Restructuring, regulatory reform, globalization, and varying consumer demands. They all mean financial institutions need flexible operating models to react fast.
Too often, we see financial institutions shift their business strategies but fail to adapt their operating models. The result? Risk soars, performance stalls—and competitors pounce. Factors such as restructuring, regulatory reform, globalization, and changing consumer demands are impacting the industry at a fast pace. Consequently, financial institutions are under increasing pressure to redesign their operating models with more flexibility to successfully anticipate and respond to these changes.
Financial institutions need to consider leading practices across five operating model components to develop an adaptable operating model:
An effective operating model transformation involves understanding core business objectives and how they interrelate. In addition, strong leadership and employee engagement is critical to enable a seamless transition for both customers and employees.