Currently, emerging technology has brought a significant impact on business operations. Companies across the globe irrespective of the industry are modifying their approaches to ensure customer satisfaction and improved experience. Based on the provided case study, the Oversea-Chinese Banking Corporation (OCBC) invested intensively in contemporary digitalization to enhance its customer service excellence. As a financial institution, OCBC digitized both its frontend and backend operations to enable it to have proper efficiency in offering banking services to its clients. The report will focus on analyzing the digital transformation undertaken by OCBC to influence its operation in the financial industry.
Stages in Digital Transformation Roadmap Adopted by OCBC
Generally, for a business organization to remain competitive in the market, it must have a well-defined roadmap that guides its approaches to implementing effective strategies. The management of OCBC properly formulated a fundamental approach that captured three key aspects of the business operations. The core areas of focus included offering digital training programs for workers, developing its own data center to strengthen cybersecurity, and subjecting employees to training on matters of cybersecurity (Vasudev & Nair, 2022). The initiatives were aimed at improving and ensuring the corporation facilitates a functional unified digital service and instills an effective technological culture in the company.
Offering Digital Training Programs to Employees
By providing training programs to its workers, the company enhanced the skills and knowledge of staff members on digital life. The initiative gave opportunities even to those employees who had little background understanding of the emerging technology to interact and familiarize themselves with the systems. The practice made it easier for OCBC to implement digital services since the workers were effectively educated on their usage and how to solve customers’ queries. The aspect reduced possible resistance that could have made OCBC lag while adopting the new techs in its banking services. Therefore, the training activities were vital in facilitating the transformation of the company into a digitalized world.
Developing its Data Center
Even though the advancement in technology has improved business processes, the process is prone to attacks that can easily cause losses to the business organization. By creating its own data center, OCBC significantly minimized the risk associated with sharing data with external parties. The approach enabled the firm to have direct control of its servers and hence could easily monitor the security. Since e-banking entails online transactions, the company must guarantee the safety of customers’ details and develop a system that cannot be hacked to steal money (Laudon & Laudon, 2021). . Having the data center improved the overall security of the firm which is essential for its efficiency in operations.
Training Employees on Cybersecurity Issues
Generally, in the digital platform, the aspect of cybersecurity is a common phenomenon and a significant challenge facing firms that rely on technology to facilitate their operations. By offering training programs to the employees, OCBC increased the knowledge of staff members on how to detect, manage and even respond to cases of cyber-attacks to prevent the organization from incurring losses. Furthermore, the practice ensured the company has enough internal technicians that can easily tackle such problems without having to rely on outsourced professionals (Vasudev & Nair, 2022). Therefore, having a well-educated workforce with the required skills and knowledge on matters of cybersecurity, OCBC managed to withstand the issue in the market.
Types of Innovations OCBC Implemented
The demand to improve customer service excellence promoted OCBC business organization to implement several technologies to facilitate its business operations. Some of the innovations were made for the frontend services and others were to enhance backend activities. Based on the case study, the corporation implemented several inventions to improve and supplement client services in the industry. Furthermore, it collaborated with other companies such as Apple to incorporate its services to benefit the consumers.
OCBC Open Account App
The OCBC Open Account App invention made it easier for the company’s customers to create their banking accounts without having to visit the bank branches. Through innovation, people could use their devices such as mobile, laptops, or personal computers to execute the operations (Choudrie et al., 2019). The application facilitates quick account opening thus enabling clients to continue with their activities. Furthermore, it saved potential customers from unnecessary travel to seek customer care support to create a new account.
SingPass Mobile App
The SingPass MobiLE App was invented to enable customers, especially the elderly ones to access their digital services through OCBC’s internet banking website. The system made it easier for the clients to access their accounts to perform intended transactions. It eliminated the aspect of remembering several passwords which is a significant challenge to the aged population. The use of facial or fingerprint relived people from having to recall the passcodes.
AI-Driven Voice Banking Services
To facilitate effective customer services, OCBC Company in collaboration with Google firm launched an AI-driven technology in Singapore to enable customers to obtain their banking details including financial products by speaking to Google Assistant. The technology is installed on various devices such as smartphones, Google Home, or Google Home Mini. The innovation made it easier for consumers to receive immediate feedback whenever they ask any banking question. In other words, customers had not had to travel to baking halls to seek clarification from OCBC employees.
Emma
In addition, OCBC introduced technology known as Emma a chatbot that is AI-driven. Emma’s main focus was to advise clients on issues pertaining to renovation loans. Through the invention, customers were able to obtain feedback on questions encompassing the affordability of the credit products. Furthermore, clients could easily use the system to apply for home loans (Vasudev & Nair, 2022). Emma eliminates the need to visit credit officers to inquire about the mentioned products thus people could obtain necessary information through the tech and make their decision concerning the loans. Emma made OCBC’s customers have better experiences leading to the excellence of the firm.
Apple Watch Banking App
In order to enhance efficiency and customer experience, OCBC Company launched Apple watch banking App that people having the device could easily download and use to access banking services. Through the application, clients can check bank balances, insurance policies, usage of credit cards, and other related functions. In addition, the App enabled a user to identify nearby OCBC banking halls in the close area. The innovation made it convenient for customers to access services without having to use their phones. Therefore, it facilitated the operations of the firm as people could easily perform various transactions.
OCBC OneLook
The OneLook invention was intended to relieve customers from the burden of remembering the Apps passwords. The innovation used facial recognition technology to facilitate access to bank details, viewing bank information, and even making transactions (Vasudev & Nair, 2022). By using the system, OCBC customers could perform their respective transactions on OCBC mobile banking, OCBC OneWealth, and OCBC business mobile banking applications. When clients used such technologies, the company could easily trace and record the trends in the market making it adjust its operations to meet clients’ needs.
Differentiating Factors Considered by OCBC
In business, the main focus of firms is to ensure consumers are fully satisfied with the product and services offered by the respective company. Therefore, most corporations undertake various measures to enhance customers’ experience. In the case of OCBC business organization, the entity used several differentiating factors to increase client intimacy which is essential for attracting more consumers. OCBC took into consideration aspects such as age, taste, class, and business size.
Age
Generally, age is a sensitive factor that influences how often people interact and relate to their devices. Most mobile banking applications are encrypted and require the client to enter passwords each time they log in. However, for the elderly, remembering multiple security codes is a challenge. To solve the problem, OCBC launched SingPass Mobile App that such clients could use to access their bank details through OCBC’S internet banking website. The approach made it easier for individuals to easily access their accounts without having to recall various passwords.
Taste
Furthermore, while creating a unique customer experience, OCBC considered the aspect of style. Generally, most people value some technologies which made them rely on them. For instance, people that prefer Apple products will be willing to use the device to enhance their operations. Having the Apple Watch App (Vasudev & Nair, 2022), individuals who are loyal to the brand will enjoy using an item from the same company to undertake transactions. In other words, the company knew that having an application that is compatible with the watch will make users prefer the bank.
Class
OCBC established facial recognition that focused on premium customers. The NeoFace innovation created an aspect of personalized banking experience for first-class individuals. Since the systems are capable of identifying and greeting incoming clients, the customers felt valued (Vasudev & Nair, 2022). Most consumers were attracted by the approach which made them become loyal and reliable clients of the firm. Furthermore, through technology, the bank has been able to collect clients’ details hence making it easier to improve services for consumers. By considering class, the company has been able to develop proper technologies that make the customers comfortable and interested in the services.
Business Size
When rolling out first-to-market digitalized services, the company considered the size of the businesses. For instance, for small and medium enterprises (SMEs), the corporation developed an innovation that simplifies their transactions (Vasudev & Nair, 2022). Similarly, for multination businesses, the systems such as digitization account opening made it easier for them to create an account within the shortest period possible. Furthermore, other elements such as the digital dashboard acted as a command center for the organization managers since the platforms provided an overview of the banking transactions as well as other trends of the company. Such features facilitate quick insight into the operations hence promoting effective decision-making.
Critical Evaluation and Recommendation
By offering employees training programs that are focused on digital service provision, the company is enhancing the depth of its internal resources which is essential for promoting excellent services. The practice increases workers’ awareness, literacy, and even mastery hence making them competent in their responsibilities. Similarly, providing cybersecurity education allows staff members to gain the ability to identify new risks and how the hazards can affects the corporation. Even though the programs are expensive, once completed effectively the firm gains the capacity to enhance the efficacy of service provision leading to improved operational excellence. Furthermore, having its own data center is crucial, especially in minimizing unauthorized access that might interfere with customers’ information. The system ensures the banking details are secured thus promoting safety for the company.
Various innovations impact the organization’s performance differently. The invention of mobile banking apps and AI-driven systems facilitate the ability of customers to access and make transactions without visiting the OCBC banking halls. The applications enhance comfort and relieve users from remembering various passcodes (Farah et al., 2018). Despite the effectiveness of the innovations, failure of devices may lead to delays in transactions which can affect the customer.
Generally, it is important to differentiate the market to design a unique experience for each group. Age, business size, class, and taste are key factors that determine what technology should be applied to enhance customer experience. When such aspects are considered, the company will be able to channel resources to the technology for a specific category. The issue consideration is that sometimes it is difficult to determine the exact approach that can promote clients’ intimacy.
Recommendation
Based on the innovative strategies applied by OCBC, approaches such as training employees on matters of cybersecurity as well as offering digitalized education programs are effective approaches that can enable the company I work for to progress. Similarly, creating own data center is an essential strategy because it will enable the firm to reduce issues associated with cybersecurity. Furthermore, following the advancement in eCommerce, having mobile applications will be effective in enabling consumers to access business services and products at their comfort thus promoting operational excellence.
Reference
Choudrie, J., Junior, C. O., McKenna, B., & Richter, S. (2018). Understanding and conceptualising the adoption, use and diffusion of mobile banking in older adults: A research agenda and conceptual framework. Journal of Business Research, 88, 449-465. Web.
Farah, M. F., Hasni, M. J. S., & Abbas, A. K. (2018). Mobile-banking adoption: Empirical evidence from the banking sector in Pakistan. International Journal of Bank Marketing. Web.
Laudon, K. C., & Laudon, J. P. (2021). Management information systems: Managing the digital firm, (17th Ed.) Pearson Educación.
Vasudev, B., & Nair, J. (2022). Toward customer service excellence: OCBC banks first-to-market digital solutions. Case Study.