According to Anjalee
Davis, banking analyst at Celent and author of the report,
"Most banks agree that they inevitably will integrate their disparate
technology systems. Many banks, like Citizens Bank, view the branch and
call centers as the core from which to begin their channel integration
projects. In addition, web-based enterprise platforms are gaining
traction. Banks almost universally agree on the value proposition of a
web-based architecture, but most are waiting for a few large banks to
successfully implement such a system before they launch their own."
Celent’s new report, "Branch Renewal
& Channel Integration" examines Citizens’ one and half
year branch vendor selection process. Unlike many banks, they were able to
sufficiently balance short-term application and longer-term channel
integration priorities. Moreover, they used a structured methodology to
promote collaboration between their technology and business teams. Banks
currently embarking on, or even in the process of, upgrading their branch
technology will likely find their practices instructive.
Citizens Bank used a unique approach for their
branch vendor selection process. For example, they engaged the final two
vendors for a live pilot to compare the vendors development and management
capabilities. Moreover, Citizens Bank is one of the few banks to by-pass the Windows client server configuration - the one
favored by
the majority of U.S. banks - for a web-based architecture.
Celent predicts that spending on branch technology
will prompt channel integration initiatives. At the same time, increased
spending on channel integration will also drive investment in branch
renewal.
