Front to back (F2B) digitization enables financial institutions to deploy all digitization levers at the same time, revolutionizing banking and unlocking value.
A financial institution performs roughly 4,000 processes to handle all customer interactions. With this level of complexity, it’s no wonder that banking has fallen behind other industries in making front-to-back digitization a reality. For those banks that do pursue digitization, many fall victim to common pitfalls:
Front-to-back digitization is a way for financial institutions to address the many digitization challenges they face. It provides a path to successful digitization—to making banking simpler, better, and faster for customers, while accelerating ROI.
F2B banking begins with identifying value streams and mapping them across the organization. A bank then digitizes front-end customer interactions and integrates them with digitized back-end processes. By harnessing the power of an array of digital technologies—including automation, AI, and data platforms—and using agile ways of working, a bank can build digital customer journeys that seamlessly deliver products and services, while running lean operations and mitigating risk.
F2B digitization is a fundamentally new way for financial institutions to organize, staff, fund, and govern their work that serves the customer and the business.
BCG’s F2B consulting experts use proprietary diagnostics, a proven playbook, benchmarks, and a bank’s input to improve the customer experience, increase efficiency, and drive top-line growth. Front to back consultants combine deep industry knowledge with relevant capabilities in various areas, including customer journeys, digital and data platforms, operations, people, and risk management.
Our clients around the world have used BCG’s front-to-back digitization approach across a variety of value streams to achieve significant results:
BCG helped a major Australian bank digitize the application process for everyday business accounts. Now, they can be opened in minutes, and customers no longer wait days for access. The bank saved more than 400,000 hours of time across frontline teams, reduced costs by 15% to 20%, and boosted its net promoter score by 10 to 30 points.
BCG helped cut operating costs by 15% at a leading Indian bank by digitizing its processes. Among the improvements was a 90% reduction in cycle times across multiple value streams—a savings that led to greater efficiencies and scalability.
A leading Asia-Pacific bank was positioned to increase revenues by at least 10% after BCG helped to transform multiple value streams. The increase was fueled by robust improvements in customer experience and product delivery.
Direct revenue increased by 5% at a US regional bank that collaborated with BCG on a customer journey transformation. The effort digitized the application process for multiple offerings, including mortgages and commercial credit cards.
BCG partnered with an Australian bank to create a completely digital journey for banking customers.
Senior Advisor
London
F2B Digitization
Is your organization ready to implement front to back digitization? Contact us to find out how we can help you make the most of your digitization efforts.
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