Cisco Blogs


Cisco Blog > Financial Services

Big Data Analytics Remains a Big Opportunity for Wealth Managers – Part I

Wealth Management firms are spending billions on IT to differentiate in the market place. Yet the question remains, can “Big Data” have a material impact on the business? Can it deliver business outcomes by reducing risk, increasing assets under management, driving profitability, client satisfaction, products per client, client and financial advisor retention, all while improving the cost/income ratio and return on equity?

These are questions that are being discussed in board rooms across the financial industry and topics that I will cover in this blog series.

In order to answer these questions we need to put the wealth client at the center and understand changing client needs and expectations around how the client wants to be served by the firm. We need to examine external factors such as the impact of game changing consumer technology and unprecedented client access to information, as well as understand how new market entrants are challenging the traditional financial advisor value proposition and business model as a new round of Robo-Advisors hit the market.

Up until recent years, banks enjoyed an account centric transactional business model. What is changing is the onset of unstructured social interaction data as smart mobile devices and mobile broadband Internet usage reach high penetration levels. Device proliferation is leading to the availability of “data exhaust” from mobile phones, tablets, automobiles, video cameras, and from sensors in buildings, streets, consumer wearables and footfall traffic counters. Correlation of such data to better attract, retain, and serve clients can create market advantage.J pagano Wealth Mgt Blog part 1

The “Big” in Big Data comes from the fact that worldwide data volume is doubling every two years with unprecedented volume, variety, and velocity. Ninety percent of the all data in the history of the world was created in the last two years (SINTEF)! The concept of Big Data is about the correlation and analysis of transaction data, social interaction data, and machine/sensor data in a way that can turn data into knowledge, knowledge into insights, and insights into actions in real-time.

So what does this all mean for wealth managers?

As a wealth manager, what impact would it have on your business if you were able to increase the understanding of your client exponentially? Actions derived from data are informed by highly personalized needs predictions that can arm wealth managers with deep insights about their clients, increase their relevance in every interaction, and directly contribute to business outcomes. Big Data can help wealth managers transform the client value proposition and re-imagine the client experience.

The new vision for financial services is that a firm must be present in the financial lives of its clients, any time, any place, on any device, and across any channel.

The firm can no longer wait for the client to come to it. It must be proactive in delivering highly relevant value-added services in real-time and anticipate client needs. The firm needs to aspire to creating a “market of one” experience for each wealth client, understand the needs of and the hierarchy within the household, and move to a client centric versus account centric go-to-market approach.

When it comes to Big Data in Wealth Management start with the foundation, put the client at the center, and define business outcomes. Focus on building capabilities around what is possible while re-imagining the client experience.

Wealth management firms can take concrete steps in the form of measurable business outcome based projects to significantly enhance the client experience. These include:

  1. Define a roadmap for wealth client data analytics maturity. This will identify gaps that can be addressed resulting in more relevant advisor-client interactions.
  2. Establish a wealth client listening system across all channels. Early detection of client behaviors can lead to the identification of issues and sales opportunities.
  3. Create a real-time single view of wealth client data with data virtualization. Substantial savings can be had by leaving disparate data in place while providing managers with a single view.
  4. Establish an analytics driven financial advisor collaboration platform. This helps create market differentiation by maximizing advisor productivity, sharing best practices daily.
  5. Deploy mobile virtual advisor video capability and establish branch analytics. This improves client experience and gives advisors more minutes per day with clients increasing cross-selling opportunities.
  6. Empower advisors with real-time client insights to drive business outcomes. This helps the advisor manage to client life events with much greater granularity and speed.

The choices that wealth management firms make around data analytics in the next two years will determine their position in the marketplace. Can Big Data help wealth managers? With a client centric and business outcomes solutions approach, the answer is an astounding YES!

I will discuss each of the above steps in more detail in my next blog. As always I welcome your suggestions, stories, and feedback!

 

 

Tags: , , , , ,

Video & Software Updates Don’t Need To Overwhelm Your Enterprise Network

Guest post from Lorenz Jakober

Lorenz Jakober - Akamai

Lorenz Jakober, Sr. Product Marketing Manager, Akamai Technologies. Responsible for the product marketing of Akamai’s Cloud Networking product line, Jakober brings a wealth of experience focused on cloud networking architectures, web and mobile application design, performance optimization, usability, and content delivery.

Video growth is overwhelming the enterprise network

We have all been there. At work trying to watch the live company all-hands video, or the latest training, or perhaps even the latest YouTube video. But all we end up with are pixelated videos that take forever to start and constantly re-buffer. The workplace video experience can be abysmal if the WAN is not ready. Most of us will avoid a painful experience like that. Or, if we need to watch the content, suffer through it and spend extra time re-playing it until we can get the message. Talk about engaging employees and improving productivity! In all likelihood, at the same time, the IT team has been watching their network choke on all the additional video traffic. And as we all know we are just at the beginning of the video growth curve with HD everywhere, 4K, “engaging video training”, etc. Cisco, for example, forecasts that by 2018 IP video will represent 79 percent of all traffic globally.
Cisco VNI Global IP Traffic Forecast Read More »

Tags: , , ,

Expressway: The Invisibility Cloak for Mobile & Remote Users

Improving workforce productivity is about more than telling employees to work harder, do more, and think faster. It’s about giving them the right resources and removing barriers so that they can do more.  One way Cisco is helping organizations improve productivity is by making our technology invisible to users.  We’re designing our products to be so intuitive that the complexity of the technology fades away and simply lets the end-users do what they need to do.  No training, no extra buttons to push, no fancy set ups, and no need to involve IT.   It’s a journey, but we are making progress.  A great example of this progress is Cisco Expressway, our advanced collaboration gateway.  It is the “invisibility cloak” for a variety of use cases including for mobile and remote workers.

Unknown to remote and mobile Cisco Jabber users, Cisco Expressway is behind the scenes doing the work to make their experiences secure and easy.  Employees simply log into Jabber and begin collaborating on their device of choice no matter where they are.  It’s Expressway’s firewall traversal technology working in the background that hides (eliminates) the need for the user to fire up a VPN. And with Expressway x8.5’s new single sign-on capabilities, employees do not need their user name and password every time they want to access a different application on Jabber.  It just works.

Similarly, Expressway is helping teleworkers by enabling VPN-less access for Cisco endpoints including Read More »

Tags: , , , , , , , ,

Santa Visits Children’s Hospitals Across North America using Cisco Video Technology

December is here and that means that Santa Claus is putting the final touches on his list and checking it twice. For the eighth year, Cisco is teaming up with medical centers across North America to provide children who are hospitalized during the holidays the opportunity to show Santa what good little boys and girls they’ve been (and let him know what tops their wish list). From Canada, down to the United States and Latin America, Santa will virtually visit hospitals from his post at the North Pole, making cyber-stops by way of the magic of the latest mobile and collaboration technologies.Santa Connection 2014

Approximately 50 hospitals throughout the Americas, with the help of Cisco and our partners, will bring a live feed of the North Pole to their patients – using either an iPad, or a video monitor and web-enabled camera. Santa will visit with children in the hospital’s playroom, and for those who don’t feel well enough to leave their room, a mobile cart or iPad enabled with Cisco Jabber software will help Santa travel for a bedside visit.

Much like children who are able to sit on Santa’s lap, patients will have the opportunity to pass along their wishes this holiday season in plenty of time for St. Nick to make his list and check it twice.

Cisco is proud to be able to touch the lives of these children with the hope and happiness of a personalized visit with Santa using Cisco technologies.

Tags: , ,

How U.S. Banks Can Transform Customer Interactions to Increase Profitability

You order a movie online and additional suggestions pop up, based on a deep knowledge of your likes and dislikes. You plan a vacation and similar suggestions appear, reflecting your financial state, the climate in which you live (and may hope to escape for a time), and past travel history. These convenient, personalized interactions are common today — and even expected.

Yet according to a Cisco survey of 7,200 retail banking consumers in 12 countries, customer expectations for financial services are not being met. Many of the most valued customers — and not just tech-savvy Gen Y ones — feel disconnected from their financial services institutions. They state that their banks do not know them personally, and are providing advice only on the bank’s terms — in the branch, during banking hours, when staff is available,  — if at all. Read More »

Tags: , , , , , , , , , , , ,