THE CIO ROLE ON THE NEW FINANCIAL ENVIRONMENT Gustavo de Souza Fosse Banco do Brasil Board of Technology Organized by:

EVOLUTION OF IT ON THE BANKS Data Consolidation Management Support 1980 Process Automation Closer to the business Great Evolution of IT Services 1990 Customer relationship Business on Virtual Places Governance 2000 Efficiency Delivering Value Regulation 2010

“The entertainment industry and financial are the greatest examples of digital companies”. MIT/CISR (Center of Information Systems Research) EVEN MORE SOPHISTICATED IT USAGE BUSINESS RELIES ENTIRELY ON IT

“The world's 30 largest (by assets) banks continue to fund initiatives in mobile financial services while increasing investment emphasis on online for retail and commercial customers, and physical customer touchpoints to facilitate more self-service capabilities”. Gartner : Top Banks and Their IT Plans and Investments, 2H11 MOBILITY IS INCREASINGLY SIGNIFICANT CUSTOMER CONVENIENCE AND DEMANDS NOT ACCEPT WAIT.

“For the first time since this CEO Study series began in 2004, technology now tops the list of external forces impacting organizations. Above any other external factor — even the economy — CEOs expect technology to drive the most change in their organizations over the next three to five years.”. IBM – Leading Through Connections – Insights from the Global CEO Study – May 2012 IT HAS A ROLE PLAYER IN GROWING BUSINESS

“Banks need to put the user experience at the center of discussions. It is essential to have a good architecture for developing new solutions, in addition to the heavy use of analytical tools and building security mechanisms and that this can be clearly communicated to the user”. Nilton Omura - Ernst & Young Terco, CIAB Day 2012 COMPANIES DIFFER IN CUSTOMER EXPERIENCE IT IS AN ESSENTIAL PART OF THAT EXPERIENCE.

Y Generation Quick Emergence of New Technologies IT Innovation Big Data Spreads decrease Efficiency Internet of Things Lifecycle decrease Mobility and Convenience SCENARIOS AND PROSPECTS

PRESSURE ON THE EFFICIENCY * Efficiency Loss Deployment of Strategic Projects Long term Maturation Internal Factors Growth Trends of Administrative Expenses Foreign Market crisis Spreads Decrease Shrinking Global Economy Demand for Capital Basel III “Changes in economic and regulatory scenery and internal environment of banks...” External Factors

EFFICIENCY* STANDING OPTIMIZATION OF AVAILABLE RESOURCES TO VALUE CREATION FOR EVERYONE WHO HAS RELATIONSHIP WITH THE BANK.

THE ROLE OF IT* Define Strategy Build Capabilities Operate Reliability Exploit Value Creation Ref. Dr. Jeanne Ross – MIT-Sloan-CISR DefineBuildOperateExploit

Define, Build and Operate - Traditional role - Expense reduction - IT productivity Ref. Dr. Jeanne Ross – MIT-Sloan-CISR BuildOperateExploit THE ROLE OF IT* Define

Exploit - Greater effect on the operating result - Business Productivity - Require new skills Ref. Dr. Jeanne Ross – MIT-Sloan-CISR BuildOperateExploit THE ROLE OF IT* Define

Ruled by constantly adapting to new realities; Strategic vision, innovative and transformative; Understand the business, its key drivers, and influence or even change the way future of organizations; Position themselves as business partners of their peers and ever deeper the analysis as a way to predict the future technological trends. THE CIO ROLE *

RESULTS Sustainable Results Shareholder Satisfaction Contribution to Society

Organized by: Gustavo de Souza Fosse