Banking & Insurance: Are you ready for 2020 ? — Part 3

This post is the third in a series that will focus on must-have capabilities for Banks and Insurance companies if they are to survive and thrive by 2020.

The first post focused on Current Digital Trends in the Financial Services sector. The second post outlined the necessary Digital Banking & Digital Insurance ingredients to survive and thrive by 2020. In this post I breakdown the challenges, opportunities and complexities you’ll undoubtedly be presented with, in the first ingredient: Become a Decoded Company.

Become a Decoded Company: Based on the NY Times best selling book, The Decoded Company, that our CEO wrote, I believe that every company must become a Decoded Company; where companies develop a data-centric culture, where they use technology as a coach, not a stick, where total data-connectivity can help a company uncover deep customer insights that foster a sustainable competitive advantage, where they are talent-centric, data-driven, flexible and fast. This idea has never been more relevant. Today, data is one of the big enablers of Machine Learning, which is revolutionizing Artificial Intelligence (AI). We will see this revolution play out in insurance, finance, and other highly regulated industries.

What’s a ‘Decoded’ company?

Amazon, Google and Netflix have mastered the ability to decode their customers’ data in order to understand their preferences and provide a more personalized and enjoyable user experience. A ‘Decoded’ company is an employee-centric organization that applies the same principles to decode the data trail that follows employees and their work projects in order to better understand them and enable a customized, engaging employee experience.

What’s the advantage to becoming Decoded?

The true Decoded advantage is to become a center of gravity for talent, attracting and retaining the best people your industry has to offer, and unlocking crazy-high engagement from them. Decoded companies become top performers, reshaping their markets and industries.

What does a Decoded company do?

A Decoded company is a progressive organization that:

  • rejects the notion that its people are interchangeable resources;
  • invests in the systems and processes that enable it to understand its people better than it understands its customers;
  • is characterized by increased agility and speed, evidence-based decision making, decreased bureaucracy, and the ability to predict problems before they occur;
  • creatively applies technology and data analysis to all of its internal processes in order to decode, understand, and optimize;
  • delivers personalized training at the precise moment it’s required; and
  • benefits from increased consistency and performance in everything it does.

What are the tenets of the Decoded philosophy?

The Decoded business management model uses technology as a coach, cultivates data as a sixth sense, and uses the untapped analytical potential that exists inside every company to engineer vibrant cultural ecosystems. Combined, these three Decoded tenets are a recipe for success in today’s modern business world.

  • Technology as a Coach™ is all about transforming existing technology into a coach that can bring out the best in people and make them happier by providing data-driven feedback. The same technologies that power Amazon, Netflix, Google, and eHarmony can be used to engage, motivate, and train.
  • Data as a Sixth Sense™ refers to giving employees decision-making ‘superpowers’ by combining human instinct with analytics to gain a perspective grounded in data but tempered by experience. Companies like
    UPS, 37signals, Bank of America, and Whole Foods are already doing this.
  • Engineered Ecosystems™ is what happens when data is used to deliberately engineer positive behaviors to cultivate an empowered culture and workplace

In the next post of this series, I will unpack the most important and complex ingredient: Connect Emotionally with 1’s and 0’s. I encourage you to follow this series to learn more, or if you have questions, please do not hesitate to contact me at ltepperman@k2digital.com.

About the Author: Lawrence is the founder and managing director of K2 Digital, a leading Digital Transformation services and solutions firm. He brings more than 20 years of experience building companies in marketing, software solutions, and management consulting. He founded K2 Digital in 2012 in order to help companies realize the tremendous benefits of digital transformation before they are disrupted.

NOTE: Significant sections of this blog post were taken, with permission, from K2 Digital’s parent company’s (Klick Inc.) synopsis on “The Decoded Company’ book, which was co-authored by Klick’s CEO, Leerom Segal. Visit “The Decoded Company”, for more information on this NY Times best-selling book.