What's Your Plan for the Future?

​Goes along with what a consultant told me at a previous bank.  You can be low cost provider (Walmart), most innovative (then Sony; today think Apple) or the best Total Solution (I can't remember his example.)  The danger in banking is to keep from being a commodity business.  Everyone can relate to dropping by the local convenience store to pick up milk they forgot (and subsequently paid a high price for).  However, I can't tell you the last time I stopped for milk at the local convenience store.  We must guard against becoming an irrelevant provider of financial services.


------------------------------
Jon Drake
Senior EVP & CFO
Peoples Bank
------------------------------
-------------------------------------------
Original Message:
Sent: 11-29-2018 08:57
From: Barb Rehm
Subject: What's Your Plan for the Future?

Adapt or die is a mantra repeatedly preached to bankers, but rarely is the admonition paired with solid advice. McKinsey & Co. aims to change that with a new report, "New Rules for an Old Game: Banks in the Changing World of Financial Intermediation."

McKinsey concludes banks have four strategic options for the future:

• the innovative, end-to-end ecosystem orchestrator
• the low-cost "manufacturer"
• the bank focused on specific business segments
• the traditional but fully optimized and digitized bank

You can request a copy of the report here. It's worth the time.

------------------------------
Barb Rehm
Senior Managing Director
Promontory Interfinancial Network
Arlington VA
------------------------------