Organisations are finding that the ways to do work and conduct business are evolving rapidly. It is evident that we cannot use the perspectives from the past as a guide to the future. As a consequence both leaders and employees are discovering and adapting both their work and their expectations from it. In general, while job security concerns still command a big mindshare, the simpler productivity measures are evolving to more nuanced wellness measures. This puts demands on the CHRO and the leadership team to think about company, customer and people strategy as one holistic way of working and doing business.
Organisations will have to re-think their people and technology to evolve their Future of Work policies and strategise their Future of Talent. There are multiple dimensions that will require attention.
Hybrid is Becoming Mainstream
It is clear that hybrid workplaces are here to stay. Ecosystm research finds that in 2021 BFSI organisations will use more collaboration tools and platforms, and virtual meetings (Figure 1). Nearly 40% expect more employees to work from home, but only about a quarter of organisations are looking to reduce their physical workspaces. Organisations will give more choice to employees in the location of their work – and employees will choose to work from where they are more productive. The Hybrid model will be more mainstream than it has been in the last few months.
Companies are coming to terms with the fact that there is no single answer to operating in the new world. Experimentation and learnings are continuously captured to create the right workforce and workplace model that works best. Agility both in terms of being able to undersand the market as well as quickly adapt is becoming quite important. Thus being able to use different models and ways of working at the same time is the new norm.
Technology and Talent are Core
Talent and tech are the two core pillars that companies need to look at to be successful against their competition. It is becoming imperative to create synergy between the two to deliver a superior value proposition to customers. Companies that are able to bring the customer and employee experience journeys together will be able to create better value. HR tech stacks need to evolve to be more deliberate in the way they link the employee experience, customer experience, and the culture of the organisation. That’s how the Employee Value Proposition (EVP) comes to life on a day-to-day basis to the employers. With evolving work models, the tech stack is a key EVP pillar.
Governments will also need to partner with industry to make such talent available. Singapore is rolling out a new “Tech.Pass” to support the entry of up to 500 proven founders, leaders and experts from top tech companies into Singapore. Its an extension of the Tech@SG program launched in 2019, to provide fast-growing companies greater assurance and access to the talent they need. The EDB will administer the pass, supported by the Ministry of Manpower.
Attracting the Right Talent
Talent has always been difficult to find. Even with globalisation, significant investment of time and resources is needed to find and relocate talent to the right geography. In many instances this was not possible given the preferences of the candidates and/or the hiring managers. COVID-19 has changed this drastically. Remote working and distributed teams have become acceptable. With limitations on immigration and travel for work, there is a lot more openness to finding and hiring talent from outside the traditional talent pool.
However it is not as simple as it seems. The cost per applicant (CPA) – the cost to convert a job seeker to a job applicant – had been averaging US$11-12 throughout 2019 according to recruiting benchmark data from programmatic recruitment advertising provider, Appcast. But, the impact of COVID-19 saw the CPA reach US$19 in June – a 60% increase. I expect that finding right talent is going to be a “needle in a haystack” issue. But this is only one side of the coin – the other aspect is that the talent profile needed to be successful in roles that are all remote or hybrid is also significantly different from what it was before. Companies need to pay special attention to what kind of people they would like to hire in these new roles. Without this due consideration it is very likely that there would be difficulty in on-boarding and making these new hires successful within the organisation.
Automation Augmentation and Skills
The pace at which companies are choosing to automate or apply AI is increasing. This is changing the work patterns and job requirements for many roles within the industry. According to the BCG China AI study on the financial sector 23% of the roles will be replaced by AI by 2027. The roles that will not be replaced will need a higher degree of soft skills, critical thinking and creativity. However, automation is not the endgame. Firms that go ahead with automation without considering the implications on the business process, and the skills and roles it impacts will end up disrupting the business and customer experience. Firms will have to really design their customer journeys, their business processes along with roles and capabilities needed. Job redesign and reskilling will be key to ensuring a great customer experience
Analytics is Inadequate Without the Right Culture
Data-driven decision-making as well as modelling is known to add value to business. We have great examples of analytics and data modelling being used successfully in Attrition, Recruitment, Talent Analytics, Engagement and Employee Experience. The next evolution is already underway with advanced analytics, sentiment analysis, organisation network analysis and natural language processing (NLP) being used to draw better insights and make people strategies predictive. Being able to use effective data models to predict and and draw insights will be a key success factor for leadership teams. Data and bots do not drive engagement and alignment to purpose – leaders do. Working to promote transparency of data insights and decisions, for faster response, to champion diversity, and give everyone a voice through inclusion will lead to better co-creation, faster innovation and an overall market agility.
Creating a Synergy
We are seeing a number of resets to what we used to know, believe and think about the ways of working. It is a good time to rethink what we believe about the customer, business talent and tech. Just like customer experience is not just about good sales skills or customer service – the employee experience and role of Talent is also evolving rapidly. As companies experiment with work models, technology and work environment, there will a need to constantly recalibrate business models, job roles, job technology and skills. With this will come the challenge of melding the pieces together within the context of the entire business without falling into the trap of siloed thinking. Only by bringing together businesses processes, talent, capability evolution, culture and digital platforms together as one coherent ecosystem can firms create a winning formula to create a competitive edge.
Singapore FinTech Festival 2020: Talent Summit
For more insights, attend the Singapore FinTech Festival 2020: Infrastructure Summit which will cover topics on Founders success and failure stories, pandemic impact on founders and talent development, upskilling and reskilling for the future of work.

The COVID-19 pandemic is debilitating industries, and economies around the world are facing the prospect of a recession. Malaysia, like many other countries, is focussing on front-line medical efforts and security services to save lives and contain the deadly, rapidly spreading virus. Essential services such as food, water and energy supply, Telecommunications, Banking, eCommerce and logistics are working overtime in this new order to support basic functions. The measures put in place to mitigate the spread of the virus are obviously inhibiting other economic activities.
Until enough people develop an immunity to the virus – either through a vaccine or naturally – it is hard to envisage lifting these movement control measures and return to a pre COVID-19 state. Malaysia has a total of 4,987 positive cases, the highest in Southeast Asia and a death toll of 82 as of today. The number of the population tested remains low at 81,730 as reported by the Ministry of Health, mainly due to limited testing resources.
The biggest challenge is that this epidemic is unprecedented, and it is unclear when we can put this situation behind us. The Malaysian Industry of Economic Research (MIER) has predicted about 2.4 million job losses as well as the GDP to reduce by 2.9 percent in 2020. Public debt rise coupled by reduced income due to lower crude oil, natural gas and palm oil prices and demand, will hit the Government coffers hard. Interest rates are expected to be low through the current lockdown stage right up to the recovery stage to help support the economic recovery.
Government Initiatives for the Economy
Like many countries, Malaysia has announced economic stimulus packages to ensure help for the poor and needy, that workers do not lose their jobs and that companies avoid bankruptcy – albeit with an inevitably reduced output – to keep the economy functioning. The stimulus offered is short-term covering a few months, and more assistance will be required should the epidemic linger and for the recovery period.
The Government announced a stimulus package on the 27th February worth RM20 billion (US$4.5 billion) and another one on the 27th March worth RM230 billion (US$52.6 billion). The packages comprise of direct fiscal injection of RM25 billion (US$5.7 billion) as well as loan deferments, one-off cash assistance, credit facilities and rebates. The focus of the stimulus packages is to assist people in the lower-income (B40) and mid-income (M40) groups, aid for employees in the private sector and for traders during the movement control order (MCO) which is to run until 14th April 2020.
An additional COVID-19 stimulus package worth RM10 billion (US$2.2 billion) was announced on the 6th April to address the challenges of the small and medium enterprises (SMEs) that employ two-thirds of the workforce and contribute to 40 percent of the GDP. The wage subsidy is to benefit 4.8 million workers earning less than RM4,000 (US$915) per month. In addition, SMEs will have access to interest free loans of RM200 million (US$45.7 million) from the National Entrepreneur Group Economic Fund and a further RM500 million (US$114.4 million) via Bank Simpanan Nasional. The Government allowed 750,000 SMEs to postpone income tax payment for three months from 1st April – companies in the tourism sector are allowed to postpone income tax for six months.
Impact on Industries
Banking & Financial Services. Banking institutions will support the Government’s stimulus initiatives by providing a six months’ loan repayment moratorium, corporate loan restructuring and conversion of credit card balance to long term loans. Banking and financial institutions are focussing on business continuity planning to ensure minimal disruption to their business and customer support. Many key business processes are now being put to test in-home working with scaled-down office operations. Digital Transformation (DX) has been accelerated as a result.
Contactless payments have seen a boost and many financial institutions have increased payment limits for such payments. Early last month the World Health Organisation (WHO) and the Bank of England had issued advisories against the use of banknotes, as it could increase the chances of the virus spread, instead recommending the use of contactless payment where possible. This might give a boost to the use of Cryptocurrency and cross-border payment services in Malaysia. In 2019, cryptocurrency start-ups received an estimated 12 percent of Fintech funding – but, only three cryptocurrency exchanges were given conditional approval by the Securities Commission. The current situation may well see that changing.
Insurance. The Prime Minister announced that the Insurance industry is to create a fund of RM8 million (US$1.8 million) to cover the cost of RM300 (US$68.6) per policyholder to undergo COVID-19 tests. In addition to this, insurance companies are to offer a 3-month suspension on premiums for policyholders whose income is affected by the pandemic.
Agriculture. Even prior to COVID-19, there has been a brewing narrative against globalisation, favouring a nationalistic emphasis as reflected globally by Brexit and the China-US trade wars tension. Food security is key, and COVID-19 has further highlighted its importance with priorities shifting to local requirements over exports. The Government intends to distribute a food security fund of RM1 billion (US$228.8 million) to increase the local production of farms, fisheries and livestock. According to the Department of Statistics, Malaysia’s food and beverage imports amounted to RM54 billion (US$12.3 billion) in 2018 while food exports stood at RM35 billion (US$8.0 billion) resulting in a trade deficit of RM18.8 billion (US$4.3 billion). As countries focus on internal supplies instead of exports in the current scenario, Malaysia needs to address this risk by producing more locally.
Impact on Industry Transformation
Amidst the gloomy outlook, there are plenty of opportunities, especially to the country’s Digital Economy. Malaysia has been committed to the Digital Economy vision with the Malaysia Digital Economy Corporation (MDEC) estimating that the country’s Digital Economy is worth US$3 trillion. The COVID-19 crisis may well be the key driver in achieving that vision. DX efforts are being accelerated with businesses adopting more cloud and mobility solutions. More workloads have to be digitalised and there is greater adoption of Cloud for storage and services. AWS, Microsoft Azure and Google Cloud will be beneficiaries in this area.
I have already spoken about the Financial Services industry – other industries are also getting transformed out of a necessity to survive this crisis. The Education sector has seen an increase in access to educational content and traffic to education portals and blogs. Some schools have implemented online lessons and group chats between teachers, students and parents to ensure education continues through this pandemic. Many universities have used their e-learning platforms to move lectures online.
The Telecommunications industry is being appreciated more than ever and it is the backbone to normal life, in both a social and business sense. The Government’s stimulus package includes offers of free internet to all customers until the MCO is over at RM600 million (US$137.3 million) and an investment of about RM400 million (US$91.5 million) to improve coverage and quality of service. Leading operators Maxis, Digi, Celcom and U Mobile have offered 1GB free data during the MCO period. The Axiata Group recently announced a cash fund of RM150 million (US$34.3 million) to assist micro-SMEs within the ecosystem providing eCommerce, digital payments and related services.
Video conferencing traffic is on the rise as it is the next best thing to face-to-face meetings. Microsoft Teams and Zoom have been the biggest winners so far. The home working trend should continue in the recovery stage and beyond, due to improvements in the telecommunications infrastructure and the impending rollout of 5G.
The eCommerce sector should see a major improvement in Malaysia with physical channels to the market being suspended. Malaysians have not embraced eCommerce like mature economies have, and it has significant room for improvement. Development of the SME sector and eCommerce are twin focus areas for the Digital Economy vision. Statista reports that the average Malaysian eCommerce shopper spent just US$159 on online consumer goods purchases in 2018, considerably lower than the global average of US$634. There is huge opportunity to provide for necessities such as online grocery, food and delivery of goods. As a consequence, the Transport & Logistics sector will have to adapt their business operations in order to ride this wave successfully.
Video streaming and gaming has also seen an increase in consumption in these times as they provide for entertainment for millions stuck at home. Netflix, YouTube, Microsoft Xbox and PlayStation are among the winners in this sector. YouTube provides for a primary news source and commentary on the epidemic for many. There provides a tremendous opportunity for both telecom operators and content providers to increase their number of services in this area.
Malaysia, like all other countries, will have to ride out this wave. It has made a positive step in the direction with the stimulus packages, especially for the SME sector. How well the country rides this wave out will depend on how targeted the future stimulus packages are and how fast industries can transform to handle the new world order that will emerge after the COVID-19 crisis.
AI is powering products, processes, strategies and customer experience in the Banking industry.
The banking industry is all geared up to embrace Artificial Intelligence (AI), to address its business requirements. In general, banks are struggling to implement smart services within their compliance framework, and have an incomplete view of their customer needs from their legacy systems. However, the industry continues to be reliant on legacy systems, largely because of the involvement of too many complex platforms, technologies, and systems which make migration or integration cumbersome.
Meanwhile, modern Digital Banks are aligning their services to customer needs by embedding AI and machine learning within their existing systems. The banking industry’s experimentation with AI is opening new opportunities for improving customer experience (CX).
“We are not too far away from a day where traditional enterprise applications are no longer relevant. The purpose of those traditional systems was to simplify, codify, and automate business and customer processes. But in the mid-term future, we will have a time where the entire process is intelligent – where the system/application creates the best business process for the customer on the fly”, says Tim Sheedy, Principal Advisor, Ecosystm.
Elevating CX and Security
Banks are being transformed through AI adoption, especially in areas such as process automation, cyber security (especially in threat analysis and intelligence, and fraud/transaction security) and better information sharing systems for both their corporate and retail customers.
Business Solutions being Addressed by AI in Banking
Customer Experience
Customer Service is one of the core banking applications. Adoption of technologies such as virtual assistants and natural language processing (NLP) techniques is redefining CX in the banking industry.
“With emerging technologies setting a new bar for personalisation and value-add, banks looking to stay ahead of the curve simply cannot afford to ignore them,” says Jannat Maqbool, Principal Advisor, Ecosystm.
Personalised financial advice is another area where banks are taking advantage of AI applications. While it might be a perception that AI will reduce the human touch when it comes to CX, in reality, it provides more accurate and timely assistance. For instance, Bank of America has built an AI virtual assistant, “Erica” which actively assists 25 million clients on its mobile platform. Erica searches for past transactions and informs customers on their credit scores and connects with them to provide analytics and information on their account.
Marketing Automation
As profit margins decrease in the Banking sector, and Fintech technologies become more mainstream, banks need to ramp up their marketing initiatives, to remain competitive. AI is helping banks to optimise their marketing dollars. Machine learning algorithms can analyse customers’ entire banking journey involving interactions, transactions, location history, and usage patterns to develop insights and make marketing decisions with unprecedented accuracy. Decisions on a range of marketing initiatives across product improvement, new products and services offerings, and targeted marketing keeping in view customers’ financial goals will be automated. This will impact the profit margin as sales cycles shorten, and customers banking journeys become more satisfying.
Process Automation
There are certain functions in banks which require a lot of manual labour such as billing, generation of reports, account opening operations, KYC, etc. AI is transforming the banking industry with data-driven processes and decision making to automate tasks such as billings, credit scoring, compliance reports and so on. This not only reduces the dependence on tedious manual processes but also creates mechanisms to reduce errors. These errors not only make the organisation less efficient but also has financial ramifications. UBS, as an example, has introduced robots to its workforce, mainly at the back offices, designed to execute more manual and repetitive tasks. This essentially means meeting the right tasks with more speed and accuracy.
Fraud Management
AI improves with data and learns behavioural patterns. Banks are utilising this data or claims management and fraud detection. The AI platform evaluates on certain parameters such as when and how a customer typically accesses services and manage their money – more importantly, how they do not. They are designed to flag transactions with missing information and can alert the bank staff to irregular transactions and suspicious activities to prevent fraud. Increasingly this is evolving a chain of an automated process, without the involvement of banking staff or customer complaints.
Banks have a difficult job delivering better service while remaining compliant, and AI-driven AML and KYC initiatives, helps prevent fraud, and flag suspicious activities such as money laundering.
Market Trends
Current Focus on AI – The banking industry’s focus on customer service and automating manual processes is reflected in the top AI solutions that they are currently adopting. Chatbots and virtual assistants are being improved through natural language generation (NLG) and speech analytics capabilities. Process automation through RPA is being integrated into the organisations’ digital journeys due to its relative ease of deployment and measurable ROI.
Current & Planned Adoption of AI Solutions in Banking
Future Focus on AI – Banks will continue to focus on CX and strengthening the capabilities of their customer service team through AI. Niche solutions such as facial recognition will also improve their front-end operations, especially in customer identity authentication. Banks will also go beyond customer management to asset management, with AI-enabled IoT systems.
What’s Next?
AI is fast evolving and there are some excellent opportunities for banks to explore on what AI has to offer. Banks are working on feeding data into AI systems with advanced algorithms to better understand their customers and improve their services. Banks should focus on getting quality inputs on inquiries, interactions, transactions or another way that can collect insights.
Consumers are looking for operations and systems that are simple to operate and directed towards them. The greatest potential for AI in banking is to deliver personalised and automated services to consumers in a cost-effective and efficient way.
AI is allowing banks to do quicker operations at much lower cost, what remains to be seen is how banks further leverage AI to extend its products and services offerings.