{"id":1076,"date":"2017-02-20T03:55:35","date_gmt":"2017-02-20T03:55:35","guid":{"rendered":"https:\/\/blogs.scu.edu\/finis\/?p=1076"},"modified":"2017-02-20T03:55:35","modified_gmt":"2017-02-20T03:55:35","slug":"fintech-festivals-where-traditional-meets-technology","status":"publish","type":"post","link":"https:\/\/blogs.scu.edu\/finis\/2017\/02\/20\/fintech-festivals-where-traditional-meets-technology\/","title":{"rendered":"Fintech Festivals: where Traditional meets Technology"},"content":{"rendered":"<p>While most articles in the class blog deal with Fintech as a disruptive industry for traditional financial institutions, the fintech festivals are common grounds of co-opetition for banks and fin-tech companies.Tech companies also help traditional banks to gear up to take on the new era of competition and integrate latest technology for their efficient running.<\/p>\n<p>Let us discuss the merits and de-merits of few such examples that Microsoft CEO Satya Nadella cited at one such Fintech festival.<\/p>\n<ol>\n<li>&#8216;MetLife is using Microsoft Azure to run complex actuarial simulation models, delivering \u00a0insights to decision makers around the globe&#8217;<\/li>\n<\/ol>\n<p>Advantages:<\/p>\n<ul>\n<li>Complex risk assessment is aggregated in the cloud to complete in much lesser time.<\/li>\n<li>Faster business decision making process resulting in improved customer experience.<\/li>\n<li>45-55 percent savings on infrastructure costs .<\/li>\n<\/ul>\n<p>Disadvantages:<\/p>\n<ul>\n<li>Security of customer information is the most major concern when an on-premise data store is moved to a third party cloud computation engine.<\/li>\n<li>Once computation is moved to a particular cloud offering, the process develops platform dependencies that is hard to integrate with other systems or change in future.<\/li>\n<li>If there is a contract fallout, customer data can go into vendor lock where the parent company loses flexibility and control over data. This is why banks are reluctant to adopt cloud technology.<\/li>\n<\/ul>\n<hr \/>\n<p>2. &#8216;Emirates National Bank of Dubai is reinventing its customer relationship management with Azure Machine Learning and Microsoft Dynamics 365&#8217;<\/p>\n<p>Advantages:<\/p>\n<ul>\n<li>Data mining and prediction helps identify how to spend time with customers, and targeted next-best actions and offers.<\/li>\n<li>15-point conversion rate of customers to new services.<\/li>\n<\/ul>\n<p>Disadvantages:<\/p>\n<ul>\n<li>Again there is a conflict over online vs on-premise solutions against Microsoft&#8217;s cloud-based bundle.Hence your data, algorithms, experiments and results would reside in the cloud. Depending on your data sensitivity, that may be a deal breaker.<\/li>\n<li>The Microsoft CRM and ERP solutions are in their infancy and there are lots of kinks to iron out.There are better solutions out there for a lesser price point.<\/li>\n<\/ul>\n<hr \/>\n<p>3. &#8216;Bank of America Merrill Lynch is working with Microsoft Treasury to use Azure Blockchain as a Service to transform and automate the processes for standby letters of credit&#8217;<\/p>\n<p>Advantages:<\/p>\n<ul>\n<li>Reduces process time from 5-7 days to 5-7 minutes<\/li>\n<li>Reduces error rate down to zero percent.<\/li>\n<li>Significantly reduces the cost of process.<\/li>\n<\/ul>\n<p>Disadvantages:<\/p>\n<ul>\n<li>Being a new technology there are challenges such as transaction speed, the verification process, and data limits.<\/li>\n<li>Control, security, and privacy are still cyber security concerns that need to be addressed before entrusting personal data to a blockchain solution.<\/li>\n<li>High initial capital costs : Blockchain proof of work implementation offer solutions that require significant changes or replacement of existing systems. In order to make the switch, companies must strategize the transition.<br \/>\n<hr \/>\n<p>Thus we see the 2 sides of the coin while implementing fin-tech in traditional financial institutions. Financial institutions weigh all the pros and cons before trusting new ideas and technology. Fact that fin-tech is still percolating and accepted into such organisations is proof that widespread acceptance of fin-tech is starting.<\/li>\n<\/ul>\n<p>REFERENCE:<\/p>\n<blockquote class=\"wp-embedded-content\" data-secret=\"MuzMf6o4vt\"><p><a href=\"https:\/\/mspoweruser.com\/microsofts-xiaoice-chatbot-may-coming-english-tay\/\">Microsoft&#8217;s Xiaoice chatbot may be coming to English at Tay.ai<\/a><\/p><\/blockquote>\n<p><iframe loading=\"lazy\" class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;Microsoft&#8217;s Xiaoice chatbot may be coming to English at Tay.ai&#8221; &#8212; MSPoweruser\" src=\"https:\/\/mspoweruser.com\/microsofts-xiaoice-chatbot-may-coming-english-tay\/embed\/#?secret=SY4QC5lBLZ#?secret=MuzMf6o4vt\" data-secret=\"MuzMf6o4vt\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe><\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>While most articles in the class blog deal with Fintech as a disruptive industry for traditional financial institutions, the fintech festivals are common grounds of co-opetition for banks and fin-tech companies.Tech companies also help traditional banks to gear up to take on the new era of competition and integrate latest technology for their efficient running. &hellip; <a href=\"https:\/\/blogs.scu.edu\/finis\/2017\/02\/20\/fintech-festivals-where-traditional-meets-technology\/\" class=\"more-link\">Continue reading <span class=\"screen-reader-text\">Fintech Festivals: where Traditional meets Technology<\/span><\/a><\/p>\n","protected":false},"author":1805,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"qubely_global_settings":"","qubely_interactions":"","kk_blocks_editor_width":"","_kiokenblocks_attr":"","_kiokenblocks_dimensions":"","footnotes":""},"categories":[1],"tags":[],"class_list":["post-1076","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"gutentor_comment":0,"qubely_featured_image_url":null,"qubely_author":{"display_name":"nora","author_link":"https:\/\/blogs.scu.edu\/finis\/author\/nora\/"},"qubely_comment":0,"qubely_category":"<a href=\"https:\/\/blogs.scu.edu\/finis\/category\/uncategorized\/\" rel=\"category tag\">Uncategorized<\/a>","qubely_excerpt":"While most articles in the class blog deal with Fintech as a disruptive industry for traditional financial institutions, the fintech festivals are common grounds of co-opetition for banks and fin-tech companies.Tech companies also help traditional banks to gear up to take on the new era of competition and integrate latest technology for their efficient running.&hellip;","post_mailing_queue_ids":[],"_links":{"self":[{"href":"https:\/\/blogs.scu.edu\/finis\/wp-json\/wp\/v2\/posts\/1076","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.scu.edu\/finis\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blogs.scu.edu\/finis\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.scu.edu\/finis\/wp-json\/wp\/v2\/users\/1805"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.scu.edu\/finis\/wp-json\/wp\/v2\/comments?post=1076"}],"version-history":[{"count":1,"href":"https:\/\/blogs.scu.edu\/finis\/wp-json\/wp\/v2\/posts\/1076\/revisions"}],"predecessor-version":[{"id":1098,"href":"https:\/\/blogs.scu.edu\/finis\/wp-json\/wp\/v2\/posts\/1076\/revisions\/1098"}],"wp:attachment":[{"href":"https:\/\/blogs.scu.edu\/finis\/wp-json\/wp\/v2\/media?parent=1076"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blogs.scu.edu\/finis\/wp-json\/wp\/v2\/categories?post=1076"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blogs.scu.edu\/finis\/wp-json\/wp\/v2\/tags?post=1076"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}