Burgan Bank

Turkey

« Transformation » Award:

Best organizational convergence / "Zero-friction strategy"

The Burgan Bank Transformation is part of a five-year strategy with well-defined objectives, the aim being to reach millions of customers through innovation. Indeed, in 2017, the bank established the "digital banking" department with business lines responsible for initiating and developing "full digital" customer paths. Today, the efforts made have enabled the bank to create a competitive advantage through innovations in mobile banking and digital internet banking.

 

The Management Committee was able to implement its strategy according to a proactive vision of the transformation, the bank's configuration is also designed and adapted to the new collaborative and agile approaches. In this sense, Burgan Bank adopts the "Zero Friction Strategy" which is based on a lean structure and processes at the level of the teams and the "digital banking" businesses, in this case: digital marketing, digital sales, digital communication, product development, data analytics, etc. The unified structure and teams use the 4DM (Define-Design-Decide-Deploy-Measure) methodology: In parallel with "Friction-Zero", Burgan Bank relies on the 4DM methodology, which enables it to accelerate the design of new projects and the implementation of new ideas.

 

In addition to these two levers, Burgan Bank has opted for a lever that allows for strong innovation, namely Open API's: To stimulate innovation and develop new digital solutions, Burgan bank opts for the opening of its API's (Application Program Interface) in order to accelerate the development of new applications and therefore offer an exceptional customer experience. This opening involves sharing its banking processes and functions with third parties in order to generate the synergy necessary to improve the banking solutions offered.

« Solution / Customer Journey » Award: 

Instant loan service for online shopping

 

The bank has created a digital integration process that allows prospects to become customers through a digital platform, without going to the branch and to follow the classic procedure. New customers have the ability to approve and sign documents remotely, electronically, and have immediate access to the products and services offered.

 

With this digital infrastructure, granting of credit now follows also a digital process, a specific innovation in Turkey that allows customers to apply automatically in a few seconds, the simulation of the interest rate, the amount of the loan and the duration of the credit is communicated immediately. The only human intervention in this process is to check the ID and paperwork in the banking system. Due to the low human intervention, the process is fast and the product is commission free, therefore more preferable for the customers.

 

In addition, this service is also accessible via online shopping; in fact, the bank has been able to forge partnerships with merchants who offer their products on digital platforms, so that, at the time of payment, customers can benefit from an instant loan to validate their order. With this service, the bank can reach more targeted customers at a lower cost and customers can use the loan as a payment alternative to pay in installments  From security and privacy perspective; customer uses well integrated banks’ application to applying loan and bank does not shares any information about application with online shopping company.

 

Another product that is based on this digital integration process is deposit. With the same logic as the credit product, also in deposit product people can apply quickly and open deposit accounts without coming to the branch. It’s easy, fast, free and due to the low human intervention more profitable.

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