EXCLUSIVE—How does a bank change how #users think about their spending? This is one of the questions Ally Bank asked before the launch of their new #Alexa skill, which was released earlier this week. The skill comes equipped with a variety of ways to help users manage their banking needs and spend, including a #feature […]
Bank Innovation
EXCLUSIVE – #Contactless #payment capabilities are now available on wearable maker #Garmin International’s #latest #smartwatch. Today Garmin International, along with payment #technology provider FitPay, said that its payments #feature, called Garmin Pay, is now #live on Garmin’s smartwatch Vívoactive 3. Whether the announcement, which comes just in time for Black Friday, will help lure buyers […]
Bank Innovation
China’s Alibaba Group experienced its best Singles Day shopping event to date last week. The event, which is annually held on November 11 each year, processed nearly 1.5 billion transactions on that day, reports say. Alibaba Group created Singles Day back in 2009 as an annual shopping bonanza with various sales and offers. It is […]
Bank Innovation
EXCLUSIVE—With individual stock ownership in decline, the number of apps and services seeking to bring in new investors is increasing. Many of these startups are adding new features, promotions, and courses to entice users, but one #startup, Dublin-based company #Rubicoin, is keeping a more simplistic approach as it #expands its service to the U.S. “The […]
Bank Innovation
#Open #banking APIs need an orchestration layer to interact with a bank’s existing systems.
Financial Technology
#Banks have witnessed a spate of cyber breaches recently with the financial sector experiencing 300 percent more cyberattacks than any other industry. More than 75 cyberattacks against financial services companies were reported in first nine months of 2016.
A string of regulations requiring banks to adopt a more open architecture will further expose them to heightened cybersecurity risks, and the rapid pace of digitization in banking will only add to it.
However, the banking industry is yet to see an increased responsibility in the role of a Chief Information Security officer (#CISO). A study by Gartner showed that only 20 percent of CISOs report to the CEO with ~60 percent of them reporting to the Chief Information Officer (CIO) or an IT executive. With the growing #importance of security in an organisation, this current reporting structure might need to #change more to favour CISOs reporting directly to the CEO.
There have been instances of uneven allocation of the IT budget for spend on cybersecurity, resulting in CISOs getting a smaller piece of the pie. Studies have shown that information security takes only a tiny three to five percent of the overall IT budget.
UK banks have seen some traction here: Barclays has merged its two security functions, with previous Chief Security Officer (CSO) and CISO roles coming together under a combined CSO. Lloyds has set up a cybersecurity advisory panel to bring an industry perspective on key cyber-related activities and threats. The panel is part of a subcommittee to the Board Risk Committee (BRC) and the Chief Risk Officer regularly informs the BRC of the aggregate risk profile of the bank.
Having the CISO report outside of the IT leadership could have several advantages:
IDC believes that by 2018, increases in cybersecurity threats could result in 75 percent of CSOs and CISOs reporting to the CEO. Some regulators are even making it mandatory: In Israel, there are laws dictating that CISOs report directly to the CEO. UK banks should take a cue and become the financial services gold standard in cybersecurity governance.
The primary goal of the CISO is not to protect #technology but to protect the business. Though the position has risen in the organisational structure to the inner circles of the C-suite, a CISO’s ability to dictate a budget and make decisions independently may still depend on where the position falls in the organisational structure. Further, the role of cybersecurity experts has become increasingly important on the board, which has translated to higher salaries and attrition as well. Empowering CISOs might help mitigate this, through increasing representation on the board, direct reporting to the CEO, independent budget allocation and a role in strategy formulation.
The post CISO importance is prompting internal role change appeared first on Accenture Banking Blog.
EXCLUSIVE- #Bank #Innovation has released its seventh annual #fintech #conference agenda. Sprinkled with fireside chats, startup demos, pre-conference workshops, and ample time for networking with industry peers, Bank Innovation’s #2018 conference will be categorized into three content tracks: Strategy, Product and Demovation. Under the Strategy track, topics range from APIs and open banking adoption, to […]
Bank Innovation
EXCLUSIVE- Online consumer lender #Marcus by #Goldman #Sachs has reached its annual #goal for loan originations. Martin Chavez, chief financial officer for Goldman Sachs, showed in a slideshow at a Bank of America Merrill Lynch event yesterday that Marcus had already surpassed $ 1.96 billion in originations as of Nov. 9. “We actually crossed $ 2 billion […]
Bank Innovation
Digital transformation and #open source amount to more than #technology — they require and inspire cultural change sin #banks.
Financial Technology
With one new unicorn and #steady VC- backed deals amounting to $ 4 billion #globally, Q3 2017 has been another positive #quarter for the #fintech industry. According to a CBInsights Report released earlier this month, Q3 saw 278 VC-backed deals equaling $ 4 billion globally, compared to $ 2.6 billion in the same quarter last year. And, despite […]
Bank Innovation
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