Disruption The future of banking and financial services, reviewed

We look at this book Disruption, The future of banking and financial services, how to navigate and seize the opportunity written by Ignacio Garcia Alves, Philippe De Backer, Juan Gonzalez. See more about it here.

Disruption The future of banking and financial services, reviewed

This is a timely and thought provoking book. It takes a good and reasonable approach, aiming to look at issues from both the perspective of hungry new fintechs and also the legacy issues of existing banks. It is clear that disintermediation of Financial Services offers some great opportunities for users, and also those businesses that can deliver those specific services.

Currently there are lots of great new fintech companies supplying these services very well, and, conversely, very few banks able to match this nimbleness and quality of services. Naturally this then raises the question of who will win out, and will banks then simply buy these new companies. Or, if they rise to the size and scale of companies like Stripe, now worth double figure billions, it is quite conceivable that the new entrants would have no need to sell themselves to existing banks, and, if not now, very soon, be able to actually pick off existing banks, if they even wanted them.

These topics are discussed and many more, which makes this a thought provoking and enjoyable read, with some interesting ideas and insights about what the future might bring. Check it out.

More about the book

Disruption, a new book from leading business publisher LID, explores the future of banking in a market where the rules have fundamentally changed. The authors – Ignacio Garcia Alves, Philippe de Backer and Juan Gonzalez – are leading thinkers from one of the world’s top management consulting firms, Arthur D. Little, and draw on many years of experience and insight to outline the challenges that traditional banks face from new competitors and propose a model for change and survival.

Disruption includes original interviews and stimulating insights from executives and major players from the world of banking, who openly share their views on the future of financial services and the banking sector. The book provides a critical understanding of the trends within the industry, including the impact of the Covid-19 pandemic, and crucially identifies opportunities for universal banks to leverage their unique assets and pre-empt new entrants from dominating the market.

Ignacio Garcia Alves, Global CEO of Arthur D. Little, says, “Disruption details how a new breed of more agile and aggressive players is disrupting the financial services sector, and advises how traditional banks can deal with the serious challenges they face from these disruptors. It’s a ‘thinking tool’ designed to stimulate action that we hope will particularly resonate with those in the sector who already have a strong sense that banking has fundamentally changed, with its legacy model facing an existential threat.”

“On saying that, it’s not our intention to be alarmist. Instead, we want readers to reflect on what these changes mean for the industry in terms of both risks and opportunities.”

Philippe de Backer, Managing Partner and Global Practice Leader of Financial Services at Arthur D. Little, comments: “We can only conclude from our research and analysis that the traditional banking model we’ve all grown up with is no longer fit for purpose. The rules of the game have changed so fundamentally that banks have no option but to adopt a different model, one that’s much better suited to the world as we now know it. However, this requires both significant investment and a major shift in banking culture.”

Juan Gonzalez, Partner at Arthur D. Little, adds: “The arrival of disruptive, technology-empowered players in the financial market should be a wake-up call to banks, because if they’re to survive the threat they need to move quickly. Banks are conservative organizations that tend to move slowly, but we hope that Disruption will help them to understand the changes that are coming and to ultimately adapt more quickly.”

Paul de Leusse, Chief Executive Officer of Orange Bank, says: “The banking industry has always seen itself protected from the disruption touching all economic sectors. It’s no longer the case. Arthur D. Little tells us why, and more importantly how leaders should prepare for this new world of banking.”

Ricky Knox, founder of Tandem Bank, says: “Disruption provides a provocative view on the technology-driven reshaping of the financial sector. It helps the reader understand how disruptive models are reshaping global economies and consider strategies for effective response.”

Disruption is a must-read for anyone who wants an in-depth analysis of the current state of the banking market and where it’s heading in the future. It is a book for financial services executives who want to be ahead of the curve and make the right decisions to enable their business to thrive rather than stagnate.

The book will be published on 17 February 2022 by LID, the leading business book publishing house in Europe.

To purchase a copy of Disruption, please visit: https://tinyurl.com/5n92uvxh

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