Inclusive Digital Innovation Event – Session 3 Summary

On Wednesday, March 17th, S. James Ellis gave a talk concerning ecosystem dominance at the weeklong Inclusive Digital Innovation event hosted by Atos. This discussion comes in the wake of a white paper currently in development centered around the same topic.

The paper views dominance through three different lenses in order to prescribe what incumbent and startups should focus on to gain a dominant edge in digital, data-driven ecosystems. “Dominance,” in this sense, is given a fair amount of room for interpretation, but it hinges on the idea that in an ecosystem where a business’ stakeholders seek sustainable revenue going forward, there exists the possibility to adapt to ecosystem changes while simultaneously gaining some measure of influence over how a company’s peers in an ecosystem engage with each other. This all centers on a core tenet of ecosystems being the variety of interactions between members.

Customer Access

The first argument asserts that customer access – distinct from customer engagements – is a path to focus on when seeking a dominant position in ecosystems. While many companies do indeed prioritize interaction with their customers as a general objective, this point of view suggests that building the material or conceptual infrastructure to own engagement with the customer is key to gaining a dominant advantage. This could be actualized, for instance, through building “vessel offerings,” where the focal company bundles its own offerings alongside complementary companies’ offerings. The example James gave was that of Internet companies that bundle television companies’ offerings in with their own services, thereby owning access to the Internet and television customer. As the customer, in this perspective, is assumed to be the leading force in ecosystem innovation, this begets an advantage in seizing customer-led innovation opportunities – and thus, a sense of dominance concerning this.

Resources

Similar to hallmark resource-based approaches, this viewpoint asserts that access to key resources is the key to finding a dominant position in ecosystems. However and somewhat particular to data-driven ecosystems, these key resources are interrelated proportionately. That is, a company must achieve an interlinked balance of capital, talent, and data in order to most effectively advance its position in its ecosystem. This viewpoint further posits that an overage of any of these resources without a correlated gain in the other two will result in an inefficient operating position, which could slow the company down enough to jeopardize its dominant advantage.

Tri-axis model of key resources, with the cone representing an optimal balance through growth and time.

Ecosystem Centrality

The final viewpoint asserts that a company that systematically pursues the most ecosystem connections, thus centralizing itself among participants, stands to gain a dominant edge among peers. By establishing material linkages with other companies, such as supply chain redundancies, formalized partnerships in joint offerings, and the like, this central and centralizing company begins to insulate itself from the inevitable failures and disruptions that occur in ecosystems, and especially those experiencing the turbulence of broadscale innovation.

The white paper will be available through Atos’ Thought Leadership publications later this year.

Other sessions in the event were given on de-risking corporate startups by Josemaria Siota, GAIA-X by Hubert Tardieu, life-fulfillment services as can be offered by retail banks by Eddy Claessens, and enabling next generation customer insights and interactions through explainable AI by Jeremie Abiteboul.

‘How to de-risk corporate startup innovations, while improving speed and cost?’

FINDER and Atos joined with practitioners, academics, and policy-makers to discuss how to yield benefits from these developments by re-positioning banks in the ecosystem, using Artificial Intelligence in insurance, mitigating risks in new venture collaborations and exploring the opportunities of the European GAIA-X project.

On Monday 15th March, the first day’s sessions took place as part of FINDER and Atos’ ‘Inclusive Digital Innovation in Financial Services & Insurance Event Week’. Atos CTO Remco Neuteboom (https://atos.net/en/expert/remco-neuteboom) and Rick Aalbers (https://www.ru.nl/personen/aalbers-h/), Associate Professor Strategy and Innovation at Radboud University hosted the sessions. They were joined by Josemaria Siota – Executive Director of the IESE Business School – who presented findings from a new corporate venturing report. The discussion was moderated by Nikhil Chouguley, the Global Head of Product Governance & ESG Oversight at Deutsche Bank.

The first half of the session was focus on new research on corporate venturing. Josemaria Siota presented the latest research on the new role of corporate venturing as an ‘enabler’. The research findings showed the importance of a corporate venturing ‘enabler’. The enabler is “An institution or individual, within an innovation ecosystem, that facilitates a resource or activity in the collaboration between an established corporation and a startup, in order for the corporation to attract and adopt innovation.” There are many types of enabler, including private accelerators and incubators, research institutions, venture capital firms or investors, governments and even other corporations. The enabler role is to help determine the innovation gap, explore the options for building the innovation capacity or partnering with others, and facilitate any partnership. Then Josemaria Siota answered about the research and its implications in the market.

The second half of the session was open to the audience. Host Nikhil Chouguley introduced himself and explained how he was interested in both sides of the relationship. He is responsible for governance at a major corporate in his day job, but he also operates his own fintech startup. Nikhil was particularly interested in the role of enablers and the relatively new concept of corporate venturing squads. The 25% of collaborations that had succeeded still represented a huge positive as he invited audience questions for Josemaria Siota to answer the research and its implications in the market.

Josemaria Siota explained how the research points to five crucial conclusions for corporates:

1) Protect your company’s core business when running corporate venturing through an enabler

2) Choose capabilities rather than ‘packaging’ to filter potential enablers. For example, working with partners via a local enabler that has a deep understanding of a specific sector in a specific country

3) Remember that enablers are not just consulting firms – the reality is far richer as they bring databases, events and other ways to connect organizations

4) These opportunities offer you a completely new revenue stream: enabling other partnerships through corporate venturing ‘squads’

5) Every day, the company is becoming less and less unique and enablers can improve your value proposition

There was also time for one key conclusion for potential enablers: A proven capability is the most frequent aspect considered by partners. So always under-sell and over-deliver.

The full research findings are available to download for free. (https://media.iese.edu/research/pdfs/74686.pdf)

About the event:

FINDER is a Marie Curie Research and Training Program funded by the European Committee and has received funding from the European Union’s Horizon 2020 research and innovation program under the Marie Sklodowska-Curie grant agreement No 813095. This session took place as part of Atos’s ‘Inclusive Digital Innovation in Financial Services & Insurance Event Week’ (15th to the 18th March 2021). This is part of Atos and Radboud University’s joint initiative FINDER (https://thefinderproject.eu/), funded by the European Commission.

Retail banking transforms into life-fulfillment services – A session of the FINDER inclusive digital innovation week

On Thursday, our event week on inclusive digital innovation in FS&I reached its final day. It was exciting to bring together perspectives from academia and practice. On our last day, we discussed how banks could transform into life-fulfillment services platforms. Eddy Claessens, Industry director at Atos, gave us insight into his hyper customer-centric retail banking vision, so-called life-fulfillment platforms. The session was hosted and facilitated by Jonas Röttger, a Ph.D. Candidate on the FINDER project.

What are life-fulfillment services platforms?

Life-fulfillment platforms refer to a vision on retail banking. It represents a business model in which the customer interacts through the banking platform with various ecosystems to fulfill diverse real-world needs. For instance, purchasing train tickets, filing insurance claims, and organizing a move. Of course, the platform also offers core financial services provided by almost all retail banks today. The general idea is that life-fulfillment platforms cover all of the customer’s needs that are related to financial transactions. These customer needs can be summarized into four cornerstones of the vision.

  1. Pay and spend
  2. Save and borrow
  3. Invest and protect
  4. Receive and earn

Which roles can banks play in this model?

The overall vision is to create a one-stop-shop solution, meaning one bank becomes the exclusive entry point for customers to fulfill various needs (see above for categories of customer needs). The short-term and mid-term perspective requires banks to position themselves concerning their function as links between the customer and various ecosystems. For instance, banks can decide to act as advisors for ecosystems where they have expertise but do not want to get directly involved. Or they can aggregate services and products in their offerings. The role banks can play hinges on their competencies and prospects. The lfie-fulfillment services vision sees four different roles mentioned below as the most promising options for banks:

  1. Advisor: the bank consults the customer on what to do, when to do it, how to do it, and with whom to do it.
  2. Facilitator: the bank provides, orchestrates, and curates a platform for different stakeholder groups to not only find each other but also interact and transact,
  3. Aggregator: the bank will package and integrate homegrown and third-party solutions.
  4. Initiator: the bank offers direct access through bank distribution channelsto specifically supported externally sourced services or products

What did we learn in our discussion with academia and practitioners on the topic of life-fulfillment services?

  • Banks are already working towards the implementation of similar models. The risk of disintermediation and the lower margins in various fields of retail banking requires banks to shift their business models. Hence, becoming a provider of new services is an appealing vision for banks.
  • Banks do not need to fulfill all roles proclaimed in the model. It strongly depends on their customers and their position in the ecosystems. Which relationships can be leveraged? Also, the customer journey for individual use cases shows which role to play.
  • Banks are well-equipped for the data-driven operational model that is needed to become life-fulfillment service platforms. They have the customers’ trust and access to rich financial data. However, the analytic capability might be something that needs further development, and that can be achieved through partnerships.

If you would like to learn more about life-fulfillment services, please reach out to Eddy Claessens for further dialog on this topic.

Atos and FINDER to host online event week on digital innovation in financial services (15th until 18th of March)

Atos and the FINDER team are hosting an online event week on Inclusive Digital Innovation in Financial Services & Insurance from the 15th until the 18th of March, everyday at 16:00 CET (Thursday already at 15:00 CET). To see the agenda and register for the event go to https://digitalevents.atos.net/Digital-Innovation-in-FSI/home

The event consists of five sessions with presentations by world-leading speakers:

  • GAIA-X: The future of the European datacloud (Hubert Tardieu, Chairman of the Board of GAIX-X)
  • How to de-risk corporate-startup innovations, while improving speed and cost? (Josemaria Siota, Executive Director of IESE Business School’s Entrepreneurship and Innovation Center)
  • Ecoystem dominance (Ivo Luijendijk, Group Industry Director at Atos and S. James Ellis, FINDER PhD candidate)
  • Retail Banking transforms into Life-fulfilment services (Eddy Claessens, Group Industry Director at Atos and Jonas Röttger, FINDER PhD candidate)
  • Enabling next generation customer insights & interactions in insurance through explainable AI (Jérémie Abiteboul, Chief Technology Advisor at DreamQuark)

About the event

The COVID-19 pandemic has been a catalyst for digital adoption across various aspects of our private and professional life. In the financial services and insurance industry, processes are increasingly tackled by leveraging data, machine-learning, and Fintechs/InsurTechs. Atos has joined forces with practitioners, academics, and policy-makers to discuss how to yield benefits from these developments by re-positioning banks in the ecosystem, using Artificial Intelligence in insurance, mitigating risks in new venture collaborations and exploring the opportunities of the European GAIA-X project. This event week is part of Atos and Radboud University’s joint initiative FINDER (https://thefinderproject.eu/), funded by the European Commission. Five independent sessions will allow you to listen to expert presentations and discuss with the presenters and your peers your thoughts, ideas and questions. Please see below for our world-leading speakers.

M&A announcements: How much confidence to convey if you are considered overconfident?

Photo by Sharon McCutcheon on Unsplash

CEOs helming the next acquisition are commonly expected to convey confidence in the outcome of their recent strategic decision to pair up with others for the future. However, too much confidence by the CEO, also known as CEO overconfidence, can jeopardize the value-creation of deals due to a higher likelihood of overpayment: CEOs who are overconfident believe to possess superior capabilities in deriving synergy from acquisitions leading them to make higher bids than more rational CEOs.

Overconfidence is a widely spread human phenomenon. It affects humans’ belief in their capabilities and the precision of their judgment. For instance, people often believe to be better-than-average car drivers, which violates a rational conception of an average. People in powerful positions are even more prone to fall victim to overconfidence since their assignment indicates superiority by nature. Hence, it is not surprising to find overconfidence among CEOs.

In the context of mergers and acquisitions, overconfident CEOs represent a risk to shareholders. While it is common to observe the acquirer stock plummed upon acquisition announcement, this reaction is especially true for acquisitions that will be helmed by overconfident acquirer CEOs. So how do firms helmed by more overconfident CEOs communicate acquisition announcements so that investors do not start selling their shares?

We conducted a study on acquisitions by S&P500 constituents between 2014 and 2020. Using an automated linguistic analysis on acquirer press statements, we found that investors react more positively to acquisitions by overconfident CEOs if the firm’s announcement press release conveys less confidence in the deal. That represents an exciting finding since usually conveying confidence in a strategic decision represents a positive signal for investors to draw on. However, it seems that the effect depends on who is signaling the confidence. In the case of an overconfident CEO, it appears investors prefer a bit less confidence, maybe because that shows a more realistic view of a given deal, which evokes confidence in investors that the acquirer is on the right track.

While the linguistic analysis of firm communication does not represent a novelty for business analysts or researchers, the interaction of CEO characteristics (i.e., CEO overconfidence) and firm communication is currently not undergoing scrutiny. Hence, also something to be considered by marketing and public relation departments when announcing deals to the public. Considering the past performance and press portrayal of the CEO might be valuable when writing press releases.

– Jonas Röttger, ESR

Collaboration FINDER and TechQuartier for the project ’Financial Big Data Cluster’

On the 1st January 2021 the initiative Financial Big Data Cluster was launched with the research project “safeFBDC” as a solution for a technological driven development of the European Financial Sector. To do so the safeFBDC congregates a consortium of public and private collaborating partners managed by TechQuartier – to leverage knowledge in the areas of artificial intelligence, machine learning and business model development.

Therefore, the initiative is a response to increasingly structural change, fuelled by technological innovation. Participants are reacting to the challenge of adaptation with increasing speed.[1] As “banking is unbreakably connected with the use of information technology”[2] the financial sector is a prime representative of the importance of technological innovation. While US and Chinese actors have been predominant in the adaptation of technological innovation in the financial sector, European actors have to step up their game. Their engagement is of importance to secure data sovereignty and thus obtain a competitive position when it comes to data-driven financial services. To achieve this collaboration of the private and public sector is of utmost necessity. For this applicable, european-centristic research is needed to understand and thus enable innovations and their necessary environment. Providing such research will in turn enable the proactive engagement of practitioners.

Thus the safeFBDC project is set up to deliver on these necessities by aligning three major goals:

  1. Increasing research output through the development of new AI systems and analysis of new, information-rich data sets.
  2. Enhancing financial stability by facilitating the exercise of oversight and supervisory functions by public authorities.
  3. Promoting the development of new data-based products, services and business models, and to increase the transfer of knowledge from research to business.

Collaboration on the research of new business models driven by technology

To facilitate applicable, european-centristic research of the financial sector TechQuartier and FINDER, have decided to join forces. Together we want to utilize the opportunity the safeFBDC is providing to study the collaboration driven by technological change. To do so Luisa Kruse from TechQuartier and me will work together on this project. Aim of our collaboration is to study the underlying organizational mechanisms driving this flagship project. By doing so we generate value in three important ways. First, we facilitate applicable research to enable practitioners. Second, we gain a better understanding of how technology affects opportunities of innovation. Third, we establish a new venture of research of the European financial sector. The progress of our collaboration will subsequentially covered within my blogposts culminating in a collaborative whitepaper.

Jonas Geisen, ESR


[1] Schwab, K. (2017). The fourth industrial revolution. Currency.

[2] Thalassinos, E. (2008). Trends and Developments in the European Financial Sector. European Financial and Accounting Journal, 3(3), p. 58

How banks should harvest their internal data

Data fuels decision-making. Banks are well-equipped with the financial data of their customers. Experts often point out that consolidating internal financial data with other data sources (e.g. behavioral data, macro-economic data, etc.) will unfold data’s full potential. Yet, banks’ rich internal data is regularly overlooked as an opportunity that can be used to fuel decision-making. Banks need a solid data-gathering strategy and advanced data analytic skills to leverage their internal data.

How should banks approach internal data?

Data needs to be gathered with a clear purpose. Hence, the journey towards a data-fueled operating model starts with defining clear use cases. Subsequently, the use cases have to be checked against reality. Therefore, banks’ internal data should first be inventoried and categorized. It is crucial to define a timeframe for which data collection is performed (depending on the use case, data collection for the last three to ten years could be most suitable). Subsequently, the data can be put to work through e.g. model-building. While harvesting data with the goal to implement use cases is crucial, the strategy should also entail how to manage data in the future. Harvesting data from legacy architectures demonstrates the potential of data in general but is very inefficient for future endeavors. Here, breaking down data silos and building data lakes represents a robust solution. Currently, banks are still struggling with small projects that only reach the proof of concept stage and large projects that are abandoned due to overwhelming complexity. Incremental progress on mid-complex level projects represents the largest potential to strive.

Too much of a good thing: why data frugality is important

Occam’s razor is the idea that in problem-solving, the simplest solution is usually the right one. This approach is well-adapted in data science for several reasons. Firstly, a model’s appetite for data increases the risk of having unobserved data points which negatively affect the predictive power of a model. Secondly, more data increases the training time for models. More training time means more energy and consequently higher costs. Thirdly, more data can lead to impaired explicability of a model as a complex model’s results are harder to interpret. This is especially the case if deep learning methods are applied (which remain to a large extent black boxes). The low explicability of models prevents their application as part of automated decision-making due to GDPR regulations. Moreover, low explicability could make the model unstable in times of new hitherto unseen data. Users will have difficulties to explain why and with what accuracy the model is adapting to the new circumstances. In general, striving for parsimony is an important criterion for which banks have to optimize when using their data.

Keeping data in the loop

Oftentimes, it is argued that data evolves from simple data to information to knowledge. While that is true for many use cases, it should be pointed out that data-fueled decision-making does not always require intense computation to become knowledge. Depending on the level of human-in-the-loop or the affordances of a decision, very simple data points can be highly informative. However, if data is processed in a time-consuming and complicated manner to derive knowledge (e.g. in form of a report), this knowledge should be kept in the loop. Hence, the results of data processing should become part of the data storage.

– Jonas Röttger, ESR

Open Banking – an opportunity within grasp

Disclaimer:
The content of the FINDER blog is not an expression of Commerzbank AG, nor created on behalf of Commerzbank AG. The content is created and contributed by private persons.

On 05.11.2020 we tuned in into the Open Banking Summit held by the Commerzbank in cooperation with the Business Engineering Institute St. Gallen. We will have a look into the Summits key notes to see how the realisation of Open Banking is progressing based on this use case  –  which opportunities may arise and which challenges are still to face.

Open Banking became more prominent in 2016 when the United Kingdom announced its Open Banking Standard and the European Union published its Revised Payment Services Directive (PSD2). However, it only gained momentum in 2018 when these drafted legislations came into effect. Simplified these laws require banks to open up their IT infrastructure. Technological this is done through application programming interfaces (APIs) which allow different IT infrastructures to communicate with each other. In the case of Open Banking, APIs enable third parties to connect to banks existing IT infrastructure and thereby access and usage of the data gathered– say bye to data silos guarded by banks.

The backbone of the Summit was a whitepaper The Future of Collaboration in Corporate Banking in which Joerg Hessenmueller (Commerzbank AG) defined

API [as] a crucial technology that enables communication between IT-systems with enough flexibility to address the complexity of today’s world [based on] closer collaboration among different parties leveraging on their different capabilities to create value for the customer”.

Resulting from that one can draw the conclusion of David Kauer (PostFiannce AG) that

“Open Banking is a fundamental strategic and architectural question. Banks do not just do Open Banking – Open Banking is a framework that requires a 360-degree view of business and corporate clients and their needs. Banks, thus, have to decide wisely about the order of actions they take to follow such an approach.”

So what is achieved so far?

As the use case of Commerzbank depicts cooperation is key to identify and leverage the options available. Slowly, new networks are emerging. First attempts of opening up are made. So far these are still in their infancy. An example is the developer portal. This sandbox provides developers the documentation and option to play around and get used to the APIs provided by the Commerzbank. When having a look at the opportunities and challenges it is, however, clear that this is only a small first step in the right direction.

What are the outstanding opportunities?

The approach envisioned by the PSD2 is to fundamentally change banking in the European Union. Its implementation is aimed to enhance the value proposition of financial organisations. The basic framework is set to achieve a higher degree of cooperation and co-innovation between banks and third parties for example FinTechs. This is highly dependent on the abilities of banks to think beyond their organisational borders. If this outward-opening is happening the most valuable opportunity can be realised:

Building a new digital ecosystem marked by new business models and driven by customer expectations.

Technological enabled would such an ecosystem be through the opening of banks APIs. Cooperation, innovative ideas could facilitate user value by enhancing consumer protection and security of internet payments as well as account access within the EU and EEA. Accordingly, the opportunity for customers is access to enhanced services within one digital ecosystem. Such services would greatly enhance banks attractiveness by increasing their value proposition. At the same time, FinTechs have the opportunity to grow by getting access to a greater market reach or even provide the B2C of banking. Another actor in such an ecosystem would be BigTechs which, according to David Kauer, could take a role as technological orchestrators. In that case banks would probably occupy the B2B in such an B2B2C banking ecosystem. To not be pressured into the role of an anonymous backoffice service provider banks have to seek an pro-active role. So in general Open Banking should not be understood as a threat or zero sum game by banks but instead as an opportunity. In that sense all actors would profit in the banking B2B2C ecosystem.

Which challenges is the industry still facing?

However, the transformation is still facing challenges that need to be tackled for a digital ecosystem to emerge. As the banking sector will open up for everyone offering financial services a mind-set of collaboration is of importance. Customer centricity should be the focus flanked by provisioning of the necessary infrastructure –for example in innovation labs. An optimal setup is completed by a bank’s readiness to identify partnerships and then leverage resources to seize the presented opportunities.

Technological there are still some hurdles that hinder the facilitation of a collaborative approach to adapt to structural change. Technological readiness is one challenge to face. The adaptation of key technologies across the industry differs strongly and may, in the current state, make collaboration more difficult. Tightly connected to this is the missing standardization of APIs. Heterogeneous architectures for the same services are making a fast and approachable cooperation across organisations fairly difficult.

Future will show of all potential actors can overcome these challenges and thus provide the necessary prerequisites to foster an ecosystem marked by innovative ideas combined with industry-specific know-how

–  Jonas Geisen, ESR

What is preventing incumbent banks from monetizing their data?

Banks are often described as possessing a huge pile of customer data but being unable or unwilling to leverage it. We confronted five industry experts with this statement asking what is hindering banks to monetize their rich data reservoirs? Here are their answers and recommendations on how banks could overcome them. 

 IT legacy – banks’ IT systems are not in shape to allow state-of-the-art data analytics

An often described hurdle to leverage data is the IT legacy system of incumbent banks. While the mere size of the data banks own could be a rich resource, the IT systems are not (yet) consolidated data pools that can provide information. Even in collaboration with fintech companies that developed efficient algorithms to perform smart data inquiry, implementation often fails after a successful proof-of-concept stage. The data is not structured and stored in ways that allow for relevant and timely data consultation. So, where to start?

The unique data of banks are spending data. An expert recommendation is to stratify spending data according to customer demographics for a time horizon of the past five years. Some experts recommended that effective and efficient usage of data would only be possible if banks were building new systems from scratch and migrate carefully selected data (e.g. the last five years) subsequently.

Talent turnover – culture and demands are not attractive for young high potential IT workforce

Banks’ IT systems display opportunities for young and ambitious IT workers: they are embedded in huge and well-paying organizations and require plenty of work. While banks communicate externally that they are particularly looking for IT employees with a disruptive mindset the reality is often very different: a highly regulated and risk-aversive culture is skeptical of incrementally built and improved IT solutions. No IT system is released flawlessly today. Systems are optimized, catered towards customer needs, or improved in terms of security standards while they are already in the market. Banks expect a bullet-proof solution from the get-go. In addition, banks are not particularly interested in functionality that does not yet have a clear use case.  Industry expertise is needed in combination with data analytics skills to develop promising use cases that appeal to strategy-setting executives. This represents a key to stretch banks’ risk-averse culture and provide young IT employees with interesting challenges.

Value chain positioning – highly-regulated back-end vaults vs. life-fulfillment platforms

Big tech companies are entering the financial services market. While companies like Apple and Google are partially interested in gathering access to spending data via financial products, their main interest is to extend their portfolio by yet another revenue stream. However, because of their data analytics skills and their business model, tech companies can offer a level of convenience and pricing (e.g. freemium) banks are unable to provide. The question is whether banks are willing to play the role of highly regulated institutions that manage the back-end of financial services while tech companies will own the customer relationships?

Tech companies are increasingly becoming targets of supervising and regulatory bodies (especially in Europe) and it is at least unclear whether they are motivated to become as regulated as banks. This represents a competitive advantage for banks that are very familiar to strive in the regulated environment.

Moreover, if banks do want to act proactively defending their customer relationships, data analytics are necessary to design platforms that offer financial services that go beyond today’s banking products. A banking platform should provide internal, external, and integrated financial services that facilitate everyday life (e.g. buying public transportation tickets) or rare life-changing financial decisions (e.g. buying own property). The challenge is that not every bank can turn into a platform, given that platform economics usually represent natural oligopolies.

Data monetization can be direct or indirect – which path to chose?

Direct data monetization refers to trade data in exchange for value, whereas indirect data monetization refers to using data to enable, improve, or maintain revenue streams (without trading data itself). While trading data could be lucrative for banks on a short- to midterm scale, it could also jeopardize their reputation as highly entrusted institutions. Hence, pursuing indirect data monetization by using customer data to design tailor-made solutions seems to be the golden route. However, for services and solutions to be highly relevant in content and timing, banks still have a long way to go.

by Jonas Röttger, FINDER ESR

Call for PhD students SMS Berkeley PhD workshop

Reshaping Firms in Digital Ecosystems: Designing the future

We’re organizing the following upcoming SMS Berkeley workshop this fall, titled: Reshaping Firms in Digital Ecosystems: Designing the future

Call for interested doctoral students:

The main objectives of this – now virtual – Doctoral Workshop, focusing on strategy and innovation in a digital era, are to foster interaction among leading faculty scholars and doctoral students on various aspects of research and on preparing for a professional career in academia. Theme: Reshaping Firms in Digital Ecosystems: Designing the future.

Date: November 5th, 2020. registration open now: click here!