Key Takeaways
Treasury operations are facing rapidly changing demands in the face of digital transformation.
Listening to client feedback and understanding their friction points is the critical driver of innovation within transaction banking.
Finding the right strategic partner is key to helping to solve the most significant pain points for businesses.
On a recent Scotiabank MarketPoints podcast, Mike Suppa, Director & Head of Client Solutions & Partnerships, and Jonathan Poupart, Director, Treasury and Payment Solutions, discussed how a client-driven approach is transforming the way Scotiabank is driving innovation and solutions that solve businesses’ biggest pain points. Here are the highlights from that conversation.
Businesses of all sizes face common challenges in managing their treasury operations in a fast-changing digital world, from outdated manual processes to systems that don’t speak to each other. Making the banking experience easier for clients has been a key strategic pillar for the Scotiabank team, leading to a unique client-first collaborative approach.
Early engagement with each client’s challenges, a deep end-to-end review and early hands-on involvement with a client’s cash and treasury management project, allows our clients to co-create innovative solutions with us and incubate ideas that have made Scotiabank a trusted advisor for their cash and treasury needs.
“It’s all about asking the client the right questions and identifying what you’re trying to solve for. We’re here to deliver a solution, not a product.”
Uncovering the client’s banking pain points
The pace of digital transformation can vary from business to business, ranging from larger companies using manual processes to manage their cash flow to smaller, digitally savvy companies that want everything on the cloud. Their requests can vary from better reporting options to integrated technology solutions, but the common thread is that everyone is looking for a simpler and easier way to deal with their banking partner.
“It’s been interesting to dig into the day-to-day operations with clients. Every client seems to be going through the same thing. They're all going through this digital transformation, trying to make things better, easier.”
The role of the Scotiabank team is to identify what those challenges are for each client by asking the right questions and understanding their workflows and friction points. From there, the team can identify ways to solve those pain points, either with an existing solution or looking externally for partners who can help make the banking experience more frictionless.
Scotiabank has found that a client-driven model of innovation at the bank can take many forms. Here are just three different examples:
Case Study 1:
Client feedback leads to a seamless ERP/banking integration experience
The challenge: Clients were sharing their frustrations with the time and costs of connecting their ERP systems with Scotia’s banking system. The process was complex, time-consuming and costly, taking anywhere from six months to a year before they felt the tangible benefits of enhancing their digital workflows.
The solution: Scotiabank took that feedback and looked at how to develop a simplified connection. This led to the development of a ‘plug-and-play connection service’ powered by Kyriba, which provides clients with a single, intuitive onboarding experience and accelerated time to market with their ERP of choice.
“The greatest part about this integration tool was just telling the client about it and them realizing how much time they're going to save, how much cost savings they're going to have from this.”
Case Study 2:
Uncovering a client’s workflow friction points results in a better experience for their customers
The challenge: A client had a warranty program that involved paying back warranty clauses in their policies with physical cheques. The experience for their customers was extremely poor – with payments taking up to two weeks to get to their customers, not to mention cheques getting lost or delayed in the mail.
The solution: Scotiabank knew that it had the right product for this client, but first, the team took a consultative, solutions approach with the client to understand their complicated workflow. From there, the team shared that the Interac e-Transfer solution for businesses could deliver real-time payments that could dramatically simplify that workflow. The client could immediately see the tangible value to their business and customer experience.
Case Study 3:
How understanding client needs sparks internal ideas for innovation
The challenge: Through conversations with clients, Scotiabank understood that managing payroll is a significant part of their workflow, so the team wanted to find a way to simplify this process for them. Through its industry network, the team learned about ZayZoon, a Canadian fintech that was a leader in providing Earned Wage Access (EWA) to U.S. businesses. Scotiabank recognized that while the concept was relatively unknown in Canada, EWA could be a game changer for many of their clients in Canada.
The solution: Recognizing the importance of employee financial wellness to many of their clients, Scotiabank partnered with ZayZoon to introduce EWA in Canada. The Scotiabank team worked with ZayZoon to provide the necessary integrated payment solutions through the Scotia TranXact platform. The result is a solution that can help businesses become employers of choice by reducing financial stress for employees, improving workplace productivity and attendance, and strengthening employee engagement.
Earned wage access (EWA) allows employees to access a portion of their paycheque before payday.
“We've already had a really warm reception. A lot of clients are really keen, especially because it makes a difference for their employees.”
Transforming the client-banking partnership
Scotiabank's unique approach to working with clients is resulting in an exciting new dynamic in the client-banking partnership. The transition from being a product-based, tech solution-focused conversation to one of advice, expertise and insight drives better outcomes for clients and makes the banking experience easier than ever.
“A lot of the magic comes from what we're willing to do. Meaning, we're willing to be there at the design stage. We're willing to share our experience. We're there to give you thought leadership.”
“With all the experience and time we've spent developing solutions, we can really help clients make a difference in their business. We can help them grow and scale because we've seen it before. We're willing to roll up our sleeves, get in there and help them.”
As a committed partner, Scotiabank is there to support clients to create a more frictionless banking experience and remove the pain points within their treasury operations with tailored solutions and advice.
Talk to us about your biggest treasury challenges.
Speak to your Scotiabank sales contact or reach out to Mike / Jonathan for additional ideas, insights and solutions for your organization.
