Talk at the Agilia Prague 2018 Conference on 29th of May 2018

1. How to manage
digital transformations in large banks?
Christoph Schmiedinger
Agilia Prague 2018, 29th of May 2018
@cschmiedinger

2. “Banking is necessary,
banks are not.“
by Bill Gates (1994)

3. Banking is in the middle of disruption!
Retail
Telekom
Automotive
Banking
Health
Government
Production
Insurance

4. The answer:
Agile
Tech
&

5. Expectations?
Faster, better & cheaper?
User-centric, flexible, fast feedback,
empowerment & fun! ✓

6. But how to start?

7. BerlinDruck / CC-BY-SA-3.0
… better wait a second
to understand one important thing!

8. Values
Practices
Methods
Meetings
Artefacts
It’s all about values and principles!
Principles

9. Top-Level Strategy
You have to start with/by yourself!
©konradbak & stterryk @123rf.com

10. Change the
©convisum @123rf.com
… and orchestrate the change!

11. Hire great people!
Attitude > Skills
©arrow, kbuntu @123rf.com

12. 1) Start first initiatives 2) Support them
intensively
3) Start more initiatives
And of course: start initiatives!

13. Different approaches
Project Initiatives /
Flagship Projects
Spin-offs /
Digital Labs
Complete
Transformation
... and each approach has it advantages and disadvantages.
slow, cautious, ... fast, extreme, radical

14. The setup seems to be the same…
…although the impact to the line organization is different.

15. AgileTeams
Business Unit
Business-
oriented
Flat
hierarchies
Plenty lateral
leadership
Small auto-
nomous teams
Don’t just copy an approach blindly.
No matter if from a company such as Spotify or a framework such as LeSS.
No functional
silos
Cross-
functional

16. In the end, the whole bank must be somehow agile
... which doesn‘t mean that everybody does Scrum!
… but everybody (e.g. support units such as legal/call center) has to
understand the values and principles of agile and has to act accordingly.
©bakhtiarzein & luckybusiness @123rf.com

17. Okay, let’s acknowledge:
the organizational structure is important
… but what else is important?

18. The art of leadership needs to change!
Quelle: Space X (https://youtu.be/GhaD8XLoOl4)
©porteador @123rf.com

19. End-to-end Digitalization
Minimum Viable
Digitalization

20. Customer
Journeys
User Experience Fairs
Maria
34 years old
“Sceptic“
ø wealth: ~ 50,000,-
ø gross margin: 17%
favourite Channel: Desktop
Personas
Innovation through the eyes of the customer!
©elen1 @123rf.com

21. Design Thinking
Quelle: Nordstrom Innovation Lab / https://youtu.be/szr0ezLyQHY

22. Be a Venture Capitalist!
Venture Capital Funding Rounds Stage Gate Process
Gate 0 Gate 2Gate 1 Gate n
Initial funding
approval for
prototype &
business case
€
Early Stage
approval for
functional working
solution
€€
2 weeks 8 – 10 weeks
MVP
approval for
minimum viable
product
€€€
Market launch
Approval for
market launch
max. 6 months
continuous reviews

23. … but how to tackle all this?

24. Structured change approach: