Watch out for standardisation of transactional messaging: HSBC

John Laurens says standardisation of communication channels like SWIFT will also have a great impact to banking technology in the next few years.

ABF: Which banking technology will be most useful in the next 2 years? Why do you think so?

HSBC: John Laurens, Head of Global Payments and Cash Management, Asia Pacific
Developments in the standardisation of transactional messaging and communications channels between corporates are the two areas to watch out for.

The standardisation of transactional messaging will have a significant impact on corporate banking over the next couple of years. It will not only drive down processing costs between corporations and banks but will also enable companies to gain better visibility and control over their financial positions, across several banking providers worldwide.

Banks, systems vendors and corporates are working together to ensure that the latest version of XML is truly an open standard across the industry, offering the opportunity for Banks and Corporates to ‘wipe the slate clean’ by eliminating old proprietary methodology and moving to a global industry standard.

Equally the standardisation of communication channels, like SWIFT as well as the standardisation of vendor systems with banking systems, will simplify systems integration and will support the need to process higher volumes of transactions and information which result from the broader industry trends noted above.

Long term, across both corporate and retail banking, the emergence of better information management capabilities will transform how banks serve and support their clients.

CIMB: Iswaraan Suppiah, Head of Group Information and Operations Division
At the current pace of technology innovation, it is challenging to pick any one banking technology as being superior to the rest. That said, I am excited by the impact of the proliferation of devices and access modes from which customers can access banking services. Multi-channel technology architecture where the bank’s products, services and customer analytics capabilities are replicated across all channels is revolutionising banking - creating a seamlessly integrated experience for customers. From traditional channels like branches to digital channels like the internet, tablets and mobile-devices and even extending across into social media platforms, the banking industry is pushing the boundaries to allow customers to bank when, where and how they want, with greater insights into the options for managing their liquidity and wealth.