Head of the Business Unit Banking at Hager Unternehmensberatung, Henning Sander, dives into the changes digitisation will have on the finance sector.

Technological changes are challenging all industries, including banks, according to Bundesbank Board Member, Andreas Dombret.

Banks will need to deal with the challenges of digitisation, because of FinTech companies providing strong competition. It is important to be aware of technological changes, because business models that are successful today, such as transactions, may not be in the future.

Companies in the finance sector must begin to realise that it is not about acquiring technological and technical expertise, but more importantly, about establishing a corporate culture, which takes on these challenges, and is consistently exemplified by the actions of management. Professionals must be able to present their ideas and concepts, and do this in a way that other departments can discuss and understand.

Strategic digitisation plans for success

General Motors’ European carmaker Opel pushes into online retail banking in Germany and works mainly digitally, without branches, whereas financial businesses are managed through dealer networks. Digitisation has significantly changed both areas by modifying customers’ demands, with the internet playing a key role in the sales and service processes.

Strong customer focus, communication skills, technical understanding and software experience are key competences, with agile methods supporting banking expertise through continuous support and efficient cooperation.

Although digitisation is not just about the internet, as for successful digital deployment, you need the right staff on board, as well as a good strategy.

“Digitisation makes new and further reaching demands not only on the Opel Bank as a whole, but also on each and every employee. In particular, a high willingness to explore and evaluate the opportunities and implementing initiatives were required,” says Jörg Ziesche, Senior Director Representative of Opel Bank.

Edited from web by Leah Alger