Name: ABN Amro at FinovateEurope 2024 – Keeping up with technological change
Uploaded: 2024-03-14T16:07:43.322Z
Duration: 460.8
Description: At the FinovateEurope conference in London, FinTech Futures spoke with Edwin van Bommel, Chief Strategy and Innovation Officer at ABN Amro, to discuss digital transformation and the key areas incumbent banks should be targeting with their transformation projects to compete with digitally native challengers.

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{{00:00:04}}
Hello there, I'm Cameron Emanuel-Burns
reporting for Fintech Futures here

{{00:00:07}}
at Finovate Europe, and I'm delighted
to say that I'm joined by Edwin

{{00:00:10}}
Van Bommel, the Chief Strategy and
Innovation Officer at ABN Amro.

{{00:00:14}}
How are you?

{{00:00:15}}
How are you enjoying your day here so far?

{{00:00:17}}
I'm doing well.

{{00:00:18}}
I'm really having a
great time here as well.

{{00:00:19}}
Yeah, it's good to be here.

{{00:00:21}}
I've just come from the panel
that you were speaking on.

{{00:00:23}}
It was really informative,
really interesting.

{{00:00:26}}
Thank you.

{{00:00:26}}
And it was about digital transformation.

{{00:00:28}}
Yeah.

{{00:00:28}}
So for those of you who weren't as
lucky enough as me to attend, what

{{00:00:30}}
are your key takeaways from it?

{{00:00:33}}
I think there, there were a few.

{{00:00:35}}
The first one was that you really, if you
want to do digital transformation, you

{{00:00:39}}
have to think about scale at the start.

{{00:00:42}}
have a platform to scale, have an
approach with which you can scale.

{{00:00:45}}
So I think definitely that was number one.

{{00:00:48}}
Number two, we talked also a lot
about some of the prerequisites,

{{00:00:51}}
for instance, security and that you
really have to keep in mind security.

{{00:00:55}}
And also when you talk
about AI privacy, etc.

{{00:00:58}}
And then one way or another, I
don't know why, but each time

{{00:01:00}}
when we were in the conversation,
Gen AI was a returning topic.

{{00:01:05}}
Yeah.

{{00:01:05}}
So which was a lot of fun.

{{00:01:07}}
So that was probably the
third takeaway was that it's.

{{00:01:10}}
Top of mind of everyone currently.

{{00:01:13}}
Sure.

{{00:01:14}}
And so what are the key areas
incumbent banks should be targeting

{{00:01:18}}
with their transformation projects to
complete, to compete with digitally

{{00:01:22}}
native challenges, do you think?

{{00:01:24}}
Oh that's a hard question, but I think
if I want to keep the answer simple is

{{00:01:29}}
really make sure that you do everything
which makes sense for the client and

{{00:01:33}}
which making our lives, the lives of
our clients better, if it's a retail

{{00:01:37}}
client or an SME or more a corporate.

{{00:01:40}}
I think that this is all where
it starts and I think there, that

{{00:01:43}}
the the challenger banks have done
that very well from the start.

{{00:01:47}}
I think we actually made a huge
transition and also the larger banks

{{00:01:51}}
and especially also ABN AMRO is
doing that now really much better.

{{00:01:56}}
But to keep that focus on the
end customer I think is key.

{{00:01:59}}
So specifically jumping on from what
you were just saying there, how has ABN

{{00:02:03}}
AMRO approached its own digital journey
in terms of your transformation project?

{{00:02:08}}
Obviously we are a very broad bank, right?

{{00:02:11}}
A universal bank.

{{00:02:12}}
So we have corporate, we
have wealth we have retail.

{{00:02:16}}
What we have done is we, a couple of
years ago, we actually have changed the

{{00:02:19}}
organization to be much more client led.

{{00:02:22}}
That means that some of the
capabilities to become client led

{{00:02:25}}
also have been much more centralized.

{{00:02:27}}
So all the digital front ends are now
under one leadership to actually help

{{00:02:31}}
us to make, to go forward much faster.

{{00:02:35}}
So I think one thing was the
setup of the organization being

{{00:02:38}}
more oriented at the client.

{{00:02:40}}
I think the second thing was
just to keep pushing innovations

{{00:02:44}}
in parallel of doing cleanup.

{{00:02:46}}
So we obviously like any other bank
have a lot of regulatory projects,

{{00:02:50}}
but we always also kept focusing
on launching new elements, new

{{00:02:55}}
products, new services, just smaller
improvements for our clients as well.

{{00:02:58}}
And to do that really in parallel.

{{00:03:00}}
Sure.

{{00:03:00}}
Thank you.

{{00:03:01}}
And how difficult has it been for you
to keep up with these, this extent

{{00:03:06}}
of change and transformational change
that is shifting customer expectations?

{{00:03:09}}
How difficult has that been?

{{00:03:12}}
Honestly, I think we have learned a lot.

{{00:03:14}}
And I must say that where we currently
are, I'm quite happy with that.

{{00:03:18}}
I think what was the hard thing
for us to to really learn is To

{{00:03:23}}
go from an experiment and a small
thing to more a change at scale.

{{00:03:27}}
And I think, how do you scale without
taking risks you don't want to take?

{{00:03:32}}
Because in the end,
banking is all about trust.

{{00:03:34}}
But how do you keep the customer
in mind throughout the transition?

{{00:03:38}}
And I think that's something
we very much learned.

{{00:03:40}}
And obviously, by collaboration also with
FinTech we're at a FinTech conference.

{{00:03:44}}
also has helped us tremendously.

{{00:03:46}}
And talking about that connection
with Fintech, how important is it

{{00:03:49}}
to you for forging partnerships with
Fintech in terms of being able to

{{00:03:52}}
adapt quickly to emerging tech trends?

{{00:03:55}}
Oh, it is for us very important.

{{00:03:57}}
And last year we actually
changed our setup, right?

{{00:04:01}}
We always have worked with Fintechs
and we were also investing in Fintechs

{{00:04:06}}
through our ABN AMRO Ventures fund.

{{00:04:08}}
But at the end of last year, we actually
changed our approach there by having

{{00:04:12}}
a strategic partnership with Motiv.

{{00:04:15}}
And so we still own ABN Amro Ventures,
but actually Motiv is now managing the

{{00:04:19}}
fund and all our new investments are
going through the Motiv vehicles and

{{00:04:23}}
we are a significant investor in Motiv.

{{00:04:26}}
And what it helps us is to even at a
broader scale actually work with Fintechs,

{{00:04:32}}
not only the ones we invest in ourselves,
but the whole ecosystem linked to Motiv.

{{00:04:37}}
And also part of the strategic
partnership is that we, and I have the

{{00:04:40}}
way also that we can collaborate with
Motiv Create, which is much, which

{{00:04:44}}
is very much specialized in bridging
Fintechs with large institutions

{{00:04:49}}
like us and to come up with new ideas
and creative solutions all together.

{{00:04:52}}
So we have adapted our approach to
make sure that we stay committed

{{00:04:56}}
to the ecosystem, but that we even
can work better with the ecosystem.

{{00:04:59}}
Brilliant, thank you.

{{00:05:00}}
And as we were just saying about
before, the big topic, or one that

{{00:05:04}}
kept coming back during your panel,
Generative AI was the hot topic, not

{{00:05:07}}
only in your panel, but also last year.

{{00:05:09}}
Is that something that you've been
looking to deploy at AVN Ambro?

{{00:05:12}}
Not looking to deploy we're
actually, we're deploying.

{{00:05:16}}
So what we we have several areas
where we deploy, much more related

{{00:05:21}}
to voice, to document analysis.

{{00:05:25}}
also to typical things like the co
pilot, so coding, all the support you

{{00:05:31}}
can have in your Office 365 environment.

{{00:05:34}}
So there's many areas where
we actually are deploying.

{{00:05:37}}
What we have done is, because we
wanted to make sure we were in control

{{00:05:41}}
of what the AI is doing, and to
make sure that also the privacy of

{{00:05:45}}
data, everything is guaranteed, we
actually took an approach that we have

{{00:05:50}}
always augmentation cases for now.

{{00:05:53}}
An augmentation case means that there's
always and maybe a numeral colleague

{{00:05:57}}
between an answer or something else
which the AI does and our client

{{00:06:01}}
to make sure that it's correct.

{{00:06:02}}
I think our showcase, it is also where
we actually won a golden award last

{{00:06:07}}
year, is what we currently are doing in
our call center, where we, based on the

{{00:06:12}}
continuous transcription of the calls,
we're actually creating summaries,

{{00:06:16}}
we're helping to find the relevant
knowledge, we look at how can we improve

{{00:06:20}}
the conversations with the clients, so
there's many aspects where we actually.

{{00:06:24}}
Are doing this to make sure that
our clients are being served better

{{00:06:28}}
because in the end That's what count
is that the use cases we do is not

{{00:06:32}}
so much focusing on efficiency But
actually improving our client service.

{{00:06:35}}
Sure, absolutely.

{{00:06:36}}
And finally, are there any
new developments that you can

{{00:06:40}}
tell us that you're working
on at AVN Amra at the moment?

{{00:06:44}}
Then we would extend quite, quite a lot.

{{00:06:48}}
But I think where we're currently
we're doing, we talked a lot about

{{00:06:52}}
AI, but what we're working on a lot as
well is embedded finance, and we have

{{00:06:57}}
different things there in play as well.

{{00:06:58}}
We integrate with gig work platforms
for immediate salary payouts.

{{00:07:03}}
We integrate with ID and pay where we
do identification as well as payments,

{{00:07:08}}
as well as providing bank accounts.

{{00:07:10}}
So really banking as a service.

{{00:07:12}}
And we're also trying to really lead
the way with tokenized securities.

{{00:07:17}}
We were one of the the first
banks actually doing a tokenized

{{00:07:22}}
bond on the public blockchain.

{{00:07:23}}
And now we're looking also how we can
enhance further in that direction.

{{00:07:27}}
And there will be new things
coming up also this year.

{{00:07:29}}
Awesome.

{{00:07:29}}
Thank you.

{{00:07:30}}
We look forward to seeing
them and thanks so much for

{{00:07:31}}
taking the time to speak to me.

{{00:07:33}}
I hope you enjoy the rest
of your time at Finovate.

{{00:07:34}}
Thank you.

{{00:07:35}}


{{00:07:35}}
Appreciate it.

Hello there, I'm Cameron Emanuel-Burns
reporting for Fintech Futures here

at Finovate Europe, and I'm delighted
to say that I'm joined by Edwin

Van Bommel, the Chief Strategy and
Innovation Officer at ABN Amro.

How are you enjoying your day here so far?

I'm really having a
great time here as well.

I've just come from the panel
that you were speaking on.

It was really informative,
really interesting.

So for those of you who weren't as
lucky enough as me to attend, what

The first one was that you really, if you
want to do digital transformation, you

have a platform to scale, have an
approach with which you can scale.

So I think definitely that was number one.

Number two, we talked also a lot
about some of the prerequisites,

for instance, security and that you
really have to keep in mind security.

And also when you talk
about AI privacy, etc.

And then one way or another, I
don't know why, but each time

when we were in the conversation,
Gen AI was a returning topic.

So that was probably the
third takeaway was that it's.

And so what are the key areas
incumbent banks should be targeting

with their transformation projects to
complete, to compete with digitally

Oh that's a hard question, but I think
if I want to keep the answer simple is

really make sure that you do everything
which makes sense for the client and

which making our lives, the lives of
our clients better, if it's a retail

I think that this is all where
it starts and I think there, that

the the challenger banks have done
that very well from the start.

I think we actually made a huge
transition and also the larger banks

and especially also ABN AMRO is
doing that now really much better.

But to keep that focus on the
end customer I think is key.

So specifically jumping on from what
you were just saying there, how has ABN

AMRO approached its own digital journey
in terms of your transformation project?

Obviously we are a very broad bank, right?

So we have corporate, we
have wealth we have retail.

What we have done is we, a couple of
years ago, we actually have changed the

That means that some of the
capabilities to become client led

So all the digital front ends are now
under one leadership to actually help

So I think one thing was the
setup of the organization being

I think the second thing was
just to keep pushing innovations

So we obviously like any other bank
have a lot of regulatory projects,

but we always also kept focusing
on launching new elements, new

products, new services, just smaller
improvements for our clients as well.

And how difficult has it been for you
to keep up with these, this extent

of change and transformational change
that is shifting customer expectations?

And I must say that where we currently
are, I'm quite happy with that.

I think what was the hard thing
for us to to really learn is To

go from an experiment and a small
thing to more a change at scale.

And I think, how do you scale without
taking risks you don't want to take?

Because in the end,
banking is all about trust.

But how do you keep the customer
in mind throughout the transition?

And I think that's something
we very much learned.

And obviously, by collaboration also with
FinTech we're at a FinTech conference.

And talking about that connection
with Fintech, how important is it

to you for forging partnerships with
Fintech in terms of being able to

And last year we actually
changed our setup, right?

We always have worked with Fintechs
and we were also investing in Fintechs

But at the end of last year, we actually
changed our approach there by having

And so we still own ABN Amro Ventures,
but actually Motiv is now managing the

fund and all our new investments are
going through the Motiv vehicles and

And what it helps us is to even at a
broader scale actually work with Fintechs,

not only the ones we invest in ourselves,
but the whole ecosystem linked to Motiv.

And also part of the strategic
partnership is that we, and I have the

way also that we can collaborate with
Motiv Create, which is much, which

is very much specialized in bridging
Fintechs with large institutions

like us and to come up with new ideas
and creative solutions all together.

So we have adapted our approach to
make sure that we stay committed

to the ecosystem, but that we even
can work better with the ecosystem.

And as we were just saying about
before, the big topic, or one that

kept coming back during your panel,
Generative AI was the hot topic, not

FinTech Futures

Expert Insight

 At the FinovateEurope conference in London, FinTech Futures spoke with Edwin van Bommel, Chief Strategy and Innovation Officer at ABN Amro, to discuss digital transformation and the key areas incumbent banks should be targeting with their transformation projects to compete with digitally native challengers.