Digital Banking 19

What has been done so far?

Dear all,

What is "digitalization"? Is it really that complicated or do we confuse ourselves?

Is it "digitization"? No, but the former does not exist without the latter. Although some restaurants get it - now the television cooking shows are quite trendy -, it is difficult (and likely unwise for customers) to deliver tasty and healthy food with a messy and dirty kitchen. Large IT vendors like pointing out that large “digital” investments are taking place in the renovation of the core. They are really investments in digitization, not digitalization …but no shame on them …digitization is not that sexy …unlikely to be politically worthy the funding (mammoth in most cases) ...but as it is needed … someone may wonder what has been done so far.

Is it "innovation"? It is not, but nowadays innovation focuses mostly on bringing new things to society (and the market!) through the use of digital media. Explanation from HSBC Head of Innovation is the best I've heard so far http://www.finextra.com/video/video.aspx?videoid=924 ... but innovation does not have to stick to the use digital media and it is meant to provide new real stuff (no variations or evolutions of what already exists) ... puff, that is tough … to come up with “status quo breaking” ideas, … nobody said it was going easy …and though companies have always had Innovation departments ... someone may wonder what has been done so far.

Is it "ambition"? No, but ambition - properly understood - is what leads companies to pursue the growth rates and valuations of digital business companies. We may think that they have taken advantage of digital media (the famous SMAC I referred to in a previous post) or demographic changes - world population has doubled since I was a child - ... but these elements were there for the rest too, hence there must be other reasons. I believe it is corporate culture, …and let’s be clear - even making someone feel uncomfortable -, it is American corporate culture, … a culture of reward and punishment based on meritocracy - where there are winners and losers - ... and we have been talking about meritocracy for years ... someone may wonder what has been done so far.

Now it is the time, and it is much better - and more fun – to have a room for improvement. Who lives in the past is already old, who is excited about the future is still young. For your reflection: