Operational excellence is playing a major role in driving efficiency across various sectors, and digital transformation backed by modern technologies has helped to further reduce costs and transit from service-through-labour to service-through-software.
With the growth of the digital economy, which has been enabled by leading-edge technology and efficient processes, consumers and related businesses have a wide and ever-increasing array of choices to meet their payment needs. The emergence of internet-backed, cloud-hosted payment service providers has reduced merchant reliance on direct or point-to-point interfaces for payment processing and presented new opportunities for easy, swift, and low-cost access to the market versus traditional merchant acquirers and processors.
For many mainstays of the payments industry, process re-invention may be just the ticket to increased efficiency, sustainable growth, and a way to embrace digitalisation and a pivot towards customer-centricity.
Changes and challenges
In the face of business uncertainty and increasing regulatory pressures, financial institutions and payment service providers need to re-consider how to drive innovation, using ideas from operational excellence and process re-invention. In addition, major initiatives such as New Payments Architecture, ISO20022, and RTGS Renewal will transform the landscape and require significant change adoption.
For many payments service providers, outdated and inefficient processes coupled with their limited agility is inhibiting their ability to react to new opportunities. These blockers have resulted from procedures developed before widescale digitalisation. At the same time, the tools and methodologies that are readily available to support the evolution of today’s payments landscape remain largely un-tapped.
Read more on their website.