Open Innovation in the Financial Services (eBook)

Growing Through Openness, Flexibility and Customer Integration

Daniel Fasnacht (Autor)

eBook Download: PDF

2009 | 2009
XVI, 209 Seiten
Springer Berlin (Verlag)
978-3-540-88231-2 (ISBN)

Infos

Open innovation means gathering new ideas from sources beyond organizational boundaries. It occurs when solutions to address clients' needs are developed in collaboration and the resulting products and services are distributed through a flexible network of partners. Daniel Fasnacht's book, the first of its kind, discusses open business models in the context of the financial services industry. He elaborates the drivers for strategic change such as increasingly sophisticated clients or demanding shareholders among other trends, including the recent global financial crisis, and explains why the transition from a closed model of operation to open innovation is vital. Various case studies illustrate how to integrate the client into the firm's innovation process and emphasize the importance of smart client segmentation and a holistic advisory model to serve clients around the globe. Leaders must develop a set of new management practices to be able to invest in multiple strategic directions. They are responsible for giving clients a remarkable experience and for creating social relationship capital based upon an open innovation culture. Open Innovation in the Financial Services provides a much-needed framework for helping to understand industry dynamics in banking and to make the most of organizational energy by using open innovation to sustain profitable growth.

The book comes at the right time and offers a new mindset for business - not only for expansion strategies in general, but especially during turbulent times.

Inhalt

Foreword 5
Chapter Overview 10
Contents 11
Introduction 15
Aim of the Book 15
Remain Open and Flexible and Succeed in Business 16
Why the Financial Services Industry? We Live in a Service Economy 18
Financial Service Firms Are Raising in the Global Market 20
Heading into a New Business Paradigm 22
Outline and Structure 25
Notes 29
The Strategic Value of Growth and Innovation 30
The Challenges of Growth Understanding Growth 30
Profitability Drives Value Creation 32
The Levers of Value Creation 34
In Pursuit of Profitable Growth 35
Strengthening the Domestic Platform Before Going Global 37
Acquisition and Restructuring Comes Down to Management 38
How to Become the Largest Wealth Manager in Just 10 Years 39
Global Expansion Strategies 41
Why Size Matters 43
Competitive Positioning 45
Learning to Grow with a Chief Growth Officer 45
Keep Focused and Develop the Brand 47
Leveraging Innovation to Grow 48
The Power of Innovation What Is Innovation? 50
Invention 51
Value Innovation 52
Imitation and Adaptation 53
Open Business Models 55
Different Types of Innovation 56
Innovation in Different Industries 57
Innovation in the Financial Services Key Innovations That Changed Businesses 58
The Characteristics of Services 62
Products and Services in Banking 63
The Product and Service Development Process 64
What Determine Success in Service Innovation? 66
Is Time to Market a Myth? 67
Conclusion 68
Notes 69
Leading Through the Changing Business Environment 72
Radical vs. Incremental Innovation 72
Drivers of Strategic Change 74
How Can We Get New Ideas and Improve Businesses? 75
Market Developments Globalization 77
Competition and the European Union 78
The Changing Nature of Demand Demographic Changes Renovate the Financial Services 80
Local Innovations with Global Impact 82
Regulatory and Policy Changes Do We Need Regulation? 85
The Swiss Banking Secrecy: A Sacred Cow? 88
Regulations Are a Double-Edged Sword 90
The Technological Imperative 92
Implications of the Trends 94
The Challenges for the Financial Services 96
Notes 98
Open Innovation: The New Business Paradigm 100
The Banking Industry at the Beginning of the Twenty-First Century 100
New Forms of Managing Innovation 103
Closed Innovation: The Traditional Paradigm 104
The Externalization of Innovation Processes 106
Implications of Collaborative Innovation 108
Open Innovation: The New Paradigm What Does Open Mean? 109
The Open Model of Innovation 112
Notes 115
Transition Strategies to Open Innovation 116
Offering Best-of-Breed Products The Open and Unlimited Product Architecture 116
What Is in for the Client and the Firm? 118
Collaboration Between Banking and Postservices 119
Multichannel Distribution 120
Benefits and Challenges of Open Architecture 123
From Open Architecture to Advanced Open Business Models 125
Sound Client Integration Developing a New Understanding on How to View Clients 126
The Quest to Find the Right Service Model 128
Needs-Based Client Servicing 130
Increasing Profitability Through Smart Client Segmentation 133
Client Integration Means Organization Around Clients 135
Creating Organizational Entities for Women If Beneficial 136
The New Perspective on Product Innovation 138
Differentiate Through a Superior Client Value Proposition Products and Services Are a Compelling Proposition 139
How Processes Become Services and Add Value 140
The Impact of Service Innovation 141
Increasing the Client Experience 142
Initiating Process Innovation 146
The Benefits of a Holistic Advice-Focused Business Model 147
Becoming a Trusted Advisor 148
The Service Bank 149
The Future of Banking: Creating Passionate Clients 151
Accelerating Client Integration 152
The Flexible Enterprise What Do We Mean by Flexibility? 154
Organizational and Technological Infrastructures 155
The Benefits of a Flexible Service Architecture 156
Service Implementation 157
Winning Through Competitive Service Architectures 158
Learning from the Strategic Transition Organizational Learning Through Collaboration 159
Meeting the Challenges 161
Notes 162
Developing a Set of New Management Practices 165
Structural and Implementation Requirements 165
Resources and Capabilities That Meet Open Innovation Developing New Dynamic Management Practices 166
Redeploy Support Functions in Favor of New Capability Development 168
Ambidextrous Thinking: Investing into Multiple Strategic Directions Exploitation vs. Exploration 169
Different Strategies for Different Markets 170
Building the Ambidextrous Organization 172
Intrapreneurial Attitude: The Basis for Profitable Growth What Is an Intrapreneur? 175
Creating Value Through an Intrapreneurial Attitude 176
Opportunity-Driven Business Development 177
Developing Intrapreneurs 178
Systemic and Holistic View on the Firm: Do Not Think in Silos and Release Organizational Energy 180
Leveraging Dynamic Capabilities 182
Notes 184
Providing a Culture of Open Innovation 186
Gaining Maximum Strategic Flexibility Integrate or Separate Core Business Divisions? 186
Integration Means Collaboration and Learning 187
Benefits and Challenges from Integration 188
What Is the Right Strategic Direction? 189
It Is All About Social Capital Understanding Social Capital 191
Why Social Capital Matters 192
Social Capital: The Clue and Lubricant for Boosting Innovation and Growth 193
Open Innovation Culture The Shift in Culture 195
The Challenges 196
The Benefits 198
Notes 198
Conclusion 200
Index 211

Produkt-Details

• Erscheint lt. Verlag: 11.2.2009
• Zusatzinfo: XVI, 209 p. 6 illus.
• Verlagsort: Berlin
• Sprache: englisch
• Themenwelt: Wirtschaft ► Betriebswirtschaft / Management ► Finanzierung
• Themenwelt: Wirtschaft ► Betriebswirtschaft / Management ► Unternehmensführung / Management
• Schlagworte: Banking • business • Change • Financial Services • growth strategy • Innovation • knowledge management • Management • Open Innovation • Strategy
• ISBN-10: 3-540-88231-6 / 3540882316
• ISBN-13: 978-3-540-88231-2 / 9783540882312