The 2nd topic in my series of “Ask the experts – why companies to go through transformation”, focuses on new business streams.
Large business enterprises are constantly looking for opportunities to bring new offerings to market, but it needs a transformation programme to bring people, processes and technology together to ensure coordinated success. I attended a seminar recently where Steve Pateman, Head of UK Banking at Santander UK, outlined the process that they went through a couple of years ago for the introduction of several new business streams. As a “challenger” bank to the established Lloyds, Barclays and HSBC, Santander needed to come up with alternative offerings to its customers: the 123 Current Account and Credit Card was their answer on the retail side, plus they brought a number of new offerings to market in their corporate banking business. This involved coordination of a major marketing campaign; introduction of new operational processes and training in their 900 branches, plus their call centres; and also development of their technology platform to handle the new offerings; rounded off neatly with all the risk and regulation processes that banks have to go through these days. None of these activities could be done in isolation – all the projects were interdependent - requiring a significant transformation programme. It is seems that it worked: Santander has increased its customer base from 1 million to 3 million, and trebled its deposits at the same time.
Next topic in the series (coming soon): Providing Customers with an Optimum Service.