Decomposing Banking: A Structural Move From Monolithic to Modular

Incumbents will need to make clear choices, business-by-business, about the future for their organization and where they’ll play in emerging industry ecosystems. And they will then need to align their over-arching operating model with those choices, including capabilities and investments. In some cases, this will mean offering competitors’ products and services on their own distribution platform. In other areas, Financial Services Institutions (FSIs) will decide to be an extremely effcient supplier in a larger ecosystem. In this scenario it becomes important to develop partnerships, focus on product excellence and reduce friction in how all technologies plug into other larger solutions. Ease of partnering will become a key capability.