Global Banking & Finance Review Issue 50 - Business & Finance Magazine

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editor FROM THE

Dear Readers’

I am pleased to present Issue 50 of Global Banking & Finance Review. For those of you that are reading us for the first time, welcome.

Responding to growing challenges within financial crime, NICE Actimize and its CEO Craig Costigan launched multiple product innovations this past quarter –ranging from anti-money laundering and enterprise fraud to case management. I caught up with Costigan on the eve of its customer event, ENGAGE, where the financial services industry's top experts in financial crime, risk, and compliance meet to talk about essential breakthroughs impacting their businesses’ bottom lines and customer interactions. (Page 24)

The Crèdit Andorrà Group has completed the unification of the Creand brand in Andorra and internationally, one of the major goals of the 2020-2023 Strategic Plan. The group is entering a new era, projecting its solid track record into the future. Turn to page 36 to read my exclusive interview with Creand Crèdit Andorrà CEO Xavier Cornella to find about more about the rebranding, the bank’s strong performance and plans for the future.

Founded in 1983, Ahli Bank QPSC (Ahlibank) is a Qatari-owned financial institution that serves individual consumers, small businesses and corporate customers. Ahlibank aims to deliver unmatched convenience and personal, simple banking experiences that highlight its tagline “With You.” It has thus seen rapid growth. Derek Kwok, Ahlibank’s Head of Treasury & Investments, spoke with us about the driving force behind the bank’s strong performance, following a year in which the bank outstripped its previous record, achieving a profit of QR 772 million for 2022, and having seen a year-on-year net profit increase of 6.9% in the first three months of 2023. (Page 18)

We strive to capture the breaking news about the world's economy, financial events, and banking game changers from prominent leaders in the industry and public viewpoints with an intention to serve a holistic outlook. We have gone that extra mile to ensure we give you the best from the world of finance.

Enjoy!

Wanda Rich Editor

10

BANKING

Five data trends that will define the future of banking

Andy Haigh, Head of Banking and Capital Markets, DXC Technology

22

What has your bank done for you lately?

Alex Hamilton, Copywriter, Independent creative agency, isobel

20

BUSINESS

Mergers & Acquisitions? More like Migraines & Aggravation

Neil Vernon, CTO Gresham Technologies

30

The Bright Spots of Opportunity

Amid a Seemingly Dead Global M&A Market

Bjorn Reynolds, CEO

Safeguard Global

34

How bosses can future-proof their business and talent through technology

Ruairi Kelleher, General Manager for Europe, Atlas

44

Companies need to take preventative measures in tackling corruption and fraud

Viktor Josefsson, Director, Forensic Risk Alliance

48

What you need to know before hiring C Suite executives as a scale-up

Rafael S. Lajeunesse, Founder and CEO, ReachX

By Elizabeth Tobey, Head of Marketing,

Read it on page 18

Ahlibank: Innovative Banking Solutions in an Ever-Challenging Investment Environment

Derek Kwok, Head of Treasury & Investments, Ahlibank

Read it on page 36

Creand Crèdit Andorrà CEO Xavier Cornella on Consolidating a Bank for the Future

Xavier Cornella, CEO, Creand Crèdit Andorrà

COVER STORY

Taking on Financial Crime: NICE Actimize Drives AI, Cloud, and Data Intelligence to Address FI’s Challenges

By Craig Costigan, CEO, NICE Actimize

Five data trends that will define the future of banking

With so many opportunities within the sector, here are five data-related trends that are shaping the future of banking.

• Banks must create digital operating models fit for the modern customer experience.

For banks to remain relevant to a new generation of tech-savvy consumers they must focus on digital customer journeys and how people are accessing and experiencing their products and services. Banks are moving as quickly as they can to power this customer experience, but as they do so they must continue to adopt technologies with the latest security protocols. The agility that new technology brings also enables banks to quickly launch new products and services, extend customer contact, make business processes more efficient and improve connectivity with ecosystem partners. For example, Open Banking protocols allow data to be exchanged (with the customer’s permission) among ecosystem players to drive greater value, benefits and innovative offerings for the customer.

The recent bank bailouts and buyouts have created an atmosphere of concern and uncertainty in the banking industry. Additionally, traditional banks face significant challenges amid changing consumer behavior, an economic landscape still recovering from the impact of COVID-19 and competition from born-in-the-cloud challenger banks. In this increasingly demanding environment, bankers have the chance to fight back by investing further in their digitalization programs.

AI, data analytics and automation technologies offer an opportunity to transform customer experience and automate repeated processes. With these tools, banks can supercharge their operations by delivering relevant data and insights at the right time and speed to the right people, optimizing and accelerating decision making. At the heart of this transformation is data. Properly sourcing, managing, interpreting and protecting data will be the key ingredient for banks to grow, manage risk and make strategic investments for years to come.

Many traditional banks are making headway, including JP Morgan Chase, which recently announced plans to open a digital bank in Germany by 2025; Lloyds banking group, which outlined a three-year digitization strategy; and Santander, which is utilizing big data to drive customer experience and digital transformation.

Deriving insights about customer experience will continuously enhance what this experience looks and feels like, creating a virtuous circle and, ultimately, increased customer loyalty. To make all this happen, banks must also re-assess their operating models: easier and better data integration, more efficient processes, faster response times and creating “plug & play” platforms make for a more resilient business and enable faster monetization of the available data.

• Protecting data from cyberattacks will continue to be a top priority for corporate banks and their customers.

At the boardroom level, the C-suite will continue to prioritize cybersecurity, knowing that any breach would have a disastrous impact on their reputation and, by extension, their bottom line. The penalties associated with failing to secure the data entrusted to them as they evolve their business models are too great for the banks to take this matter lightly. Therefore, banks will continue to invest heavily to protect against cyberattacks, data breaches and financial crime.

As banks transform their businesses, they are increasingly partnering with financial technology companies to optimize payments, underwriting and app development. Some banks are even offering banking-as-a-service to fintechs, giving them the opportunity to take advantage of the bank’s charters and deposit insurance while providing more nimble services to consumers. However, it is essential that banks have the right cybersecurity controls in place to protect themselves and their customers’ data when partnering with less-regulated companies. Equally, fintechs looking to partner with banks need to prepare for the complex regulatory, cybersecurity and risk management obligations of banks if they are to establish a successful relationship.

• Sophisticated, secure identity management will help banks manage their cost base and personalize consumers’ day-to-day transactions.

Banking communities in Europe, the Americas and Asia are moving quickly to roll out new digital platforms. Digital Identity management is key to making them secure and efficient. Indeed, there is a great deal of interest in the work DXC Technology has done in Norway to implement and run the BankID identity scheme for the country. Relying on trusted and verifiable sources, BankID has dramatically increased the speed and reliability of validating identities and processing transactions across all areas of banking in Norway: from payments to account opening and asset transfers. This work has provided deep, data-driven insights into what is possible in digital banking when infrastructures, ecosystems and business processes align, and is helping lay the groundwork for tomorrow’s model.

Elsewhere in the market, secure identity management is facilitating moves like Western Union’s (WU) integration of Mambu into its new digital bank platform, which gives WU full control to deploy new banking products and services that are easy to configure and integrate with external applications. In a single native mobile app, customers can now open an account in minutes in what is being seen as a move to transform the transactional relationships WU has with its customers into closer customer-centric connections.

• Data will be at the heart of proving the effectiveness of sustainability investments.

All businesses, small- and medium-sized enterprises (SMEs) in particular – are transforming to ensure their operations are sustainable. The scale of the task can seem overwhelming. Banks help remove some of the angst by providing the critical financial vehicles to help SMEs on their sustainability journeys, as well as fund public-private partnerships that further the sustainability agenda.

As well as being the right thing to do and a key part of the corporate social responsibility banks hold, such investment will be increasingly welcomed by customers who are more discerning of sustainable business practices. Many banks are creating ecosystems that bring together a range of relevant organizations, including specialist ESG-related public and private finance suppliers. These platforms can provide and exchange the data required to monitor progress and create innovation.

Andy Haigh Head of Banking and Capital Markets DXC Technology

Demonstrating the impact of the banks’ contribution to such causes will depend on the ability to monitor, track, report and (therefore) adjust their initiatives for maximum effect. This can only be achieved with data: banks will invest in the proper tools, processes and reporting environments to manage the impact of their ESG-related investments effectively.

Banks need to reinvigorate their hiring practices to ensure they are reaching the talent that can take them into the future.

There are multiple scenarios that impact staffing needs. These include:

• Increasing reliance on digital technologies

• Transitioning to platform-driven businesses powered by data

• Shifting focus from shareholder relations to stakeholder relations

• Renewing emphasis on purpose-led strategies

With such a wide range of issues impacting a bank’s day-to-day operations, proper staffing is as vital as it is nuanced, and requires upskilling existing staff and hiring to plug skills gaps and service growth areas.

Of equal importance are the expectations of the people being recruited. Younger employees work and communicate very differently to those who are used to historic “analog” banking operations. To attract and retain the best talent, banks need to invest in practices and technologies that speak to this audience, and mirror the digital offerings being put to customers. Data gleaned through the recruitment process and employee staff surveys will ensure banks stay on track.

Conclusion

The banking industry is under renewed scrutiny. Not only are banks’ investment choices and business dealings under heightened oversight by regulatory agencies, but customers are being more selective about where they want to secure their personal finances. Banks need to seize the opportunity to securely digitize their operations, thereby improving offerings and enticing the next generation of bank depositors.

From creating seamless digital experiences for customers, to securing their identities, investing effectively in ESG initiatives, and ensuring staffing needs are met, the success or failure of banks in the coming years rests on their use of data.

Talk of Britcoin – a UK-based central bank digital currency (CBDC) –presenting lucrative opportunities for business has been fuelled this month by Ben Broadbent, deputy governor for monetary policy.

As we continue to digitise, physical cash and the legacy system we are accustomed to is becoming increasingly obsolete, and new products and services are rapidly being adopted by businesses seeking to stay ahead of the curve.

Estimations suggest that cash payments could fall to as little as 10 percent of all UK transactions within the next 15 years. There are even suggestions that a long-awaited digital pound is likely to materialise this decade, highlighting a growing trend towards such alternative payment options.

It now seems inevitable that a continuation of recent trends will naturally lead to the acceleration of digital payment options and currencies.

Cash is being dethroned

We can all see the inherent benefits of cash – you can hold it and spend it without record and without seeking permission. But aside from the right to privacy and the anonymity afforded by using physical cash as a means of payment, it plays a central role in illegal activity, from purchasing drugs, paying bribes, to funding terrorism.

The world of digital currencies is complex and rapidly evolving. Recent events have highlighted the palpable risks of privately issued

digital currencies dominating the digital payments sphere and there are strong arguments that central bank regulation would provide greater stability, transparency, and protection for consumers, not to mention an inevitable reduction in illegal activity such as money laundering and terrorist financing. Without a robust and effective regulatory framework in place, financial crime will flourish in this space, a point highlighted by the Financial Action Task Force (FATF). FATF’s recommendations aim to strike a balance between promoting innovation and financial inclusion, while also safeguarding against the risks of financial crime.

The Alternative

A Central Bank backed digital currency would create and maintain records of all transactions, through the use of blockchain technology, which allows for secure and transparent record-keeping. This will ultimately facilitate greater regulation in the industry, something which neither cash or privately issued digital currencies currently provide.

A CBDC would also allow a more efficient and reliable payments landscape. In the Bank of England’s own discussion paper they describe this as “the potential to allow households and businesses to make fast, efficient and reliable payments, and to benefit from an innovative, competitive and inclusive payment system”. Yet at present, there is limited availability of digital payments and weak payment interoperability, particularly when it comes to global payments.

As long as the Central Bank remains stable, the funds within a CBDC will do so too. This could potentially aid to avoid financial crises such as in 2008, which was the worst economic disaster that most of us have experienced. We’re still asking whether it was right for us, the taxpayer, to bail out the banks. Before 2008, most of us viewed banks as imperishable and enduring. Nowadays, consumers have never been more aware that this isn’t the reality and are asking how they will be protected in times of financial instability. A CBDC can help to stabilise the financial system by providing a safe and secure form of currency that is backed by the central bank and by improving the efficiency and reliability of payment systems.

The Opportunity for Fintech

A CBDC presents a number of opportunities for fintechs to grasp a hold of. For starters, a Central Bank will likely be largely reliant on EMIs and PSPs, such as IFX Payments, to deliver a CBDC operationally. Tech-savvy fintechs such as IFX have a wealth of expertise and know-how; facilitating payments through technology is our niche. We are also nimble, agile and very used to implementing change quickly (compared to the industry’s large incumbents) meaning that we can adapt and adjust to the new ecosystem and deliver to end users as a third party service provider.

As long as EMIs and PSPs can fulfil certain prerequisites of participating in the CBDC ecosystem, who better to ‘add value’ and deliver to the end user? I’m confident that an organisation like IFX, with its robust compliance procedures and processes will be well-placed to participate.

Why Britcoin needs to harness the power of existing fintechs

Anastasia Evans General Counsel and Company Secretary IFX Payments

With the support of fintechs on its side, the Bank of England would become a force to be reckoned with within the digital payments sphere and straighten out a lot of the issues presiding at the current time. But if it fails to react, it will ultimately lose the race to privately issuing contenders, a proposition that will present further complications to an already rocky industry. So to The Bank of England, I say – time is of the essence!

Haunted by a ghost broker:

Why the insurance industry needs to redouble its efforts to protect consumers

Fraud is an ever-changing but everpresent threat to the insurance industry. Scammers are constantly developing new and more sophisticated methods to target consumers and sadly insurance scammers thrive amid a crisis. With the rising cost-of-living taking its toll in the UK, insurers and consumers need to be on high alert for fraudulent activity –including ghost broking.

Defined by the Insurance Fraud Bureau (IFB), a ghost broker “pretends to be a genuine insurance broker in order to sell fraudulent car insurance, generally on social media.” A ghost broker will sell you an insurance policy that doesn’t exist, leaving the “policyholder” without cover and not liable to claim. It could come down to something as simple as a car insurance deal that looks too good to be true – the chances are, it probably is.

Clare Lunn, Head of Fraud at Markerstudy, discusses the warning signs of a ghost broker, and the two-fold approach to combatting fraud: education and detection.

Ghost broking has become one of the highest risks for insurers, from both a financial and reputational perspective. Today, the average cost of a ghost broking case can tally up to £2,000 per customer – and occurrences are on the rise. The IFB discovered over 55,000 fraudulent motor applications were made between October 2021 – October 2022 in the UK. With thousands of these linked to ghost broking, the figure is more than double that of the previous year.

A crime set to increase: Prevention against ghost broking needs immediate action

It’s time to redouble the focus on ghost broking, and that means improving detection methods, increasing consumer education and taking a more proactive and innovative approach. Today, there are three factors driving the growth of ghost broking as a crime:

• Opportunity: social media has made it easier for criminals to advertise en masse while hiding their identity.

• Need: motor insurance is compulsory, so ghost brokers target young people, or people where English is their second language, and people from overseas who are working in the UK.

• Risk: this is a low-risk crime to the criminal. It’s hard to pinpoint who ghost brokers are, and when we do catch them, the sentences are too light to act as a deterrent.

Financial hardship represents the biggest threat

Current economic uncertainty puts consumers and insurers in an extremely vulnerable position. Scammers will look to take advantage of those most vulnerable, those in financial hardship, or families looking for ways to reduce costs on household bills. Ghost brokers often target younger road users whose knowledge of purchasing motor insurance is often limited and so can naively fall victim to this scam.

Make the general public aware to avoid ghost broking scams

The industry needs to adopt a more preventative and innovative approach to ghost broking.

First step on the road to halting the rise of ghost broking is to make the general public aware.

Clare Lunn Head of Fraud Markerstudy

It is now a widespread issue, for example over 30% of all cases handled by the City of London Police’s Insurance Fraud Enforcement Department (IFED) are related to ghost broking. But despite its nationwide severity, research by the IFB revealed that only 17% of the UK population is aware of the term ghost broking, and only half of 18–24-yearolds are aware that committing insurance fraud will make it harder to purchase motor cover in the future.

The key for avoiding ghost broking scams will rest in the research and knowing the tell-tale signs. The offer of an incredible deal on motor insurance could be tempting at first, but the consequences certainly aren’t worth the risk – a large fine, points on the driver’s license or it could even lead to vehicle seizure. In general, ghost brokers canvass victims via social media or word of mouth so it’s important to check if the website is registered with the Financial Conduct Authority or be wary if they are requesting to only contact individuals by social media, SMS or a messaging app such as WhatsApp.

A new approach to detection using data enrichment and a cross-industry approach

The time for cross-industry collaboration to create a long-term, strategic plan to combat ghost broking, is now. Insurance needs to be leading the charge, not just supporting it – and it will require all cogs to make the wheel go round. Not only by working collaboratively with colleagues but by joining forces with other sectors to learn from each other and implement new ways of detecting and ultimately stamping out fraud. Social Media companies have a crucial role to play, to seek out fraudsters advertising on their sites and close them down. Staff, data and technology, using public education, intelligence sharing, and proactive crime busting – the industry as a whole must pull together to make real change, through a range of tactics.

Of course, there is no quick resolution to combatting fraud or ghost broking. But more and more insurers are recognising the need to do more with technologies now available – 80% of insurers now use predictive modelling to detect fraud, up from 55% in 2018.

Data enrichment becomes pivotal

By validating transactions via cross referencing from multiple sources, insurers can improve ghost broker detection and pinpoint fraudulent transactions. It’s about ‘knowing the customer.’ ID checks, credit checks, email address validation and vehicle NCD notifications should all be part of the background process, alongside device recognition tools which show where a device has been used fraudulently previously. Increasingly, ghost brokers are also using stolen credit and debit cards, so transaction monitoring is also needed.

The time for action is now – don’t let the ghost brokers win!

Through our industry experience, we know all too well that fraud volume levels increase in times of financial hardship. During the 2010 recession, fraudulent activity increased by 10% – a significant rise when compared to average fraudulent general claims levels of £1.2bn per year. The threat of opportunistic fraud is upon us, and with ghost broking following suit, it’s time the insurance industry joined together to take real action.

Here at Markerstudy, we are committed to working with industry bodies to stamp out this damaging crime, which can devastate people’s lives. Using the expertise and skills within specialist teams will be crucial in eliminating fraud. For example, in 2022 our specialist fraud investigation teams detected 19% more fraudulent claims, compared to 2021, and retained over 30% more new claims within that same time period, which we suspect may be fraudulent.

It’s imperative that fraud and ghost broking detection alongside different prevention methods are taken seriously by the insurance industry. In general, distrust from consumers for insurers is high – and without pulling together to change the fraud status quo, this mistrust will most likely stay high.

Ahlibank:

Innovative Banking Solutions in an Ever-Challenging Investment Environment

Founded in 1983, Ahli Bank QPSC (Ahlibank) is a Qatari-owned financial institution that serves individual consumers, small businesses and corporate customers with a range of Corporate Banking, Retail & Private Banking, International Banking, Treasury & Investments and Brokerage services. Ahlibank aims to deliver unmatched convenience and personal, simple banking experiences that highlight its tagline “With You.” It has thus seen rapid growth in its client base, and now boasts an integrated network of 12 branches and 89 ATMs in Qatar.

Following a year in which the bank outstripped its previous record, achieving a profit of QR 772 million for 2022, and having seen a year-on-year net profit increase of 6.9% in the first three months of 2023 (QR 205 million), Ahlibank was awarded ‘Best Bank for Treasury Services – Qatar’ at the 2023 Global Banking & Finance Review Awards.

Derek Kwok, Ahlibank’s Head of Treasury & Investments, spoke with Global Banking & Finance Review editor Wanda Rich about what the award represents and the driving force behind the bank’s strong performance.

“Being named the Best Bank for Treasury Services in Qatar validates our efforts to deliver an outstanding customer experience within a highly competitive banking industry,” Derek said. “We are delighted to receive this global accolade as we continuously work to provide Treasury services that make investment and banking solutions more accessible for our customers. Our goal is to create an outstanding customer experience that delivers the best result and value for our clients. Understanding our clients’ needs is central to creating bespoke solutions that will mitigate their risks and help improve their financial performance. The award is further evidence of our unwavering commitment, excellent performance and client-centric services.”

Derek attributes Ahlibank’s ongoing success to a combination of factors. “The primary reason for our recorded net profit in 2022 is the highquality core income generated through our focused strategy on acquiring quality assets in Qatar, supported by strong funding fundamentals while following prudent risk management,” he revealed. “Additionally, we know that it is important to offer our clients a wide range of innovative banking products and great services in supporting the local economy’s prosperity. We are embarking on an ambitious strategy with the aim of growing our business and deepening relationships with our customers, meeting more of their financial needs.”

One of the ways in which the bank is addressing those needs is through technological development and the increased use of digital channels. “Ahlibank has expanded its product offerings and invested extensively in technology, and continues to implement its strategy and plan to provide innovative banking solutions,” Derek said. “The introduction of innovative technologies in the services provided to customers remains an integral part of the bank’s objectives.

“This was achieved with the launch of modern methods of mobile payment such as Apple Pay, Google Pay, Samsung Wallet, Fitbit Pay and Garmin Pay, which have been well-received by our customers. The bank continues to invest in technology and expand its product offerings while providing the best services to customers.”

Doing so requires differentiating itself from its peers, and Ahlibank approaches this through a heavy focus on the client, Derek explained, resulting in a highly personalised offering that caters to their growing needs. “One of the key differentiators for Ahlibank’s Treasury Department is its commitment to delivering tailored solutions that address clients’ objectives and mitigate their risks. By taking a client-centric approach, the team is able to gain a deep understanding of each customer’s unique circumstances and develop solutions that are customised to their needs.

Derek Kwok Head of Treasury & Investments Ahlibank

“Moreover, we are always looking for innovative ways to improve our offerings, which allows the bank to stay ahead of the curve in such a fast-paced industry. This approach not only benefits our clients but also helps to maintain a competitive advantage over other market players, and through the team’s dedication to providing an exceptional client experience, Ahlibank has been able to maintain and develop strong, long-term relationships with our clients and partners.”

The Treasury Department’s priorities for the rest of this year are largely influenced by the constant changes in the global interest rate environment. Derek spoke on how crucial it is for the Department to remain focused on delivering investment strategies that are aligned with the current market conditions. “In order to maintain the bank’s profitability and growth in an increasingly competitive market, we must think and act outside the box, be that through enhanced customer service, tapping new markets, or the adoption of new financial technologies and innovations,” he said.

“Of course, client services are central to our response to these challenges in order to grow market share and financial performance. By prioritising the needs of our customers and adapting to changing market conditions, Ahlibank can continue to thrive and succeed in an increasingly complex and dynamic financial landscape.”

Mergers & Acquisitions?

More like Migraines & Aggravation

With banking sector M&A activity currently under the spotlight, Neil Vernon, CTO of Gresham Technologies plc (Gresham), looks at the imminent headaches in store for the middle and back-offices when it comes to technology consolidation.

The internal composition of a major investment bank in 2023, compared with 20 years ago, is radically different. Revenue generation strategies are far more complex, and their global footprints have grown exponentially. While this has driven major gains for the front office, there has been a significant knock-on-effect on the volume and variety of activities falling on the shoulders of those beavering away in the back-office. The plethora of different products and services that are now in play for these behemoths are, more often than not, reflected in a complex spiderweb of different internal systems that hold the whole operation together.

Built into this spiderweb are old, faltering strands, that simply cannot be relied upon to uphold the integrity of the internal infrastructure. Many banks are still reliant on legacy technology that has been installed for decades, with layer upon layer of slight ‘tweaks’ and ‘improvements’ being made over the years. On top of this, for global businesses, there is often a striking lack of harmonisation across the middle and back-offices – jurisdictions and departments.

At the time that these systems were set up, it made more sense. The environment was very different then, there was a distinct lack of vendors, and it was a very different data environment. But this simply isn’t reflective of the current reality. FinTech founders and their teams learnt their trade from the very side they are trying to help – having experienced the frustrations that legacy systems can cause themselves.

2023 is a year that is being punctuated by major mergers, such as the recently announced Rathbones/Investec deal in the private wealth space. Deals of this size and complexity will need to be supported by long-term integration and consolidation projects. Whilst there were clear reasons in proposition of this merger occurring, it is a useful highlight to a wider point that is often not spoken about when it comes to banking sector dealmaking.

Just imagine if you will, the unbelievable confusion that can come with merging companies that have two sets of back offices, each layered with so many different overlapping legacy systems. The effect of this on operational efficiency is staggering, and the period immediately post-merger is where financial institutions need to be able to rely on modern technology solutions in order to harmonise and stabilize their core processes.

This is all set against a backdrop of an era where data is being consumed at levels not seen before. With various areas of the middle and back-office relying on different tech, it is easy for essential information to be caught up in the web of legacy systems which greatly affects operational efficiency.

Just as you wouldn’t build your own oil refinery, it doesn’t make sense for banks to take the load of complete post-trade system overhauls onto their own backs. The operational headache that comes with reliance on outdated systems is well understood by the middle and back-offices, and the potential for it to become a long-term migraine in the form of an extended integration project is clear. Giving this headache to a managed service provider, someone whose business it is to live and breathe post-trade is the way out of that spiderweb of complexity. That is why, when it comes to major M&A deals, banks need to be able to rely on market expertise alongside modern tech in order to ensure efficient and effective integration.

Neil Vernon CTO Gresham Technologies

What has your bank done for you lately?

In a world where we have endless choice for everything from the pods we use in our morning coffee, to the subscription channel where you watch TV, many people remain surprisingly loyal to their banks.

It could be because they’ve banked with the same institution their parents have always banked with. Or maybe it’s because the idea of moving their finances seems like a jugganaut of a task.

Both of these amount to some form of laziness on part of the consumer. But I’d say it’s something more than just CBA-ness. It’s the oldest form of brand loyalty there is.

We feel a sense of comfort and security in sticking with what we know, especially when it comes to something as personal as our finances. For many, you are just an HSBC person, or a Barclays person. You’ve always been so.

You opened the account circa 10 years old and have never looked back. It’s been there through it all. The first £1 you earned from the tooth fairy. The first £20 you earned from a paper round. Your first proper paycheck and so on.

Changing banks isn’t just switching to something new. It’s basically a break up. And nobody likes to be the one to do it.

New ways to bank.

But over recent years, there’s an enticing trend of challenger banks using hot stuff apps to lure in customers and shake up the old guard.

Take Monzo — the bank, still relatively new to the scene, boasts over five million customers in the UK. With a bright coral-coloured debit card and a sleek app that offers real-time notifications and budgeting tools, Monzo has become the go-to bank for many millennials and tech-savvy individuals.

Or Revolut — which builds on trading trends to attract young investors in a fully rounded finance experience through their app that covers everything from savings, stocks and shares, to crypto and commodity exchange.

Some traditional banks are catching on. JP Morgan have launched the Chase app, a hybrid between the old-school bank you trust and the fun feature rich tech bank — offering tools like round ups, and enticing people with generous cash back on all purchases.

All these new challenger banks and “money apps” are fundamentally changing people’s relationship with their money. People are more involved, more engaged, more interested in the differences from bank to bank than they have ever been in the last 100 years.

To younger generations, their techy banks are less about how to pay for something, and more about how to split the bill convienently, how to spread the cost of a fancy new purchase interest free over three months, how to get approval for a loan in one second flat, how to keep track and budget towards niche savings goals, how to avoid the whole “getting currency out abroad” faff, how to stake the latest crypto coin, and how to fractionally buy shares in a company they could never afford otherwise.

What about a different approach?

But maybe there’s more to it than just showing off new features. We’ve got X and your current bank only has Y is a very banky way to get people to switch. Sure it might work for some, but will it really cut through the shackles of a 10, 20, 50 year relationship?

What if there was a way to make people switch that wasn’t just — logical. Can bank brands tap into emotions and make human connections with people in a way that seems a little less like… well… like a bank.

Change is happening.

Younger generations are far more likely to change banks than at any other time previously — swayed by technology, thoughtful, easy to use features and modern, non-corporate bank speak. But despite that, traditional Banks are still winning the fight for the population as a whole.

Challenger Banks should look to new ways to cut through to people, just using feature-rich apps might not be enough to get people to hang up historic brand loyalty.

Yet, at the same time, Traditional Banks should look to new ways to grow their offering and communicate it impactfully — so that when asked “What has your bank done for you lately?” The answer can be an empathic: “Lots, actually.”

Alex Hamilton Copywriter at Independent creative agency, isobel

Taking on Financial Crime: NICE Actimize Drives AI, Cloud, and Data Intelligence to Address FI’s Challenges

Responding to growing challenges within financial crime, NICE Actimize and its CEO Craig Costigan launched multiple product innovations this past quarter – ranging from antimoney laundering and enterprise fraud to case management. With these and other advancements, as a leader in financial crime, risk and compliance solutions, NICE Actimize demonstrated its commitment to the industry’s massive digital transformation, advancing further developments in the Cloud and the critical role of artificial intelligence.

Global Banking & Finance Review caught up with Costigan on the eve of its customer event, ENGAGE, where the financial services industry's top experts in financial crime, risk, and compliance meet to talk about essential breakthroughs impacting their businesses’ bottom lines and customer interactions. ENGAGE New York is the final lap of this year's ENGAGE program, which featured targeted events in London, England, and Johannesburg, South Africa.

NICE Actimize sits squarely at the intersection of all financial crime disciplines. What have you seen as the top three business priorities taking center stage at financial institutions as they meet at your industry gatherings this year?

No matter where customers are in their adoption of new advanced technologies, our focus always has been solving industry-wide challenges. Artificial intelligence has proven to be an integral part of the answer to driving speed and agility. As the hottest topic in the industry, it is a game changer. NICE Actimize has focused on AI-based solutions to address an environment moving at light speed.

Financial institutions require a powerful combination of intelligence, visualization, and automation to reduce investigation time, manage workflows, and enable more intelligent decisions. Our market-leading alert and case management solution meets today's and tomorrow's challenges, providing the heart and intelligence for financial crime-fighting units.

Following AI, the other big focus area is the Cloud which provides the speed of innovation, economics, agility, and elasticity. All sizes of financial institutions are investing in cloud initiatives. While we have innovative offerings explicitly designed for tier-one financial institutions, our breakthrough technologies also target and support the mid-market which has own unique needs and required capabilities. Our cloud business

has grown in the double digits and continues to accelerate across all of our markets.

Last but certainly not least is the focus on data and its value in the entire customer life cycle. Managing data effectively is paramount and critical to providing collective intelligence, industry insights, pattern analysis, predictive analytics, benchmarking, and more. Many jurisdictions consider data collection, analysis, and reporting critical to combat market misconduct and evidence compliance. Indeed, our expertise in both the Cloud and AI align well with successfully managing data. In the end, using AI effectively leads us to understand that it contributes to operational efficiency (doing more with less), improved accuracy, and preventing illicit activity before it happens.

Our advanced analytics technologies allow us to analyze vast amounts of data in real time, identifying potential compliance risks and enabling organizations to address issues before they become serious problems proactively.

"AI generates the CEO trifecta: it contributes to increasing revenue, reducing risk, and lowering costs." Craig Costigan, CEO NICE Actimize

So summing up the importance of these three innovations, AI generates the CEO trifecta: it contributes to increasing revenue, reducing risk, and lowering costs.

As you mentioned, data management is a crucial focus in today's financial crime programs. Whether completing due diligence processes, conducting periodic reviews, or assessing a monetary transaction, all require up-to-date, reliable data. What is NICE Actimize advancing concerning its data intelligence strategies?

NICE Actimize has invested heavily in its data intelligence solutions through its robust research & development process. In today's fast-paced digital world, financial services organizations need a single view of customers and counterparties to honestly assess threats and opportunities at every point within the customer life cycle, and data management is key to achieving that goal.

Organizations need high-quality data, accurate risk scoring, proven intelligence, and ongoing monitoring for true customer life cycle risk management to achieve this. Our X-Sight DataIQ solution provides financial institutions with a comprehensive and enriched view of customer and counterparty risk. X-Sight DataIQ aggregates content from various global data sources - continuously monitoring for changes, such as updates in global sanctions, PEP status, corporate ownership, enforcement lists, and adverse news.

This function is fully integrated into NICE Actimize ActOne, the leading alert, investigation, and case management solution, allowing analysts to leverage the power of customer intelligence.

Anti-money laundering technologies have evolved significantly over the past few years. As a leader in the evolution of AML, where do you see next-generation anti-money technologies heading?

NICE Actimize recently introduced breakthrough anti-money laundering technology with a groundbreaking multi-layered approach to transaction monitoring. Built to detect more suspicious activity while reducing false positives, NICE Actimize’s SAM-10 introduces significant enhancements to its award-winning anti-money laundering solution, incorporating multiple layers of defense which strengthen the others and offer comprehensive coverage and detection of suspicious activity for financial institutions. The new solution ensures increased effectiveness for precise monitoring of both known and previously unknown, unmonitored typologies.

Aside from your technological contributions, NICE Actimize has recently demonstrated its commitment to human rights causes such as human trafficking. How is your technology expertise providing support to these issues? What are your plans to support these initiatives?

I think it is vital that banks and technology firms leverage the digital potency of the Cloud and AIinfused financial crime software to pinpoint human trafficking and other crimes. If we all work together, we can effectively intervene. NICE Actimize is a corporate sponsor of The Knoble, a well-respected nonprofit community of financial crime experts who unites law enforcement and financial institutions to identify best practices to fight what they call human crime – including human trafficking, child exploitation, scams, and elder abuse. Through Knoble initiatives, this network is beginning to collaborate, share intelligence, and mobilize targeted detection efforts with law enforcement.

By pooling our data and sharing our findings with like-minded crime fighters, the industry can make inroads in reducing these types of human crimes. Other efforts include the expanded implementation of education programs for our customers and the consumers they serve to help others detect criminal activity. But this is just the beginning.

If you could communicate one message to the global banking community, what would that be?

NICE Actimize has a long history of strong relationships with financial institutions across the universe of financial crime. We will continue to support our customers with innovation and a robust product roadmap as we continue to work together into the future.

NICE Actimize

Craig Costigan CEO

Eliminate silos and unlock data’s full value with Data as a Service

For the global financial services industry, the current data deluge is both a blessing and a curse. As financial data continues to explode in volume, complexity, and diversity – and the data intensity of all business processes increases – there are opportunities for firms to gain a competitive edge in effectively processing and mining this data. For example, the fast extraction and provision of quality information and diverse data sets can give organisations a rich layer of insight into their markets, customers, and financial products, enabling them to streamline their operations and quickly innovate to stay ahead of the curve.

However, while financial services has long been known as a ‘data rich’ industry, organisations still struggle when it comes to harnessing this data to drive decision-making and operational efficiency. Data often quietly accumulates as a by-product of routine business activities – unseen, undervalued, and ultimately unmanaged. When not properly organized, this data can get in the way and potentially clutter rather than inform decision making. When a business lacks a unified vision of what it wants to achieve with all the data it holds, the big-picture data insights that business leaders demand are hard to assemble. Organisational silos are another enduring problem in financial services, with multiple data sets often buried deep in disparate systems.

With the global market set to reach $28.5 trillion by 2025, at a compound annual growth rate (CAGR) of 6%, the finance industry cannot afford to pair this growth with a siloed and reactive approach to data. Customers are now demanding more detailed information than before, whether from asset servicers, banks, or asset managers – and there is no room for ambiguity. When factored alongside evolving regulatory demands for more granular reporting, the need for organisations to improve their data collection and curation practices becomes even more acute.

As a result of these pressures, Data as a Service (DaaS) is coming to the fore as a solution for breaking data silos. This is enabling financial services firms to proactively and effectively provision business users and the application landscape with the data required, anchoring the data into seamless decision-making workflows.

Data silos and missed opportunities

Most banks are failing to capitalise on the competitive advantages their data sets provide. In fact, analysis by Capgemini and the European Financial Management Association shows that only a select few can manage – let alone leverage – their most actionable, valuable datasets.

A recent Vena Industry Benchmark survey points towards a contributing factor. 57% of business leaders, finance executives and operations professionals report that multiple disparate and disconnected data sources are a key data challenge. Data is getting trapped across different silos – ranging from outdated applications to inaccessible data warehouses and scattered data management functions. This often hinders innovation and operational efficiency, which has knock-on impacts on external reporting, client interaction, and other missed opportunities for firms to enhance customer experience and gain a competitive edge.

DaaS: a scalable solution

DaaS is a data management strategy that introduces flexibility, transparency, and fast integration, enabling financial services firms to quickly “put data to use” and maximize its ROI. Putting firms on a solid data foundation, DaaS helps to bridge data silos, functioning as an expert data service bureau to the entire organisation. Data-as-a-Service combined a managed services model of technology – hosting and running a data management platform – with operational services in sourcing, integrating and validating data. It can be offered as a menu of data sets covering for example aggregated end-of-day pricing, historical market data, security reference data, corporate actions and ESG data sets.

To overcome current data challenges, firms must focus on integrating existing workflows and providing them with high quality, consistent data. With DaaS, solutions providers use cloud technology to deliver aggregated, cross-referenced and quality-vetted data sets in different formats and delivery methods to accelerate onboarding and provide easy access to data.

DaaS is also highly scalable. It can cover any data set including corporate actions, security master, issuer and pricing data and can range from use-case specific offers to providing data services at an enterprise level. Data collection and curation typically encompasses the tracking of quality metrics, the crossreferencing and verification of different sources, the set-up of business rules for data quality and data derivation and root-cause analysis on gaps and errors. Cleansed and fully prepared data then feeds into a customer’s operations, risk management, performance management, and compliance strategies.

DaaS provides firms with crossreferenced identifiers; data lineage and other metadata including quality characteristics. These can help financial services develop personalised customer experiences, using predictive analytics to understand consumer behaviour and patterns.

Maximising the value of data

Firms get the best out of their data when it’s easy to visualise and monitor. This means empowering users with a real-time view of data, typically including acquisition, distribution and delivery to downstream applications. A DaaS solution can also provide complete transparency as to the provenance of data, alongside stats on data quality and remediation. DaaS offers users the flexibility to request additional or different data sources, new delivery formats, changes to the data in scope, integration with their cloud data warehouses and its delivery frequency.

DaaS solutions go a step further than managed services, embracing the full suite of data operations and quality management. This one-stop shop enables firms to benefit from shortened change cycles, transparency into the collection and verification processes, and quality metrics on diverse data sets and sources. With technology and services working hand in hand, financial services firms will be able to gain greater control over their data, leading to much stronger decision making and operational efficiency.

Simon Rayfield Head of Operations Alveo

The Bright

Spots

of Opportunity Amid a Seemingly Dead Global M&A Market

In a downturn economy, one might not think of M&A (mergers and acquisitions) as a vital driver of the job market and business resiliency. However, M&A activity can serve as a crystal ball for companies attempting to time the market in order to pick up other organizations and acquire the best talent that fuels growth.

While the days of funding and valuing companies strictly based on revenue growth may be gone, the truth is that, even in times of uncertainty, good companies still exist in popular sectors who will continue to benefit from dealmaking. Those with good timing and discernment will acquire the talent and technology to achieve market dominance in the next five years.

The End of Soaring Valuations Doesn’t Mark the End of M&A

The 2021 and 2022 M&A craze started when CEOs and founders were able to successfully navigate their organizations through the perils of the pandemic. Following initial lockdowns, private valuations soared, and the stock market seemed unstoppable. The United States saw a record 480 IPOs in 2020 topped by 1,035 in 2021. Monthly M&A soared beyond pre-pandemic levels.

Then the Titanic strikes the iceberg. Amidst rising inflation, Russia invades Ukraine in February 2022, and the Federal Reserve starts to hike interest rates in March, denying the VC and PE (private equity) systems cheap capital to keep everything afloat. The last hurrah is May 2022, with $269.5 billion in M&A activity, followed by a sharp decline.

But the PE market doesn’t just close shop due to a worrying economy. In fact, it’s quite the opposite. It still has a lot of money it wants to give out and hungry VC capitalists who will invest in strong, profitable companies – even if they’ll go about valuing them differently. And this will allow companies to go out and make acquisitions that power gains in product and customer portfolios.

The trick is to follow where valuations really skyrocketed in 2021 and where an influx of money was given out.

The ROI Behind M&A In a Downturn Economy

In a difficult economy defined by high inflation, low unemployment, humbled tech stocks, and $2.4 trillion of “dry powder” in PE funds, we should really be expecting plenty of deals looking ahead into late 2023 and 2024. Despite M&A’s dramatic slowdown in 2022, cross-border transactions also continue to offer compelling growth opportunities. But which sectors are expected to see the most activity and what’s the expected ROI for acquirers who buy up these businesses now?

Players with cash—particularly those in tech, healthcare, energy and heavy industry—can cheaply buy and monetize IP (intellectual property) from startups struggling with profitability. Alternatively, PE firms sitting on dry powder can buy and roll up several companies. There is a strong case for doing either one. According to Bain & Company, firms that were “active acquirers” before and during the 20072009 recession achieved higher annual average shareholder returns over the next decade compared to companies that sat it out.

Since customer acquisition tends to become tougher in a recession due to the decrease in consumption and disposable income, companies can’t rely on gaining more dollar share from existing, loyal customers. Through M&A, a company can pick up new product lines and lookalike customers, expanding the audience it sells to and the number of things it can sell to them. Amazon’s 2008 acquisition of Audible, the online audiobook and podcast service, is a great example.

What’s more – companies may acquire technologies or even competitors that once threatened to disrupt their business. Oil and gas companies, for instance, brought in record profits in 2022 after Russian supply became inaccessible. In ten years, however, they risk having stranded assets such as EVs, emerging climate technologies and government policies reducing fossil fuel demand. This is the moment to acquire companies in EV charging, biofuels, next-gen carbon capture, and more that raised too much capital too soon and can’t regain their 2021 valuations. The founders and their VCs may be looking for a lifeboat.

Now Is the Time to Go Build

According to Citizen Bank’s 2023 M&A Outlook survey, 62% of middle-market company buyers name growth as their M&A motivation, compared with 48% the prior year. No one knows exactly when or how quickly the economy will sink into recession territory—or how long the PE market and companies up for grabs at lower valuations will last. The key to M&A in 2023 is timing the window where cash-burning companies need funding, but still have the option to turn into the next hottest company or unicorn.

There may not be a robust return to M&A transactions like those once seen, but 2024 is going to be the year companies use M&A to address current weaknesses and carve a path to industry leadership through size and scale. Now is the time for organizations to solidify their position in the market and focus on the growth years – whether that be 12 months, 18 months or two years from now.

With so much innovation and growth among so many sectors, why should dealmaking end? The answer is simple – it doesn’t have to. All you must do is look at the right structure of ownership and remain prepared and ready to tailor strategies to navigate the financial, regulatory and technical complexities required when executing deals, while competitors are busy pushing on the breaks.

Jorn Reynolds CEO Safeguard Global

How Financial Institutions Can Build Customer Trust In A Digital World

Financial institutions are currently faced with a growing, unique set of challenges. Given the current global financial market volatility and the rapid pace of digitalization, FIs are in a position unlike anything they’ve previously seen. Customer trust is on the line, and FIs need to map out a plan and respond.

The pandemic pushed the world into a new digital era. Online business and digital banking had already become the norm, but the pandemic accelerated their prevalence to new levels. Customers expect to be met at any point on their journey and to receive the same level of service and security they would get when interacting with a bot as they would with a human agent. If financial institutions expect to adequately address their customer’s needs, build trust and establish loyalty, they must set a digital-first customer experience. CXi (customer experience interactions) is the foundation of this approach.

According to the Gartner®

2023 CIO

Agenda insights for the Banking and Investment Industry, CIOs reported the top enterprise priorities as growth, digital transformation and consumer/user experience. 95% of CIOs also responded that artificial intelligence and machine learning will be the technologies most likely to be implemented by 2025. We think these priorities are key components of CXi. The tools are there for FIs to map out a solid plan for their digital future.

Self-service customers can depend on

According to a June 2022 survey by PYMNTS, consumers are “very or extremely interested” in digital-only banking. Banking customers desire the ability to monitor their finances in realtime, seeing their transactions momentby-moment without stepping into a physical location. Customers can check account status, perform transactions, and plan their financial futures on mobile

devices. AI and automation are driving this change, and the benefits of speed and agility they bring to the customer experience continue to advance.

As financial services become increasingly digital, bots have grown in prominence. Bots, however, have gotten a bad reputation, mainly due to usage difficulties in the early days. To build customer trust in the digital era, banks must build automation tools and bots that customers can rely on and prefer to human-led interactions. Intelligent bots that can provide comprehensive support with humanlevel understanding need to be trained by powerful AI that understands optimal consumer experiences and outcomes. They are continuously learning how to respond better.

One of the most talked-about bots today is ChatGPT. While this technology has been around for years, its acceptance and wider use in the mainstream have reached a tipping point with its recent explosive popularity. ChatGPT’s responses sound authentically human. When the generative AI used by ChatGPT is integrated with historical business data modeled specifically for the needs of banks and their customers, bots can now potentially deliver the same level of service a customer would get from a human agent. This is next level proactive, human-like self-service.

As CXi grows in prevalence and sophistication, self-service will become increasingly reliable for any customer issue – even higher-tier or complex financial topics. A CXi-fluent bank will meet customers at their digital touchpoint of choice, and they will no longer use their banking app only to check account balances but will also rely on them for more complex applications. As AI continues to train bots to offer more intelligent service, the line between the level of service provided by bots versus a human agent continues to blur. Assuring customers their data is secure

According to Gartner 2023 CIO Agenda insights for the Banking and Investment Industry, 63% of CIOs will spend more on cybersecurity and information security in 2023 compared with 2022. This was the top response of where investments will go in 2023.

Given that this is a such a prominent focus, it is critical that FIs put a focus on data. Financial institutions that master CXi put data at the forefront of every action and interaction. Through the Suiteform approach, FIs can place all their customer data on the same open cloud platform, shareable across a suite of best-of-breed solutions. This approach eliminates the complicated tech stack that has become commonplace, putting all of the data in

one, easy to access location. It also cuts down on siloes and potential gaps in security, allowing CXifluent banks to assure customers that their personal is supported by secure data, no matter where it begins or how it evolves.

Embracing Digital

Financial institutions should continue to embrace this move into the digital world, charting their future with a solid CXi foundation. During times of change, it’s easy to be skeptical and uneasy about new ways of doing things. But rest assured, customers will be excited about the advancements transforming the way they do their banking, setting the groundwork for a more stable, secure, and seamless financial future.

GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally and is used herein with permission. All rights reserved.

Elizabeth Tobey Head of Marketing FluenCX, NICE

How bosses can future-proof their business and talent through technology

It may seem like an oxymoron to call the pandemic an accelerator, as it is commonly known for putting a relatively busy world on a global time out. But in a way, we saw leaps and bounds in the adoption of new technologies such as remote working and project management tools that were practically unheard of in various sectors.

This rapid-fire adoption was only further motivated by the boom in hiring particularly with Tech Giants such as Amazon, Microsoft, Meta and Alphabet collectively increasing their human capital by just over 875,000 people globally.

This brief era in history has fundamentally shaped how businesses operate, how employees regard their work life and made many re-evaluate the importance of having efficient and effective HR infrastructure in place. It also has brought multiple

business benefits for both employers and employees including making communication easier with global teams, enhanced flexibility with hybrid working, global recruitment and accessibility to new markets.

The need to compete in this postpandemic landscape has never been more prevalent, as all a business leader has to do is look to the news to see a barrage of stories that tech companies would be going with restructuring initiatives to reduce costs. Its no wonder that Gartner’s latest research has identified HR technology as a top investment priority as it will offer new routes for businesses to stay competitive.

One of the keyways HR technologies can help business stay competitive is by making global expansion a possibility for many. A recent HSBC poll of over

2,000 mid-market enterprises across 14 different markets found that two-thirds planned to expand internationally in the next 12 months. HR technology can empower businesses to scale up across borders enabling them to reach new markets and audiences.

Secondly, it plays a pivotal role in international recruitment. The skill shortages have been plaguing many business leaders in recent years with gap with one in five SMEs in the UK citing it as their key blocker to success in 2023. International recruitment encourages businesses to tap into a wide talent pool and plug the skill gap with the best and brightest without location being a barrier to access. Furthermore, this method may prove to be far more cost-effective as different regions have varying expectations of salaries and benefits.

Ruairi Kelleher General Manager for Europe Atlas

While global expansion and international recruitment are interesting prospects they do however come with logistic issues. Firstly, they can be quite costly and complex, as it requires business to pay for legal and administrative fees, understand various regional compliance law all while having to navigate the complexities of employment contracts, payroll services, taxes, social security and benefits.

So how can efficiency-minded businesses reap these benefits without expending vast sums of capital and leaving themselves vulnerable in the future?

This is where the right technology comes in, particularly an Employer of Record (EOR) platform. An EOR has the most impactful HR innovations that have come out of the pandemic all on one platform such as recruitment, team management and how we build international operations.

Fast and flexible expansion

An EOR service provider manages the legal, HR, tax, and local compliance responsibilities of a company’s employees in any region or country where they don’t have a legal entity. It acts as the legal employer, hiring employees using its local business entities. As such, the EOR assumes the legal risks of an employer on their behalf, while they maintain control over their employees and operations.

As well as payroll and tax, an EOR service provider’s responsibilities can include visa, immigration and work permit sponsorship; local support for employment matters; and advice on required notice periods and termination rules. They can also provide data insights on employment trends in global markets, all of which takes away the lion’s share of work associated with global expansion.

EORs are nothing new. The difference today is that the technology is now in place so businesses can hire employees the world over and manage them from one platform.

The right technology

At Atlas, we facilitate our EOR services through a centralised Human Experience Management (HMX) platform that’s built to prioritise employee and employer experience. For overseas employees, it not only allows them to be hired correctly and get paid in their own currency, on time and in a fully compliant way, but also to access, amongst other things, learning and development features; local employment guidance and visa and immigration support.

For employers, the platform centralises their entire people-operations so they can manage onboarding, payroll, benefits admin and more without having to deal with multiple third-part providers or platforms.

Partnering with an EOR service provider means that you can start hiring in new markets in a matter of weeks. This greatly reduces the time, costs, and complexities associated with setting up a formal entity in a new country. You also have a single point of contact and a transparent fee structure. This simplifies the process significantly and reduces cost, making it easier to scale up and down as demand requires.

And, perhaps most importantly, an EOR means you can dip your toe in multiple key markets easily without having to make a full investment in the region.

A solution for today and tomorrow

Lessons from past downturns have taught us that the route to success comes not from brutal cuts, but from growth via efficiency. One study from the Harvard Business Review of 40,000 businesses over two recessions found that “companies that master the delicate balance between cutting costs to survive today and investing to grow tomorrow do well after a recession”.

The right EOR platform can help businesses master that balance by allowing them to continue to expand in a sustainable and flexible way, putting them in a great position to future-proof their operations and prosper when the dust settles.

Creand Crèdit Andorrà CEO Xavier Cornella on Consolidating a Bank for the Future

The Crèdit Andorrà Group has completed the unification of the Creand brand in Andorra and internationally, one of the major goals of the 20202023 Strategic Plan. The process began in 2020 with the international subsidiaries and was completed this year with the rebranding in Andorra. The group is entering a new era, projecting its solid track record into the future.

Creand is a global financial services group offering a personalised and specialised private banking and asset management service. It is the market leader in Andorra and has a presence in other major financial hubs of Europe and America, such as Spain, Luxembourg and Miami.

Creand Crèdit Andorrà’s award-winning success is ongoing in 2023, once again being named as Andorra’s Best Digital Bank and Best CSR Bank at the annual Global Banking & Finance Review Awards.

When Creand Crèdit Andorrà CEO Xavier Cornella met with Wanda Rich, Global Banking & Finance Review editor, he explained the reason behind the bank’s good performance in the last year. “It stems from the fulfilment of our 20212023 Strategic Plan, underpinned by the development of strategic alliances and corporate operations, to strengthen our leadership in Andorra and consolidate our international presence in the main markets in which we operate,” he began. “We have continued to strengthen operations and improve profitability with a business volume exceeding EUR 25 billion in 2022, 19.7% more than in 2021.”

The Creand group consolidated the growth trend in its main business figures, and in 2022 achieved EUR 43.1 million in profits, 30.7% higher than the previous year. Moreover, its international growth continued its upward trend with a 14.8% increase in international business

volume. “This growth, coupled with our specialisation in products and services that increase differentiation and added value, are the drivers that have enabled us to reinforce our position as a solid group that grows stronger every year,” he said. “This means we are able to successfully deal with the challenges presented to us by our shareholders, customers, employees and the country as a whole.”

Strategic operations have been key to this growth, he explains, citing the example of the acquisition of Vall Banc, whose integration process was completed in June 2022 and which led to significant growth last year. “This acquisition has enabled us to bolster our growth plan and become more competitive in the private banking business, complementing the sustained organic growth that the bank has been enjoying both in Andorra and globally in recent years.

“At the same time, it consolidates our leadership in Andorra and strengthens our long-term commitment to the country’s economic and social progress. In turn, we have been able to accelerate the achievement of the targets set out in the 2021-2023 plan, both in terms of business volume and profits.

“This operation was executed with the utmost agility and efficiency, and was financed entirely with our own funds. The result is a stronger and more robust group. This has a direct impact on our capacity to serve customers, particularly in the private banking segment in which Vall Banc specialised, and to respond to the country’s future challenges. We have also been able to integrate the best talent from both banks, giving us a highly professional and specialised team.”

Another of the group’s 2022 achievements that contributed to its good results was the international brand unification process of Creand, Xavier revealed. “The rebranding allowed us to increase synergies, be more efficient and effective in terms of business and communication, and unify the sense of belonging among the people who form part of the group. The process will culminate this year with the change of the brand in Andorra. It represents a major step forward for us as an international financial services group.”

Xavier Cornella CEO Creand Crèdit Andorrà

Creand Crèdit Andorrà’s long-term prioritisation of sustainability remains an integral part of the business’s vision, Xavier reports, not least because of the role it plays in supporting and stimulating Andorran society, its economy and its business community. “Sustainability is at the heart of what we do. It is a fundamental pillar for a bank such as ours, which has been working for over seventy years with a strong vocation for service,” he said. “The Creand group generates an economic value that extends beyond customers, shareholders and employees. In fact, 38.4% of the value generated through our activity is aimed at Andorran society as a whole. We also have significant loan investment in financial support with a direct benefit to the country.

“We want to grow as a bank because we believe that, through our strength and robustness, we can help Andorra with the important challenges it faces. But we want to grow while creating a bank of the future. This is why we were the first Andorran bank to sign the United Nations Principles for Responsible Banking. This is a strategic step in that direction, which positions us as pioneers in the area of sustainability in Andorra.”

Becoming a signatory to this initiative has enabled Creand Crèdit Andorrà to coordinate and work throughout all levels of the organisation to identify the bank’s potential, generate a greater, more positive impact through its activity, and integrate sustainability in all business areas. “It is clear to us that we have a key role to play in this field, and our management is committed to pursuing growth with a view to contributing to a sustainable future.

“Contributing to economic and social progress, as I have mentioned, is a core aspect of Creand Crèdit Andorrà,” he went on. “This objective also led us to participate in another operation, this time in the skiing industry, and we are now an active part of the new company SETAP 365, which represents the merger of the ski resorts of Soldeu, El Tarter, Arinsal and Pal in Andorra. This will enable us, as a country, to be more competitive in the international markets, with the all-country snow business unified under the Grandvalira brand.”

Along with sustainability, digital transformation is another essential pillar of Creand Crèdit Andorrà’s strategy, which it is pursuing on the basis of innovation, quality, inclusion and specialisation. “Our strategic goal is to respond to an ever-changing customer base and achieve digital engagement through personalisation and our enhanced omnichannel experience, which improves usability and makes it easier for businesses to handle payments.”

He does emphasise, however, that even with such a level of technological innovation, it is that most fundamental feature of customer service that will

define the Group’s future success. “That is why we strive to offer a personalised service that enables us to connect with customers, offer an optimal digital experience, and respond to their needs with the highest possible level of specialisation. Our strategy is to continue increasing business through the commercial offering and operations in the online channel, constantly improve the range of mobility and mobile payment applications, implement remote customer service tools and digitalise processes, such as digital signatures, all with a view to offering secure and sustainable services.”

Xavier highlighted Creand Crèdit Andorrà’s fast-track onboarding process as an example of this strategy in practice. “This innovative project allows for a close and personal relationship with customers, which simplifies processes and makes it possible to streamline and digitalise procedures. We are fully engaged in the creation of a bank of the future, driving a strategy based on embracing the new digital economy through business.”

Another phase of this strategy is guiding customers through the entrepreneurial ecosystem via the bank’s ‘Innovation Hub,’ an initiative he describes as “a pioneering project to generate and share knowledge between Andorra’s SME community and the start-up sector,” enabling users to find opportunities for mutual collaboration and boost business. The project, which has been developed by several areas all across the bank, brings together different economic players, professionals and companies under a common goal: innovating as a network and generating new business. “This project represents a further step in our drive to promote an ecosystem of innovation in Andorra, with the aim of sharing the knowledge generated both by the country’s companies and the new players, the start-ups. The idea is also to encourage collaboration between the different parties to generate added value for our customers, as well as in terms of our country’s economy and society.”

Given the way the business is constantly evolving, for Creand Crèdit Andorrà, this involves continuously looking to upgrade its value proposition, in which specialisation and expert advice is prioritised in terms of the product offering, technology, and digital transformation. “We have been pioneers in payment methods and mobile payments, and we are now working to consolidate our position in the instant payment sector,” Xavier said. “Also, 2023 marks five years since we launched Merkaat, the first 100% digital investment service in Andorra, which gives customers access to a premium offer. We have recently incorporated new functionalities such as the discretionary portfolio management service to offer greater convenience for customers, who can delegate the management of their investments.”

As the 2021-2023 Strategic Plan approaches its end, Xavier concluded with an update on what comes next and how the bank intends to build upon recent progress. “We are now working on designing the 2024-2026 Strategic Plan, with the aim of making Creand Crèdit Andorrà a benchmark for customer service, innovation and digital transformation, ensuring excellence and sustained and sustainable growth, both in Andorra and the other geographies where we have a presence,” he revealed. “We will continue to pursue the growth trend in the main business figures established in recent years. This translates into an increased contribution to the economic development of our shareholders, customers and employees, as well as to the progress of Andorran society.

“At the same time, sustainability and commitment to the environment in which we work will continue to be two fundamental axes for maintaining this growth and strength in order to consolidate a bank of the future. For this, we can rely on one of our most important assets: our expert and engaged in-house team that is committed to this shared goal.”

Anthony Venus Chief Strategy and Product Officer Quadient AR Yaypay

Automated invoices: The saving grace of the late payments crisis

It’s no secret that the global economy is entering difficult waters. In the UK, inflation is on the rise, leading to the Bank of England increasing interest rates for the 11th time in a row. For businesses, this means money itself is getting more expensive. Against this backdrop, it’s not surprising that 25% of UK businesses reported a lower turnover in February 2023 compared to January 2023. What’s more, the current economic situation means any delays to cash flow can be fatal. Yet late payments are on the rise. Research found that 87% of businesses reported that their invoices get paid after the due date, but that larger businesses are likely to wait the longest, with payment an average of 15 to 30 days after the invoice due date.

One factor that can mitigate the pain of late payments and make finance teams’ jobs easier is to address inefficiencies in invoicing by implementing digital solutions. Failure to modernise has serious consequences. In fact, with a legacy paper-based invoicing system, companies have reported accounts teams spend 3040% of their time on manual data entry. Automating invoice processes cuts this time – it ensures documents are accurate

and sent promptly so companies don’t waste hours chasing payments or inputting data. Automation also reduces the risks of hiccups in supplier and customer relationships caused by invoicing errors, and helps smaller companies hold larger companies to account – minimising the incidence of late payments.

Stopping invoicing issues in their tracks

Business often forget that finance is the front line of customer relations. Many customer issues stem from invoicing – from contesting an invoice, claiming payment for an outstanding invoice that has already been made, or seeking to renegotiate payment terms. If a finance team can deal with these issues effectively without needing to escalate them to other parts of the business, it is more likely invoices will be paid on time. In turn, customers can be rewarded with discounts for early payment or better payment terms. Automation ensures consistency, accelerates processing, and reduces the risk of human error.

Arming teams with the tools for success

Automation allows finance to generate, send and follow up on invoices consistently and with accuracy, so businesses can get paid faster. It also frees up time for members of finance and accounts receivable teams so they can deal with more important aspects of their role rather than chasing slow payers. As soon as an invoice is in an automated system, the platform will send an email to the appropriate person for approval – and regular reminders can be sent automatically until the invoice is signed off. This removes bottlenecks and reduces the risk of late payments.

The insights that automation provides teams through centralised dashboards and reports into customer behaviours also allow teams to understand their customers’ payments habits in depth, helping to stay ahead of potential challenges. For example, understanding what communication style will elicit a response from a customer, like whether you’re more likely to get a response over email or phone. This allows businesses to meet their customers where they are; a level of understanding that simply isn’t possible with legacy invoicing systems.

The future of invoicing

It’s important to note that while businesses can invest in automation and digital tools to combat late payments, given the power imbalances between small and large companies, they could also do with a helping hand from the government. There is currently a lack of regulation to ensure larger organisations don’t take advantage of their position. The only support that businesses have is the Prompt Payment Code, but as the Code is only voluntary it does little to enforce better payment practices. To truly change this power dynamic and improve late payments, the Code should be mandated as part of wider government initiative to create a standardised payment process.

In the meantime, and in the current economic climate, it is vital that organisations take their own steps to reduce their credit risk. This means achieving an accurate view of their finance situation at all times and arming finance teams for success. Intelligent invoice automation allows business leaders to quickly spot any potential cash flow issues and make changes to ensure issues are settled rapidly. With an automated invoice process, the finance team can future proof the organisation and eradicate the risky business of late payments.

Companies need to take preventative measures in tackling corruption and fraud

The requirements for organisations to ensure proper and effective regulatory compliance have become increasingly complex in today’s globalised world. The use of data in everyday business is growing exponentially, throwing up many complexities for corporates to manage, as is the profusion of cyberattacks both from outside and inside organisations. Throughout the world, governments, regulators, and other industry bodies are scrambling to keep up with the rate of financial crime (including corruption and fraud) and are continually introducing harsher penalties and more stringent regulation to provide a stronger deterrent.

But why is data usage increasing so rapidly? Partly it’s down to regulation and disclosure requirements but also it can be attributed to storage capacity. Computers are vastly more powerful than, say, a decade ago, with data being stored in the cloud. There is structured data including ERP and CRM systems, invoicing and product databases as well as unstructured data, often used for applications involving communications, such as video or audio files, WhatsApp messages or emails.

What is at stake from a company’s perspective is not just financial loss, but reputation. Companies that fail to prevent irregularities from occurring risk suffering significant damage, such as fines and possible loss of licences or even imprisonment of culpable individuals. The financial penalties can become considerably higher when operating on the international stage. For example, the Information Commissioner’s Office has the power to impose a fine worth 4% of a company’s total worldwide annual turnover if they have cause to believe a business made fundamental errors and did not follow due process. There is also the reputational damage, caused by negative publicity, which can affect brand loyalty as well as hit the company’s share price and valuation.

It is important to act quickly and decisively if irregularities occur and to build up internal competences and procedures in order to secure resilience and achieve growth.

Given this context, companies particularly working across international markets, simply have no choice but to invest in more preventative measures. Some companies are clearly more advanced than others in terms of having the right data analytics and system alerts, which are essentially tools that can be used to get meaning from data.

The point about data should not be confused. Yes, the sheer volume is growing exponentially and the complexity of data transfers, data management and data privacy gets more and more dense but if managed properly it can also be used advantageously through analytics, system driven alerts and notifications, and dashboards to identify and prevent incidents of corruption or fraud.

There is no “one-size-fits-all” in terms of compliance programs or solutions, as each company is different. What our many years of expertise and cross-sector experience assisting companies with various compliance needs has taught us is that the approach needs to be tailored, riskbased and technology-adapted to each company to ensure that it stands up to international best practice.

So, what are the actionable practical steps which companies can take?

First and foremost, it is vital to create an environment of trust, connecting compliance officers and teams to the rest of the organisation. The tone and the sincerity from the top and the middle of the pyramid is incredibly important. Compliance should not be viewed as a process or an afterthought; it should be part of the organisation’s DNA.

Training should be used as a measure for anything surrounding compliance and specific areas, if applicable, such as insider dealing within investment banks. It should be embedded on a continuous basis, covering policies and procedures, codes of conduct but also be tailored to the organisation so that it is meaningful for all employees. There should be training also in relation to ethics as well as whistleblowing. There must be an avenue for employees where they can comfortably and securely raise any potential concerns. Around the world, there is new legislation around whistleblower protection, but it is not well known or understood.

One of the most prevalent and recurring incidents that arise is when companies get unstuck by not having a proper handle on what external parties in their value and supply chain are doing, such as agents, distributors, resellers, or suppliers. Third-party due diligence is key in a rapidly shifting supply chain landscape and is an area where most corporates need to improve in order to manage their risks. It includes vetting third parties through the lens of ESG. There are platforms and systems available that can help organisations in the screening process, providing background checks and identifying any red flags that should be interrogated. Third party monitoring should be an ongoing process not just at the onboarding stage.

Risk assessments are also important. Companies need to understand their risks and any potential red flags. This is still the building block and cornerstone of a compliance programme. With increased and changing business pressures, ensuring ongoing monitoring of the risks of corruption and fraud must be key to being able to demonstrate to stakeholders an institution’s robust response to changing circumstances. It’s surprising how many companies don’t conduct them or do them so ineffectively as to render them futile. Businesses should endeavour to

understand their corporate risk profile based on the industry they are in, the customers or governments they are dealing with and so on. The internal controls need to then reflect what their internal assessment finds.

It is the regulators’ expectation that risk assessments are conducted at least annually.

One of the additional areas that would help from a preventative standpoint is moving away from operating within siloes. Companies that act like this and don’t have integrated systems and functions cause challenges that might lead to incidents slipping through the net.

Since the start of Covid and global lockdowns, remote working has become the ‘new normal’. One unfortunate consequence of this has been a significant increase in the number of social engineering attempts, exposing financial services companies in particular to both internal and external fraud risk. Monitoring and compliance became far more challenging with a dispersed workforce. Many businesses advocate the positives but certainly there’s a higher level of disconnectedness between bosses and employees following the rise of remote working.

Finally, in the event of any allegations or indeed charges of corruption or fraud, it is vital that organisations investigate thoroughly and based on any findings and learnings, put in place remedial actions to prevent recurrences.

Viktor Josefsson Director

Forensic Risk Alliance

A New Dawn of Legal Technology

A New Dawn of Legal TechnologyIn the mid1980s, a bright red computer terminal that provided lawyers with online access to case law was an iconic status symbol. The UBIQ terminal hooked lawyers up to the Lexis service, at the time one of the first legal technology systems, using full-text search capabilities to provide rapid access to information. The conventional wisdom at that time was that computers were soon going to make extensive legal libraries and paper obsolete.

Thirty-five years on, what has happened? After years of chronic underinvestment in technology and embracing data and systems at the core of the digital agenda, lawyers remain comfortable with paper. Legal documentation has not been effectively digitised and, as a result, legal teams continue to wrestle with data management.

With the next inflexion point in legal technology evolution, including artificial intelligence and smart contracts, fast arriving, Eric Mueller, Chief Operating Officer and Managing Director, D2 Legal Technology and early Lexis developer, asks: Is the legal function finally ready to embrace legal tech and unlock tangible business value?

Iconic Legal Tech

Senior lawyers have been lampooned for years for their lack of technology confidence. Yet each subsequent generation has failed to embrace the innovation in legal tech that could and should have transformed the industry. Thirty-five years ago, however, lawyers were ahead of the curve. A decade before the commercial arrival of the Internet, easy to use browsers and intuitive search engines, there was huge excitement surrounding Lexis, one the first legal technology products.

In 1987, I was a system developer on the advanced technology team of Lexis, and it appeared the legal environment was ready for significant change. The service provided access to all legal case law – and it was highly intuitive. Development focused on natural language processing (NLP) – a subject still debated today as chatbots become more sophisticated. It included hypertext in an era long before browsers, and used powerful full text search based on key words with Boolean operators, with search results presented in the ‘by relevance’ list, now ubiquitous with any search engine.

In contrast to today’s information services, it was expensive. With no commercially available access to the Internet, Lexis had to accessed through dedicated terminals. The price was per search, putting pressure on users to be very focused on their search terms. The clever decision to use iconic 1980s design to create the red UBIQ terminal, combined with the premium price, heightened the service’s status: the presence of a UBIQ on a lawyer’s desk was a sure sign of success. High profile senior lawyers saw legal technology as the future.

Frustrating Inertia

What happened? When lawyers had online access to case law thirty-five years ago, it seems utterly astonishing that the adoption of legal technology has been so limited ever since. This was a tool delivering tangible value. It was revolutionary, replacing the expensive libraries of case law books that required regular updates. It removed the need for dedicated librarians and time-consuming manual search. And while it was expensive, it was a cost that could be both charged back to clients and justifiable in the removal of the paper-based case law libraries.

Eric Mueller Chief Operating Officer and Managing Director D2 Legal Technology

Lexis completely changed the way lawyers search for information. One of the services even included the ability to construct a dedicated library that could host any type of document, leveraging Lexis’ ground breaking, full-text search capabilities, and thereby enabling the storage of legal agreements in the database. So why did the adoption of legal technology fail to evolve? Lawyers were slow to adopt PCs and they were behind the curve in mobile technology. Many legal teams still lack access to fully digitised records and their concerns relating the potential use of smart contracts are linked to a lack of widespread digitisation.

It is extraordinary to consider what the legal industry could have achieved if the early adoption of legal tech had not stalled. Sadly, rather than being innovative and embracing the potential of digital records, the industry has underinvested in both legal technology and good data management for the past three decades. Generation after generation of lawyers have failed to take advantage of the power of legal tech to improve client services, reduce risk and enhance efficiency.

Business Case

The impact of this lack of investment is evident in every legal environment – from the financial services’ in-house teams to law firms. These organisations continue to struggle to manage large volumes of legal documentation, resulting in additional risk, cost and a loss of productivity. Yet the technology has been available, proven and trusted for decades.

Lawyers have, quite simply, failed to step up and make the business case for investment in legal tech. While other industries have forged ahead, lawyers have accepted the status quo, continued to rely on paper-based records and timeconsuming manual processes. Opportunity after opportunity to improve the efficiency and effectiveness of the legal function has been missed.

Now, however, it is becoming essential to take a far more proactive approach and truly understand the power of legal tech. Debates about the disruptive technologies such as AI and chatbots are increasingly placing a spotlight on the role of the lawyer of the future. But how can any legal function consider this next wave of tech innovation when still reliant on outdated processes and undigitised information resources? It is now vital that lawyers step away from the paper-based comfort zone, explore the benefits of legal tech and actively make the business case for investment.

Conclusion

The world has changed massively since 1987 and the rate of change is increasing. It is completely unacceptable that legal functions are not effectively using mature legal tech to improve data quality and accessibility or to support automated processes and de-risk operations. Document digitisation is now a fundamental requirement, not only to meet current demands but to also ensure the legal function is best placed to respond to the challenges of the near future.

The legal industry missed a compelling opportunity to build on early innovation – and it cannot afford to roll the clock forward another 35 years without making vital investment in embracing the increasingly digital world.

What you need to know before hiring C Suite executives as a scale-up

Finding talent is often a challenge for founders, especially during a period where talent is scarce. And it gets exacerbated when the goal is to hire top C-Suite Executives. The talent pool becomes smaller, and it is increasingly difficult to lure top executives away from larger companies in uncertain economic times, even with a high salary and a strong benefits package.

• Focus on Energy, Intelligence and Integrity

There are three key factors that make top level executives successful and lead the company to greatness, and they come down to:

• Energy: Does this person have ambition and self-motivation required to succeed in the role?

Rafael S. Lajeunesse Founder and CEO ReachX

In addition, you have to make sure your candidate has the right fit and that they can confidently fulfill the goals you’ve set out for them and the company. Below are some considerations to ensure you get the right person the first time.

• Intelligence: Does this person have thorough experience of their industry, not just when it comes to challenges, but new developments and identifying opportunities?

• Integrity: This is a defining factor among those who are an asset and those who are liability – do they have good principles? This characteristic helps your company survive in a crisis, the one that stops your company landing in hot water.

• Look for a mix of problem solving and operational experience

This is a much higher requirement for growth companies with a “Can Do ” attitude. Many talented executives grow accustomed to having an army of people to execute for them, but when joining a scale-up they need to be able to deal with issues that come their way, but also still have their ear to the ground to be successful in this role.

Hiring an C Suite Executive for a role like this can be tricky, as most are used to a more managerial role, where they lead teams rather than execute. Bearing this in mind, make it clear when you hire this person that the role requires someone who’s happy to get involved in the more practical aspect of the job rather than just advise. This also means they’ll be keen on pushing things over the line and getting projects completed.

• Get someone who is results oriented

As a scale-up, you generally have demanding investors who are very KPI or OKR oriented. They want to clearly see what milestones have been hit and what’s next. That’s typically the root of the “agreement” between companies, management and investors.

In this case, the person you’re hiring must always have the end goal in mind when it comes to the activity they’re owning. “How will activity x accelerate our growth and when does it need to be done by?” is a question they should be frequently asking themselves as well as ensuring deadlines are met.

As investors want to see a topline overview of how the company is achieving milestones and how quickly, having C Suite Executives who can all think this way will help you showcase progression much more easily.

• They must be aligned with your values

This is especially true for younger companies (it also depends on the CEO and founder mindset), it’s important that anyone you hire at a C Suite level shares your company values. It’s not to say that these can’t be refined over time, but it’s important when hiring people who will have such a big impact over your company because they’ll shape the direction of your company.

Values can also help attract talent, in addition to a high salary or benefits package. If someone truly believes in your mission, the work you’re doing and the way you do it, then value alignment can help you weed through who’s the best fit if you’re presented with several people who all have the right skillset.

• Share your purpose

We’re seeing that purpose has increasingly become a top motivator for employees when it comes to taking a new position. This purpose might be that your company helps the planet, helps communities or helps society in some way. This can go a long way in attracting the right talent because it’s a greater motivator than profit alone.

• Accept mistakes and experiment

Hiring is one of the most difficult activities for a Founder, so you have to accept you will make mistakes and have to let go of people when things don’t work out. The fine balance is how long do you give a situation to see it play out? We generally sense that after 2 or 3 months you have a good enough sense of the people you are working with. We also always recommend to our clients to start with a project for 2 or 3 months and really get a sense as to whether the candidate can be the right partner. From experience, it is a good approach for start ups rather than go through the full hiring process.

What do financial leaders need from their UC analytics tools?

There’s no doubt that the financial services industry is experiencing an evolution.

With a rise in modern fintech firms, traditional high-street banks have been forced to sit up and take notice. The next generation of customer — an increasingly tech-savvy consumer — is becoming enticed by the range of benefits offered by challenger banks. So, with an ageing client-base, how can traditional banks begin to tip the balance?

Certainly, attracting and retaining customers must be a priority. But if one of the key benefits of a traditional bank is its high-street presence, amid a raft of branch closures, how can they retain loyal customers, while appealing to a new breed of banking user?

Insight is the key, and lots of it. But what exactly do financial leaders need from their UC analytics tools?

An ability to enhance customer service

One of the things customers love about going into the bank is the personal service. There’s the opportunity to build a rapport and trust, with a single person — without waiting hours on the line for a response. So, for people who are suddenly expected to change the way they’ve always done business, their experience needs to be seamless. Likewise, for a tech-savvy generation, they want answers at their fingertips. This kind of consumer isn’t afraid to switch providers, so those who don’t fulfil their expectations, may not be given a second chance.

Analytics provides a means to help financial institutions enhance their omnichannel communications, ensuring ease of access, and a swift response — via whichever method of contact a customer chooses.

When it comes to telephony, monitoring the number of calls, the length of wait times, and documenting any calls that are missed, unlocks a vault of knowledge — enabling financial leaders to gain a greater understanding of customer habits and plan their staffing resource to respond accordingly.

A means to drive future improvements

With an abundance of data at their disposal, financial leaders can drill down into insight to discover customer trends, to understand where the organisation is excelling, and in which areas further attention is required.

Better still, the information gathered can be blended with other data to establish patterns. For example, looking at which calls have been missed, or have bounced from number to number, cannot only help to identify areas for improvement but also assist in pinpointing customers whose experience hasn’t been positive. As a result, this offers the option to repair any breakdown in relationship, before the customer is lost to another provider.

Through the wealth of data generated on a daily basis, financial leaders can effectively plan for the future — whether that means adjusting staff ratios to account for changes in demand, identifying training needs, or justifying decisions to upgrade equipment and improve call quality.

Assess risk

Fraud presents an increasingly common risk to the financial sector. In fact, it’s estimated that the industry prevented £736.1 million of unauthorised fraud in the first six months of 2021, equivalent to £6.49 in every £10 of attempted unauthorised fraud being stopped without a loss occurring.

Analytics can help in detecting disingenuous calls, highlighting suspicious numbers so that any resulting encounter can be approached with the appropriate levels of caution. It also plays a valuable role in risk modelling — identifying customers who present a fraudulent risk to the organisation through a variety of activity such as multi-claim challenges or impersonation.

Address the need to remain compliant

But with platforms such as Microsoft Teams only storing data for a short amount of time, if not retrieved and stored elsewhere, the insight will be lost forever, raising compliance issues and making historic reporting difficult.

Should a customer raise a complaint two years later, companies without the relevant data could find themselves liable — a scenario that can easily be avoided with the use of the correct UC analytics tools, with unlimited storage capabilities.

Amalgamate data sources to produce meaningful insights

With financial institutions using a variety of communications platforms, they are faced with vast quantities of data that are dispersed. Finding a way to amalgamate and make sense of this wealth of intelligence is invaluable.

Doing so manually is not only labour and time intensive, but potentially inaccurate too. However, by utilising UC analytics tools, data from diverse sources can be viewed through a single pane of glass to provide meaningful, contextualised insight which can be used to inform and positively transform an organisation.

Ben Nicklen

UC and workplace data analytics software organisation, Tiger