Presentation on theme: "Oracle e-banking solutions With a focus on Generation Y Pal Ribarics Oracle Financial Services Analytical Solution Product Manager."— Presentation transcript:
Oracle e-banking solutions With a focus on Generation Y Pal Ribarics Oracle Financial Services Analytical Solution Product Manager
2 Agenda Oracle as a Strategic Partner – Oracle Generation-Y Initiative Oracle CRM e-banking extensions – Real time decisions – Social media integration Case Study : Jibun Bank
3 Boomer generáció ( kb ) – Akiknek már volt színes kép a gyerekkorukról is – Akik látták a szocializmus felemelkedését és bukását – Akik közül a férfiak még a kórház folyosóján várták a gyermekük születését X generáció ( kb.1960 – 1980) – Akik ha hajnali 2-kor felkelnek és kimennek WC-re, visszafelé ellenőrzik az -jüket.. – Akik ha észreveszik hogy otthon hagyták a mobiljukat, pánikszerűen rögtön visszafordulnak – Akik a Google keresőben keresnek mindent az interneten Millenium – Y generáció ( kb.1980 – 2000) – Akik mindig is úgy tudták, hogy Michael Jackson fehér volt – Akik a nyári üdüléskor a szállodában a WIFI hozzáférést ellenőrzik legelőször – Akik szerint az már egy elavult kommunikációs forma – Akik Google keresés helyett, chat-en kérdezik meg milyen mobilt vegyenek Generációs különbségek Forrás: Mind the Gap, Graeme Godrington and Sue Grant-Marshall
4 Next Generation Customers Have Arrived Estimated to be about 17 percent of the world’s population 1 Distinctly different from previous generations as it is shaped by new technology like the mobile phone and the internet Over the next 10 years to constitute the majority of ‘wealth accumulators’ Expected to have a higher disposable income than their predecessors The Next Generation Customers In Age Group Tech-savvy generation Believes in spending now and saving later A well connected generation that used social media and mobile extensively Financial novices Characteristics 1 U.S. Census Bureau, International Database – December, 2009
5 Capitalize On Oracle as Strategic Partner Back Office Flexibility to customize products Products in partnership Relationship Pricing Faster time to market Reporting and compliance Infrastructure Reporting and compliance Scalability to support growth High performance Green Infrastructure Front Office Effective distribution network Faster response time Personalized services Multi channel reach Interaction outside the bank Oracle FLEXCUBE Direct Banking Siebel Branch Teller Siebel CRM (+ social media) Oracle FLEXCUBE EXADATA V2 Oracle Financial Services Analytical Applications Oracle Revenue Management and Billing
6 Oracle CRM e-banking extensions Real Time Decisions
7 “Intelligent personalization” RTD recommends ‘Next Best Activity’ across all channels Newsletters PDA Web Call CenterIn Person Kiosk / ATM WebMobile Web LettersReceipts RTD
8 Business Process Optimization Customer Interaction Process Enterprise Information Model RTD Business Rules & Self-Learning Predictive Models Inputs Process data & context Process decision point & feedback Recommends products and services in real time in the context of each interaction e.g. Call reason, Agent skill level, Time of Day, Pages Seen, Links Clicked… Takes into account multiple, competing business priorities e.g. maximise revenue whilst minimize cost and ensure channel compliance Automatically learns and self-adjusts based on feedback to continuously improve results Significantly more advanced and scalable than “rule-based” systems Integrates across multiple interaction channels e.g. web, call centre, teller, kiosk, etc RTD Powered Intelligent Personalization What Does it Do?
9 Solution Components Consistent Recommendations Any Channel supported RTD / Siebel eCommerce Integration RTD / Siebel Call Centre Integration 3 rd party Call Centre Integration 3 rd party Application Integration 3rd party eCommerce 3 rd party Application Integration RTD Application Integration Prebuilt for Siebel Integrate as appropriate Decision Service RTD X-sell, Upsell, Loyalty Decisioning Logic Custom Built Business Logic (e.g. Risk Mgnt) RTD Process Flows Prebuilt customer commerce logic Build as appropriate RTD Shared Decisioning Engine RTD Core Technology Decision Engine shared across applications CRM & Enterprise Systems Data Warehouse 3 rd Party Data Data Mining Customer Insight sources Leverage existing investments = Prebuilt Oracle RTD Solution Component = Custom Build & Integration capabilities Call Center In Person Web Letters Channels
10 Retail Banking Goal:- Improve cross-sell and retention through customer service contact centres and branches Usage Scenario:- “When a customer uses our banking services or needs assistance through our contact centre or branch, would it help to achieve our customer retention goals, if at the moment of contact our CRM system intelligently predicts and recommends a new service for the client, that will not only satisfy the client, but is also the most profitable offer that has a high likelihood of acceptance by client?”
11 Retail Banking Goal:- Maximise revenue impact of every customer contact, e.g. due to constraints on outbound selling such as “do not contact” legislation. Usage Scenario:- “When a customer makes contact with us through any channel (contact centre, branch, web-portal, ATM), would it help to maximise the wallet share with that customer, if our CRM system, could take into account the reason for their call / visit, their history with our company (through all channels), their importance to our company and our current offers and business objectives in order to recommend the treatment / offer for that client that they are most likely to accept?”
12 Oracle CRM e-banking extensions Social Media Integration
13 The Challenge Social Conversations aren’t tracked in Oracle apps B2C Consumers are preferring social media over other channels, bypassing the contact center
14 Buzzient – Social Media SaaS Analytic measurement of social media Integration with contact center and CRM applications Seamless inclusion of social media channel in Oracle CRM On Demand
16 Buzzient Overview Fully automated data collection from millions of online sources, including historical data Monitoring of discussion boards and social networks such as Facebook and MySpace Monitoring of reviews such as Amazon and Facebook Real-time analysis of Twitter conversations Integration to enterprise applications Automatic Service Request, Solution and Lead creation Extensive Analytics, Alert and Notification Features
17 Jibun Bank Case Study Integration of Telecom & Finance
18 Jibun Bank : 2009 e-banking summit Mobil telefonos bankolás Közös vállalkozás a 2. legnagyobb japán mobil szolgáltató (KDDI) és a legnagyobb japán bank között (Bank of Tokyo Mitsubishi) Oracle Flexcube Direct Banking felhasználó ügyfél 6 hónap alatt, 5 % piaci részesedés Szolgáltatások 30+ banki szolgáltatás Új ügyfelek és számlanyitás mobil telefonon keresztül Automatizált KYC folyamat létező mobil telefonos ügyfelek részére Lekérdezések és tranzakciók folyó és megtakarítási számlákra valamint lekötött betétekre Közös mobil és Internet felhasználó azonosítás Mobile to Mobile transzfer, Mobil telefonos fizetés Több mint 35 mobil értesítés (push alert)
20 Jibun Bank Current mobile banking situation
21 Why people don’t use mobile banking (examples) ■ Troublesome screen operation ■ It seems somehow difficult to use. July 2007 Survey by Jibun Bank: N=3,720 Obstacles to mobile banking usage Basic obstacles such as security concerns and poor visibility/operability are highlighted. ■ Not many services/functions are available. ■ Security concerns in case the mobile phone is lost ■ Troublesome application procedures; No time for them ■ The screen/font size is too small.
22 Strictly Confidential Over the counter at branch offices Alternative method Mobile banking treated as a secondary channel to assist the over-the-counter & PC channels ATM （ CD ） PC banking Mobile banking Alternative method Starting status of mobile channel Alternative to an alternative to an alternative... ↓ Its inconvenience is only “natural”. Counterintuitive thinking = “Mobile banking as the main channel”
23 Jibun Bank Business concept
24 Mobile banking Alternative method Banking services using mobile phones as the “main channel” PC banking ATM (network) Brand new banking services differentiated from the existing mobile banking Counterintuitive thinking Alternative method
25 Banking built into a mobile phone Easy safe banking transactions whenever & wherever Personal bank designed for each individual customer Bank Customer’s mobile phone serves as a portable bank.
26 “ Mobile-specific” services “Mobile-specific” features Services based on such features Provide a “natural” level of services, in terms of “use of a mobile phone”. Easy & convenient Simple & carefree Personalization Allow the user to transfer money easily by using their mobile number rather than their account number, just like sending an . Use contactless IC technology to install a range of cashless transaction functions to their mobile phone. Allow the user to choose their favorite icons in some functions such as Jibun Bankbook saving planning and simplified household account book functions. Whenever & wherever Provide the user with an easy and highly secure transaction environment, using their mobile handset ID for authentication.
27 Jibun Bank Pursuit of ease of understanding and usability
28 Intuition Allow the user to understand provided services through their intuition Operability Minimize the number of clicks needed to get what they want Provide overwhelming superiority to the user interface. Commitment to the user interface
29 Main Menu Jibun Bank transaction page Go to the target page by a single click One click Initial placement on the launcher
30 Monthly accountsChange in balanceTop page after login Screen change by clicking a tab Typical traditional screen image XX Bank Direct Announcement Balance inquiry Deposit/withdra wal detailsMoney transferSpecial t ransfer... Banking expression “naturally” expected by mobile phone users Deposit/withdrawal details Jibun Bankbook
31 Jibun Bank “Mobile-specific” services
32 Jibun Bankbook page before opening an account Easy quick account-opening process whenever & wherever Enter personal information Use the built-in camera to photograph the driver ’ s license and send it directly Within a week, a cash card will be sent to home to complete the account-opening process. Quick account-opening Data entry is minimized by using the existing subscriber information already registered for the mobile phone. It takes only minutes up to this point
33 Quick account-opening Many of the back end processes managed outside Outsorcing to best of breed players
34 Transfer process is completed, just like sending an . Select a recipient from the address book Enter an amount/messageTransfer completed *The recipient receives a notification when the money is transferred into their account. Money transfer using a mobile phone number
35 Mechanism enabling seamless coordination from a shopping/auction transaction page to the bank settlement page Select payment method ●Jibun Easy Payment 〇 au Jibun Card payment ＝＝＝＝＝＝＝＝＝ 〇 Bank money transfer 〇 Credit card payment 〇 Payment on delivery 〇 Delivery at convenience store ■Branch name: XXX ■Account No.: ■Account name: Wagashiya ■Amount: :1,552 yen To confirm, enter your PIN. **** Jibun Easy Payment Payment process complete! Your payment has been confirmed. The product will be sent to you. ①② Jibun Bank settlement Decide what to buy Select a settlement method Confirm the amount to be paid Payment process completed
36 “The dollar/yen rate has reached your target!” To forex saving account To forex term deposit When a specified rate is almost reached, an is sent to the mobile phone. Service leveraging the “whenever” nature of mobile phones “The dollar/yen rate has reached your target!” “Mobile phone” taken to wherever, whenever Constant “fluctuations in exchange rates” Financial product (Foreign currency deposit) Financial product (Foreign currency deposit)
37 Easy operation & secured privacy The application procedure is completed when information required for loan assessment is entered via the mobile phone. Then, the assessment starts immediately. Data entry takes about 10 minutes. Assessment starts Card loan Notification for assessment completion, loan (execution), and reminder notice (in case of a delay in payment) are all enabled via the mobile phone function and handset operation. The entire procedure from loan application to borrowing is completed by “using only a mobile phone”.
38 Card loan Many of the back end processes managed outside Outsorcing to best of breed players
39 Jibun Bank Security – Coexistence with convenience
40 Hardware Unique mobile subscriber number (linked to only one user) is used as the authentication key (via the au information link service). Network Phishing/spoofing attacks are prevented through utilization of mobile phone network characteristics. Security measures using mobile phone features Software ATM-lock and PC-lock functions can be set from the mobile phone belonging to the subscriber.
41 During the account-opening process (a proactive approach) Name, birthday and address are checked on the system to prevent the user from opening multiple accounts. (The system sends a warning to those who apply for multiple accounts under the same address.) As an Internet bank, a special focus must be placed on complete and proactive prevention. During the transaction process (a water’s edge approach) The system checks for any suspicious transaction. Prevention of fraudulent accounts & crimes
42 Jibun Bank Strategic IT utilization
43 Introduction of FLEXCUBE Oracle “FLEXCUBE” introduced as the core system Parameter-driven architecture for the maximum flexibility in product design Introduction/operation cases in and beyond Japan XML and other widely-used protocols for flexible coordination with external systems J2EE-based software development for scalability Both rapid development of new products and stable operation of banking services can be achieved.
44 System configuration Flexible coordination with external systems Wide range of transaction channels Introduction/ operation cases in and beyond Japan Parameter-driven product design (for easy customization) J2EE-based Software development for scalability The flexibility of the system is guaranteed through coordination among various layers such as channels, front office, back office, and external systems.