History is full of unfortunate cases of brilliant people who spent half their lives working on projects that they expected would be a breakthrough either for themselves, the organizations they worked for, or even the entire humankind to realize, as soon as their life work was completed, that someone else had already successfully achieved the same result years if not decades ago.
Believe it or not, when it comes to transforming a product-siloed organization into a customer-centric one, far too many times we still see dozens of enterprises stubbornly try to reinvent this wheel, starting from scratch this herculean process by themselves and, unsurprisingly, tripping on the same stones and hitting the same walls many others did in the past.
Fortunately, they are not the norm and most organizations embarking on the hazardous but eventually, highly rewarding customer-centric journey have sought the assistance of a reputable partner that had already successfully navigated these same bumpy roads dozens of times before to ensure the benefits from customer-centricity are maximized and the implementation process expedited.
At FICO, we have been helping financial services organizations worldwide transition from a siloed product-level approach to full-fledged customer-centricity since the 1990s. During these times, we have refined our methodologies and approaches to progressively provide more laser-focused and relevant advice and guidance to organizations seeking our partnership to transition to customer centricity.
Also, our vast experience has been incrementally incorporated into our enterprise platform capabilities to provide first-in-class technological support so your customer-centric models, strategies, and processes can be configured, maintained, and constantly evolved in an integrated manner.
There are four capability pillars every organization that is genuinely keen to see successfully transformed into a customer-centric entity should thoroughly and effectively look into when defining and designing the new customer-centric framework. Likewise, to have the best chance of success, these organizations should provide themselves with a software platform that supports these four pillars of capabilities in an agile and integrated manner.
In this series we discuss these capabilities in consideration of customer-centric decisioning.
Pillar 1: Data Capabilities
Ingest raw data from both internal and external data sources; transforming it into actionable data through building advanced data features (algorithms), aggregating it to various levels (product, customer) and uniformizing and standardizing it so it can be reused across all business areas of the organization.
If you are thinking to start your journey towards customer centricity, make sure to subscribe to the Decision Technology blog to be notified about the next blog in this series.
Believe it or not, when it comes to transforming a product-siloed organization into a customer-centric one, far too many times we still see dozens of enterprises stubbornly try to reinvent this wheel, starting from scratch this herculean process by themselves and, unsurprisingly, tripping on the same stones and hitting the same walls many others did in the past.
Fortunately, they are not the norm and most organizations embarking on the hazardous but eventually, highly rewarding customer-centric journey have sought the assistance of a reputable partner that had already successfully navigated these same bumpy roads dozens of times before to ensure the benefits from customer-centricity are maximized and the implementation process expedited.
At FICO, we have been helping financial services organizations worldwide transition from a siloed product-level approach to full-fledged customer-centricity since the 1990s. During these times, we have refined our methodologies and approaches to progressively provide more laser-focused and relevant advice and guidance to organizations seeking our partnership to transition to customer centricity.
Also, our vast experience has been incrementally incorporated into our enterprise platform capabilities to provide first-in-class technological support so your customer-centric models, strategies, and processes can be configured, maintained, and constantly evolved in an integrated manner.
There are four capability pillars every organization that is genuinely keen to see successfully transformed into a customer-centric entity should thoroughly and effectively look into when defining and designing the new customer-centric framework. Likewise, to have the best chance of success, these organizations should provide themselves with a software platform that supports these four pillars of capabilities in an agile and integrated manner.
In this series we discuss these capabilities in consideration of customer-centric decisioning.
- Pillar 1: Data Capabilities
- Pillar 2: Insights Capabilities
- Pillar 3: Actions Capabilities
- Pillar 4: Outcomes Capabilities
Pillar 1: Data Capabilities
Ingest raw data from both internal and external data sources; transforming it into actionable data through building advanced data features (algorithms), aggregating it to various levels (product, customer) and uniformizing and standardizing it so it can be reused across all business areas of the organization.
- A single definition and unique identification of a “customer” should be agreed upon across all concerned business areas. Even though this sounds like stating the obvious you would be surprised to know how many organizations are unable to identify and link together all accounts held by an individual due to challenges such as legacy systems
- A unique customer ID should serve as the anchor to pull data at various levels of aggregation into a single data source where all units across business areas within your organization can access to retrieve the account, product, or customer-level information for model / strategy development or live execution.
- Even before the actual customer-centric journey commences you should start structuring, collecting, and validating account-level data to ensure seamless future aggregation at the customer level.
- For customers with a robust relationship with your organization, internal deposit account transactional information is not only key for enhanced predictability of your models, but it also provides powerful insight into the customer’s salary and other forms of regular income as well as on spending patterns to calculate customer’s affordability accurately and dynamically. Banking and lending data should be held together.
- Open Banking implements a system that connects a customer to their financial information across all the financial services organizations they work with via API. If customer consent is granted a single organization gets immediate access to their entire transactional financial information. This transactional information can be categorized, uniformized, and rationalized through first- or third-party data aggregators. The use of open banking transactional data substantially improves the predictivity of your models, enhances notably the accuracy of your affordability calculations, and at the same time boosts customer experience and satisfaction – as paperwork can be minimized or even eliminated.
- Positive credit reporting information and credit bureau scores have been indispensable for customer risk assessment in most advanced markets. Credit bureau information affords a fully holistic view of the customer’s financial liabilities, and it is critical to better understand the risk and payment capacity profiles of customers with a weak or sporadic relationship with your organization. It also provides “alarms” indicative of potential customer attrition and assists as well in accurately reformulating the relevance of products and associated limits offered.
- Data management is a continuous evolution of capturing, reviewing, and qualifying new content. Users need capabilities designed to scale for growth, to easily integrate new data types with key decision and action channels and, to make that data available as quickly as possible for use.
If you are thinking to start your journey towards customer centricity, make sure to subscribe to the Decision Technology blog to be notified about the next blog in this series.
Updated 4 years ago
Version 3.0