Transforming banking via digital On July 8th, 2015 in London, Francisco Gonzàles - Chairman and CEO at BBVA shared how they lead their transformation and what digital means to the bank. Although Brilliant Noise was not involved in this work, we are inspired by their efforts.

1. isabelle.quevilly@brilliantnoise.com
@DigitalPlanner
brilliantnoise.com
The digital transformation
of BBVA
WIRED MONEY 2015

2. Transforming banking via digital
On July 8th, 2015 in London, Francisco Gonzàles - Chairman and
CEO at BBVA shared how they lead their transformation and
what digital means to the bank.
Although Brilliant Noise was not involved in this work, we are
inspired by their efforts.
2
http://www.bbva.com/TLBB/tlbb/ing/noticias/Junta_General_de_Accionistas_2015.jsp

3. The digital ambition of BBVA
“Our goal is to turn BBVA into a totally
digital company, including all our products
and services, and with our over 100,000
employees working digitally”
3
http://www.bbva.com/TLBB/tlbb/ing/noticias/Junta_General_de_Accionistas_2015.jsp

4. People trust tech companies more than banks
29% of people would bank with Apple if they could, based on a
North American Accenture survey.
Those new customer needs are impacting banks on two levels:
- direct threat from new competitors coming from the tech
industry
- new structure to the bank sector with entrants like Simple,
Square, Coinbase, LendingClub…
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5. 5
"We are building the
best digital bank of
the 21st century"
Francisco Gonzàles - Chairman and CEO, BBVA
Credit: BBVA

6. BBVA started by untangling its back-end
6

7. It took 7-years of commitment and leadership
The CEO coming from a CTO background was able to bring
clarity and detangle the legacy tech systems that were in place.
The transformation took from 2007 to 2013 in 3 steps:
1 - Foundations: platform
2- Processes, culture, organisation, products
3- Front office (where they are now)
7

8. A new smart IT platform fo the 21st century
The change of platform has enabled BBVA to grow its core
capacities to address future customer needs, including:
- Real-time
- Big/Smart data
- Open inovation
- Cybersecurity
8

9. New foundations to the core banking system
Customer
Information Files
9
Product
catalogue
Pricing
engine
Integrated accounts
balances/movements
Advice
Product processor
Risk management
engine
Events management
engine
Data warehouse
Clients contracts
Settlement Business rules
management system

10. New front-office and channels
10
Branch
Mobile
Web
Facebook
ATM
Call Centre

11. 11
"We are reinventing the
new edge of the customer
experience but not the
banking system in itself."
Francisco Gonzàles - Chairman and CEO, BBVA
Credit: WIRED

12. The transformation of BBVA
12
2007-2013 201620152014
Building a world-class technology platform Creating the
Digital Banking Area
3,500+ professionals
end-to-end capabilities
transformation of core-
functions. New customer-
centric relationship models
New digital products
Redesign processes,
partnerships, investments
and acquisition of Fintech
startups
New
organisational
structure
New senior
management in place
to put digital at the
front
Full
transformation
100,000+ digital
employees, digital
product and services
The speed of change
is accelerating,

13. The new BBVA structure is unique
It becomes a strong asset in a fast changing industry. Especially
the creation of a new core competencies line of management
who manages together:
- Talent & culture
- Customer solutions
- Global marketing & digital sales
- Engineering
- New Digital businesses
13
Enables the business to grow capacities on-
demand and react rapidly to market changes

14. The result? An exponential growth
Between December 2011 and May 2015, Digital Active customers
have grown x 1.87 to now being 13.3 million customers.
80% of loans are made through digital channels
Mobile active customers have grown x13.4 to 6.7 million mobile
active customers
The latest BBVA app enables customers to contact an advisor in
once click.
14

15. BBA Ventures
How do they manage innovation?
Digital M&A
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16. BBVA: transforming a bank
- Support from the C-Suite
- Long-term commitment (years)
- Cut out the legacy to old IT structures
to free up the business model
- Create an organizational chart for
innovation not an innovation line in
your organizational chart
16
http://www.finextra.com/news/fullstory.aspx?newsitemid=27080

17. Brilliant Noise:
fast change, lasting impact
Digital changes everything. It’s the force driving shifts in markets and customer behaviour.
As described in this example by BBVA, organisations need to stay ahead of the
competition while transforming themselves.
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18. Practical lessons to support change
At Brilliant Noise we talk about the spark for digital transformation
coming from ‘instances of change’.
It’s a practical example of how an organisation can behave more like
a disruptor than an incumbent, more like a start-up than a behemoth.
It offers inspiration and an idea of how to do things differently and
generate long-term value.
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19. Benefits for your team
- Immediate results leading to lasting change: there’s tangible value
delivered by projects – results that mean it’s not speculative thinking.
- Ability to scale success quickly: you capture new ways of working and
pass them on to colleagues elsewhere in the organisation.
- Hitting the innovation/value sweet spot: you move faster than with big
consultancy thinking. Commercial relevance is clearer than with typical
digital agency approaches.
- Efficiency savings: our pilot and scale method means that investment
follows the needs of customers and you learn from experience.
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20. For more inspiration
Brilliant Noise books are available for download:
Customer First
A Guide to improving your omni-channel customer experience
Resilient Brands
A framework for brand building in the digital age
Stories that scale
How to develop your branded content organisation
Culture change
Culture change in the digital age
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21. http://brilliantnoise.com/
Thank you