Financial services must innovate now and Rimini Street can help free up the capital, executive says

Rimini Street VP and global head of financial services, industrial solution Jonathan Bangura has over 25 years of financial services experience under his belt. In his own words he's been an analyst to a banker, a corporate banker, and investment banker, before pivoting in the last decade to management roles. He headed financial institutions across Europe, the Middle East, and Africa providing services to banks in the developing world. Then he made the leap to Rimini Street.

"It was an interesting proposition and I couldn't pass it up as I'm a banker, but I'm also tech savvy," he said.

And tech is key here; one of the key observations Bangura has made during his time in the industry is that total transformation strategies across financial services must embrace beyond digital touchpoints.

"Everyone thinks nowadays that all transformation is tech like mobile banking and e-commerce," he said. "But total transformation for banks and financial services includes thoat, plus the physical interaction between banks, and its clients and customers who walk through the door. It could be walk-in banking, kiosks, drive-through banking, drive-through customer assessments and claim assessments, and more."

"The goal really is to provide a cross-section of products with easy access and customer access. Financial services have been trying to achieve this for a number of years."

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"What banks are doing proactively is prioritising employees. Research shows that if employee experience is prioritised, it has a direct impact on customer satisfaction," Bangura said. "Companies who recognise this trend invest heavily."

Of course, the traditional drivers are always present - making their businesses competitive, and trying to attract and retain customers and internal talent - while high interest rates continue to abound in a high-pressure environment creating inflation.

"Financial services have seen all this before," Bankgura said, "but many of the employees, especially new GenZ and Millennials, have never seen it. Leaders find ourselves having to navigate throught the terrain and uncertainity by teaching the new generation how to deal with such a new environment. To do this we have to embrace tech - which creates its own problems."

Such tech, Bangura said, includes generative AI, transitions to the cloud, increasing focus on fraud and cyber-risk, cross-border payments, insurance-creating banks, and other things that are now all embedded within finance institutions that require leaders to be more agile than ever before.

These emerging technologies are against the backdrop of the post-pandemic landscape with high interest rates and a declining loan market, while cybersecurity threats continue to be a major concern, and with the regulatory and compliance regime "not doing them any favours," Bangura said. "There are a lot of headaches for banks for them to understand and be in compliance."

It's not all doom-and-gloom though. Bangura sees great opportunity - for those who are prepared and have foresight.

"To really handle these, new strategic options must be created to sail where the wind is blowing," Bangura said. "It could be an innovative blow, it could be regulatory, you need to be agile."

"If you can be astute and steer the ship in the right way, you can take advantage of AI and cloud. These are the core ways to unlock innovation," he said. "You can bridge the physical and digital world with 5G, Internet of Things, augmented and virtual reality, and improve the traction and security of the industry with methods like distributed ledger and Blockchain."

"A modern tech platform gives efficiencies and resilience," he said. "The path forward lies in accelerating enterprise transformation to be the bank of the future."

"Embrace new transformational tech, and you are one of the candidates to lead the industry."

In fact, "history shows financial services can be a catalyst by helping people manage economic and social changes. By the end of the decade, leaders may look back at 2024 as the year the future really began to evolve," he said. "Those who invest in the future will catalyse the introduction of new services and set the stage for competitive advantages for years to come."

This message of optimism and positioning yourself for the future all fits nicely in Bangura's remit. As the Rimini Street VP and global head of financial services, industrial solutions he is charged with bringing his wealth of knowledge and experience to the Rimini Street customer base, to open doors and show how blockers can be broken down. He works closely with clients to understand their unique needs and pain points and deliver value-added services.

"I'm also a cheerleader," he said. "I cheerlead innovation and tech, staying abreast with new trends, and creating a guide for adoption."

"Whether that's AI-driven or cybersecurity, or digitisation across the industry, or open banking - my goal is to remain abreast, and ensure Rimini Street's tech is cutting edge."

There's also a global impact, where Bangura oversees financial services solutions across all regions, collaborating cross-functionality to provide excellent delivery.

Australia is a key market, he said. "Australia is home to very innovative and mature financial services companies. They're very tech savvy. By partnering with them we foster creativity and innovation."

Of course, innovation requires capital, and here's where Rimini Street comes in. "Financial services are actively looking at third-party ERP support," Bangura said. "There are high costs to maintain a complex ERP. Third-party support from Rimini Street can reduce the support fees by up to 50%, and other costs by up to 90%, which frees up funds for strategic allocation in the business."

"Digital transformation spans customer experience, big data, analytics - by reallocating funds from support costs, organisations can invest in AI, robotics, and market intelligence and allows companies to regain control over their IT strategy."

These things get Bangura excited; he speaks of a future where the financial services sector focuses on investment in digital transformation to accelerate their digital journey and enhance customer experiences, streamlining operations and personalising services.

"AI automation is a key element in differentiating. Investmenr here will drive efficiency, managing risk through predictive analytics. Cybersecurity and fortification will safeguard sensitive data to maintain trust. Personalisation will tailor services to individual needs."

"The pace of change demands swift action. Not all banks are at the same starting point, and must stay agile."

It's easy to say, sure, but "many financial services firms struggle to develop strategy. You need to understand the tech to invest in it," Bangura said. Additionally, you "must ensure all tech complies with regulatory rules."

"Where Rimini Street comes in is we give real-time and up-to-date compliance on all the rules and regulations around the world."

"If banks want to create customers they must make seamless experiences. If it's not seamless they will leave. These customer preferences create challenges and firms must keep up, increasingly through digital and mobile banking. In such a competitive environment the risking cost pressures are very visible."

"This is why strategic partnerships like third party support wervices free up money to re-invest back in the business."

"It's a delicate balance to walk through, to make sure investments are commensurate with the return on investment, and balanced with risk mitigation."

"Who will be the partner to help? Rimini Street can come in and extend the life of legacy systems by another ten to 15 years or more. We can empower you to take control of your change management, and sustain value across your entire environment."

All this further emphasises the need for a strategic approach. "It's not just about adopting the latest tech to make the most of opportunities."

"By partnering with Rimini Street you gain a single solution combining software, tech, infrastructure, and delivering analysis and a critical roadmap."