PA’s Martin Tillisch, a financial services expert, discusses the need for new collaboration models in the financial sector. Martin draws on the example of Skandia and Saxo Bank who are offering new bank and insurance products to their respective customers. According to Martin, this is a great example of how a financial company should focus on its core competencies and collaborate with external parties for other products and services.
Martin says: “Product and service portfolios in the financial services industry usually focus on an in-house approach to developing own products and services but with increasing ambitions for growth and the desire to offer end-to-end financial consultancy, more financial companies have expanded their products and services. Some companies have acquired new companies, others have merged but now we see a trend with a focus on new online business models.”
Martin argues that the challenge lies in the cross field between old IT solutions and regulatory demands, and the ceaseless focus on efficiency. Financial companies struggle to meet the increasing demands for the ultimate customer experience and at the same time offer a wide range of financial services and products. Even if companies succeed in this task, operating costs are high and many companies find it difficult to react on new disruptions and tendencies. New collaboration models may be the solution to some.
“It is no longer a question of whether disruption is a prerequisite to survive, it’s a matter of identifying strong partnerships that create long-term growth for the financial sector,” Martin concludes.
Martin Tillisch is a financial services expert at PA Consulting Group.