At Huawei’s Global FSI Summit 2020 this week, Huawei’s Director of the Board Peng Zhongyang says increased mobile capabilities is the key to banking’s future, and will lead to a greater customer-centric overhaul of the financial services industry.
The summit attracted global financial institutions including; Shanghai Pudong Development Bank, China Construction Bank, Singapore DBS Bank, Sberbank, BBVA, Isbank Temenos, and analyst institutions IDC, among others.
According to Huawei Director of the Board, President of the Enterprise Business Group Peng Zhongyang, the COVID-19 pandemic has advanced digital operations in the financial industry with more confidence and determination in such implementation. Moreover, the industry has demonstrated its advantages and value in applying new technologies in digital operations.
“Based on cloud computing, big data, artificial intelligence, 5G, and other ICT technologies, innovative FinTech will embrace new opportunities and lead the upgrade of financial services. We have combined our 30 years of technical experience, capabilities, and industry insights with customer needs, to provide competitive financial ICT products and solutions that span multiple domains, and collaborate with various partners for joint innovation. We believe that financial institutions that are ready to go digital will probably see greater success,” says Zhongyang.
Commenting on adherence to the mobile first principle, Huawei President of Global Financial Services Business Unit, Enterprise BG Jason Cao says to achieve smart experience is the foundation for financial institutions’ customer-centric business strategies.
“We do believe that the mobile capability will be the core of the future of the banking industry. It not only is applicable to the interface that connects with client, but also to the internal operations and collaborations with partners. Supporting this mobile-centric business will require new IT architectures and key capabilities of 5G, AI and cloud. As a leader of these technologies, Huawei has unique advantages that supports the cloud transformation of financial institutions, builds new connecting capabilities, and helps financial institutions improve their agility and innovation capabilities,” says Cao.
Over the past 10 years, Huawei claims it has accumulated extensive experience globally. Particularly in China market, Huawei says its gained experience in leading banks’ transformation and thriving in the mobile App era. Notably, the banking sector has taken a series of measures to ensure business continuity in different stages of the pandemic. In the post-pandemic era, banks n need to proactively reflect on their business model and prepare for any uncertainties in order to ensure an agile business moving forward.
Banking Fintech Initiatives, China
At the beginning of 2020 Shanghai Pudong Development (SPD) Bank says it established a three-year action plan, aiming to strengthen open banking, promote full-stack digitalization, and create new development drivers by focusing on customer experience and digital technology.
For example, SPD Bank says it developed an AI-powered virtual employee, Xiaopu. Through training, SPD Bank claims Xiaopu is capable of offering risk assessment, financial consulting, investment advice, and news broadcast services online. In the 5G environment, she can work on various devices such as mobile phones, smart watches, and cars, making high-quality, personalized, and intelligent services more convenient and inclusive.
Commenting on its fintech initiatives SPD Bank President Pan Weidong, says its fintech focus adheres to its promise of ‘customer-centricity’.
“SPD Bank uses 5G and other technologies to continuously innovate customer experience, business models, and open ecosystems, and expand the breadth, depth, and width of financial services. We will strengthen cross-industry cooperation and innovation. We want to create infinite possibilities with connections, inspire infinite momentum with intelligence, serve the industry ecosystem with FinTech, and jointly promote high-quality social and economic development to embrace a better future,” says Weidong.
The China Construction Bank (CCB) says it launched a ‘TOP+ strategy’ for financial digital transformation as early as 2011. It claims it use of technology and data as a two-wheel drive to actively embrace new technologies such as AI, blockchain, cloud computing, and 5G, and embed financial services into the four essential sectors, namely, clothing, food,
housing and transportation. During the pandemic, CCB says the application of new technologies allowed it to provide customers with “no-contact services” correspondingly. In early February, the bank launched a comprehensive service of “anti-epidemic zone” through mobile banking and WeChat Bank, providing real-time data on the epidemic situation, application for late personal loan repayment, charitable donations and other services.
According to CCB Senior Engineer Niu Wenchao, during the epidemic, while the over-the-counter transactions decreased significantly, CCB’s online transactions increased slightly.
“Thanks to CCB’s dual cloud strategy, the private cloud provides stable operations and public cloud assists innovation and development. More importantly, we relies on the intelligent data center infrastructure and the highly automated and intelligent network jointly built by Huawei and CCB. Digital transformation has laid the foundation for us to quickly respond to emergencies
and maintain continuity of customer services,” says Wenchao.
Commenting on the Banking industry’s growth during the pandemic thanks to digitization of banking services, Huawei Chief Strategy Officer Cloud, AI Joy Huang says most incumbents share a commonality:
“These growing companies have one thing in common, that is their good online services capabilities based on cloud, so that they can be very agile in innovation. Huawei learns from customers that the most effective way is to practice multi-cloud, with separate clouds for different users, and meanwhile pay close attention to customers’ last-mile experience for mobile services and smart branches,” says Huang.
(Ed. Huawei’s Global FSI Summit is a global ICT event hosted by Huawei and focused on the financial services industry. The event was first held in 2013. For more information about the Summit please click here.)