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Course – MBA
Design Thinking In Banking
Design Thinking : Meaning, Function, Process
Etc.
By
Riya Singh
2. Definition of Design Thinking in Banking
• Design thinking is a creative problem-solving
approach that focuses on the needs of the customer.
• In the context of banking, design thinking can be
used to create products, services, and experiences
that are more user-friendly and effective.
• This can help banks to better serve their customers
and differentiate themselves in a competitive
market.
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3. What is the Process and Main Specificsof Design Thinking in
Banking -
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4. • Empathymapping-
A technique for understanding and empathizing with users, by
mapping out their thoughts, feelings, and behaviors.
• User personas-
Fictional characters that represent the different types of users that
a product or service is designed for.
• Prototyping-
The process of creating a model of a product or service to test and
refine its design.
• User testing-
The practice of collecting feedback from real users to inform and improve
the design of a product or service.
• Customer journeymapping-
A visual representation of the steps that a user takes to interact with a
product or service, from their first touch point to the final outcome.
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5. Let’s Explore Each Stage of Design Thinking in
Banking: -
1. Empathize Digital Banking Users –
At the Empathize stage, we collect a large amount of data about
business goals, customer needs and pain points, and product
features, thus researching the wire context around the product.
Our aim is to feel and emphasize with the problem we are trying to
solve. To achieve this, we need to step into the shoes of the
customer and business owner.
2. Define Core User Problems and Value–
At the Define stage, we analyze and synthesize collected data to
define the core problems and prioritize key data. The main purpose
is to understand what value we could bring to customers and why
they would prefer it over other solutions. To achieve this, we need
to approach data analysis from these different angles: business,
psychology, user behavior, competitors, marketing, technology, etc.
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3. Ideate Digital BankingSolution–
At the Ideate stage, we start to generate multiple hypotheses
about what our solution could be. Our main goal is to uncover the
best way to solve the previously defined problems. To achieve this,
we need to step out of the box and create dozens of potential
solutions.
4. User-centeredapproach-
Design thinking in banking puts the needs and expectations of
users at the center of the design process, and focuses on creating
solutions that are tailored to their unique preferences.
5. Collaboration and co-creation -
Design thinking in banking involves collaboration and co-creation
with users and other stakeholders, such as bank employees,
business partners, and regulators, to ensure that solutions are
well-aligned with their needs and objectives.
7. 6. Focus on customer experience -
Design thinking in banking focuses on enhancing the overall
customer experience, and aims to create solutions that are easy to
use, convenient, transparent, and pleasant to users.
7. Continuous learning and improvement -
Design thinking in banking encourages a culture of continuous
learning and improvement, and encourages designers to regularly
seek feedback from users, and to use that feedback to make
ongoing improvements to their solutions.
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8. Main Challenges of Design Thinking in Banking
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• Here are several challenges to implementing design thinking in the
banking industry. One of the main challenges is the fact that the
banking industry is highly regulated, which can make it difficult to
innovate and try out new ideas.
• Many banks are large organizations with long-established processes
and ways of doing things, which can make it difficult to change the
culture and mindset to one that is more focused on design thinking.
Finally, the nature of the banking industry itself can make it difficult
to implement design thinking, as it is a highly complex and risk-averse
industry that requires a high level of accuracy and attention to detail.
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9. • Resistanceto change -
Many banks have traditional and entrenched processes and systems that
may be resistant to change. Implementing design thinking requires a shift in
mindset and culture, which can be challenging for employees and
managers.
• Lackof design expertise -
Many banks may not have a strong design team or the necessary skills and
expertise to effectively implement design thinking. This can lead to a lack of
understanding of the principles and practices of design thinking, and hinder its
successful implementation.
• Limited resources -
Implementing design thinking often requires significant resources, such as
training and development for employees, and investment in new tools and
technologies. Many banks may face budget constraints and may be unable to
allocate the necessary resources for a successful implementation.
• Regulatoryconstraints-
The banking industry is heavily regulated, and any changes to processes and
systems must comply with strict regulations. This can limit the scope and
flexibility of design thinking, and make it challenging to implement
breakthrough solutions.
10. Howto Implement Design Thinking to TransformBanking
Services
1. Understand the needs and wants of customers -
Conduct user research and empathy mapping to understand the pain points and
unmet needs of customers in their banking experience.
2. Generateideas to solve problems -
Use brainstorming and other ideation techniques to generate a range of possible
solutions to the identified problems.
3. Prototype andtest solutions -
Create physical or digital prototypes of the solutions and test them with users to
gather feedback and refine the design.
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11. 4. Implement and iterate -
Based on the feedback from user testing, implement the solutions and
continue to iterate and improve them based on ongoing feedback and
user testing.
5. Communicateand educate -
Communicate the changes and improvements to customers and educate
them on how to use the new services.
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