Sign New Hampshire Banking Living Will Mobile

Industry sign banking new hampshire living will mobile

welcome to the final project presentation for the southern New Hampshire University course IDs 4:03 this is submitted by Daniel Bentley and has titled constraining banking services introduction social groups in some way direct nearly every aspect of technology technology also plays an important role in mediating human relationships an individual's behavior is influenced by four forms of regulation laws norms markets and architecture or in this case technology the bank has a desired future digital target state to get to the target state the bank requires an industry-leading digital platform and a plan to get customers to migrate to those digital platforms this involves constraining non digital banking services this presentation will review influences including social practices technology and non mechanical technology it will then review the issue of constraining bank services in the solution plan and benefits social practices social practices have shaped technology and has begun to shape society practices in almost every method of interaction each successful digital service advanced builds and grows not only in specific target but also a horizontal and vertical linkage of Technology and society Kevin Kelley in a discussion of the next 5,000 days of the web he states that if he had told us 10 years ago that we would have the current state of web connectivity technology social construction an interaction that we do today we would have just called him a utopian dreamer he said that one of the things that we're learning from this era is that we have to get good at believing in the impossible because we are unprepared for it does technology determine human action or does human action shape technology as discussed in technology and society building our socio-technical future by Trevor pinch and webby bike while technology determinism suggests the structure and design of the technology itself can dictate the behavior of its users technological constructivists would say that it is the users that shape the technologies one can't fully understand how a society uses a technology without actually realizing that technology social context societal change has become influenced by the reluctance of the users to trust more centralised structures and hierarchies privacy and proprietary information being the most significant drivers technology proliferation technologies that has influenced the behaviors and operations of banking services by reducing costs and becoming more horizontally accepted by all banking platforms merchants and consumers five years ago 65% of deposits occurred in a banking center now only 34% are completed in the banking center 52% are done by an ATM and 14% are done via mobile banking five years ago there were 24 million mobile logins per month now there are 200 million many of which that are now virtually required no physical instruments like credit cards or checks there are now 18 point 4 million active mobile users where there were only six point three million five years ago five years ago there were no mobile sales capabilities where now mobile accounts are responsible for 20% of digital sales it's obvious to see that the trend to digital banking services is on the increase technology has influenced the behaviors and operations of banking services by reducing costs and becoming more horizontally accepted by all banking platforms merchants and consumers non-mechanical technology non-mechanical technology has shaped our interactions the non-mechanical technology the impacts banks consumers and investors our regulations especially those instituted post 2007 in speaking of the best prison design the panopticon michel foucault stated that the inmate must never know whether he's being looked at at any one moment but he must be sure that he may always be so this is the same principle that regulators wish to convey to the banks in the design visibility is the trap and it creates a sense of permanent visibility that ensures that power should be visible yet unverifiable non-mechanical regulations and fines the current goals of the financial industry in government regulators is to prevent through regulation the negative economic catastrophe that occurred post 2007 the lack of these protections nearly crippled the country and led to a massive impact of housing foreclosures and bank bailouts the regulatory protections put in place similar to what daniel suarez pointed out concerning autonomous robots in the kill decision shouldn't belong to a robot the ways humans resolved in this case risk shapes our social landscape the new regulations post 2007 created a non technology impact instituted by the regulatory agencies called fines the government agency find financial institutions for their operational behaviors concerning mortgages this totaled approximately one hundred and seventy four billion dollars by 2010 positive and negative aspects associated with regulations the positive impacts were increased required internal controls these are costly to the banks to produce but improves controls of a fraud this non-mechanical technology also contributed to higher consumer and investor confidence and it increased in investments the ideal behavior that regulations are trying to produce is to ensure a safer financial environment there are many agencies involved in dictating new regulations the big three are the OCC SEC and CFPB their governance force new rules and strengthened existing controls of financial institutions these combine to revolutionize a greater risk averse culture and new risk appetite a negative impact is the increased labor and processes required by the banks to support new regulations in the case of National Bank this was a ten times increase in risk related activities people resources and costs use of technology has impacts on societal issues the use of instinctual assessments is beginning to be impacted by knowledge databases there is currently no control over the ecosystem of data and technology that influences our decisions foundations and information on the Internet as technology is built on top of these information sources what accountability mechanisms will be available to ensure that we base decisions on facts what will society use to place extra checks on decision-makers will we trust each other or instead trust what data might tell us about each other issue background the banking environment and influencing the customer in 2007 the Bank began enhancing operations and technology to better serve the consumer it is an industry leader in providing digital banking solutions to its clients the history of where it was yesterday where it is today and where it will be in the future is a unique interesting journey post 2007 there was a dramatic decrease in interest rates one of the primary sources of income for a bank is the net interest margin and I am this is the difference between how much a bank pays for money and how much you can make loaning it out to the consumer a significant driver of the rate that is given the consumer is based on the Fed Funds rate although recently there have been increases in the Fed rate the low interest rate environment continues to pressure niam and provide headwinds for the bank every 1% interest rate increase translate to four point six billion dollars of net interest income over 12 months also since 2007 there has been sluggish consumer spending due to low interest rates and flat consumer spending the bank turned to reducing expenses to bolster the bottom line reducing expenses includes an increased emphasis towards digital solutions and operations simplification the project that is guiding this is called sim sim and influencing the customer towards digital technology the sim or simplified project is a collection of various process and technology projects focused on improving operations and reducing costs the goal is to be more productive and flexible by helping to simplify operations sim is also helping drive responsible and sustainable growth for the company it is expected to give a 2.6 billion dollar expense reduction and generate approximately 2.5 billion dollars in increased revenue by 2021 a large part of the sim project our issues focused on bringing the bank to the target digital solution this involves enhancing technology at many customer touch points and includes influencing the customers toward the chosen direction of the digital banking technology and services constraining non digital banking services to digital solutions with the bank there has been technology developed based upon societal desires and requirements this is expected because we assume social and technology forces to be intertwined the strategy being used to influence customers towards the chosen direction of the bank's target digital solutions involves investment in Bank technology and financial resources this has developed to a point that a new target state of digital banking involves influencing the customer to adopt the new digital technologies in order to operate more economically and in a whole new manner to grow the profitability of the bank this involves constraining non digital banking services in an effort to move all consumers to digital services digital service targets the Bank has made great strides towards its digital servicing targets it currently has a number one service footprint with the most efficient deposit gathering engine in comparison to its competitors this has resulted in the highest deposits per branch and the lowest operating cost per $100 of deposits the bank is also number one in both credit card revenue or profitability and number one in both home equity and mortgage origination customer satisfaction among all banks the bank is also experiencing high investment asset growth these impressive rankings speak not only to the customer deepening model but also the development of the best digital platform and banking services this has contributed to the bank being number one in digital sales online banking functionality and mobile banking functionality digital services strategy the heart of the digital services strategy for the bank is listening to what the client wants clients want to make transactions so simple that they don't even have to think about it and this is done through simple and integrated automated banking across digital ATM and voice channels clients want to know that their banker will be there when they need and this is being done through expanding the Salesforce and for designing new-age professional settings in the financial centers clients want to be recognized for their loyalty to the bank and this is being done by addressed through preferred rewards program a deepening of the client relationship and structuring bank functionality towards life stages and priorities investing in bank services are much more different for consumers who are working in building their wealth than those in retirement digital services a failed automated teller project the goal was to merge automated teller machines ATM and live video tellers with a goal to eliminate the number of tellers and financial centers by giving ATMs a more humanized personalized feel and extended operational hours each ATM upgrade was targeted to eliminate 5 Associates per machine but it resulted in only reducing about 800 associates over the full bank population that equivalent is only a half a person per machine this still was a savings of 40 million dollars but the actual results were much lower than projected because customers still wanted to go to the financial centers for privacy concerns well it was a favorable technology it did not drive customers from the center's to the digital platform it really just opened up another channel for the consumers to use without reducing costs Digital Services successes while the ATA project was somewhat a failure other digital services have become great successes currently a consumer can deposit checks through their phone and make withdraws using their phone at cardless ATMs mobile phones using the National Bank application can make appointments to see banking specialists at the local financial center as well as speak live with a call center representative this application also allows authentication without having to enter passwords usernames or account numbers the consumer is able to access the pending information process transactions using the thumbprint recognition technology of the mobile phone one of the greatest digital service successes is the digital wallet the mobile phone application allows payments and purchases to be done through a variety of banking industry horizontally aligned payment channels including Apple pay Android pay Samsung pay and the new multi Bank application cell all this functionality allows financial transactions to happen more quickly and more reliably than any non digital solution turreted population and digital adoption digital adoption is tied closely to the breakdown of the consumer by generations the use of digital technologies as expected is more common with Millennials and Gen Xers the growth of digital adoption with the baby boomers generation continues to increase at a healthy percentage rate also as expected seniors those 72 years of age and older preferred traditional non digital servicing a study by national bank shows that children currently under the age of 10 will never use cash checks or credit cards in the traditional form in the future 71% of that population won't know how to write a check 42% won't use payment credit cards and 36% will only shop on their son on their smartphones the question remains how to get more baby boomers and seniors to adopt to the digital solutions this has becomes a tie between technology and society addressing consumers slow to adopt digital banking services to know how to influence consumers from non digital solutions to the adoption of digital solutions is important to understand the generations for example Millennials are motivated by money while Gen Z are motivated by saving money baby boomers are motivated by benefits of pensions while Gen Xers are similarly motivated but also need a good work-life balance by understanding these as well as other characteristics services can be designed and marketed to the correct generation profile to fulfill the specific needs if their needs are available through digital applications the more clients will gravitate towards them technological momentum society and technology both exert influence on technological momentum mobile banking is ten years old and today is driven by digital mobile solutions it is the most used channel with nearly 22 million active mobile users and more than three point seven billion logins per year this industry-leading functionality introduced over the past decade includes mobile check deposit which was launched in 2012 they now averages nearly three hundred and forty thousand checks deposited per day the equivalent capacity of eight hundred and eighty financial centers Bank up by appointment which was released in 2014 currently schedules almost 30,000 financial Center appointments per week which is up a hundred and seventeen percent from the previous year the debit lock and unlock feature for cards has nearly three hundred and forty thousand customers using it every month after only being operational for one year the spending and budgeting tool rolled out to all consumers in January 2017 has two million users with 89% of them in the mobile banking app the trend of digital adoption grows each year it has not yet with each new release of the banking application new and upgraded functionality is built in and becomes more and more intuitive non-digital cost versus new digital banking technology as technology continues to progress the cost of non digital servicing will become unsustainable for banks this will force banks to increase the use of digital servicing technologies replacing call center interactions with ATM technology is approximately a 96 percent cost decrease reducing teller interaction by using digital mobile technologies about a 98% cost decrease as the need for call centers and financial centers decreases additional infrastructure assets can also be liquidated by the bank 1,600 branches have been eliminated since 2008 with the savings of 1.6 billion do lars the transactional format of financial centers are being transformed to centers providing financial advice the plan constraining non digital banking services in an effort to move all consumers to digital solutions the bank will make non digital servicing for retail customers more difficult to access there will be fees for some services and call center queue design will provide for longer service levels inbound call channels will refer customers to no cost in line Digital Solutions certain service requests will not be available not digitally current non digital staffing will be reduced to support service levels for call centers to produce a reduced average speed to answer from 4 minutes to 8 minutes this will reduced labor cost by over 300 million dollars per year charges will be assessed for manual processing items not to offset cost as much to drive volume to digital alternatives for the preferred or high wealth customers they will receive better service level and full service for non digital service requests current technology will be utilized to enhance the digital experience and to implement the plan the bank is building a world-class consumer services network that transforms the financial centers into centers of advice and convenience for the clients this will make banking and investing available at all of the locations and through an unparalleled mobile platform complementing that experience the bank will also have advanced centers to provide another way for clients to connect get advice and handle all of their banking lending and investing needs smart screens will welcome clients and guide them in the space and provide an interactive experience and virtual tour of the center and all that it has to offer video conferencing rooms will be available for clients who need private and secure one-on-one advice clients can easily access the room with a digital wallet or debit card current technology will be utilized to enhance the digital experience and to implement the plan consumers will be offered digital technology services at all levels and the bank will continue to stay on the leading edge of digital servicing extensive marketing will accompany the digital push to market the breadth and depth of services available consumers will be charged for digital for non digital services and advised on how to obtain what they need digitally and at low or no cost staffing of non digital servicing will be reduced and result in service levels that encourage customers to look at digital alternatives summary benefits of constraining the customer to digital platforms there will be a significant reduction in costs and profits will increase this will help the bank gain an edge over competitors and drive the path of the industry towards digital banking services the bank will provide customer training for onboarding customers to digital alternatives digital solutions provide more accurate quicker and easier baking information and client financial planning services as clients begin to realize this through their adoption they will deepen the relationships with the bank and therefore be influencing society by the installation of this technology the time to migrate all generations to banking digital services hinges on how technology moves people forward to a better future and how successful constrained non digital activities are at forcing reluctant adopters to the target digital platform you