Smarter analytics for banks

McKinsey

Banks have a strong foundation in using data. New research reveals how they can get even more from their analytics investments. Insights on Financial Services

Consulting or Banking

Tom Spencer

This post provides you with a high level comparison of management consulting and investment banking. Investment banks help companies raise money for various purposes including investment, acquisitions, and provision of working capital. (Source: Google Images).

Management Consulting versus Investment Banking

Management Consulted

The cons of investment banking – the long hours, the repetitive and unengaging nature of the work, the lack of non-finance exit opportunities – mattered far more to me than a 6-figure salary. Investment banks, on the other hand, have a more competitive, hierarchical setup.

Rewriting the rules in retail banking

McKinsey

Four important trends are changing the terms of success in retail banking. Banks need to act now to develop new skills. Insights on Financial Services

Global Corporate Banking 2016: The Next-Generation Corporate Bank

BCG

Corporate banking is a tough business. In fact, BCG’s most recent Corporate Banking Performance Benchmarking survey—of 300 corporate banking divisions around the world serving the small, midmarket, and large business segments—found a dramatic split between the best and the rest.

Is AI the Solution for the Banking Sector? (Part I: Problems)

Tom Spencer

The financial services industry has seen drastic technology-driven change over the past few years, and digital has fundamentally reshaped consumer behaviour in banking. However, customer expectations are high and it is difficult for banks to decide which technologies to focus on.

Bitcoin, Digital Currency and The Future of Banking

Tom Spencer

When news broke in late October that some of London’s largest banks were investing in Bitcoin , cryptocurrencies in general got another boost. Bitcoin itself was created by technologists and programmers with a deep-seated mistrust of central banks themselves.

Banking on Digital Simplicity

BCG

Despite a tentative financial recovery, the retail-banking industry faces unrelenting, disruptive challenges. Banks that hope to prevail must urgently pursue digital simplicity. BCG Banking Pools data shows that global retail-banking revenues rose 3% in 2015, to nearly $1.6

Ralph Hamers on Disrupting the Banking Industry

BCG

The bank’s stated purpose: “Empowering people to stay a step ahead in life and in business.” To this end, ING aims to simplify the banking experience, making its services fast, easy, and accessible. Video Tuesday, September 20, 2016.

A bank transforms itself by transforming its culture

McKinsey

Putting its people first has been the key to a Brazilian bank’s successful transformation. Digital Insights

Managing a customer-experience transformation in banking

McKinsey

As banks rush to transform their customer experience, it’s easy to trip up. Here’s how to execute a step change that moves ahead of competitors. Insights on Financial Services

Data sharing and open banking

McKinsey

The potential benefits of open banking include improved customer experience, new revenue streams, and a sustainable service model for underserved markets. Our Insights

Looming Banking Crisis?

MishTalk

Below is a transcript excerpting the main parts of the first section of the interview on the problems in the European banking system and what measures might be taken if push were to come to shove.

Digital banking in Indonesia: Building loyalty and generating growth

McKinsey

Indonesian consumers are embracing digital banking. To attract them, banks need to take an active approach. Insights on Financial Services

The balancing act: Omnichannel excellence in retail banking

McKinsey

To capture the full value of digital distribution, banks need to make sure the human touch is still part of the equation. Insights on Financial Services

Open banking’s next wave: Perspectives from three fintech CEOs

McKinsey

The CEOs of Ping Identity, Plaid, and Tink share their views on the prospects for open banking and the pressing need for players to develop a data and customer strategy.

Wholesale Transaction Banking: Leveraging “Fin” and “Tech”

BCG

Although B2B does not grab as many headlines as C2B, significant pain points still exist for banks’ corporate customers, and the opportunity to solve problems and deliver value is sizable. Article Monday, September 26, 2016.

Customer mindshare: The new battleground in US retail banking

McKinsey

As customer expectations continue to evolve, banks need a new way to measure the effectiveness of their acquisition and retention strategies. Insights on Financial Services

Six digital growth strategies for banks

McKinsey

Banks that know where to look can find new sources of untapped value. Digital Insights

The transformative power of automation in banking

McKinsey

A second wave of automation in banking will increase capacity and free employees to focus on higher-value projects. To capture the opportunity, banks must take a strategic, rather than tactical, approach. Our Insights

Visual Capitalist: Great Infographics

Consultants Mind

Learning Banking Infographics money visual capitalistConsultants are very visual people, because our clients are. Executives like to seem complex ideas and data simplified, so it is easy to understand and act upon. Clients pay to see simplicity. Simplicity is difficult to do well. Infographics are fun.

Fintechs May Be Corporate Banks’ Best “Frenemies”

BCG

For all the angst over the disruptive impact of financial technology providers, the smart money in corporate banking sees fintechs as strategic allies, not enemies. Over the past decade, the fintech market has become a hotbed of customer-centric banking innovation.

Bank of America Tests Peopleless Banks

MishTalk

Banks do need those services of course, but do those services have to be in every location? Tellers, cashiers, loan officers: Who needs em? Will video teleconferencing suffice? more…). Economics

Banks in the changing world of financial intermediation

McKinsey

Banks sit at the center of a vast, complex system that intermediates more than $250 trillion in global funds. What happens when the system itself is significantly streamlined and reshaped? Insights on Financial Services

A bank branch for the digital age

McKinsey

Far from rendering the bank branch obsolete, digital technology holds the key to the branch of the future. Insights on Financial Services

Building the corporate bank of the future

McKinsey

Corporate banks have delivered steady returns but face daunting challenges. To succeed in the coming years, they need to find another gear. Insights on Financial Services

Customer experience as a value driver in German retail banking

McKinsey

New research shows that when banks invest in delighting their customers, the returns are significant and measurable. Insights on Financial Services

Retail Banks at the Crossroad

BCG

Nearly eight years after the financial crisis, the performance of many retail banks is still disappointing investors and financial markets, particularly in Europe. In fact, retail banks have to reinvent themselves. Article Tuesday, June 21, 2016.

Ten lessons for launching a greenfield digital banking business

McKinsey

For some incumbent banks, the launch of a digital-only business can help meet customer needs and defend against fintechs. Insights on Financial Services

Project Midas: "Bad Bank" for "Bad Banks"

MishTalk

I seriously do not understand this "Bad Bank" concept. If for some reason you disagree, please note that Spain now needs a "Bad Bank" for "Bad Banks". Via translation from El Economista, please consider Another bad bank? The government is considering transferring the debt of insolvent banking business to a fund The Government is considering the possibility of creating a fund or financial vehicle to which banks could transfer the debt of insolvent companies in crisis.

Becoming a digital bank

McKinsey

Chief technology officer Mike Murphy discusses Standard Bank’s shift to agile software development and how it has helped improve service delivery and internal processes. Our Insights

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Reaching Asia’s digital banking customers

McKinsey

Asia’s banking customers are migrating to digital channels in force. The challenge for the region’s banks is to deliver superior digital experiences before competitors do. Insights on Financial Services

For US banks: A time for transformation

McKinsey

To achieve robust performance and meet market expectations, US banks will need to embark on ambitious and holistic transformations. Insights on Financial Services

African retail banking’s next growth frontier

McKinsey

The region’s winners are likely to emphasize a few key themes—such as going digital first or making banking leaner and simpler. Revenue could pick up significantly in the next five years. Insights on Financial Services

Big Banks move internship recruiting back – what it means for consulting internship recruiting

Management Consulted

The post Big Banks move internship recruiting back – what it means for consulting internship recruiting appeared first on Management Consulted. The potential for spring internship recruiting madness is over – at least temporarily. Earlier this week, Wall Street titans Goldman Sachs and JP Morgan announced (mercifully) that undergrad internship recruiting would move back from Sophomore spring to the fall of … Continue Reading.

Number of Banks and Percentage of Problem Banks Over Time

MishTalk

Most understand the "too big to fail" banks have gotten bigger and bigger over time as they swallow up smaller banks bit by bit. Here is the concept in picture form courtesy of reader Tim Wallace. Click on any chart for sharper image.

PSD2: Taking advantage of open-banking disruption

McKinsey

But to win, banks will need to capture this disruption and turn it to their advantage. Europe’s second Payment Services Directive opens attractive opportunities for established payments organizations. Our Insights

Plotting the Number of Banks: Is the Goal One "TBTF" Bank?

MishTalk

Reader Tim Wallace sent in a spreadsheet on the total number of banks. click on chart for sharper image Whatever happened to the idea that something needs to be done about "Too Big to Fail Banks"?

Will Industry Stacks Be the New Blueprint for Banking?

BCG

Digital technologies are reshaping the banking industry at an unprecedented rate, generating waves of fresh opportunity and potential peril for traditional banks. The traditional value chains of banking incumbents show signs of fragmenting. Perspective Thursday, June 16, 2016.

What is return on equity (ROE)?

Consultants Mind

In simplest terms, … Continue reading → Learning Banking Consulting Finance Management consultingROE (return on equity) is one of the key formulas that most MBAs (yes, including Marketers) remember learning on their path to financial literacy. It is often the best FIRST place to start for financial statement analysis.