Navigating Digital Transformation In Financial Services
Nilo Zantua, Senior Vice President And Chief Technology Officer, Rcbc
Nilo Zantua, Senior Vice President And Chief Technology Officer, Rcbc
Nilo Zantua, a distinguished figure in financial services, brings over 25 years of expertise, particularly in banking, insurance and technology vendors. Amid the pandemic's onset in 2020, he became Chief Technology Officer at Rizal Commercial Banking Corporation (RCBC), catalyzing the institution's digital transformation. Zantua's career spans pivotal roles in financial technology, crafting a deep understanding of industry intricacies. His strategic pivot to RCBC signifies a focused drive to leverage technology for operational enhancement. As SVP and CTO, Zantua embodies a fusion of financial acumen and tech innovation, steering institutions toward cutting-edge solutions and operational excellence.
In an interview with APAC CIOoutlook, Nilo Zantua shares his insights into the successful execution of digital transformation, future organizational plans, and leadership strategies.
Please tell us about your roles and responsibilities in your current organization.My roles and responsibilities encompass the digital transformation of the organization. Amidst the pandemic's onset, our company navigated the challenge of sustaining innovation and driving digital transformation. Mobility restrictions triggered a swift shift from traditional in-branch banking to digital channels, compelling us to swiftly recalibrate our strategies, timelines, and infrastructure while evaluating team capabilities and partnerships.
The focus shifted to massive digital acceleration, compressing a five-year plan into just over two years. Key initiatives, notably the challenger bank strategy, aimed at amplifying growth across retail, SME, and corporate banking. Projects like wealth management, core banking migration, cloud-based data lake and analytics, digital collaboration, cutting-edge mobile super app, among others took flight.
An essential move toward digitizing services for new markets emerged during the pandemic. Within six months of 2020, a managed super app tailored for untapped segments exceeded expectations by onboarding more than 2 million downloads and account enrollment.
The success extended beyond new markets; existing clients showed intensified interest, resulting in a remarkable 600% surge in utilization from 2020 to 2021. This growth prompted a reevaluation of our architectural blueprint, achieving a four to five-year plan in just over two years, pushing us to reconsider strategies.
Transitioning to the cloud became both technically viable and commercially advantageous. The escalating demand for digital channels through our mobile app underscores a promising path ahead.
How do you anticipate the recent advancements in financial services might impact the hurdles you encounter while pursuing your business's digital transformation objectives?Our foremost challenge revolves around team preparedness, particularly due to the influx of new technology platforms we're eager to explore.
The swift adaptation to emerging technology remains an ongoing hurdle for our IT sector. Our implementation capability remains intact, owing to our adopted model—favoring a managed service approach rather than internal development. Our strategy remains to leverage external partners and bank on existing packages rather than build from scratch. We acquire and integrate applications and tools into our systems, prioritizing a user-centric experience for external and internal clients, including RCBC's bankers.
As our digital footprint expands, sales acceleration emerges as another substantial challenge. With this growth, cybersecurity rises to the top as a critical concern. Continuously enhancing our security posture and safeguarding digital assets and client interests is paramount in navigating these challenges.
How are you tackling cybersecurity challenges amid the expanding digital landscape? Can you detail the steps to enhance security and provide more secure banking services to your clients?Our approach to cybersecurity begins at the planning phase, focusing on application scrutiny and infrastructure design and architecture for backend, front-end applications and workloads on the cloud. Starting with architecture, we continuously develop and enhance our cybersecurity blueprint, guiding the implementation and operational support across products, platforms, processes, and personnel—a playbook ensuring ongoing security enhancement.
Every project undergoes rigorous scrutiny by our application, data, and security architects to align with our bank's security policies and blueprint. From the operating system to application levels, thorough reviews and testing precede production, ensuring comprehensive coverage.
During Business as Usual (BAU), we maintain vigilant security awareness through regular testing, including internal security tests, ensuring consistent messaging and understanding among clients and stakeholders. Regular tests reinforce the importance of cybersecurity hygiene and awareness.
We develop and implement business applications and tools, and integrate them into our systems. We prioritize a user-centric experience for both external and internal clients
Continuous testing of security platform controls and monitoring, whether through our security operations center or third-party providers, remains a priority. Engaging thirdparty testers validates our rules and team readiness, ensuring preparedness to simulate real threats.
These activities, controls, and monitoring strategies aim to stay a step or two ahead of potential threat actors targeting our digital assets. Regular review of relevant use cases helps us maintain our edge, supplemented by frequent user involvement in our processes.
How do you foresee the future trajectory of the industry, particularly in the financial services space? What do you anticipate as this sector's next major evolution or trend?What we're witnessing with generative AI is just the beginning of its potential—understanding the capabilities this technology offers presents clear advantages for businesses. It will become a mainstream tool, especially within the financial services industry. This adoption will further enhance productivity efficiencies and likely streamline tasks that generative AI platforms or services can handle more effectively.
What is your advice to other senior leaders and CXOs within this space?I advise other leaders to also wear both the client and end-user hats. Understanding the business perspective and overarching stakeholder needs is vital in any application development and IT projects. Achieving a delicate balance among controls, convenience, and user experience is crucial. Overemphasizing convenience might entail certain risks, so finding that careful equilibrium is key
Aligning IT plans with the overarching business strategy is essential. Never forgetting the imperative of addressing customer experience across all touchpoints when creating applications or implementing any technology is crucial. This factor can either make or break the technology we introduce.
