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At a time when large-scale technology implementations have become quite scarce, Finacle, the universal banking solution business of Infosys has gone modular to attract newer customers and open up newer avenues especially in developed markets.
That means, if the banks that are sitting on huge legacy are hesitating to go for a complete revamp of their core platform due to financial constraint, can opt for selected banking applications based on their need. For example, instead of going for the large core banking implementation, a bank can use advanced Finacle applications such as deposits, mutual fund distribution or customer information system among others on top of their existing core platform.
According to Haragopal Mangipudi, Sr. VP and Global Head of Infosys Finacle, this will be immensely helpful to banks that are not able to leapfrog in technology transformation, owing to huge cost associated with the implementation of the entire core banking system. So in a way, Finacle 11 Enterprise (Finacle 11E) which Infosys launched recently has opened floodgate of opportunities in developed markets like North America where it has not been as successful as it has been in other regions.
“In this new normal, banks are under severe pressure of business complexity owing to changing customer preferences, compliance requirements and operational challenges. Finacle 11E simplifies their transformation journey. They don’t need to go for a big bang implementation by replacing their core. Instead they can go for a progressive modernization wherein they can implement one module or component at a time, and still enjoy the benefits of the transformation,” said Mangipudi.
| ‘Finacle’ of success |
| * Finacle powers 168 banks across 81 countries |
| * Serves over 447 mn bank accounts; 359 mn customers globally |
| * Runs in 50,000 bank branches across world |
| * 14% of the global banked population are serviced by Finacle |
| * 44% of banks leveraging Finacle are among the world’s top 1,000 |
“In a way, it is like to get the elephant to the door,” he added.
Finacle 11E is a reincarnation of its previous version of Finacle core banking solution. While it is a progression from the previous version, many of the newer applications that have been added in the platform enables banking organisations to go beyond their normal banking business. Since Finacle 11E has been elevated to the enterprise level, it will give the banks a view across their mutual funds, credit cards and across various other lines of businesses as well, according to the company.
“With this, the overall market opportunities for us will be wider as well as deeper. It widens our solution footprint and deepens our relationship with the clients as we will be able to cross-sale into the existing markets.
Infosys Finacle which clocked revenues of close to $300 million today derives around 45 per cent of the revenues from Asia Pacific region and a similar per cent from Europe, Middle East & Africa (EMEA) region. The rest of the revenues come from North America where it competes with global players like Temenos, Fiserv and Fidelity Information Services (FIS) apart from traditional players like Oracle and SAP.
Mangipudi said that while the company is expecting Finacle 11E to expand the adoption and penetration in the North American region, it would reflect on the revenues over a period of time.
In the quarter ended June 30, 2013, Finacle reported 15 deal wins globally including 7 in the Asia Pacific region and 8 in EMEA region. Overall, 168 banks across 81 countries belonging to 6 continents are using Finacle banking solutions .
