After decades of prosperous growth and consolidation, the financial crisis clearly demonstrates that the financial sector has reached the boundaries of its current market practice. The need for structural reform and redesign of business models, delivery models and risk functions has never been more urgent than today. Although it is not exactly known yet what the future looks like, it is clear that the financial sector is in the midst of a fundamental reshuffle.

Clients too demand that banks change with the new reality and provide them with tools and services in the format of their choice rather than boxed-up silo products. Both on- and offline clients demand transparency, insight and are willing to pay a price when the service is perceived to be ‘value for money’. They share and exchange experiences, and want to be treated as a holistic individual with different roles thereby objecting to the banks’ favoured traditional segmentation models of age and wealth. Clients will increasingly switch if a better value proposition comes along.

Vendors have been known to go to great lengths to revitalize their market in the midst of the current financial crisis as proven by the Intellect white paper, published in August 2012, which urged regulators to act on creaking banking technology infrastructure by insisting on technology overhauls and investments in order to avoid the risk of more financial disruption and system failures. A more realistic approach could be to promote system evolution on the basis of new technology rather than revolution.

Often the problem is not the nature of the technology, but the processes and deployment. Converging to modern technology by first unlocking the potential of the front office data with a rich mid office is a good step towards customer centricity and can be achieved with modern agile SOA based technology that can unlock any back office system, whose role will be narrowed to a ‘pure product centric’ function. API's that connect to the outside world (social media, websites, mobile, KYC checks, peer 2 peer lending organizations etc.) complete the picture. Activity and dialogue in the front office, Agility in the mid office and Admin in the back office is a vision where Matrix has a natural fit.