Amiran Sherozia - CIO of TBC

1. 2019
DIGITAL TRANSFORMATION
TBC BANK REDEFINING DIGITAL SELF
Amiran Sherozia
CIO

2. REDEFINING DIGITAL SELF - MISSION
2
Vision
Before 2016 2018
#1 Commercial Bank
Vision
Best digital service
company
Vision
Anticipate needs and
create digital ecosystems
to harmonize with client’s
everyday life
Mission
To make life easier
Strategic goal
Have 10,000,000 Users
by 2022
Exceptional CX
Pillar I
Pillar II
Pillar III
Best People
Core competencies in
Financial Services

3. REDEFINING DIGITAL SELF - IMPACT
3
Vision
Before 2016 2018 Now
#1 Commercial Bank
Vision
Best digital service
company
Vision
Anticipate needs and create
digital ecosystems to
harmonize with client’s
everyday life
Mission
To make life easier
Strategic goal
Have 10,000,000 Users
by 2022
Space.ge
Payme.uz
New Geographies
Azerbaijan
Uzbekistan
Vendoo.ge
Allproperty.ge
Swoop.ge
New Platforms
New Ecosystems

4. REDEFINING DIGITAL SELF - BUSINESS MODEL
4
Customer
Focus
Make life easier
Simple
Personalized
Digital Capabilities
Social
Mobile
Analytics
Cloud
Mediate
Open API
Partnership value chain
Leverage external assets
Digital Culture
Startup mindset
Agile
Design Thinking
Technology
Platform/
Ecosystem
Fast
Innovation
DIGITAL
DISRUPTOR
Extended
Ecosystem
Redefined
Market
Original
Market
Digital Disruptors redefine markets by:
Focusing on creating customer value
Displaying the ability to leverage digital technologies to
understand the customer and sense market shifts
Innovate faster than the competition
leveraging on external assets by playing mediator role
Participating in extended business ecosystems

5. REDEFINING DIGITAL SELF - REIMAGINING VALUE DELIVERY
3RD
PARTY PARTNERS TBC GROUP & AFFILIATES
OPENAPI
5
Open Banking is enabling financial service companies to
expand touchpoints to their customers. Thus providing
value to more customers in more diverse ways
Bringing 3rd parties on board to co-innovate with banks
and payment industry players, will enable the emergence
of innovative services to empower customer journeys
Better understand customers and provide personalized
services not only through data analysis capabilities but
better service distribution as well
Aggregators
Data Touchpoint Data Touchpoint
APPs
SMEs & Corporates
Ecosystems
WEB
Mobile Int. Bank
TBC Credit
T Bot
WEB
Mobile
B Bot
Terminal
WEB
APP
WEB
Mobile
WEB
Mobile
WEB
Mobile
WEB WEB
Mobile

6. BANK AS A TECHNOLOGY COMPANY - SOURCING
6
Vendors
UK, Italy, Poland,
Slovakia, Czech
Republic, Ukraine,
Belarus
400+ IT Professionals
200+ Business People
In-house software
Integration
SOA
100+ IT Professionals
15 Engineers in
Development Center
in Ukraine
Affiliates &
Partners
TBC
Bank
Out of shelf products
Tailored Solutions
Open Source
Public Cloud
Shared Source
Standardization
Hybrid Cloud
Big Data
Open API

7. 7
BANK AS A TECHNOLOGY COMPANY – SHIFTING LEFT AND OUT
Complement internal skills with
external specialization integrated
deeply into the ongoing fabric of
its IT application development
Establish internal IT Academy &
extend partnership network to
scale innovation
Understand the end-to-end
customer experience and how
external and already available
services can be utilized with
internal solutions to offer a
complete and unique offering
Architect IT to link internally
driven systems and capabilities
into external systems
Fundamental shift in
the role of IT from
being focused on core
functionality to
scaling technological
capabilities

8. BANK AS A TECHNOLOGY COMPANY - CAPABILITIES
8
Loan Management
Data Warehouse
Mobile Bank
Scoring Engine
Cloud
DevOps
ChatOps
SOC
Digital OnboardingISO 27001 Compliance
CRM
ESB
Active Data Centers
Loan Origination
Open API
BigData
ML
BPM
ChatBot
2011 2013 2016 2018
2012 2015 2017 2019

9. 9
BANK AS A TECHNOLOGY COMPANY – STRATEGIC FOCUS
Cloud First
Service Oriented
In-house
Competencies
Open Source
PRIORITIES

10. PEOPLE – AGILE TRANSFORMATION PHASES
10
2017-2018
2019
2016
01
Step
Team level Agility
Scrum / Kanban
Cross-functional and self organized team
Predictable outcome
Iterative/incremental work
Efficiency on team level
Agile Release Train (ART) and Program
Increment (PI) Planning
Cross-Functional Agile Teams deliver
working software
Improved Transparency and dependency
management
DevOps
Customer focus
Network of autonomous E2E teams
Rapid decision and learning cycles
Empowerment and delegation
Next generation enabling technology
BizDevOps
Portfolio Level Agility
SAFe
Enterprise Agility
“Spotify Model”
02
Step
03
Step

11. PEOPLE - ENTERPRISE AGILITY
11
Tribe (business unit)
Collection of squads organized around the same purpose,
typically no more than 150 people in size
Example: Mass segment, Lending products, Platform services
Squad (business/customer team)
An autonomous cross-functional team of ≤ 9 people able to
define work and make business decisions
Has E2E-responsibility for a certain purpose
Example: Retention, Onboarding, Youth Strategy
Chapter (know-how groups)
Group of functional specialists (~5-10 people) responsible for
building expertise and maintaining standardization
Every single squad member is also assigned to a specific chapter
Example: Front-end developers, Marketing experts
Tribe
TL
Squad1
SquadN
STRUCTURE
Squad2…
…
…
Chapter 1
Chapter 2
CL
PO
…
…
PO
CL
B
A
B
C
A
C
Chapter 2
CL
PO
…
Position TL - Tribe Lead
CL - Chapter Lead
PO - Product Owner
Role

12. PEOPLE - AGILE ORGANIZATION
12
DELIVERY ORGANIZATION
SEGMENT TRIBES
SERVICE TRIBES
ENABLING TRIBES
Segment tribe Service tribe Enabling tribeSegment & Service tribe
Data analytics
Enterprise architecture
Cybersecurity
Finance
HR
Risk & Legal
Marketing & PR
Compliance
Reporting
Agile
AFFLUENT SEGMENT
PLATFORM SERVICES
(CROSS-BANK SHARED SYSTEMS – DATA WAREHOUSE, CBS, TIBCO, BPM, ETC.)
MASS SEGMENT
LENDING
PRODUCTS
OPERATIONAL
PRODUCTS
PAYMENTS
MSME
BUSINESS
BANKING
ENTERPRISE
SERVICES
(SQUADS FOR HR,
FINANCE, RISK,
COMPLIANCE)
CoEs

13. PEOPLE – IT ACADEMY
13
თიბისი IT
COLLABORATION
PLATFORM
ATTRACTING
TALENT
COMMUNITY
DEVELOPMENT

14. PEOPLE - CULTURE
14
CULTURE
NO HIPPO RULE
VALUE DELIVERY VS
FEATURE DELIVERY
NO PERKS VS
EXCESSIVE BONUSES
TEAM PLAYER VS
INDIVIDUALIST
CUSTOMER CENTRIC VS PRODUCT CENTRIC
ACCEPTING FAILURES VS
PUNISHING FAILURES
DESIGN THINKING VS
FEATURE THINKING
SIMPLE VS
COMPLEX
Culture is a fuel for scaling innovation
Hiring people who are excited about the
problems we have to solve
Possibility to work with the right team of
people, who you trust and admire
There is no better reward than making a
significant contribution to meeting a challenge
Start-up like mind-set in small decentralized
multi functional teams who have enough
resources to deliver
Trust people, be transparent and honest
about business issues
Foster freedom and responsibility culture

15. THANK YOU