[MUSIC PLAYING]
THOMAS KURIAN: Hello Google Cloud
has been helping leaders in financial services.
Banks, capital markets, and insurance companies
transformed their business for a number of years.
We see that trend accelerating as financial institutions
shift their business to digital.
And the pandemic has only accelerated this trend.
We'd like to take a few minutes today
to share our perspective on how Google Cloud can
help financial services institutions.
And now, I'd like to hand it off to Yolande Piazza,
who has many years of work in financial services
and who recently joined us to lead our financial services
work in Google Cloud.
She will interview Melanie Frank from Capital One,
an important customer of ours, on their experience.
YOLONDE PIAZZA: Hi, Melanie.
Thank you for joining us at Google Cloud Next OnAir.
We always look forward to speaking with our customers
about how they are transforming and innovating to drive impact
across their companies.
So let's dive in.
So Melanie, what do you see as the biggest challenges facing
financial services and, more specifically, Capital One?
MELANIE FRANK: Great question, Yolande.
And thanks for having me.
I think, in financial services, one of our biggest challenges,
quite frankly, is legacy technology, right?
Older technologies tend to rely on infrequent branch
processing.
And they're just really unable to provide our customers
with those realtime and intelligent experiences
that they expect.
Luckily, for me, getting to work at Capital One,
we recognized this early on.
And we've actually been on a seven-year digital
transformation journey that comprehensively reimagined
our talent, our culture, how we work,
and the technology infrastructure behind it.
YOLONDE PIAZZA: So given the current environment,
financial services companies face continued pressures
to transform.
So can you tell us about Capital One's experience
with folks working from home and how it has impacted
the overall productivity?
MELANIE FRANK: Yeah, absolutely.
I think super lucky for us that journey and that investment
that we've been making to modernize
our technology, right?
It's continuous.
And it really paid off.
We've had a vision for quite some time
to enable our people to work from anywhere
on any device at any time.
And that really paid off as everyone just took off
from the offices, unable to work from them,
and was working completely in a distributed environment.
And so investments that we had made in our platforms,
in our VPN capabilities, in audio and video conferencing
solutions, and in our collaboration suite like G
Suite really paid off.
YOLONDE PIAZZA: Great.
So if you can tell us a little bit
about why you chose G Suite.
MELANIE FRANK: Yes.
For very specific reasons, first and foremost,
it goes back to the vision of any device, anytime.
So our prior solutions just had very inconsistent experiences
between PC, Mac, mobile, tablet.
And we really need to be able to seamlessly switch
between those devices as we work together.
So that consistency and device experience was one.
The second was on the collaboration experience itself
and that realtime collaboration experiences, the ability
for multiple people to edit and collaborate and share
content within a document at the same time.
You go back to that COVID scenario, right?
That has really, really just become even more important
in the current work environment.
The third thing was we had an eye towards what
our talent, and our people, and the future talent needed
and wanted from a toolset.
So while we have a very large enterprise that was really
fairly well entrenched with our old tool,
we knew that G Suite was the preferred
and is the preferred choice for the majority of the generations
now and upcoming.
And lastly, we knew that we would
benefit quite a bit from the power of ongoing innovation
that Google brings to G Suite as a product.
YOLONDE PIAZZA: So talk to me a little bit about the migration
to G Suite.
I'm sure this must have been a major operational shift
for the associates.
Can you share some best practices
for how you implemented change, management,
and the lessons learned?
MELANIE FRANK: Yeah, I mean, I think, first,
it's to acknowledge that you have
a lot of muscle memory built up in your enterprise,
depending on how long it's existed and how big it is.
And that is the main thing to tackle here.
And so while our biggest learning is that you cannot
actually overinvest in change management.
So if you think you've invested enough, you have not.
Do more.
Do more training.
Do more communicating.
Do more everything, right?
We engaged early adopters within our teams, thousands of them,
who were going to adopt the tools easier
anyway because they were excited, right?
That's what the early adopters do.
We used them to help understand how
it would affect the enterprise.
And then, as some of our extended change management
team as we went live for the broader enterprise,
we invested heavily in the administrative professional
community as they had a major change curve
as they were trying to be just as productive on day one of G
Suite as they were the day before on the old tools.
And calendaring is a very different experience there.
Lastly, I think it's that executive population, right?
You really want and need to have those
as sponsors of this type of a change for their organizations.
And acknowledging that they work very differently
from the majority of their team and they may not actually
see the full benefits to the collaboration
that the rest of their team does,
and so how you can target the things that they will see,
they will benefit from, help them understand
what their org gains from it, given that they're not
necessarily collaborating on content
with each other in the same way that the rest
of the organization is.
YOLONDE PIAZZA: Melanie, thank you
for sharing Capital One's journey with us.
Very much appreciated.
MELANIE FRANK: Thanks for having me.
YOLONDE PIAZZA: Thank you for watching
my Q&A with Melanie Frank, SVP of Technology at Capital One.
What a great story of collaboration and innovation.
I'm excited to be here with you at this incredible digital
event.
Financial service companies face continued pressure
in the race for business transformation.
Now more than ever, the pace is set by technology disruption,
shifting customer expectations and regulatory developments.
In many ways, recent experiences have only accelerated the need
to digitally transform.
Financial services organizations have unique requirements
when it comes to security policies and standards
around data residency, identity and access control,
as well as regulatory and compliance obligations for risk
management.
Cloud technology presents significant opportunities
to help financial institutions standardize
in multi-cloud or hybrid environments,
streamline tasks related to compliance and governance,
improve visibility through the use of analytics,
and minimize complexity with modern collaboration tools.
Google Cloud is committed to helping financial institutions
adopt cloud technology and digitalize for the future.
We see three main transformation opportunities
specific to financial services.
First, banks can reimagine customer relationships
by using data analytics and AI to get a 360-degree view
of their customers, launch more tailored offerings,
and provide more helpful services.
Second, financial institutions can transform and modernize
data use while machine learning.
And finally, firms can improve operational efficiency
across their businesses not only to automate low-touch manual
tasks to tackle an ever-growing amount and complexity of data
but also mitigate risk.
Operational efficiency can also allow their employees
to focus on more strategic and rewarding business needs.
And Google Cloud can be your partner in this journey
of transformation.
Now, let's talk about how we can do it.
We believe it's important for customers
to have the choice to run their operations
in their proprietary data centers in our cloud
or in multiple clouds.
We also have a data center migration framework
that many customers have used for rapid migration
to the cloud to run SAP, VMware, and many other workloads
seamlessly on our cloud.
We have regions to serve our customers across the globe.
This geographic scale and distribution
of our infrastructure is critical to support
our customers redundancy and operational resilience needs
and address concerns about a single point of failure.
Google Cloud has partnered with Oracle, SAP, IBM, and others
to help modernize financial institutions' legacy systems.
Our data and analytics capabilities
can help with data management needs
through data warehousing, data lake, streaming analytics
solutions.
Additionally, Looker, our latest enterprise data platform
acquisition provides data science models and pipelines
and natural language query interface tools.
Financial services interactions are based on trust.
And security and privacy are absolutely critical.
Currently at Google Cloud, We're focusing on three key areas
when it comes to security and privacy--
confidential computing to encrypt customer data
during processing everywhere, data privacy and protection,
threat visibility and protection.
You'll hear more about these three topics
in our breakout sessions from JPMorgan Chase, Deutsche
Boerse, and Credit Suisse Labs.
Since security and privacy are top
of mind for many financial services executives,
I'd like to highlight how we engineer our products
and solutions with security in mind by default.
First and foremost, Google Cloud never
sells customers' data to third parties.
Second, your data is encrypted at rest and in transit
by default. Third, our zero-trust security model
built upon eight years of building zero-trust networks
at Google combined with ideas and best practices
from the community.
Finally, we are committed to providing customers
the right security and operational controls
to protect their data and systems in compliance
with regulatory requirements.
We're excited that so many financial services
firms are leveraging cloud-based technologies now
more than ever.
From electronic tip trading to everyday banking,
financial services are being enhanced for what's
next on Google Cloud.
Retail banks are adopting customer-centric attitudes
and transforming everyday banking experiences
so that teams can collaborate more effectively
and their customers get better offerings.
Our offerings help banks in three ways.
They can accelerate omnichannel banking
from personalized digital banking to helpful contact
centers using AI digital assistants,
to our most recent PPP AI-lending solution
that helps lenders process Payment Protection Program
loans quickly and efficiently, leveraging AI.
Google Cloud offerings can also transform data and analytics
so that banks have all the power they
need to calculate risk, liquidity,
capital requirements, and more.
With Google Cloud, banks can modernize
core operations, which includes mainframe optimization,
and hosting core banking systems, payment gateways,
and open banking APIs.
Major capital markets firms are also
discovering new opportunities despite market Uncertainty
Google Cloud can help in three areas.
Our new data share platform can bring
the entire capital markets' ecosystem exchanges,
market data publishers, aggregators, and consumers
to an exchange, letting them monetize market data at scale
securely and easily.
Hedge funds and asset managers can
transform quantitative research and trading
with high-performance computing and ML capabilities Trading
institutions can use Google Cloud to speed up
analytic processes 10X from market risk
calculations to portfolio modeling,
derivative pricing, and regulatory reporting using
numerical simulation, hyperscale compute, and ML tools.
Google Cloud can also help modernize core operations
so firms can optimize the costs and processes, creating more
resilient operating models.
And insurance companies are leveraging
Google Cloud solution across these three areas--
to transform customer relationships
from smart, virtual agents to policy and claims automation
for more streamlined and faster experiences, to advanced stats
and analytics, especially when it
comes to 360-customer analytics for more tailored offering
and actuarial simulation with AI to mitigate risk and losses,
to modernize their core operations,
covering the entire stack from infrastructure, applications,
data centers, and others.
Here is a sampling of the variety of financial services
customers who are currently partnering with Google Cloud
to transform their businesses.
At Google Cloud, we support customers existing IT
investments by working closely with our expanding
ecosystem of partners, technology partners, service
partners, and ISVs.
And together, we can help customers successfully solve
their most difficult problems.
These are the customers that are already
innovating with Google Cloud.
As you can see, Google Cloud can help financial services
companies on their transformation journeys
by enabling them to reimagine customer relationships
through data analytics and AI, by transforming and modernizing
data use with machine learning, and improving
operational efficiency across business lines
by automating low touch, manual tasks, and mitigating risk.
Let's take a look at what another one
of our amazing customers is saying.
I invite you to launch this short Q&A with Google Cloud CEO
Thomas Kurian and Sarthak Pattanaik, CIO of Government
Securities Clearance and Collateral
from the Bank of New York Mellon.
THOMAS KURIAN: Sarthak, It's wonderful to have you
at Cloud Next.
Here at Google, we're always looking
for the big ideas that have the ability
to drive transformational change and impact.
Sarthak, can you talk about how important
innovation is for BNY Mellon?
SARTHAK PATTANAIK: Thank you, TK.
BNY Mellon's purpose is to forward institutions
and individuals to succeed in the global economy.
We are a global systemically important financial
institution.
And the role we play in the markets,
it's critical that we build a modern, resilient,
and digital-first platform.
In a fast moving world, innovation
is central to everything that we do.
We have a culture of being nimble, encouraging curiosity,
diversity of thoughts, and experimentation.
Our collaboration with our clients,
partnerships with fintechs, big techs, our access to data
leads us to reimagine and build unique products and services.
THOMAS KURIAN: Take us back to the beginning
of your cloud journey.
When did it start?
How has it evolved?
SARTHAK PATTANAIK: We have a bimodal approach
to our technology strategy.
Mode 1, over the last couple of years,
we have made significant investments
in decomposing and modernizing our transaction platforms,
running in a best-in-class, secured on-prem infrastructure.
In parallel, on mode 2, we are investing in cloud technology
to be the basis of our innovation engine.
The Cloud platform allows us to focus our digital capital
on experimentation.
We can then leverage the tremendous amount
of broad, granular, and historical data
to quickly to start business ideas.
We have built a great data engineering team.
Coupled with the deep subject matter experts,
it has allowed us to engage with our clients
and build market leading solutions.
THOMAS KURIAN: Can you give us some examples
of how you're using our machine learning and data
solutions to create measurable business impact?
SARTHAK PATTANAIK: The US treasury market
is the largest and the most liquid market in the world.
We are the sole provider of clearance and settlement
in this market.
On a typical day, we settle $8.6 trillion.
We see that about 1% to 2% of the transactions
fail on a daily basis.
This failure impacts our clients in terms of liquidity shortage,
additional capital charges, and transaction fee charges
to our clients.
We partnered with Google, leveraging Google Cloud
Platform to see if we can predict
the probability of a transaction fail
90 minutes before the market close,
giving a client an opportunity to resolve the spending
transactions.
THOMAS KURIAN: Why did you choose
Google Cloud as your partner for data-driven innovation?
SARTHAK PATTANAIK: The democratization
of access to data and insights is a game changer for us.
BNY Mellon has invested heavily in becoming
a data-driven organization to put data
in the hands of all decision makers.
This means lowering the barriers of access of data
beyond data engineers to software developers, business
analysts, production support, product owners,
and client-facing teams.
Google is a data company.
The rigor around the data process
closely aligns with how we at BNY Mellon
think about data as an asset, such as data acquisition,
profiling, organization, controls, lineage,
and version management.
In addition, what we found most impressive
is the culture of engineering at Google,
which aligns with BNY Mellon's engineering-first culture,
and the direct collaboration between the Google
engineers and the BNY Mellon engineers
to solve a business problem.
THOMAS KURIAN: Thank you, Sarthak.
That's a wonderful story on how our platform is helping
a leading financial institution, BNY Mellon,
to get better insights from their data
and to transform an enormously important financial market
globally.
YOLONDE PIAZZA: Thanks for watching,
and I hope that you have a chance
to enjoy other sessions on Next OnAir.