Forum for Science, Industry and Business

Sponsored by:     3M 
Search our Site:

 

“Bank & Zukunft 2015” trend survey highlights the need for banks to reform business models

21.08.2015

Banks and the banking business are on the edge of profound change. This is the primary finding of the newly released “Bank & Zukunft 2015” trend survey. Only a fifth of the executives and managers surveyed still anticipate business to take a positive direction in the next four years. Despite this, banks continue to drag their feet when it comes to implementing innovative business models in order to tap new areas of revenue.

The 2015 edition of Fraunhofer IAO’s annual “Bank & Zukunft” trend survey reveals uncertainty among bank directors and managers. Following years of optimism, it has become clear to decision makers that the status quo won’t hold for much longer. Falling revenues in established business, increasing regulatory conditions as well as decreasing customer loyalty are already causing difficulties for many institutions.

Despite this growing pressure, banks are still far too hesitant to make the necessary changes. The results of the IAO survey show that, once again, decision makers today focus primarily on cutting costs with the aim of achieving the related efficiency KPIs in the short term.

Yet this unilateral focus on costs leads to an erosion of the basis for long-term growth and is thus often counterproductive in the long run. “Right now, too many decision makers are still shying away from adopting innovations that would give rise to completely new business models.

In doing so, they’re letting the competition get a jump on opening up new sources of revenue and occupying them over the longer term,” warns Claus-Peter Praeg, who, as part of the Banks & Future innovation network, has been observing the development for years now.

Digital ecosystems offer opportunities for new sources of revenue

Focusing on the topic of banks and the digital economy, the 2015 trend survey presents banks with various ways to break away from the downwards spiral triggered by a pure focus on costs. The increasing digitalization of daily life – for both private as well as commercial banking customers – opens up new roads to lucrative banking. “There’s no shortage of opportunities. What’s in short supply is the courage to step off the beaten path and try something different,” says Praeg.

Doing so is inconvenient and risky; it also requires managers and employees alike to be willing and able to adapt. “Banking must be transformed if it is to once again live up to the important role it plays in the lives of many people,” says Praeg. Digital ecosystems offer banks excellent opportunities here for offering brand-new customer experiences in banking services, which will allow them to successfully operate on the market for the long term.

Findings to be presented at the Banks & Future conference in October

Copies of the Bank & Zukunft 2015 trend survey are available now in the IAO shop. You will have an opportunity to discuss the survey with its authors as well as banking experts at the annual Banks & Future conference in Frankfurt am Main, October 7-8, 2015. The event is organized by Fraunhofer IAO in cooperation with IBM and Commerzbank.

Contact:

Claus-Peter Praeg
Business Performance Management
Fraunhofer IAO
Nobelstraße 12
70569 Stuttgart, Germany
Phone: +49 711 970-2125
E-Mail: claus-peter.praeg@iao.fraunhofer.de

Weitere Informationen:

http://www.bankundzukunft.de/en.html - Innovation forum » Banks & Future«
http://www.iao.fraunhofer.de/lang-en/about-us/press-and-media/1238-banks-need-ne... - Fraunhofer IAO
https://shop.iao.fraunhofer.de/publikationen/trendstudie-bank-und-zukunft-2015.h... - IAO shop (German)

Juliane Segedi | Fraunhofer-Institut für Arbeitswirtschaft und Organisation IAO

More articles from Studies and Analyses:

nachricht New study: How does Europe become a leading player for software and IT services?
03.04.2017 | Fraunhofer-Institut für System- und Innovationsforschung (ISI)

nachricht Reusable carbon nanotubes could be the water filter of the future, says RIT study
30.03.2017 | Rochester Institute of Technology

All articles from Studies and Analyses >>>

The most recent press releases about innovation >>>

Die letzten 5 Focus-News des innovations-reports im Überblick:

Im Focus: Can the immune system be boosted against Staphylococcus aureus by delivery of messenger RNA?

Staphylococcus aureus is a feared pathogen (MRSA, multi-resistant S. aureus) due to frequent resistances against many antibiotics, especially in hospital infections. Researchers at the Paul-Ehrlich-Institut have identified immunological processes that prevent a successful immune response directed against the pathogenic agent. The delivery of bacterial proteins with RNA adjuvant or messenger RNA (mRNA) into immune cells allows the re-direction of the immune response towards an active defense against S. aureus. This could be of significant importance for the development of an effective vaccine. PLOS Pathogens has published these research results online on 25 May 2017.

Staphylococcus aureus (S. aureus) is a bacterium that colonizes by far more than half of the skin and the mucosa of adults, usually without causing infections....

Im Focus: A quantum walk of photons

Physicists from the University of Würzburg are capable of generating identical looking single light particles at the push of a button. Two new studies now demonstrate the potential this method holds.

The quantum computer has fuelled the imagination of scientists for decades: It is based on fundamentally different phenomena than a conventional computer....

Im Focus: Turmoil in sluggish electrons’ existence

An international team of physicists has monitored the scattering behaviour of electrons in a non-conducting material in real-time. Their insights could be beneficial for radiotherapy.

We can refer to electrons in non-conducting materials as ‘sluggish’. Typically, they remain fixed in a location, deep inside an atomic composite. It is hence...

Im Focus: Wafer-thin Magnetic Materials Developed for Future Quantum Technologies

Two-dimensional magnetic structures are regarded as a promising material for new types of data storage, since the magnetic properties of individual molecular building blocks can be investigated and modified. For the first time, researchers have now produced a wafer-thin ferrimagnet, in which molecules with different magnetic centers arrange themselves on a gold surface to form a checkerboard pattern. Scientists at the Swiss Nanoscience Institute at the University of Basel and the Paul Scherrer Institute published their findings in the journal Nature Communications.

Ferrimagnets are composed of two centers which are magnetized at different strengths and point in opposing directions. Two-dimensional, quasi-flat ferrimagnets...

Im Focus: World's thinnest hologram paves path to new 3-D world

Nano-hologram paves way for integration of 3-D holography into everyday electronics

An Australian-Chinese research team has created the world's thinnest hologram, paving the way towards the integration of 3D holography into everyday...

All Focus news of the innovation-report >>>

Anzeige

Anzeige

Event News

Marine Conservation: IASS Contributes to UN Ocean Conference in New York on 5-9 June

24.05.2017 | Event News

AWK Aachen Machine Tool Colloquium 2017: Internet of Production for Agile Enterprises

23.05.2017 | Event News

Dortmund MST Conference presents Individualized Healthcare Solutions with micro and nanotechnology

22.05.2017 | Event News

 
Latest News

How herpesviruses win the footrace against the immune system

26.05.2017 | Life Sciences

Water forms 'spine of hydration' around DNA, group finds

26.05.2017 | Life Sciences

First Juno science results supported by University of Leicester's Jupiter 'forecast'

26.05.2017 | Physics and Astronomy

VideoLinks
B2B-VideoLinks
More VideoLinks >>>