Banks and Fintech on Platform Economies: Contextual and Conscious Banking

ISBN-13: 9781119756972 / Angielski / Twarda / 2021 / 272 str.

Paolo Sironi

Spis treści

Forewords xvAbout the Author xxixDisclaimer xxxiIntroduction 1Part One Foundations of Platform TheoryChapter 1 Platform Essentials on Outcome Economies 151.1 Introduction 161.2 Platforms and ecosystems 171.3 Innovating from output to outcome economies 221.4 Linear and non-linear thinking 241.5 Platform types 251.6 About platforms and innovation theory 271.7 Shifting the perception of value 291.8 Banks and fintech on outcome economies 311.9 Conclusions 33Takeaways for banks and fintech 34Chapter 2 The Trust Advantage 352.1 Introduction 352.2 Elements of platform creation 372.2.1 The platform challenge 382.2.2 The chicken-or-egg dilemma 392.3 Transparency generates trust 422.3.1 It's marketing, stupid! or not? 422.3.2 Trust in the middle kingdom 432.4 The trust advantage for banks and fintech 442.5 Conclusions 47Takeaways for banks and fintech 48Chapter 3 Open Innovation and Data 493.1 Introduction 493.2 Closed and open innovation 513.2.1 Attributes of closed and open innovation 523.2.2 Open innovation in platform economies 533.3 The strategic role of complementors 553.4 The monetisation perspective 563.5 The monetisation of APIs 583.5.1 Free use 593.5.2 API consumers pay 593.5.3 API consumers get paid 603.5.4 Indirect monetisation 603.6 The monetisation of user engagement 613.6.1 Imposing transaction fees 613.6.2 Asking for access fees 613.6.3 Tiering enhanced access fees 613.6.4 Delivering enhanced curation 623.7 The API economy for banks and fintech 623.8 Conclusions 65Takeaways for banks and fintech 66Chapter 4 Platform Governance Founded on Transparency 674.1 Introduction 674.2 Power comes with responsibility 684.3 Platform monopoly between competition and regulation 714.3.1 Intensified regulation 714.3.2 Better governance to fight monopoly powers 734.4 Negative externalities threaten platform resilience 744.5 Governance of openness and curation 764.6 The transparency governing principle 784.6.1 Transparency about platform management 784.6.2 Transparency about platform orchestration 794.7 Transparency for banks and fintech 804.8 Conclusions 82Takeaways for banks and fintech 83Part Two Reinventing Financial ServicesChapter 5 The Existential Shift of Bank Business Models 895.1 Introduction 895.2 The new normal of central banks 915.2.1 Lehman Brothers' default 915.2.2 The annihilation of central banks' systemic put 925.2.3 Banks' Catch-22 955.2.4 From product-centricity to human-centricity 985.3 About the tension between information and communication 995.4 The banking reinvention quadrant 1015.4.1 The map and the compass 1015.4.2 The information and communication quotients 1035.5 Four BRQ business value spaces 1045.5.1 Traditional Banking 1055.5.2 Digital Banking 1055.5.3 Contextual Banking 1055.5.4 Conscious Banking 1065.6 Conclusions 107Takeaways for banks and fintech 108Chapter 6 Lessons Learned from Fintech Innovation 1096.1 Introduction 1106.2 The true meaning of disruption 1116.2.1 My Robo-advisor was an iPod 1136.2.2 Sustaining innovation with Contextual and Conscious Banking 1176.3 Resolving the "pull-push" motivational gap 1196.3.1 Digital is a pull technology 1206.3.2 What is happening on Amazon? 1216.3.3 The offer-driven business of banking 1226.4 Rebundling on platform economies 1236.4.1 From client-centricity to human-centricity 1246.4.2 Banking-as-a-Service and Banking-as-a-Platform 1266.5 Conclusions 128Takeaways for banks and fintech 129Chapter 7 Competitive Factors for the Future of Banks 1317.1 Introduction 1317.2 The financial services engine 1327.3 External factors affecting digital transformations 1357.3.1 Digital infrastructure 1357.3.2 Digital society 1357.3.3 Digital ecosystems 1367.3.4 Capital at risk 1377.3.5 Regulation 1377.4 Internal factors enabling digital transformation 1387.4.1 Digital leadership, strategy, and culture 1387.4.2 New business architectures and operating models 1397.5 Conclusions 140Takeaways for banks and fintech 141Part Three Leading Platform StrategiesChapter 8 Contextual Banking 1478.1 Introduction 1478.2 Compete with open business architectures 1508.3 From open banking to open finance 1528.4 Contextual Banking 1568.4.1 Removing ex-ante frictions without increasing them ex-post 1588.5 Bigtech gravity 1598.5.1 Facebook experience vs. WeChat engagement 1608.5.2 Amazon's platform philosophy 1618.6 Financial services fight back 1648.6.1 Cloud-native payment providers are also chipping away bank revenues 1648.6.2 Ping An's investment philosophy 1668.6.3 Banking orchestration of non-banking ecosystems 1688.6.4 The platform of platforms 1708.7 Conclusions 173Takeaways for banks and fintech 174Chapter 9 Foundations of Financial Market Transparency 1759.1 Introduction 1759.2 Contextual Banking and architectural resilience 1779.3 Conscious Banking and financial antifragility 1799.3.1 Breaking out from mainstream reference theory 1799.3.2 Opening the reference system to fundamental uncertainty 1819.4 Empirical evidence to open platforms and reference systems 1839.5 Conclusions 186Takeaways for banks and fintech 187CHAPTER 10 Conscious Banking 18910.1 Introduction 19010.2 Micro and macro antifragility across ecosystems 19310.2.1 Value generation at the micro-level investors' ecosystem 19310.2.2 Value generation at the macro-level financial ecosystem 19610.3 Unlocking hidden value in the ecosystem 19710.4 Exponential technologies on transparent markets 19910.4.1 Generating value with transparent AI 19910.4.2 Opening up the reference system with technology 20110.4.3 Integrating clients' emotion with a transparent heuristic 20310.4.4 Opening the AI envelope to stay radically rational 20410.5 The scientific shift from reductionism to holism 20510.5.1 Conscious Banking platforms on the edge of chaos 20610.5.2 Augmenting the human mind with technology 20710.6 The core engine of Conscious Banking platforms 20810.6.1 Value-generating interactions based on cost-benefit analysis 20810.6.2 Open up the risk management engine to the conscious image of endogenous uncertainty 21010.7 Conclusions 212Takeaways for banks and fintech 213Concluding Remarks 215Bibliography 219Index 227

O autorze

PAOLO SIRONI is the global research leader in banking and financial markets at IBM, Institute for Business Value. He is one of the most respected fintech voices worldwide, providing business expertise and strategic thinking to a network of executives among financial institutions, start-ups and regulators. He is a former quantitative risk manager and start-up entrepreneur. Paolo's literature explores the biological underpinnings of financial markets, and how technology and business innovation can bolster the global economy's immune system in today's volatile times. Visit Paolo's website thePSironi.com for more information.