Gain Insights Into The Evolving World Of Banking And Fintech From A Leading Industry Expert
Helene Panzarino discusses her book “Reinventing Banking and Finance,” offering insights into banking innovation, historical perspectives, and practical guidance for navigating the evolving financial landscape.
Helene Panzarino stands as a beacon of innovation and insight in the ever-evolving world of banking and finance. As Skillwork’s Chief Ecosystem Evangelist, she has carved a niche as a leading consultant, educator, and evangelist in banking innovation. Her profound understanding of the global financial industry’s dynamics—its forces, threats, and opportunities—has positioned her as a pivotal figure in shaping the future of finance. Helene’s educational initiatives are renowned for their depth and foresight, offering world-leading programs that delve into the transformative forces at play in the industry and the innovative responses they necessitate.
In this exclusive interview for Reader’s House Magazine, Helene Panzarino shares her journey and insights behind her acclaimed work, “Reinventing Banking and Finance.” This book serves as a comprehensive guide to understanding the historical and contemporary shifts in financial services, likened to a Fodor’s guide for fintech. Helene’s work is celebrated for its ability to demystify complex financial concepts and provide practical, actionable insights for both students and practitioners. Her dedication to fostering collaboration and innovation within the financial ecosystem is evident throughout her writing, making her a revered author and thought leader in the field.
“Helene Panzarino is a visionary in banking innovation, renowned for her insightful analysis and transformative educational programs.”
– EDITOR, READER’S HOUSE
What inspired you to write “Reinventing banking and finance,” and what do you hope readers will gain from it?
Founders asking me who they should meet when launching abroad. They recognised the depth of my research into financial global hubs and my knowledge of the cultural nuances. The second half of the book was designed especially for them. The first part of the book gives the reader a historical perspective to financial services which starts hundreds of years ago in Genoa and brings the reader to the present day, exploring business models, technologies, opportunities and missed opportunities. Essentially, it is like a Fodor’s guide to fintech.
Can you share a particularly memorable case study or example from the book that illustrates a unique challenge and solution?
In the book, we discuss the innovation journey for most banks, and state: “Adapt and evolve new business models/new businesses”. One good example of ‘walking the talk’ is Banque Paribas and how they created genuine innovation for both the ‘build’ and ‘buy’ chains. They really did reinvent banking for themselves by adopting genuine innovation principles, launching accelerators and understanding the challenge/problem statement process, which resulted in them creating, acquiring and deploying solutions to serve both the bank and the user.
“Reinventing Banking and Finance is like a Fodor’s guide to fintech.” –Helene Panzarino
How do you recommend businesses best utilise this book?
Businesses should use this book as a way to first, better understand the historical perspective on banking, then to see how disruption impacted them, and lastly, how competition led to collaboration amongst the fintechs who sought out to disrupt them. The second half of the book shows best in class examples of how it is being done around the world. You are either a student of the topic or a practitioner. It is useful to people across multiple levels and roles – it’s the perfect blend of practical and theoretical in one book.
What are some common misconceptions about banking that you address in the book?
To remember that banking is an evolving landscape. Yes, it’s a highly regulated industry but as an intermediary it must adapt and evolve to remain relevant. Tech is no longer a threat but also, readers are reminded to not get caught up in the FOMO (fear of missing out) but to look for ways to genuinely add value to the ‘service’ in financial services. It is a guide and exemplar of how to understand that genuine innovation is open-ended, it needs collaboration from many stakeholders, but also needs a place to experiment, fail, learn and move forward.
“Adapt and evolve new business models/new businesses.” –Helene Panzarino
How has the landscape of business funding changed since the book was published in 2020, and what updates would you consider important today?
Today, it is much easier to connect with investors, plus the fintech industry has really given the average business owner a wide breadth of options for funding. Whether its equity funding to launch and grow, debt for global expansion, or working capital finance, the information and help is available for consideration.
Can you elaborate on why you say that ‘it takes a village’ to be successfully innovative in both products and services to everyone’s benefit?
The financial services – fintech ecosystem went from competition, to co-petition, to collaboration in just over a decade. Banks need agility and innovation, whereas fintechs need customers and funding. Truly symbiotic. It’s not just about your internal team, joining an accelerator or incubator, leveraging a trade body, or taking part in a sandbox, it takes a concerted effort, or a global village, to build a successful product or service in banking or fintech. What we tried to demonstrate in the book are examples of banks looking beyond their internal process, and innovating when they saw disruption by partnering in both build and buy.
What are some key differences between banking in the UK versus abroad, as discussed in your book?
There are particular nuances for each country, and it is fundamental to do due diligence on tax, legal and regulatory differences. Never, ever assume two places have the same financial rules. The UK takes a principles-based regulatory approach vs a rules-based in the US, for example, and as such the launch and licensing timescale, as an example, is very different. From a funding perspective, the UK is still finding its way to the ultra high growth funding landscape that you might see in the US which comes with different demands on founders and businesses. It is best to also do your research, talk to others in the ecosystem and consider your options carefully.
What advice do you have for entrepreneurs who are hesitant or fearful about seeking external funding?
Fundamentally, have a business model that is viable and adaptable, plan your funding needs, stay on top of your figures, investigate and research your options, and don’t forget to look at how you can increase profitable sales in your current operation as well as the fact that you do need to sell! You can only get to the end result if you take it one step at a time. Research potential funding options, develop relationships – this does take time, and ensure that its the right funding partner and the right amount at the right time. You can always say no if the funding opportunity feels wrong.
Can you share any insights or feedback you’ve received from readers who have
successfully utilised your book’s guidance?
Many people have told me (and have said as such online) that this book is a clever tool that demonstrates how we have gone from ‘primitive’ middle age banking methods to modern-day expectations of digital financial services. Everyone who reads the book agrees that it helps them clearly understand their options when funding a business, which can be overwhelming for many founders, and also understand why the financial landscape is the way it is today.
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