Kotak Mahindra Bank is not just transforming its customer service but also internal processes to go fully digital
ARUNA RAO
KOTAK MAHINDRA BANK
An analytical platform first develops specially tailored offers for each customer. This is then communicated to the customer through an SMS or email. The system then tracks responses of interest by the customers and sets up calls for them at pre-determined times with an appropriately trained agent. The same tailored offers are available to the customer when he uses his mobile banking app, visits his net-banking portal, calls the contact centre and when he visits the branch. An integrated solution to deliver a holistic experience for the customer.
Up until a couple of years ago, opening a bank account was an arduous task with a customer requiring tonnes of documentation and reference checks, making it an unpleasant experience and thereby discouraging people to shift their bank account even if a new bank offered better interest rates.
Kotak Mahindra Bank has transformed this perception with its 811-service, a savings account you can “download”, open in under five minutes, from anywhere and anytime! The ease of opening the account, funding it, making payments and then going on to all banking functions like opening fixed deposits and applying for a credit card are available instantly on a mobile app. A “born digital” transformational product.
A “young” bank, Kotak Mahindra is taking digital transformation seriously to grow rapidly in a country where a majority still does not have a bank account. “One of the early transformational projects was to use a world-class system to interact with our customers for specially tailored product offers and other communications,” says Aruna Rao, CTO, Kotak Mahindra Bank.
Operational efficiencies have been a focus of technology transformation at the bank. Kotak Mahindra Bank has used robotics to facilitate repetitive functions. Besides the improved productivity of the bank staff, the customer turnaround time for some queries has come down from one to three days to three-five minutes.
This transformation, however, would have been impossible without involving all the employees. An inclusive approach towards digital adoption was taken to creative a conducive work atmosphere within the financial institution. “We believe it is equally important to ensure an efficient working environment for employees,” opines Rao.
All the group companies were earlier connected using a common collaboration platform not only for an email but also electronic chats and video communications. Upgraded intranet HR platforms and mobile apps for accessing personal and payroll data make it easy to access information and communicate with each other.
“We are now experimenting with diverse ways of collaborating that will enable us to bring together different skills ranging from market understanding to technical design to ensure fast time to the market. We have experimented with 'agile' development with positive results,” reveals Rao.
The change comes with its own set of challenges and when you are a bank, any disruption can lead to a downtime which directly translates into financial losses. Kotak Mahindra was, therefore, prudent enough to handle this with caution.
At Kotak Mahindra Bank, an enterprise integration bus was implemented several years ago to ensure this independence. The resulting SOA has facilitated agile innovation. Similarly, an API platform to facilitate similar integration with external market agencies has been implemented.
This facilitates innovation with the bank's APIs being made available to independent app developers and merchants for consuming their own solutions.
“The basic product processors in any business cannot be changed rapidly. At the same time, innovation and time to market objectives are a reality. The answer is in laying down a plan that facilitates independence between the system of record and the system of engagement,” elucidates Rao.
The bank is engaging with start-ups to identify Fintechs with brighter ideas and then integrate their solutions within its architecture in a manner that enables them to leverage the Fintech's innovative idea and at the same time ensure the robustness and scalability expected in a banking solution.
Commenti