The Illusion of Digital Transformation in Banking

While the potential benefits of digital technologies are well documented and accepted by a majority of bank and credit union leaders, the deployment of digital banking transformation does not appear to be keeping pace, according to the Innovation in Retail Banking 2019 report, published by the Digital Banking Report, and sponsored by Infosys Finacle in cooperation with Efma,. This is concerning given that the pervasiveness of required digital transformation is moving beyond the IT area of banking to include virtually all areas of the organization. Financial institution executives surveyed indicate that budgets are increasing for almost all digital technologies and that the technologies being impacted are expanding. At the same time, the ownership of both digital transformation and innovation are moving up the organizational hierarchy, with cross-functional teams being leveraged to break down legacy silo perspectives. When asked about the progress of digital transformation efforts, only 17% of organizations surveyed indicated that the transformation was'deployed at scale', with 41% stating that digital transformation was'partially deployed'.