You know your bank needs a radical digital overhaul. You see new entrants to the market poaching clients and getting headlines for good service. You have pushed for some changes but it’s hard to get your colleagues on the same page. How can you persuade them? With a compelling business case, of course. Here are three strong foundations for building one. 1. Highlight the threats Traditional banks are under siege by the pressures of competition, yet are not embracing digital change fast enough to counter this competition. Incumbents have little incentive to go for radical change until insurgents have redefined the market beyond recognition, as Clayton Christensen points out in The Innovator’s Dilemma. However, inertia can be expensive. Just look at how Airbnb and Uber’s use of technology changed their respective industries: financial services is an industry on the brink of a similar transformation. Your business has a choice: change or be changed, lead or follow, innovate or face obsolescence. To help your team understand this, use examples to highlight the threat of: The big players. The big names in your sector will always hold sway with your key decision makers. Do your research to see if a competitor is embracing technological changes that your team is ignoring, and make the case that you need to keep up to compete. For instance, Nationwide’s recent push to innovate the use of wearable devices in banking. The unknown unknowns. Identify the innovative insurgent banks, fintechs and eCommerce brands which are threatening to disrupt your business. Just take PayPal: one in five of the UK Bank customers surveyed by Accenture in 2014 said they would consider banking with PayPal if it offered a current account. 2. Outline the challenges and your solution to them Legacy IT systems and outdated digital services challenge your business’s growth; threatening its future. Look at how your customers are using social media and mobile devices, and assess what innovative companies in other sectors are doing. Then see how your firm is doing. Chances are that legacy systems are: Preventing your firm from keeping up with changing customer behaviour. Accenture found that 45 percent of UK customers who had purchased a banking product in the previous twelve months did so through the internet channel, with a further 6% claiming to have done so via a mobile device. Losing you potential customers. McKinsey’s 2015 Global Banking Review found that SME customers are four-and-a-half times more likely to choose a bank with a good digital banking platform than one with branches with nearby. Once you have clarified that your current systems really aren’t ‘good enough’; deliver your solution. Regulatory compliance, security and integration with legacy systems are important but you can’t let them become obstacles to change. Show how your proposed solution addresses these concerns. 3. Underline the benefits The benefits of digitisation are potentially huge. Just take Metro Bank, who created a digital experience for their customers using Microsoft Dynamics CRM, Office 365 and Yammer. With the enhanced service these tools provided to their customers, Metro Bank achieved year-on-year growth of 118 percent in 2014. The meat of your business case should be the benefits, because they provide the strongest motivations for change. If, for example, you wanted to adopt Microsoft Dynamics CRM; a feature list and technical details wouldn’t impress your colleagues. You’re more likely to persuade your team by describing how the tool would help you: Improve employee efficiency by speeding up processes such as new customer onboarding and loan applications. Enhance customer service by giving your team a single, detailed view of the customer, making it easier to give consistently personal service. Increase sales by giving your salespeople recommended next steps for up-selling and cross-selling. Full integration with existing Office tools to support ease of implementation and strong customer communications. The time is now New developments in cloud services, mobile devices and social media have opened up a whole new chapter for financial services businesses. They’ve put customers in charge, and given forward-thinking banks a chance to deliver better services to those customers than ever before. In this fast-changing environment, there’s no better time to build your case for digital transformation in your business. For more insights, download a free publication on digital banking. Microsoft shares its thoughts and views on the challenges facing banks today, the digital technologies that address these challenges and its vision for the Digital Bank. Download this insightful publication to discover how the new era of customer focused solutions will help you transform your business: Download now Take a look at Microsoft Dynamics CRM at our website. We can connect you to partners who can help to build your business case and guide you through your migration processes.