ABA Banking Journal - March/April 2016 - (Page 34)
> RISK MANAGEMENT
Laying a Foundation for
Banks are developing new branch models and faster payment platforms
to stay ahead of customer choices-and managing new risks that come
alongside the innovation.
BY HEATHER WYSON-CONSTANTINE
anks are in a state of transition-both physically
and digitally. Gone are the days when customers
would have to leave the comfort of their homes or
stand on line during their lunch breaks to conduct
transactions at their local branch. With the click of
a mouse or the swipe of a finger, customers can now bank
whenever and wherever they choose.
Technology has enhanced the customer experience in many
ways and has improved the efficiency of bank operations.
At the same time, however, it has also raised customer
and regulatory expectations and introduced new risks. And
while banking is clearly migrating to online services, the
branch still plays an important role in providing one-on-one
customer service and meeting the needs of the community.
ABA BANKING JOURNAL | MARCH/APRIL 2016
These changes call for strategic thinking about how banks
can stay at the forefront of branch technology and payment
system evolution while ensuring the safety and security of
their customers and their assets.
Rewards of branch modernization
come with risks
Most bankers still find branch banking an essential part
of their retail strategy, but the branch continues to evolve.
Consumers have embraced ATMs and online and mobile
banking, which allow them to conduct many transactions
outside of their traditional branches. As a result, foot traffic
within traditional branches has decreased, along with the
average number of transactions per branch. Since 2011, the
number of transactions has decreased from approximately
Table of Contents for the Digital Edition of ABA Banking Journal - March/April 2016
LEARNING THROUGH LITERATURE
PUMPING IT UP
CRE AT A CROSSROADS
LAYING A FOUNDATION FOR INNOVATION
A PASSION FOR ADVOCACY
WHY BANK CONSOLIDATION IN THE U.S. WILL LIFT OFF IN 2016
ABA COMPLIANCE CENTER INBOX
BOOKS FOR BANKERS
FROM THE STATES
CORPORATE SOCIAL RESPONSIBILITY
INDEX OF ADVERTISERS
ABA Banking Journal - March/April 2016