Innovation in Financial Services Survey 2017: Leaders Emerge

by Michael Fitzgerald, January 24, 2017
Industry Trends
Global

Abstract

Since the first Celent financial services innovation survey in 2013, the pace of innovation has continued to increase. According to this most recent survey of 194 industry professionals in banks, insurers, and securities firms, the financial institutions are beginning to realize positive results.

Celent has released a new report titled Innovation in Financial Services Survey 2017: Leaders Emerge. The report was written by Michael Fitzgerald, a Senior Analyst with Celent’s Insurance practice.

According to survey respondents, innovation is critical to meet customer needs, but the same urgency is not reflected in business strategy. They also report that, while financial services firms innovate more poorly than other industries, they are about even with their peer group.

Compared with previous surveys, the 2016 respondents report increased satisfaction with innovation results and improved support for innovation efforts from C-level executives. For the first time, more than half of the participants identified that innovation is “critical” to executing business strategy. The best practitioners approach innovation as a cultural challenge, requiring changes to organization structure, leadership expectations, incentives, and work processes.

“The top barriers to innovation are the same as in previous surveys: the press of day-to-day business and the difficulty in changing existing work processes. Overcoming these obstacles requires leadership capital in addition to technology investments,” commented Fitzgerald.

“Survey participants see C-level leaders as champions of innovation. In contrast to previous surveys, respondents view almost every leadership role in their companies as promoters of change,” he added.

Celent is a research and advisory firm dedicated to helping financial institutions formulate comprehensive business and technology strategies. Celent publishes reports identifying trends and best practices in financial services technology and conducts consulting engagements for financial institutions looking to use technology to enhance existing business processes or launch new business strategies. With a team of internationally based analysts, Celent is uniquely positioned to offer strategic advice and market insights on a global basis. Celent is a member of the Oliver Wyman Group, which is a wholly-owned subsidiary of Marsh & McLennan Companies [NYSE: MMC].

Media Contacts

North America
Michele Pace
mpace@celent.com
Tel: +1 212 345 1366

Europe (London)
Chris Williams
cwilliams@celent.com
Tel: +44 (0)782 448 3336

Asia (Tokyo)
Yumi Nagaoka
ynagaoka@celent.com
Tel.: +81 3 3500 3023

Table of Contents

Executive Summary

1

 

Key Research Questions

2

Introduction

3

The Link to Strategy

4

 

Innovation and Meeting Customer Expectations

4

 

Innovation and Executing Business Strategy

7

Competitive Analysis

10

 

Other Industries

10

 

Other Financial Services Firms

10

Innovation Execution

12

 

Program Age

12

 

Program Focus

13

 

Program Methods

15

 

Program Satisfaction

16

Leadership of Innovation

19

Going Forward

22

Appendix

24

 

Survey Demographics

24

Leveraging Celent’s Expertise

26

 

Support for Financial Institutions

26

 

Support for Vendors

26

Related Celent Research

27

Sign in to download reports and access personalized information