A clear business strategy is essential in core banking replacement
Pipatpong Poshyanonda, EVP, Kasikornbank and former Ping An Bank EVP Morris Lin discuss core banking replacements, and advise banks to have a clear business strategy in place before undertaking the arduous process. May 20, 2012 | Carol WheatcroftWhat is core banking replacement? The term does not have a single definition and can mean different things to different banks. However, according to Rajesh Makhija, vice president of product development at Oracle, there are four distinct patterns (see Figure 1), each with its own advantages and disadvantages. The choice of approach, as well as the case for adoption should be driven by the bank’s business strategy. Figure 1. Technology adoption patterns for core bank system replacement
Makhija’s core banking patterns were fully endorsed by Dr. Pipatpong Poshyanonda , executive vice president at Kasikornbank and Morris Lin, former executive vice president at Ping An Bank. Both executives have first-hand experience in core banking replacement using different approaches at their respective banks. More importantly both men were in full agreement that a bank’s business strategy must drive the process, given that it is such a high-stakes procedure. The process of replacing one’s core banking system is long and arduous Using details of Ping An Bank’s core banking replacement to describe the processes involved, Lin explained that the bank was a relatively small Chinese bank and is part of the Ping An Insurance Group, the second largest insurer in China. At that point in time, Ping An Bank had 5,000 employees, 10 branches, and a further 80 outlets – the bank has, however, recently received approval to merge with Shenzen Development Bank. Please login to read the complete article. If you already have an account, you can login now or subscribe/register.
Categories: Asian Banker Summit 2012, Core Banking, Technology & OperationsAsian Banker Summit 2012,Core Banking,technology, Asian Banker Summit 2012,Core Banking,Technology & Operations, Keywords:Core Banking Replacement, Oracle, Rajesh Makhija, Pipatpong Poshyanonda, Kasikornbank, Morris Lin, Ping An Bank Core banking replacement, Oracle, Rajesh Makhija, Pipatpong Poshyanonda, Kasikornbank, Morris Lin, Ping An Bank
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