The document discusses the necessity for traditional banks to undergo digital transformation in order to remain competitive in a rapidly evolving market, where software is increasingly dominating. It emphasizes a culture shift toward agility and customer-centric innovation, encouraging banks to disrupt their own practices proactively. The authors advocate for small, cross-functional teams and the use of design sprints to efficiently address customer needs and streamline product development.

1. Becoming Digital Native
Tim Rutten - VP Strategy & Jacco Geelkerken - Subject Matter Expert
@backbase

3. Software is Eating the World - The Rise of Digital Platforms
Platform Business
(scalable)
Traditional Business
(asset heavy)

4. Digital Disruption - Software is Eating the World
10 years 10 years 10 years

5. Digital Disruption - Serious Impact
0
100
Market share
Time
Incumbent
business models
New Digital
Business models
Incumbent
business
models are
threatened

6. Digital Transformation - Where are we with Banking?
0
100
Market share
Time
Incumbent
business models
New Digital
Business models
Incumbent
business models
are threatened
Banking
Today?
Today

7. From 2019
Banking
Today
Digital
(on the side)
How do we become a Digital First Bank?
To 2025
Mission:
Digital First
Bank

9. “The best way to fight disruption is to
pre-empt it and disrupt ourselves”
Piyush Gupta - CEO DBS

10. Take the Bull by the Horns...

12. We need to Change our Culture

13. Digital Customers - Higher Income / Lower Cost
Traditional Digital
Higher Income / Customer
Higher Profit / Customer
Higher Cost-to-serve (absolute)
Profit
Costs
Revenue
DBS Investor Report November 2017

15. Customer
Experience
Business
Model
Execution
Speed
Digital First
Mission

16. Customer
Experience
Business
Model
Execution
Speed
Digital First
Mission

18. “30.000 new products are launched
every year and 95% fail.”
– Prof. Clayton Christensen, Harvard Business School

19. “One of the Biggest reasons
startups fail is that they simply
make a product that no one wants.”
– Hannah Augur, Dataconomy

20. Needed to disrupt the old ways
Listen to the
customer’s
problem
Find a
solution
Create a
business
case
Follow
NPD
‘tollgate’
Mass
produce
Ask for
Orders

21. Faster identification of
products that will fail/succeed

22. Forget ROI, focus on Probabilities
Persevere
PivotPull
SolutionVSROI

23. Move budget closer to the customer

24. Culture - Moving to a Startup State of Mind
It’s all about
The Team
Small teams
beat big teams
Every team has a
cross-functional
structure at its core
Every project
starts with the
Customer in mind

25. Shape your Future
Act like a Start-up
Data
Ideas
Code
BuildLearn
Measure

26. Execution
Digital First

27. Ready to Go
Accelerators
Monolithic
Applications
Decoupled
Layers
Lego Style
Building Block
Architecture
BACKBASE – From Monoliths to Agile building blocks
Problem Solution

28. Connected
Experiences
Core
Systems
FINTECH
Partners
Other
Banks &
Industries
Underlying
Systems
Orchestrate the Experience Aggregate Value
BACKBASE - Digital Platform – Digital Hub
Self
Directed
Human Assisted
Smart Assisted

30. It’s all about reaching
Break-Even

31. and after that
Scaling

32. Customers don’t
care if companies
don’t care
The stuff that is
meaningful to people
Products
The GAP

33. Who are
you today?
Don’t create
waste
AGILE SPRINTS
How to Fast Track your Digital Transformation Journey?
Digital Transformation

34. Design Sprint
PROTOTYPING
Building Minimal
Viable Product
Running the
Pilot
EXPERIMENTS
Pivot/Persevere?
DEFINE
EMPATHIZE
Roll-out and
Scale Up

35. Design Sprint Building Minimal
Viable Product
Running the
Pilot
EXPERIMENTS
Pivot/Persevere?
Roll-out and
Scale Up
LEARN
BUILD
MEASURE

36. Design Sprint Building Minimal
Viable Product
Running the
Pilot
Roll-out and
Scale Up
LEARN MEASURE
Product
Market Fit
Business
Model Fit
BUILD

37. Design Sprint Building Minimal
Viable Product
Running the
Pilot
LAUNCH
Roll-out and
Scale Up

38. Design Sprint
PROTOTYPING
Building Minimal
Viable Product
Running the
Pilot
EXPERIMENTS
Pivot/Persevere?
DEFINE
EMPATHIZE
LAUNCH
Roll-out and
Scale Up
BUILD
LEARN MEASURE
Product
Market Fit
Business
Model Fit
LEARN
MEASURE
BUILD

39. Extend
(Native) Widget
+
Capabilities
Adopt Build
Agile at Scale : Cookbooks / Best-Practices
(Native) Widget
Capabilities +
+
(Native) Widget
Capabilities

40. UX Designers
Design System
Digital Marketer
Content & Campaigns
Business Engineer
Process Digitization
DevOps Engineer
SDLC
App Developer
SDK | API
Agile at Scale : Empower Digital Teams

41. Web SDK Native iOS SDK Native Android SDK Services SDK
Agile at Scale : Developer Tooling (SDKs)

42. Agile at Scale : Common Gameplan
Squad 01
Squad 02
Squad 03
Squad 04
Squad N
UI/UX Back-endFront-end Mobile

43. Squad 01
Squad 02
Squad 03
Squad 04
Squad N
UI/UX
Leader
Back-end
Leader
Front-end
Leader
Product
Leader
Agile at Scale : Accelerate Consistent Decision-Making

44. Who are
you today?
Who do you
want to be
by 2025?
AGILE SPRINTS
Fast Track your Digital Transformation Journey
Digital Transformation

45. Key Takeaway

46. Becoming Digital Native
Solve Real Customer
Problems
Remove Any Friction Apply Agile
at Scale

47. Culture - Moving to a Startup State of Mind
It’s all about
The Team
Small teams
beat big teams
Every team has a
cross-functional
structure at its core
Every project
starts with the
Customer in mind

48. Customers
don’t care if
companies
don’t care
The stuff that is
meaningful to people
Products
The GAP

49. Q&A

50. Thanks!
Tim Rutten - VP Strategy & Jacco Geelkerken - Subject Matter Expert
@backbase