Treasury and Trade Solutions
Digitization is critical to the future of finance and treasury. To realize its full
potential, companies should develop a framework and execution plan that
incorporates a holistic approach. A good example of a company taking such
an approach is Shell, writes Swati Mitra, Global Practice Lead, Digital Client
Advisory, Treasury and Trade Solutions, Citi.The pace of technological change continues to accelerate. The past decade has seen entire
industries transformed by new entrants driven by innovative business models and digital
technology. Despite these major shifts, nothing could have prepared the world for COVID-
and the way in which it has tested the resilience and scalability of business-critical functions
and market infrastructure. In the main, corporates, banks and infrastructure providers have
passed with flying colors; technology and digitization proved to be the salvation of our
inter-connected world.The impact of the pandemic combined with significant shifts in supply chain, the emergence of new
technologies and business models is creating a tipping point for digital transformation in finance and
treasury. There is heightened focus on finance analytics, technology optimization and digitization in an
effort to achieve cost reduction and operational efficiency.Swati Mitra
Global Practice Lead,
Digital Client Advisory,
Treasury and Trade
Solutions, Citi
Darsh Johal
Head of Global Cash
Management, Shell
International
Digital Transformation Blueprint and Showcasing Shell
Treasury’s Digital Journey
Citi’s Digital Diagnostic Framework
While the benefits of digitization are clear, developing a business
case and addressing the scale of the transformation opportunity
from digitization can seem daunting. A Harvard Business Review
CEO and senior executive survey in 2019 found that while digital
transformation is the #1 concern, 70% of all initiatives do not reach
their goals. Digital technologies provide possibilities for efficiency
gains and customer insight however, if a clear framework does
not exist, if people lack the right mindset to change and if existing
organizational practices are flawed, then digital transformation
simply magnifies those flaws.To help clients assess their current state of digital maturity and
future priorities aligned to a company-wide digital agenda, Citi
has developed a proprietary framework called Digital Diagnostic
Framework. It has five key dimensions – strategy, culture, customer
journey, process digitization and innovation - supported by a
detailed checklist, client use cases and benchmarking insights.The Framework emphasizes the importance of a holistic approach. When crafting a digital Strategy, it is important to ensure a balance
between people, process, technology, business applications and data. Customer Journey requires new solutions for digital customer
acquisition and differentiated services. Process Digitization focuses on optimizing back office operations, implementing tools to improve
risk management and developing agile capabilities to compliment current or future technology architecture. Innovation relates to
addressing unmet customer demands, designing new products and solutions and leveraging external partnerships to build or scale new
businesses. Many corporates are trying to understand the relevance and prioritize investment in new technologies such as AI, robotics
and blockchain. Since the maturity of these technologies is at varying stages, some companies are adopting a portfolio approach, i.e.
they are deploying some solutions today, developing proofs of concept on others, and engaging in co-creation on more futuristic plans.
Culture is one of the most important dimensions as successful digital transformation is a function of change management, talent
development, future proofing business models and rethinking innovation. Encouraging a mentality of innovation through hackathons,
idea challenges, virtual collaboration and lean funding is essential to digital transformation.- Digital Vision• Digital Strategy
Strategy • Digital Office
Customer Journey- Digital Acquisition
- Digital Sales• Digital Servicing
- Data Driven Personalization
Process Digitization- Optimized Back Office Operation
- Efficient Straight through Processing- Intelligent Client Services
- Platform Simplification & Connectivity
- Digitized Security
- Agile Capabilities
Innovation- Evolve an Innovation Ecosystem
- Partnerships and Alliances
- New Solutions/Business Models
- Use of Emerging Technologies
- Innovation Labs
- Sandboxes
CITI’S DIGITAL DIAGNOSTIC FRAMEWORK- Digital Skill Development
Culture • Training• Workplace Digitization