To address the accelerating rate of change in back offices and the banking industry at large, the 1994 American Bankers Association operations conference is focusing on "The Challenges of Technology," and "Dealing With Diversity in the 1990s."
This year's National Operations and Automation Conference, which started Sunday and runs through Wednesday in San Francisco, aims to shed some light on the challenges bankers are facing, as well as the various solutions being brought to the table.
Fred L. Cisewski, director of information services at Atlanta-based Bank South Corp., and chairman of the NOAC planning committee, said bankers are being faced with changes that are "pronounced and profound."
Changes Cited
"In 1900, 85% of the financial market was controlled by banks," he said. "By 2000, 25% will be controlled by banks. There's been a significant drop in market share, and it's changing the nature of the industry."
Bankers are finding that they must redefine the business they are in, and who their competitors are, said Mr. Cisewski. They must also be attuned to regulations and how mergers and acquisitions affecting their service providers will alter banks' cost structures and delivery channels, he said.
In addition, bankers must figure out how to integrate technology in a way that best serves customers.
Broad Spectrum
The ABA is expecting over 2,000 attendees, including community bankers, information technology specialists, and general operations managers from banks of all sizes, as well as equipment and system vendors.
To target various segments of the audience, the conference has been divided into four concurrent tracks: corporate operations, community banks, retail services, and information technology management.
One of the hot topics this year is the new client-server technology the industry is adopting, said Mr. Cisewski. Bankers are confused, he said, because of the many suppliers vying for position, and because there is no underlying management structure in place.
Client-Server Help
To address these issues, a client-server tutorial is scheduled, in which speakers will lay out the requirements for migrating to the new architecture.
"There's a train coming, and bankers have to know how to get on it," said Mr. Cisewski.
Other popular subjects this year are imaging and reengineering, said Mr. Cisewski.
The two main applications for imaging in banking -- check imaging and file folder, or document, imaging -- will be discussed in separate sessions. Check imaging will be featured throughout the corporate operations track. A large session devoted to file imaging will present three case studies, showing how the technology is applied in different banking areas.
Reengineering Emphasis
In various tracks, speakers will address how banks can reengineer to increase efficiency, improve customer service, and reduce cost through technology.
"A lot of technologies require reengineering for banks to get a reasonable rate of return on their investments," said Mr. Cisewski.
Reinforcing the sessions will be displays from more than 400 vendors, so attendees will be able to see multiple solutions, said Mr. Cisewski.
Many of the systems are based on client-server environments, such as the new Treasury Services Evaluation and Review profit management system that will be launched by Treasury Services Corp., Santa Monica, Calif. The system uses relational data base technology, and integrates general ledger data, as well as customer account transaction information.
Treasury Services will also introduce four Windows-based application modules, including balance and control, performance reporting, option adjusted valuation, and budgeting and planning.
Newtrend Corp. will make a major branch automation announcement, what it bills as the first client-server core banking system for the Microsoft Windows NT platform. It is designed for financial institutions of up to $5 billion of assets.
Other Exhibitors
A potpourri of other products will also be exhibited.
Ampersand Corp., the York, Pa., branch automation division of EDS, will unveil the latest version of its Sellstation software, a Windows-based product for cross-selling applications. The new version adds teller and lending applications, plus presentation screens that use full-motion video and sound capabilities. Text and graphics presentations can also be created.
CFI Proservices Inc., Portland, Ore., is introducing Pro Active, a Windows-based software program that simplifies compliance with fair lending and community reinvestment requirements. Starting in July, the company will begin a three-phase, nine-month rollout program. The releases will coincide with the progress of Community Reinvestment Act reform, according to CFI officials.
Microbank Software Inc., New York, and FileNet Corp., Costa Mesa, Calif., are announcing an interface between FileNet's computer-network-based imaging system, WorkFlo, and Microbank's data access and analysis software, Stor/QM. Both products run on Windows.
The interface enables document images, such as invoice and check images, and account activity reports to be stored in the same optical jukebox. The images and reports can be integrated, and linked with a corresponding report or image.
The alliance allows financial institutions to go to a single source for a complete information management system. The complete software package also provides data analysis and workflow capabilities.
Smart Cards, Too
In addition to personal computer networking, imaging, and reengineering, conference sessions will cover a variety of other topics, including smart cards, electronic check presentment, electronic banking, and retail delivery systems.
Martin A. Stein, vice chairman of Bank of America, based in San Francisco, is slated to give the keynote address Monday.
Mr. Cisewski said that between the product demonstrations, educational sessions, and general networking, attendees are bound to get some ideas as to products they can use, improvements they can make, and partnerships they can form.
"If you go to the conference and come away with one good idea, it will have been worth it."
