Capco Introduces "changeSourcing" to Drive Bank Transformation
- New Capco white paper stresses greater urgency required across financial services business and technology change programs
- Unique approach supports industrialization of crucial bank operations to deliver significant business benefits
NEW YORK--(BUSINESS WIRE)-- Capco, a global business and technology consultancy dedicated solely to the financial services industry, today released a white paper detailing a comprehensive new model for the bank's business and technology functions. Titled, "Change, at what cost? The case for industrializing business and technology change," the paper outlines the benefits of adopting transformation known as changeSourcing. Capco is part of FIS™ (NYS: FIS) , the world's largest global provider dedicated to banking and payments technologies.
changeSourcing gives a financial institution access to strategic business and technology change (B&TC) resources via an outside service provider. These change-management professionals have specialized domain expertise and are available on demand. Through changeSourcing, banks can periodically tap into the high-caliber talent they need to spur innovation, while improving execution and service quality, as well as return on equity.
The new model outlined by the paper is already in use by Capco clients and institutions across the globe. Capco has seen a tremendous uptick in requests from institutions to help improve business and technology functions.
Mark Reeves, Global Capital Markets leader at Capco, said: "Issues such as over-capacity and regulatory requirements continue to fuel banks' rising cost pressures. Global transformational measures, such as industrializing business and technology operations, can help equip banks to weather industry change and drive return on equity growth."
Within the bank, business and technology processes drive the development of new capabilities, products and services, as opposed to "run-the-bank," processes which are traditionally focused on the bank's core systems. These projects are driven by new business ideas, such as the creation of new financial instruments, and can include projects such as adding processes, functionality and data models. According to the Capco paper, budgets for these projects can exceed hundreds of millions of dollars and are spread across a number of different functional areas.
Ian Brown, Partner with Capco's UK Capital Markets team, said: "Our analysis shows that the time is right for banks to consider a new model that leverages on-demand services of an external provider in the critical area of business and technology change. Industry pressures are driving out the historic mistrust of alterations to functions that touch the front office, and now banks are looking for sophisticated partners to help manage these crucial changes."
Benefits of transforming B&TC include:
Retaining and accessing talent - by providing a new career path for bank business and technology professionals
Structurally transforming the cost base - by providing a fixed-rate model
Improving execution quality - by better aligning resources with projects
Benefiting from change process innovation - Capco's business focus
Reeves continues: "Institutions that embrace B&TC, rather than implementing it piecemeal, will find that they will experience a multiplier effect on benefits, and we are recommending that our clients plan to implement these ideas as broadly as possible."
Get the complete picture: http://www.capco.com/insights/research-thoughts/change-at-what-cost?
Capco is a global business and technology consultancy dedicated solely to the financial services industry. Our professionals combine innovative thinking with our unrivalled first-hand industry knowledge to offer our clients consulting expertise, complex technology and package integration, and managed services to move their organizations forward.
Through our collaborative and efficient approach, we provide our clients with tools to enable them to increase revenue, better manage risk and regulatory change, reduce costs and enhance control. We specialize in banking; capital markets; wealth and investment management; insurance; finance, risk & compliance; and technology. We serve our clients from offices in leading financial centers across North America, Europe, Asia and Africa.
Additionally, as a part of FIS (NYS: FIS) the world's largest global provider dedicated to banking and payments technologies, Capco is able to leverage FIS best-of-breed, innovative solutions and services to support client delivery. Access to the FIS complementary skill set, global talent pool, industry leading-technology assets and strong balance sheet, positions Capco even more strongly to tackle complex architecture and large scale transformation in financial services.
To learn more, visit our web site at capco.com and subscribe to Capco's newsroom RSS feed.
Loretta Mock/Jessica Kleinman, +1-646-395-6300
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