2015 was great for some and not so great for some in banking and financial sector in some parts of the world. However irrespective of the geographical attachment banks and financial institutions will have to concentrate on following vital few to make 2016 a memorable one.
- Business Model innovation – Time is ripe for the business model innovation to make the businesses more sustainable in 2016, old business models will not deliver the desired results, a little bit of shakeup in necessary.
- Operating and Support Model Innovation – support functions around the businesses need to innovate itself. For example say in last many years front end business models have been digitized a lot while the support functions are still working in old age style.
- Digital Eco System – Need to create a digital ecosystem – currently lot of digitization efforts are in silos (connect the dots).
- Unsustainable hiring and expansion plans – It is very critical that strategy must be clear from day one and get rid of immature way of doing unsustainable hiring on the pretext of unsustainable expansion plans.
- Major Breakthroughs rather than Incremental Gains – In 2016, banks and financial institutions should be looking for major breakthroughs and not just small incremental gains.
Last but not the least this is the time to think beyond usual banking.