10 initiatives that are on everyone's radar in my industry
- Customers: Harness Customer Networks: Customers are dynamic networks. Customers are influencers.
- Competition: Build platforms, not products. More about partnerships and cooperation
- Data: Turn Data into Assets. Data is everywhere; unstructured data is useable, Data is a valuable asset
- Innovation: Innovated by Rapid Experimentation. A/B Testing, MVP.
- Value: Adapt your value proposition. Products are Customer-Driven, Changing Needs, Uncovering the Next Opportunity.
1. Cloud Migration
Many banks are migrating from SAS to the cloud. Lots of money is being spent to migrate old SAS and data warehouse environments to a cloud provider like AWS, GCP, Azure, Databricks, etc.
2. Code Conversion
Much of the spending is tied to code conversion (SAS to Python, SQL to Python, SAS to R, Cobol to Python). In some situations, they are switching to citizen data science tools like Alteryx to allow business users access to advanced visual querying without the hassle of learning a programming language.
3. Digital Transformation
Most companies are taking a wholistic view of digital transformation:
Digital transformation is the integration of digital technology into all areas of a business, resulting in fundamental changes in how businesses operate and how they deliver value to customers. It is a cultural change that requires organizations to continually challenge the status quo, experiment, and get comfortable with failure.
4. Data Governance / AI ethics
Larger role of data governance especially when applied to black box AI models.
There is a push to expose the inner workings of models to increase transparency and identify bias
5. Open Banking
Open banking gives third-party financial service providers access to consumer banking, transaction, and other financial data from banks and non-banks via APIs (APIs). Open banking will allow individuals, financial institutions, and third-party service providers to network accounts and data. Open banking is ready to disrupt the financial industry.
This is in full swing in the US and coming soon to Canada.
6. Data Privacy
EU has drafted the GDPR laws to protect customer data and privacy. Many other countries across the globe will follow suit. Especially with the way big tech companies are handling your data.
7. Robotics Process Automation
There is an aggressive push to automate back and middle office operations to save costs.
8. Data Fabric
A data fabric is a modern, distributed architecture combining shared data assets and efficient data management and integration processes. Contrary to what many vendors assert, a data fabric is not a single product or platform you can buy and plug into your data architecture. It comprises of data management, integration technology, architecture, and shared data assets.
The focus is on virtualizing the data assets, agnostic to the source. However, care has to be taken that the underlying data sources have proper data governance practices in place. Otherwise, it is garbage in, garbage out.
9. Natural Language Processing
Businesses can use NLP to extract data, summarize data, recognize sentiment, and synthesize text from a corpus of data without incurring the high expense of methodically organizing the underlying data and creating long-drawn-out code.
Companies can identify real-time customer sentiment and mood during customer calls. They can uncover trends and perspectives on customer experience (CX), create interactive chatbots, generate persuasive marketing copy via text generation, etc.
10. Data Monetization
How to value a company's data and information assets. The author of Infonomics lays out a few accounting and financial valuation techniques to appraise the value of the data, as well as how to look for ways to sell the data as data products internally and externally.