Making Banking More Human In The Cloud

Falk Rieker

Banking leaders spend a lot of time thinking about the need to transform so they can thrive in the emerging digital financial services landscape. It’s an obsession of sorts. After all, their ability to create intelligent enterprises that focus on higher-value outcomes, invent new business models, and develop new revenue streams will determine the future of their business.

It can be difficult to pinpoint the best way to reach these goals. Decades-old legacy corporate banking systems aren’t designed for digital transformation. And trying to retrofit legacy tools and processes into a digital mold has produced disappointing results for many banks.

That’s why innovative thinkers argue for a complete redesign of banking processes and systems from the ground up. They believe that new banks or “neobanks” can most effectively meet the challenges of digital transformation while addressing the demands of customers.

Banking for good

Several neobanks operate in the United Kingdom, Europe, and the United States. But in Australia, one of the first aspiring neobanks to launch is Xinja. Building on mobile and artificial intelligence technology, the company’s mission is to help customers make more out of their money. And it says that it is technology that will ultimately bring humanity back to banking.

Xinja began as a technology firm intent on restoring the role of the good banker – a respected community adviser who helps customers make smarter financial decisions. Its team of banking, customer experience, and technology experts developed solutions that support several new innovative apps and services.

Now, Xinja is applying for a restricted banking license in Australia. Once that license is granted, the company hopes to become a customer-centric business that makes banking quicker and easier, offering innovative products and engaging experiences.

Building technology with purpose

In a recent blog, Xinja talked about the need for new core banking solutions that not only digitalize technology but actually deliver a better experience for customers by overhauling its people and business structures. “Technology can provide a unified view of the customer,” says Greg Steel, chief architect at Xinja. “That’s not a problem. The biggest challenges for traditional banks are the internal silos they operate with.”

True digital banking requires a new technology infrastructure. Cloud solutions are an essential technical foundation for banks that want to develop flexible systems that also offer high levels of security and fast performance. For this reason, Xinja is developing lean core banking solutions in the cloud in partnership with leading cloud providers.

Highly configurable cloud banking solutions will allow Xinja to manage costs while in the startup phase, with the promise of scaling up as the company grows. By creating solutions and services that benefit people, the company expects to offer real value to customers while becoming a viable, profitable business. Xinja is not a bank yet, but when it gets there, I think it’s going to be a great one.

For insight on how traditional banks are responding to new these new models, see Banking Industry Turns To Blockchain To Compete With Fintechs.


Falk Rieker

About Falk Rieker

Falk Rieker, Global Vice President and Global Head of the Banking Business Unit at SAP, is a senior level financial services professional and SAP veteran with over 20 years’ experience. He is responsible for leading the SAP banking solution strategy and connecting bankers with the technology they need to succeed in today´s workplace. As a thought leader in the banking space, Falk frequently speaks at international banking conferences and has been published and quoted in leading industry publications like Forbes, American Banker, IDG and Wall Street and Technology. Follow Falk on Twitter (@FalkRieker), LinkedIn, Youtube, and Instagram.