Rise of disruptive technologies – the new sources of innovation?
Asia is a source of world-class technology innovation so what, if anything, is hindering innovation in banks across the region? July 03, 2012 | Carol WheatcroftInnovation, the imaginative creation of better or more effective products and services that are readily available to customers, poses challenges for banks worldwide, and the Asian banking industry is no exception. With banks increasingly reliant on technology to enable them to create and deliver more products and services, as well as to reach more customers, it seemed a fair question to ask C-suite banking executives, "From a technology perspective, what is hindering innovation?" Interestingly, very few executives challenged the basis of the question but in answering, two themes that have traditionally been thought of as stifling creativity and by extension, innovation, were most frequently raised but in almost all cases subsequently qualified by commentators as no longer being of prime importance. These themes are - an education system that do not encourage freedom of thought and expression, and a reluctance to challenge the status quo and take risks. A 2010 Asian Banker survey titled "Innovation in Retail Banks" found that throughout the region, over 96% of respondent banks ranked IT as high or very high in terms of importance for innovation; the figure for South Asian banks was 100%. However, the survey also found that banks in South Asia were most likely to adopt an incremental approach to innovation whereas a higher proportion of banks in more developed economies in North and South East Asia were likely to take a more strategic approach. Figure 1. Is your bank working mainly on strategic or incremental innovation?
Jan Hendrick, chief information officer for Emirates NBD, observed that banks in more developed economies of North Asia and Singapore were often at the forefront of strategic innovation whereas emerging economies in South and South East Asia placed more focus on incremental innovation rather than disruptive innovation... Please login to read the complete article. If you already have an account, you can login now or subscribe/register.
Categories: Innovation, Technology & OperationsInnovation,technology, Innovation,Technology & Operations, Keywords:Jan Hendrick, NBD Emirates, Pravir Vohra, ICICI, TCS, Muralidharan R, Dhanlaxmi Bank, Cindy Tan, OCBC Bank Jan Hendrick, NBD Emirates, Pravir Vohra, ICICI, TCS, Muralidharan R, Dhanlaxmi Bank, Cindy Tan, OCBC Bank
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