Summit 2014: Actual Future of the Banks
In 2014 the 11th annual Banking Summit on Innovations and Development organized by CFT in partnership with Oracle Company was held in the Olympic Sochi. More than 180 delegates participated in the event. These were representatives from 65 financial institutions, experts from rating and research agencies, hi-tech and international consulting agencies, Russian Banks Association, National Payment Council Association, specialized mass-media organizations and economic schools involved in training bank experts.
From April 24 to April 27 Gorki Grand Hotel, built specially for the Olympic Games and nestled on the slopes of Caucasian mountains at the height of 960m above the sea level, had welcomed banking society, experts and analysts to discuss the future of banking market and opportunities of the Russian banking business development.
Aleksandr Pogudin, a Member of the Management Board of CFT GC, welcomed the audience and noted that the Summit’s global task is to create a place where market professionals and representatives of expert society could easily discuss burning issues of the banking business. That is why a large open discussion featuring 15 welcomed experts and guests of the event supported by the Expert Rating Agency became the key event of Summit-2014 according to the Organizational Committee. Key issue of the discussion was a current complicated market situation as a menace and an opportunity to implement a bank’s business model.
In the first part of the discussion moderators Pavel Samiyev, Deputy General Director of Expert RA and Yan Art, Vice President of Russia, regional banks association together with well-known market experts talked on pessimistic macroeconomic evaluations of the banking market, unpredictable political and economic situation defining its dynamics. Important outcome of the first part of the discussion was fact that despite of uncertainty of the forecasts and market development scenarios, its participants can see constitutive opportunities in it. The growth points for middle-term perspective will be, first of all, mortgage lending, small and medium business and public sector management.
The most important thing today is that the future is not any more something that will happen tomorrow, but it is actually happening just now, and all of us, including the market players, should learn to react promptly and be open to changes, said Nikolay Khlopov, a partner of “42”, Creative Strategies Agency, to open the second part of the discussion. He offered the participants – banks’ business heads –to estimate the influence of the previously specified trends on the current strategies and banks’ development models. Representatives of various credit institutions joined the discussion – from a small regional bank to a large federal bank focused on rendering services to legal entities. This part of the discussion revealed the main source of development in the current situation – the bank’s focusing on its customer, its current needs and the bank’s opportunities to satisfy them. Key task for a bank’s successful development is to achieve true customer loyalty that enables to build and develop stable relations.
The talk on possible ways of business development was continued at the second day of the Summit. Yelena Privalova, Head of the Credit Institutions Management Department of SME Bank, told about a government program of sponsorship of small and mid-sized enterprises and the opportunities granted to credit institutions thereunder. Along with segment’s key priorities participants talked about nonfinancial instruments of support provided to entrepreneurs. Vadim Vyalshin, Managing Director of Business Management Directorate of AMB Bank revealed opportunities of the banks in a new market segment – granting of guarantees in the market of government orders as an effective instrument of attracting SME customers.
Technological optimization of IT infrastructure as an opportunity to develop banking business was discussed at the round table co-chaired by the Bank’s IT Heads. As opposed to the previous Summit’s discussion on RBS outsourcing, this round table explored further how opportunities of outsourcing as an effective tool to achieve vivid results and not as a new solution struggling for its market place. Anton Arnautov and Yaroslav Medoks, IT Director of Miraf Bank became moderators of this round table. At Summit 2013 Mr. Medoks was representing a bank that was just considering the transfer to RBS outsourcing, while this year he told the audience about the first results the bank achieved after the transfer has been performed.
The report on behavioral economics made by Yevgeny Nikonov, Deputy Head of Sherpa S Pro and the Project Manager of “RuGenerations – Russian generations” theory, has caught great interest of the Summit guests. Behavioral economics that lies between economics and social psychology, studies deep processes explaining transformation of customer, labor and, in general, everyday behavior of individuals and thus it enables look further and see the perspectives, particularly, banking sphere and the banks of tomorrow.
The third and the last Summit day was devoted to exchange of best practices: banks and CFT partners told about their own interesting and successful projects. Highly expressive were Ivan Ageyev and Bella Kuleshova, Nordea Bank representatives, who described the instruments the Nordea Bank uses to coordinate the cooperation of IT and business departments aimed to unite employees into a strong team to achieve common business-goals.
As usual the Summit has represented new trends in the development of CFT solutions product line. The speech of Anna Tsemik arouse much interest – she spoke about practical implementation of an actual trend (Yevgeny Nikonov spoke about it earlier) – gamification – as an instrument of increasing motivation and loyalty of the bank’s employees.
Summit business programme became rich and highly diversified and this was also due to the active position of the guests. Delegates and experts that participated in the Summit for the first time, noted that it is the audience which marks the Summit off from the majority of banking events – they are actively discuss the future and are ready to change in accordance with it.
Summarizing business program of the 11th Banking Summit, Andrey Visyaschev, Chairman of the CFT GC Management Board, thanked Oracle corporation, the Summit continuous partner, for their support and contribution to promotion of technological innovations in the financial market, he also thanked experts and delegates for their active position and fruitful discussion that resulted in a number of new ideas for the future Summit. See you in 2015!