Corporate banking is a complex and distinctive segment of the financial services sector, with customised services and complex processes distinguishing it from its retail cousin. Large corporate institutions have previously relied on in-person relationships with major clients to drive their success.
This costly relationship model and high fixed costs have led corporate banks to be selective in choosing their clients, primarily based on profitability and results. Finding and nurturing the right customer base is often viewed as the prime challenge for these institutions.
In actuality, the problem traditional banks face lies in their outdated legacy technology. This inflexible infrastructure hampers innovation, preventing these banks from keeping pace with the demands of regulators and clients alike.
The business risks of keeping old software running – risk of operational failure, maintenance costs, and lack of product innovation – have become more significant than the risks of deploying a modern platform.
The time is now
Yet investing in new technology is a complex solution, as it requires navigating through layers of tangled legacy systems across various functions and business lines. Equally, an enterprising C-level executive trying to drive changes still needs buy-in from invested stakeholders.
All of these things have led to a postponement of an inevitability: corporate banks need to embrace the digital future or face risking their success.
Time has run out. Corporate clients expect service levels matching those retail banks provide when managing their personal accounts. When a corporate CEO can create a personal bank account in an afternoon, why should they accept waiting up to 100 days for their company?
Old processes belong in a museum
Imagine facing endless paperwork, redundant information requests, wet ink signatures, and a need for more visibility when trying to open a retail account. Then, when your account is activated, you run into disjointed manual processes, limited transparency in transactions, and a need for more data.
Corporates can turn to their Relationship Manager for answers, but can your staff explain away the spaghetti created by decades of legacy software?
However, achieving a digital corporate bank means more than copying successful digital retail banks. It requires a holistic approach that aligns with clients’ core objectives, delivers value through integrated client-centric products and services, and constantly evolves to meet client needs.
This includes swift onboarding processes, streamlined operations, analytics for optimised cash management and liquidity, and tools for efficient working capital management and employer services.
Decision makers at major banks have already realised the potential of cloud-native applications in achieving this goal. The choice is now about selecting a system provider with the right tools and expertise to take advantage of next-generation core banking.
Introducing: Pismo
Pismo provides a 100% cloud-native SaaS processing platform for banking and cards. Unlike many systems available on the market today, transposed into the cloud from older on-premise versions, Pismo was born on the cloud.
Our platform leverages the full capabilities of cloud infrastructure with an entire ethos that revolves around flexibility, scalability, and unparalleled availability. It can reduce your operating costs dramatically.
Moreover, the Pismo system is prepared and proven to deal with large transaction volumes – a daily occurrence for the largest corporate clients. It also allows financial institutions to hierarchically organise regions, branches, and accounts across an organisation, perfect for global banks operating in multiple jurisdictions.
Digital transformation doesn’t have to be a switch-flip
Modernising your core infrastructure can be a daunting challenge. At Pismo, we understand the requirements and milestones necessary to achieve exceptional results.
Our team has overseen account migrations from institutions ranging from new fintechs to Fortune 500 banks. We operate a security-first approach, working with our clients hand-in-hand to ensure any transition is made safely and effectively.
Break free from the cycle of “build vs buy” and unlock the true next-generation potential of your business. Become the protagonist of your future success, composing and launching market-leading products.
Take the first step into a next-generation future. Find out more about the Pismo platform by downloading our briefing today.
