sales effectiveness

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As the consumerisation of technology drives transformation across the financial services industry, the insurance sector is fast approaching a coming of age. By Derry N. Finkeldey

Consumerisation will drive insurers to ramp up, if not fundamentally reform, their efforts to engage with customers and channel partners alike. Hot areas for technology investments will include the front office, as insurers digitise their distribution and customer service processes to improve efficiency and meet customer expectations for a greater online and mobile experience. Many insurers around the world will also continue to invest in

new policy systems and/or modernising existing systems in mature markets to replace rigid and outdated legacy systems. Gartner expects to see dramatic transformation in the industry and its approach to IT over the next five years. Insurers that do not address this will fail. The underlying reason for this transformative change is a nexus of Cloud, social networking, mobility and information, which has already revolutionised how

Revolutionary

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This nexus of Cloud, social networking, mobility and the strategic use of information will define a new era of computing and new opportunities for business, and the impact is no less on the insurance industry. Gartner predicts these new forces will make traditional strategies and architectures obsolete. technology is bought and used by consumers, and which is now the dominant force in the enterprise sector. Gartner predicts that by 2015, 70 per cent of existing IT outsourcing contracts will be re-negotiated, of which 80 per cent will result in adoption of Cloud-based services. This nexus of Cloud, social networking, mobility and the strategic use of information will define a new era of computing and new opportunities for business, and the impact is no less on the insurance industry. Gartner predicts these new forces will make traditional strategies and architectures obsolete.

Top five predictions for insurers Business and IT leaders of Life, and Property and Casualty (P&C) insurers, need to bridge the gap between legacy modernisation and innovation as they are forced to adapt to new technologies and changing customer behaviour. By year-end 2013, the percentage of the IT budget of insurers allocated to Cloud computing will grow from less than five per cent to 25 per cent. Cloud computing and virtualisation are ranked as the top two priorities for insurance CIOs based on Gartner’s annual CIO Survey. Gartner estimates that less than five per cent of all insurance IT applications are running in the Cloud today. This will change considerably over the next five years. Thirty-eight per cent of the surveyed insurers expect to run more

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than half of their transactions on a Cloud infrastructure before the end of 2015. By year-end 2014, 25 per cent of faceto-face sales and service interactions by insurance agents will migrate to video, phone and electronic channels. Many consumers have already shifted buying preferences for simple, commodity products (such as automobile insurance) from agent/ broker channels to direct channels, such as the web and the call centre. Many P&C and life insurance product lines, including life insurance and commercial P&C insurance, continue to be sold and serviced ‘face-toface’, with the seller and the buyer in the same physical location. This model requires a large geographic footprint of facilities and salespeople, which makes it expensive to

The insurance industry is faced with an opportunity to transform significant aspects of its operations via technology, particularly in the areas of distribution and customer interaction, which can benefit from applications based in Cloud and context-aware computing, social media and mobile technology.

The impact of new forces

Cloud: Cloud is revolutionising IT delivery (and the competitive landscape) and, in turn, enterprise business models. Although nascent, Cloud services are growing much faster than overall IT spending. Gartner expects public Cloud will eventually become the dominant technology delivery model, even for the insurance industry, and insurers making technology decisions today need to consider how these decisions will fit in the context of a longer-term roadmap towards a Cloud-based computing paradigm. While issues of data sovereignty and security are still paramount, Gartner believes these issues will be adequately addressed in the medium term as vendor offerings mature and as we see more providers

operate. Complex and high-value product lines will continue to need advisory services, and consumers will still want to talk to someone to ask last-minute questions. These interactions can happen through the call centre or through new electronic channels via video on demand, shared screens and videoconferencing from a home PC/ smartphone with a company representative/ agent. By year-end 2015, personal lines P&C insurers that do not offer online and mobile transaction capabilities will lose 25 per cent of their current market share. Insurance consumers in many countries are already going online to purchase products (for example, automobile insurance). Many consider these products to be commodities. The rate of online buying of insurance is expected to rise in mature countries and emerge around the globe,

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setting up datacentres outside the US, as is evident in the Australian market, for example. Mobile: Mobility is generating a lot of news in the insurance press, particularly around iPad apps for agents. Two factors are driving mobility adoption: pressure from consumerisation, as employees and customers increasingly use smartphones and tablets; and business strategy, as enterprises realise the agility and efficiency improvements that mobility can bring. There is a distinct shift from internal and partner applications to consumer-facing services. Anecdotally, we observe that demand is just as strong in Asia Pacific as it is in North America and Western Europe, and many already highly mobile emerging markets are leapfrogging the desktop and laptop legacy. We see strong growth in property and casualty and life insurance in particular, although the influence of consumerism will be pervasive. Social: The most common reason to date for insurers to engage in social media has been brand promotion. The biggest deterrent

even in countries where Internet use is low. In these geographies, mobile devices will take precedence with consumers using smartphones to buy and service their insurance policies. As insurers introduce and improve their online and mobile e-service capabilities, they are facilitating the ability of prospective customers to more easily switch from their existing insurers. With little perceived differentiation in the insurance products that are being sold, price and convenience will be the primary factors driving consumer purchases. By year-end 2014, at least one social network provider will become an insurance sales channel. Providers of social media websites are increasingly looking for additional revenue streams beyond advertising. Offering financial services is one of the areas being explored by social media providers to

Forces shaping insurance Timely data Improved business decisions Product and process innovation

Contextualised and targeted services

Mobile – Anytime, Anywhere

Mobile illustrations and quotes Mobile self service Mobile claims Mobile assessment Alerts, triage for catastrophe services

Scalable Elastic Device Agnostic Information – Complex and real time

Structured and unstructured risk data Business performance

Source: Gartner, 2012

strengthen client relationships. Examples are the social payments start-up Twitpay, the virtual currency Facebook Credits or the price comparison service Google Advisor. Many life and P&C insurers are active on social media websites, but the vast majority fail to attract any significant user attention, or to effectively motivate consumers to take action and buy insurance. The entry of social media providers into the insurance market would be a major disruptive factor for the insurance industry. By year-end 2014, only half of global insurers’ legacy modernisation programs will generate the originally expected measurable organisational value. Gartner estimates that more than two-thirds of global life and P&C insurers still rely on legacy systems to a significant degree to manage their core insurance business processes. Some organisations run more

Social – transparency through relationship

Brand awareness and marketing promotion Customer service Crowd sourcing/product development Customer segment data Fraud detection

than 50 per cent of their core insurance applications, such as policy administration or claims management, on systems that date back to the 1970s or 1980s. Life and P&C insurers are increasingly investing in legacy modernisation, as observed from the large volume of inquiries Gartner has received during the last two years. These projects are generally very complex, timeconsuming and risky. In addition to project planning and coordination challenges, many insurers underestimate the change management efforts and fail to anticipate the level of resistance among their employees. Organisations often don’t calculate costs and benefits beyond a range of three to five years, or fail to project the total cost of ownership of their projects into the future. Insurance executives will take a stronger leadership role and start to devote much more resources to the risk management aspects of legacy modernisation projects.

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The combined forces of mobile/context/social and the Cloud are providing insurers with the prospect of more data than they have ever had before.

is concern about risking non-compliance with industry regulations through the use of social media, especially in relation to sales communications regulations and data storage requirements. However, opportunity for benefit exists in other applications beyond brand marketing and customer service, such as crowdsourcing for product development, social analytic applications for fraud detection and so forth, although managing reputational risk, arising from social media and using it to combat it, will continue to be an important strategy. Information: Insurers want data but so much is coming their way courtesy of the nexus that they don’t know what to do with it. Gartner research shows that many insurers are still struggling to achieve a 360-degree view of their customers, and part of the issue they are grappling with is the completeness or the accuracy of the data they have on customers across their various repositories. The combined forces of mobile/context/social and the Cloud are providing insurers with the prospect of more data than they have ever had before. Another component of this is speed – the ability to use the data more quickly and

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in a timely manner. The complexity of customer data in many sources is driving data integration, Master Data Management (MDM) initiatives and business intelligence and analytics. These forces are tightly interrelated in a virtuous cycle: mobile computing becomes prevalent, extending the power of social networking to provide context. Together, they create a need for scalable systems in the Cloud, independent of any specific mobile device. The resulting profusion of new information can be used by insurers to make better decisions and create sticky products and a better customer experience. Digitalisation is quickly becoming a predominant business strategy. Digitalisation has been associated strongly with digitisation of the sales and claims processes, but insurers need to take a holistic, enterprise-wide approach to digitalisation, and evolve their entire business model to support the core principles associated with digital strategy. A big driver here too is electronic forms and electronic signature for all processes, new business, claims and service. Core systems replacement continues to be a leading topic among P&C and life insurers in 2012. This also ties to the focus on the front office − many insurers are investing in core systems because their legacy systems cannot support the customer experience they need to deliver. Insurance-specific Business Process Outsourcing (BPO) is starting to gain real traction, particularly with small- and mid-size organisations that can benefit from the economies of scale provided by a BPO provider, and, over the longer term, Gartner believes that this will becomes a discussion about BPO and, ultimately, Cloud services. Many insurers are starting with functions such as document processing or aspects of marketing, but are steadily showing increased interest and uptake of core processes such as policy administration and claims management.

Derry N. Finkeldey is a Principal Analyst in Gartner’s Industry Market Strategies team covering the insurance industry and IT spending by industry in Asia Pacific.

be informed: Trends in Insurance

45% 5% 12%

most valuable mobile device

58%

25%

46%

of those surveyed

see branded communities as an important part of their channel strategy

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CeO

101

Major bank CEos are clear about how aspiring iT professionals can best support their teams − listening to colleagues, celebrating their success and trusting in their ability. By Andrew Birmingham Speak for the customer, speak to your peers, speak out in the market place. But most of all, stop speaking so much, and start listening instead. That’s the advice for aspiring Chief Information Officers (CIOs) and technology-focused professionals from leading financial services Chief Executive Officers (CEOs). FST Media asked those in the top job to describe the impact of technology on their industry and to outline what qualities they seek in executives aspiring to leadership positions in their organisations. The issue that really shines through in the feedback is the centrality of good communication which is much less about talking and much more about listening. This advice applies to any discipline, not just IT, according to Don Koch, CEO of ING Direct. “Remember the classic communication rule that you should listen 70 per cent of the time and only speak 30 per cent of the time.” Marc Lieberman, CEO of MetLife concurs: “Learn to listen. That’s the one thing I think a lot of executives fail to do. They don’t listen enough.”

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i’ll ask, how does this proposal improve or enhance the customer experience. how does it enable better customer service? Marc Lieberman, CEo of MetLife

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Historically IT has suffered from the perception that its protagonists have struggled to translate their narrative effectively beyond their own tribe in part due to the complexity of the subject matter. That is changing out of necessity as companies become more driven by customer need and less by organisational process. The relatively straight forward matter of business case approvals provides a clear example of how communication styles and strategies need to evolve from the technical discipline of IT that most CIOs grew up with, to the commercial discipline of business. All the CEOs acknowledged that there are formal processes that must be adhered to, but they all promoted the impact on the customer of any proposal they review above the box ticking, bean counting approach of many traditional finance departments. Roy Gori, CEO of Citibank Australia (Citi) says; “our customer is the main driver in everything we do. So when we’re considering a major technology investment, the first questions we are likely to ask are, ‘how will this benefit our customers?’ ‘Will this make life easier and will it make their banking experience safer, faster or simpler?’” Lieberman echoes these sentiments: “I’ll ask, how does this proposal improve or enhance the customer experience? How does it enable better customer service?” There is an important lesson in this for IT professionals in particular, who in the past have been guilty of communicating benefits in an overly technical fashion or of not pitching their ideas in a truly commercial context. The good news is that there is general agreement that IT professional are getting better at developing these narratives. Koch says; “Technology is seen as a partner now; it’s not seen as a subservient function.” CIOs are regarded as much better communicators now and that is reflected in the type of IT executives who rise to the CIO role. Gori’s view is that effective technology and innovation requires intuition and foresight and not just seeing the problem that’s in front of you. He says technology leaders need to anticipate problems, and have the vision to do things differently. “Henry Ford captured this concept when he famously said if he’d asked

the people what they’d wanted, they would have asked for faster horses. “Our technology experts are an integral part of our business streams and while they offer technical expertise, their strengths also lie in their ability to understand the broader business objectives, beyond the technological ones.” Lieberman is positive about the sea-change in communication: “I think that CIOs these days do understand that communication beyond the IT world is critical.”

it’s the team

Communication is critical in an environment where collaboration is a cornerstone of corporate success. So is the investment one puts into building peer relationships. Peer relationships are an area where all the CEOs FST Media spoke to agreed aspiring executives need to apply focus. “At Citibank, we have an ethos that is built on the concept of shared leadership. This means that every employee, regardless of their level within the organisation, shares common goals and a united vision for the company’s future. Underpinning this ethos is the notion that we all succeed or fail together so we must all work together to ensure our collective goals are met,” says Gori. Citi builds shared goals into everyone’s performance management scorecards, so collaboration can be formally assessed and monitored. “All our senior leaders have to demonstrate their ability to work collaboratively and effectively with their peers.” ING Direct’s Koch cautions that it’s important for managers to be upfront and direct in their communications with peers. And that is an aspect of corporate culture that can differ between countries making communication especially important in a global sector like finance. Koch’s personal experience working in the sector around the world for over 30 years has led him to the view that the relatively open culture found in Australia has enabled good communications between IT and the rest of the business in the organisations where he has worked. But that may not be the universal experience. Paul Mills is the Associate Program Director with Mt Eliza Executive Education,

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part of the Melbourne Business School. He has worked at the coal face of executive senior training in Australia and New Zealand for 15 years. In that time he has run hundreds of 360 degree feedback sessions − which include a very high level of peer assessment. For many executives these assessments are often the first, and sometimes only time, they receive honest peer feedback about their performance. Needless to say, it is often an unpleasant and challenging experience. “In the US business culture, managers tend to take a much more optimal view of each other. They like to celebrate optimism and success much more at the peer level than we do culturally. Australians and New Zealanders compete at the peer level very strongly.” Mills says that part of the reason for this is the traditional structure of career development in Australia. “Our leaders tend to come up through narrow silos much more than in other cultures. Often the pathway to success means simply doing well and attaining seniority in your own patch,” he says, “and that can create a real defensiveness at the peer level.”

“In the US you will find that often the path to seniority involves pretty structured stints outside of their technical base. Typically a senior sales leader may have been in as many as seven or eight roles in different parts of the business.” A culture of silo-based promotion tends to create a situation where executives arrive at senior leadership positions without useful insights into the requirements of their peers. That in turn can lead to difficulties understanding the thinking and frameworks of colleagues from other disciplines − none of which is conducive to effective communication. Interestingly, the CEOs FST Media spoke to had experience across a range of cultures and roles. Gori, who in 25 years at Citi has had the opportunity to work in a variety of leadership positions both here and overseas says, “working with different leaders in different cultures gives you a level of adaptability to foster good working relationships with the cross-section of different personalities you’re likely to encounter in corporate life”. It is difficult to understate the importance that our CEOs place on the ability of their direct reports to work collaboratively.

CeO Tips TO The TOp Demonstrate leadership by being prepared to challenge the status quo. Be bold – show that you are willing to make the tough decisions and then focus on the execution. The sooner you strike tough decisions the better the organisation will feel about you. Make sure everyone has a clear sense of what is involved and how they personally have to contribute to the project. Communication is 70 per cent listening and 30 per cent speaking. Keep your communications simple and pitch the style and language to the audience. Every company has its own fiscal metrics for determining return on investment, but remember that when presenting a business case to ensure you explain what it means for the customer. CEOs and boards are looking for people with an ability to influence audiences.

our technology experts are an integral part of our business streams and while they offer technical expertise, their strengths also lie in their ability to understand the broader business objectives. Rory Gori, CEo of Citibank Australia

Peer relationships are often the most critical but overlooked relationships as executives focus on communicating up and managing down. Be willing to step outside the organisation and build wider networks. Be a champion for your company in the industry... but remember most important networking takes place within your own organisation. Check that the decisions you take today about your organisation’s technology are future-proofing the business and not simply addressing current pain points.

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with the increasing complexity of technology and the greater specialisation of individual functions, companies expect their Cios to go to the market for specialist skills rather than to know it all themselves. Don Koch, CEo of iNG Direct

According to Gori, “we need people who have all the commercial skills you’d expect in a senior leader, but beyond that, we’re only interested in recruiting and promoting individuals who have demonstrated their ability to work effectively as part of a team. An incredibly smart individual who is unable to work well with others would have no place at Citibank and the people who do well here are those who not only meet their own performance objectives, but also enhance the contribution of others.” All three CEOs are excited by the opportunities of technology and particularly what it means for customer engagement. But they acknowledge that they are challenged by the rapid pace of change in IT, and frustrated by its ironic corollary − the time it takes to implement that self-same change. And when looking for executives to join the leadership team, or assessing the performance of those who already sit around the table with them, they say the relationships built with your peers, and your ability to communicate and collaborate effectively with them, are just as important as your ability to manage up and manage down.

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When you first join the ranks of the leadership team remember the old adage that there is no second chance at a first impression. MetLife’s Lieberman advises: “Ask yourself, are you asking the right questions, and making the right connections with your peers and your staff? Are you taking the time to learn the business?” And, he advises, be sure to offer valuable feedback and well thought-out suggestions.

it’s the customer

Companies are looking for bold leadership from their executives. Our CEOs want their direct reports to demonstrate leadership by being prepared to challenge the status quo. Koch is looking for evidence that you will make tough decisions and then focus on the execution. “Decisions are all about the execution rather than the decision itself,” he notes. “Make sure everyone has a clear sense of what is involved and how they personally need to contribute.” To understand what banking and finance leaders are looking for from their CIOs it also helps to get their sense of perspective on

the importance of IT. Koch is ideally placed to comment by virtue of his stints as CIO at Citi, and then ING. He says the impact of IT on the customer relationship and on product development is immense. “Customers are driving distribution now, not product. Customers are telling us where to deliver a product, how to deliver it and with what features. The business − which is the combination of product, distribution and technology − is enabling customercentric solutions.” Lieberman also sees greater customer engagement and involvement. “Technology allows customers to have a clearer voice to better articulate what they are looking for in product development. I think too often insurance companies and financial services companies develop products based on what they think consumers what. They don’t take the time to really ask the consumers themselves.” Citi’s Gori says the holy grail is leveraging technology in conjunction with the human touch to find solutions that are simple, safe, efficient and customised to exceed the customer’s needs and expectations. “Technology is a core part of this strategy and a key enabler for us to evolve our business to meet our customer’s needs and engage with them in ways we never thought possible. So ultimately, we’re giving them the tools to customise their banking experience,” he explains. “This nexus of technology and customer engagement is feeding into the evolution of the CIO role and the expectations on CIOs and other finance professionals with a heavy technology aspect to their role.” When Koch started his career at ING Direct as the CIO there was an expectation that the role was much more technical. “Today it’s assumed CIOs have knowledge of what’s going on across the technical sphere and maybe a depth in one or two of the technology disciplines; but beyond that it is more important that they understand what skills to bring to bear. With the increasing complexity of technology and the greater specialisation of individual functions, companies expect their CIOs to go to the market for specialist skills rather than to know it all themselves.”

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Harnessing the Power of Customer Engagement Top row (left to right): Mark Britt, Group CEO, Mi9; Linda Broady, Head of Customer Focus Market Management, Allianz; Sam Plowman, Executive General Manager, Direct Banking, NAB; Carolyn Tait, Head of Brand, Insights and Customer Relationship Marketing, MLC; Fi Bendall, Director, Bendalls Group; Kathryn Illy, Associate Director, Head of Marketing, Macquarie Private Wealth; Christian Spagnardi, Head of Financial Services & Insurance, Microsoft; Annalie Killian, Director of Innovation and Social Business, AMP; Bottom row (left to right): Rob Webb, General Manager, Online Solutions, CBA; Lyn McGrath, Executive General Manager, Retail Sales, Head of Branch Network and Premier Banking, CBA; Janelle McGuinness, Head of Digital & Emerging Channels, ING Direct; Christian Wood, Head of Online, UBank; Karen Ganschow, General Manager, Head of Customer Relationship Marketing and Digital, Westpac; Tony Hackett, Financial Services & Insurance Industry Manager, Microsoft; Aileen McCardle, Head of Marketing, American Express; Jenny Levy, Chief Information Officer, Perpetual. The executives featured in this roundtable editorial held the above positions at the time of publication.

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tony Hackett, microsoft: It’s a question for the ages: customer engagement, how do we do it better? Mark Britt, CEO at Mi9, certainly has a view as to what it takes to understand and engage customers. Mark will share with us highlights of some research that NineMSN has done locally.

mark britt, mi9: There is an immense amount of change going on in the world. As a marketer I have experienced great and challenging marketing conditions as customer’s lives have changed incredibly quickly. As a media company how on earth do you connect and engage with customers? We went through a process with customers in five different countries based on the idea of Jungian archetypes where, for example, you say to a person, “If Microsoft was a person who would it be? Would it be the cool kid at the party

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who’s there with all the alcohol and the booze and bringing the music? Or would it be the guy you go to the day before your exams to kind of get you out of trouble?” You discover an extraordinary amount about how people feel about things when you get them to put an archetype to them – and we asked them to do that for each of the devices in their lives. Interestingly, they describe the TV as ‘the jester’. It does change a little bit by demographic but it is fairly consistent across the board. This represents a profound shift in how people have viewed TV in the past ten years. All they want now is to be entertained. The intimacy and the connection of the past have gone to some extent. They see it as a one-way form of engagement. Meanwhile, personal computers have been a big challenge for Microsoft in the last five to ten years, because customers’ relationships with their PCs have completely shifted. If you go back to the 1980s, 1990s, and early 2000s, as most of today’s population have entered the workforce, their PCs have been a

productivity device. That’s now shifted. Now people see it as what they call ‘the sage’. It’s like the older sibling. The amazing thing is that people trust the same piece of information they see on a PC screen more than if they see it on a TV screen or any other device. There is a model of engagement where I get to tell it what I want and it gives me answers, which actually generates a level of trust. But customers expect engagement, interactivity and they expect to be able to contribute, and if they can’t, they quickly switch off. And so a poor online marketing campaign now just gets lost in the mess. People have a deeply personal connection with their mobile phones, more than any other device they have in their lives. But if you break that trust, if you treat a mobile device as a mass market form of communication, the reaction from customers is extreme. Compare, for example, the reaction to a spam message on text messaging verses spam on emails. People are okay about spam on email. They have the tools to manage it. They don’t like it but it’s one of those things they accept w ho ’ s w ho o f fs i

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“With tablets the rate of adoption we’re seeing is just staggering. Two years ago less than five per cent of total logins came in through a smart device. Now it’s 30 per cent.” sam plowman, nab

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as part of the experience. But send a text message to a customer with a marketing message that they didn’t request and the negative reaction to your brand is extraordinary. Therefore you need to find another way to connect in that environment. The other big thing that’s changed, obviously, is the emergence of tablets. Tablets have been an interesting phenomenon because customers will tell you there is nothing they can do on their tablet that they couldn’t already do in their life. Functionally, it does all the same things that all their other devices do. Yet they love it and the reason they love it is that it has become ‘the wizard’ in their life. If you provide something on a tablet which does not surprise and delight customers, they switch off. It’s not about information. Interestingly, it’s less about entertainment. Rather it’s about that high impact engagement of ‘breakthrough’. As marketers and content providers we have this challenge: how do you connect with customers? The way we think about our tablet experiences is much more about the brand connection we’re trying to build with customers. It’s about the emotional connection we have at a brand level. What do we stand for, how do they experience this? You need to recognise that for each device in a customer’s life, it is fundamentally a different engagement model. For the younger generation on television, if it’s not interactive, they don’t want it. In terms of the older generation, it has to be entertaining and it has to be storytelling, and it has to be social. More than 70 per cent of Australians still watch TV most of the time with someone else, and so they connect with or engage with things that are social. On the PC, it has to be engaging and it has to be educational. It has to be informative. On the mobile it has to be personal, and on the tablet it has to blow them out of the water. If they’re not surprised, they’re gone. They’ve already switched off. The brands that connect well in each of these environments suddenly have a relationship where they are part of a customer’s life in lots of different ways. For those brands, the brand preference, the brand connection, the brand engagement, the brand recall has been absolutely extraordinary. As a media business, that’s the shift that we are going through. The other big theme that is top of our mind is data. It’s the other big shift that arises as you get 10 to 15 Internet-enabled devices in the average Australian household. But the main thing we’re focused on as a media company is: how do you use the data, and all of the insights that you have, to market to your customers in very personal ways? The average

customer encounters 3,000 marketing messages a day in different aspects of their life. That underlines one of our big challenges over the next three years or so. Our whole focus over the next decade is how do you shift marketing to become a much more personal, connected experience? Not only is it in an environment which is better emotionally connected, but are you delivering creative campaign messaging which has much more of an impact? They are the two things that are driving us as a company.

sam Plowman, nab: Mark, I want to challenge you on some of the things you said. With a financial institution where you have 3.5 million customers and the majority are coming in via online devices through different access ports, the tablet doesn’t have to provide a wow factor. It’s just super convenient. Convenience is driving phenomenal change in our industry. We are seeing a rapid uptake in terms of doing basic transactions and self-service in a device away from an able desktop. With tablets the rate of adoption we’re seeing is just staggering. Two years ago less than five per cent of total logins came in through a smart device. Now it’s 30 per cent. I’m sure with the Commonwealth Bank of Australia (CBA) it’s about 30 per cent too. By the time we sit down next year I’m sure it will be 50 per cent. That is in excess of 100 million log-ins per annum – to check balances, to move funds, to pay bills. What has also been staggering is the adoption of applications. Will the browser win, or will the application win? It’s clear the application is going to win by a mile. So writing applications that are relevant to the banking industry and dropping them into the app store and to the Android store is absolutely imperative. You don’t have to wow them. You just have to be there. If you’re not there, you’re going to be seriously behind. Plus you’ve got to be in every single device so the multidevice management is critical. mark britt, mi9: I absolutely agree with you. In that case, the beauty is in the sheer simplicity and ease of use. Customers will cope with complexity in the PC frame. They will not on a tablet, and they certainly won’t on a phone.

sam Plowman, nab: I don’t think this is rocket science. I think it’s actually quite straightforward. I don’t think you’re going to win the game on strategy. I’d almost guarantee that if you swapped Lyn of CBA and myself for a day we’d set the same sort of strategies across the board. Therefore it is an issue of execution.

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I think the organisations that are able to both comprehend the strategy and ensure a smart execution across the organisation, not just in the pockets, will do very well, whether it’s a bank, a wealth company, or the media. When you have millions of customers, you need to ensure that your main operations are moving forward significantly and that you are not splintering off into a few fragmented lanes. So our position would be to establish a strategy that is relatively straightforward, but to execute it as well as you can to put yourself in, or ahead of, the game.

Jenny levy, PerPetual: At Perpetual, we are dealing with a variety of age groups, including retirees. How does age impact uptake of this sort of technology?

mark britt, mi9: It’s as you would expect with age impacting the levels of anxiety and the degree to which this technology is adopted. That said, there is a segment in every market of true non-adopters of the Internet. How people under the age of 18 view these devices is completely different, though. They are all embracing. There is no anxiety, there is no fear. There is the expectation that all devices should be able to do everything. But while this means they are very willing to adopt anything new, they are also very, very fickle.

kathryn illy, macquarie Private Wealth: At Macquarie Private Wealth, we segment our clients into two key groups. In one, our clients’ age is skewed to the elderly − 55 to 75 years old. We’ve found that many of them are early adopters but many still like to receive application forms by way of paper. How do you engage with them? How do you compel them to take up new devices as a method of communication? It’s a bit of a challenge because at the same time our second group of clients we describe as young − below 50. They are much more, “let’s go, let’s get on board”. It means we almost have to have a dual strategy to approach these two. mark britt, mi9: We find that people are willing to do it if it’s going to save time but they still want a paper statement. It’s a matter of trust. We find people are happy to get an email confirmation of a transaction while simply receiving a barcode on their phone isn’t enough. And they still want to pick up the set of tickets. What is your experience in financial services?

kathryn illy, macquarie Private Wealth: They might be on Twitter or Skyping with their children but how are they actually dealing with their financial

services provider? Obviously there’s a different relationship between your family and your finances and how you interact with those two. Yes, they want to be connected with their family but when it comes to their finances they need to touch something tangible as opposed to interact with a screen.

lyn mcgrath, cba: We’ve found the adoption of online statements is very high in that younger demographic because, at the end of the day, they can choose whether to save it or print it out. linda broady, allianz: I agree. Working in the insurance line of business it’s really a matter of tailoring choices to the type of touch point. For example, you might want to lodge a claim online but you can then choose whether you want to get updates via SMS, phone, or via email. For many customers it’s very important to have the choice of personal interaction, especially in a moment of truth transaction like a complaint or a claim in an insurance context. Certainly at Allianz it’s something we drive. It’s our opportunity to build a relationship with the customer. We don’t want to ram through digital as the only way of interacting with them. It’s actually counterproductive to building loyalty and ultimately retaining those customers. Otherwise you won’t have created any emotional connection whatsoever. So I think it does come back to giving the customer the choice regarding how they want to transact with you. Janelle mcguiness, ing direct: I think it is about choice, but it’s also about building trust. So yes, you can choose how you want to interact in terms of what channel, but then it becomes a matter of providing those feedback mechanisms in order to ensure what you have done has worked. I think those feedback mechanisms add to the trust customers feel. It builds loyalty and I think that’s very important.

“We are an online bank so we’re unable to build a face-to-face relationship, but we believe it is possible to develop that trust online.” cHRISTIAn wOOD, UBAnK

christian Wood, ubank: We are an online bank so we’re unable to build a face-to-face relationship, but we believe it is possible to develop that trust online. If we weren’t able to do that we wouldn’t have been able to achieve the success that we have over the past few years. Certainly from a communication perspective it is about choice; we have a 24/7 call centre, Skype services and we’re very active in social media. I would also like to make the point that it shouldn’t necessarily be about demographics. We didn’t launch as an online bank to exclusively cater for young Gen Ys. Rather it was about focusing on people who wanted to be self-directed and who want who ’ s w ho o f fs i

ro u n dta b le // c us t o m e r e n g ag e m e n t

the ability to manage their own money online. What we’ve found from our customer base is that it isn’t only younger people, many older people want to use online banking and they tend to be higher educated and of a higher socio-economic background. One of our oldest customers is nearly 100 years old. So from a commercial perspective, ignoring people in the 50plus bracket would mean you miss out on a potentially large and lucrative market. We also found that our customer base didn’t want paper statements. When we sent them out the response tended to be, “What are you doing? You’re an online bank, think about the environment.”

tony Hackett, microsoft: What are people seeing with respect to the tension between online and offline? How is that impacting your world?

rob Webb, cba: I think flexibility is the key. Even if you think there’s a push for a particular feature that may be online only, you have to ensure you maintain that agility, and that you can offer it offline if necessary. I think if you lock yourself in you’re selling yourself short.

“It’s absolutely true that the more commitment you get from a customer in your marketing and engagement, the higher the brand loyalty.” Mark Britt, Mi9

annalie killian, amP: I’m curious about the behavioural psychology behind what I see as a very fast adoption of the tablet. I’m interested in the psychology of being able to involve more senses in the experience. Does that create an element of trust because there’s more than one sense involved in the engagement process? karen ganscHoW, WestPac: I think it’s very visual. Typically on PCs you still see things in rows and lines whereas the tablet experience is far more graphical. I think your sense of sight has been engaged to a much greater degree compared with the traditional mediums.

mark britt, mi9: On the pure psychological side, one of the things we are seeing is a decline in brand loyalty, where people no longer physically experience the brand, the premises, the teller. But it’s absolutely true that the more commitment you get from a customer in your marketing and engagement, the higher the brand loyalty. When people download apps and the apps become part of their environment, it’s very personal and results in a commitment to that brand. Aileen, the physical step of tweeting Amex with what I’ve purchased is an extraordinary commitment to my credit card, and promotes the brand in that way.

who ’s who o f fs i

aileen mccardle, ameX: One thing I‘ve observed is that Facebook’s good for promoting products, whereas Twitter is better for services. Facebook is quite conversational; Twitter is more of a broadcast. We used Facebook for a campaign we ran at McDonalds at the end of 2011 to support Ronald McDonald House Charities McHappy Day. If you checked in at McDonalds, Amex gave a dollar to the Ronald McDonald House Charities. You didn’t have to spend on your card, you didn’t have to be a card member – it was purely about driving engagement with the channel and we got just under 25,000 check-ins that day which was huge – we had expected 5,000.

sam PloWman, nab: If you’re getting into the mindset that you have to buy friends versus earn them then you’re in trouble. Your social media is about getting the right message into the right hands so it can be amplified through different ways, as opposed to the conventional “let us tell you” advertising. fi bendall, bendalls grouP: We worked with one of the top four banks and my experience is that less is more. All our experiences have centred on between five to 10 people. We have then reached tens of thousands of people. I would question why I would be friends with my bank on Facebook. Unless there was a real benefit I simply would not do it. karen ganscHoW, WestPac: But they’re going to let you know if something’s going on, if their ATMs are down or you can’t get your pay on time for example. Social media is the immediate channel. fi bendall, bendalls grouP: I think it’s about finding those right five people and letting them take your message. It’s about what they are saying on their Facebook site, not what you are saying on your Facebook site. It’s what they’re saying on their Twitter feed, not what you’re saying on your Twitter feed. That’s genuine purist social media, that’s genuine word of mouth. tony Hackett, microsoft: While you might not have the relationship with a bank on Twitter or Facebook, would you have your financial advisor in your top 12 people on Skype?

fi bendall, bendalls grouP: Yes, definitely. I think Skype is underutilised. Again it’s all about the medium. Facebook for me is about my friends, not my bank. I don’t click on a Facebook app.

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annalie Killian, amP: I think it is beginning to change for people. For example, Facebook may have started out being about my friends but increasingly people are sharing brand experiences with each other and with their friends, and eventually all these boundaries are blurring, just like they are blurring on LinkedIn as well. On another topic, I’ve had a bit of a look at what sort of investments some of you around the table have put into social channels, and they are quite substantial. Is this part of your innovation play? Does this come out of your marketing budget? In a business that is quite cost conscious, how do you actually have those conversations? There is a period of overlap where it seems that you are actually increasing the number of channels, and therefore the cost is going up across the board.

Karen ganschow, westPac: I think you need both. You can demonstrate more often than not that there’s a call saved for every five online transactions that are made. Customers can go online anytime it suits them, so they’ll do a lot more online. But you’ll definitely take calls at your call centres. Fi bendall, bendalls grouP: Recently we worked with an electricity company whose call centre was under severe pressure. We found that the use of social channels could project to reduce Ombudsmen complaints by just one per cent but that had a massive bottom-line effect. I think the challenge is thinking outside the box of what the return on investment is. Is it an operational saving? Is it driven by profit? Generally I agree with you, that you build a relationship with a customer, the transaction comes later. Often it’s a relationship that doesn’t involve product, but the products come as a result of that touchy feely feeling. So I think there’s a mix of things that you have to come in to try and build a case. Karen ganschow, westPac: I think you can be far more positive about that, though. If you can take those low level transactions out of the call centre and give customers the tools to help themselves, you’ll notice a significant drop off in the number of those type of calls. lyn mcgrath, cba: But it’s not linear. You can make changes to your technology that will actually push more calls into your call centre, which is exactly what we found. sam Plowman, nab: There are some great examples, Karen, in terms of the use of tablets and mobile phones,

where you make it so much simpler, so much more convenient, and you see the number of transactions increase exponentially. But you can’t use business cases to show that one linear interaction over there can replace this one over here.

Karen ganschow, westPac: But the cost of the transaction on the tablet is far less than them calling into your call centre, right? sam Plowman, nab: You may think so but it’s really hard to mount a business case where you have to show where you think technology will go and what you think the uptake will be. christian sPagnardi, microsoFt: So how do you make a success of it? Do you measure it on the number of people that are on it or do you measure it on customer satisfaction? I think the advances in technology and the multi-channel use of that technology has changed the consumer behaviour and allowed them to become better educated on what’s available, and therefore more demanding. They have become demanding of the people they did business with, whether it was a bank or a retailer. The biggest question is, how do financial institutions support them? How do we maintain that level of experience with them? And if the measure of success is their experience then the increasing use of social media, and the use of multi-channel online, is a journey that we all need to go on. aileen mccardle, ameX: I think it is led by adoption of technology – for example APIs have changed the way the data or information can be shared – social plug ins allow you to use one app but extend it’s reach into three or four other apps – eg Instagram with Twitter, Facebook, LinkedIn etc.

“We found that the use of social channels could project to reduce Ombudsmen complaints by just one per cent but that had a massive bottom-line effect.” fi bendall, bendalls group

sam Plowman, nab: Most of the big organisations now would sit there and say we don’t have to do as much convincing about this anymore, we don’t have to write the business cases with the fine assumptions and so forth. We have probably got to the point where it’s not about customer satisfaction, it’s about actually having customers that are there to rate your satisfaction. And if you don’t, if you’re not there, then you are stepping backwards. This is the tidal wave washing through the industry. Consumer behaviour has changed it, technology has changed it. Pull those two together and business needs to go with it.

w ho ’ s w ho o f fs i

a n a lys is // ca pi ta l m a r k e t s

he fallout from the Global Financial Crisis and rapid advances in trading technologies have resulted in the financial markets industry currently confronting its greatest period of upheaval in 20 years. The endless drive for best execution and rapid advances in trading technology now mean that an order can hit a market matching engine in a couple of hundred microseconds; or millionths of a second. Exchanges are now moving towards matching orders in billionths of a second. This need for speed has kicked off an IT arms race for lower latency order execution that is changing the face of the industry. Technology executives are being forced to do more with less. In a period of record low trading volumes, financial institutions must still invest in the development of faster and smarter data analytics tools and Smart Order Routing Systems (SORs) in order to remain competitive.

sOr sophistication and High Frequency trading

Many financial institutions are turning to open-source technology when building customised SORs and data analytics systems to lower costs and development times. Nevertheless, development is advancing at such a rapid rate that traders sometimes do not have time to optimise algorithms on a system before it is superseded. “Technology has become cheaper to deploy over the years but the lifetime of systems has also gone down,” says Alex Bennett, Global Head of eCommerce Products at ANZ Global Capital Markets. “There’s a need to continually upgrade systems, especially at the lower latency end of the market.” Greater sophistication of SORs and information analysis has led to the emergence of a strategy known as High Frequency Trading (HFT). HFT uses complex algorithms to determine the best time and volume in which to trade. Positions are often held for only a matter of seconds, with perhaps just a few cents profit made with each trade. However, the sheer volume of trades done by these systems (often tens of thousands per day) quickly turns cents into thousands of dollars; they have become the workhorses of many sell-side trading rooms.

who ’s who o f fs i

Although not all market participants are necessarily seeking low latency execution, the very fact that it is available to them is becoming appealing in itself and a sellable point of differentiation. According to the Australian Securities and Investments Commission (ASIC), high-speed trading represents 15 to 25 per cent of Australian Stock Exchange (ASX) turnover.

competing with chi-X

This increased liquidity has lowered venue infrastructure costs and removed the monopolistic control that market venue providers such as the ASX once had, allowing Multilateral Trading Facilities (MTFs) such as Chi-X to compete directly. When Chi-X Europe launched in 2007, it captured 20 per cent of the London Stock Exchange’s traded volume in its first 12 months of operation – largely attributed to HFT activity. Chi-East venues in Singapore and Hong Kong have also enjoyed strong growth from their dark pools – markets where large volume can be traded anonymously without fear of price movement. Somewhat ironically, the growth of dark pool trading around the world has been through institutional investors seeking to avoid HFT algorithm interference. However, the separately-owned Chi-X Australia’s debut in the ‘lit’ market has been somewhat less spectacular, with the new kid on the block yet to secure more than two per cent of ASX volume. Chi-X Australia’s fee structure and ASIC regulations have been blamed for the poor volume. Nevertheless, the entry of Chi-X forced the ASX to bring forward the launch of its $32 million co-location facility known as the Australian Liquidity Centre (ALC). Exchanges around the world are catering to the increased demand for low-latency with the provision of such co-location data centres. Located in close proximity to the exchanges, the centres store dedicated servers for market participants to speed up order entry. With a signal able to travel along at fibre optic cable at 30 metres per nanosecond (a billionth of a second) and trades now executed in the flash of an eye, being physically closer to exchange matching engines is critical.

Full speed ahead In a market where seconds count, technology is creating an arms race that is changing the face of the industry. By Michael Pollack

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The ASX boasts that an order sent from the ALC will reach its engine in 240 microseconds. The Hong Kong Stock Exchange (HKEx) and Singapore Exchange (SGX) also have co-location centres, with the former boasting its 1,200 rack facility has the highest capacity of any exchange in Asia Pacific. “We aim to create an environment where brokers, technology suppliers, information vendors and network service providers can gain synergies and efficiencies by working together in an efficient ecosystem,” says Charles Li, Chief Executive of HKEx.

asia pacific state of play

Research firm Ovum predicts financial markets IT investment in Asia Pacific to hit US$18 billion by 2015, which places the region at the forefront of global IT spending. However, this increase in investment is something of a false dawn as IT spending in Asia Pacific financial markets has been trailing that of the mature markets in Europe and the US for a number of years. Accordingly, investment in catch-up infrastructure will represent much of the APAC spend. “Things that are extremely capital intensive, like building datacentres and networks – large pieces of infrastructure that are extremely expensive – would certainly drive a large portion of that,” according to Ben Radclyffe, Head of Electronic Trading Australia at Deutsche Bank.

embracing HFt

HFT has created enormous upheaval in capital markets around the globe, accounting for over 60 per cent of equity market trading volume in the US. Asia Pacific is yet to feel the full impact as HFT requires high liquidity to operate optimally, making the bourses of Europe and the US more attractive. Australia has experienced exponential growth in high-speed trading due to its large number of highly liquid resource and banking stocks, however its total share of trading volume is estimated at 15-20 per cent. Nevertheless, HFT in Asia Pacific is expected to represent 60 per cent of total equity market trading volume by 2017. Investment in HFT technology on both the broker and exchange side has also made low-latency trading more attractive

who ’s who o f fs i

to fundamental investors in Australia. “One of the things we’ve learnt from HFT is that speed to market and the ability to react to changing conditions is extremely important and that’s not necessarily just true for the camp that’s labelled HFT,” says Radclyffe. HFT growth in greater Asia has also been stifled by China and India, the most liquid markets in the region, being the most unwelcoming to foreign investors, although the latter has adopted regulations for Smart Order Routing. SGX has made significant investment in low-latency infrastructure but is hampered by a dearth of highly liquid shares. In 2011, SGX launched Reach, which it claimed at the time was the fastest order matching engine in the world. Progress is still slow, however. Since the launch of Reach, SGX President, Muthukrishnan Ramaswami, has acknowledged that the HFT trading in equity stocks on his exchange is, in fact, close to zero. Nevertheless, one of the world’s largest HFT firms, Getco, is now trading on the SGX. It is expected that the HFT’s contribution to market liquidity, as well as the increased revenue it provides to exchanges, will eventually turn the tide in its favour throughout Asia.

regulatory hurdles

While not expected to stifle it entirely, the growth of high-frequency in Australia is likely to be slowed by a cost-recovery levy imposed by ASIC. The levy is imposed on order messages that are placed in the market without necessarily being executed. The massive volume of order messages generated by HFT automated order systems could top $1.5 million per year for the large investment banks trading on the ASX. Sean Larcombe, Head of Portfolio and Electronic Execution at Citigroup Australia, remains optimistic about HFT but is wary of the effect of the ASIC levy. “Right now I expect [HFT] to grow but it’s going to depend on the regulatory environment,” he says. “That’s the big thing that could change that space.” Outside of Australia, the regulatory environment in Asia has been largely unfavourable to HFT as well. Restrictions on short-selling across the region have hampered

algorithm trading in equities, forcing investors into the futures market. In Hong Kong, the tax regime is also unfavourable to high-frequency traders, with a 0.1 per cent levy on all trades. This has resulted in growth of HFT activity in the options market.

Dark pool developments

Uncertain liquidity in lit markets, and an aversion to low-latency trading, is driving predominantly buy-side institutional investors, who need to trade large volume with minimal information leakage and market impact costs, into off-market arrangements known as dark pools. Dark pool trading essentially incorporates the same type of order system used by brokers in the ‘lit’ market, however on the exchange side, dark pool alternatives have emerged in Australia, Singapore and Hong Kong. The ASX has introduced the Centrepoint facility, which allows brokers to cross trades at the midpoint of the prevailing bid/offer spread in the market as happens in a dark pool. Meanwhile SGX has partnered with Chi-X Global (operator of Chi-X Australia) to form Chi-East a dark pool facility available in Singapore and Hong Kong. However the impact of dark pools on broader market integrity is yet to be seen.

market fragmentation

Lower liquidity across APAC also means that the region has yet to experience the extensive fragmentation of its markets that has occurred in Europe and the US. The traditional model of sell side investment banks offering liquidity to buy side fund managers has been disrupted in the western hemisphere by small companies offering innovative trading solutions and MFT venues; essentially the facilities that the buy side once sought from the sell side. “In Asia, exchanges are being forced to upgrade their systems to compete and cope with competition, leading to increased technology requirements for participants in a difficult economic environment,” says Jenny Evans, Head of IT at Credit Suisse Australia. In Australia, the ASX prepared for the launch of its Chi-X competitor with HFT and dark pool-type facilities. The PureMatch facility features an order book of highly

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a n a lys is // ca pi ta l m a r k e t s

speed-to-market is king but smarter, more highly-tuned algorithms are also vital drivers of profitability. There is a push towards self-learning algorithms that scour markets for trading opportunities too complex for human comprehension.

liquid stocks with lower fees for participants who meet a minimum trading volume, i.e. high-frequency traders. PureMatch is a direct competitor to Chi-X, which also charges lower fees to participants who add liquidity to the market; the ‘maker-taker’ model. Nevertheless, constrained fee incentives and the ASIC cost recovery levy, have been blamed for Chi-X’s low trading volume. The introduction of ASIC’s best execution rule in 2013, that requires brokers to send client orders to the trading venue with the best price, whether ASX or Chi-X, is expected to significantly increase the latter’s volume. In order to maximise tenancy at its liquidity centre, the ASX has implemented an order routing system to Chi-X to ensure that market participants’ orders are matched with the best price on either exchange. This system facilitates high-frequency arbitrage trading via SORs and is expected to eventually increase liquidity in both markets. “Chi-X has been wonderful for bringing competition into the Australian market,” says says ANZ’s Bennett. “It enables new trading models like statistical arbitrage between the different markets. What clients really want is liquidity access and our job is to deliver that access.”

lower latency

HFT might be the torchbearer for low latency trading but speed-to-market remains critical for all market participants. Demand for co-location facilities is forecast to increase in 2012/13 as all market participants, not just high-frequency traders, take advantage of low latency technology.

w ho ’s who o f fs i

“I think [low latency] should be taken seriously by a lot of people who probably don’t think they are in that space,” says Larcombe. “They’re competing in it so it’s relevant.” Growth of HFT activity in asset classes outside of equities will also increase demand for accommodation in co-location facilities. Algorithm trading now accounts for 60 per cent of global volume in the foreign exchange market. More complex derivative products will be developed in 2012/13 to take advantage of arbitrage opportunities between multi-exchange markets. Rather than transmitting orders to servers in a liquidity centre, brokers are beginning to physically locate their black boxes (units containing automated algorithms) within the centres to reduce execution times. Speed-to-market is king but smarter, more highly-tuned algorithms are also vital drivers of profitability. There is a push towards self-learning algorithms that scour markets for trading opportunities too complex for human comprehension.

FpGa in focus

Powerful chips designed for 3D graphics applications are now being modified for order systems and Field-Programmable Gate Array (FPGA) hardware that avoids PC protocols is chief among them. Until now, most low latency solutions have been programmed using traditional software, but PC protocols limit the speed at which algorithms can run. FPGA involves the programming of ‘logic blocks’ of information onto a chip, which is loaded into customised

hardware, thereby avoiding the restrictions of a PC. FPGA is being developed by a number of institutions to lower latency on pre-order risk checks and process Big Data analytics. Further down the track it is expected that FPGA technology will lead to 3D printers in trading rooms creating highly tailored hardware.

Opportunities in ‘Big Data’

Capital markets firms are being forced to get a handle on Big Data to meet growing regulatory demands and uncover market opportunities. As data output grows exponentially, requirements in this area are likely to surge in 2012/13. “We’ve got a combination of market data and newswire information, analyst reports, client stock information and so forth,” says Deutsche Bank’s Radclyffe. “It’s currently very difficult to tie that information together in a meaningful way. There are systems that attempt to do it but there’s no holy grail on that front currently. I would expect that to kick in.” Currently open-source software Hadoop is the top choice among developers working with Big Data as costs are minimal and it avoids vendor contracts – potentially restrictive in such a rapidly changing environment. Open-source technology also allows Hadoop, which was derived from Google MapReduce, to split the processing of large data sets across multiple servers. There will be a trend in 2012/13 to replace expensive legacy systems with cost-effective open source software of this kind.

Understanding the cloud

Investment in Cloud computing is expected to increase across 2012/13 as cost pressures force firms to reduce infrastructure spending. Although mission critical data and latency sensitive information is unlikely to move the Cloud, back office functions, for example, are already on many private Clouds. “As soon as we solve problems like security, latency and uptime I think private Cloud has a lot to offer,” says Bennett. Consequently, any move to a public Cloud is unlikely in 2012/13, with any venture likely to be led by smaller institutions that have made little or no investment in private Cloud.

C o - SponSo r e d a r t i C le

The art of the possible with big data: harnessing high performance analytics and visualisation for better business decisions The era of big data has finally emerged and is top of mind for many CIOs. In reality, big data has been with us for some time and the challenge now is what to do with the ever increasing volumes of rich information which has often been a wasted resource. Financial institutions need to ask what are we going to do with the big data and how can we use it to transform our business in challenging times? For organisations to truly become analytical, they will have to organise their data in a way that allows them to access, extract and process it as quickly as possible. The enterprise analytics platform permits automation and retention of analytical data from multiple sources, reduces data collection and aggregation time and is a key first step when seeking to harness and use big data. Many financial institutions are adopting technologies for processing and querying vast amounts of data on large clusters of commodity hardware. SAS has embraced these capabilities as part of our own LASRÂŽ in-memory architecture to help the fast storage/loading of large amounts of data. There are compelling opportunities available to financial institutions who are leveraging data and adopting predictive analytics to enhance business decisions. If matters of storage, processing power and speed are addressed upfront, financial institutions can find answers to their complex business problems at a deeper-level. They are provided with more variables and ask what-if questions of the data in ways that many have not been possible before. Being able to ask more questions is one thing but for many a greater challenge is visualising the answers provided and exploring relationships between thousands of variables to determine their relative importance for predictive modelling and making changes on demand. Similarly, how can results produced from such models be presented in the best way to drive better business decisions?

These results need to be available quickly and on mobile devices. Easy access for exploring the data in real-time in a user-friendly interface is also key. The answer is visualisation and high-performance analytics using in-memory processing. An in-memory engine speeds the tasks of data exploration whilst an interface clearly displays results in a simple visualisation. It takes even the most common descriptive and complex statistics calculations dealing with big data and provides insights in an intuitive and comprehensible form. Big data and high-performance analytics supported by easy to use advanced visualisation technologies provide decision makers with insights on customers, risks, finance and operational performance to adapt and respond quickly to changing market conditions.

Paul Franks Director, Financial Services SAS Australia and New Zealand

Are you truly leveraging big data for opportunity and reward in times of lower growth? High-performance analytics can help you solve complex business problems faster and with greater confidence. SAS Institute Australia Pty Limited 300 Burns Bay Road Lane Cove NSW 2066 Contact: Paul Franks, Director, Financial Services Phone: + 61 2 9428 0428 Website: www.sas.com/australia Email: info@oz.sas.com

A new way is needed that permits data to be viewed where results are collapsed and condensed in an intuitive fashion but still displayed in familiar charts that decision makers are accustomed to using. w ho â&#x20AC;&#x2122; s w ho o f fs i

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Delivering Innovation Through Emerging Channels

Back row (left to right): Craig Williams, Senior Sales Director, CA Technologies; Ken Brandt, Australia Division Information Security Officer, ANZ; Chris Smith, General Manager Digital, Direct Banking, NAB; Richard Farrell, Senior IT Security Advisor: Global Security, ANZ; Cameron Owens, Head of Electronic Distribution, NAB. Middle row (left to right): Paul Guardabascio, Head of Channel Reporting and Customer Insight, NAB; Dave Williams, Head of Innovation and Solutions Delivery, Bankwest; Berin Lautenbach, Vice President Security Architecture and Strategy, GE Capital; Tim Richardson, Head of Technology, Investment Platforms, MLC; Trevor Iverach, Security Practice Lead, CA Technologies. Front row (left to right): Vic Mankotia, VP Security Sales – AP, CA Technologies; Naresh Vyas, Global Head of Channels, Technical Solutions Delivery, Standard Chartered Bank; Diane Shehata, Head of eBusiness, NAB; Darren Simpson, Head of IT Security and Risk, Superpartners. The executives featured in this roundtable editorial held the above positions at the time of publication.

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Vic Mankotia, ca technologies: The aim today is to understand where we are heading in mobile security – the new frontier of mobility. Three key things are happening around us: social media, mobility, and the consumerisation of IT – that is, Bring Your Own Device (BYOD). Naresh Vyas of Standard Chartered Bank will lead the discussion today.

naresh Vyas, standard chartered: Standard Chartered Bank has 1700 offices in 70 countries. We earn 90 per cent of our profits in Africa, the Middle East, Asia and we have a presence in diverse places such as Botswana in Africa. We face many different challenges when it comes to security and service delivery to our customers. Mobile is one of the top channels given the markets in which we have a presence. For example, in Indonesia, while there are still a significant number of PCs using dial-up, people on mobile phones are on

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3G. Similarly, in Africa, we are pioneers in the mobile money space. In wholesale banking, we are the pioneers in offering treasurers or CFOs, or even a small business owner, the ability to approve payments and approve trade transactions through a mobile device. We have a huge diversity of cultures in our market that we need to understand and cater to, for example supporting Islamic banking in several of key markets, such as Malaysia and UAE.

Vic Mankotia, ca technologies: When I talk to banks and institutions and people getting into mobile banking, there is a lot of discussion about applications. Ken Brandt, where is ANZ Banking Group (ANZ) going, or where is the industry going, in your opinion? Are you thinking of security when you build these applications or do you think about it afterwards?

ken brandt, anZ: The last question is a broader question and it is fair to say – like most things that are developed – you hope security is considered at the beginning but security professionals are used to that not being the case. Depending on who the developer is, how the application is being developed and how the product is being planned, you might be in there at the beginning – and that’s changing for the good – but I think we’re still in catch-up mode. ANZ is much more security conscious now, in part because of all the news in the media about different attacks on the bank. It has certainly captured the attention of the ANZ board of directors. It’s not the best reason for increasing awareness but it has.

diane shehata, nab: I am very concerned about the business side. Traditionally the move to mobile was seen as a retail move and that is no longer the case. Now corporate customers are telling us very, very loudly that they are mobile. I’m hearing it from those of our customers that are international or are generally on the road. They want to be mobile. So in the business-type channels we expect payments to be securely authorised. There’s a whole range of security that we build into the channels on top of all the other types of security that we have at the back-end to detect whether or not this particular transaction is in line with the customer’s normal behaviour. But what the customer sees is the security that’s built into the channel, which is around segregation of duties and how that is captured in a mobile device. Certainly we see this as a growing market for us.

Vic Mankotia, ca technologies: The difference is that branches are operational 9 to 5 – maybe weekends for certain banks. Mobile banking is 24/7. That’s a different challenge. What I don’t see in the Australian market is a lot of authentication. How do you see regulation playing in this space?

chris sMith, nab: Australia was among the first ever to experience hacking. In 2003, there was a phishing attack on the Commonwealth Bank of Australia (CBA). So the notoriety of being the first to be impacted by this underground activity means we’ve had more experience than everybody else. Initially putting in SMS security to authenticate was a market-leading move to secure transactions – or at least to drive awareness. We’re probably not going to be number one on the hit list anymore but I think there are signs of innovation here: ANZ’s Go Money, CBA’s movement in Commbank Kaching, and some of the work we’re doing is really moving the power of choice to consumers. With that we’ll have no choice but to look at the next phase of authentication. I am quite optimistic we do lead in many parts of the world in terms of authentication.

Vic Mankotia, ca technologies: Risk-based or transaction-based?

chris sMith, nab: We hope it’s risk-based, but it’s probably transaction-focused. A lot of third party applications are probably being built without the awareness or rigour of some kind of security framework.

Vic Mankotia, ca technologies: That’s a very contentious issue. Let’s take Square, for example. I was at a conference last week in San Francisco. I jumped into a cab and the driver took my credit card and swiped it on his iPhone and I got an email 15 minutes later saying, “here is your receipt.” He’s charged my credit card, there is a Google map connect link which tells you where I travelled from and I can file that under expenses. There are applications being built around mobile platforms by third parties, consolidators or people who want to capitalise on the opportunity. The risk does not lie with the bank or the carrier or the device manufacturer, or the software company helping it out. It’s the third party I’m worried about. It’s the authentication, the identity, the access control, the content aware in access management, all four of these have to work together. I’m going to board a flight today. My passport, my identity, is not going to be enough. I have to go and get a boarding pass, I’ve got to go to immigration and

“Mobile banking is 24/7. That’s a different challenge. What I don’t see in the Australian market is a lot of authentication.” Vic Mankotia, ca technologies

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get it authenticated. I’ve got to scan my bag contents and then I go to the gate, so all elements have to work together and very few companies offer that. Dave, from a BankWest perspective, what do you see?

dave Williams, bankWest: Everything goes through the same security gateway, but I think if you look at [Google’s] Android and [Apple’s] iOS, they are completely different in terms of security. In the Apple sphere, the authentication you need to go through to be able to publish gives customers a certain level of protection and a traceability. You can go back to where the app came from and who published it and what’s behind it. In Android, it’s almost a free-for-all. We really need to see something happening in the Android space to make security much better because it is already the predominant operating system. That’s a real risk for us. It means that in the Android space we’re more likely to move back into browser technology deployed on the Android platform so the app does nothing more than lodge the browser. The security is in the browser itself.

“On one side it is growing your business but on the other side, you potentially have half a million users using an application that will be the target of malware and attacks in the future.” RichaRd FaRRell, aNZ

vic mankotia, ca technologies: Richard,

different approach. What I’m frequently hearing in the industry relates to wrapping that application around identity. That is, put any out there, wrap it around identity or compliance, access control, authentication, and then most applications will get the right information from the right person to add access.

what do you see as the biggest security risk on the mobile platform and what are you looking at in an ideal world to protect that experience on the mobile platform?

dave Williams, bankWest: Which in Apple is great, but with Android we are much more sceptical that it can’t be apped in any kind of way.

vic mankotia, ca technologies: Tim, what about wealth management: are you really looking at this platform or is it a ‘good to have’?

it if it was readily available but you need to ask, what are the priorities in terms of our slate of work? What can you expose without affecting the clients or leaving them vulnerable? In terms of banks, there’s a huge appetite for iPads out there and most of the executives want them, but we need to do it in a manner that meets the requirements of the security road map. It’s about having a co-ordinated strategy that approaches this in a controlled manner. I think it is top of everybody’s mind but when it comes to funding it still has to be weighed up against other initiatives, which is always the challenge every business faces. who ’s who o f fs i

naresh vyas, standard chartered: For us, security was important in terms of building the mobile apps and mobile capabilities. We ensured security is on par with what we offer on an online channel. For example, we let customers decide what limits they want to have on various channels – $100 might be the maximum, or it could be $10,000, $50,000. The other thing we’ve done on the mobile is allow customers to transfer money to people they already have as a beneficiary or as a payee. If you need to set up a new beneficiary you need a lot of information, such as bank routing codes, so we do not support this via mobile.

vic mankotia, ca technologies: That’s a very

tim richardson, mlc: All consumers would want

vic mankotia, ca technologies: When I look at frequent flyer miles with Qantas, I’m not concerned so much about security. It’s a number. If someone knows my miles, I don’t really care. But if I’m moving $1000 or $10,000 to someone else’s account, I’m concerned about the transaction. Naresh, can you talk about Standard Chartered’s Breeze and how it got to where it is?

richard Farrell, anZ: You want to make sure that transactions are secured end-to-end; that your customer information is secured. You also want to ensure that your personal and authentication details are protected. In an ideal world you would have a controlled sandbox around it and say for example you are using jailbroken iPhone, you still want a high level of control and security around it. The goMoney mobile application has been hugely successfully for ANZ, accounting for 36 per cent of all online logins by ANZ customers and double digit growth month-on-month. But this level of growth can be a double-edged sword. On one side it is growing your business but on the other side, you potentially have half a million users using an application that will be the target of malware and attacks in the future. On top of that, if you are looking at putting it on multiple devices – such as smartphones and tablet devices, your attacks surface has just significantly grown. Due to the fast pace of mobile development, some approaches are moving from a waterfall to agile based methodology challenging your traditional SDL (Secure Development Lifecycle) approaches.

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berin lautenbach, Ge capital: Five years ago we were doing all this stuff on a PC and a PC is a lot less secure than a mobile phone in general terms. At least with a mobile phone you know people have got it on them all the time; they know if they’ve lost it. So there’s actually a whole load of security mechanisms. Bill, you were speaking about iOS, a great platform to build this stuff on. Does it mean it’s not compromised? No, it can be compromised. There’s things that can go wrong with it. But as a fundamental platform to build on, it’s far better than Windows. So your question about Data Loss Prevention (DLP): some of the things that I’m seeing at the moment that are really nice on the mobile phones, you can do on iOS. It’s harder on Android because the segregation side isn’t as good. A client goes on iOS – it’s your email client, your calendar, it’s everything. It’s clunky. But this stuff is always clunky when it starts. And now I’ve got one central point of control on your device, but with my data on it I can control what data you’ve got. I can see where that data is going. I actually have more control.

chris smith, nab: I think a lot of what we do is the Wild West and so we create these apps. I agree iOS is quite unique and a lot safer but I’ve got another audience, and who knows what they are downloading on that site. One of the issues we face is how do you authenticate? So you’re in that app, you’re in that experience, how do you get that? I agree it’s good but I have a fundamental problem and that is how do I ensure there is a secure transaction happening? We don’t have an easy answer.

Vic mankotia, ca technoloGies: There is advanced authentication, there is authentication at the log-in phase, risk-based authentication, there is authentication with One-Time Password (OTP), there is SMS OTP, authentication on the web site, and again too much security will just hamper business. Five people will stab you with a spoon because you’re going to delay the speed of business and you’ve got to move at the pace of the customer.

daVe Williams, bankWest: Coming back to your comment earlier about not being concerned about the Qantas points. Qantas actually holds quite a lot of information on you, as do many other sites that you register with, but they do not have the same level of security that banks have. So it’s not just what security we can have, but how can we protect ourselves against non-financial institutions’ sites that collect credible, identifiable data.

paul Guardabascio, nab: As an industry, the speed of innovation and market competitive forces are driving change. What do you see in terms of collaboration with the telcos and utility companies and the banking sector? Who actually owns the customer? Vic mankotia, ca technoloGies: The telcos take no responsibility. The banks say, “I provide you with an application, it’s yours to use, but use it at your own peril.” The software security companies are saying, “Here’s a solution.” It works half the time, it doesn’t work the other half of the time. And the hardware manufacturers are saying, “Hey, what about Android, iOS 5, what about Galaxy? What about Symbian, BlackBerry Storm?” Soon it’s going to condense. It’s a four-horse race; soon it’s going to become a two-horse race. If you don’t look after your assets, nobody else will. Don’t expect there to be an Ombudsman or a collaborative network of people who are going to go out and say, “I’ll do it for you.”

cameron oWens, nab: The question that is most interesting here is how do you keep a customer secure, but at the same time solve the issue of convenience? A lot of the solutions we have today are token. There’s no especially convenient way to solve the security issue. So that’s the interesting dilemma we have. Our customers are dragging us there, and we need to be there and we need to make their life easier but also to protect them. They are obviously dealing in large sums of money, but if the customer experience is so cumbersome, it’s a massive barrier. naresh Vyas, standard chartered: Customer experience is important, otherwise usability will be a problem.

“The question that is most interesting here is how do you keep a customer secure, but at the same time solve the issue of convenience?” Cameron owens, naB

Vic mankotia, ca technoloGies: I’ll go back to your Square example. Last week in San Francisco I was shocked when I saw how it worked. It was so convenient that I used it 20 times during the week.

naresh Vyas, standard chartered: This has completely changed the industry locally in the US. This is a device that you can plug into the headphone jack of either an iPhone or Android and download an app from different stores. It converts a magnetic strip’s data into an audio signal so it can plug right into the audio jack. Once that is plugged in, I then have a point of sale device. I can swipe an American Express card, Mastercard or Visa card and put in the amount and charge it. w ho ’ s w ho o f fs i

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You can have other features. You can take a photograph of what you’re selling, the person will get an email receipt with an image of your house, and the location of where the transaction occurred, the amount. They give you this device for free. What it does is turn anyone into a merchant. You don’t need anything special, you don’t need a merchant account. It was convenient but it also gave me the heeby jeebies, because I had no idea about the security of this.

richard Farrell, anZ: But you still used it, right? naresh Vyas, standard chartered: But I still used it.

Vic Mankotia, ca technologies: The second problem that many executives are talking about is employees bringing in their own devices. Are you seeing that happen often?

berin lautenbach, ge capital: You survey people and a huge number actually don’t want to bring their own PC in. They’re not really interested.

naresh Vyas, standard chartered: We’ve “We have an eco-system within the bank with security certificates for the devices. You have accessibility to important data remotely as opposed to having to be physically in the office.” Naresh Vyas, staNdard Chartered

issued standardised iPhones to employees. We have an eco-system within the bank with security certificates for the devices. You have accessibility to important data remotely as opposed to having to be physically in the office.

Vic Mankotia, ca technologies: So isn’t that assuming everyone wants an iPhone?

naresh Vyas, standard chartered: It doesn’t matter. We don’t ask them what they want. This is a corporate device, not a personal phone. At our bank, 50 per cent of the employees are aged 35 and under we’ve adopted it very quickly. berin lautenbach, ge capital: Don’t get me wrong, people who have iPhones and who aren’t otherwise on our email systems or phone email systems would like to use their iPhone. But it’s not an, ‘I’ve got to have this’ sentiment. I’ve seen one organisation which I think is fantastic, where the security team is leading the charge for Bring Your Own Device (BYOD). They are actually rebuilding the network infrastructure to ensure they are going to have a trusted network. We’ve all been trying to do this for years, but they’re using this as the excuse to build it. They are using it to get a really

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great layer of security in place across the organisation. And their line is, “Once we’ve got this in place, you can plug in any device you want – your staff, your customer, whoever you are. You can come into our network. If you’re staff, we’ve got controlled access into staff applications.” It’s been viewed as an opportunity rather than a threat.

dian shehata, nab: So going back to using the bank’s laptop, I think the question is – do those of us who work in the banking industry want the state-of-the-art technology that we can flash around and leverage? The answer is yes. I have a Blackberry that’s forced on me and I have an iPhone, when the iPhone is clearly what I use for personal use. But if the banks said to me, “choose between your iPhone or the Blackberry,” I would have the iPhone for work.

Vic Mankotia, ca technologies: How many times do you forward a picture from one to the other?

diane shehata, nab: I will answer that on the basis that there are no NAB security people in the room! How many times do I forward something to Mum at home? Heaps of times, heaps of times. But when I try to use my map to log onto the NAB network, I’m there for an hour. I mean it’s possible to do it I’ve been told, but it’s extremely painful.

Vic Mankotia, ca technologies: CA has BYOD. They give you an allowance. They also give you a device called an Aruba Network. It’s a small little device with two antennas. You plug it into your broadband on one side and into your Cisco phone in the other, you log in with your credentials and then it creates a wireless network called the Excellence Network which is a CA standard for wireless and it authenticates you. It knows your ID, it knows your access levels, it knows the degree of what data is going where and your Blackberry, your iPhone or whatever is authorised to be on the corporate network, can access information. Single sign-on and collaboration has made it so easy.

naresh Vyas, standard chartered: Are you able to travel with that device?

Vic Mankotia, ca technologies: I don’t, but you can. The first thing I do in a hotel is connect to the Apple Airport and then I have my own network, so my Blackberry and my other devices that I haven’t spoken about all talk to that one network. I could put the Aruba Network on there, absolutely.

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chris smith, nab: Authenticating it, trying a touch device on your corporate email, is just shocking. I don’t know if you’ve had that experience. These third party devices are enabled for touch and often the network’s capabilities don’t come into it at all, and that causes a different set of problems.

Vic mankotia, ca technologies: Yes, we have a very good system in which identity, access, authentication is all built into one, which makes it easier in some ways. But what about social media? How pervasive is it? And what challenges do these tools present?

darren simpson, superpartners: I think everyone acknowledges the rapid growth in the use of social media channels, particularly from a consumer perspective, as the preferred tool for marketing channels.

Vic mankotia, ca technologies: Just marketing? darren simpson, superpartners: No, social media is used by other business units, but I would say that generally Marketing and Communication teams are using these tools more and more to reach out and engage with their audience, capture feedback on their services as well as a crucial reputation management tool. However, a key consideration for business is how their employees interact with social media tools inside the workplace, as well as outside when they use social media in their personal and professional lives. From a security perspective, these interactions can be managed to ensure organisations maintain acceptable risk exposures. With the proliferation of tools and the exponential growth in usage of social media, coupled with the increasing mobility of devices and data in the workplace, this is an area that every business has to monitor closely. We are also acutely aware of the opportunity that social media presents us with to provide support services to our members. Many businesses across industries are experimenting with the concept of providing support services across Twitter and Facebook. Yes, it is still early days but we do see the potential longterm value of engaging with our members across social networks in the future. The kinds of questions that I have asked myself are: How can the organisation manage how these tools should be used? Which users should have access to upload documentation or blog, ensuring that branding and intellectual property are being retained whilst at the same time allowing productivity to occur? Also,

looking forward, another potential challenge social media has introduced is around online authentication – we are already seeing many websites allowing consumers to authenticate using their social media identities through tools such as Facebook, to try and improve end-user experience with having to remember fewer number of credentials. This is where organisations need to consider establishing a clearly articulated online strategy which takes into account end-user experience, reputation management as well as security. Implementing technologies such as application awareness and data leakage prevention tools can provide more control over how social media can be used to support business needs as well as providing the necessary education to internal and external consumers about the potential risks involved in the use of these tools.

Vic mankotia, ca technologies: But if you expect Twitter or Facebook, or YouTube, or LinkedIn to do that for you, it’s not going to happen. It’s got to be a third party. It has to be you.

darren simpson, superpartners: I would agree that any business providing online services to the public has a responsibility to make their consumers aware of the online risk and it’s now more a case where organisations need to partner with their customers to drive the right behaviours which in turn can reduce the number of security breaches. While social media has encouraged people to connect and engage, there needs to be the added awareness that the information being shared is available for anyone to see. And with the increased access to information comes the increased risk of identity theft and fraud, as well as reputational risk for organisations. This is also extremely important from an internal perspective, where businesses need to educate their staff about the benefits of social media tools, but also the appropriate parameters within which these tools should be used. They should be providing guidance on how to manage their range of online credentials, and differentiating between work and personal applications. How to protect your identity; how to protect your device. These are all valid considerations which businesses need to think about from both a consumer as well as employee perspective.

“It is still early days but we do see the potential long-term value of engaging with our members across social networks in the future.” Darren SimpSon, SuperpartnerS

Vic mankotia, ca technologies: That’s a valid point. That said, a lot of vendors do a very good job of providing education through multi-media for social networks for support. w ho ’ s w ho o f fs i

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darren simpson, superpartners: They do,

vic mankotia, ca technologies: Because it’s

however another observation I have is with the lack of education being provided to the younger generation through the education system. For example I have four children and I’m amazed that they come home from school with an enormous amount of knowledge on how to use many different devices – to the point where my 11-year-old can outplay me on an iPhone now – but what schools don’t teach is the risk associated with going online, protecting their identities, etc.

not one-to-one anymore. Email is one-to-one, as is the telephone. Most of us grew up thinking about one-toone, calling somebody, having a conversation.

trevor iverach, ca technologies: What is the biggest threat in social media to an organisation? Is it leakage or is it bad PR? naresh vyas, standard chartered: One of the biggest threats is that misconceptions can become a reality very fast in this channel. I remember back in 2008 when Lehman Brothers failed there were many misconceptions of other financial institutions being in trouble, which caused havoc in the industry. vic mankotia, ca technologies: I don’t think the global financial crisis would have happened without connectivity or social media.

“If you want the best service from our bank use the social media channel. It’s over-resourced and you get instant action.” chris smith, nab

naresh vyas, standard chartered: There is a potential for a chain reaction. There is a risk when completely inaccurate information is disseminated virally making people panic. However, there are a lot of positives. I think there are fantastic things you can do, such as creating a small business forum. vic mankotia, ca technologies: To answer Trevor’s question in a different way: I’m on a flight and I’ve got someone sitting next to me who is a customer of ours. We are travelling on a Korean Airlines flight from New York to Seoul and he does not like the toilet hygiene at the New York airport. He doesn’t write a letter, talk to somebody, get something done. He takes a video on his device and puts it up on YouTube and has a call from the VP for customer service within the week. Someone listened to him. People are not complaining to me anymore with good, old-fashioned letters. It’s all about social media now. It’s out there and what do you want to do about it?

dave Williams, bankWest: That’s been going on for a few years now, but banks are only just beginning to use the media in the opposite direction, to see it as a marketing channel. My 19-year-old son thinks email is to be used if he really has to. Everything else is on Facebook.

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berin lautenbach, ge capital: Whether it’s Facebook or another channel, our customers expect us to communicate to them through some kind of social media channel. What normally happens in technology is businesses leave it until it’s too late, and then something is rushed together to get it out. Because it’s rushed, the security is not that great, then there’s a problem. So I think the underlying issue is about businesses understanding the pace at which technology is changing and how the world is leveraging it and getting on board sooner rather than later.

chris smith, nab: It’s a good thing as well. If you want the best service from our bank use the social media channel. It’s over-resourced and you get instant action so you should learn how to get onto Twitter and you will have great service. We went into it not so much from a marketing point of view, but for sales and service. We service our customers on Twitter, for example. An example of not servicing would be where you come onto Twitter saying, I have a problem with my card, it’s blocked, and we say, please call 1300. That’s not a social media service, that’s channel deflection. Instead we can say, “What’s your problem, give us your information but do not communicate directly here, use the secure channel in Twitter which is called Direct Message (DM).” In the DM space they can send us their details, tell us everything. Basically it’s an email. We’re using DM as a de facto security mechanism to communicate. That’s one concern for me, because I don’t know if it really is that secure and it’s relying on these third party channels to communicate. The greatest risk is identity fraud. For example, imagine you are in Starbucks. You log in. There’s some Wi-Fi swooping that goes on. Somebody grabs your details on Facebook and they hijack your account. They lock you out, change the password. They’ve instantly accessed all your friends. So you have 200 friends, let’s say on average. You post a message that says, “I’m at X place,” let’s say overseas, “I’ve lost my wallet, I need help getting some money, can you wire me some money?” So of your 200 friends, perhaps a quarter are actually your really close friends. And we don’t even think anything of it. “Yeah, sure Chris, I’ll help you out, send it back.” Done. Money is out, gone and to the wrong account, to the wrong information. So that’s just one example of identity theft.

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It’s about educating the customer. Do they really know what they’re doing? Do they really know about these threats?

diane shehata, nab: I was reading an article about how some of the fraudsters have been creating fake chat rooms that look like the bank is communicating with you. That is an avenue that we are thinking of communicating with our customers – via chat, via our channels, using direct communication with a customer. Sure enough, they’re already over it, mimicking chat rooms and getting all this great information they shouldn’t have. Some of this is really scary. I think those of us in banking simply have to get over it, work out how we control the messages they get out via their social media. We are heavily regulated regarding who can give advice, who can’t give advice. But all of a sudden we have a medium that instantly sends messages out. How do you control that, especially in the business world? One of your employees is writing to a customer and you have to ensure it meets all the guidelines, that it hasn’t impeded anyone’s privacy, that it hasn’t given advice and that it’s legally sound, and you have to manage that within a split second. It’s a challenge.

naresh Vyas, standard chartered: It’s also training. I know of some firms that actually train their staff on social media. cameron owens, nab: The irony is that we allow people to answer phones and talk to customers, but all of a sudden we get very concerned and reticent about this vehicle. The potential for it to go viral is obviously there, but we give our people these opportunities to have conversations face to face or over the phone every day.

chris smith, nab: I use that example a lot. When I talk about social media, I say, imagine, 100 years ago, there’s this new thing invented called the phone. “Help! We don’t want one of those! Someone might say the wrong thing!” And then, “Okay, well maybe you can have one on your desk, but don’t say anything confidential.”

diane shehata, nab: I think the pressure is on, not because you have access to social media. The problem is you can’t divert someone from a social media to another network. That means you have to have all the answers. Therefore, if they’re asking you a question on what the rate is today, versus what other wholesale banking product they should have, versus what payment instrument they should use, you can’t say, “I’m sorry,

I don’t have the answer to that, try this other place.” You’ve got to have the answers.

darren simpson, superpartners: There’s also the issue of what price people put on their own identities. Again, look at the behaviour of people. You go to the supermarket and people fill in forms, giving your name and address and date of birth, all for free.

Vic mankotia, ca technologies: It’s still very well managed in Australia and I give full credit to the government here. Three years ago when the iPhone just came out, I was walking through a shopping mall in Singapore and one of the carriers was saying, “SMS your National Identity Number to this number to win an iPhone.” People were grabbing their phones to do just that! There’s digital rights management, but identity is not standardised in our industry. The Novells, the Oracles, the IBMs used to do it, want to do it, try to do it. Some were acquired by Oracle and Novell was acquired by Attachmate and now there’s one game in town called CA Technologies. Identity is important, access control is important but the right identity needs to have the right access to the right information. naresh Vyas, standard chartered: I think your point on identity is a fair one and your true identity is an interesting one. People quote numbers, say 700 million people on some of these social networking sites, but how many people have multiple identities? One thing that made the internet very popular was the ability to be anonymous to a large degree, so trying to get identity into that space is tough. I’ve seen it work when the government enforces it, like in Korea. Everyone who does online banking has an identifier from the government, a chip card, and your ID is on that card. Many of the phones there have dual SIMs and many of the PCs all had smart card readers and so customers would need to use this identity card for internet banking.

“We are heavily regulated regarding who can give advice ... But all of a sudden we have a medium that instantly sends messages out. How do you control that?” Diane Shehata, naB

Vic mankotia, ca technologies: That’s right. They do give you a very different level, but it’s a controlled eco-system. Most of you are in the banking sector. Near field communications are going to be a different headache and again how do you manage that? Today it’s $100, tomorrow it could be $200. It’s always been there, the MRT card or the Octopus card or the cashless economy. It’s always been there, but I think the problems we’re going to face in the coming years are going to be very different to the ones we face today.

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who’s who

They Are AusTrAliA And new ZeAlAnd’s finAnciAl services chiefs shAping Technology invesTmenT And business-enAbled innovATion. here, They shAre Their exclusive insighTs And prioriTies for The yeAr AheAd. edited By patrice giBBons

QA &

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cl i v e w h in c u p // w h oâ&#x20AC;&#x2122; s w h o Q& A

Clive Whincup Chief information offiCer, westpaC Banking group FsT MediA: As a relatively new CIO, what do you see as the key challenges of the position, and what opportunities are on the horizon? whincup: One of the primary challenges is the sheer breadth of the role. To be successful as CIO, you need to balance a deep understanding of the business with a meaningful knowledge of technology issues that may have fundamental ramifications to the organisation as a whole. I have always found that there are contradictions and paradoxes in any technology organisation. If you think about managing a large technology business in the financial services sector, there are over 90 separate skill sets that make up

the workforce. Managing this heterogeneous group of skills and getting to the heart of people to motivate and get them on board with the overall strategy is always a great challenge. Key opportunities for me lie in the growing digitisation of the economy and the increased pervasiveness of technology. My team and I are focused on being thought leaders and providing our customers with innovative solutions that they can actually use. Having a fundamental understanding of customer behaviour, particularly in relation to the insights behind how people are using technology in broader society, will have a significant impact on how large corporations will adapt technology to meet those needs.

FsT MediA: Many of the Strategic Investment Priority (SIPs) projects are now moving into the implementation phase. What is planned for the SIPs in 2012/13? w ho â&#x20AC;&#x2122; s w ho o f fs i

W h o’ S W h o Q& a // c l i v e W h in c u p

Whincup: We are well over halfway through

Whincup: Without question the fastest

the overall SIP portfolio and looking back we can say with great satisfaction that we have been able to successfully deliver a large part of the business outcomes we were aiming for. At the same time, we have built new and sustainable technology capability for the organisation. There are still a number of significant elements left to implement and we have the right people in the right roles to make this happen. One of the main strategic priorities on the horizon is our all-new Internet and mobile banking platform being built as part of the Online Transformation Program. In this vital program, we are laying the foundation for a multi-channel organisation that will enable customers to do what they want to do with the bank, wherever they are. Most of the ‘heavy lifting’ SIPs are behind us and we are now focused on effectively migrating our infrastructure into our new data centre. We are already planning the next phase of strategic investment, which is really looking at how we leverage the work done to date and look more towards our core systems.

growing channel is the use of mobile devices. We are seeing very different patterns of behaviour for our mobile apps across brands and platforms and our customers are performing a large part of their transactional banking outside of ‘traditional’ hours. They are using times such as the commuting period to make payments, check balances and perform transactions. Historically we’ve seen peaks in online banking at times when people are arriving in the workplace but this is rapidly changing. We are also seeing phenomena such as increased frequency of accessing their financial information. Customers are looking at their accounts more often and therefore we expect further volume growth in the mobile channel. This is changing the face of the way people interact with their bank and we see a growing need for more analytical usage of the desktop Internet applications. This will extend to wanting to know more about personal trends and analysis, even predicting cash flow forecasts at the desktop.

for services such as email we are pursuing this clear opportunity for software-as-a-service and private Cloud in general. where we struggle to see an immediate use for Cloud is in the core applications space.

Whincup: In principle, Cloud computing

Whincup: Our strategy will harness and leverage our internal capability and amplify it through accessing a range of skills that we can never build in sufficient quantities internally. Ultimately what it means is maintaining a workforce in technology that is highly skilled and focused on high value activities. The activities being outsourced are traditionally more labour intensive and require larger numbers of people. A lot of the commentary has been about the cost drivers of this strategy and I agree that labour arbitrage is not, ultimately, a sustainable benefit. The real driver is access to flexible and large scale capability.

is a phenomenon that has been around for a long time. Technology is now advancing to the point where infrastructure on demand for certain applications is already a reality. The key question that remains is whether the software on demand needs to be configured as a usable entity or as a commodity that we can dip into. For services such as email we are pursuing this clear opportunity for Softwareas-a-Service and private Cloud in general. Where we struggle to see an immediate use for Cloud is in the core applications space. There is also an underlying economic limitation of Cloud computing. Providers who are offering Cloud solutions are supplying an infrastructure capability, the economics of which are about reducing overheads for the individual user. When faced with large customers in an environment where the Cloud can’t be extended offshore, you have effectively got a constraint that limits the economy of scale for the suppliers. For very large users like financial institutions it’s difficult to see within the Australian geography that there can be an effective economy of scale that will enable suppliers to provide those types of services across a broad range of applications from within the nation’s borders.

FST Media: What does the immediate future hold for Westpac with regard to Cloud computing?

FST Media: What customer channels are proving to be the most effective for Westpac, and which channels are growing the fastest?

FST Media: How do you weigh up the advantages of Westpac’s ‘best sourcing’ strategy with the potential loss of talent to competitors?

w ho ’s who of fs i

FST Media: All of the Big Four banks, apart from Commonwealth Bank of Australia, have moved their CIO’s direct report from the CEO. What are your thoughts on this trend? Whincup: For me it’s not really a question of reporting line, it’s a question of how effective the voice of technology is within the organisation. With the formation of Group Services in Westpac, we have brought together Operations and Technology under the same management structure. This offers a great opportunity to leverage from the combination of great business process skills and technology skills. Too often technology is seen as an ivory tower within organisations and ensuring that we are tied closely with business processes actually increases the overall influencing capability of the technology organisation.

FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? Whincup: To leave the organisation with a much leaner, engaged and higher-skilled workforce than when I joined.

C o - SponSo r e d a r t i C le

ACCELERATE ACCELERATE GROWTH GROWTH AND AND EXPANSION EXPANSION WITH WITH INNOVATIVE INNOVATIVE BANKING BANKING TECHNOLOGY TECHNOLOGY Every day, bankers call upon IT resources to speed delivery of innovative respond Every day, bankers call upon solutions, IT resources to to demands to improve business performance, speed delivery of innovative solutions, respond and support regulatory They know to demands to improvecompliance. business performance, that agile, secure and highly availableThey technology and support regulatory compliance. know is keyagile, to differentiating the customer that secure and highly available experience technology and wallet share. is keygrowing to differentiating the customer experience and growing wallet share.

“Moving to agile technology and real-time processing operational ciency and “Moving to improves agile technology andeffi real-time reduces operating costs,” said Paul processing improves operational effiLeadbetter, ciency and CSC’s chief technology offi cer Paul for Banking and reduces operating costs,” said Leadbetter, Credit Services. “Older systems can’t give you CSC’s chief technology officer for Banking and an enterprisewide view systems of the business andyou the Credit Services. “Older can’t give customer relationships.” an enterprisewide view of the business and the customer relationships.”

END-TO-END ENTERPRISE BANKING END-TO-ENDCOMPONENTS ENTERPRISE BANKING SOFTWARE AND SERVICES SOFTWARE COMPONENTS ANDbanking SERVICES Banks need an integrated retail

DIFFERENTIATING THE DIFFERENTIATING THE CUSTOMER EXPERIENCE CUSTOMER EXPERIENCE Financial organisations of all sizes can be freed from the organisations constraints ofof their legacy Financial all sizes cansystems be freed or outsourcing vendors. Taking advantage from the constraints of their legacy systems of flexibility helps cut across traditional or SOA outsourcing vendors. Taking advantage organisational siloshelps and aggregate deliver of SOA flexibility cut across and traditional content with a higher degree of personalisation. organisational silos and aggregate and deliver Delivery channels and degree back-offi environments content with a higher ofcepersonalisation. are morechannels efficient.and back-office environments Delivery are more efficient. “The pressure is on to deliver a consistent customer experience “The pressure is on toacross deliverall a channels, consistent from branches to ATMs to mobile devices,” customer experience across all channels, said “Banks cross-sell more fromLeadbetter. branches to ATMs must to mobile devices,” effectively with actionable and compelling said Leadbetter. “Banks must cross-sell more information at each point of contact.” effectively with actionable and compelling information at each point of contact.” Consolidating deposits, payments, loans and cards providesdeposits, an enterprise view of customer, Consolidating payments, loans and product and relationship data. Using SOA cards provides an enterprise view of customer, software and relationship services to harmonise channels product and data. Using SOA and core and systems enriches the customer software services to harmonise channels experience. And banks can take advantage and core systems enriches the customer of bundled and products along experience. Andpersonalised banks can take advantage with relationship pricing to support their of bundled and personalised products along strategic revenuepricing goals. to support their with relationship strategic revenue goals.

solution for consumer and commercial business. Banks need an integrated retail banking Deploying enterprise software business. helps solution for agile consumer and commercial institutions create a richer, software more consistent Deploying agile enterprise helps customer experience delivery channels institutions create a across richer,all more consistent and accelerate new product customer experience across allintroduction delivery channels and changes, in response to new accelerateespecially new product introduction regulations. Better still, organisations gain and changes, especially in responsecan to new better insights into still, theirorganisations data for improved regulations. Better can gain decision making. better insights into their data for improved decision making. CSC’s Celeriti™ is a new end-to-end suite of software products, components andsuite services CSC’s Celeriti™ is a new end-to-end of created financialcomponents institutions of allservices sizes softwarefor products, and that want benefits of all modern created fortofirealise nancialthe institutions sizes enterprise banking, payments and that want to realise cards, the benefi ts of modern lending platforms. enterprise banking, cards, payments and lending platforms. GAINING EFFICIENCY GAINING EFFICIENCY Celeriti’s service-oriented architecture (SOA) delivers business processes and Web Celeriti’snew service-oriented architecture (SOA) services drive greaterprocesses efficiency and into Web delivery delivers to new business channels and back-offi ceeffi environments. Both services to drive greater ciency into delivery customers andback-offi customer representatives channels and ceservice environments. Both can quicklyand access up-to-date information. customers customer service representatives can quickly access up-to-date information.

ACCELERATING PRODUCT ACCELERATING PRODUCT INTRODUCTION AND COMPLIANCE INTRODUCTION AND COMPLIANCE Using technologies such as business process management and business management Using technologies such as rules business process systems, Celeriti greater control in the management andputs business rules management hands of Celeriti productputs and greater businesscontrol managers. systems, in the Processes can be and changed moremanagers. rapidly to hands of product business comply with new and bring more Processes can beregulations changed more rapidly to products to market faster. comply with new regulations and bring more products to market faster. EXPLOITING MODERN TECHNOLOGIES EXPLOITING MODERN TECHNOLOGIES AND DEPLOYMENT OPTIONS AND CSC’sDEPLOYMENT new integratedOPTIONS suite is comprised of five products: Customer, Deposits, CSC’s newCeleriti integrated suite isCeleriti comprised of five Celeriti Loans, Celeriti CardsCeleriti and Celeriti products: Celeriti Customer, Deposits, Merchant. Capabilities Web portal user Celeriti Loans, Celeritiinclude Cards a and Celeriti interface, SOAinclude business processes Merchant.pre-built Capabilities a Web portal and user Web services, business intelligence and data interface, pre-built SOA business processes and warehouse, andbusiness businessintelligence rules and parameters. Web services, and data With Celeriti, banks can disaggregate their warehouse, and business rules and parameters. business and deploy best-of-breed solutions, With Celeriti, banks can disaggregate their products — including premise-free business and services deploy best-of-breed solutions, banking services for mid-tier and productsand and cards services — including premise-free even smaller institutions. banking and cards services for mid-tier and even smaller institutions. “This new software is based on one globally applicable code base that also supports “This new software is based on one globally international banks withthat in-country processing,” applicable code base also supports said Leadbetter. “Celeriti is availableprocessing,” on a range international banks with in-country of platform options that isprovide scalability said Leadbetter. “Celeriti available on a range and cost effioptions ciency, bringing the functions of platform that provide scalability of the biggest banksbringing into reach financial and cost efficiency, thefor functions institutions of all sizes.” of the biggest banks into reach for financial institutions of all sizes.” To learn more about Celeriti, call 02 9034 visit To learn more3000 aboutorCeleriti, csc.com/au/fi nancial_services call 02 9034 3000 or visit csc.com/au/financial_services

CELERITI CELERITI

POWER YOUR BUSINESS WITH SPEED AND CERTAINTY POWER YOUR BUSINESS WITH SPEED AND CERTAINTY “Celeriti is available on a range of platform options that “Celeriti is available on aprovide range scalability cost effi of platformand options thatciency, provide bringing the functions the scalability and cost effiof ciency, biggest banks into reach bringing the functions of for the fi nancialbanks institutions of allfor sizes.” biggest into reach financial institutions of all sizes.” Paul Leadbetter, Chief Technology Offi for Banking and Credit Paulcer Leadbetter, Chief Technology Services, Officer forCSC Banking and Credit Services, CSC

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w h o’ s w h o Q& A // A dA m b e n n e t t

Cloud capability, working with our partner IBM. We have also recently announced that NAB is one of the first ODCA members to confirm plans for a proof of concept of the ODCA-designed security usage model.

Fst mediA: The full rollout of NAB’s Next Generation Platform (NextGen) has been pushed back. What were the factors contributing to the rescheduling?

Adam Bennett Chief information offiCer, national australia bank Fst mediA: What are your top IT priorities for the next 12 to 18 months? bennett: Our number one priority is to continue delivering reliable, safe, and easy services that meet our customers’ needs. In our last financial year we saw more than 200 million visits to nab.com.au and Internet banking – up from 174 million the year before. This kind of growth demands that we constantly work to improve our capability so our customers can do more online, more easily – with secure, 24/7 convenience. We are also in the middle of a number of major transformation programs which will continue to ensure we provide our customers with a better banking experience.

who ’s who o f fs i

Fst mediA: NAB has been one of the strongest advocates for Cloud computing among the Big Four. Where is the bank currently situated in relation to Cloud computing? bennett: In our role as a Steering Committee member on the Open Data Center Alliance (ODCA) we are working on the standards that will help create a sustainable Cloud computing industry; standards that meet our needs and the needs of other financial institutions, both in Australia, and around the world. We are very aware of the potential benefits as well as the risks. These include security concerns, the need for governance and standards, and regulatory concerns. Our involvement with the ODCA is assisting us to work through each of these concerns in a methodical way. NAB’s investment in Cloud is currently focused on developing an internal private

bennett: The NextGen program is a multiyear and multi-layer program and like all programs of this magnitude it is difficult to pinpoint an exact end date. We are, however, extremely comfortable with the progress we are making. NextGen will build a new banking platform that is a significant upgrade of all of our banking, finance and risk systems, processes, tools and distribution channels, and is designed to make it easier for our customers to deal with us and easier for our people to do their jobs. We have adopted a releasebased approach as part of our risk mitigation strategy, with several major releases being delivered over the life of the program. In recent weeks we have successfully implemented a major foundational release that hardwires our new bank into the NAB’s existing ecosystem. It is this foundation on which future releases will be built. This release itself was a significant milestone for NAB as it was the culmination of almost two years work and nothing of this magnitude or complexity has been implemented into our environment before. Fst mediA: What developments is NAB pursuing on the Near Field Communications (NFC) front and what do you see as the future for this technology? bennett: I think that mobile and peer-topeer banking are inevitable because they continue a rich tradition of banks offering customers greater convenience. This started with ATMs, telephone banking and Internet banking; NFC is the next logical expansion of that. Regarding the future of this technology for NAB, we are in the early stages of plans to build mobile payment capability for consumer

w h o’ S w h o Q& a // a da M B e nn e T T

and business customers covering ‘native’ interface and digital wallets. We will be leveraging NFC technology as a key enabler for this, but also including other new payment methods such as mobile phone account identifiers, social media networks and other payment innovations.

FST Media: NAB is using technology to revolutionise the branch and ATM experience rather than focusing entirely on remote channels. How do you see the branch network evolving?

BenneTT: Customers want the power to make the decisions around how they conduct their banking. Rather than online replacing the physical, we see a greater merging of the channels as they complement each other – after all, technology is a critical enabler of the so called physical channel. Now more than ever, the banking sector is working for the customer. We want our customers to have the best experience regardless of how they choose to deal with us – be it through a store (branch), business centre, contact centre or online. And it is a challenge that we will pursue vigorously. Our in-store technology is there to support our customers’ needs for help, guidance and advice, and is a key enabling function for the bank. We have added a lot of features, many of which our innovation program helped develop, that enable customers to self serve, get information, or ask for additional services. FST Media: The award-winning ‘Break-Up’ campaign successfully integrated social media with traditional advertising channels. Do you see NAB incorporating social media into its core platforms or will it remain as a marketing tool?

BenneTT: We were certainly very successful in integrating social media as a complementary channel during the Break Up campaign, but social media at NAB is about much more than just marketing. We use social media to listen to customer feedback and offer customer support, but also to update customers in real-time on breaking news, events and announcements. Our digital channels provide a great way for us to have 56

who ’s who of fs i

Rather than online replacing the physical, we see a greater merging of the channels as they complement each other – after all, technology is a critical enabler of the so called physical channel.

FST Media: There is a trend among the Big Four for CIOs to no longer have a direct reporting link to the CEO. What are your thoughts on this development? BenneTT: At NAB we have a very logical structure with clear accountabilities. As CIO I have always been able to contribute to the strategic direction of our organisation. I believe there has been more strategic debate and discussion at Board and Executive levels about technology than at any time in our past. This is evidenced by the large investments we are making across our entire technology landscape.

FST Media: What do you think it takes to an open dialogue with our customers and we consciously made the decision to join the online conversation and provide support consistent with the service they would expect from our contact centres or stores. For customers this means greater choice in how they interact with us.

FST Media: NAB has been critical of the banking sector in Australia for not taking a leadership role in online fraud. What do you see as the way forward in educating customers about sufficiently securing their accounts?

BenneTT: I think banks have a responsibility to educate their customers about the most secure ways they can conduct their banking online. At NAB we provide a large amount of information for customers signing up to NAB internet banking, including making sure their security software is kept up-to-date, and using SMS security where possible. We also support government awarenessraising initiatives such as National Consumer Fraud Week, and National Cyber Security Awareness week, and encourage our customers to speak to us if they need some advice in this area. Certainly customers should always contact us if they see something on their account that isn’t correct. And customers who do have fraudulent transactions on their account can be assured that NAB will refund them 100 per cent.

be an effective CIO in today’s financial services sector?

BenneTT: Focusing on our end customers and their banking needs is critical, along with balancing strategic and future opportunities with our operational and legacy realities. Connecting our technology staff and our partners to our strategy, and creating an environment of continual improvement are also very important. Lastly, I think a healthy dose of personal and professional resilience is required for when things don’t quite go to plan – there are always the unknown unknowns! FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? BenneTT: I am pragmatic about whether people are remembered or not over the course of corporate history, however if I am to be remembered, I would like it to be as a leader in the general sense. I’d like to be remembered as someone who left the technology function in better shape than when he started – someone who created a more scalable, flexible and responsive information systems environment, with people who were engaged and energised to work for NAB because they believed the best days for the organisation lay ahead. Lastly, I am determined to deliver technology solutions that bring a better experience for our customers and employees.

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w h o’ s w h o Q& A // m i c h A e l h A r t e

on a more granular understanding of their needs. Reliability is always the most important aspect of strong customer relationships. We continue to build up the resilience of our systems, and enhance our standing with customers as a secure and trusted place for their valuable assets and data.

Fst mediA: CBA’s ‘campus’ in Sydney’s Darling Harbour is an innovation hub with hot-desks, Bluetooth headsets and ‘softphones’. How is this environment fostering development and enhancing company culture? hArte: Ultimately this is about greater workforce flexibility, and empowering staff to be at their best and most creative. Fully wireless, and packed with exciting collaboration spaces, the new environment lets our employees move around with their ultrathin MacBook Airs to more easily collaborate with colleagues, meet with customers and get their work done in the way that is most efficient and suits them best. Some of our great innovations of late, like Kaching, have emerged from this working environment which encourages agility, collaboration and freedom. Fst mediA: What skills do you value most when recruiting IT executives into your team?

Michael Harte

Fst mediA: What are your top IT priorities for the next 12 to 18 months?

Chief information offiCer, Commonwealth Bank of australia

hArte: I have three top priorities: project execution, security and resilience. One of the key priorities remains our core banking modernisation program. We have made great progress already – we are over three-quarters of the way through – and we are already delivering real-time banking to millions of customers. But there is still significant work to complete the program and bring more products onto the new platform. Building on the advantage we have established through core banking, one of my priorities is to enhance our offerings around mobile technologies, online content and data capabilities. We want to continue to deliver convenience for customers through new offerings on mobile devices – extending on solutions like Kaching – and give our customers more personalised services based

who ’s who o f fs i

hArte: I look for lots of things – but three things I really like to see are tenacity, risk tolerance and open-minded agility. Fst mediA: CBA’s Kaching was the first banking app in Australia to allow funds transfer by phone number, email or Facebook identification. How do you see app banking evolving?

hArte: The initial response to Kaching has been great. It holds an app store rating of four stars. It’s the second most popular free finance app in the Australian App Store, after our own NetBank app. So consumers really do find it useful. Plus, on the trend front, we can see that mobile-to-mobile payments have proved to be the most popular transfer method making up approximately 85 per cent of transfers − the popularity of Facebook payments is growing rapidly. Facebook is

M i c H a e l H a r T e // w H o’ S w H o Q& a

the second most popular transfer method with customers, accounting for more than 10 per cent of Kaching transfers. We will keep evolving the app according to our customers’ needs. Right now we are working on the Android version.

FST Media: How big a challenge is overcoming customer security concerns surrounding Near Field Communication technology? HarTe: We recognise having appropriate security measures in place is vital for an application like Kaching to be successful, so this was at the heart of our approach. Kaching incorporates a range of measures which in combination deliver high standards of security and provide customers with peace of mind when making mobile payments. These include: strong customer authentication procedures, device-level security controls, robust monitoring and the backing of our security guarantee. We are determined to support our customers with the type of technology they want to use. We did a lot of work on all facets of the app to ensure that we could made it easyto-use and to give our customers confidence that it was safe and secure − and I believe we have achieved that. And the number of people using the app shows the confidence they have.

FST Media: What are the keys to building successful online engagement with customers across multiple channels? HarTe: At CBA, we really are determined to be different. We have taken a very active role in social media and we have built the internal and the external channels to support it. Most importantly of all, we are willing to engage. We understand that it is a twoway conversation with our customers and that they aren’t always going to agree with us or ‘like’ us. We have been very active on Facebook, Twitter and our new blog. In fact, we are the most active of all the financial institutions in Australia. I recently saw some stats which showed that we have over 100,000 Facebook fans. The next closest bank had a total of 11,000 fans. And we add

what we want to do is buy software and infrastructure as a service over a network. we only want to pay for what we use, and we only want to pay on demand.

approximately 10,000 fans every month. In one recent month, we generated 71.5 per cent of the total industry engagement over the period.

FST Media: Where is the bank currently situated with its Cloud computing strategy? HarTe: We look to be one of the first financial services organisations to take advantage of Cloud services, which deliver value, speed and flexibility. The Cloud means many things to many people. We don’t want to do everything in the Cloud, but we want to take advantage of those services which deliver, speed, flexibility and efficiency. What we want to do is buy software and infrastructure as a service over a network. We only want to pay for what we use, and we only want to pay on demand. We are saving tens of millions of dollars and over the next three or four years we’ll save hundreds of millions from buying specified services on demand, paying a unit price for them and having that flexibility. FST Media: With some technology functions moving under the marketing umbrella, you are now the only Big Four CIO with a direct report to the CEO. What is your view on the importance of the CIO having this direct link? HarTe: We took a big decision several years ago to focus on technology innovation as one of the key things we had to do to be competitive in the future. We could see that the world was changing. And we backed that

decision with the investment and the people and the structure that was need to deliver it. None of our competitors have done that. I owe a lot to Ralph Norris, he shared that vision and now today with Ian Narev that vision and support continues. We are seeing the results – and my job is to make sure that we don’t rest on our laurels. We have a lot more to achieve, and a lot more to deliver.

FST Media: All CBA accounts have now migrated to a new platform under the Core Banking Modernisation (CBM) program. What remains to be done? HarTe: The bank is now more than three quarters through its CBM program, which is already delivering significant benefits to customers including real-time banking and improved cash-flow for our business customers. We migrated 11 million accounts to the new platform; we are also migrating our business customers as well. One of the things I am most proud of is helping to deliver ‘Everyday Settlement’, which is especially important to small business customers. It significantly improves their control of their cash flow by passing on payments the same day, every day. No other major bank in Australia offers this capability, and I think it is a great demonstration of the competitive advantage our core banking infrastructure currently delivers and will continue to drive. FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? HarTe: That is a big question. I want my legacy to be the people, especially in the future leaders of tomorrow. As leaders, I think it is crucial that we can inspire our employees to be innovative and creative, and I hope that I am helping to do this today, by building a culture that gives people the freedom to be creative, learn and explore. I really think it is important to empower people to use their technical and other capabilities to the maximum, so they can deliver not just value to the organisation they work for, but make a contribution to the society in which we live.

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Innovating Innovating Innovating for the Future for the Future for the Future By Kwafo Ofori-Boateng and Boxley Llewellyn By Kwafo Ofori-Boateng and Boxley Llewellyn By Kwafo Ofori-Boateng and Boxley Llewellyn By Kwafo Ofori-Boateng and Boxley Llewellyn

Who will make the Who will make the Who will make the headlines in the headlines in the Who will years make the headlines in thein next five next five years in headlines in thein by next five years financial services financial services next five years in by financial services by taking share from taking share from financial services taking share fromby competition? competition? taking share fromwill competition? A few institutions A few institutions will competition? A few institutions will reinvent themselves reinvent themselves A few institutions will reinvent themselves as customer focused as customer focused reinvent themselves as customer focused enterprises, becoming enterprises, becoming as customer focused enterprises, becoming relevant to digital relevant to digital enterprises, becoming relevant to digital natives, providing natives, providing relevant to digital natives, providing better service to better service to natives, providing better service to digital immigrants, digital immigrants, better service to digital immigrants, and avoiding being and avoiding being digital immigrants, and avoiding being marginalised by more marginalised by more and avoiding being marginalised by more agile firms, banks or agile firms, banks or marginalised by more agile firms, banks or non-banks. non-banks. agile firms, banks or non-banks. non-banks.

In the decade from 2010 to 2020, the In the decade 2010 financial to 2020,assets the projected valuefrom of global In the decade from 2010 financial to 2020,assets the projected value of global is expected to increase byfinancial 87%. The projected value of global assets is expected to from increase The In the decade 2010by to87%. 2020, thebe financial services market could soon is expected to increase by 87%. The financial services market could soon be projected value of global financial assets joined byservices 2.5 billion new customers half financial market could soon––be joined by 2.5 billion new customers half is expected to increase by 87%. The of the world’s adults, who don’t currently joined by 2.5 billion new customers – half of the world’s adults, who don’t currently financial services market could soon be use formal financial to save or of the world’s adults,services who don’t currently use formal financial services to save or 1 joined by 2.5 billion new customers – . borrow money use formal financial services to save orhalf 1 borrow money . of the world’s adults, who don’t currently borrow money1. Yet, this extraordinary opportunity to or use formal financial services to save Yet, this extraordinary opportunity to 1 manage a decade of unprecedented borrow money . Yet, this extraordinary opportunity to manage decade of unprecedented growth ina global wealth is being manage a decade of unprecedented growth inextraordinary globalby wealth is being Yet, this opportunity overshadowed an even greater to risk: growth in globalby wealth is being overshadowed an even greater risk: are manage a decade of unprecedented traditional financial services institutions overshadowed by an even greater risk: traditional financial services institutions growth in global wealth is being becoming irrelevant to their increasinglyare traditional financial services institutions are becoming irrelevant theirgreater increasingly overshadowed anto even risk: connected and by demanding customers. becoming irrelevant to their increasingly connected and demanding traditional services customers. institutions are connectedfinancial and demanding customers. For the first time in the history, becoming irrelevant to industry’s their increasingly For the first time in the industry’s history, the customer is driving the innovation connected demanding customers. For the first and time in the industry’s history, the customer is driving the innovation agenda. Customers expect convenience, the customer is driving the innovation agenda. Customers expect convenience, For the first time in the industry’s history, flexibility and personalisation. They expect agenda. Customers expect convenience, flexibility and personalisation. They expect the customer is driving the innovation service providers to respect, remember flexibility and personalisation. They expect service providers respect, remember agenda. Customers expect convenience, and adapt to theirto preferences. They don’t service providers to respect, remember and adapt toor their preferences. They don’t flexibility and personalisation. They expect want to wait explain themselves over and adapt toor their preferences. They don’t want to wait explain themselves over service providers to respect, remember and over again. And they don’t want to want to wait or explain themselves over and over again. And they don’t want to and adapt to their preferences. They don’t be sold a mortgage. They want a trusted and overa again. And they don’t want to be sold mortgage. They want a trusted want to who wait or explain themselves over advisor will help They take the stress out be sold a mortgage. want a trusted advisor will And help take don’t the stress and overwho again. they want out toor of buying a home, starting a business, advisor who will help take the stress out of buying a home, starting a business, or be sold a mortgage. They want a trusted planning retirement. of buyingretirement. a home, starting a business, or planning advisor will help take the stress out planningwho retirement. Financial customers want: or of buying aservices home, starting a business, Financial services customers want: advice – retirement. not products; convenience planning Financial services customers want: advice – not products; convenience – not a –card. Most of all, they want advice not products; convenience –Financial not a card. Mostto ofadapt all, they wantlives – services customers want: financial services to their –financial not a card. Mostto ofadapt all, they wantlives – services to their advice not products; convenience not the –other wayto around. financial services adapt to their lives – not the other Most way around. –not not a card. of all, they want the other way around. financial services to adapt to their lives – not the other way around.

The Financial Access Initiative, a consortium of researchers at New York University, Harvard, The Access for Initiative, consortium at New York University, Harvard, Yale Financial and Innovations Povertya Half of theresearchers World is Unbanked, http://financialaccess.org/ The Financial Access for Initiative, a Action, consortium at New York University, Harvard, Yale and Innovations Poverty Action, Half of theresearchers World is Unbanked, http://financialaccess.org/ sites/default/files/110109%20 HalfUnbanked_0.pdf (October 2009). Yale and Innovations for Poverty Action, Half the World is Unbanked, http://financialaccess.org/ 1. sites/default/files/110109%20 HalfUnbanked_0.pdf (October 2009). The Financial Access Initiative, HalfUnbanked_0.pdf a consortium of researchers New York University, Harvard, sites/default/files/110109%20 (Octoberat2009). Yale and Innovations for Poverty Action, Half the World is Unbanked, http://financialaccess.org/ sites/default/files/110109%20 HalfUnbanked_0.pdf (October 2009). 1. 1. 1.

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Imagine an Australian traveller. Just as Imagine anturns Australian traveller. Just as today she her phone to global Imagine anturns Australian traveller. Just as today she her phone to global roaming soturns her communication services today she her phone to global roaming soher, hersoon communication services Imagine an Australian traveller. Just as travel with she will expect her roaming soher, hersoon communication services travel with she will expect her today she turns her phone to global travel app to do the same for her financial travel with her, soon she will expect her travel app to do the same for her financial roaming so her communication services services. As soon assame the app sends the travel app to do the for her financial services. As soon as the will app sends the travel with her, soon she expect her bank her itinerary, a flurry of offers will services. As soon as the app sends the bank her itinerary, a flurry of offers will travel app to do the same for her financial arrive, including: event-based, dynamic bank her itinerary, a flurry of offers will arrive, including: event-based, dynamic services. As sooncancels as the app sends the insurance (if she her skiing trip, arrive, including: event-based, dynamic insurance (if she cancels her skiing trip, bank her itinerary, a flurry of offers will insurance fees down; she goes insurance (if shescale cancels herififskiing trip, insurance fees scale down; she goes arrive, including: event-based, dynamic base jumping, they scale up); and mobile insurance fees scale down; if she goes base jumping, they scale up);skiing and mobile insurance (if she cancels her trip, currency deals (with no exchange base jumping, they scale up); and fees). mobile currency deals (with no exchange fees). insurance fees scale down; if she goes Her bank deals will make her credit fees). card is currency (withsure no exchange Her bank will make sure her credit card base jumping, they scale up); and mobile not accidentally cancelled – provided heris Her bank will make sure her credit card not accidentally cancelled – provided heris currency deals (with no exchange fees). location data (fedcancelled from her –personal affinity not accidentally provided her location (fed from her affinity Her bank will personal make sure herpersonal credit card is app withdata her privacy approval) – location data (fed from her personal affinity app with her personal privacy approval) – not accidentally cancelled – provided her matches the shop handling the purchase. app with her personal privacy approval) – matches the shop handling the purchase. location data (fed from her personal affinity And, wherever shehandling goes, thethe app will put matches the shop purchase. And, wherever she goes, will put– app with her personal privacy approval) a country-based ‘skin’ onthe herapp phone, And, wherever she goes, the app will put a country-based ‘skin’ on her phone, matches the shop handling the purchase. enabling her to participate in local offers. a country-based ‘skin’ on her phone, enabling her to she participate in local offers. And, wherever goes, the app will put enabling her to participate in local offers. Clearly, providing ‘skin’ this type of seamless, a country-based on her phone, Clearly, providing this type of seamless, dynamic, personalised service will offers. require enabling her to participate in Clearly, providing this type of local seamless, dynamic, personalised service will require new approaches. Financial institutions dynamic, personalised service will require new approaches. Financial institutions Clearly, providing this type of seamless, may need to develop enterprise wide new approaches. Financial institutions may needpersonalised totodevelop enterprise wide dynamic, service will require capabilities deal with and respond to may need totodevelop enterprise wide capabilities deal with and respond to new approaches. Financial institutions streams of often unstructured customer capabilities to deal with and respond to streams of often unstructured customer may need to develop wide data. They need agile enterprise businesscustomer models streams of often unstructured data. need agile models capabilities to deal withbusiness and respond to helpThey balance growth, efficiency andto data. They need agile business models to help balance growth, efficiency and streams of often unstructured customer business resiliency. And they must be able to help balance growth, efficiency and business resiliency. And they must be able data. They need agile business models to achieve compliance objectives while business resiliency. Andobjectives they mustwhile be able to achieve compliance to help balance growth, efficiency while and mitigating operational risk. to achieve compliance objectives mitigating operational risk. business And they must be able mitigatingresiliency. operational risk. to achieve compliance objectives while mitigating operational risk.

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In short, they have three imperatives: In short, they have three imperatives: 1. Focusthey on have the customer – by In short, three imperatives: leveraging types of customer 1. Focus on all the customer – by 1. Focus on all the customer – byto do information, where authorised leveraging types of customer leveraging all types of customer so, from the where data atauthorised rest in a database, information, to do information, where tocard do to motion so,data frominthe data through atauthorised rest incredit a database, so, from the data at rest in a database, swipes, the social data credit customers to data intomotion through card to dataininto motion through card reveal tweets and Facebook posts swipes, the social data credit customers swipes, to the social data customers and new apps matching their lifestyle. reveal in tweets and Facebook posts reveal in tweets and Facebook posts Of we cannot take social data andcourse, new apps matching their lifestyle. and new apps matching their lifestyle. at value: pranks and Of face course, wesarcasm, cannot take social data Of course, wesarcasm, cannot social downright lies are all intake the mix, sodata at face value: pranks and at facedata value: pranks social willsarcasm, require toolsand for downright lies are all innew the mix, so downright lies are all in the mix, uncertainty. Analytics social data will require can newcalculate toolsso for social data requiresocial newcalculate tools for certainty riskwill around data, it can uncertainty. Analytics can uncertainty. candepth calculate add insightful colour and certainty risk Analytics around social data,toit the can certainty risk around social data, can customer picture – helping to enable add insightful colour and depth toit the add insightful colour and depth to the personalised offers that customers value customer picture – helping to enable customer picture – helping to enable and cost less to market. personalised offers that customers value personalised that customers value and cost lessoffers to market. For a large European and example, cost less to market. bank has cut direct marketing For example, a large European For a large European costs by around 35% by integrating bankexample, has cut direct marketing bank has cut direct marketing data — including customer, sales costs by around 35% by integrating costs by around 35% by integrating and database applications — into data — including customer, sales data — including customer, sales meaningful, real-time information. and database applications — into and database applications — into meaningful, real-time information. And this is not just about the immediate meaningful, real-time information. customer Employees also And this isinterface. not just about the immediate And this is not just about the immediate need to collaborate in the background customer interface. Employees also customer interface. Employees also to improve the customer need to collaborate in theexperience background need to collaborate in the background with instantthe problem resolution. For to improve customer experience to improve the customer experience example, a US insurance company with instant problem resolution. For with instant problem resolution. Forback lifted revenue byinsurance around 30% after example, a US company example, a US insurance company office personnel brought into chat lifted revenue by were around 30% after back lifted revenue by around 30% after back conversations with customers. office personnel were brought into chat office personnel were brought into chat conversations with customers. conversations with customers.

2. 2. 2.

Reinvent the business model – by creatingthe agile core systems with Reinvent business model – Reinvent business model – processes aligned around the customer by creatingthe agile core systems with by creating agile core systems with perspective. Streamlining in processes aligned aroundoperations the customer processes aligned the customer this way also helpsaround to eliminate barriers perspective. Streamlining operations in perspective. Streamlining operations in that prohibit insight, this way alsodeep helpsbusiness to eliminate barriers this way also helps to eliminate barriers supporting For example, that prohibitinnovation. deep business insight, a that prohibit deep business insight, large Spanish bank, currently workinga supporting innovation. For example, supporting ® innovation. For example, a with on digital is getting largeIBM Spanish bank, innovation, currently working large Spanish bank, currently working ® value increasing as itinnovation, modernises on digital is and getting with IBM with IBM® on is and getting transforms its digital infrastructure. increasing value as itinnovation, modernises increasing value as it modernises and transforms its infrastructure. 3. transforms Optimise risk – by using superior its infrastructure. to assist in identifying 3. information Optimise risk – by using superior 3. and Optimise risk – by using superior managing various of risks information to assist in types identifying information to assist in identifying holistically across the enterprise, and managing various types of risks and managing various types of providing risk-based to risks support: holistically across theinsights enterprise, holistically across the enterprise, customer acquisition,insights producttopricing, providing risk-based support: providing topricing, support: regulatory complianceinsights and business customer risk-based acquisition, product customer acquisition, product pricing, strategy execution. regulatory compliance and business regulatory compliance and business strategy execution. strategy execution. Once financial services firms can give finance, risk and compliance teams Once financial services firms can give Once financial services firms can give integrated and reliable real-time finance, risk and compliance teams finance, risk and compliance teams information, they can use scenario integrated and reliable real-time integrated and real-time analysis tools toreliable model portfolio risk information, they can use scenario information, they can use scenario exposures, stress testing, risk return, analysis tools to model portfolio risk analysis tools to model portfolio risk capital allocation and reporting. The exposures, stress testing, risk return, exposures, stress testing, risk return, result lead toand vastly improved capitalcan allocation reporting. The capital allocation The risk management andreporting. more informed result can lead toand vastly improved result can lead to vastly improved executive decision-making. risk management and more informed risk management and more informed executive decision-making. When your customers own the executive decision-making. innovation agenda, you havethe no option When your customers own When your customers own the but to follow their lead. Financial innovation agenda, you have no option innovation agenda, you have no option institutions must now to invest in but to follow theiract lead. Financial but to follow their lead. Financial building both new customer insights institutions must act now to invest in and institutions must act to invest in and the capacity to act onnow them. building both new customer insights building both new customer insights and the capacity to act on them. For more information how some the capacity to act onon them. banks areinformation pursuing information-led For more on how some For more information on how some transformations, visit: banks are pursuing information-led banks are pursuing information-led ibm.com/financialservices/au transformations, visit: transformations, visit: ibm.com/financialservices/au ibm.com/financialservices/au

About the authors About the authors Boxley Llewellyn About the authors Director Global Retail Boxley Llewellyn Boxley Banking, IBM Financial Director Llewellyn Global Retail Director Retail Services Sector Banking,Global IBM Financial Banking, IBM Financial Services Sector Services Sector Boxley manages the IBM focus on retail banking globally. An focus IBM veteran Boxley manages the IBM on Boxley manages the IBM focus onclient of 33 years, he has held strategy, retail banking globally. An IBM veteran retail banking globally. An IBM veteran relationship, development, marketing, of 33 years, he has held strategy, clientand of 33 years, he has held strategy, client consulting positions in the financial services relationship, development, marketing, and relationship, development, marketing, and sector of IBM, travelling to 36 countries consulting positions in the financial services consulting positions in the financial services in various global roles. His projects sector of IBM, travelling to recent 36 countries sector of IBM, travelling to 36 countries include developing and implementing in various global roles. His recent projects in various globalsector roles. His recent projects major financial growth initiatives include developing and implementing include developing and implementing in social business andgrowth the application major financial sector initiativesof major financial sector growth initiatives social media. Boxley recently completed in social business and the application of in social business and the application a Smarter Cities Challenge project on of social media. Boxley recently completed social media. Boxley recently completed Sustainability in Townsville. a Smarter Cities Challenge project on a Smarter Cities Challenge project on Sustainability in Townsville. Kwafo Ofori-Boateng Sustainability in Townsville. Global Leader: KwafoSolution Ofori-Boateng Kwafo Ofori-Boateng Customer Care & Insight, Global Solution Leader: Global Solution Leader: Banking & Financial Customer Care & Insight, Customer & Insight, Markets Banking & Care Financial Banking & Financial Markets Kwafo Marketsoversees the development and delivery of IBM’s Kwafo oversees the Kwafo oversees theand points of viewand regarding innovation development delivery of IBM’s development and delivery of IBM’s differentiating for Front Office, points of view capabilities regarding innovation and points of view regarding and Customer Servicing and innovation Multichannel differentiating capabilities for Front Office, differentiating capabilities for Front Office, Transformation (Mobile, Internet) Customer Servicing andSocial, Multichannel Customer andSocial, Multichannel for BankingServicing and(Mobile, Financial Markets. He Transformation Internet) Transformation (Mobile, Social, Internet) also advisesand senior banking executives for Banking Financial Markets. He for and Financial Markets. He globally on the alignment of global trends, alsoBanking advises senior banking executives also advises senior banking executives client needs and the capabilities IBM can globally on the alignment of global trends, globally on the of global trends, bring bear inalignment Mobile Banking and Social client to needs and the capabilities IBM can client needs the capabilities IBMSocial can Business andand dataand analytics. bring to bear inunstructured Mobile Banking bring to bear in Mobile Banking and Social Business and unstructured data analytics. Business and unstructured data analytics.

© Copyright IBM Australia Limited 2012 ABN 79 000 024 733 © Copyright IBM Corporation 2012 All Rights Reserved IBM, the IBM Logos and ibm.com are trademarks of IBM Corp registered in many jurisdictions worldwide. A current list of IBM trademarks is available on the Web at “Copyright and trademark information” at www.ibm.com/legal/copytrade.shtml. GL_13995 © Copyright IBM Australia Limited 2012 ABN 79 000 024 733 © Copyright IBM Corporation 2012 All Rights Reserved IBM, the IBM Logos and ibm.com are trademarks of IBM Corp registered © Copyright IBM Australia LimitedA2012 ABN 733 © Copyright IBM All Rights the IBM Logos and ibm.com are trademarks of IBM Corp registered in many jurisdictions worldwide. current list79 of 000 IBM 024 trademarks is available onCorporation the Web at 2012 “Copyright and Reserved trademarkIBM, information” at www.ibm.com/legal/copytrade.shtml. GL_13995 in many jurisdictions worldwide. A current list of IBM trademarks is available on the Web at “Copyright and trademark information” at www.ibm.com/legal/copytrade.shtml. GL_13995 w ho ’ s w ho o f fs i

W h o’ S W h o Q& a // a nn e W e aT h e rS Ton

Anne Weatherston Chief information offiCer, anZ Banking group

FST Media: What are your top IT priorities for the next 12 to 18 months? WeaTherSTon: My top priorities are to continue with our progress in improving ANZ’s technology to meet current business needs for stability, availability and protection, while building the technology platforms to enable the bank’s super regional agenda. FST Media: ANZ is leading the charge among the Big Four Australian banks into Asia. What are the major IT challenges of setting up in the region? WeaTherSTon: Technology has been critical in supporting ANZ’s rapid growth within the region. The business has grown very rapidly in the last four years and its growth had to be

supported by technology. So a major challenge has been building the technology at the same time as building the business. A further major challenge of Asia is that unlike Australia it is not one operating environment but many. As a consequence we have had to recognise this by developing an architectural roadmap that enables localisation alongside globalisation. To respond to this position we are focusing on building out component based technology platforms that allow us as much reusability across business lines and countries as possible while accepting that some elements must be local.

FST Media: What are the objectives of your planned increase in IT security expenditure? WeaTherSTon: Information and IT security are fast becoming one of the biggest risks in financial services. The theft of personal and financial data is a growing global business. While Australia has been relatively protected from this activity in recent years this is now changing and it is important that the Australian bank’s respond accordingly. Bank systems hold customer data and that data represents customer trust, we must protect it at all costs. FST Media: You have said that, Cloud computing is not yet sufficiently evolved to be viable for ANZ. What developments would make the concept more attractive to you? WeaTherSTon: The challenge of Cloud is directly linked to the issue of security. We operate in 32 countries around the world, and we must comply with regulations in all of them. Most of our regulators are yet to be convinced by Cloud. In Australia, for example, the Australian Prudential Regulation Authority (APRA) has indicated that all banks must treat Cloud services with the same degree of care as an outsourcing arrangement; we cannot abdicate our duty of care over customer information. Commercial Cloud based services are here to stay but it is not yet fully mature enough as a proposition for financial services. We are however, already exploiting the private Cloud. Server virtualisation has been a first step

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Are you having difficulty engaging your business in Enterprise Architecture? Business Capability Modelling – the gateway to true business buy-in The unique Fragile to Agile approach to Enterprise Architecture is specifically designed to resonate with Business Executives. Our business accessibility starts with our non-technical definition of Enterprise Architecture and its value proposition: “Enterprise Architecture is the alignment of Business Design, People Design and Technology Design to ensure that together they deliver on Business Intent.” “Enterprise Architecture enables you to successfully execute your business strategy whilst minimising total cost of ownership and maximising future agility.” For the technically minded: uniquely, our model answers crucial A key aspect of Enterprise Architecture is aligning business and questions necessary when designing technology architecture. technology design, but how is that actually achieved? Initial attempts For example, for Service Oriented Architectures answering tried to align technology design to business process models; this “What is the right granularity for my services?” is turned from approach is fundamentally flawed as business process models are an obscure art form to an engineering discipline. The model is constantly changing. The solution is to align to a Business Capability also the ideal base for the more traditional EA functions of Model. A Business Capability Model describes “what” the business current state analysis, target does; a Business Process Model state description and solution describes “how” the business roadmap development. does it; an Organisation Model We are constantly reminded describes “who” does it. As what of the power of our Business an organisation does is much more Capability Models as organisations stable than how it does it or who does we assist find additional uses it, this model is far more suitable for and benefits. To us, their greatest aligning technology design to your power comes from breaking business requirements. down the communication barrier Other EA organisations have between business and IT, and superficially similar concepts but providing a common model for they are different models with very business consulting and technology different origins to our Business architecture design; a unique Capability Models. Their models feature of our model. are business consulting artefacts Jeff Scott, Forrester Research, used to facilitate conversations with describes the adoption of Business executives about business strategy. Partial Capability Model with “Heat Map” Overlay Capability Modelling as “the This is an important function of any Rosetta Stone” moment for EA, enabling it to gain widespread capability model, and one equally well addressed by our model. business acceptance. We concur. In our experience it changes Examples of this use of the model at our clients include “heat-maps” the nature of the businesses’ engagement with EA. We look showing which capabilities contribute most to their competitive forward to an opportunity to present to you in more detail how advantage and showing IT-spend by capabilities – an interesting to achieve a step change in business engagement with, and contrast that usually highlights a sub-optimal use of IT resources. true buy-in to your EA initiative leading to improved sustainability Unfortunately, the models from other EA organisations require and bottom line. a different approach and model to be used to drive technology design in general and specifically solution roadmaps. This change in approach loses the business in the next level of design conversation, the critical step that converts business strategy into Email: Contactus@fragiletoagile.com.au execution. Our Business Capability Models can seamlessly flow Phone: +61 8 8238 3206 from business consulting to technology architecture design and Website: www.fragiletoagile.com maintain business engagement throughout. w ho ’ s w ho o f fs i

W h o’ S W h o Q& a // a nn e W e aT h e rS Ton

towards this, and we intend to pursue these technologies further in our own data centres.

FST Media: You have said in the past that you’re ‘not a big fan of outsourcing’. More recently you’ve stated that future core platforms would be ‘largely vendor-supplied’. What prompted this change in attitude towards outsourcing?

WeaTherSTon: I think they are two very different things. Outsourcing is not the same as vendor supplied platforms. I have not changed my view of outsourcing, I do not believe that outsourcing is an easy or quick win solution for the provision of technology services to banks. Banking is a technology based business. When the technology fails the bank fails. You only have to look at some recent major outages to see that technology outsourcers can and do make costly mistakes. I believe that an internal technology function with the right people and processes can be a more motivated workforce providing greater efficiency, reliability and predictability of service. Having said that, that is not to say that I believe everything should be undertaken in house. We need to be realistic about what should be owned and delivered in house versus vendor supplied. I do believe that where the business requirement is standard to most banks, buy is better than build assuming there is an appropriate solution in the market. All organisations need to know their areas of strategic advantage, differentiation and the core competencies required to enable and support these activities. As a consequence we will continue to retain a strong internal IT capability. FST Media: ANZ’s goMoney mobile application pioneered Peer-to-Peer (P2P) payments in Australia. What does the future hold for banking via portable devices? WeaTherSTon: The reason ANZ goMoney has been so successful is that it provides customers with a convenient and easy-to-use mobile banking application. Mobility is now a fact of life and the technology exists to enable services to be supplied real-time, across multi-channels and globally. 64

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in this new era, technology becomes central to the customer proposition and must be an equal partner with the business. front-line business and technology must work hand-in-hand to provide our customers with the services they expect.

These trends are changing our world and the way we do business. Banking as an industry is not immune. Customers now expect mobile banking services and banks need to respond. It will become a differentiator. However, the rise of mobile banking is not just about the device, it will increasingly reflect a new customer expectation. Customers are now experienced in the service propositions of Apple and Amazon and will expect a similar service experience from their financial service provider. Using mobile devices to sell banking products will not be a game changer, banks will need to offer a very different service proposition, one that persuades customers of the value of staying with one financial services provider. This world will challenge the traditional supply model of banks in the way it already has for many other industries. We are already designing for this world starting initially in Asia, where the demand for mobile is high and the banking proposition is less traditional. We want our customers to be able to connect and transact with ANZ globally using whatever mobile device or channel they prefer.

FST Media: What types of solutions is ANZ contemplating to support Near Field Communications (NFC)?

WeaTherSTon: We have a roadmap to incorporate NFC into our next generation

ATMs. We are also looking to apply this to our mobile offerings, but this is constrained by the lack of NFC-enabled phones at the present time.

FST Media: Many banks are now heavily investing in social media but ANZ’s commitment has, to date, been quite modest. Do you see social media as a worthwhile retail banking channel and, if so, how can it best be utilised? WeaTherSTon: Social media is a great way to connect people and communities, and ANZ is building its presence in this space. We certainly see a role for social media in retail banking. We have been operating the Twitter customer service accounts for a year in New Zealand and nine months in Australia, using it for both proactive and reactive customer service. We also have a YouTube channel that supports the retail and commercial business and various other segment specific initiatives such as the Small Business Hub and recruitment via LinkedIn. FST Media: All of the Big Four banks, apart from Commonwealth Bank of Australia, have shifted their CIO’s direct report from the CEO. What are your thoughts on this trend? WeaTherSTon: What is most important, I believe, is that the technology business is seen as an equal partner with the front-line business. In this digital age, customers now expect anytime, anywhere banking, multichannel service provision and technology now enables that capability. In this new era, technology becomes central to the customer proposition and must be an equal partner with the business. Front-line business and technology must work hand-in-hand to provide our customers with the services they expect. FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? WeaTherSTon: It will be a satisfying legacy to lead a world-class technology team that plays a critical role in enabling the bank to achieve its vision as a major super-regional player. We have a long way to go but I am confident we have the right operating model and roadmap to make it happen.

I DONâ&#x20AC;&#x2122;T FOLLOW THE

HERD I said no to the status quo and yes to ShoreTel UC

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w h o’ S w h o Q& a // RuSSe l l Jon eS

JoneS: I believe that today’s IT leader needs to be able to deal with ambiguity and be capable of balancing numerous competing demands. It is absolutely critical to have great relationships with your customers and provide reliable and cost-effective services. You also need to be able to lay out a clear vision and strategy in order to take your team on the journey. FST Media: ASB has opened the world’s first Facebook virtual branch. What business advantage has been realised and how is Return on Investment (ROI) being measured? JoneS: Our award-winning ASB

Russell Jones

FST Media: What are your top IT priorities for the next 12 to 18 months?

Chief operations offiCer, asB

JoneS: Our top priorities over the next year include the following: continuing to build on our real-time, online banking system to deliver great products and services through all channels; working with our parent company Commonwealth Bank of Australia to maximise opportunities and leverage each other’s capabilities; continuing to build and develop our people by providing growth opportunities; supporting ASB’s areas of strategic focus by delivering quality, cost-effective services and supporting their strategic initiatives; and developing our technology assets to support new, flexible ways of working as we move to our new cutting edge and sustainable head office on Auckland’s waterfront. FST Media: What does it take to be an effective IT leader in today’s financial sector?

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Virtual Branch on Facebook has been enthusiastically received by customers as it gives them the option of visiting us while they are using Facebook. New Zealanders have on average more Facebook friends than other nations (204 friends, compared to the global average of 130-150 friends), and over 50 per cent of the population is actively using this platform, so it makes sense for us to be where our community is. A total of 95 per cent of visitors to our Virtual Branch on Facebook would recommend it to friends and family, which is a powerful metric on social media. ASB now has more than 50,000 Facebook Likes, putting us at the forefront of New Zealand banking on the social networks − with an active and engaged community that took part in our hugely successful charitable Elebank campaign, and more recently our Prize Index game, which was based on trading chances to win prizes.

FST Media: What are the relative advantages and disadvantages of social networking sites such as Facebook, Twitter and Google+? How do the demographics of the customers visiting the sites differ? JoneS: Each social media community is different − for example, users of Twitter are typically tech savvy consumers who are engaging in fast-paced conversations on highly topical subjects. The different layout and function of each social platform means we can tailor our communications to be relevant for each audience. For example,

RuSSe l l Jon eS // w h o’ S w h o Q& a

asking a question or running a poll can be very effective on Facebook, however on Twitter posting a unique or interesting image may be more engaging. We have used Google+ hangouts as part of gathering user feedback during our beta testing program, which allows us to have richer conversations with a group of customers located right across New Zealand.

FST Media: ASB is recognised for its innovations in customer service, such as the ‘Experience’ microsite. What developments are currently in the pipeline in this area? JoneS: Experience ASB is a nation-wide campaign to help us engage with existing and new customers through experience ASB.co.nz, a digital platform that invites visitors to take a virtual tour of ASB-specific products. The success of the first phase of the campaign, launched last October, has led us to roll out the next stage. We wanted to show New Zealanders what sets apart ASB from its competitors and motivated them to switch their everyday accounts to ASB. So far we’ve seen a significant increase in the number of people switching to ASB and closing down their accounts with their former bank. We have also seen very good growth both in Auckland and out of Auckland – reflecting our strong position as a nationwide bank. The latest phase builds and expands on this success, becoming a bigger, broader campaign that reveals more about everyday banking with ASB, about our home loans, our rural banking services, as well as business and private banking. Underlying all of this is the message that switching to ASB is simple. FST Media: What customer channels are proving to be the most effective for ASB and which channels are growing the fastest? JoneS: Changing customer behaviour is driving transformation in the banking industry; ASB is at the forefront of developing new innovations to address the changing world in which we operate. We have seen a tremendous uptake in mobile banking by our customers, and around 100,000 downloads of our mobile banking

apps since they were launched in 2011. With this huge increase in mobile banking usage, we are seeing rapid uptake and demand for our banking on-the-go experiences, as well as our social media channels. This reflects the fact that our customers are increasingly connected to the internet and expect to have their bank ‘in their hand’. However, we still see customer demand for traditional banking avenues, including internet banking, our contact centre and our branch network. Our customers tell us they want us to be where they are – be that online, on the phone, or face-to-face in a branch.

FST Media: What is the future of physical branches, given many everyday retail banking functions can now be performed via portable devices?

JoneS: ASB continues to invest in its branch network, which we see as a hugely important channel for customer engagement. For us banking is about being where our customers want us to be, including on their mobile, on the phone and face-to-face in branches.

Each social media community is different ... asking a question or running a poll can be very effective on facebook, however on Twitter posting a unique or interesting image may be more engaging. we have used Google+ hangouts as part of gathering user feedback during our beta testing program which allows us to have richer conversations with a group of customers located right across New Zealand.

FST Media: Your appointment as CIO of ASB Bank in 2008 was your first in the financial services sector. What concepts from other industries have you been able to introduce to ASB? JoneS: When I started at ASB, being new to the organisation helped me to challenge the status quo and ask questions that helped open the door for new opportunities and improvements. During my career in manufacturing I developed a wide range of skills and experience in productivity and efficiency improvements – all of which have been tremendously useful as we strive to deliver the best results for our customers, while managing our own resources.

FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? JoneS: I would like to be measured on my results, and hope that they speak for themselves.

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w h o’ S w h o Q& a // j e F F SM i T h

Jeff Smith Chief exeCutive offiCer, Business serviCes, sunCorp

SMiTh: Technology is changing the markets we operate in and consumer behaviour more rapidly than ever before. We’re increasingly focusing our investment on ensuring we can meet the challenges that come with rapid change. FST Media: What skills do you value most highly when recruiting IT executives? SMiTh: Individual expertise will always be essential but it must be complemented by an ability to work as part of the team. Our technology executives are all strategic partners that need to be able to understand and cooperate with the businesses they work alongside. FST Media: Suncorp does not have a strategy for IT outsourcing. Given that cost-cutting is a primary driver for outsourcing, what are you doing to keep overruns in check? SMiTh: Our strategy is to focus our investment

FST Media: What are your top IT priorities for the next 12 to 18 months? SMiTh: Our IT priorities will be focused on supporting the Group’s businesses with the development of customer-facing service solutions. One of our industry’s big challenges over the next decade will be to stay ahead the pace of change in this area.

FST Media: What have been the key outcomes of Suncorp’s Bring Your Own Device (BYOD) program? SMiTh: The primary objective of this program has always been about giving our employees the choice to work on the device they are most comfortable with. Associated benefits include greater productivity, greater flexibility about where they work from and some real estate cost saves.

FST Media: How difficult is it to achieve the right balance between self-service technology and customer service positions? 68

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in areas where we believe we can be globally competitive, such as our online channels and new technology development. This is not just about capital expenditure, you also have to invest in attracting and retaining the best possible talent. Suncorp has one of Australia’s largest intern and graduate recruitment programs and these have played an important part in our achievements over the last couple of years. It is also important to identify areas where we are not globally competitive and, where appropriate, use external organisations to fill these skills gaps or to help manage costs.

FST Media: You have said that the financial services sector could learn from other industries when it comes to best practices. Where do you see room for improvement? SMiTh: Our goal is to be globally competitive so, for me, it is pretty obvious that we should be looking to companies that have already solved problems on a global scale and, where possible, copy their solutions. These are not usually financial services companies. At Suncorp, we look to Apple, Google and Amazon, as well as our business partners such as NetApp and Guidewire, when we are trying to improve what we do.

FST Media: What has been the biggest challenge you have faced during your tenure at Suncorp? SMiTh: When I started at Suncorp, one of our biggest challenges was to materially change our culture, as well as the way we design and build solutions. I’m proud of what my technology team has achieved over the last few years but I’m even prouder that we were the catalyst for a cultural step-change which has extended to every part of the wider Suncorp Group.

FST Media: As someone with a deep interest in management theory, what is the one book you would recommend financial services CIOs read, and why? SMiTh: Adam Bryant’s The Corner Office. The book is a practical and straight forward read based on personal interviews with over 70 successful business people and leaders and it identifies the five characteristics of great leaders and potential leaders.

FST Media: You’re a big fan of the late Steve Jobs. What practices have you learned from him that have been adapted for Suncorp?

SMiTh: To focus on those few things you can be best at and eliminate those activities where you cannot be world class. Suncorp’s strategy over the last few years has been around simplifying its own business model, so this is something that really resonates within our management team and the wider organisation. FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? SMiTh: I want Suncorp to be globally competitive in the areas it chooses to do business and be recognised as such by its global peers. To do this, we will have to continue to invest in those areas where we believe we can be world class, to attract and retain the best talent, and continue to learn from the best in the world, whatever industry they are from.

C o - SponSo r e d a r t i C le

Ramping up Service Efficiency and Productivity The migration of voice communications to IP technologies started many years ago and was often based on a simple premise: we want to reduce the costs of our phone calls. What many overlooked were the broader opportunities that these new technologies presented in the banking and finance industry. In particular the ability for unified communications technologies based on IP to enable richer levels of customer service, and improved employee productivity. Saving money on telephone calls is important. But it was truly just the tip of the potential savings iceberg. We live in an information age, where the sharing of information is fundamental to getting work done. Anything that slows down activity, or wastes employee time, is an overhead for your business. The last few years have seen explosive innovation in the ways that users interact with software applications. This has resulted in a huge surge in the adoption of tablet, smartphone, and web based social applications. In Australia alone, the number of Australians using tablets is around 3 million, with around half the population expected to use one by 20161. As banks and insurance companies strive to identify richer ways to engage with their customers, both employees and customers are expecting more streamlined, people centric ways of communicating. Your business communications systems need to evolve. Many of your customers and employees already run their lives using smartphones with these capabilities, using a single inbox that integrates all forms of messaging and communications, updated automatically by social media directories such as Facebook and LinkedIn. Fortunately there are some simple incremental steps that any organisation can take to transition to a more 1

people centric communications system, while lifting employee productivity.

Gen-i’s solution Gen-i offers a range of consulting and managed services to help your business migrate to more productive and efficient IT systems. We work with clients to understand their business challenges, working with your in-house team to build an in-depth understanding of your business processes and end-to-end IT infrastructure. We aim to produce a solution tailored to your business, combining technology solutions, with proactive service management, and robust security methodologies. With this knowledge, we produce solutions tailored to your business, combining technology solutions, with proactive service management, and robust security methodologies. The result is an end-to-end service across your entire business, fully managed by Gen-i.

For more information, contact: Gen-i Australia Level 23, 680 George Street Sydney 2000 1800 803 755 sales@gen-i.com.au www.gen-i.com.au Gen-i 167 Victoria Street West Auckland 1050 New Zealand 0800 694 364 gen-i.co.nz

“Aussies driving world tablet adoption rates”, 16 Feb 2012, www.connectedaustralia.com, referring to a study completed by Telsyte.

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W h o’ S W h o Q& a // a n dy W e i r

Andy Weir Chief information offiCer, Bankwest

date. These changes have provided us with a strong foundation for our integrated online and mobile strategy, which will see major investment over the next three years.

FST Media: How difficult is it to achieve the right balance between self-service technology and customer service positions? Weir: The key is being clear about the experience you want to provide to customers across your channels and how and where technology will support this. We passionately believe in always providing our customers with the opportunity to engage with real people irrespective of physical or digital channel and are developing our technology solutions to make this possible. FST Media: Bankwest’s reduction in operating expenses has been partially attributed to a new data centre. What functions have been enhanced to achieve this result?

FST Media: What are your key priorities for the next 12 to 18 months? Weir: Firstly, we are focused on providing Bankwest customers with a ‘seamless’ financial services experience irrespective of channel. Secondly, we are continuing to step up our adoption of Agile and continuous delivery methodologies, which will be supported through our move into our new Activity Based Working (ABW) environment in our new Perth headquarters. Thirdly, we are driving our innovation culture across Bankwest through our Innovation Time Out (ITO) initiative. FST Media: You have previously said that Bankwest was slow off the mark in developing online and mobile technologies. How have you worked to catch up to your competitors? Weir: Our award-winning public website continues to be enormously popular with both new and existing customers. Our recent mobile app developments have proved equally popular, with over 150,000 downloads to 70

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Weir: Our new data centre offers us much greater flexibility in being able to deploy new technology in a much more responsive fashion – virtualisation and internal Cloud offerings are just two examples which have also enabled us to reduce operating expenses. The state-of-the art technologies within the centre have also enabled us to reduce costs through more efficient power and cooling solutions. FST Media: What developments is Bankwest undertaking with Near Field Communications (NFC)? Weir: We will be expanding our propositions in this area as this technology continues to gain traction with customers. Over the last year we have been rolling out our contactless credit cards; we also have a number of mobile telephony pilots in the pipeline. FST Media: What Cloud initiatives are currently on the horizon? Weir: We continue to build our internal Cloud capabilities as well as leverage some external offerings which do not contain sensitive customer data. While maintaining our cautious and risk-aware approach, we

believe that Cloud can provide real agility as well as supporting our innovation efforts.

FST Media: Do you see social media as a worthwhile retail banking channel and, if so, how can it best be utilised? Weir: Social media is here to stay; consequently it has to be treated as a key communications channel. We have seen rapid growth in our Bankwest Twitter following and have established an infrastructure to leverage the channel further. We are also in the process of launching our Facebook proposition. We expect social media to provide an effective channel for both sales and services in the future. The key challenge for financial services organisations is that they cannot afford to not have an effective social media presence and yet have difficulty monetising the necessary investments. FST Media: What does it take to be an effective CIO today? Weir: Firstly, customer centricity and being focused on delivering the overall business strategic outcomes. Secondly, empowering skilled technology professionals to do what they do best. Thirdly, instilling a strong culture of ‘delivery’ within the organisation. Finally, providing strategic clarity and authentic leadership across multiple technology and operational disciplines. FST Media: What IT skills are currently in demand at Bankwest? Weir: Our focus on driving Agile and continuous delivery methodologies requires us to enhance our capabilities in this area, across all aspects of the technology value chain: business analysis, software development, testing, deployment and operations. FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? Weir: To have created a truly customercentric technology capability which drives business value.

w h o’ s w h o Q& A // A l e x t w igg

Alex Twigg General ManaGer, UBank

of information, but you lose the thread of connectivity, so it does not work so well from an engagement perspective.

Fst MediA: Is Twitter more of a marketing tool than an engagement tool? twigg: I don’t like to think of any social media activity as marketing. In our experience Twitter has worked best as an information provision and customer service tool. It’s great for individual customer support questions, alerts, warnings, rate changes and point-intime pieces of information that people need to know. Fst MediA: What do you see as the keys to UBank’s success in the online banking environment? twigg: UBank’s success is driven by its people and culture. We think of ourselves as a digital business that sells financial services products, and we have heavily invested in an adaptive culture to support that.

Fst MediA: What are your top IT priorities for the next 12 to 18 months? twigg: A key priority is the next implementation of the NextGen platform. This will be the third major uplift in UBank’s digital capabilities since we launched in October 2008. With that, we will also get a whole uplift in mobile space as well, which will provide us with a great foundation to launch a fully-integrated mobile platform. Another exciting development is the UBank API, which will effectively give us a secure services layer onto which we can start to build a whole range of mobile and social applications. Fst MediA: What do you see as the relative merits of social media channels such as Twitter and Facebook? twigg: Facebook definitely provides a better level of engagement because there is an ongoing conversation that is visible and trackable, enabling much richer conversations. Twitter is interesting, because it represents a sharing of small bits 72

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Fst MediA: How do you adapt to the exponential rate of technological change?

customer experience expectations of UBank customers. They change it day in and day out. They have an obsession with creating new experiences and they have huge investment dollars to do that. These companies have existed for less time than the average age of the systems run by most banks and therefore they have a digital culture embedded in their organisation. For UBank to keep up is one of the biggest competitive challenges that we face.

Fst MediA: Traditional banks are aligning more closely with the online UBank model. How will you maintain your competitive edge?

twigg: The UBank model is about a lowcost structure business, Internet-only, with high levels of digital DNA. We are focused on creating an organisation capable of supporting that level of change, primarily geared for customers who want to manage their own money. Some are trying to copy the online experience but that is only one part of the model. Fst MediA: UBank customers can check their balances on Facebook. What do you see as the future of online-distributed banking where facilities are available outside the main portal?

twigg: It’s very hard. Technology is the business, and we have to make sure that we have an Agile business model that is capable of taking the opportunities when they arrive, while also defending against threats. You have to have digital DNA; you have to create an organisation that has a core capability of change, a core capability of understanding the technology, landscape and environment and be able to react to it. Everybody asks ‘what’s the next big thing?’, but the question you should be asking me is, ‘will we be ready for it?’ That’s really part of what UBank is all about; it is an organisation capable of working in large amounts of ambiguity and uncertainty, and that can embrace change and opportunity as they appear.

twigg: I expect the use of the main portal of any company will decrease in importance over time quite significantly. We will start to see the same approach to eRetailing as the high street brands have taken for years − not delivering their service in one location but understanding where people are, what they need when they are there, optimising their networks using prime footfall locations, and extending their reach with remote ATMs etc. eRetailing is trending in exactly the same way, creating a portfolio of digital destinations to meet the demand of the virtual foot traffic.

Fst MediA: What do you see out-of-industry competitors bringing to the market that the traditional players have yet to deliver?

Fst MediA: Every IT leader, particularly at your level, has a legacy that they wish to be remembered for. What is yours?

twigg: The big Internet giants, like Google, Apple, Amazon and Yahoo, drive the

twigg: I just want to build the best digital bank in the world.

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w h o’ s w h o Q& a // r oy Gol dsm i t h

Roy Goldsmith Chief TeChnology offiCer, Bank of new Zealand

(and vice versa), so when the business and technology teams really work together the benefits are huge.

Fst media: What projects are behind the recruitment drive in BNZ’s IT division? Goldsmith: We are a people business. Bringing on more talent is enabling us to meet and anticipate increasing demand for enhancements to our online business, core banking products and other key business improvements. We also established a new technology trainee scheme which is proving to be a great success. Fst media: What do you see as the best way to utilise social media within retail banking?

Fst media: What are your top IT priorities for the next 12 to 18 months? Goldsmith: To do things better and faster. We will continue to deliver exciting new service offerings to enhance the capability of current systems and applications. We also prioritise maintaining stable services that perform as expected and meet the needs of our customers and business. Major projects getting underway are around our core systems and remediation of high priority risk areas. An ever-present issue is getting the balance right between controlling costs while moving technology forward.

Goldsmith: We are delighted when anyone ‘likes’ us on Facebook or follows us on Twitter; we respect this engagement by talking to customers where and when they want to talk to us in a way that is responsive, helpful, interesting and above all authentic. We have also continuously exploring and improving the way we use social media to engage with customers – they are always telling us what they think so it’s a great way to take the temperature on our customer service and new products and initiatives. It’s a great channel for solving customer issues too. Fst media: BNZ was the first New Zealand bank to launch an Android app. How did you work to address the platform’s susceptibility to malware attacks?

Goldsmith: It’s vital to understand first-

Goldsmith: The threat profile in the Android space is very fluid so we undertook a huge amount of testing by both internal and external specialists. We have also built a dynamic threat monitoring system which allows a rapid and targeted response to any priority threat meaning we have the ability to close the gates on any handset with an identified malware exposure.

hand the acute reliance the business has on technology and to experience the service that is delivered, especially when things have gone wrong. Communication is key – the business speaks in acronyms that the technology folk do not always understand

Fst media: BNZ’s Near Field Communications (NFC) trial was the first in New Zealand to utilise a Secure Element (SE) chip on a SIM card. What advantages did the use SE offer over a sticker trial?

Fst media: What did you gain from your experience in the retail sector?

who ’s who o f fs i

Goldsmith: Piloting with the SE on the SIM provided valuable insight into where we believe the commercial proposition is going to land in the next couple of years. It also allowed us to gain first-hand experience of banks, telcos and payment schemes working together, which we think will be a common business model in the future. Fst media: BNZ has a reputation as a leader within financial services innovation. What do you see as the next ‘killer app’ to add value in retail banking? Goldsmith: We’re constantly innovating and our game-changing Total Money product has now saved customers more than $100 million since it was launched. But we believe the real differentiation lies in the overall customer experience rather than more products or apps. Getting the mix of product, channel, process, service proposition and marketing working seamlessly together and delivering a smooth, multi-channel experience is essential for a sustainable competitive advantage, and is where we can add the most value in retail banking. Fst media: What IT skills are in demand at BNZ?

Goldsmith: We have several skill sets that are currently hard to fill: BMC monitoring analysts; Telecommunications service coordinators; Service desk analysts; Technical business analysts. We certainly get a strong response from our advertising, but can find it challenging to get the right calibre of candidates especially getting the balance right between customer service ethic, technical ability and level of professionalism we demand. Fst media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? Goldsmith: Creating an environment that allows our people to do their jobs. A team environment that has the balance right between people, customer and cost and is built around strong personal leadership while constantly challenging our people to be the best they can be in all aspects of their work.

CO SPONS OrReEdD aArRt Ti CLE C o --SponSo CI le

BNZ gets to Market Faster with Self-Service Business Intelligence BNZ wants faster, more flexible access to customer and transaction data so it can respond more quickly to market conditions. The bank’s Business Intelligence (BI) specialists often need up to a week to satisfy a data request, but its analysts say that’s far too slow. So BNZ turned to Microsoft for BI tools that will let analysts run reports themselves, giving them the fast data results they need. Business Needs: As one of the biggest banking corporations in New Zealand, BNZ is a heavy consumer of data. Whenever BNZ develops a new product or marketing campaign, analysts dig into customer and transaction data to decide how to tailor the product or campaign. The faster the analysts can do their work, the faster the bank can craft an offering, enter the market, and get a return on its efforts. BNZ analysts previous solution used SAS and SAP BusinessObjects and Microsoft SQL Server 2008 R2. “Every time our analysts wanted a data view, they requested it from the BI team and waited for the view to be created. Often the users would have additional questions, so they would come back to BI with a new request, which may take a couple more days. So it might be several weeks before they get all the answers they wanted” says Duane McLeod, Senior Architect of Business Intelligence at BNZ.

Solution:

Benefits:

In August 2011, BNZ became an early adopter of Microsoft SQL Server 2012 Enterprise with rollout beginning in March 2012.

Powerful Self Service Early tests indicate that SQL Server 2012 processes BNZ data queries 60 times faster than SQL Server 2008 R2. McLeod says, “The major advantage is that it empowers our analysts to get the data they want without being dependent on the BI team. The team provides solutions to 80 BI requests every week. SQL Server 2012 has the potential to cut that in half.”

BNZ chose SQL Server 2012 Enterprise for its potential to create a self-service data analysis tool. Dave Thompson, Head of Business Intelligence at BNZ, says, “Selfservice is high on our agenda, and SQL Server 2012 looks like it will deliver on this front.” At the heart of the new solution is the SQL Server 2012 xVelocity in-memory analytics engine. xVelocity gives Microsoft Excel 2010 spreadsheet clients and other reporting tools fast access to data in SQL Server 2012 Analysis Services tabular models. These in-memory databases can import data from multiple sources, in multiple formats. Once imported, data can be enriched by adding calculated columns, relationships, key performance indicators, and hierarchies. Other key technologies in the solution are the SQL Server 2012 Business Intelligence Semantic Model and the xVelocity memory-optimised columnstore index, which compress data and dramatically increases data processing speeds for common queries.

Higher-Quality Insights Self-service BI increases the bank’s ability to assess risks and opportunities by letting analysts answer questions as they occur. “Employees spend less time thinking about what data they want, completing data requests, and waiting for a response,” says McLeod. “Instead, they can spend more time validating their ideas and strategies by querying the massive data volumes.” Faster Response to the Market “With SQL Server 2012 and xVelocity, new ideas can be validated on the same day rather than weeks or months,” McLeod says. “This means we can respond quickly to changing markets, and unsuccessful campaigns can be pulled quickly, without further expenditure.” Talk to an expert about your business intelligence at: Microsoft.co.nz/SQLexperts

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w h o’ S w h o Q& a // j e n n y L e v y

Jenny Levy Chief information offiCer, PerPetual

From a business portfolio management perspective, it will create the scale and capabilities that allow the organisation to focus on those segments of the value chain where we hold a competitive advantage, such as advice and fiduciary services, and withdraw from activities where we don’t, such as administration.

FST Media: What have been the benefits of Perpetual’s Cloud-based Client Relationship Management (CRM) system and how have risks been managed? Levy: It’s allowed us to put our customers at the centre of technology decisions and create a consistent, simple and efficient way to service customers and manage risk.

FST Media: What are your top IT priorities for the next 12 to 18 months? Levy: My priority is to ensure I leverage all the best available IT opportunities that bring maximum value to the organisation and our customers. Over the coming year I have three key focus areas: increasing the IT capability; introducing strategic partnering within our organisation and with our key external vendors; and providing an improved strategic IT direction.

FST Media: How do you weigh up the advantages of outsourcing Perpetual’s investment platform against disadvantages such as a reduced level of control? Levy: The decision to outsource the portfolio and fiduciary administration services for Perpetual’s advisory business was not driven by cost saving objectives. The true objective is to help us build a wider product offer and thus facilitate revenue growth. In that sense, we very much maintain control of, and indeed improve the client experience.

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FST Media: Customer engagement is a key challenge for wealth management organisations. What do you see as key to enhancing the level of interaction? Levy: Mobility and social media are key technologies that can enrich the way customers interact with any organisation. As I outlined earlier, our strategy acknowledges this by putting our customers at the centre of every technology decision we make. My view is mobile applications are not optional. They have already become a necessity. My goal is a very simple one, making it easy for our customers to do business with us. By offering options to access their funds through a variety of delivery channels and methods, I believe we will only enhance the quality of their interactions with us.

FST Media: Perpetual has experienced considerable management restructuring in recent times. How do you see the technology strategy evolving as a result?

FST Media: How do you encourage technological innovation from within; and how do you determine what is pursued?

Levy: At the highest level, the strategy

Levy: Innovation has many components

focuses on maturing the Perpetual IT function and capability. The core of the strategy is developing customer centricity by continuing to build closer business partnerships with our internal customer facing business divisions and external vendors. The strategy also allows us to consolidate and simplify the way we plan and deliver technology, enhance mobility, build social media capabilities and improve data management.

but the key is partnering with our internal customer facing business divisions and external IT vendors. This approach ensures everyone remains aware of both strategic business priorities and market trends. This is the basis of a good architectural strategy that understands key business priorities and the needs of our customers. It also ensures suitable innovative ideas are well accepted. In the past, I have promoted methods like Idea Boards and created dedicated research and development roles. However, innovation without support in a customer or organisational context would be useless. To promote and support successful innovation, I always try to recruit people that are natural thought leaders with an understanding of the business value chain and technologies.

FST Media: What are the key challenges in getting technology in-step with the broader company perspective? Levy: Perpetual is in a unique transformation phase where business evolution and change is crucial. It’s vital that the IT function can meet the demands of our customer facing business divisions. My key challenge is how quickly can I transform the IT function to meet the growing needs of the business while lifting our technological capabilities, which in many cases are out-dated and overly complex. Shifting our focus to a customer-centric model is the key to meeting this challenge. However, the need to change our culture in parallel is a further challenge in itself.

FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for? What is yours? Levy: I naturally want to transform teams, technologies and processes to be efficient and deliver greater value. I hope my legacy will be that of a technology transformation that brings greater business value to organisations.

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Customer success – Standard Chartered Bank China Standard Chartered Bank turns to Micro Focus to meet Chinese regulatory requirements for its retail loan system Mainframe Cobol Application migration to alternative platforms with minimal change

Challenge

When Standard Chartered Bank set up a new branch office in China, compliance regulations meant that it had to host customer data in China. The problem was that the system was hosted on an expensive mainframe environment.

Solution

Mainframe application migration tools: • Micro Focus Server Enterprise Edition • Micro Focus Studio Enterprise Edition

Opportunities present challenges

The Chinese market is an important one for growing businesses and Standard Chartered Bank took the decision to set up a new branch office in China. One of the bank’s core applications, its Retail Loan System (RLS), resided on a mainframe in Hong Kong. However compliance with Chinese government regulations required the bank to host all Chinese customer data on the mainland. This substantial undertaking had to be completed within a very short timeframe to meet the targets of the Chinese regulatory body.

An innovative solution

Rather than incur the expense and inconvenience of replicating a new mainframe environment in China, Standard Chartered looked for a solution that would enable it to deploy the application on a lower cost platform than the mainframe. This was a significant undertaking and involved moving over 3,000 COBOL programs and 800 screens from the IBM mainframe and onto Linux. The bank found the answer in technology from Micro Focus designed to migrate applications from the mainframe onto alternative platforms with minimal change. “The selection of Micro Focus tools and technology was central to the success of the project,” explains Ramesh Narayanaswamy, Head of Retail Technology Solutions Delivery at Standard Chartered Bank. “It meant we could make the platform change without having to make major changes to the application source code and design, and only minimal change to existing programs.”

presented a number of challenges. “Initially we thought it could be plug and play, but parts of system were old legacy COBOL and there were a lot of COBOL statements that had to be reengineered.” Finding people with the right skills presented further challenges. As Gopal says, “We had a group of people with mainframe expertise, and a separate group of people who know the Linux world. Finding people with a crossover skillset was impossible and we faced a steep learning curve to acquire these skills ourselves. The Micro Focus solutions architect allocated to our project was invaluable in helping us speed up the process.

Impressive performance improvements – today and in the future

The project has returned performance improvements across the system. Batch performance is significantly faster as there are fewer countries sharing the resources. “When we moved to the Micro Focus stand alone system from the shared environment it ran extremely quickly and in fact gave use greater processing capacity than on the mainframe,” explains Gopal. “The new Intel-based Linux server also gave us an opportunity to reengineer some aspects of applications, which resulted in faster execution of batch jobs than on the mainframe.” Performance improvements were impressive. One overnight batch job ran three hours faster and one batch job that previously took three hours could now be run in three minutes.

A model for future development

As well as enabling Standard Chartered Bank to meet the pressing challenges presented by the Chinese legislation, in a remarkably short timeframe, the other benefits delivered by the project have been widely recognized across the bank. The implementation has been a big enabler for Standard Chartered Bank. A number of other countries have seen the success of the project and want to repeat it by moving their data centers to reside locally. Aranth Gopal explains that the “approach we took with Micro Focus will be the model for this. Especially as we have learnt so much while we carried out the first implementation. We will know what will take the time, where the pitfalls are likely to be and where to concentrate activity for the best return.”

Drawing on Micro Focus experience to overcome multiple challenges

The project was the first implementation of its kind for the bank, and there was no expertise or technical knowledge within the bank to draw on. As Project Manager for the Retail Solutions Delivery at Standard Chartered Bank, Aranth Gopal explains that the project

For more information, please visit www.microfocus.com w ho ’ s w ho o f fs i

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FST Media: BT Financial Group’s BT Super for Life product has been integrated into Westpac’s online platforms. What challenges were involved in the integration process; and where is value now being realised? HolMeS: The initial build for BT Super

Richard Holmes Chief information offiCer, Bt finanCial Group FST Media: What are your top IT priorities for the next 12 to 18 months? HolMeS: This is an exciting point in time for the wealth industry. The change our industry is going through as a result of the global financial crisis (GFC) and regulatory reform requires us to rewire our technology landscape. Our business is experiencing a considerable shift in the way that products and services are bought and sold; at the core of this change are the underlying technologies. Our focus is to define the new architecture that will enable our business to capitalise on new and growing opportunities and determine the new technologies that will deliver genuine business value. In addition, 78

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how our customers experience our products and services will change. One such example is the regulatory reforms which impact our IT portfolio: the Stronger Super reform will introduce new data standards which will make the processing of everyday transactions easier, cheaper and faster. And then we have Future of Financial Advice (FoFA) − that requires us to provide enhanced systems to support our advisor channels. At BT Financial Group (BTFG) our priorities include how we remove the complexity in our environment, drive efficiencies and introduce further straightthrough-processes, which in turn will allow us to structurally lower our IT expenses. We will be looking to leverage the investment in Service-Oriented Architecture (SOA) as well as capitalise on the recent significant investment in technology made by the Group to further integrate wealth and banking. So I think it’s fair to say that it is a busy time ahead for our technology teams.

for Life involved the integration of some 75+ core systems, so the co-ordination and management of all the moving parts for each phase of the project was the real challenge. It took the skills, dedication and expertise of over several hundred of our technology employees (including vendors and partners) to get us over the line; along the way, there were as many lessons learnt as there were late nights. For me personally, it was essential on such a large program to visually grasp the big picture and ensure everybody understood the context behind the business strategy and what they needed to do to enable it. In order to do this we used a wireframe prototype-led requirements approach followed by an Agile delivery methodology. BT Super for Life was the first time we used Agile on a large scale and this proved invaluable in breaking the project down into deliverable chunks, providing real-time visibility of progress and a simple process for making the inevitable scope trade-offs when deadline day loomed. Subsequently the real value has been in ‘reusability’. The initial build pioneered the use of SOA, which has allowed us to leverage the same capabilities via many distribution channels. For our business the ‘time to market’ was significantly reduced as we went on to integrate BT Super for Life into St.George Bank, Bank SA and Bank of Melbourne.

FST Media: Encouraging customers to engage with their funds is a key challenge. How can this issue be overcome and what role should technology play? HolMeS: Technology certainly has a role in this journey; it is something our teams relentlessly pursue. In principal our consumers demand and expect real-time information. In response, BT Financial Group is shifting its development capability away from core systems to customer experience and developing front-end capabilities that

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support both mobile, tablet and traditional browsers. Our focus on engaging our customers also influences our thinking on project delivery where we adopt an approach called ‘continuous delivery’ which enables us to deliver minor updates more frequently. The advantage of this model is that we practice our development cycle more regularly, reduce the impact of large change on our customers and can respond to market changes quicker. Innovation and design are also ‘front and centre’ of customer engagement – both of which play a key role in addressing the challenge.

FST Media: How has the growth of online engagement and social media transformed the relationship between marketing and technology at BT Financial Group? HolMeS: As we embrace the digital world, the rapid growth of social media and the exponential increase of mobile devices have led to an increased focus on what capabilities technology and marketing can deliver to ensure that the customer experience is optimal and tailored to their needs. We collaborate with our marketing colleagues through our Customer-Centred Design (CCD) methodology, which is driven by marketing but a fundamental part of the IT process. Our CCD approach is based on people coming together from a broad range of disciplines to enhance customer experiences by understanding the needs of customers and involving experts in customer experience and service design. The team spends time with our customers first hand to learn about their specific needs and identify the most important deliverables in a new product. Marketing and technology employees go on the journey together – starting with understanding the customer and then designing and building products and services that customers will love. It leverages the unique understanding that each team brings to the solution – rather than working in silos. Another growth area is ‘data mining’, where technology and marketing can cooperatively work to analyse, visualise and understand our data. This helps identify patterns, relationships and opportunities that impact on business outcomes.

innovation starts with sponsorship – it’s essential that your business is open-minded enough to look beyond and imagine how the future could work with new ideas and concepts.

and provide our customers convenient and simple solutions. Innovation starts with sponsorship – it’s essential that your business is open-minded enough to look beyond and imagine how the future could work with new ideas and concepts. We leverage from our IT colleagues at Westpac who have an established Innovation Centre. Ideas are submitted and reviewed for merit, revenue generation, cost saving, competitive advantage, ‘do-ability’, funding availability and customer impact. The ideas that are pursued align with business goals and customer needs – innovation has to hit these two points.

FST Media: What skills do you value most FST Media: What are the key challenges in getting technology in step with the broader company perspective? HolMeS: Our motivation is to deliver longterm sustainable IT solutions that address our aspirations as well as our business challenges. At BTFG we think it’s important that technology has a seat at the senior management team table and that we partner our entire business along the journey. That said, we still face the same challenges as everyone else and IT can be relatively slow to change compared to business needs. Part of the solution can be found in good architecture practices that anticipate business requirements. Another important aspect is our focus on excellence in project delivery, which enables us to be nimble and deliver to both strategic and tactical initiatives. FST Media: How do you encourage technological innovation from within and determine which ideas will be pursued? HolMeS: BTFG has a proud history of innovation; we are market leaders with our BT Wrap and Asgard platforms; BT Super for Life is a multi award-winning innovative product; and our life insurance team was recently named ‘Innovator of the Year’ in recognition of its market-leading flexible remuneration options. We’re absolutely committed to improving the experience of our customers – we need to be innovative

highly when recruiting IT executives into your team?

HolMeS: Our people and our intellectual property are key drivers to our success, so recruiting the right person for the right role is critical. For me personally, passion and energy – someone inspiring, who really wants to make a difference − features high on the list. The ability to understand the business problem, together with the technical landscape and bridge the two, cannot be overstated. For that I’d be looking for someone who can influence, articulate and hold a view − without that you can often limit the choices you have. IT executives also need to understand the systemic impacts of change, drill into detail if necessary then switch context rapidly. The ability to attract and retain talent into their teams is another element not to be overlooked and lastly – all things equal − a sense of humour can be a genuine asset.

FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? HolMeS: Setting our business up for success for the next five to 10 years by ensuring that the investments we are making in our systems are going to build on BT Financial Group’s reputation as a company that delivers innovative solutions and exceptional customer experiences. Hand-in-hand with this is building a talented team – the real key to any legacy.

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w h o’ S w h o Q& a // g r eg B oo k e r

Greg Booker Chief information offiCer, onePath, and head of anZ wealth teChnology

with critical systems kept internal to the organisation and those less mission-critical or potentially development environments held in a partner Cloud.

users access to a base capability and then the ability to download further components via an application store model, either public or internal to the bank.

FST Media: What is the best way to address the issue of data leakage by providers through poor virtualisation ?

FST Media: What do you see as the best way to utilise social media in the wealth management space?

Booker: Our policies are very strong and

Booker: Social media represents a challenge

clear when it comes to the Cloud space, and data protection is paramount. The emergence of vendors and products such as Ciphercloud provide the opportunity to protect corporate data and ensure integrity, and in doing so address what is probably the key issue in the Cloud space.

for all large corporates, but we need to understand that if we don’t manage our social media presence, our customers (and detractors) will do it for us. Channels like Twitter, even more so than Facebook, provide significant challenges and opportunities. The real-time nature of Twitter means that a particular item, whether good or bad, receives widespread publicity before we are able to prepare. The upside of Twitter is that it gives the opportunity for organisations to market to a mass audience for very little outlay. Many celebrities are now making more money from Twitter endorsements than they do from their regular careers. The minor celebrity model in the US, personified by the Kardashian family, receives a high percentage of its income from social media endorsements; the TV reality show is more about maintaining a profile to keep the social media space effective. The challenge for a bank is to be very discerning about how it leverages social media. Witness the Coke Twitter fiasco of recent times. Marketers of today still struggle to grasp the real-time, ubiquitous nature of social media. Campaigns that were safe in a controlled non real-time world now bring with them all the inherent risks associated with thousands of would-be comedians or critics, and it’s all visible immediately to a large percentage of your customer base.

FST Media: Encouraging customers to engage with their fund is a key challenge. How can this be overcome and what role should technology play?

FST Media: What are your top IT priorities for the next 12 to 18 months? Booker: The recent announcements that wealth is now a global segment for ANZ broadens our focus and will give us a number of new priorities to build into the overall equation. Key for us, however, is the distribution of wealth products to the ANZ customer base and the development of products such as the smart choice superannuation offering that are in line with the expectations of our customers.

FST Media: You’re a firm believer in the value of Cloud. How do you see this technology developing in the wealth management space? Booker: As we predicted the Cloud continues to evolve and key issues are being addressed. ANZ Wealth’s forays will still largely be in the Software-as-a-Service world and the utilisation of vendors such as Salesforce. The hybrid Cloud model is emerging as the one most likely to gain traction in the infrastructure space,

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Booker: Since 2008 we have seen a sustained downturn in the financial markets and a large number of people have seen their retirement funds slashed or even lost entirely. Couple that with the concerns many people have around job security and you have a market where people will play it safe and hold their money in secure assets such as term deposits. The markets will eventually turn back, and that will occur when an investor looks at their savings and says to themselves, I am prepared to put this back into the stock market. Realistically that day is still over one year away. From a technology perspective we need to provide the tools and the products that are attractive to the customer, products such as the ANZ smart choice superannuation product. We need to provide these products via the channels the customer utilises – direct via the smartphone and tablet devices, intermediated via financial planners, and in-house via the ANZ distribution channels such as branches. The key for us is to adopt the one kitchen, many dining rooms approach, and build our solutions in such a way that they can be delivered across multiple channels, with a user experience suited to each channel, but with a common engine in the background. It is also important to build our solutions in a modular manner, allowing

FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? Booker: No matter what changes in technology the underlying truth will always be that our people make or break an organisation. If I leave a legacy it would be to have people see me as an honest broker and someone not afraid to challenge the status quo.

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Fourth, developing our leadership and technical talent by challenging the team to deliver smarter than we have before, and by providing our top talent with innovative opportunities to learn from other smart organisations and peers within the global ING Group team.

FST Media: With many everyday retail banking functions now able to be performed via portable devices, what do you see as the future for the bricks and mortar branch? HenderSon: We have never seen a need for a bank branch and have proved that an online model can absolutely work and remain as successful and competitive as any bricks and mortar branch.

FST Media: What customer channels are proving to be the most effective for ING Direct and which channels are growing the fastest? HenderSon: Our customers still come

Andrew Henderson Chief information offiCer, inG DireCt

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FST Media: What are your top IT priorities for the next 12 to 18 months? HenderSon: Our priorities for the next 18 months are focused in four key areas: First, ensuring an exceptional customer experience through secure, smart and highly reliable channels that support our customers in accessing their money when they need it, where they need it. We will also deliver a fantastic workplace experience for our own staff. Second, leveraging innovation to accelerate the delivery of our business change program, while at the same time increasing the quality of the outcomes. Third, significantly reducing our operational footprint by using smart technology and operating processes to allow us to focus investment towards providing value to our customers.

to us via the Web because thatâ&#x20AC;&#x2122;s how they know us. In fact, 91 per cent of all customer contact in one recent month was done online or via mobile. Mobile is definitely the fastest growing channel for us, since launching our iPhone and Android apps we have seen a huge uptake, month-on-month. We judge a channel as effective if it gives the customer what they want in the shortest time frame and both web and mobile fit that bill.

FST Media: You have said that virtual currency such as BitCoin could become a useful channel for banks. Where do you see its value in a banking context? HenderSon: With the growth of mobile as a means of commerce beyond communication, it is easy to see how concepts such as BitCoin can become commonplace. With intermediaries offering low-cost solutions in a mobile context, banks may use this as an additional transaction channel for customers. If we see a need from our customers for this type of service and we trust its security and efficiency, we are very open to what the future holds for services like this.

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FST Media: You have indicated an interest in implementing Personal Financial Management (PFM) technology. What value does PFM add for the customer? HenderSon: PFM gives customers a way to help manage their finances by providing them more than just a transactional view of their accounts. It helps them understand how and where they are spending their money, how this aligns to their savings and spending goals and even how this compares with others in a similar financial situation to themselves. By providing tools and visualising this information in an engaging and intuitive way, customers are more informed about how they manage their money, giving them more control and allowing them to focus on other areas of their life.

FST Media: How has the growth of online engagement and social media transformed the relationship between marketing and technology at ING Direct? HenderSon: Technology has completely flipped the relationships customer’s hold with their bank. The huge uptake of mobile devices has created new communication channels, and most importantly two-way communication channels. With this change in technology has come a shift in consumer mindset where expectations have risen dramatically; now customers know the power they have to get what they want and how. This is where marketing plays a role because it can impact the way businesses service and satisfy their customers, because the reputation and livelihood of a brand depends on a customers’ experiences and ideally their outward customer advocacy.

The largest technology transformation we have seen for some time is the advent of the Cloud. The concept is now maturing and those organisations able to translate the opportunity Cloud presents into their own operating models will win.

already adjusting their offerings towards a service-based approach leveraging Cloud; others are struggling even to adjust their license models. This is changing the paradigm in which we operate and there are significant benefits for a business if you have the confidence to take advantage of these. A number of vendors rely on CIOs to be conservative and not challenge the status quo. I don’t operate that way so we are finding faster, more innovative and cost effective ways to change our business by leveraging Cloud capability and partnering with vendors that are like minded. It is exciting times and the opportunities are impressive.

FST Media: What do you regard as the top IT trends shaping the market at the moment?

FST Media: As your competitors upgrade their platforms and increase investment in online channels, what are the keys to ING Direct maintaining market share in this area?

HenderSon: The largest technology

HenderSon: As a 12-year-old bank we

transformation we have seen for some time is the advent of the Cloud. The concept is now maturing and those organisations able to translate the opportunity Cloud presents into their own operating models will win. As a result, the vendor community is under pressure to adapt. A few smart vendors are

don’t have the legacy issues of the Big Four banks. ING Direct was created as an onlineonly bank so we are already at an advantage and don’t have the catching up to do like others might. We have also established that keeping it simple really works. We exist to give our

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customers their money when they want it and how they want it; although the variables in that process will change with technology, that is what our customers expect from us and that is what we give them.

FST Media: What IT skills are in demand at ING Direct? HenderSon: Technical skills are a commodity and not difficult to come by. What is difficult is finding people with the passion and energy to make a difference, to take initiative to find a better way and then executing on those ideas. We are in a technology game; we need technical talent, but we need people to translate that into outcomes. Another core challenge is leadership depth. This is not an area that IT is strong in – but it is crucial to developing a high-performing, engaged and passionate team that is able to deliver exceptional quality. We cannot meet our strategic goals of providing a memorable customer experience without either of these two components.

FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? HenderSon: When I arrived back in Australia in 2009, we embarked on a transformation program that involved restructuring the information technology team, rebuilding our senior leadership group and enhancing our operating and delivery models. We have worked through that well and we are now focused on leveraging this new capability to deliver outcomes for our business. We have aggressive plans for the years ahead so my aspirations from 2009 have not changed – we should be performing to a high level, we should have high business confidence and have been able to deliver real value to our customers. We would have challenged the status quo, taken tough decisions but delivered outcomes with accountability. We are on the path, but we have much more to do – that is what springs me out of bed every morning – exciting times.

C o - SponSo r e d a r t i C le

Why going to the Cloud in stages works Unprecedented change In just a few years, the way the customers of banks, insurance and investment companies communicate with their friends and family has been transformed. They chat with friends and family through Facebook and share their day-to-day experiences on Twitter, often on the move. But most financial services companies are still in the early stages of meeting this demand for mobile, social communication convenience. For most, social media is run by the marketing department, posting messages or scanning for mentions. Frequently, SMS and email customer service is fragmented, using standalone software that is neither integrated with the customer history or with contact centre call flows and Quality Assurance processes.

Risks and demands The fragmented approach, usually with lower standards than are acceptable for voice communications, exposes the organisation to significant risk and fails to meet the ‘anywhere – anychannel’ demands of today’s customers. In a context of constrained budgets and growing data privacy and security pressure, adapting can seem daunting and expensive. That’s why, around the world, financial services companies are turning to Cloud technology.

Commercial advantages of Cloud Historically, deploying software meant buying licences, installing them locally on PCs or servers, and on-site IT resources to maintain it. Infrastructure, facilities, labour and maintenance costs add up quickly. infrastructure, which drives up costs further. Cloud computing radically simplifies how you deploy, maintain, and access software, platforms, and infrastructure — because everything you need is available through the Internet as a service. Most Cloud vendors

offer a subscription model, so you only pay for what you use. There’s little or no up-front capital investment, and most importantly, it can be deployed instantly. Providers take care of maintenance and upgrades, giving ongoing savings. Using a Cloud approach to contact centre software delivers: • Faster deployment • Increased flexibility • Increased business agility • Minimal upfront capital expense • Freedom to scale up or down when needs change • Less stress on IT resources • Full capabilities for remote workers • Better business insights when integrated with CRM and other Cloud functions

A staged approach The flexibility of Cloud solutions make a staged approach to deployment easy, delivering clear commercial advantages and allowing you to make the most of current legacy systems. With the modular, pay-asyou-go LiveOps contact centre platform, companies pick and mix the Cloud-based communication channels they introduce: • Salesforce.com began by using LiveOps voice, connecting their helpdesk agents worldwide into the agent desktop and allowing their managers to manage call flows and routing, instantly, online. • AXA started by using LiveOps to deploy SMS and email functionality, improving their ability to respond to inbound messages and automate communications for improved efficiency. More than 200 companies across Australia and New Zealand, and around the world, have selected LiveOps’ technology, giving LiveOps expertise in implementing staged Cloud solutions with clients in the insurance, banking and investment sectors.

has learned the key factors decision makers should assess in any potential vendor: 1. Uninterrupted reliability – vendors should offer always-on availability without scheduled downtime 2. Impenetrable security – vendors need to demonstrate multi-layered security protocols to protect your clients’ sensitive data. Are they industry leaders in security or merely followers? 3. Horizontal scalability – Can the system deal with extreme spikes in capacity or unlimited demand growth over time, or might the performance they offer you degrade as their other customers grow in a limited environment? 4. Real time flexibility – Will your contact centre managers be able to adjust call flows and agent deployment in real-time, from their desktop, or will they be waiting for the vendor to make changes? 5. Multichannel capable – Does the vendor enable you to interact with your customers online, over the phone, via email and SMS? And will your agents be able to access all the customer’s communication history, across all these channels, in real time? 6. Support for staged deployment – Does the vendor understand the commercial imperatives to exploit the full value of legacy systems? Will they work with you to develop a staged deployment plan that suits your business? With the flexibility to introduce Cloud in stages, the clear business benefits, and the urgent pressure to build profits through more effective customer communication, where will you begin? Kieron Lawson, Chief Architect

What to look for With over ten years’ experience in delivering Cloud solutions to contact centres, LiveOps who ’ s w ho o f fs i

w h o’ S w h o Q& a // r a jaT Ta n e ja

Rajat Taneja Regional Chief infoRmation offiCeR, ZuRiCh

Taneja: We have had numerous successful implementations across countries. For example, we are re-using much of the work done in Australia for our broker facing platform in Japan. We share corporate insurance platforms across Hong Kong, Singapore and China. On the infrastructure side, we have had a lot of success in consolidating platforms and leveraging data centre capabilities across countries.

FST Media: What are the key challenges in getting technology in-step with the broader company perspective?

Taneja: There are plenty of challenges. Our IT strategy is very much aligned with the business strategy. However, challenges continue beyond that point. Ensuring that the strategy is communicated and agreed across the breadth of the business is extremely important. All too often I have seen project decisions being made which are not aligned with the strategy.

for the next 12 to 18 months?

FST Media: To what extent do technological imperatives drive the overall business strategy at Zurich?

Taneja: Many parts of Asia Pacific are growth

Taneja: Other than the need to keep our

markets for Zurich. The focus for IT in this region will be to build our capabilities in the key growth markets and further leverage past investments in mature markets like Australia.

technology current, supported and robust, the overall IT strategy is driven by the business strategy. However, the business strategy is influenced by technology adoption in the market place. A classic example of this is the growth in usage of mobile devices. Interaction with customers on mobile devices is now common place and our business operations continue to be influenced by the emergence of such technology. Similarly, the emergence of new business-to-business interaction models in the Australian General Insurance intermediated market has heavily influenced our business strategy. Zurich has been quick to recognise this movement and our previous investment in platforms such as ZStream Xpress position us well in supporting the business strategy.

FST Media: What are your top IT priorities

FST Media: What are the key challenges in overseeing operations across markets in a diverse region such as Asia-Pacific?

Taneja: It’s the diversity that makes this region challenging. Business priorities tend to be different based on the geography. Asia Pacific is a blend of mature, growing and future markets. In addition, industry practices tend to vary across these countries. The ideal mantra of a one-size-fits-all rarely tends to work. Therefore, our challenge is to enable the business in each of these markets in a size and market appropriate fashion.

FST Media: Cross-border leverage is central to Zurich’s regional IT strategy. What do you see as the most successful examples of this?

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FST Media: How can social media be best utilised in the insurance space? Taneja: As we see further maturity in leveraging social media as a source of market

intelligence and the GenY’s become more prominent customers of insurance, I suspect we the usage of social media in the insurance sector will grow quite significantly.

FST Media: What do you see as the relative advantages and disadvantages of thin client and Cloud computing technologies for the insurance industry?

Taneja: Depending on the market, the reason for moving to thin client technologies will be different. In mature markets, thin client technologies reduce end user computing costs, enhance security and improve service. In emerging markets it is a key enabler for establishing rapid presence in geographically dispersed locations. Unfortunately, virtualising the desktop does increase the risk on the server side. Any server failures could immediately impact a significant user population. With Cloud computing in general, I do see benefits in terms holding down costs of commodity services, enabling the corporate to focus on value add services. Public Clouds continue to face regulatory and security challenges. FST Media: Your current role is your first as CIO. What do you expect will be your biggest challenges?

Taneja: Frankly, these are challenging times for CIOs in general. Every organisation is looking at optimising their IT dollars. My challenges are no different. I need my IT organisations supporting the mature businesses to hold cost and yet support their businesses, while the IT organisations in the emerging markets need to scale up the IT capability in line with the business’s ability to invest in IT.

FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? Taneja: My goal is to create a businessfocused IT organisation that partners with the business in defining and executing on enabling technology solutions.

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w h o’ S w h o Q& A // g r eg M cAw e e n e y

Greg McAweeney ExEcutivE GEnEral ManaGEr, raboDirEct australia anD nEw ZEalanD

third-party services, provide us with far more flexibility to design the front-end, lower the cost of development and share innovations across our direct banks.

FST MediA: What mobile initiatives are on the horizon? McAweeney: It is fair to say that mobile banking adoption has reached the tipping point and we are developing a roadmap for mobile in this region. Although Near Field Communication (NFC) has some way to go in Australia in terms of penetration, mobile payments is a big battleground for banks and non-banking organisations. It will be interesting to see if real virtual banks emerge in this region and how successful they might be. FST MediA: RaboDirect’s website has a strong focus on interactivity with a blog, video content and links to Facebook and Twitter. What do you see as the relative merits of each? McAweeney: The various social media

FST MediA: What are your top IT priorities for the next 12 to 18 months? McAweeney: We have no shortage of projects. We are about to launch phase one of our new front-end banking site, which has been a significant project. We are also re-tooling our call centre applications and developing a mobile strategy roadmap. Our online security is based on two factor authentication via a physical token. We won’t compromise on security for our customers but will move to a mobile token.

FST MediA: RaboDirect is undertaking a core banking upgrade with a focus on customer experience. What initiatives are planned for the rapidly transforming marketplace? McAweeney: Our core banking upgrade is part of a global project across our international direct banks. By engaging customer experience architects in the design phase we were able to make better choices on where to spend our innovation dollars. Our new platform will facilitate interfaces to

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platforms that we use provide us with the opportunity to have a conversation with prospects and customers. We do not have a branch network so we use social media to listen to what consumers are talking about, give people an outlet to talk directly to us, as well as run promotions and competitions.

FST MediA: What are the key elements of attracting customers to the RaboDirect online community and maintaining engagement? McAweeney: It is all too easy to fall into the trap of simply using social media to broadcast a message. Engaging in conversations, providing value to online communities, knowing when and when not to participate are all important things to bear in mind. I’m always wary of giving away freebies to buy followers. It is not the amount of followers you have but the quality of them and the conversations you have.

FST MediA: How is the growth of online engagement and social media transforming the relationship between marketing and technology at RaboDirect?

McAweeney: All aspects of digital media play an important part of the media mix for us. But as a relatively new brand in this marketplace we still rely on traditional media such as TV to do some of the heavy lifting when it comes to brand awareness and consideration. Social media continues to increase in importance even though it is difficult to measure a return on investment. We believe in it and continue to test and learn from it.

FST MediA: How do you encourage technological innovation from within and determine which ideas will be pursued? McAweeney: Innovation is a key brand value for us because it is vital that we continually innovate to enhance the customer experience and compete effectively. We work in a global model which has its advantages and disadvantages. We can test and deploy in different geographical markets but the tyranny of distance can slow the pace of development down sometimes. We maintain a flat hierarchical structure that facilitates quick decision making. Like all banks we face the competing demands of investing in customer facing development and regulatory must dos.

FST MediA: What IT skills are currently in demand at RaboDirect? McAweeney: The vast majority of our development is undertaken in Europe so we tend to focus locally on technical business analysis, project management and testing. That said, we are moving to a more flexible model where we will adopt a core/satellite approach where the core banking platform remains offshore but some applications can be brought onshore. That will change the type of skills we will require locally.

FST MediA: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? McAweeney: Looking ahead I would like to see RaboDirect flourish in both Australia and New Zealand and be recognised as a bank that genuinely stands on the side of consumers, an innovator and a real alternative to the Big Four banks.

c h r iS N i loN // w h o’ S w h o Q& a

Chris Nilon Group ExEcutivE it and opErations, Bank of QuEEnsland

FST Media: You have said that the deployment of Cloud computing is an inevitability. What form do you see a workable public Cloud model taking in the retail banking sector? NiloN: I do not at present see clarity in a model for widespread and large-scale use of a public Cloud infrastructure within banking. I do, however, see a path forward for large-scale, private Cloud infrastructure within banking.

FST Media: BOQ has a reputation as a leader in mobile solutions. How do you see this channel evolving?

FST Media: What are your top IT priorities for the short- to-medium term at Bank of Queensland (BOQ)? NiloN: Governance, architecture reform and people are our top three priorities. We are completing the implementation of a new technology governance framework. The team is also working through a structured program of architectural reforms to support some of our core technology principles, including simplification, re-use and technology evolution. The third, taking people on the journey in a changing environment, is a top priority and critical to success. FST Media: To what extent does technology innovation drive the overall business strategy at BOQ?

NiloN: Technology innovation does not generally drive the bank’s business strategy; it does, however, enable it by helping shape the direction of key strategic initiatives as well as enabling strategy execution. After all, BOQ is in the business of banking, not technology.

NiloN: As a business we decided that mobile banking was not to be treated as a separate channel; it was to be considered an extension or alternate access point for Internet banking. As a result we evaluate all new enhancements to determine their suitability for mobile banking. For example, creating a payroll or international transfer is currently too complex an interaction for a mobile phone, whereas authorising one of these transactions remotely is easy, simple and something customers want to do. So from a functionality evolution perspective we will continue to take this approach. Customer experience and interaction is where the evolution will occur, as banks continue to modify the interface and experience to fully leverage the capabilities of the ever evolving devices and operating systems. FST Media: What customer channels are proving to be the most effective for BOQ and which channels are growing the fastest? NiloN: BOQ has a unique branch model that delivers superior customer service and relationship-based banking through a franchise model. Because many of our branch managers own their branch, they have more at stake when it comes to making sure their customers are happy. It also means our branch managers have much more longevity compared to our competitors, so customers can build a true relationship with their bank manager. That means we attract a lot of

customers from the major banks who want a relationship with their bank manager. At the same time, though, we are seeing growth in our mobile and Internet-based channels as many customers’ preferences move more towards direct channels for their banking, especially for day-to-day transactions that they don’t need or want to go into a branch for.

FST Media: How do you encourage technological innovation from within your team and determine which ideas will be pursued?

NiloN: Innovation is encouraged through all aspects of our business by empowering our staff to make a difference. No idea is considered silly. Those initiatives which are aligned to BOQ’s strategic direction are investigated and prioritised through our Enterprise Project Office. We have a brief idea initiation form to encourage ideas from all areas of the business. This allows ideas to get visibility and triggers a review process to decide if the idea should be progressed. FST Media: What do you consider to be the essential traits of a successful technology executive? NiloN: I think the essential traits of a successful technology executive include: having a business and customer focus mixed with leadership and assertiveness; being able to develop and deliver a clear technology vision for the future; and having a high level of enthusiasm, confidence and selfdiscipline. You also need to stay abreast of the latest trends and surround yourself with a winning team.

FST Media: Every leader, particularly at your level has some legacy they wish to be remembered for. What is yours? NiloN: Most people want to be remembered for making a difference – I am no different. I would like to be remembered for the creation of a framework for the development of a well understood strategy and the assembly of a team that delivered on the strategy and generated real business value.

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w h o’ S w h o Q& a // R oy Va n de R e i T

Ron van de Riet General ManaGer iT and Business delivery, KiwiBanK

Van de RieT: Banks operate in a highly competitive market place and recent history demonstrates the power of social media in creating success and failures on a grand scale. The key factors for success are having a compelling brand identity that is powerful, challenges the status quo, engages customers; and delivers on the brand promise. FST Media: Do you see Kiwibank incorporating social media into its core platforms or will it remain primarily as a marketing tool? Van de RieT: The need is already there to incorporate social media into interactions with the customer. This is partially evidenced by for example, using Facebook identity to access services over the Internet. The need to recognise the power of referral business via social media is challenging traditional marketing models across all business verticals. As an industry we still have little understanding about monetising this.

FST Media: What are your current priorities over the next 12 months?

Van de RieT: Planning the execution of the business strategy to diversify earnings and asset risk, specifically the critical sequencing of investment and architectural decisions required. We are also focused on continued investment in the direct channels and retail, specifically the need to deepen customer relationships while moving transactional needs to lower cost self-service channels. Meeting the increasing demand of the regulatory/compliance agenda and the development of the business architecture to deliver an efficient scalable business are priorities. Finally, continuing to evolve the culture for higher performance is a key focus. FST Media: The ‘Operation Easyswitch’ campaign certainly made an impact, with around 30,000 views on YouTube. What do you see as the key factors in successfully creating an online social media community in the financial services sector? 90

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FST Media: Green IT is a key priority at Kiwibank. What initiatives are under way and how do you see Green IT adding value to the business as a whole? Van de RieT: Largely the tactical initiatives have been completed on things like power savings. Moving forward we need to remind ourselves that we need to be constantly challenging our approach to the way we work and impact the environment. FST Media: You have said that Kiwibank is committed to ‘human capital management’. What are the core elements of this strategy?

Van de RieT: Human capital management is critical to success. Key to this is capitalising on our vision of contributing to a successful country. We deliver this through our day-today interactions – that is, behaviours. I do think talented people want to work for a successful brand and a company that empowers and treats people with respect. In parallel, I am passionate about building the ‘right’ capability. We are moving incrementally towards a better performing

culture and a culture that will challenge status quo.

FST Media: Could you tell us about the interactive ‘Welcome Walls’ that have been installed in Kiwibank branches? Van de RieT: This is currently a trial in one of the new-look branches that utilises touch screen technology. The intent is to get people to interact visually with banking services making for a great customer experience. FST Media: With many everyday retail banking functions now able to be performed via portable devices, what do you see as the future for the bricks and mortar branch? Van de RieT: The branch is very important in a number of contexts. The first is the branch is still our key acquisition channel and remains very relevant, especially the potential to leverage the foot traffic that flows through Post shops. The second relates to brand awareness, specifically the need for a retail network to have a brand presence that is representative in the community. FST Media: What are the key benefits for Kiwibank in being New Zealand’s only 100 per cent domestically-owned bank? Van de RieT: The benefit ultimately is in being a strategically important asset for New Zealand and one that supports elements of the country’s social and prosperity needs. FST Media: What skills do you value most highly when recruiting IT executives? Van de RieT: In terms of skills I place a great deal of emphasis on self-leadership, shared power, commitment and reward based on ownership and accountability. This requires behaviour-focused skill-sets that emphasise self-observation, goals and rewards. FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? Van de RieT: I hope I influenced, to a small degree, the success of passionate people.

w h o’ S w h o Q& a // M i k e e M M e T T

Mike Emmett Chief information offiCer, QBe insuranCe

eMMeTT: What I have to say is anathema to sensible IT practitioners: I am opposed to conventional thinking about business intelligence and data warehouses and data marts and cubes and all these things. I actually think it’s about empowering the user with tools that enable them to fairly simplistically search for data by opening up all our data across the organisation – whether that is structured or unstructured. There’s no question that there is a need for structured data but there is so much more value that can come from the unstructured data. FST Media: How are you managing security with regard to BYOD? eMMeTT: At the moment the issue is around the security of our existing estates. So we are doing a type of planned rollout of BYOD. The way we manage the security at the moment is through the virtual desktop. On mobile phones and tablet-type devices we use a commercial application to manage all the security and then on your own laptop device we control it through remote access.

FST Media: What are your top IT priorities for the next 12 to 18 months? eMMeTT: We have three parallel agendas. The first is integrating all of the IT operations and staff into a single entity across Asia Pacific. The second priority is to drive a more consistent IT operating model and processes globally. We operate in 52 countries, and in a number of places we have acquired companies, so it is an ongoing process to harmonise them all. There is also a level of application standardisation that we are going through to ensure everything fits with the IT operations and service pieces that we are aligning. In parallel, we have virtualised our infrastructure; we have a private Cloud operating; and we have the facilities for Bring Your Own Device (BYOD) and all related technologies and we are now extending these further. FST Media: What insights were gained from companies such as Google and Facebook when developing QBE’s business insights team?

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FST Media: How has technology been used to expedite the claims process in the wake of increasing natural disasters in Australia? eMMeTT: Handling these situations is about technology and staff. We didn’t use some cunning new algorithm, we handed out iPads and mobile phones to more claims people and sent them on the road to go and actually assess, because otherwise we would wait too long for the claim to come through and it would create a backlog. I’d like to say there was some clever technology, but in reality it was just changing the supply chain.

FST Media: What do you see as the next game changer in the retail insurance sector?

and work flow will go away. So, instead of filling out a claim form, if all you had to do was take a photo of the damage on your car with your iPhone, well, if the iPhone’s got Near Field Communication it knows who you are and where you are and it has effectively completed the claim form just because you took a photo. If that automatically gets uploaded to QBE, we can use automated information to validate that you have a policy and that photo can be sent to the assessment centre, so you don’t have to drive the car in. They can give you an immediate conditional approval and you can then interact on your phone, whether it’s using face time or a text message, Twitter or an instant message type engagement, you can actually answer the client’s questions right there and then, within a few minutes, making it a very easy, low-tech solution. So potentially all of our investments in sophisticated, heavy technology would go away, because we don’t need it anymore. I’m quite excited about it because I think we are quite well positioned for that fundamental shift.

FST Media: How important is having a CEO that’s such a strong supporter of IT? eMMeTT: For any organisation in this day and age technology is such a fundamental part of the business. It shouldn’t lead the business, but it’s a fundamental part of the business. The CIO needs to be focused on making sure that technology delivers to the agenda. So, if a CEO doesn’t also buy into that significance, that is where you see the CIO downgraded to a second-tier executive and that is where IT starts being regarded as a cost centre, rather than critical and pivotal to the businesses operation and strategy.

eMMeTT: I’m fixated on the power of the

FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours?

individual. I think the way that we engage needs to change because at the moment the uptake of mobile devices is so significant that I think that whole way of interacting with customers, staff and each other will change. I also think the old world of formalised management information reports and data

eMMeTT: I’d like to oversee a transformation of IT in QBE from being traditional and sensible, those conventional approaches to it, to where we really are unlocking the benefits of new technology that allow you to think and act and empower users.

w h o’ S w h o Q& a // M a rS h a l l S T e ph e n

Marshall Stephen General ManaGer, naB wealth technoloGy

Further, the security environment is changing on a daily basis, so we are constantly evolving our detection capabilities and response to ensure the safest possible wealth management and banking experience for our customers.

FST Media: Where is NAB Wealth currently situated with the development of a private Cloud?

STephen: NAB Wealth is leveraging the internal private Cloud being built in conjunction with NAB’s strategic partner IBM. NAB Wealth will be starting to migrate some applications from our legacy infrastructure to NAB private Cloud, starting the process at the end of the year. Our priority when it comes to Cloud computing is the security of our customer and client information, and the private Cloud option being developed with IBM provides the level of security we are seeking. FST Media: What do you see as the key elements in enhancing engagement between customers and their funds?

FST Media: What are your top IT priorities

STephen: We agree it is critical for our

for the next 12 to 18 months?

customers to engage with their superannuation to ensure their investment profile matches their retirement goals and future needs. To enable this we are investing in improving our online access to superannuation information including enabling this information via mobile devices. Interestingly, we have found that the older generations are more likely to engage with their superannuation online than Gen X and Gen Y. MLC clients aged 60 to 79 years old are considerably more active when it comes to accessing their super accounts online than their younger counterparts, even though only 37 per cent of Australians aged 65 years and over use the Internet compared to 94 per cent of those aged 15 to 44 years.

STephen: My top priorities are to deliver the technology capabilities to support NAB Wealth’s business strategy. Some of the key elements of the plan include major improvements to our digital capabilities, management information and analytics, legacy products and systems migration and decommissioning, and closer integration with NAB to deliver more integrated wealth and banking solutions to our customers. FST Media: What IT trends are you keeping your eye on at the moment?

STephen: We are working in conjunction with colleagues across the bank to explore the opportunities that Cloud computing offers. We are also investigating ‘Big Data’ trends and extending our partnering with strategic vendors to make the most of these opportunities. 94

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FST Media: What customer channels are proving to be the most effective for NAB Wealth and which channels are growing the fastest?

STephen: As with current industry trends, online has seen significant growth and continues to be an extremely effective channel for NAB Wealth. Over the last 12 months we have seen a 25 per cent increase in new business applications online, 61 per cent of new business completing within 20 days, through Riskfirst, our online underwriting application, and a 15 per cent increase in customer page views. With Stronger Super reforms on the horizon and the mandating of e-commerce administration we are well placed to take advantage of the increased reliance on the online channel through a series of initiatives for delivery within 2013. The demand for mobility solutions and support services for our adviser network and customers is an area we are focussing upon given the penetration of iPad’s and tablet devices coupled with 3G/4G network infrastructure and NBN rollout. FST Media: How do you encourage technological innovation from within and determine which ideas will be pursued? STephen: We have a very open culture that enables our people to suggest technology innovations. We have developed a continuous improvement culture to ensure people can challenge how we do things and improve our way of working. We also have a technology innovation fund to run experiments. All technology innovation ideas are assessed against a set of pre-defined criteria and funding will be allocated based on priority. We are also working very closely with our strategic partners to leverage their innovations that can drive business value. FST Media: Every IT Leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? STephen: The legacy I would like to be remembered for is having a strong technology team driving the business, carrying through business-friendly technology, clear strategy of where we are going, adding value and making a significant contribution to the business.

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W h o’ S W h o Q& a // r i c k W i n g f i e l d

Rick Wingfield Chief information offiCer, aia australia

Wingfield: Our newly launched eClaims system is making life easier for claimants by capturing information in a consistent way and aiding the upload of supporting documentation. This has reduced processing times by 50 per cent due to reduced errors, rework and missing information. The next step for eClaims is to build on our underwriting rules experience and move towards automated claims processing. Approximately 40 per cent of our claims can be automatically processed; however our position as the right life partner will ensure that we do not use technology to replace human interaction when it is required. Another great opportunity with eClaims is participation; it is no longer acceptable for a claim to disappear into a black hole for six weeks while medical records are requested. The benefit of an online interface is that it allows us to keep the claimant informed and involved in the process.

fST Media: What do you see as the future for mobile device technology in the insurance industry?

fST Media: What are your top IT priorities over the next 12 to 18 months? Wingfield: Our first priority is to ensure that everything we do in IT delivers business value to our customers, which include our partners such as industry super funds, independent financial advisors and direct alliance partners. Our second priority is to deliver our enterprise roadmap. Our focus is to modernise our legacy application landscape, reducing complexity and cost to free up resources to invest in growth. For example, we are rolling out a single modern workflow tool and retiring three legacy ones. All this is for nothing if the IT function does not deliver reliable end-to-end service. We have a number of initiatives underway which aim to simplify, improve and automate our processes and systems across technology and operations.

fST Media: AIA Australia has digitised its claims process. What do you see as the next step in the evolution of online claims?

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Wingfield: A recent study by Google and IPSOS showed smartphone penetration at 37 per cent in Australia and rising rapidly; it is easy to see that mobile has become pervasive. Experts are predicting 100 per cent penetration by 2015. Tablet sales are also taking over from PC as well as laptop sales. We can learn a lot from what is happening in other AIA countries. In Indonesia more people have access to the Internet via smart phone than from a computer. In Taiwan AIA has recently rolled out a new point of sale application to all insurance agents that is iPad based. At AIA Australia we are looking more at how to enable sales people to do everything they need to do whilst they are out of the office rather than building an app for end customer use. fST Media: Which channels are proving to

technologies. Online support of straightthrough processing, signatureless approval and electronic upload of evidence are some of the initiatives we are working on.

fST Media: What IT skills are currently in demand at AIA Australia? Wingfield: Specific technical skills can come in and out of fashion, and we are lucky to have a large development centre in China where we tend to source most of our developers and testers. Onshore we need talented people who can partner with the business to deliver for our customers. They need to be business-focused leaders with commercial acumen as well as strong technology skills. fST Media: What IT trends are you keeping your eye on at the moment? Wingfield: One of the trends that I am acutely aware of is the consumerisation of IT. We live at a time when IT has never been more accessible and the speed of change is only increasing. I see this as a driver to make us a better partner as we respond to customers demand for greater mobility, Bring-Your-Own-Device and self-or partnerdeveloped applications that mash up our data and services. We have also recently completed a very promising proof of concept using an Agile business intelligence tool. We built a critical new sales dashboard in two days where the same report had taken us 10 weeks using our existing business intelligence suite. Being able to deliver reports that are highly valued and help make business decisions is exciting as we can really demonstrate how data can make a difference to our business and our partners. fST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours?

be the most effective and growing the fastest?

Wingfield: I am less interested in personal

Wingfield: Our aim is to simplify our partners’ businesses, whether they are a large superfund or an individual practice, and help them connect to their customers using digital

legacy than a team one. We have a mantra to ‘make IT better’, where better is greater in excellence, higher in quality, more useful, more highly skilled and healthier than before.

w h o’ S w h o Q& a // pe T e r F l e Tc h e r

Peter Fletcher Chief information offiCer, westpaC, new Zealand

part of our focus in the country. The shift towards Internet and mobile services and how we respond to those forces will also be important to get right. The proliferation of devices and the whole workplace experience, including the different ownership models of the devices, is something else to watch; a lot more people are using their own devices in the workplace and at home to do their work. And then there is the whole piece around Cloud computing and how we want to work with that.

FST Media: Westpac NZ’s ‘Impulse Savings’ app was a hybrid of traditional vendor solutions and in-house development. What were the benefits of that customisation? FleTcher: The value we got out of that was a very customer-centric design. The combination also gave us some speed-tomarket advantages; it also helped us change customer perception in terms of bringing something innovative and new to market that people liked and thought was a little bit different. FST Media: What are your top IT priorities for the next 12-18 months?

FST Media: What are Westpac’s priorities in the social media space?

FleTcher: My top IT priority is a major infrastructural refresh we are implementing. The program also involves renewal of some of our outsourcing agreements and building two new data centres. It’s a key priority for me to get all those renewed outsourcing relationships on the right platform. Beyond that I want to produce a businessled IT strategy that allows all my team to fall in behind it, and that requires having a really clear picture of where the business is going over the next few years, what the big drivers are, a really good view of where we need to be in terms of our performance against our peers and then an understanding on how to deliver on all of that.

FleTcher: Social media has taken off and is playing a much bigger part in people’s lives; we need to recognise the fact that it is there and it is part of the environment we live in. We need to be involved in it in terms of understanding where our customers are, what they are saying about us and what they are talking about. Given the speed of response in social media it is important we can respond quickly and help customers out. We just need to tread a little carefully in that space. We are a highly-regulated organisation, and in our interactions with the public we need to be mindful of that.

FST Media: What do you regard as the top IT trends shaping the market?

FST Media: Technology giants such as Google have started making major payments plays. How will these new entrants effect the current electronic payments landscape?

FleTcher: There remains a strong compliance and regulation theme in New Zealand, which will continue to be a big

FleTcher: Industry reforms are underway in New Zealand that are specifically designed to enable new entrants in the payment space.

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Our teams have been closely involved in supporting those initiatives. We feel that banks have a key role to play in this space going forward. Sometimes that role will be on their own account and other times as part of the supply chain.

FST Media: How does Westpac encourage technological innovation from within the organisation? FleTcher: Innovation needs to be a mindset that we need to have at all levels of the organisation. We are not short on ideas, so the challenge for us is how to create enough space where people can take these ideas and become something more connected to work on? The other piece of the equation is how to work with our partners. We have some very big commercial agreements and we have partners who are seeing different things happen in different industries. The question for us is how to get them to bring these ideas to the table and talk them through with people on our side from a banking perspective. Then we need to consider how we take innovations in other industries and apply them to our own industry. FST Media: What challenges would you advise a new CIO to watch out for? FleTcher: I think the challenge for any CIO in an organisation like this is to be able to get your team on the same journey as the business. That is a constant challenge and it is not something you can do once and say you are there. We are on a journey and the business needs to be able to see that we are constantly alongside them, with each of you carrying your own bags. FST Media: Every IT leader, particularly at your level, has a legacy they wish to be remembered for. What is yours? FleTcher: As I head into this role I’d like to think that as people look back on my career I brought the IT team to a place where the passion for the customer is the same as that which we see exhibited by our frontline staff every day.

C o - SponSo r e d a r t i C le

CMY

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ro u n dta b le // pay m e n t s

Driving Enterprise Payments Transformation Top row (left to right): George Pilakis, Head of Payments Transformation, ANZ; Simon Babbage, Head of Product – Global Payments and Cash Management, HSBC; Ralph Dangelmaier, President Global Markets & Services, ACI Worldwide; Marj Demmer, General Manager, Cards & Payments, ANZ; Brett Watson, General Manager Business Banking Technology, NAB; Chris Campbell, Head of Payments Policy and Strategy, Westpac; Mark McCulloch, Head of Business Development – Diversified, Transaction Banking Solutions, CBA; Jeremy Wilmot, President Asia Pacific, ACI Worldwide. Bottom row (left to right): Paul Richards, General Manager Payments Transformation, NAB; Paul Franklin, Head of Payment System Controls, CBA; Cyrus Daruwala, Managing Director, Asia Pacific, IDC Financial Insights; Colin Sultana, Head of Acquiring & Payments & Channel, Credit Union; James Farrell, Managing Director, Pacific, ACI Worldwide; Asha Cugati, Head of Banks & Public Sector AU & NZ, Global Transaction Services, Citi; Mike Baldwin, Head of Innovation and Implementation, Global Transactional Services, Westpac. The executives featured in this roundtable editorial held the above positions at the time of publication.

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Cyrus daruwala, IdC FInanCIal InsIghts: Our discussion today will focus on cards, payments and cash management, with particular reference to people in their 20s to mid-30s. These include a group known as ‘kippers’ − kids in parents’ pockets eroding retirement savings. The 20s is when people really begin spending. They’ve just started getting iPads, tweeting and exchanging photos; they’ve got expensive tastes. These are the customers who are going to bank their next salary, and their next big salary, into your bank. They aren’t the people who you want lining up at a branch, nor are they the people you want filling in papers or very cumbersome forms, albeit online. They are the people who we are trying to assess from a mobile banking point of view. How do you cater to them? I know ANZ has goMoney, and CBA has the recently launched Kaching, both Peer-to-Peer (P2P) payment propositions. Whilst these propositions have won

accolades they still only address one segment of the person-to-person payment. They do not address the entire breadth of the payments infrastructure. For example, nobody has started addressing closedloop debit cards and co-branded cards. Near Field Communication (NFC), a very large and expensive undertaking that you may have toyed with or are about to toy with, didn’t work in the US. For the first three years it was a loss-making proposition because merchants were unwilling to put on the sleeve. What is your take on mobile payments? Are you experimenting with some out of the ordinary mobile payment schemes that you can share with us?

ChrIs Campbell, westpaC: Certainly we are looking at mobile payments and where they fit in. We are seeing more and more NFC terminals roll out across the market and we are in the process of introducing NFC cards. That is going to be important. It is hard to who ’ s w ho o f fs i

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say exactly what is going to be the winner in mobile payments at this stage. But you have to be looking at this space because that is where customers are and it needs to be considered across all segments. NFC becomes more challenging when you are talking about the mobile device. There are different owners involved, and there are different security issues to be considered. It is less mature compared to the NFC card space.

GeorGe pilakis, anZ: Our organisation is aware of these opportunities in the marketplace, and not just from an Australian perspective, but globally. At the moment I am focusing more on the transaction’s performance. That is, rather than concentrating on the enablement of a product through a different mechanism, I am looking at how you can process that particular transaction once you capture it. Another issue is security. While it may be easy to implement in some other form, it is the security that can be very complex and requires relationship management. Cyrus daruwala, idC FinanCial insiGhts: What

“The issue is whether you have multiple transaction engines. Going forward you have to decide whether to continue with the federated model or whether to standardise.”

what do you do in mobile?

Colin sultana, Credit union: We are at the inception stage, considering what we are looking at in the mobile space. That is part of why we’ve embarked on our own switching project, bringing it in-house. Innovation is going to move quickly and on top of compliance and all the other changes, we don’t have the infrastructure in-house to manage that. It makes it very difficult. While we are in the implementation phase of that this year we are starting to look at what we’re going to focus on in the mobile space, and that is looking at both P2P and NFC-style payments for consumers. marj demmer, anZ: All the major players are

GeorGe pilakis, anZ: The issue is whether you have multiple transaction engines. Going forward you have to decide whether to continue with the federated model or whether to standardise. Is there a one-size-fits-all option? Do you need to be more specific or specialised? When you look at your customer demographics they all have different requirements and when you look at different geographies on top of that there are further requirements again. Asian countries are different to Australia and New Zealand.

working on NFC at the moment and looking at wallet. I wouldn’t call it innovation – it is a form of evolution. When you look at contactless cards, terminalisation is very high in Australia. Everyone now issues contactless cards and typically we see that once someone’s done a couple of contactless transactions they really ramp it up and learn what to look for at the point of sale. We are seeing very strong growth, particularly in the under-$100 space. It is difficult to say at the moment how much it’s displacing cash but there’s definitely customer demand there. Everyone’s working on it and it’s a matter of when, not if.

Cyrus daruwala, idC FinanCial insiGhts: Ralph, security will keep coming up. How do you ease the pain?

ralph danGelmaier, aCi worldwide: Where do we start? There are so many angles on security. We are seeing a lot of innovation around ‘consumer rules’: allowing consumers to put their own rules around the card. But especially with this generation, you want to put certain limits around how they use these mobile transactions. For example, ‘no transactions over X amount, no transactions that are international, no transactions via websites’. The new generation of mobile wallets have the ability to apply those kinds of rules. The question is: where are consumers going to go? Are they going to go with the wallet at a Google site or a PayPal site, or are they going to who ’s who o f fs i

Cyrus daruwala, idC FinanCial insiGhts: Colin,

engine do you have for your transaction processing?

GeorGe Pilakis, anz

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go to the bank? Or are they going to go somewhere else altogether? People need to think about that in terms of security because rules are going to be pushed more towards the consumer. I am not sure when, but I think it is an interesting dynamic going on in the marketplace right now.

mike baldwin, westpaC: Whenever there is new technology evolving it is unclear what is going to take hold. Everybody is doing some sort of experimentation or pilot because they don’t want to make a huge investment only to see it fall over. So we are piloting, we have a mobile application for receivables. It doesn’t involve one of the readers, though. There are some readers that aren’t EMV-compliant; how are we going to deal with those kinds of things? We’re testing them, seeing what the merchants want to work with as well.

jeremy wilmot, aCi worldwide: Clearly the dynamics of mobile payments are very different for emerging markets. For mature markets like Singapore, Australia and Japan it is a matter of looking for a greater

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share of an existing wallet and cross-selling existing products to that particular wallet. Emerging markets, on the other hand, are looking at banking the unbanked and how to cope with this huge explosion of electronic payments. Mobile payments are central here because when you are looking at banking the unbanked in India, you don’t want a bank account – you really don’t have an interest in giving 10,000 rupees to someone else for a bank account. What you are looking for are real value-add services. That comes in P2P transactions and through mobile payments. ACI recently conducted a study on mobile payment and banking adoption around the world. This study asked 14 countries, “Have you made a mobile payment in a shop or P2P in the past six months?” We found that mobile payment usage was 66 per cent in China and 64 per cent in India, while Australia was at 21 per cent adoption rate. Smart Communications in the Philippines has been doing P2P for more than 10 years. Does this show that mobile is a mainstream technology? For the banks in India, the answer is 100 per cent yes – it’s not even a question.

simon babbage, HsbC: You have to consider the challenges involved in different markets. We are involved in both emerging and mature markets worldwide. We find that it is easier to do these sorts of things in places like India and China because they are green, as opposed to Australia or the UK where you have got an existing behaviour set and an existing way of doing things. The mistake we always tend to make is we’ve got to retrofit our EFTPOS devices, which is expensive and cumbersome, and you have got to get the merchant to agree to do it. Then you have got the regulatory overlay. So you have Google or Facebook, who are largely unregulated, interacting with a payment system which is largely driven by the banks. We have never been more regulated and it’s only getting worse not better. That is one of the biggest challenges. We are up against Facebook who, for now, can do pretty much whatever they like within the laws of libel. Meanwhile, there are certain things we just cannot do; there are certain people we can’t deal with no matter what. In Australia, we have a population set which is used to doing things a certain way, and has been highly adoptive of technologies. But everything has to be retrofitted and it’s hard to build a payback argument on a retrofit.

simon babbage, HsbC: We have just launched a mobile app for our HSBC Net platform. That enables people to do things that they would do on HSBC Net. They can use their iPad or they can use their smart phone to authorise payments or do those sorts of transactions. There is nothing particularly new or special about it, but it is proving to be popular. We all carry around BlackBerrys now so if I want to authorise the payments that have been put through in Sydney today it’s easier to do it. In terms of the consumer space, there are differing applications in the differing countries we’re in round the world. asHa Cugati, Citi: Citi is in a similar space. We are augmenting CitiDirect, which is our online banking platform for business, by making it accessible on mobile devices. But just to touch on the consumer space in terms of the way we look at mobile payments for consumers, the opportunity we see in the developed markets is more around the ability to capture additional information about the consumer. Where do they shop? How do they shop? When do they shop? Where are they going to be? Let’s predict their behaviour, and then that obviously ties into our relationships with the merchants.

Cyrus daruwala, idC FinanCial insigHts: Has anybody tried to harness pure SMS to link to your customer relationship management to open up workflow?

Jeremy wilmot, aCi worldwide: The only place I have seen it is in Singapore Airlines check-in. Recently I’ve been getting SMSs saying, “If you want to check in, reply YXV4,” and you are checked in on SMS. I have never received anything from a bank as yet that initiated a workflow. asHa Cugati, Citi: I believe that M-Pesa in Kenya is entirely SMS. If you look at emerging versus developed markets, the most successful market in the developing world is Kenya with the P2P payments there.

“The opportunity we see in the developed markets is more around the ability to capture additional information about the consumer... Let’s predict their behaviour and then that obviously ties into our relationships with the merchants.” AshA CugAti, Citi

paul Franklin, Cba: The portability of mobile phone numbers is a particular issue for onetime passwords. Being able to tie the identity back to the device as well as the phone number is an issue for a lot of potential security applications. Cyrus daruwala, idC FinanCial insigHts: We need interoperability between various banks.

Cyrus daruwala, idC FinanCial insigHts: Are you doing anything in the mobile channel, specifically around cash management?

paul riCHards, nab: There has to be an emergence of a common infrastructure. UK FasterPay is a great who ’ s w ho o f fs i

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example of where there is a multilateral switch. We are all speaking the same language so we can level that playing field. Bank Singapore is doing the same with G3. I think Australia will watch very closely how that goes and the Reserve Bank innovation agenda will perhaps leverage the architecture being built around the world, or some variation of it – something that makes it level for all the participants, whether it is the four majors, the balance of the Tier 1 participants, or even the Tier 2 participants. Look at what happened with the credit card industry in the 90s. I don’t remember when MasterCard gave up on its own format and everybody went with ISO 8583, but all of a sudden it became that much easier to manage terminals. It became that much easier to manage your issuing and your scheme compliance every year. If we want to make interbank payments real time and easy the same kind of thing needs to happen to drive the innovation agenda.

“What really needs to happen to achieve change in payment messaging is to have a very clear industry agenda that stretches over a long period of time.” Paul Franklin, CBa

GeorGe pilakis, anZ: If you look at any of the banks globally there is still a lot of complexity. Payments represents a lot of legacy, like it or not, so we have to weave through that to process a payment – not just capture a payment, but to process it. There is a lot of replication, a lot of complexity, a lot of risk. In order to take advantage of these opportunities we need to be efficient to the extent that we can actually process through new types of capturing mechanisms. This is a common theme for banks as a franchise. As banks we can’t cherry-pick the bits we like. We have competitors coming in showing people really interesting payments opportunities, whereas banks need to make everything work end-to-end. To go forward, it’s really hard to change what is already so interconnected and complicated. You make one change, it has a ripple effect. paul Franklin, Cba: A lot of the discussion about payments innovation, particularly associated with the Reserve Bank’s innovation review, is that nothing has changed yet. That view may not reflect many areas of good progress. To innovate in payment formats it is not enough to be able to add a new payment message, you also have to be able to process the new message in the back office and in the product systems. When we introduced real time gross settlement 13 years ago we had a much richer payment message, with so much information that the only way we could tell our customers was to send them a letter or a fax with the payment details. That is not an attractive proposition for many purposes. What really needs to happen to achieve change in payment

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messaging is to have a very clear industry agenda that stretches over a long period of time, so when we’re all renovating or replacing important systems we can have a reasonable expectation about the sort of payment messages we are going to be using, potentially years into the future.

Cyrus daruwala, idC FinanCial insiGhts: Mike, you are about to start looking at your core transformation, the amalgamation of various operating systems. Is payments considered to be one of your strategic initiatives?

mike baldwin, westpaC: We have been on that journey for five years now. Payments is certainly a core part of it and we have been investing quite a bit there. We started with the high value payments. It is really about enabling more flexibility in terms of how we make our payments and the data and information around those – the value that we can provide to different partners, that sort of thing.

Chris Campbell, westpaC: It is common knowledge that we have put our payments production systems on the same platform across the bank now. We haven’t started putting our customer accounts on a common platform. We will get to it, though, but our philosophy has been to focus on what our customer interactions are rather than the back-end piece. We think our core banking systems are actually pretty strong now. There is not a burning need to change them from a customer perspective when we put the customer at the heart of everything we do. ralph danGelmaier, aCi worldwide: A journey could take you three, or five, or seven, or even 10 years, but you have got to embark on that journey somewhere. We go into the biggest banks in the world and they will have anywhere from three to 25 authorisation systems – and they will have anywhere from two to 20 real time – settlement systems. They don’t realise that they can consolidate those into a few systems. There is a lot of cost that could be reinvested in working around exactly what you said: how do you make money and how do you get more from the customer? Cyrus daruwala, idC FinanCial insiGhts: Where do you start, and how do you start?

ralph danGelmaier, aCi worldwide: First of all, you have to figure out where you are. We see a lot of customers who don’t really realise what systems they have. Then it’s a matter of asking, where do I want

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to be? Two weeks ago I was in California and I spent three days between Apple, PayPal, Visa and Google. They are coming at this thing with billions of dollars. They’re going to fight over the consumer. They want the consumer. Wells took a very interesting approach, saying, “I have the customer from that transaction point of view.” Being able to integrate everything in and say, “come to me,” I think is a very innovative approach when you say, “I want that customer.” So some people are saying, “I’m going to fight with Google,” others, “I’m going to partner with Google.” I don’t know what people think about that here.

Facebook rating that everyone knows about. So the peer pressure is incredible. I don’t think any of us at this table are going to load up on Facebook cash or do P2P lending, but I think the next generation is going to start using that. I don’t think they are aware of the risk or aware of the things we are talking about, though.

ralph dangelmaier, aCi WorldWide: Do Apple and Google think they need the banks? My honest opinion is no.

James Farrell, aCi WorldWide: Here in Australia

Cyrus daruWala, idC FinanCial insights: In Japan for instance – when the earthquake struck – a lot of payment, ATM and card data was corrupted and lost. In this instance it wasn’t the payment intermediaries or the telecom companies that were reprimanded – the banks were. So that sends a clear signal, regardless of the partnerships or the alliances you create, that the liability of any payment transaction lies with the acquirer or the issuer.

ralph dangelmaier, aCi WorldWide: You also have companies that have all the games and all the apps you can download. There are a number of really popular games that are played on phones and Android that are only paid with Facebook cash. They won’t accept any other payment. That is an interesting model for the merchant bank area. simon babbage, hsbC: Facebook cash only has a value if I can use it, so when that system builds up so much Facebook cash that I can’t spend on Facebook then the value of that Facebook cash becomes less. So it all sounds wonderful but what they actually are doing is creating their own liquidity crisis because no-one can spend that money. The only way they can spend that money then is to have it somehow move out of the system. If they want to move it out of the system then they have to behave like a bank. That is where the regulatory purse comes in. ralph dangelmaier, aCi WorldWide: That is what is happening, though. It is small, but you are right. Facebook has P2P lending and it is becoming quite popular. I recently read that P2P lending on Facebook with no credit checks has the lowest default rate of any form of lending. Because no one wants to get a bad

Cyrus daruWala, idC FinanCial insights: James, you see a fair bit of innovation in New Zealand, at least from a payments perspective. Debit has been fully adopted, merchants are being savvier, and consumers are spending a lot on cards.

and New Zealand, there is a lot of activity, and there are a lot of people doing things, but there is not a lot that actually makes it to market. I think it probably goes to some of the comments about regulators. In New Zealand over the last 15 years there has been a giant shift to debit, even for the smallest payments. However, they have their own challenges. For instance, the cost of acquiring a debit payment is so low, there is no value in acquiring the payment. As a result there is no money to fund a business case to renovate the NZ payments network. Ironically, the innovative approach taken any years ago, is now working against them. Here at ACI, we sit in a unique position where we have more than 30 customers across Australia and New Zealand and those customers are banks, processors and merchants. We get to see the full payments value chain. The conversations have definitely been changing over the past few years; there’s a big shift towards the merchant and the way the merchants are able to control aspects of payments. As we move forward this will undoubtedly have some bearing. Continuing the conversation on Google, Apple and PayPal, I’d be really interested to find out more about what people expect to do when they arrive here in force, are the banks going to partner with them or be competitive? How is that relationship going to work? How is that going to be manifested in the products that the banks are going to come up with?

“Do Apple and Google think they need the banks? My honest opinion is no.” Ralph DangelmaieR, aCi WoRlDWiDe

brett Watson, nab: It is interesting because they are all in slightly different parts of the value chain; you can’t have a one-answer-fits-all. In some places we will likely cooperate and in other places we’ll compete and compete quite aggressively. For example, do we create our own digital wallet or partner with say Google or VISA? Or both? You can see some opportunities to collaborate here. In terms of social networking, we’re beginning to use these tools more, but would we really want to collaborate fully with a Facebook for example? w ho ’ s w ho o f fs i

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I don’t know. I think that is part of our challenge right now. We are spending a lot of money renovating our core payments infrastructure. The amount of money you have left over for innovation, when you’re doing programs of that size, is small. So you have got to really pick your bets. That is the challenge. There is just so much change going on, which one is best to have a go at? We will collaborate with some of them, I have no doubt about that. At an industry level, we will have to. With others, we will want to compete.

mike baldwin, westpac: The simple answer to that is probably also the answer to your earlier question of how do you start. The answer to both of those questions is another question: what do you want to achieve? In some cases you are trying to achieve flexibility and the ability to respond more nimbly to regulation, to provide more capabilities for your customers. With the new entrants, I look at what we are trying to achieve. Why are we really in the payments business in the first place? We earn revenue from transactions, but not much. It’s about high value deposits that stay around for a long time, right? So we’re partnering with some of the new entrants if, in the end, we can attract more customers for more transactional deposits.

“The business case for innovation hits the banking industry when the nontraditional competitors come in with functionality that banks can’t match… To date we are not seeing a whole lot of that.” chris campbell, westpac

chris campbell, westpac: Banks make most of their money from the balances, assets and liabilities. So the business case for innovation hits the banking industry when the non-traditional competitors come in with functionality that banks can’t match. That’s when the rubber really hits the road. To date we are not seeing a whole lot of that. The banking industry generally has evolved well into the online space, mainly with cards products and functionality. You look at the deposit balances of a major non-traditional online competitor in Australia and I think their last published customer liabilities was about $150 million. You compare that to the amounts in at-call deposits in banks. That’s less than 10 basis points of the total. But it’s growing fast. So the question is what impact will that extra functionality have and does the banking industry need to respond to that? cyrus daruwala, idc Financial insights: When you embark on innovation, should you have a team called ‘payments’ or ‘core transformation’? Inevitably a component of that would be aligning yourself with your telecom provider of choice. They are actually able to cover quite a bit of your communication costs – data costs, storage, network, telecommunication costs. They are quite significant costs. They may have the customer touch point. They may have some ideas on how to

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entice more customers, have more retail outlets. I don’t think we’re at a point – at least having seen what I’ve seen in six or seven months – where telecoms are the competition any more.

ralph dangelmaier, aci worldwide: I was in Brazil at the end of last year and saw that telcos were trying to collect money and disburse it. They are directly competing with the banks, there is no question about it. We are also working on a project with a large telco in Europe which is adopting the model of making payments phone-to-phone within the system and bypassing banks. simon babbage, hsbc: At the risk of sounding arrogant, I’d say you have to factor in the attractiveness of that customer set to big banks. In countries like India and China, these customers are not profitable. They may well be profitable to the telcos because they have already got a phone and it is just another service that flips through that existing extant fixed-cost base. At a point in time, as people become richer, they will come into the cross-hairs of traditional banks. What the traditional banks will be able to offer them in terms of banking will be significantly higher. So the question for us is whether there is value in the payments that they make today? Can we make the right returns from being involved in that, or are we happy to let those customers evolve to a point where they can get a card and then charge them 2.5 per cent? ralph dangelmaier, aci worldwide: What you are really saying is it’s critical to know what customer you want and the services you need. There is a lot more pressure to figure that out because you’re right, you may not want those customers because of X, Y or Z reason. simon babbage, hsbc: Some of these players are actually doing us a favour by nurturing or incubating these people. asha cugati, citi: The piece you still need to remember in the transaction flow is the merchant. If you look at the mobile opportunity in emerging markets, it’s the merchant that’s important. That’s where consumers pull out their money generally. They go to the shop and they pay three or five per cent extra on purchases when paying by mobile, or they maybe just take out the cash for three or five per cent cost, because the merchant has a relationship with the telco they are able to deliver the cash. As a bank you want to continue to maintain that relationship with the merchant to make sure you are capturing the primary revenue in the transaction.

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I think you are right; you don’t necessarily want every single customer. Where you play is as important as where you choose not to play. We all know that. But at the same time there is a number of players in that mix who you need to be able to serve.

marj demmer, anZ: Also at risk in a more developed country like Australia is the customer engagement. At the moment some of these brands are simply interested in engaging with the customer but if those customers love the portal and do all their banking through say, Apple, the value banks are providing in the background get less as well. So my question in terms of competition or cooperation is: once you lose that relationship how do you get it back?

mark mcculloch, cba: Traditionally we capture our bank customers at a young age and the challenge is to retain and upsell them through the journey as they evolve. It is all about forecasting what the value is of those kippers who are adopting the new technology now. Where are they going to be in 10, 15, 20 years time? cyrus daruwala, Idc FInancIal InsIghts: I’ve seen a number of banks moving into the enterprise payments game. Standard Chartered Bank, JP Morgan and Deutsche Bank have been pushing in there and Citi is there too. Why haven’t banks gone to a large retailer and said, “hereinafter all of your payments and receivables and payables are managed for you. You run the store, I’ll run the finance for you.”

asha cugatI, cItI: CitiGroup has three drivers behind what we do in the enterprise payments space: globalisation, standardisation, and digitisation. But if you look at the standardisation, what we do is being driven by our multinational corporates, which is really our sweet spot. They are creating regional shared service centres and when we need to be able to plug into them. What they build in New York they want to be able to build exactly the same solution with us in Singapore, for example. So we have to standardise what we do. We are getting more and more integrated with different products with treasury teams, so I think that this is potentially the future state although nobody has voiced it as yet. But certainly, if you were to look at other industries and the fact that companies do outsource a large number of less valuable processes, then presumably we could be moving in that direction.

cyrus daruwala, Idc FInancIal InsIghts: The only example I’ve seen of a very tightly integrated financial supply chain is Yum! Brands in China: the

company that owns Taco Bell and KFC. When HSBC went to the management, they said, “You’ve got about 100 suppliers. You’ve got about 300 other payees. We will take all of that and give you a dashboard view of your payables, receivables, and your cash balances.” All it amounted to was a very simple integration of realtime views of the group’s treasury. But it’s surprising how incredibly lucrative that market in that population is and how few people do it.

mark mcculloch, cba: What you will find is that the banks in this market have traditionally played at either end, in the receivables and payables piece. But again, a lot of it has been restricted by the legacy systems that all the banks are running. So as the core banking platforms evolve and there is that replacement occurring, there is going to be more agility to be able to offer those types of solutions. cyrus daruwala, Idc FInancIal InsIghts: Of course, if you couldn’t view the risk, you would expose yourself and that would be a regulatory breach and a financial risk. What about you, Simon, are you seeing some of that come your way?

sImon babbage, hsbc: We do it in differing industries; Citi is the same. We run a large security services business around the world. Effectively we are running back offices for fund managers. There have been attempts to do outsourced treasury activities. I know JP Morgan set one up in Dublin, Ireland with mixed success. There are certain activities in my experience that customers have been reluctant to outsource and interaction with suppliers and customers has been pretty sacrosanct. They still see it as core to what they do. Some of them have also made pretty significant investments in their Enterprise Resource Planning (ERP) systems that they are not willing to let go of yet. So it may be a phenomenon in the next decade where these ERP systems need to be refreshed and they’re faced with a large bill so they start coming to us and giving us more to do.

“We capture our bank customers at a young age and the challenge is to retain and upsell them through the journey as they evolve. It is all about forecasting what the value is of those kippers who are adopting the new technology now.” mark mcculloch, cba

mIke baldwIn, westpac: It is just a matter of degree. A lot of banks will effectively outsource or insource a company’s payables or receivables. But you can’t get 100 per cent of it. There are going to be rejects and there are going to be things that you have to manually reconcile. They are not outsourcing the people part of it; they are outsourcing the automated part. I think all the banks do a pretty good job of that today. It enables our customers to focus on their core business and not worry about whether the money is in the bank or not.

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The Who’s Who of Financial Services 2012/2013 directory AustrAliA And new zeAlAnd's top product, service And solution providers Advanced Requirements Management

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Identity and Access Management

133

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109–111

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133

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111–112

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134

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113

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113 –118

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118 –120

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136 137

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123

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123 –125

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137–139 140

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125

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141–143

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143–145

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127

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146

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150

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151

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108

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ADvAnceD requirements mAnAgement

AnAlytics

cDm

cortell Australia Pty ltd

Enhancing your business outcomes and competitive advantage can be achieved through an enterprise-wide adoption of CDM’s tried and proven Advanced Requirements Management solution. This international best practice capability, through the adoption of such practices by a major financial organisation, is changing the competitive landscape of the Australian financial sector. Key outcomes are new industry benchmarks in the time-to-market of business solutions that deliver customer satisfaction through simple, standard and reusable components. Another outcome is clients’ ability to successfully deliver programs of greater complexity.

IBM Business Analytics Partner of the Year – Asia Pacific 2011. Cortell Australia has emerged as a leader in Business Intelligence and Business Performance Management solutions across Australia. Having worked with many of Australia’s leading organisations we have partnered successfully to implement solutions and create roadmaps to drive value and deliver outcomes throughout the analytics journey, encompassing the full IBM business analytics range of products. The core solutions and applications we design, develop and support for our customers include: • Activity-based budgeting • Activity-based costing/management • Rolling forecasting and planning solutions • Demand, capacity and resource planning • Customer, product, branch profitability • Performance management, financial reporting and analytics • What-if scenario planning and modelling • KPI dashboards and scorecards • Statutory and regulatory report production and management • Internal management reporting for monthly, quarterly and annual production • Predictive analytics and statistics for modelling, outcome based planning and next best action • Behavioural and sentiment analysis through real-time text mining and data capture • Integrated organisational wide Business Intelligence platforms Cortell was awarded the title of IBM Business Analytics FPM Partner of the Year 2010 and in 2011 we were awarded IBM’s Business Analytics Partner of the year for all of Asia Pacific.

Business roi achieved through enhanced: • Time-to-delivery of strategic initiatives due to reduced program rework, parallel program releases and re-use of all artefacts • Quality of business deliverables via effective collaboration of business and Information Technology personnel; requirements ownership and program governance • Risk management using up-to-date dashboards; single source of truth; traceability and auditability • Change management with access to a requirements and artefact repository containing current business state, impact analysis and baselining • Performance visibility via reports and metrics in real-time • Management of complexity with finance sector glossary and requirements classification as well as sustainable integration throughout a program CDM’s solution consists of highly experienced practitioners, pre-built processes, templates, guidelines, glossaries and tools. Our FASTRACK Requirements Management solution provides rapid deployment.

cDm 26 college street Darlinghurst nsw 2010 Phone: +61 2 9286 2222 email: maureen.burton@cdm.com.au contact: Maureen Burton, Sales Manager website: www.cdm.com.au

cortell Australia Pty ltd suite 303, level 3, 460 Pacific highway st leonards, nsw, 2065 Phone: +61 2 9438 3940 email: nick.potts@cortell.com.au contact: Nick Potts twitter: twitter.com/CortellAUS website: www.cortell.com.au who ’ s w ho o f fs i

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AnAlytics

Datalicious

iBM Australia Pty ltd

Datalicious is a full service data agency established in Sydney in 2007. At Datalicious we are all about smart data driven marketing and turning data into actionable insights. Founded with the aim of creating a 360 data agency, our vision is to help our clients create smart data driven marketing campaigns. We are a passionate team of specialists who spend every day turning data into actionable insights that deliver measurable Return on Media Investment (ROMI). We offer a wide range of data services from data warehousing, web analytics and media attribution over data mining, modelling and reporting to the planning and development of smart data driven campaigns and entire websites. Datalicious has had proven success driving and executing data projects in large organisations and we take pride in understanding the core values and processes required to drive change and deliver real return on investment. As leaders in the data industry, we actively participate in various industry forums such as the Omniture Customer Advisory Board in the United States and the ADMA Data and Analytics Council in Australia to help shape industry best practice. Should you have any enquiries please feel free to contact us:

Today, money has been reduced to zeros and ones. It’s intangible and invisible. It’s information. Thankfully, intelligence is being infused into the way the world works, including our financial systems. Unprecedented computing power and advanced analytics can turn oceans of ones and zeros into insights, in real-time, which means we can have a safer, more transparent and intelligent financial systems for a smarter planet. IBM is committed to the financial services industry and building a smarter planet. • Over 8,000 practitioners are fully-dedicated to the financial services industry across the globe • IBM client engagements include eight of the top 10 banks in the world, eight of the top 10 insurers in the world, and 13 of the top 15 financial markets firms in the world (as ranked by the Fortune Global 500) • IBM’s Institute for Business Value (IBV) has 10 researchers/analysts to create thought leadership for banking, insurance and financial markets clients • A wide range of services specifically developed for the finance industry from information technology hardware, software and services; business consulting services; business transformation outsourcing; and IT financing

At a glance

Datalicious Pty ltd y&r level 15, 35 clarence street sydney nsw 2000 Phone: 1300 209 601 +61 2 8355 3551 (outside Australia) email: insights@datalicious.com contact: Christian Bartens twitter: @datalicious website: www.datalicious.com 110

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It is the diversity and breadth of our portfolio that uniquely separates IBM from other companies in the IT industry including: • Finance strategy • Performance management and analytics • Finance enterprise applications • Finance operations improvement • Integrated risk management

601 Pacific highway st leonards nsw 2065 Phone: 13 24 26 email: ibmfss@au1.ibm.com twitter: twitter.com/IBMFinanceAU website: http://www.ibm.com/financialservices/au/

w h o’ s w ho Di r ec to ry

analytics

Business intelligence

sas institute australia Pty ltd

technologyone

SAS is the leader in business analytics software and services, and the largest independent vendor in the business intelligence market. SAS assists customers at more than 55,000 sites globally to drive performance and deliver value by making faster business decisions. Industry leading solutions for solving business problems in financial institutions globally are operating in a challenging business environment, with increasing volatility, complexity and uncertainty. These conditions combined with increasing capital and regulatory constraints mean that complex problems need to be addressed faster by evaluating and analysing solutions in real-time. In an era of Big Data, SAS has been able to provide high performance analytics and visualisation solutions to its financial services customers, and deliver greater insight into markets, competitors, customers and relationships. SAS provides clarity around available solutions and actions, and increases confidence in business decisions. With a proud heritage for innovation and development with more than 30 years’ experience working with many of the largest and most respected financial services institutions, SAS has a proud heritage in developing innovative technology solutions to address complex business problems in banking, insurance, investment management and capital markets. With more than 40 per cent of our global revenue annually derived from financial services and a recognised history in advanced research and development, SAS predictive analytics enable our customers to optimise scarce resources to deliver the highest business value. Since 1976, SAS has been giving its customers, The Power to Know®.

The financial services industry is a dynamic and challenging marketplace. Scrutiny from stakeholders including governments, investors, industry groups and consumers demands the industry act with the highest integrity and operate with transparency and accountability. To manage the challenges and needs of this complex sector, a software solution must address the everyday issues of using information from disparate systems for informed decision making, organisation-wide financial management, forecasting, cost transparency and management, project cost tracking, branch operations, real-time reporting and regulatory compliance. TechnologyOne, an Australian owned and operated company, has been working with the financial services sector for more than 20 years and serves a variety of customers across this important industry. Our solutions provide for a range of sectors within the financial services industry including: • Banks, credit unions and building societies • Insurance providers • Superannuation • Wealth management • Investment services TechnologyOne’s fully integrated solutions for the financial services sector provide organisations with the ability to easily report on and manage core financial and operational information, as well as meet the regulatory reporting requirements of the Australian Prudential Regulation Authority (APRA) and the International Financial Reporting Standards (IFRS). The TechnologyOne enterprise suite offers one solution with one interface and one database, designed to drive innovation, improve operational efficiencies and introduce measurable process improvement.

sas institute australia Pty ltd 300 Burns Bay road lane cove nsw 2066

technologyone level 11, technologyone hQ 540 wickham street, Fortitude Valley QlD 4006

Phone: +61 2 9428 0428 email: info@oz.sas.com twitter: twitter.com/sas_anz website: www.sas.com/australia

Phone: +61 7 3167 7300 email: solutions@TechnologyOneCorp.com contact: Jenny Johnson, Financial Services Solutions Manager website: www.TechnologyOneCorp.com w ho ’ s w ho o f fs i

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Business intelligence

iBM Australia Pty ltd

Verint systems

Verint Systems – ranked in the top 20 per cent of the Software 500, and currently used by 46 of the world’s 50 largest financial institutions – is a leader in enterprise and security intelligence solutions, and is recognised around the globe for market leadership and customer value. Verint solutions capture and analyse complex, underused information sources, such as voice, video and unstructured text, to help organisations make informed business decisions to effectively secure people and property, optimise staffing, improve customer service and customer retention, and operate more efficiently. In the enterprise intelligence market, Verint solutions help organisations use the voice of their customers to drive operational excellence, increase customer satisfaction and loyalty, and optimise enterprise performance. Verint Enterprise Workforce Optimisation Solutions, including the 5th generation Impact 360® Workforce Optimisation™ suite, enable organisations to capture, analyse, and act on insights gathered from customer interactions, together with business and market intelligence. Verint Voice of the Customer Solutions unite customer feedback on expectations, preferences, and experiences across communication channels (including speech, text and social media), enabling organisations to drive business strategies and corporate performance. Verint solutions help contact centres, customer sales/service departments, branch and back-office operations, and financial compliance environments address a wide range of goals, including workforce performance, quality management, process adherence, product/service enhancements, business process improvements, revenue generation, cost reduction, liability management, financial/ regulatory compliance, and a world-class customer experience.

At a glance It is the diversity and breadth of our portfolio that uniquely separates IBM from other companies in the IT industry including: • Finance strategy • Performance management and analytics • Finance enterprise applications • Finance operations improvement • Integrated risk management

601 Pacific highway st leonards nsw 2065 Phone: 13 24 26 email: ibmfss@au1.ibm.com twitter: twitter.com/IBMFinanceAU website: http://www.ibm.com/financialservices/au/ 112

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Verint systems level 5, 76 Berry street north sydney nsw 2060 Phone: +61 2 8907 0300 email: marketing.apac@verint.com contact: Zwicka Ben-Zion, Managing Director twitter: twitter.com/Verint website: www.verint.com

w h o’ s w ho Di r ec to ry

Business Process ManageMent

cLouD

software ag

ca technologies

Software AG is the global leader in Business Process Excellence. Our industry-leading brands, ARIS, webMethods, Adabas, Natural, CentraSite and IDS Scheer Consulting, represent a unique portfolio encompassing: process strategy, design, integration and control; SOA-based integration and data management; process-driven SAP implementation; and strategic process consulting and services. Our end-to-end Business Process Management (BPM) solutions deliver low Total-Cost-of-Ownership and high ease of use, enabling our customers to continuously achieve faster business results. Software AG had revenues of €1.1 billion in 2011 and has more than 5,500 employees serving 10,000 customers across 70 countries. Our customers include some of the world’s leading financial services organisations. Process excellence for financial services: Improved operational efficiency, customer service, compliance, cross-selling/up-selling and straight-through processing are common goals for financial services organisations. We can help you achieve these goals, become more competitive, and adapt to changing business requirements through: • Establishing efficient processes that align business and IT around organisational goals • Implementing new processes within your enterprise, or across specific environments such as SAP • Discovering, analysing and improving your processes with process intelligence solutions • Effectively managing master data to support process optimisation • Improving process speed and scalability by enabling fast access to large amounts of enterprise data Software AG – Get There Faster

Business Service Innovation is CA Technologies’ approach to help customers transition from maintaining IT systems to delivering new, innovative business services with speed and agility. CA Technologies helps ACCELERATE IT so you can leverage new technologies and the Cloud to drive innovation. We help TRANSFORM IT to simplify complexity and free up resources to focus on service quality instead of infrastructure. We help SECURE IT to reduce risk of improper access and fraud. Only CA Technologies can deliver these goals across the complete service lifecycle – from portfolio planning and service modelling in pre-production, to service assembly, automation, assurance, management, and security in production. And we’re the only one that can do all of this across your choice of platforms, technologies, and vendors.

software ag australia Pty Ltd Level 4, 182 Blues Point road McMahons Point nsw 2060 Phone: 1800 064 970 email: marketing-au@softwareag.com contact: Cheryl Kirgan, Head of Marketing Asia Pacific twitter: @softwareag website: www.softwareag.com

customer examples: SPRINT’s Business Service Innovation roadmap incorporated the capabilities needed to support the successful launch of their iPhone 4S service. This involved modelling capacity and service requirements needed to support triple the rate of phone activations previously handled, assuring a high quality application and service experience to prevent customer churn, and securing customer identities. Logicalis UK is a Cloud service provider offering public, private and hybrid Cloud services. They leverage our assurance capabilities to provide a holistic view of each customer’s environment as well as a single view across all of the customers they service. They also leverage our automation capabilities to provision and de-provision Cloud services, and they leverage our manage capabilities, specifically ecoSoftware, to become more energy efficient and avoid disruption of service due to power interruptions.

ca technologies 6 eden Park Drive north ryde nsw 2113 Phone: 1800 023 386 (Australia) 0800 652 580 (New Zealand) website: www.ca.com/au w ho ’ s w ho o f fs i

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cloud sherpas

csc Australia Pty ltd

The Leading Global Cloud Service Provider Cloud Sherpas, recently named both the Google Enterprise 2011 Partner of the Year and a Platinum salesforce.com Partner, is a leading enterprise-focused Cloud Service Provider, helping organisations leverage the Cloud to rapidly innovate while also dramatically reducing IT expenses. Through strategic partnership with Google Enterprise and salesforce. com, Cloud Sherpas has migrated more than 1.5 million users across a diverse set of industries from legacy, on-premise systems to more secure, reliable and scalable Cloud-based alternatives. Cloud Sherpas’ comprehensive catalog of solutions and integration services enables midsize to large enterprises to transition seamlessly to a Cloud-based infrastructure via Web-based solutions for social collaboration, sales automation (CRM), secure data management and a host of additional custom solutions for mobile integration. Cloud Sherpas has offices in Atlanta, Brisbane, Chicago, Manila, New York, San Francisco, Sydney and Wellington. Expert guidance with unmatched expertise and experience, Cloud Sherpas can help your organisation leverage Cloud platforms like no other. We have migrated more than a million users to the Cloud from a variety of industries. We provide a range of services to ensure customers maximise the benefits of Cloud computing, including Cloud migration, Cloud management and Cloud development services. And about our name… for centuries, the Sherpa people have guided climbers seeking to scale the Himalayas. Likewise, we aspire to lead your organisation from on-premise infrastructure to the Cloud.

As a service From it As usual to it As a service The Cloud era gives businesses more IT choice and presents opportunities to gain even more value from IT, driving transformation through new business models. Knowing which areas of your IT and operations to consume ‘As a Service’ becomes the challenge and this is where CSC can assist. Roadmap (plan the journey) – beginning with an assessment of your current state, we then recommend an appropriate path to reach your destination and can provide the services to take you there. Enablement (get there faster) – we have quick-start solutions across the IT portfolio that can accelerate your ‘As a service’ transformation. Platform (integrate and orchestrate) – with a solid infrastructure in place, we then bring the applications and end-user services as well as surrounding security to ensure that your new IT environment is optimised to deliver value. Operate (manage the environment) – CSC brings enterprise level services and deep domain experience to the ‘As a Service’ portfolio. Ensuring your business processes are aligned and optimised to deliver is essential for the success of this new way of operating. Partnering with a services firm like CSC, who bring 52 years of experience, ingenuity and passion makes the ‘As a Service’ journey seamless.

cloud sherpas suite 1, level 7, 222 Pitt street sydney Nsw 2000 Phone: +61 2 8014 4250 email: info-aus@cloudsherpas.com website: www.cloudsherpas.com 114

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csc Australia website: www.csc.com/au/financial_services

w h o’ s w ho Di r ec to ry

clouD

efficient Data communications

Fujitsu

EDC consult, design, build and support enterprise data centres environments and unified communication platforms. EDC analyse current business processes to base line ecosystem communication. This is followed by presenting the effects of improving communication methods through a collaborative frameworks to improve business productivity. EDC provide thorough consultations with business key stakeholders to clearly understand your current and future business operation needs. This information provides our consultants with the metrics required to design comprehensive solutions focused on improved revenue and productivity. EDC leverages from our extensive knowledge on business processes and improvements plus our engineering expertise to deliver and support comprehensive improvements. EDC are aligned with best of breed vendors in order to guarantee reliability and high availability of your critical business operations, our core vendors include: • Cisco Unified Computing – server and data centre architecture • Cisco Advanced Unified Communications – IP telephone systems • Cisco Advanced Wireless – mobility • Cisco Security – firewall and content filtering • EMC Data Storage and Management – data centre management • VMware Server and Datacentre Virtualisation – server consolidation • Emerson Power – datacentre environments EDC leverage our ecosystem specialist partners to deliver total end-to-end solutions (for vendors and technologies not listed above) through a single point of contact for consultation, design, delivery, training and support. Please contact EDC to arrange a free no obligation consultation, and let our professional consultants help you to take the first step to identify potential business improvements.

Fujitsu Australia and New Zealand is a leading service provider of business, information technology and communications solutions. As the third largest ICT Company in Australia and New Zealand, we partner with our customers to consult, design, build, operate and support business solutions. Fujitsu’s Cloud Services offer an on-demand and fully flexible model for ICT infrastructure, platforms and applications, allowing organisations to match technology systems and costs directly to their changing business needs. We provide a single point of interaction for the provision and coordination of any Cloud-based model. Our Cloud services operate from Fujitsu designed, installed and managed, environmentally friendly data centres based in Australia. Our Cloud platform is built to meet the stringent requirements of the financial services industry with a particular focus on ensuring privacy, security and data sovereignty. Fujitsu’s Cloud provides a choice of platforms including a local Cloud, a global Cloud, a hybrid Cloud and also a private Cloud platform. Organisations can choose the platform that suits their business needs and can be confident that Fujitsu’s experience gained from a long heritage in the financial services industry, as well as strong skills in systems integration and managed services, will be with them every step of the way.

efficient Data communications Phone: 61 2 8116 2555 email: sales@efficientdata.com.au website: www.efficientdata.com.au

Fujitsu Australia and New Zealand level 16, 15 Blue street North sydney Nsw 2060 Phone: +61 2 9113 9000 email: info@au.fujitsu.com contact: Martin Clarke twitter: @FujitsuAU who ’ s w ho o f fs i

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clouD

iBM Australia Pty ltd

Ncs

Today, money has been reduced to zeros and ones. It’s intangible and invisible. It’s information. Thankfully, intelligence is being infused into the way the world works, including our financial systems. Unprecedented computing power and advanced analytics can turn oceans of ones and zeros into insights, in realtime, which means we can have a safer, more transparent and intelligent financial systems for a smarter planet. IBM is committed to the financial services industry and building a smarter planet. • Over 8,000 practitioners are fully-dedicated to the financial services industry across the globe • IBM client engagements include eight of the top 10 banks in the world, eight of the top 10 insurers in the world, and 13 of the top 15 financial markets firms in the world (as ranked by the Fortune Global 500) • IBM’s Institute for Business Value (IBV) has 10 researchers/analysts to create thought leadership for banking, insurance and financial markets clients • A wide range of services specifically developed for the finance industry from information technology hardware, software and services; business consulting services; business transformation outsourcing; and IT financing

NCS is a specialist IT integrator providing enterprise solutions at the intersection of mobility and applications, enabling business processes at any location. We are here to help you derive the greatest business benefits from your IT investments, with a strong focus on time to value, stakeholder requirements and optimal outcomes. Industry Analyst Gartner ranks NCS, in the top ten IT professional services companies in the Asia Pacific region. NCS is also a member of SingTel’s Group ICT – comprising, in Australia, Optus Business, Alphawest and NCS, which together provide end-to-end ICT solutions to companies in Australia and across the region.Globally, Group ICT has 13,000 employees, presence in 18 countries and revenues in excess of $5 billion.

Finding Better ways • Flexible custom developed solutions to suit the needs of the Financial Services sector • Thousands of business critical applications under management in the Banking sector • Experience and certifications in market leading COTS, with established Microsoft, SAP, Oracle practices and .net and java, iOS, Android etc developer expertise • Proven track record in systems integration, project management, and outsourcing application-centric ICT Services

innovating For your competitive Advantage • World class outsourcing facilities in China, Malaysia, Singapore and the Philippines at your disposal • With Optus Business and Alphawest, bringing to life the new technologies that enable mobilisation of the future workspace

601 Pacific highway st leonards Nsw 2065

Ncs Australia level 4, North tower 1-5 railway street chatswood Nsw 2067

Phone: 13 24 26 email: ibmfss@au1.ibm.com twitter: twitter.com/IBMFinanceAU website: http://www.ibm.com/financialservices/au/

Phone: +61 2 9640 6675 email: enquiries@au.ncs-i.com contact: Vicky Taylor website: www.ncsaustralia.net

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Progress software

silicon Avenue

the Progress responsive cloud

Cloud-based Procision+ is a subscription-based project management solution that boosts efficiency, maximises profitability and gives managers and teams a constant, consistent overview of project performance and progress. Procision+ enables you to manage and monitor projects anytime, anywhere, with just internet access. No more waiting for reports or chasing project teams for information – it’s right at your fingertips. Procision+ is accessed using your browser. There is nothing to download, no new computers, hardware, or technical staff needed to get started. Simply subscribe and use! From any computer, tablet, or smartphone, managers can plan and allocate resources, and teams can log time, expenses and materials with ease – either directly or from within Microsoft Outlook. Graphical BI performance reports show the health of your projects, in real time – actual versus budgeted cost, time spent, capacity utilisation, team and individual performance, and more. Procision+ alerts you the instant a project deviates from optimum performance, with early warning of cost over-runs, delivery delays, risks or other problems. Work priorities can be allocated and displayed to team members. Smart task lists show each team member their responsibilities and priorities. Procision+ seamlessly integrates and syncs with Microsoft Dynamics CRM, Project and Outlook. Discuss with us leveraging your other project-based applications. Procision+ helps you deliver projects on time and on budget. Get a 30-day free trial at www.procisionplus.com. Or see the video demonstrations at https://www.youtube.com/procisionplus.

Moving your applications to the Cloud will not only introduce more agility and responsiveness to your operations, it will also save time so your team can be freed up to focus on its core competencies.

cloud enablement One of the industry’s longest-running SaaS enablement programs OpenEdge® is the complete development platform to build dynamic, business process-enabled applications for secure deployment across any platform, any mobile device, and any Cloud.

solutions for quick and easy cloud deployment Discover Progress® Arcade®, a Cloud application deployment platform. With Arcade, you get access to an online Cloud community dedicated to simplifying the process for partners and customers to test, demo and deploy market-leading Cloud-enabled business applications.

scalable and reliable access to data in the cloud Progress® DataDirect Connect® and OpenAccess® database drivers offer many advanced, enterprise-class features that are 100%- driver implemented, requiring no special database vendor tools or client libraries.

real-time analytics, decisions & data visualisation Provide Big Data analytics and decision management in the Cloud as a powerful aPaaS differentiation to create intelligent, context-aware applications, featuring the following products into a single platform in the Cloud. Complex Event Processing (Apama®) tracks, analyses and responds to patterns in real-time; Business Rules Management (Corticon®); and, Visual Analytics (Progress Control Tower®)

Progress software email: au-marketing@progress.com website: www.progress.com

silicon Avenue (NZ) ltd level 4, Nautilus Building, 58 cross road, sulphur Point tauranga New Zealand 3110 Phone: +64 7 571 0077 email: trial@procisionplus.com contact: Kevin Mann twitter: www.twitter.com/procision_plus website: www.procisionplus.com w ho ’ s w ho o f fs i

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coNsultiNg & systems iNtegrAtioN

thunderhead Pty ltd

capgemini

About thunderhead.com

About capgemini and the collaborative Business experience

Thunderhead.com is a leading provider of enterprise solutions for customer experience management. The Thunderhead.com ONE customer engagement platform provides powerful SaaS solutions that fundamentally change the way businesses engage with each other and their customers. Some of the world’s most demanding companies trust Thunderhead.com to help them build customer engagement and create enduring relationships. With Thunderhead.com, businesses have more power to drive revenue, brand strength, and differentiation through superior customer experience. Thunderhead.com serves its global customer base from offices located in North America, Europe and Asia Pacific. See: www.thunderhead.com.

thunderhead Pty ltd level 8, 99 york street sydney Nsw 2000 Phone: +61 2 9299 4560 email: marketing_apac@thunderhead.com contact: Melina Mathieu website: www.thunderhead.com

Capgemini, one of the world’s foremost providers of consulting, technology and outsourcing services, enables its clients to transform and perform through technologies. Capgemini provides its clients with insights and capabilities that boost their freedom to achieve superior results through a unique way of working, the Collaborative Business Experience™. The Group leverages its global delivery model termed Rightshore®, to get the right balance of best talent from multiple locations, working as one team to create and deliver the optimum solution for clients. Present in 40 countries, Capgemini reported 2011 global revenues of EUR 9.6 billion and employs over 120,000 people worldwide, 1,200 servicing Australia.

unsurpassed Financial services experience Capgemini’s Global Financial Services Business Unit brings deep industry experience, innovative service offerings and next generation global delivery to serve Australia’s financial services industry. With 17,000 professionals serving 900+ clients for nearly 40 years, Capgemini has domain experience that is unsurpassed. Our highly specialised staff bring a singular focus on financial services which includes: • Industry best practices: gain access to a wealth of best practices from hundreds of clients in more than 30 countries • Deep technical knowledge: our global network includes over 15 Centres of Excellence dedicated to providing advisory and integrated solutions across Core Banking, Payments, Retail, Wealth and Insurance. • Industry leading partnerships: we have collaborative alliances with technology companies like EMC, IBM, Microsoft, Oracle and SAP in addition to FS focused partnerships with companies like Calypso, Guidewire, Pegasystems, SAS and Teradata. • Practical thought leadership: Capgemini brings our clients the latest in innovation and insights through annual global reports devoted to retail banking, wealth, payments and insurance.

capgemini twitter: www.twitter.com/capgemini_aust website: www.capgemini.com.au 118

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w h o’ s w ho Di r ec to ry

consulting & systems integration

Frontline systems

csc australia Pty ltd

Frontline Systems Australia is one of Australia’s leading ICT infrastructure providers that bring together the leading technologies from the world’s top vendors to meet customer business imperatives. We view IT as a critical enabler in enterprises achieving innovation and a competitive edge, which is at the heart of making businesses successful.

systems integration

at a glance The breadth of our offerings, combined with the unrivalled expertise of our staff means that we can be trusted to design, build and implement quality IT solutions using the foremost technology from our partners. Frontline is one of the only Australian integrators that has the relationships with the world’s leading IT vendors to offer the widest range of services, including: • Business critical platforms and systems • Networking and security • Consolidated infrastructure • Data storage and protection • Infrastructure software We help our customers envisage what IT can do for their business, helping provide a return on their investment and minimising business risks. Established in 1992, Frontline holds a prominent national presence in Australia with almost 200 staff, servicing over 1000 clients. We have built a strong reputation in the financial services industry and are proud to partner with a significant number of Australia’s largest financial institutions.

Whether you have just acquired another company, own thousands of applications you don’t know how to use, or simply want to enable a new business function, CSC can help. We’re the technology experts who deliver what we promise – every time. CSC offers solutions and services for custom applications, Service-Oriented Architecture (SOA) projects, application development and system testing and validation. Partner with CSC to get stronger business results, respond more rapidly to market changes and transform both business and IT services. • CSC’s Application Development Service (ADS) is a next-generation managed service approach to application development built upon a consolidated global development framework underpinned by a new customer engagement model • CSC’s Custom Application Services utilise a comprehensive framework for delivering software solutions with enduring business value and predictable costs • Service-Oriented Architecture – SOAsure is CSC’s proven endto-end approach to creating a service-oriented architecture that enables your enterprise to shape, transform, and manage your business and IT services; get stronger business results; and respond more rapidly to changes • CSC’s Testing and Validation Services accelerate business assurance by providing software testing and test lifecycle management to enterprise IT and product engineering organisations across industry verticals. CSC has partnerships with all major Automation Software Quality (ASQ) tool vendors to deliver the most strategic value to our customers

Frontline systems australia level 3, 6 Bridge street sydney nsw 2000 Phone: 1300 890 991 email: enquiries@frontline.com.au website: www.frontline.com.au

csc australia Pty ltd website: www.csc.com/au w ho ’ s w ho o f fs i

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consulting & systems integration

ncs

iZaZi solutions

NCS is a specialist IT integrator providing enterprise solutions at the intersection of mobility and applications, enabling business processes at any location. We are here to help you derive the greatest business benefits from your IT investments, with a strong focus on time to value, stakeholder requirements and optimal outcomes. Industry Analyst Gartner ranks NCS, in the top ten IT professional services companies in the Asia Pacific region. NCS is also a member of SingTel’s Group ICT – comprising, in Australia, Optus Business, Alphawest and NCS, which together provide end to end ICT solutions to companies in Australia and across the region.Globally, Group ICT has 13,000 employees, presence in 18 countries and revenues in excess of $5 billion.

• World class outsourcing facilities in China, Malaysia, Singapore and the Philippines at your disposal • With Optus Business and Alphawest, bringing to life the new technologies that enable mobilisation of the future workspace

IZAZI is a leading provider of professional services with a key focus on the banking and financial services industry. Our key strength is our remarkable track record in providing customised, innovative and efficient solutions for clients, enabling them to realise tangible ‘bottom line’ results from their technology investments. IZAZI’s differentiator is the ability to combine deep domain and technical expertise to offer clients effective business solutions. Our approach is based on a working model that is truly client-centric and offers integrated solutions that provide tangible business results. The nature of these solutions implies that all engagements are business driven and underpinned by the appropriate technology enablers. IZAZI also offers transactional banking implementations covering account origination, loan and deposit administration, collateral management, customer centricity and customer experience management. The company serves wholesale, private, retail banking, mortgage and home loan finance, developmental finance, agri-banking and micro finance sectors. Since IZAZI provides a multidisciplinary yet focused delivery structure we are able to identify and manage risks for and on behalf of our clients ultimately reducing costs and correctly aligning business and technology objectives. IZAZI’s primary value propositions are consulting in the areas of Implementation, Integration and Improvement. This in conjunction with an established partner network and best of breed products ensures a reliable and complete ecosystem of value offerings. Within a relatively short period of time we have become partners of choice to a number of prominent institutions and continue to evolve our capabilities so that our clients derive value from our knowledge.

ncs australia level 4, north tower 1-5 railway street, chatswood nsw 2067

iZaZi solutions Pty ltd suite 2 level 6, 122 walker street north sydney 2060

Phone: +61 2 9640 6675 email: enquiries@au.ncs-i.com contact: Vicky Taylor website: www.ncsaustralia.net

Phone: +61 2 9959 2233 email: georgeb@izazi.com contact: George Byrne website: www.izazi.com

innovating For your competitive advantage

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w h o’ s w ho Di r ec to ry

contact centres

Liveops

shoretel

LiveOps is the global leader in Cloud-based applications for customer service and enables the best customer engagement across multiple social, mobile, and traditional voice channels. LiveOps’ integrated customer support platform makes it easy for contact centres, to engage effectively with customers in every channel: • Voice • SMS • Twitter and Facebook • Fax • Email • Web chat More than 200 companies around the world, including AXA, Salesforce.com, Symantec, Royal Mail Group, ADT and Amway New Zealand trust LiveOps’ technology to enable multichannel, social and mobile interactions with their customers. LiveOps has proven experience implementing Cloud solutions for clients in the insurance, banking and investment sectors, and in Australia and New Zealand. LiveOps operates the largest on-demand Cloud-based contact centre platform in the industry with over 10 years and 1.7 billion calls of experience and over 29,000 users worldwide. As recipient of the 2011 Cloud Computing Excellence Award, 2011 Multichannel Products of the Year Award and 2011 American Business Award, LiveOps has led the industry in the innovation of 100 per cent Cloud-based contact centre technology. The secure, flexible, powerful LiveOps platform requires no heavy upfront investments and offers pay-as-you-go pricing with built-in upgrades. LiveOps supports a staged approach to adopting Cloud technology, offers deployment in weeks not months, and makes integration with legacy systems easy. For more information visit www.LiveOps.com email sales@liveops.com or contact us at:

ShoreTel provides brilliantly simple IP-based business communications featuring UC, contact centre and mobile UC solutions. Using ShoreTel, organisations of all sizes gain the freedom to communicate and collaborate anywhere, on any device. ShoreTel Mobility, the newest solution, even extends UC to all leading smartphones on all PBX platforms. ShoreTel’s solution adapts to a company’s culture, processes, applications, and infrastructure, putting people first and giving them the flexibility they need to work and collaborate. Unparalleled deployment and administration ease eliminates the need for expensive provider involvement, and frees up valuable IT resources. The featurerich ShoreTel UC system offers the lowest total cost of ownership (TCO) and the highest customer satisfaction in the industry, in part because it is easy to deploy, manage, scale and use. Increasingly, companies around the world are finding a competitive edge by replacing business-as-usual with new thinking, and choosing ShoreTel to handle their integrated business communication. Founded in 1996, ShoreTel sells through resellers and distributors to over 19,000 customers in 46 countries. ShoreTel’s corporate headquarters are based in Sunnyvale, California, with regional offices in Austin, Texas; United Kingdom; Sydney, Australia; and Singapore.

australia 119 willoughby road, crows nest nsw 2065 australia Phone: +61 2 9956 3877 Fax: +61 2 9439 2157 sMs: 19701999

new Zealand Level 2, 5 nelson street Po Box 911322, Victoria street west auckland 1142 new Zealand Phone: +64 9 358 5878 Fax: +69 9 358 5864 toll Free: 0800 328 277 sMs: 3645

shoretel Level 6 32 walker street north sydney nsw 2060 australia Phone: +61 2 9959 8000 (Australia) or 0800 402 833 (New Zealand) website: www.shoretel.com who ’ s w ho o f fs i

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core systems

oneshield

technologyone

OneShield delivers flexible, enterprise-class and content-rich core systems for billing, policy, product configuration and rating. Based on an open architecture, OneShield Dragon ® provides general insurers with the ability to streamline product creation, management, underwriting and distribution. With Dragon, you gain a competitive advantage that helps you improve operations and profitability while meeting increasing customer and market demands. OneShield Dragon ® is unique among Policy Management solutions in receiving a ‘Positive’ rating (Independent Analyst Firm Gartner, December 2012). Dragon’s flexible, open architecture and rich content, combined with OneShield’s insurance industry expertise, allows you to: • Accelerate business value – discover a remarkably flexible, extensible solution that gives you complete control over your systems. Become more nimble and responsive for growth and innovation. • Drive business transformation – achieve competitive advantage and expand into new markets through rapid ‘code-less’ configuration. • Gain process efficiency – automate and streamline processing to reduce costs. • Provide exceptional customer service – enhance agent and customer self-service through robust, actor-role security. Over the past 12 years, OneShield has established a proven track record of delivering policy management, billing and rating solutions to the general insurance industry. We develop innovative technology to better serve the needs of the industry and more importantly, our customers. Visit us at www.oneshield.com to learn how OneShield can help your enterprise achieve speed to business value with the power of Dragon.

Phone: +1 774 288 0166 or +61 3 9988 4123 email: lsmith@oneshield.com contact: Liza Smith, GM Global Operations twitter: twitter.com/OneShield website: www.oneshield.com 122

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technologyone Level 11, technologyone hQ 540 wickham street, Fortitude Valley QLD 4006 Phone: +61 7 3167 7300 email: solutions@TechnologyOneCorp.com contact: Jenny Johnson, Financial Services Solutions Manager website: www.TechnologyOneCorp.com

w h o’ s w ho Di r ec to ry

customer communications

customer exPerience

hP exstream

Pitney Bowes software

HP Exstream is the market leading Customer Communication Management (CCM) solution. It has been proven by leading Financial Services and Insurance Enterprises to improve the customer experience and make customer interactions more profitable. Designed for enterprises that thrive on strong customer relationships, HP Exstream empowers business users to make the most of every customer touch point by creating insightful, impactful, real-time customer communications proven to fuel profitable business growth. From fully customised high-volume statements and bills, to on-demand marketing and self-service web applications for enrolment and account sign-up, to personalised correspondence and proposals produced interactively by customer-facing employees, HP Exstream allows you to eliminate siloed systems, streamline communication processes, significantly reduce costs, get critical communications to customers faster, and improve the customer experience with relevant, meaningful communications delivered through the customer’s preferred channel.

There was a time, not so long ago, when most people knew their bank manager personally. The fact is, this rarely applies today. With increasing automation and greater product sophistication, the challenge facing financial institutions is how to align their products and services with the individualised needs of their customers, whilst meeting stated financial objectives. Pitney Bowes Software enables financial institutions to engage with each of their customers as individuals. By fully understanding each customer’s needs and preferences, organisations can ensure that every interaction enhances loyalty, whether it be delivering superior customer service or maximising appropriate cross-selling opportunities. This insight is especially critical with respect to contact initiated by the customer, regardless of the touch points, where businesses must capitalise on limited customer contact opportunity. Through a combination of data, business rules and customer analytics, accurate and targeted sales or service offers can be presented at the specific moment of interaction, adapting the message to the context of the contact. The end result? Financial institutions deploying solutions from Pitney Bowes Software have been able to accurately predict future customer needs and expectations in order to influence their buying behaviour. The ability to act on this insight in a timely manner has helped to build loyalty and value, which in turn results in reduced churn and ultimately, increases profits.

• Create and deliver customer communications for customer-preferred channels and mobile devices • Significantly improve the customer experience to increase loyalty and referrals • Ensure brand consistency • Reduce risk and comply with government regulations and standards • Easily market targeted products and services to high-growth, highnet-worth customers • Drive top-line revenue while reducing costs

hP exstream Phone: +61 2 9022 6039 email: hpexstreamanz@hp.com website: www.hpexstream.com

Pitney Bowes software Level 7, 1 elizabeth Plaza north sydney nsw 2060 Phone: +61 2 9437 6255 email: pbsoftware.australia@pb.com contact: Michael de Koning website: www.pb.com/software who ’ s w ho o f fs i

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customer experience

cincom systems of Australia

cx consulting

We are proud to announce our pioneering, Complete Customer Care Solution. Bringing together over 40 years of expertise, Cincom Systems have developed a revolutionary system that will manage all your customer interactions from first enquiry to the archiving of years of customer renewal documents, and everything in between. The key to our success is seamless interaction between three main components:

CXCO works with organisations to help them deliver valuable experiences to their most valuable relationships across channels, products, services and touchpoints.

efficient call centre management:

• Unified agent desktop with a 360 degree customer view • Intelligent guidance in real time, freeing up agents to offer valueadding customer service

Dynamic Document Generation:

• Complex business logic to customise correspondence, instantly • Data from any system • Output in any format • Delivery through any channel; SMS, email, mail and more • High volumes in batch and real time

integrated storage and Archiving:

• Easily retrieve, update and store customer records • Total security with role based user access • Version control and audit trails allowing for risk management and compliance The Cincom CEM suite removes the need for multiple clunky programs and systems integration. Each component shares data easily giving your staff the high level support they need to provide the best customer service possible. Cincom Systems operate in over 17 countries and have enabled thousands of clients worldwide to increase revenue, control cost, minimise risk, and achieve rapid ROI.

cincom systems of Australia Level 4, Avaya Building, 123 epping road north ryde nsw 2113 phone: +61 2 8875 1400 email: info@cincom.com.au contact: Nadine Taffard twitter: twitter.com/CincomAustralia website: www.cincom.com.au 124

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we can help you: Bring consistency and alignment to customer experience initiatives • Deliver a differentiated customer value proposition • Develop decision-making frameworks to increase alignment • Design clear and actionable customer focused business strategies Find valuable opportunities, prioritise actions and define a clear vision and direction for growth • Reduce time and expenditure by leveraging existing IP and data • Accelerate requirements gathering through collaboration • Maximise budget and ROI by identifying high value initiatives Develop new revenue streams and expand your customer base • Understand customers’ needs and expectations to target your offer • Gain stakeholder alignment through collaborative activities Our Clients and experience CXCO consultants have extensive experience working with enterprise organisations. Our client list includes ING DIRECT, CBA, Toyota, Expedia, NSW Government and Vodafone. Our Expertise • Strategy – customer experience strategy • Innovation – product, service, channel and business model • Engagement – organisational programs, capability building We support implementation of CX strategies with our services in UX design, experience management and employee engagement programs. Like to know more? Please contact us at:

cx consulting phone: 1300 881 987 email: aine.omahony@cxconsulting.com.au website: www.cxconsulting.com

w h o’ s w ho Di r ec to ry

customer exPerience

customer interaction management

thunderhead Pty Ltd

Pitney Bowes software

about thunderhead.com

In the age of social networking, the ‘connected consumer’ and highly competitive environments, it is imperative that every customer interaction results in positive customer experience. Poor customer engagement not only erodes satisfaction and loyalty, it leads to negative word-of-mouth which can badly damage future sales opportunity. By fully understanding each customer’s needs and preferences, organisations can ensure that every interaction enhances loyalty, whether it be delivering superior customer service or making the Best-Next-Offer relevant to each customer’s circumstance. This insight is especially critical with respect to contacts initiated by the customer, regardless of the touch points, where businesses must capitalise on limited customer contact opportunity. Through a combination of data, business rules and customer analytics, accurate and targeted sales or service offers can be presented at the specific moment of interaction, adapting the message to the context of the contact. The Portrait suite of solutions from Pitney Bowes Software combines advanced customer analytics with a multi-channel customer communications platform that fuses all inbound and outbound customer contacts under a unified communication paradigm. In addition, proactive prompts can be delivered in real-time and this decisioning capability helps reduce the risk of missed marketing opportunities by helping staff to adapt quickly to changing conversations. By taking this approach, Merrill Lynch has improved customer retention by 26 per cent, resulting in a 35 per cent lift in incremental revenue.

thunderhead Pty Ltd Level 8, 99 york street sydney nsw 2000 Phone: +61 2 9299 4560 email: marketing_apac@thunderhead.com contact: Melina Mathieu website: www.thunderhead.com

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customer relationship management

esavvy

sword ciboodle

eSavvy is an award winning Microsoft CRM Gold Certified Partner focused on helping organisations envision and implement relationship management solutions to meet business and technology needs. We specialise in enterprise-level projects that demand real world industry and business knowledge and back it up with experience and deep technology expertise. We follow a proven methodology and project management principles to guide quality and mitigate risks.

Sword Ciboodle provides an award winning, modular, multi-channel customer engagement platform designed for the 21st century organisation to meet the needs of the 21st century customer. The customer experience fabric for many brands, Standard Bank, Admiral, Australian Unity and Sears all leverage our platform to construct a genuinely social and customer centric business. The ‘Customer Engagement Continuum’ represents how we think about your customers’ engagement and is organised in such a way to accelerate your ability to deliver consistent and differentiated customer service – from telephone to email, community through to self-service. Be Served – Ciboodle One and Ciboodle Flow helps your employees engage with your customers and standardise the service process. Centred around a unified contact centre desktop, real-time enterprise integration, and intelligent case handling it allows you to design world class service experiences now, and adapt quickly to change in the future. Be Solo – Ciboodle Live focuses on the self-service needs of your customers. An intuitive web and mobile solution integrated with your core systems and other communication channels, not only saves money, but simply makes sense, for you and your customers. Be Social – Ciboodle Crowd recognises that customers expect to be able to engage with you, your employees and their peers through community-based interactions. Amplify the success of your social business initiatives by using our community capability to engage employees and improve collaboration on customer issues.

esavvy can design and implement solutions that help you: • Achieve increased customer retention • Increase customer footprint with multi-product purchasing • Provide better customer service • Improve data and information used by management in decision making processes • Manage risk and improve operational efficiencies • Grow sales through increased branch efficiency and sales pipeline tracking • Increase customer wallet share with better cross sell and up sell

esavvy highlights: • Award winning Gold Certified Microsoft Dynamics CRM Partner • Staffed by some of the most experienced and certified Microsoft CRM consultants in the industry • Experience in 100+ business application implementations in large enterprises. • Leaders in the development of the Microsoft Dynamics CRM Implementation Methodology • Experience with Banking sector, Insurance organizations, Wealth Management, Fund Management

esavvy pty ltd phone: +61 2 8999 1960 email: info@esavvy.com.au twitter: twitter.com/esavvyau website: www.esavvy.com.au 126

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sword ciboodle level 28, 1 market street sydney nsw 2000 phone: +61 2 9264 9566 email: australia@sword-ciboodle.com contact: Annette Obermeier, Marketing Australia and New Zealand twitter: Sword_Ciboodle website: www.sword-ciboodle.com

w h o’ s w ho Di r ec to ry

Data integration

Document management systems

informatica

Fuji Xerox

Financial services organisations require trusted, timely, and comprehensive data in the systems and applications for risk management, regulatory compliance, trade execution, client management, accelerate value from ongoing mergers and acquisitions and combat fraud. Informatica (NASDAQ: INFA) is the world’s number one independent leader of data integration and data management software to access, cleanse, govern, and deliver the right data your business depends on for success. Over 4,200 organisations including 600+ financial service companies around the world rely on Informatica for maximising return on data to drive their top business imperatives and fully leverage their information assets residing on-premise, in the Cloud and across social networks Informatica provides solutions in the following areas: • Counterparty and legal entity reference data management for Basel compliance and credit risk management • Data services for a single view of risk across your enterprise • Data quality and metadata management for enterprise data governance • Data masking for data safeguard and privacy compliance • Client/customer reference data management to deliver a 360 degree view of your clients, accounts, households, extended relationships across all lines of business for your business and customer facing systems • Ultra Messaging for Capital Markets • SWIFT certified data transformation solutions for payment and trade integration.

In the modern business environment, finding a business partner that is focused on meeting your unique needs can be challenging. At Fuji Xerox, we are working with more and more New Zealand businesses to provide innovative solutions that maximise efficiency and drive out cost. Today, as part of the Xerox and Fuji Xerox group of companies, we are more relevant to more businesses than ever before. We can help you significantly reduce costs, speed-up and grow your business in a number of lasting ways, we listen and partner with you to make it easier to produce high quality work.

informatica Phone: australia/nZ: +61 2 8907 4400 asean: + 65 6396 6679 india: +91 22 4070 0816 hong Kong: +852 3750 7620 website: www.informatica.com

email: info-au@informatica.com info-asean@informatica.com info-india@informatica.com info-hk@informatica.com

Fuji Xerox Financial services Fuji Xerox Financial Services can help organisations cut costs and increase revenues with services that improve customer value and better manage stringent regulations. Organisations are striving to achieve sustainable success and competitive advantages in an ever challenging marketplace. Using innovation to grow business, develop new products and deliver a superb customer experience is critical. Our focus is to speed up and remove cost from your processes while making them more effective than ever. Talk to our industry experts today to find out how your organisation can achieve measurable results from our document outsourcing and Imaging and Document Management services.

Fuji Xerox new Zealand 17 hargreaves street college hill auckland 1011 Phone: 0800 FUJI XEROX email: solutions@nzl.fujixerox.com contact: Teresa Pollard website: www.fujixerox.co.nz who ’ s w ho o f fs i

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enterprise ApplicAtions

Fujitsu

Micro Focus

enterprise Application Modernisation

Our Business and Application Services portfolio includes: Business Integration Services – We develop bespoke IT solutions, assets and processes and integrate them with established infrastructure and processes. Our services include custom application development, integration, deployment and management as well as legacy modernisation services and mobility. Enterprise Applications – Helping organisations implement and run business transformation solutions across the value chain. We have strategic partnerships with SAP, Oracle, Microsoft and IBM. Consulting – We provide business and IT advisory services to our clients in order to improve the effectiveness of technology strategies. Business Collaboration & Commerce – Encompassing eCommerce customer experience solutions, intra-enterprise collaboration solutions leveraging technologies such as Microsoft Sharepoint and IBM Enterprise Market Management, and mobility solutions through mobile enterprise application platforms.

Micro Focus is a FTSE 250 company that delivers innovative software to maximise the quality, efficiency and value of business critical applications. Micro Focus Enterprise Application Modernisation, Testing and Management software helps businesses to optimise the return on their business software and embrace modern architectures with reduced cost and risk. Micro Focus offers a highly differentiated suite of software quality products to complement Enterprise Modernisation and Migration propositions. These embed quality practices throughout the software development cycle, from defining requirements to ‘go live’. More than 18,000 companies, including 91 of the Fortune Global 100, benefit from our 34 years experience. Borland Solutions from Micro Focus embed quality assurance throughout the development lifecycle and deliver value across: • Requirements: Caliber combines requirements definition, visualisation, and management into a single ‘3-dimensional’ solution to clarify the direction for development and QA teams • Change: StarTeam provides development teams with a single ‘source of truth’ to control change and increase the quality of outputs • Quality: Silk testing solutions automate the quality process, synchronise testing with business goals and even take testing to the Cloud Borland Solutions align business priorities and quality expectations with project requirements, development and testing to deliver better software, faster. For more information, please visit www.microfocus.com

Fujitsu Australia and new Zealand level 16, 15 Blue street north sydney nsw 2060

Micro Focus level 13, 67 Albert Avenue chatswood nsw 2067

phone: +61 2 9113 9000 email: info@au.fujitsu.com contact: Martin Clarke twitter: @FujitsuAU

phone: +61 2 9904 6111 email: supportline.anz contact: Bruce Craig website: www.microfocus.com

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w h o’ s w ho Di r ec to ry

enterprise ApplicAtions

enterprise Architecture

technologyone

Fragile to Agile

The financial services industry is a dynamic and challenging marketplace. Scrutiny from stakeholders including governments, investors, industry groups and consumers demands the industry act with the highest integrity and operate with transparency and accountability. To manage the challenges and needs of this complex sector, a software solution must address the everyday issues of using information from disparate systems for informed decision making, organisation-wide financial management, forecasting, cost transparency and management, project cost tracking, branch operations, real-time reporting and regulatory compliance. TechnologyOne, an Australian owned and operated company, has been working with the financial services sector for more than 20 years and serves a variety of customers across this important industry. Our solutions provide for a range of sectors within the financial services industry including: • Banks, credit unions and building societies • Insurance providers • Superannuation • Wealth management • Investment services TechnologyOne’s fully integrated solutions for the Financial Services sector provide organisations with the ability to easily report on and manage core financial and operational information, as well as meet the regulatory reporting requirements of the Australian Prudential Regulation Authority (APRA) and the International Financial Reporting Standards (IFRS). The TechnologyOne enterprise suite offers one solution with one interface and one database, designed to drive innovation, improve operational efficiencies and introduce measurable process improvement.

We are an Australian owned specialist Enterprise Architecture service provider with a unique approach, specifically designed to resonate with business executives. Our independence from product providers means we are solution independent. Equally our independence from Systems Implementers ensures there is no conflict of interest in delivering the optimal architecture for your organisation. This dual independence enables us to focus entirely on delivering value to clients. All our engagements start with business stakeholder consultation to understand your long-term business strategy and short to medium term desired outcomes. As testimony to our ‘business first’ approach, and its executive accessibility, we are most frequently engaged by senior business executives rather than by IT. At ME Bank we were engaged by CEO Jamie McPhee; at Internode by owner Simon Hackett. Our value proposition to you is encompassed in our name: to materially uplift your agility. We contend a modern technology environment, correctly architected for your organisation, will deliver a step change in efficiency, time-to-market, cost-to-income ratio, customer service/insight and ability to adopt new technologies rapidly. There are no technology blockers to achieving this; it is now a matter of appropriately governed execution. Why Fragile? If you aren’t making this change, one or more of your competitors likely is and that makes you vulnerable. We look forward to having an opportunity to present to you in more detail how we might assist in transforming your organisation to a truly Agile one. “The best way to predict your future is to invent it” Frank Herbert.

technologyone level 11, technologyone hQ 540 wickham street, Fortitude Valley QlD 4006 phone: +61 7 3167 7300 email: solutions@TechnologyOneCorp.com contact: Jenny Johnson, Financial Services Solutions Manager website: www.TechnologyOneCorp.com

Fragile to Agile 283-287 sir Donald Bradman Drive Brooklyn park sA 5032 phone: +61 8 8238 3206 email: contactus@fragiletoagile.com.au website: www.fragiletoagile.com w ho ’ s w ho o f fs i

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enterprise Architecture

enterprise informAtion mAnAgement

intel

pitney Bowes software

Intel (NASDAQ: INTC) is a world leader in computing innovation. The company designs and builds technologies that serve as the foundation for the world’s computing devices. Intel has a proven record in the financial industry over several decades. Intel has recently doubled investment in this space and has local financial services technology expertise stretching from New York to Sydney and from London to Mumbai. The close work between Intel and the industry has enabled new levels of performance and reliability while driving down the cost of computing and IT infrastructure. Intel will lead the industry in critical areas of Capital Markets, Retail Banking, Exchanges and Liquidity Venues. As a proven thought leader and critical technology partner, Intel drives future concepts around Intelligent Data, Intelligent Banking, and Intelligent Money. These capabilities touch the entire financial services value chain from data centers to end-point consumer devices. Intel delivers industry leading platforms for server, storage, networking, and client devices. By delivering highly optimised solutions, Intel enables the financial services industry to deploy innovative technology solutions and enable new products and services. The broad ecosystem of developers, system integrators, and service providers led by Intel allows for continued financial innovation based on open standard, that meet the critical business needs of financial services clients. Additional information about Intel is available at www.intel.com

Accurate customer data is the foundation for engaging with each of your customers as individuals, linking every communication – inbound, outbound, marketing offers, sales or service – into an ongoing dialogue. Customer loyalty is enhanced when customer insight and understanding forms the basis for subsequent interactions. Your customers, no matter how or where the contact was made, always have the feeling that you know them, understand their individual needs and endeavour to fulfill them. Today many organisations are finding it difficult to efficiently and effectively manage their customer data consistently over time. As companies strive to expand their market share as well as retaining and growing their customer bases, sometimes through mergers and acquisitions, these issues can be further exacerbated. Poor data quality and duplicate data issues can spread slowly through data repositories putting important business processes and decisions at risk, rendering even the sharpest business strategies useless. Pitney Bowes Software solutions allow you to cleanse, dedupe, integrate and enrich your customer data (e.g. using location) enabling the consolidation of the correct customer information into the most up-to-date data record. Creating this single customer view allows your company to accurately track customer performance over time and leverage your analytical insights to influence consumer behaviour to deliver optimal value to the organisation. Pitney Bowes Software has assisted many organisations across multiple sectors to create and sustain lifetime relationships with their customers, citizens or investors.

intel Level 17, 111 pacific highway north sydney nsw 2060

pitney Bowes software Level 7, 1 elizabeth plaza north sydney nsw 2060

phone: +61 2 9937 5800 contact: Andrew Ridley twitter: @intelanz website: www.intel.com.au

phone: +61 2 9437 6255 email: pbsoftware.australia@pb.com contact: Michael de Koning website: www.pb.com/software

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w h o’ s w ho Di r ec to ry

enterprise linux Distribution

enterprise release ManageMent

suse

alinement

Established in 1992, SUSE is the original provider of the enterprise Linux distribution and the most interoperable platform for missioncritical computing. With a portfolio centered around SUSE Linux Enterprise, we power thousands of organisations around the world across physical, virtual and Cloud environments. Through our continued commitment to the highest quality Linux support and innovative products, SUSE grew more than threefold after it was acquired by Novell in 2004. Now operating as an independent business unit of The Attachmate Group, SUSE continues its unwavering focus on the benefits of open source and the needs of its commercial partners and customers. More than 13,000 businesses worldwide rely on SUSE Linux Enterprise Sever. Enterprise Linux Servers from SUSE are some of the most versatile, reliable and best supported software infrastructure solutions available to deliver mission-critical IT services efficiently and cost effectively. Designed for mixed IT environments and exclusively recommended by Microsoft, SAP and VMware, Enterprise Linux Servers helps you save time and money, increase resource utilisation, and reduce risk. Optimised for the mainframe like no other Linux OS. In 2000, IBM and SUSE brought Linux to the mainframe. Now SUSE Linux Enterprise Server for System z is the #1 choice for Linux on IBM mainframes and is also the only operating system optimised for all SAP software solutions.

alinement is a specialist consultancy that assists leading organisations to define, deliver and deploy sophisticated technology-based solutions that drive business success. Our goal is to provide executives and senior managers with visibility of their enterprise change portfolio to improve governance and facilitate strategic decision-making. If you face the challenge of executing multiple projects concurrently we can assist by introducing pragmatic Enterprise Release Management processes that coordinate delivery schedules, highlight interdependencies and improve integration and testing effectiveness. alinement’s unique release-centric approach to solution delivery is the result of extensive industry experience and the latest management research that combines to reduce execution risk, accelerate delivery and optimise release capacity. Our portfolio management processes and reporting tools consolidate multiple, previously siloed, views of planned features and changes to establish line-of-sight visibility that helps manage stakeholder, customer or end-user expectations. The result is a coherent, enterprise perspective of all projects, maintenance changes and enhancements that impact the organisation, presented in our release-dashboard – irrespective of the process or tools currently utilised by your team. Our services include: • Enterprise release management • Portfolio governance and programme start-up • Program execution framework • Implementation of project and development tools • Consolidated and coherent status reporting • Program health-checks and reviews To better understand how alinement can provide assist you to improve visibility of your change portfolio and ensure future initiatives get off to the best possible start, please contact us for an obligationfree discussion.

suse level 4, 12-14 claremont street south yarra Vic 3141 phone: 1800 668 355 twitter: twitter.com/SUSE website: www.suse.com

alinement network phone: 1800 ALINEMENT email: louis.taborda@alinement.net contact: Dr. Louis Taborda, Managing Consultant website: www.alinement.net/services w ho ’ s w ho o f fs i

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financiaL aDvice technoLoGy

GeoGraphic information system

Decimal

esri australia

Decimal is an Australian information technology company that has developed the world’s first system for the financial advice industry with a unifying data-core. Every service required for the delivery of Advice and Fulfilment is made easier and enhanced through Decimal’s web-based, real-time system. For the first time ever, consumers, advisers, compliance, marketing, IT, and management can all be on the same page at the same time. For large institutions, Decimal makes scalable-advice highly efficient, whether it’s intra-fund or a full advice model. Institutions can offer a whole new level of service to all clients, not just those with high dollar value accounts. The process ensures advice is compliant before the SOA is issued, and activity trails mean that advice is always audit-ready. Consumers can see their account online – explore different strategies, compare outcomes, then save and share the results with their adviser. Advisers get a much more efficient process; much of the basic factfinding can be completed by the clients. Compliant SOAs can be generated instantly. Data duplication is removed and para-planning and peer reviews are obsolete for scaled advice scenarios. Compliance and configuration can be controlled from the one console in real-time – not checked retrospectively. Marketing can produce highly effective email based campaigns at minimal cost. Management can see their organisation working ‘live’. Powerful reporting provides detailed analysis for improved decision making. Decimal provides the power to accurately manage for growth and profit. It is a ‘white label’ system and easily configured for any range of advice topics and product types.

Esri Australia is the nation’s leading Geographic Information System (GIS) and location intelligence specialist. For more than three decades Esri Australia has partnered with thousands of government and commercial enterprises to deliver quality GIS solutions that have transformed the way organisations address opportunities and challenges. GIS employs the science of geography to map and analyse information. Esri Australia uses the world’s most advanced GIS technology to expose patterns and relationships within client data, providing an analytical vantage point that no other tool can. Worldwide, financial institutions use this technology to map the geography of their business data. Whether evaluating risk, quantifying customer value or effectively managing distribution networks, location is the common paradigm that brings context to information, across an entire business. Esri Australia exists to uncover potential and show our clients the path to a more successful future. We have the drive to make a difference and the technology, intellect and insight to ensure we deliver it. In everything we do, Esri Australia is strategic and considered. Passion for the science that underpins GIS, and an unwavering professional integrity, keeps us at the forefront of our industry. Discover what insight Esri Australia’s location intelligence solutions could deliver to your business. Call 1800 447 111 today to speak to a specialist in GIS.

Decimal phone: 1300 220 799 email: equiries@decimal.com.au website: www.decimal.com.au 132

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esri australia Level 3, 111 elizabeth street Brisbane QLD 4000 phone: 1800 447 111 email: connect@esriaustralia.com.au twitter: twitter.com/esriaustralia website: esriaustralia.com.au

w h o’ s w ho Di r ec to ry

iDentity anD access ManageMent

inforMation ManageMent

netiQ

Kofax

NetIQ is an enterprise software company that enables customers to cost-effectively tackle information protection challenges and manage the complexity of dynamic, highly-distributed business applications. Our portfolio includes industry-acclaimed solutions for Identity, Security, Compliance and Data Centre Management that help organisations securely deliver, measure, and manage physical, virtual and Cloud computing environments. Build a Trusted Environment with NetIQ Identity and Security Solutions: our Identity and Access Management solutions help customers maintain both productivity and network security with confidence. Improve your network security with capabilities like: • Identity lifecycle management • Access management • Enterprise single sign-on • Password management Identity federation NetIQ Security Management solutions uniquely provide real-time monitoring and audit of IT-based changes and user activity, detection of threats and intrusions, security event management and correlation, log management and incident response automation – all with a single, integrated and scalable infrastructure. NetIQ Compliance Management solutions help you achieve, maintain and prove compliance with both internal policies and external regulations. Our unique approach integrates identity, access and security management technologies so you always know who is accessing what, when they’re doing it and if they’re authorised. Our Compliance Management solutions include the following capabilities: • Compliance automation and validation • Access governance • Security and vulnerability management

Kofax solutions power capture driven processes across enterprises, industries and horizontal applications for banking, insurance, government, health care, and more. When information enters an organisation, Kofax’s Capture Enabled BPM platform automatically captures, extracts, validates and classifies it through a touchless process; then makes it available to the right people, processes or devices at the right time, in the right format. As a Microsoft Global ISV Partner and Gold Certified Partner, the Kofax Capture Enabled BPM platform is tightly integrated with SharePoint, Office 365 and Dynamics CRM. It also leverages the Windows Azure platform to provide Cloud-based services.

Kofax Level 7, 6 o’connell street sydney nsw 2000 Phone: 02 8916 0200 email: claire.larsen@kofax.com contact: Claire Larsen twitter: #kofax website: www.kofax.com

netiQ Level 4, 12-14 claremont street south yarra Vic 3141 Phone: 1800 668 355 twitter: twitter.com/netiq website: www.netiq.com who ’ s w ho o f fs i

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insurance software

aXe

target harlosh

AXE provides the Axelerator Insurance Platform, the first Adaptive STP system for automation of New Business, Claims and Lifecycle Services. Axelerator delivers one-touch and personalised process execution, with smart handling of exceptions to enhance an insurer’s competitive advantage. A single platform manages all channels with accessibility via the internet, mobiles, tablets or offline laptops. As a rules-driven platform, changes can be made directly through configuration for product and process innovations allowing the insurer to adapt continuously with the business. Axelerator offers a tailored solution by adding insurer specific content to a working model to allow for configuration of an insurance system that has an exact business fit. Three software modules are provided as working models, as follows: • New Business – Straight-Through Processing (STP) for quote, application, electronic underwriting and fulfilment, including backoffice processing • Claims Processing – automated claims process from lodgement through assessment, payment and resolution • Lifecycle Services – automated client-facing policy management activities including handling mid-term changes, renewals, cancellations, client detail changes and enabling self-service and customer single-view The Axelerator Insurance Platform is highly extensible, enabling new channels, products or customers to be added quickly. In Life Insurance, Axelerator is used for Retail, Group, Direct and Bancassurance lines of business, and for General Insurance in both Personal and Commercial Lines.

Target Harlosh, part of Target Group, provides agile business insurance solutions. Target Group specialises in business process outsourcing and software for banks, insurance companies and finance brokers. With 470 staff globally and over 30 years’ experience in consumer credit and loans processing, investment portfolio, back-office administration, insurance, customer services and arrears management. InsuranceFaces (IF), our family of advanced insurance solutions includes:

aXe Level 15, 60 Margaret street sydney nsw 2000 Phone: 1300 AXE 000 or 1300 293 000 email: fresh-thinking@axegroup.com website: www.axegroup.com 134

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end to end Policy administration with IF fullcycle: A customer centric enterprise policy administration solution designed for insurers requiring fully featured and advanced insurance business processing capability. A managed service version of IF FullCycle is also available, suitable for new entrants, underwriting agencies, and for those clients delivering products where a self-managed solution is not cost effective.

rapid channel enablement with IF channel: Rapidly enable the addition of new channels to your business without the need to replace your existing policy administration system. IF Channel for Insurance – provides underwriting, rating, channel management and white labelling flexibility that you would expect from a next generation solution. IF Channel for Banking – delivers a variety of channels including; insurance, loan processing, mortgage and credit card applications, providing a consistent experience and reducing training with rapid market deployment. IF Channel can be further extended to enable cross-device mobile channels to be rapidly created.

target harlosh Level 27, 101 collins street Melbourne, Vic 3000 Phone: +61 3 9653 7378 email: brett.arthur@targetgroup.com contact: Brett Arthur, Regional Director website: www.harlosh.com.au

w h o’ s w ho Di r ec to ry

it ManageMent consulting

it systeMs ManageMent

uXc consulting

novell

about uXc consulting

Novell, Inc. is a global enterprise software leader, providing solutions that make work environments more productive, secure and manageable. Novell supports thousands of organisations around the world with collaboration, endpoint management, and file and networking technologies, all of which drive end-user productivity directly or on the backend. Collaboration Solutions: enhance productivity by empowering individuals to work efficiently and team to collaborate effectively – in less time and at a lower cost. Our collaboration solutions include Personal and Team Productivity tools and Collaboration Data Management tools. Endpoint Management Solutions: leverage identity-based technology to empower the most important assets in your organisation – your end users. Our endpoint management capabilities include: Endpoint Lifecycle Management, Endpoint Security Management, IT Asset Management and IT Service Management File & Networking Services: Novell provides the core file, print, and networking services that are at the heart of any organisation. We offer the best platform for networking in a mixed Windows/Linux/Mac environment. With solutions like Novell GroupWise®, Novell ZENworks® and Novell Open Enterprise Server, businesses can reach new levels of productivity while minimising cost, complexity and risk. Today’s Novell is more focused than ever on delivering enterprise-class capabilities in a social, mobile and multi-platform world. We are committed to helping our customers get more value from their current investments and developing new solutions to help them stay competitive in a changing world.

UXC Consulting has worked closely with the financial service industry for over fifteen years, providing Australia’s tier-one organisations with the IT intelligence to transform existing ICT service capabilities into a strategic business asset. UXC Consulting provides deep domain expertise across seven practices including: strategy and architecture, information management, business transformation, IT service management, telecommunications business consulting, enterprise communications, and project, portfolio and programme management. UXC Consulting has a commanding presence in the Australian market, with more than 250 employees across the region it delivers: • Best-of-breed ICT advisory services with specialised expertise and thought-leadership • Leading professional education and accreditation in IT Management, Project Management and Change Management • Highly experienced project delivery professionals to help you drive the very real outcomes you need • Knowledge and insight based on authentic research regarding the local ICT industry and reflecting the needs of Australian business Setting the benchmark for industry thought leadership, UXC Consulting provides specialised intelligence regarding IT gamechangers including Cloud computing, BYO Computing and mobility. UXC Consulting is part of UXC Limited, the largest Australian-owned provider of ICT consulting services. Get in touch with the local experts who can respond to your changing needs and uplift your capability to succeed.

uXc consulting level 15, 575 Bourke street Melbourne Vic 3000 Phone: 1300 678 426 email: info@uxcconsulting.com.au twitter: @UXCConsulting website: www.uxcconsulting.com.au

novell level 4, 12-14 claremont street south yarra Vic 3141 Phone: 1800 668 355 twitter: twitter.com/NOVELL website: www.novell.com who ’ s w ho o f fs i

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it systems management

mainframe connectivity solutions

Quest software

attachmate

Established in 1987, Quest Software provides simple and innovative IT management solutions that enable more than 100,000 global customers to save time and money across physical and virtual environments. In fact, 10 out of the top 10 banks, retailers, telecommunication companies, pharmaceutical firms and car manufacturers use Quest products to solve complex IT challenges ranging from database management, data protection, identity and access management, monitoring, user workspace management to Windows management.

Attachmate® delivers advanced software for terminal emulation, legacy modernisation, managed file transfer, and enterprise fraud management. Attachmate® Terminal Emulation Software Reflection® and Extra! ® can access information on any host and deliver it to any desktop, inside or outside the firewall. Built with the security and flexibility you need to meet modern IT demands, our nextgeneration terminal emulation products connect Windows users to applications on IBM, UNIX, OpenVMS, and HP NonStop (Tandem) hosts. Attachmates’® Verastream® suite helps IT organisations respond to dynamic business demands without leaving legacy assets behind. It’s tailored for low-risk, high-speed modernisation, while quickly delivering ROI. Whether your goal is simply to improve the workflow of a core legacy application or to retool it into a set of reusable services, Verastream solutions can help. Attachmate® Luminet® enterprise fraud management software sees, records, and analyses user activity across all applications. It gives you a complete and accurate picture of who did what, and when – providing the intelligence you need to take informed action. With Attachmate FileXpress and Reflection for Secure IT, you can meet your modern file transfer challenges head on. Reflection for Secure IT managed file transfer clients and servers use SSH to secure Internet file transfers, remote system administration, and TCP/IP-based application access. FileXpress managed file transfer solutions can manage and execute the secure delivery of any-size files, across all major platforms, to any location.

Quest software level 2, 146 arthur street north sydney nsw 2060 Phone: +61 2 8905 4444 email: ausinfo@quest.com twitter: @Quest website: www.quest.com

attachmate level 4, 12-14 claremont street south yarra vic 3141 Phone: 1800 668 355 email: aus-info@attachmate.com twitter: twitter.com/attachmate website: www.attachmate.com 136

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ManageD PayMents solutions

ManageD services

transaction network services (tns)

Transaction Network Services (TNS) is a leader in reliable and resilient network and payment solutions. Our global network and innovative value-added services enable transactions and exchange of information between many of the leading retailers, banks, payment processors, financial institutions and telecommunication firms. TNS combines innovation and expertise to offer complete end-to-end solutions. Our managed payment gateway services enable merchants to authorise and settle card transactions securely, reliably, and cost-effectively while ensuring full card data security. • Managed payment gateway services for dial and eCommerce – securely and reliably deliver all types of transactions • One-stop solution for mobile terminals – simplify deployment and management, a single SIM gives access to the TNS Secure Payments Network • End-to-end managed connectivity – a fully managed, resilient connectivity for the transmission of multiple payment types • Real-time visibility of performance – a view of payments traffic and network status with monitoring tools and reports • PCI DSS certified backbone network – securely handles billions of payment transactions each year • Dedicated network operation centres – available 24 hours a day, 7 days a week Contact TNS to learn how our solutions can benefit your payments environment.

BT is one of the world’s leading providers of communications services and solutions, serving customers in more than 170 countries. Its principal activities include the provision of networked IT services globally; local, national and international telecommunications services to our customers for use at home, at work and on the move; broadband and internet products and services and converged fixed/mobile products and services. BT consists principally of four lines of business: BT Global Services, Openreach, BT Retail and BT Wholesale. In the year ended 31 March 2011, BT Group’s revenue was £20,076 million with profit before taxation of £1,717 million. British Telecommunications plc (BT) is a wholly-owned subsidiary of BT Group plc and encompasses virtually all businesses and assets of the BT Group. BT Group plc is listed on stock exchanges in London and New York.

Bt australasia level 11, 1 Market street sydney nsw 2000 Phone: +61 2 9269 1000 twitter: @BTAsiaPac website: www.bt.com/australia

transaction network services (tns) level 21, 6 o’connell street sydney nsw 2000 Phone: +61 2 9959 0800 (choose option 4) or toll free 1800 155 510 email: APenquiries@tnsi.com website: www.tnsi.com/au who ’ s w ho o f fs i

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ManageD services

cDM

Fujitsu

CDM is an Australian-owned company with significant banking sector experience in Managed Services and a proven track record over more than a decade. As the finance sector intensifies its focus on core business priorities, there is a growing need to entrust non-strategic IT functions to trusted partners. CDM has seen its clients reallocate internal resources to perform tasks of most value to their organisation.

Fujitsu Australia and New Zealand is a leading service provider of business, information technology and communications solutions. As the third largest ICT company in Australia and New Zealand, we partner with our customers to consult, design, build, operate and support business solutions. Fujitsu has extensive experience in provision of managed services in the financial services industry and many enterprise and government organisations across Australia and New Zealand rely on Fujitsu’s managed services to ensure the reliability and availability of their ICT systems and networks. Our approach to managed ICT infrastructure services leverages ICT to improve efficiencies, reduce the Total Cost of Ownership (TCO) and minimise risk. We have the proven expertise and world-class product range to consult design, build and manage your IT infrastructure to support your changing business needs. We provide services to a number of major and regional financial services players in the region and exceed the requirements placed on service providers by the regulators. Fujitsu’s range of end-to-end Information and Communications Technology services can manage all or any of your technology assets for multivendor data centre, network and end-user environments. These solutions can be delivered individually as part of a selective outsource or completely, as part of a fully outsourced manage services. Our portfolio of Managed Services includes data centre, managed desktop, digital media, field services, managed print services, managed security, outsourcing, network management, project management, and service management.

infrastructure Managed services offerings • Network Operating Centre: providing network surveillance and fault management 24 X 7 X 365 • Solution Selection and Procurement: CDM’s broad experience across multiple platforms and technologies is utilised to deliver improved network optimisation and security as well as to implement new capabilities that meet customer requirements • Service Desk: supplying single point of contact for all 1st, 2nd and 3rd level issues • Asset Management: CDM’s asset management team currently manages 110,000 voice and data assets in our state-of-the-art Asset Management System. This service helps minimise the total cost of asset ownership, improve asset productivity and incorporate asset information into planning • ICT Managed Services Cabling and Electrical: CDM provides a unique service which is supported by an experienced cabling practice, national service reach and national price book for central and remote sites. This managed service operates well above SLA levels and is supported by 290 quality contractors • Infrastructure Maintenance and Support: CDM uses a partnership model to deliver all infrastructure maintenance and support

cDM 26 college street Darlinghurst nsw 2010

Fujitsu australia and new Zealand Level 16, 15 Blue street north sydney nsw 2060

Phone: +61 2 9286 2222 email: maureen.burton@cdm.com.au contact: Maureen Burton, Sales Manager website: www.cdm.com.au

Phone: +61 2 9113 9000 email: info@au.fujitsu.com contact: Martin Clarke twitter: @FujitsuAU

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manageD services

gen-i

telstra

We want to help your business achieve its strategic goals. We specialise in putting together seamless ICT solutions that help our clients to reduce their costs, while delivering a consistent experience for their customers and employees across locations in Australia and New Zealand. Our expert team has decades of industry experience working on business transformation projects within the banking and finance industry, across both Australia and New Zealand. Gen-i is the multinational ICT business unit of Telecom New Zealand, an organisation with revenues of more than $5 billion and over 7,000 employees. We are a partner you can trust. When you partner with Gen-i, our consultants and technical specialists will work with your team to build an understanding of your challenges, your business processes, and ICT infrastructure. To offer you the most business enhancing solutions to technology challenges, our team of experts specialise in four key technology practices – collaboration, network and security, virtualisation and Cloud and end user computing technologies. This breadth of expertise allows us to ensure our solutions meet your business needs. The result is a worry free and reliable service across your entire business, fully managed by Gen-i. For more information, contact:

Telstra provides network services and solutions to more than 200 of the world’s top 500 companies. They rely on us to do business across 240 countries and territories and to enable greater productivity, efficiency and growth. Telstra Next Generation Services™ give you the best of all worlds – the extensive skills and capabilities of our people and a rich portfolio of services delivered on our world-class Telstra Next IP™ network and Next G™ network – Australia’s largest fully integrated national IP network. To ensure reliable performance, Telstra solutions are monitored and maintained from dedicated centres by experts using advanced systems and processes. Experienced professionals help you deploy, integrate and manage them, ensuring they work seamlessly with our networks and yours to deliver superior return on investment. And we provide a low risk path to new business models with an innovative product roadmap developed in partnership with Cisco Systems and Microsoft. Our capability is your peace of mind, with every solution backed by one of Australia’s largest and most qualified field and technical workforce and Telstra Enterprise-grade Customer Service™. In fact, our service standards are so exacting they’ve earned us full International Customer Service Standard certification and several awards, including the Customer Service Institute of Australia’s prestigious national Best of the Best award in 2009.

gen-i australia Level 23, 680 george street sydney 2000 Phone: 1800 803 755 email: sales@gen-i.com.au website: www.gen-i.com.au

telstra corporation Phone: 1300 TELSTRA (1300 835 787) website: www.telstra.com.au w ho ’ s w ho o f fs i

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mobile bANkiNg

mobility

odecee

Ncs

enterprise Application experts in mobile solutions

NCS is a specialist IT integrator providing enterprise solutions at the intersection of mobility and applications, enabling business processes at any location. We are here to help you derive the greatest business benefits from your IT investments, with a strong focus on time to value, stakeholder requirements and optimal outcomes. Industry Analyst Gartner ranks NCS, in the top ten IT professional services companies in the Asia Pacific region. NCS is also a member of SingTel’s Group ICT – comprising, in Australia, Optus Business, Alphawest and NCS, which together provide end to end ICT solutions to companies in Australia and across the region. Globally, Group ICT has 13,000 employees, presence in 18 countries and revenues in excess of $5 billion.

Odecee is a team of enterprise application experts specialising in ‘mobilising’ financial applications rapidly and securely to enable new channels to market. With new business models evolving, and with powerful smartphones and tablets that are now becoming ubiquitous in the market, mobile strategies are becoming core to the future of banking. Odecee have developed an enterprise mobile architecture, called ‘Velocedee’, which reduces the cost and time of bringing multiple applications to market with prebuilt modules. This ready-to-go mobile banking architecture shortens the development process, time to market and provides the agility and flexibility needed to introduce new products to mobile channels quickly and effectively. Odecee is headquartered in Melbourne (with offices in Sydney and Manila) and in addition, provide five core service lines: 1. Mobile applications – mobile strategy, architecture and enterprise application delivery for Android , iPhone, Windows Phone and BlackBerry 2. Performance management – a range of expert performance engineering and testing services to rectify non-performing applications 3. Environment management – automation services for organisations with software development, test environments and the software development lifecycle 4. Web solutions – new enterprise web-based channels or application refresh of existing business applications 5. Technology consulting – technology and strategy consulting services including innovation workshops Odecee’s client list includes the ANZ, NAB, AMP, Oracle and IBM whom leverage our skills across these disciplines.

Finding better ways • Flexible custom developed solutions to suit the needs of the Financial Services sector • Thousands of business critical applications under management in the Banking sector • Experience and certifications in market leading COTS, with established Microsoft, SAP, Oracle practices and .net and java, iOS, Android etc developer expertise • Proven track record in systems integration, project management, and outsourcing application-centric ICT Services

innovating for your competitive advantage • World class outsourcing facilities in China, Malaysia, Singapore and the Philippines at your disposal • With Optus Business and Alphawest, bringing to life the new technologies that enable mobilisation of the future workspace

odecee Pty ltd level 11, 410 collins street melbourne Vic 3000

Ncs Australia level 4, North tower 1-5 railway street, chatswood Nsw 2067

Phone: 1300 633 233 email: sales@odecee.com.au contact: Craig Stockdale website: www.odecee.com.au

Phone: +61 2 9640 6675 email: enquiries@au.ncs-i.com contact: Vicky Taylor website: www.ncsaustralia.net

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w h o’ s w ho Di r ec to ry

MoBiLity

MuLti-chANNeL coMMuNicAtioNs

shoretel

hP exstream

ShoreTel provides brilliantly simple IP-based business communications featuring UC, Contact Center and Mobile UC solutions. Using ShoreTel, organisations of all sizes gain the freedom to communicate and collaborate anywhere, on any device. ShoreTel Mobility, the newest solution, even extends UC to all leading smartphones on all PBX platforms. ShoreTel’s solution adapts to a company’s culture, processes, applications, and infrastructure, putting people first and giving them the flexibility they need to work and collaborate. Unparalleled deployment and administration ease eliminates the need for expensive provider involvement, and frees up valuable IT resources. The featurerich ShoreTel UC system offers the lowest total cost of ownership (TCO) and the highest customer satisfaction in the industry, in part because it is easy to deploy, manage, scale and use. Increasingly, companies around the world are finding a competitive edge by replacing business-as-usual with new thinking, and choosing ShoreTel to handle their integrated business communication. Founded in 1996, ShoreTel sells through resellers and distributors to over 19,000 customers in 46 countries. ShoreTel’s corporate headquarters are based in Sunnyvale, California, with regional offices in Austin, Texas; United Kingdom; Sydney, Australia; and Singapore.

HP Exstream is the market leading Customer Communication Management (CCM) solution. It has been proven by leading Financial Services and Insurance Enterprises to improve the customer experience and make customer interactions more profitable. Designed for enterprises that thrive on strong customer relationships, HP Exstream empowers business users to make the most of every customer touch point by creating insightful, impactful, real-time customer communications proven to fuel profitable business growth. From fully customised high-volume statements and bills, to on-demand marketing and self-service web applications for enrollment and account sign-up, to personalised correspondence and proposals produced interactively by customer-facing employees, HP Exstream allows you to eliminate siloed systems, streamline communication processes, significantly reduce costs, get critical communications to customers faster, and improve the customer experience with relevant, meaningful communications delivered through the customer’s preferred channel. • Create and deliver customer communications for customer-preferred channels and mobile devices • Significantly improve the customer experience to increase loyalty and referrals • Ensure brand consistency • Reduce risk and comply with government regulations and standards • Easily market targeted products and services to high-growth, highnet-worth customers • Drive top-line revenue while reducing costs

shoretel Level 6 32 walker street North sydney Nsw 2060 Australia Phone: +61 2 9959 8000 (Australia) or 0800 402 833 (New Zealand) website: www.shoretel.com

hP exstream Phone: +61 2 9022 6039 email: hpexstreamanz@hp.com website: www.hpexstream.com who ’ s w ho o f fs i

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Multi-channel coMMunications

lumen Digital

salmat

interactive products and services that drive consumer engagement

Salmat is Australia’s leading marketing and communications company. Salmat helps businesses find, acquire, grow and retain customers by delivering innovative multi-channel communications solutions across an unmatched range of channel options including online, mobile, voice and mail. Salmat has four main area of communications expertise, all of which are market leaders. Salmat engages in millions of conversations each year for its clients through its contact centres. Salmat applies world-class technology and highly trained staff to handle inbound and outbound phone, fax, email and online communication. Sophisticated speech solutions, including voice biometric technology and highly effective field sales teams, also form part of Salmat’s expertise in customer communications. Salmat’s targeted media solutions delivers more than five billion unaddressed items to homes across Australia every year. Salmat utilises up-to-date lifestyle and geo-demographic data to maximise the effectiveness of each campaign. Salmat’s digital centre of excellence brings together all of Salmat’s digital capabilities. Salmat has extensive capability across nearly every aspect of digital marketing communication including, web development, data analytics, e-commerce, social media, email, SMS, search, mobile, e-solutions and Lasoo.com.au. Salmat’s business process outsourcing manages outsourced business services using high end technology to engage consumers through bulk ‘essential’ and direct marketing communication, via mail, email or online. BPO streamlines and improves the delivery of these services and uses its data management capability to record, store and cross reference large amounts of archive information for clients. For more information on Salmat go to www.salmat.com

Lumen Digital’s products and services allow organisations to educate, increase customer retention, cross sell, up sell and lift their brand exposure by connecting with customers in totally immersive ways. Many years of creating interactive devices for public spaces have provided unique insights into audience behaviours, allowing Lumen to deliver rich and engaging retail experiences.

lumen’s technology Lumen’s systems combine gesture recognition, multi-touch and 3D graphics technology to create retail applications with the visual quality and immediacy of modern video games. They do so without sacrificing the robustness or feature sets of true enterprise level solutions. Designed to consistently perform in demanding, high-traffic public spaces, Lumen’s systems feature remote update and monitoring tools that simplify system management and provide detailed ROI analysis. Lumen’s systems can analyse viewers and deliver content based on gender, age, and physical proportions. Selections, scores and even video of participants playing games can be emailed or uploaded to social media platforms either directly from the system or via a participant’s mobile device. Lumen’s systems can be configured to function on a single screen, or interactive surfaces of almost any size and proportion.

lumen Digital limited level 9, 75 Ghuznee street wellington 6011 newZealand Phone: +64 4 801 5834 email:info@lumendigital.co.nz website: www.lumendigital.co.nz 142

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salmat level 17, 100 arthur street north sydney nsw 2060 Phone: 1300 725 628 email: speechsolutions@salmat.com.au contact: Shona Mathieson website: www.salmat.com.au

w h o’ s w ho Di r ec to ry

Multi-channel coMMunications

outsourcing

thunderhead Pty ltd

iBM australia Pty ltd

about thunderhead.com

thunderhead Pty ltd level 8, 99 york street sydney nsw 2000 Phone: +61 2 9299 4560 email: marketing_apac@thunderhead.com contact: Melina Mathieu website: www.thunderhead.com

at a glance It is the diversity and breadth of our portfolio that uniquely separates IBM from other companies in the IT industry including: • Finance strategy • Performance management and analytics • Finance enterprise applications • Finance operations improvement • Integrated risk management

601 Pacific highway st leonards nsw 2065 Phone: 13 24 26 email: ibmfss@au1.ibm.com twitter: twitter.com/IBMFinanceAU website: http://www.ibm.com/financialservices/au/ who ’ s w ho o f fs i

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outsourcing

Mindtree

ncs

MindTree Limited is a listed IT and product engineering services company. We work a veritable list of global banking, insurance and financial services customers including Silicon Valley Bank, CIT Group, AIG, American Express, and The Carlyle Group to name a few. Over the last 13 years we have built significant solution delivery capability within Corporate Banking, Cards and Payments, Wealth Management, Superannuation, and Market Infrastructure segments. We see quality as ‘value as perceived by our customer’. Financial institutions engage with MindTree to conceptualise, design, and deliver business-IT transformation programs. Our ability to blend consulting led solution development with proven service delivery processes helps us meet the needs of both first time outsourcers, and organisations with mature outsourcing practices, to ensure that we get our solutions right the very first time. Our customers in Australia include two of the top four leading banks, leading superannuation administrators, and wealth management companies. MindTree’s service portfolio addresses needs in business intelligence and analytics, mobility, web and customer experience, technology modernisation, independent testing, and infrastructure management. Some practical problems we solve include: • Challenges in delivering consistent messages and experience across multiple channels which reduce business opportunities and dilute brand equity • Despite managing loads of data, lack of customer insights constrains information leading to absence of business empowerment • Lack of Straight Through Processing leading to inefficiencies in the system • Managing non-homogenised infrastructure across multiple physical and Cloud environments

NCS is a specialist IT integrator providing enterprise solutions at the intersection of mobility and applications, enabling business processes at any location. We are here to help you derive the greatest business benefits from your IT investments, with a strong focus on time to value, stakeholder requirements and optimal outcomes. Industry Analyst Gartner ranks NCS, in the top ten IT professional services companies in the Asia Pacific region. NCS is also a member of SingTel’s Group ICT – comprising, in Australia, Optus Business, Alphawest and NCS, which together provide end to end ICT solutions to companies in Australia and across the region.Globally, Group ICT has 13,000 employees, presence in 18 countries and revenues in excess of $5billion.

Finding Better ways • Flexible custom developed solutions to suit the needs of the Financial Services sector • Thousands of business critical applications under management in the Banking sector • Experience and certifications in market leading COTS, with established Microsoft, SAP, Oracle practices and .net & java, iOS, Android etc developer expertise • Proven track record in systems integration, project management, and outsourcing application-centric ICT Services

Mindtree Limited Level 26, 44 Market street sydney nsw 2000

ncs Australia Level 4, north tower 1-5 railway street chatswood nsw 2067

Phone: +61 2 9089 8970/71/72 email: karan_maini@mindtree.com contact: Karan Maini, Banking & Financial Services website: www.mindtree.com

Phone: +61 2 9640 6675 email: enquiries@au.ncs-i.com contact: Vicky Taylor website: www.ncsaustralia.net

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w h o’ s w ho Di r ec to ry

outsourcing

telstra

Xchanging

Xchanging provides business processing, technology and procurement services internationally. With customers in a wide range of industries and across many countries, we are a truly international OUTSOURCING SPECIALIST. We provide solutions through: • Advice We give shape and direction to a customer’s strategy using our professional advisory services • Implementation Our implementation services deliver program and project management experience to help customers with the design, testing and delivery of their solution • Production Our production services are focused on the smooth running of your solution with on-going management and service support • Offshoring We have proven expertise in offshoring a range of processes or back-office services • Outsourcing Using one of our proven and respected existing platforms we provide a complete end-to-end process or service PROCUREMENT We help your organisation deliver superior procurement performance with an end-to-end portfolio of capabilities from sourcing and spend management through to procure-to-pay. We ensure that savings, policy compliance and cost efficiency benefits are embedded in your business. INSURANCE As a specialist provider of workers’ compensation services and claims management we understand your needs and obligations and provide the right services at the right time.

telstra corporation Phone: 1300 TELSTRA (1300 835 787) website: www.telstra.com.au

Victoria Xchanging Level 10, 390 La trobe street Melbourne Vic 3000

Phone: +61 2 8667 9700 Phone: +61 3 9947 3000 toll Free: 1800 803 905 toll Free: 1800 801 070 email: info.nsw@au.xchanging.com email: info.nsw@au.xchanging.com w ho ’ s w ho o f fs i

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Performance monitoring

Program management office

compuware asia-Pacific

cDm

Application Performance Management driven by end-user experience, Compuware APM is the industry’s leading solution for optimising the performance and availability of web, non-web, mobile, streaming and Cloud applications. It focuses on measuring end-user’s experiences to proactively detect performance issues, quantify their business impact, determine their root causes, and accelerate resolution. This new generation of application performance management provides: • The only unified coverage across the entire application delivery chain, from the browser on a user’s computer or mobile device, across the Internet and Cloud providers or a corporate WAN, to the complex application components inside data centers • The deepest 24X7 application visibility by tracing every transaction in production from user-click to code-line, capturing all technical and business details • The most comprehensive Cloud APM solution, spanning public Clouds, private Clouds and internet Cloud services • The only mobile web and native application APM, to ensure mobile apps and sites are performing optimally • The only lifecycle-oriented APM solution, providing a common system for business managers, production personnel, application developers and test engineers to optimise application performance Compuware is recognized by many industry experts as the leader in APM. More than 4,000 customers worldwide, ranging from small companies to large enterprises and managed service providers, use the Compuware APM Platform to increase revenue, build brand loyalty and decrease costs.

As the financial sector transforms and innovates at a growing pace, program delivery excellence and improved organisational change are becoming business critical success factors. CDM can successfully assist in the achievement of greater business ROI across a Banks’ portfolio of business investments through the adoption of its tried and proven PMO and Requirements Management solution. This exciting international best practice has significantly improved a major bank’s delivery capability and as a consequence, its business performance and competitive advantage.

Business roi is achieved through improved: • Time-to-delivery of new banking services and business improvement initiatives through reduced program rework, parallel program releases, real-time visibility and re-use of all artefacts including requirements • Quality of business deliverables via effective collaboration of business and information technology staff and partners; requirements ownership and program governance • Risk management using up-to-date delivery metrics and dashboards; comprehensive requirements change impact analysis; single source of truth, traceability and auditability as well as enhanced business artefact management • Change management with the establishment of and access to a requirements and artefact repository which contains current business state, change impact analysis and base lining CDM’s solution consists of highly experienced practitioners utilising pre-built processes, templates, guidelines, glossaries and tools. We also offer a FASTRACK PMO solution that provides rapid deployment of the above capabilities.

compuware asia-Pacific Pinnacle office Park Level 5, Building B, 4 Drake avenue macquarie Park nsw 2113

cDm 26 college street Darlinghurst nsw 2010

Phone: +61 2 8875 5000 email: Marketing.Ap@compuware.com twitter: twitter.com/#!/compuware website: www.compuware.com.au

Phone: +61 2 9286 2222 email: maureen.burton@cdm.com.au contact: Maureen Burton, Sales Manager website: www.cdm.com.au

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recruitment

risK & PAyments

iKAs international Australia

iBm Australia Pty Ltd

At iKas International – Australia, we pride ourselves on consistently placing market leading technologists solely within the financial services sector. We work from CIO/Head of Technology level roles through the entire IT organisation chart to include Development, Support, PMO Office – Program/Project Managers, Business Analysts, Infrastructure and Testing. Our clients are exclusively financial service organisations comprising of Investment Banks, Investment Management Houses, Propriety Trading companies, Superannuation firms, Insurance companies, Finance System vendors, Hedge Funds and Trading Systems/Broking firms. iKas International boasts a strong global presence with offices in the world’s leading Finance Hubs – LONDON, NEW YORK, HONG KONG, SINGAPORE and AUSTRALIA. Our local delivery model provides vertically aligned specialists that pride themselves on understanding specific nuances of the trade and mapping the entire Australian talent pool to give conclusive local market knowledge. Our centralised global database offers an excellent view of the international finance technology space whilst providing unique talent tracking to highlight migrating professionals around the world. Combining our local and global market knowledge leaves us perfectly positioned to find the best talent for our clients and the greatest opportunities for our candidates available within the international market. For more information on how engaging the international finance technology specialists can benefit you, please do contact us directly.

iKas international Australia Level 10, 275 George street sydney nsw 2000

601 Pacific highway st Leonards nsw 2065

Phone: +61 2 8270 0000 email: Australia@iKasInternational.com twitter: iKasAustralia website: www.iKasInternational.com/au

Phone: 13 24 26 email: ibmfss@au1.ibm.com twitter: twitter.com/IBMFinanceAU website: http://www.ibm.com/financialservices/au/ w ho ’ s w ho o f fs i

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security

Akamai technologies

Aura information security

Akamai is the leading Cloud platform for helping enterprises provide secure, high- performing user experiences on any device, anywhere. At the core of the Company’s solutions is the Akamai intelligent Platform, providing extensive reach, coupled with unmatched reliability, security, visibility and expertise. Akamai removes the complexities of connecting the increasingly mobile world, supporting 24/7 consumer demand, and enabling enterprises to securely leverage the Cloud. Akamai helps businesses connect the hyperconnected, empowering them to transform and reinvent their business online. With Akamai, organisations across the world are able to embrace trends like mobile and Cloud while overcoming the challenges presented by security threats and the need to reach users globally.

Aura is leading IT Security in NZ, with clients across all elements of local and national government as well as private sector and banking. Services include: • Penetration testing/ethical hacking: Web, networks, Wi-Fi, iPhone/ iPad/Android/BlackBerry/Windows Mobile, Cloud solutions, SaaS • Security reviews and audits: PCI DSS, ISO27001, HISO 10029 • World-leading R&D and Security research • IT Security Training: secure web-development – OWASP Top 10, Secure Ops (inc BYOD), IT security awareness • Incident Management: breaches, immediate response and forensics • VSO (Virtual Security Officer): providing ongoing consulting and advise for policy, governance and ongoing security management • CISP (Complete Information Security Programme): encompassing all of Aura’s services in a structured, affordable and managed program. (Awards: Deloitte NZ Fast 50 2011, APAC Fast 500 2011, 2010) Aura RedEye provides ongoing scanning and monitoring of your websites and networks and is NZ’s only PCI ASV. Key points: • RedEye scans you DAILY • Aura’s team of experts manage all scans, analyse all results, filter out false positives and immediately alert clients of threats and provide recommendations for remediation • Aura manage all software and hardware including licensing, you only pay the RedEye scanning fees • Partners with Rapid7 (www.Rapid7.com) including Nexpose and MetaSploit Pro within RedEye’s scanning tools • Integration with F5’s ASM/WAF (www.F5.com) • Integration with Endace (www.Endace.com) providing real-time vulnerability scanning of new network devices.

the Akamai difference for financial services • Helps increase transaction volume and revenue by improving the performance of online banking, insurance and trading applications • Enables lower cost of service by ensuring scalability and reliability of the low-cost online channel while offloading infrastructure costs • Improves access to global customers with a global platform with presence in over 1000 networks and more than 75 countries For more information, visit http://www.akamai.com/financialservices

Akamai technologies sydney: Level 40, 100 Miller Street, North Sydney NSW 2060 Melbourne: 454 Collins Street, Melbourne VIC 3000

Aura information security Level 12, 79 Boulcott street wellington 6011 New Zealand

Phone: +61 2 9008 9600 Fax: +61 2 9475 0343 email: contact-australia@akamai.com website: www.akamai.com

Phone: +64 4 894 3755 email: sales@AuraInfoSec.com contact: Andy Prow website: www.AuraInfoSec.com www.AuraRedEye.com

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security

safeNet

sophos

SafeNet is the market leader in financial data security for the world’s largest financial institutions – including Citigroup, Banamex, Bank of America and NH Bank – providing: • Protection for 80 per cent of global fund transfers • Transaction security for five of the world’s largest central banks • Security for most ATM transactions in Europe, Middle East and Asia

Sophos is focused on delivering the best IT security and data protection for businesses. Today our products protect over 100,000 businesses and 100 million users, in more than 150 countries. We engineer our products to eliminate complexity. The result is you’ll get advanced protection you can actually use – wherever you need it. Choose the level of protection that’s right for your business. Get everything in one license. Or, mix and match, choose a dedicated appliance or an all-in-one UTM that lets you extend protection when you need to. Our complete security solutions include: • Unified Threat Management (UTM): we give you complete security to protect your network, web and email in one integrated appliance • Endpoint: our endpoint protection will keep data in and malware out – all within your antivirus budget • Encryption: we secure your confidential information and help you comply with regulations • Web: we make using the Internet safer and more productive • Email: we encrypt your sensitive email, prevent data loss and block spam • Mobile: we help you easily protect, secure and manage your mobile devices and data • Network: we keep your network infrastructure secure and safe with simple, unified control

trusted and innovative For nearly 30 years, SafeNet has been trusted to protect the world’s most sensitive data, with achievements including: • Positioned as a Leader in the Gartner 2012 Magic Quadrant for User Authentication • Award-winning security solutions for financial services – including the industry’s first secure, web-based PIN issuance solution • Market leader in safeguarding PKI for USB smartcard tokens and award-winning hardware security modules • An optical signing and strong authentication token securing eBanking from Man-in-the-Browser and Man-in-the-Middle attacks • Most crypto experts in the industry – 550 encryption engineers developing cutting-edge technologies and patents complete

complete Protection for Financial services SafeNet provides complete, data-centric protection for the most critical financial services, including: • Secure eBanking services • Secure Paper to Digital Process initiatives • Secure Credit Card/PIN Issuance and Processing • Secure Payments and Mobile Payments • Meeting Regulatory Compliance Demands

safeNet Australia Pty Ltd Level 40, 100 Miller street North sydney Nsw 2060 Phone: +61 2 9906 2988 email: info.au@safenet-inc.com contact: Vince Lee website: www.safenet-inc.com

sophos Pty Ltd Level 11, one elizabeth Plaza North sydney Nsw 2060 Phone: +61 2 9409 9100 email: sales@sophos.com.au contact: Tien Stafidas twitter: @Sophos_News website: www.sophos.com who ’ s w ho o f fs i

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security

software anD services

webroot

Microsoft

Webroot is committed to taking the misery out of Internet security for consumers and businesses. Founded in 1997, the company provides industry-leading Internet security solutions for consumers, enterprises and small and medium businesses worldwide. Webroot products consistently receive top review ratings by respected third parties and have been adopted by millions globally. With a wide range of online security offerings, Webroot delivers best-of breed security solutions that protect personal information and corporate assets from online and internal threats. The company is backed by leading venture capital firms, including Technology Crossover Ventures, Accel Partners and Mayfield.

Founded in 1975, Microsoft is the worldwide leader in software, services and solutions that help people and businesses realise their full potential. The New Zealand subsidiary was created in Auckland in 1991. Microsoft New Zealand includes sales and marketing, services, HR, PR, finance and legal and has approximately 150 full time staff in Auckland, Wellington and Christchurch. Other business divisions with representation in New Zealand include MSN and entertainment (Xbox) and devices like keyboards and mice. In Australia the local operation started in 1983 with only 20 people. Since then, Microsoft Australia has grown to more than 900 people working in capital cities across Australia and at ninemsn (the PBL and Microsoft joint venture). An estimated 17 million Australians have used our software either at work or home – searching the Web with Internet Explorer and Bing, analysing data with Office Excel, sharing through Hotmail, playing on Xbox, communicating with Windows Phone or using one of our many business and server platform products. Today, with the power of Cloud computing, we have a vision to connect people to the things that are most important to them through a seamless experience across the PC, browser and phone.

webroot secureanywhere Business >> endpoint Traditional signature-based anti-virus solutions are totally ineffective against the huge volumes of unique unknown malware targeted at us every day. Webroot SecureAnywhere Business >> Endpoint Protection redefines the accurate identification and effective prevention of malware, while always being up-to-date and giving you full control over all endpoints. It delivers an easy to deploy and remotely manageable solution that scans in seconds, uses minimal endpoint resources and provides complete management over every user application – while never noticeably slowing system or user productivity down. Built-in journaling with rollback remediation avoids costly and time consuming reimaging of endpoints that could temporarily become infected. And, its ‘no conflict’ architecture, allows fast and easy deployment on PCs, laptops, servers and virtual infrastructures from VMware, Citrix and Microsoft Hyper-V. All this from a <700KB agent that takes under one minute to install and perform its first scan and uses under 6MB of disk space.

webroot Pty Ltd Level 14, tower a 821 Pacific highway chatswood nsw 2067

Microsoft

Phone: +61 2 8071 1900 website: www.webroot.com.au

Phone: 0800-800-004 (NZ) and +61 2 9870 2200 (AU) website: www.microsoft.com/nz or www.microsoft.com/australia

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testing services

UnifieD commUnicAtions

capgemini

shoretel

About capgemini and the collaborative Business experience

ShoreTel provides brilliantly simple IP-based business communications featuring UC, Contact Centre and Mobile UC solutions. Using ShoreTel, organisations of all sizes gain the freedom to communicate and collaborate anywhere, on any device. ShoreTel Mobility, the newest solution, even extends UC to all leading smartphones on all PBX platforms. ShoreTel’s solution adapts to a company’s culture, processes, applications, and infrastructure, putting people first and giving them the flexibility they need to work and collaborate. Unparalleled deployment and administration ease eliminates the need for expensive provider involvement, and frees up valuable IT resources. The featurerich ShoreTel UC system offers the lowest total cost of ownership and the highest customer satisfaction in the industry, in part because it is easy to deploy, manage, scale and use. Increasingly, companies around the world are finding a competitive edge by replacing business-as-usual with new thinking, and choosing ShoreTel to handle their integrated business communication. Founded in 1996, ShoreTel sells through resellers and distributors to over 19,000 customers in 46 countries. ShoreTel’s corporate headquarters are based in Sunnyvale, California, with regional offices in Austin, Texas; United Kingdom; Sydney, Australia; and Singapore.

Capgemini, one of the world’s foremost providers of consulting, technology and outsourcing services, enables its clients to transform and perform through technologies. Together with its clients, Capgemini has developed its own way of working, the Collaborative Business Experience™. It draws on its global delivery model called Rightshore®, which aims to get the right balance of the best talent from multiple locations, working as one team to create and deliver the optimum solution for clients. Present in 40 countries, Capgemini reported 2011 global revenues of EUR 9.7 billion and employs over 120,000 people worldwide, 1,200 servicing Australia.

global Leader intesting services Capgemini has developed innovative, business-driven quality assurance (QA) and testing services, combining best-in-breed testing methodologies (TMap® and TPI®) and Rightshore® to help organisations achieve their testing and Quality Assurance goals. During 2011/2012, three analyst firms: Ovum, NelsonHall and IDC conducted extensive reviews of testing services landscape. In each instance, Capgemini Group is ranked as a leader amongst its peers. According to the Ovum analyst Alexander Simkin; “Capgemini Group has a world-class testing service that is growing at 29 per cent per year despite formidable competition. It is not just Capgemini’s capacity that places it among the leaders in testing services, it is also its testing and process expertise, and the levels of client intimacy and responsiveness it is able to maintain”. Capgemini has created one of the largest dedicated testing practices in the world, with over 9,500 test professionals and a further 14,500 application specialists, notably through a common centre of excellence with testing specialists developed in India.

capgemini

shoretel Level 6 32 walker street north sydney nsw 2060

twitter: www.twitter.com/capgemini_aust website: www.capgemini.com.au

Phone: +61 2 9959 8000 (Australia) or 0800 402 833 (New Zealand) website: www.shoretel.com who ’ s w ho o f fs i

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unifieD coMMunications

Virtualisation

telstra

red hat

Red Hat Enterprise Virtualisation – your strategic alternative to proprietary virtualisation. Red Hat® Enterprise Virtualisation 3 is a complete virtualisation management solution for server and desktop virtualisation – the first enterprise-ready, fully open source virtualisation platform representing a true strategic virtualisation alternative for better Total Cost of Ownership (TCO), faster Return on Investment (ROI) and freedom from vendor lock-in. Benefits Red Hat Enterprise Virtualisation is a high-performance, end-to-end solution that’s available for both server and desktop virtualisation. Built into industry-leading Red Hat Enterprise Linux®, all the advantages of that security-hardened platform including: • The widest ecosystem for hardware and enterprise independent software vendors (ISVs) • Record-breaking performance and scalability • Comprehensive security • The lowest total cost of ownership (TCO) in its class You’ll benefit from management features, including live migration, high availability, load balancing and power saving. Whether you’re updating your IT infrastructure or looking for a more capable platform Red Hat® Enterprise Virtualisation is your best solution. About Red Hat: Red Hat is the world’s leading provider of open source solutions is headquartered in Raleigh, USA with more than 70 offices globally. Red Hat provides high-quality, affordable technology with its operating system platform, Red Hat Enterprise Linux, together with Cloud, virtualisation, applications, management and serviceoriented architecture (SOA) solutions, including Red Hat Enterprise virtualisation and JBoss Enterprise Middleware. Red Hat also offers support, training and consulting services to its customers worldwide.

red hat asia Pacific level 35, 100 Miller street north sydney nsw 2060 telstra corporation Phone: 1300 TELSTRA (1300 835 787) website: www.telstra.com.au 152

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Phone: 1800 733 428 email: Sales-anz@redhat.com contact: Sales twitter: www.twitter.com/redhatanz website: www.redhat.com.au