The financial services sector is going through major changes and some companies are being proactive about their traditional business models being disrupted while others are being reactive. The key is understanding the appetite for change among project sponsors and tailoring our solutions accordingly.
Nedbank is on a drive to reduce their cost to income ratio as part of their 2020 strategy and has just completed an Agile pilot called new Ways of Working (nWoW). They plan to roll out nWoW over the next 12 months to around 4500 people and this transition requires specific organisation design skills to enable the affected areas of the bank to balance business as usual as well as the Agile changes.
The Agile way of working is all about targeting the customer experience and this will have a major impact on how the bank thinks about new products and services. We are already seeing the results of the opening of new digital channels and digitising products which have traditionally been sold through the branch network on a face to face basis.
Its immediately visible and interesting how Nedbank is creating and implementing its own version of Agile and how the people are buying into a more autonomous, incremental value-add way of working and pushing their way through traditional bureaucracy. The preparations for the roll out are underway.
What is driving Nedbank to pursue this path is the traditionally high cost-to-income ratios of established financial service institutions. Changing consumer demands are a cause for concern as new, more nimble competitors enter the market with an increasingly customer centric offering and experience.