MDSap Presentation at MEBIS 2018 on how the banking industry is being disrupted in the digital economy where technology changes everything from how customers find, select and engage with banks to how third-party financial services, P2P platforms, and the broader FSI eco-systems will be replacing many of the traditional services banks provide. This session offers advisory for banks to start their digital transformation and the best way to quickly gain ROI.

1. Ilker Tasdemir
Director of Business Analytics
MDS ap
Digital Economy

2. 2
STORAGE
2010 2016
40%
2010 2016
COMPUTING
60%
2010 2016
3D PRINTING
80%
2010 2016
SENSORS
95%
$ $
$ $
extreme performance gains are driving exponential innovation
AFFORDABLE - VIABLE - FEASIBLE
INNOVATION THROUGH DIGITAL IS NOW

3. 3
HOW DIGITAL IS
TRANSFORMING
BUSINESS?

4. 4
WE ARE JUST AT THE BEGINNING OF A DIGITAL
TRANSFORMATION OF GLOBAL VALUE CHAINS
MILLS AND MINING / CHEMICALS
CONSTRUCTION & ENGINEERING
UTILITIES / OIL AND GAS
HIGH WINDS
LIFE SCIENCES / HEALTHCARE
AGRICULTURE / SERVICES /
TRANSPORTATION / CONSUMER
AEROSPACE AND DEFENSE
PUBLIC SECTOR / AUTOMOTIVE
INDUSTRIAL MANUFACTURING
SEVERE STORM HURRICANE
BANKING / INSURANCE
RETAIL / WHOLESALE
TELECOMMUNICATIONS
MEDIA / HIGH TECH
SPORTS & ENTERTAINMENT
DEFENSE AND SECURITY
HIGHER EDUCATION
HOSPITALITY
Internet of Things / Machine Learning / Consumer Experience
MOORE + METCALFE  EXPONENTIAL GROWTH
INNOVATION RATE DOUBLING EACH DECADE
$100T VALUE CREATED UNTIL 2025 (WEF) FUTURE OF
HEALTH
INDUSTRY
4.0
CROWD
SOURCING
SMART
GOVERNME
NT
SHARING
ECONOMY

5. Source: The Millennial Disruption Index survey—a three-year study conducted by Viacom’s Scratch http://www.millennialdisruptionindex.com/
BANKING IS AT THE HIGHEST RISK OF DISRUPTION
don´t think their
bank offers
anything different
than other banks
1 in 3 are open to
switching banks in
the next 90 days
believe in 5 years
the way we
access our money
will be totally
different
in 5 years the way
we pay for things
will be totally
different
Most Millenials
believe the
innovation will
come from
outside the
industry
53% 68% 70%

6. DIGITAL TRANSFORMATION IS DISRUPTING EVERYTHING
75%Of B2B buyers use social media in
purchasing decisions
3.7XGrowth in global cloud data
traffic by 2020
21BConnected devices by 2020 Largest accommodation
provider owns no real estate
Most popular media owner
creates no content
Most valuable retailer has
no inventory
Will you disrupt or be disrupted?
People Data
ThingsProcesses
“Gartner Symposium/ITxpo 2015”; “IDC Social Buying Whitepaper 2014”; Cisco® Global Cloud Index (2015-2020)

7. 7
HOW COMPANIES
ARE USING DIGITAL
TO INNOVATE

8. 7 LAWS OF
UNIVERSAL
DATA
8
1: UNIVERSAL DATA
PERFORMANCE
To handle all types
of needs
FREEDOM
Cloud, hybrid or
on-premise
MODELS
Integrated for 360º
business view
INDEPENDENCE
Of Data & Compute
for right-place decisions
LOW LATENCY
Immediate
response
GOVERNANCE
Security, auditing,
and compliance
FRICTIONLESS
Sharing &
enrichment for
thorough
understanding
Won by digital companies who make all data universal in their unified architecture

9. 2: READY FOR THE BIG CHANGE
Business
process
Business
intelligence
WE ARE USED TO PROCESSES
GENERATING DATA FOR ANALYTICS
BUT DIGITAL TRANSFORMATION IS ABOUT
ANALYTICS CREATING NEW PROCESSES

10. Analytics MUST become a very important
BUSINESS PROCESS in organizations today!

11. ”Idea Exploration & Evaluation”
Generate many ideas and to invest in the
“right” ideas based on customer desirability,
technical feasibility and market viability?
“Business Results”
Commercialize inventions
into market success to fund
future idea exploration
Innovation Process
powered by SAP HANA
“Invention Effectiveness
& Efficiency”
Convert ideas into market
ready products, services and
new business models
ideas
inventions
innovations
3: MANAGE IDEATION WITH INNOVATIVE TECHNOLOGY

12. KEY SUCCESS FACTORS FOR THE BANK OF THE FUTURE
Digital Customer
Engagement
Real time Insight Agile Platform

13. SAP FACILITATES THE DIGITAL CUSTOMER ENGAGEMENT ECOSYSTEM
Retail
Banking
Corporate
Banking
Credit Card Mortgage Brokerage
SAP Digital Customer Engagement
• Digital Banking Services
• Marketing / Sales Analytics
• Targeted Offers
• Self-service Enablement
• Customer Loyalty and Engagement
• Eliminate Duplication across Silos
Sales /
Marketing
Sales /
Marketing
Sales /
Marketing
Sales /
Marketing
Sales /
Marketing

14. KEY SUCCESS FACTORS FOR THE BANK OF THE FUTURE
Digital Customer
Engagement
Real time Insight Agile Platform

15. CONTEXT MAKES THE DIFFERENCE
What they may
do
Real-time
individualization
Presentation of
relevant content across
all touchpoints
known
customer What they have done
What they are doing now
EXPLICIT
IMPLICIT
unknown
customer
TOUCHPOINTS

16. CUSTOMER PROFILE
 One profile for corporate accounts,
consumers, or contacts
 Interactions from all channels including
business documents, social networks, web
clicks, etc.
 Merging data building a golden record
 Predictive scores delivered out of the box,
easy to add more
 Easy extensibility with pre-delivered fields
 Commerce browsing favorites
 For B2B with account information

17. AUDIENCE DISCOVERY AND TARGETING
• Learn about your customer’s behavior
• Identify right target audience for your offers
• Improve campaign effectiveness leveraging
predictive insights
• Turn insight into action with personalized target lists
Predictive Analysis
• Gain deep customer insights with advanced
statistical methods
• Optimize targeting and customer segmentation with
predictive insights
• Anticipate customer behaviors and make
personalized offers and promotions
• Customer Lifetime Value (CLV)
Explore new insights by combining Predictive
Analytics with Audience Discovery and Targeting

18. SENTIMENT ENGAGEMENT
 Social Monitoring on brands, topics or
contributors, see new upcoming topics.
 Any unstructured data from public social
media or other text based sources like email,
complaints …
 Automated text data processing with SAP
HANA Text Analysis (NLP) identifying topics
and sentiments.
 Creation of target groups or Jam groups to
follow up.
 Engage on Social Media
 Filtering by target group to understand their
sentiment
 Drill down by channel, sentiment, topic,
contributor ..

19. KEY SUCCESS FACTORS FOR THE BANK OF THE FUTURE
Digital Customer
Engagement
Real time Insight Agile Platform

20. OData/REST/HTTP
Omni-Channel Platform
Digital Banking
Digital banking service solutions
Financial foundation channel services
(entitlement, messaging, alerts, …)
SAP DIGITAL BANKING CUSTOMER CENTRICITY FRAMEWORK
Digital Commerce
Content management
Customer experience management
Commerce
services
Guided quoting
and selling
Channel management services – MA(D)P, MAM (SAP
Mobile Platform: Security, audit, admin, offline data, app lifecycle)
Retail
banking
Commercial
banking
Mobile
money
…
Service-oriented
architecture
SAP HANA : Real-time Solution
SAP CRM
Analytics solutions
from SAP
Core banking solutions
from SAP
Process orchestration and integration
Non-SAP systems
Digital Marketing
Customer data
management
Next best action, Predictive
Planning and budgeting
Targeting/customer insight
Cross-channel campaign
execution
INTERNET MOBILE SOCIAL E-MAIL CALL MARKET DIGITAL INTERNET CONTACT POS MARKETING
NETWORKS CENTER PLACES GOODS OF THINGS CENTER CHANNELS

21. 21
WHY DO WE NEED
MDSAP?

22. WHAT’S THE MEANING OF LIFE, UNIVERSE AND EVERYTHING?
In the radio series and the first novel (1978), a group of
hyper-intelligent pan-dimensional beings demand to
learn the Answer to the Ultimate Question of Life, The
Universe, and Everything from the supercomputer, Deep
Thought, specially built for this purpose.
It takes Deep Thought 7½ million years to
compute and check the answer.

23. THE ANSWER TO LIFE, UNIVERSE AND EVERYTHING IS…

24. WHAT’S THE MEANING OF 42?
“The answer seems meaningless
because the beings who instructed it
never actually knew what the Question
was”
“Deep Thought can built a machine to
calculate the real question in 10M
years”

25. CONCLUSION
“We don’t have 7 ½ million years to ask silly
questions.
We don’t have 10 million years to decide what
question to ask”

26. SAP IN BANKING
LEVERAGE THE GLOBAL EXPERIENCE, CUSTOMER BASE AND MARKET RECOGNITION
14,000 banks in 150 countries
are innovating with SAP solutions
81% of the banks in the Forbes Global 2000
are SAP customers
“SAP is the overall lead vendor in Execution”
Ovum Mobile Banking report, Oct 2014
“Best scores overall for banking platform functionality, accounting and
analytics”
Forrester Banking Platform Wave, Aug 2014
“#1 Best Selling Retail System badge for
SAP Deposits Management”
IBS Journal Sales League Table, March 2015

27. © 2018 MDS ap. All rights reserved.
Director of Business Analytics
Ilker.tasdemir@mdsaptech.com
Ilker Tasdemir
@MDSapTech
slideshare.net/MDSapTech
linkedin.com/company/mdsap
www.mdsaptech.com
CELEBRATING 25 YEARS OF EXCELLENCE
A Continuous Journey of Transformation