What is REALLY Driving Digital Transformation

Transcription

1 What is REALLY Driving Digital Transformation

2 Panel Members Moderator: John Deane CEO The Alta Group Presenters: Jim Ambrose President, Equipment Finance GE Capital Healthcare Equipment Finance Jeff Berg EVP - North America DLL jberg@leasedirect.com Tiger Tyagarajan President & CEO Genpact vn.tyagarajan@genpact.com

3 Digitization: A definition Digitization is the use of digital technologies to change a business model and provide new revenue and valueproducing opportunities; it is the process of moving to a digital business. Source:

4 Digitization of Marketing Timeline

5 Digitization Drivers: The 4 C s Customers Costs Competition Compliance Increased expectations Less loyalty Digital lifestyle Reduce cost to serve Deliver process improvements Drive agility and flexibility Reduce headcount and OpEx New entrants New business models Technology players Apple Google LinkedIn Facebook Know your customer Anti-money laundering Anti-fraud Risk management Capital adequacy

6 Why Worry? Because if you don t digitize then someone else will

7 DLL Express Finance mobile application Financing at your fingertips Jeffrey Berg EVP - North America DLL Financial Solutions Partner

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10 Why mobile? Growing market need for transactional speed and efficiency Leverage digital technology to untether Vendor sales force from the desk Allowing for end-user finance process to occur at Point of Sale or any other remote location 10

11 Mobile strategic goals Improve partners salesforce effectiveness Deliver In-field, real-time, end-to-end financing Enhance our partners brands 11

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13 Digital Disruption in the Asset Finance Industry: How Do We Get the Biggest Bang for a Buck? Tiger Tyagarajan, President & CEO, Genpact

14 Businesses today have reached an inflection point Relevance Inflection Point Reinvent Stay the Course Performance Gap Time

15 ...and we are seeing a paradigm shift in client expectations CIO CFO CRO CMO Leverage new innovative and agile technologies Incremental Productivity is passe! Customize my commercial models Take control of my end-to-end business Predict the future for me!

16 Large enterprises struggle with digital innovation 21% Of companies truly reap the transformative value of digital because of inability to experiment quickly 48% change management 41% legacy systems 39% risk aversion 38% organizational silos 38% 53% success rate among those with good back/middle office alignment to customer needs but only Source: Harvard Business Review / Genpact research, sample of 680 executives, June % are in that category

17 End to end process is the biggest opportunity! Challenges Front Office Now enabled with digital front end Middle Office Hamstrung by disparate data sources Back Office Fragmented and reliant on old systems

18 Reimagining a customer s commercial lending journey New opportunity shared with potential client Communicate conditional approval to client Final approval shared with client Valuation and pricing received Documents received and sent to clients for signature Completion of settlement communicated to client Funds transferred on the same day Manual completion of application form Updating information in CRM system Incomplete Documents/ Financials collected from client and scanned for processing Financial Spreading output received Waiting on first time right loan contracts/ documents Loan account opened Customer not sending documents 22 Days

19 Reimagining a customer s commercial lending journey Originate Loan Application Entry (ECL form) Financial Analysis & data entry Complete Valuation ecredit Rating System Develop Pricing Credit Approval Prepare Docs Create Loan File No. Perform Draw down RM meets client Pre-approval process File no. generated used as identifier File quality check & documents stored RM schedules meeting Credit Mgr. reviews & suggests line of credit Decision communicated Custom App + RA* for Application Entry + Dynamic workflow RA + NLP/NLG + Machine Learning RA+ Machine Learning Dynamic workflow + RA 24 Hours

20 Dramatic disruptive value creation Cycle time for approval reduced from 22 days to 1 day Interest rate spread up from 250bps to 280bps Costs down by 40% First time right customer set up goes from 50% to 80% Losses reduce from 0.7% to 0.4% of assets

21 As leaders, we will all have to balance a two-speed world Fail Fast Minimum Viable Product Forward Predictive Insight Ability to Learn Ability to Change Ability to Excite Take Risk Break Tradition V S Defect Free Fully ready product Rear View Insight Ability to forget Ability to stand firm Ability to Stabilize Achieve Balance Enforce Policies

22 Behaviors which would be most critical Collaborate, Collaborate & Collaborate Willingness to change with new evidence Don t get frustrated by change in direction Get Speed Play Soccer Vs 100 meters dash Build the right team you are as good as your team Prototype...Test...Fail...Learn...Repeat Curiosity Quotient (CQ) is as important as IQ and EQ

23 Digital Disruption in Asset Financing Jim Ambrose, President GE Capital, Healthcare Equipment Finance 2017 General Electric Company. All rights reserved.

24 The Industrial Internet will drive efficiency and boost productivity across many industries 2017 General Electric Company. All rights reserved.

25 The GE Health Cloud is our customized solution for the healthcare industry Predix: Cloud Infrastructure for High Performance Operations Any descriptions of future functionality reflect current product direction, are for informational purposes only and do not constitute a commitment to provide specific functionality. Timing and availability are subject to change and applicable regulatory approvals General Electric Company. All rights reserved.

26 GE Health Cloud applications Any descriptions of future functionality reflect current product direction, are for informational purposes only and do not constitute a commitment to provide specific functionality. Timing and availability are subject to change and applicable regulatory approvals General Electric Company. All rights reserved.

27 Real time asset optimization analytics Conceptual Dashboard What assets do we have in our fleet? How is each asset performing? Do we have the right mix of assets? Are they optimally deployed? Are we maximizing labor productivity? Any descriptions of future functionality reflect current product direction, are for informational purposes only and do not constitute a commitment to provide specific functionality General Electric Company. All rights reserved.

28 Asset benchmarking capabilities 1 Regional Competitors How am I performing relative to my regional competitors? National Peer Group How am I performing relative to other national systems like me? Conceptual Dashboard 3 Multi-Vendor Comparisons How are certain vendor assets performing relative to others? Any descriptions of future functionality reflect current product direction, are for informational purposes only and do not constitute a commitment to provide specific functionality General Electric Company. All rights reserved.

29 Thank you for participating