Employee wellness is all about ensuring staff are happy and healthy in and out of work. Mental health-related presenteeism costs employers up to three times the cost of mental health-related absence so it’s more important than ever for businesses to take action and take greater responsibility for the wellbeing of employees.

It’s undoubtedly a win-win for both parties as employees are more likely to work longer and be more productive when they are happy and healthy.

Alongside this, it is emerging that employees are calling out for greater support at work, with 8 in 10 saying they do not believe their employer does enough to support their physical and mental wellbeing.

Richard Holmes, Director of Wellbeing at Westfield Health, advises what actions you can take in your business to improve wellness.

1. Encourage staff to get out the office

“Not only is eating at your desk bad for your body, it’s bad for your work and your mental health. Getting fresh air and a change of scenery will mean employees return to their desks feeling recharged and less stressed. It is also a good way to encourage employees to get out the office and exercise. You can also help decrease the risk of depression and poor mental health by suggesting a walking meeting every now and again.”

2. Approachable line managers

“The first point of call sits with line managers. As well as helping employees achieve their work-related goals, a key part of a line manager’s role is to be an approachable mentor, a good listener and to be understanding. This communication between an employee and their line manager can play a massive part in their mental wellbeing at work and therefore reduce mental health related absences.”

3. Destigmatise mental health

“In 2016/17, there were over half a million (526,000) cases of work related stress, depression or anxiety, and this accounted for 40% of all work-related ill health¹. A ‘mental health day’ gives staff the ability to treat a mental health absence with the same approach as a physical sickness day. This will reduce the stigma around mental health and encourage staff to talk openly about their mental wellbeing. It is also a good way to monitor how people are feeling, for instance if someone is absent as a result of their mental health, something can be put in place to monitor and support them.”

4. Keep it fun

“Implement schemes and competitions in the workplace as an incentive for staff to get involved. Competitions can include sports days, quizzes or a step challenge and can either be judged individually or in teams. Introduce prizes to build competitiveness such as a free massage, healthy food vouchers or a gym subscription, resulting in a happier, healthier lifestyle.”

5. Flexible working

“The traditional 9 to 5 hours may not fit in with everyone’s lifestyle, so offering a flexible schedule may make a lot of employee’s lives easier. Businesses can also offer the option to work from home a few days a week. If an employee has a long commute, this can have a big impact on energy levels and general wellbeing.

Few would argue that artificial intelligence (AI) is making a considerable impact on many elements of Financial Services (FS), it’s computing power and automation helping to improve the overall customer experience and to extract incredible insight from big data held by FS companies. Below Dr. Dorian Selz, Co-Founder and CEO of Squirro, delves into a discussion about the keys augmented intelligence may carry in driving the future of FS.

As with many emerging technologies it was slow to hit the business mainstream, but that too is changing. Squirro recently conducted research into tier one banks’ use of AI, and it revealed that 83% have evaluated AI and more than two-thirds are already using it.

But for some people in finance, the words ‘artificial intelligence’ can signify fear just as much as they can opportunity. For all the potential of AI, there is a perception that jobs might be threatened as machines take over roles previously carried out by humans.

The idea that AI might facilitate a wholesale replacement of humans is fanciful at best. But perhaps it is time to talk about augmented intelligence instead, a technology intended to enhance human intelligence and one that is central to the future success of the financial services sector.

A human / machine collaboration

If artificial intelligence is the creation of intelligent machines that work and react like humans, augmented intelligence is essentially people and machines working together. This is a partnership that will see the augmentation and extension of human decision making, addressing specific challenges within FS and helping to deliver new and smarter services to customers that will encourage loyalty and improve the bottom line.

Improving the personal touch – much of FS – particularly corporate FS such as investment banking and real estate - is still heavily based on personal relationships. Account handlers speak to their clients and are expected to know about that client’s industry and be able to present them with strong opportunities for investment and growth.

That’s no a small undertaking, but augmented intelligence makes it much more straight forward. Augmented intelligence-based platforms are powerful at gathering data (both structured and unstructured) from across disparate and siloed systems and presenting that data in a form that gives account handlers a complete 360-degree view of each and every customer.

Because it can factor it so many disparate sources of data, users are then incredibly well-informed on what is happening in an industry that will affect that client, and what the opportunities are. They can retain the personal touch that is still so important in FS, but can now do so more informed than ever when speaking to clients

Deeper insight – the insight delivered by augmented intelligence is far deeper than what has previously been available to FS organisations. Because it is capable of managing and analysing so much data, the insight extracted from that data and then presented to the user is deeper and greater than anything previously possible.

Impact on the bottom line – the data insight generated by augmented intelligence can help FS firms greatly with their lead generation, not only identifying opportunities for clients but recommending the best product or solution for them.

Augmented intelligence solutions will look at data on competitors, partners and markets and identify catalysts that provide additional upsell or cross-sell opportunities to existing clients, and fresh approaches to prospective clients. In a competitive FS world, this is of the highest value.

The past decade has been a challenging one for FS organisations, with stiff competition from agile startups offering new and more effective services and a superior overall experience. Yet the emergence of augmented intelligence is a lifeline for the industry. It enables greater customer understanding and means FS providers can re-establish their market position, and augmented intelligence will be a key technology in FS for years to come.

The financial services industry must “unite and fight” against a no-deal Brexit that potentially erodes clients’ rights and damages the financial sector itself.

This warning from deVere Group founder and CEO, Nigel Green, comes as the UK's International Trade Secretary, Liam Fox, said that Britain should accept a ‘no-deal’ scenario, instead of requesting more negotiating time.

It also follows MPs being told earlier this week by the Association of British Insurers that it could be “illegal” to pay private pensions to British expats if the UK crashes out of the EU with no deal.

In addition, the City of London is claiming that Brexit will cost Britain up to 12,000 financial services jobs in the short-term, with many more potentially disappearing in the longer term.

Mr Green says: “Now is the time for the financial services industry to unite and fight against a no-deal Brexit that potentially erodes clients’ rights, protections and freedoms. It must also stand against it potentially damaging the financial sector itself.”

He continues: “It is an outrage that if the UK crashes out of the EU, and free movement of capital stops because there is no agreement in place, people could stop receiving their hard-earned retirement income, saved over many years, simply because they have chosen to live outside the UK, which they are perfectly entitled to do.

“As an industry we need to step up, lobby the policymakers, and ensure clients are secure on this issue, amongst others. We need politicians to guarantee their rights, choices and safeguards as a matter of urgency.”

Mr Green goes on to say: “This latest warning, and the ongoing uncertainty, is likely to trigger even more people who are eligible to do so to consider moving their British pensions out of the UK into HMRC-recognised pensions while they still can.

“Many will be seeking to safeguard their retirement funds by transferring them into a secure, regulated, English-speaking jurisdiction outside the UK.”

The deVere CEO adds: “The financial sector also needs to make its own voice heard.

“The industry needs continuity and certainty. What it does not need is the chaos and the expense of a no-deal Brexit.

“A no-deal scenario will likely mean a reduction of the services and products that we are able to offer clients, as well as increased costs for businesses and, ultimately, the client.

“Therefore, we must actively engage with politicians – who largely seem only to have their own political agenda at heart - to prevent this from happening.”

(Source: deVere Group)

This week Finance Monthly talks to Daniel Kjellén, CEO and Co-founder of Tink on the democratisation of data and what this means for both financial services businesses and consumers.

Open Banking was designed to open the retail banking market by giving everyone access to the data they needed to deliver banking services. Initially viewed as a massive boon for fintechs, and a worrying threat for banks, the mindset of the latter is shifting.

They may have been slow to start, but today the majority of retail banks are waking up to the opportunities offered by Open Banking. Banks are realising that the new battleground is the level of valuable insights and product offerings, tailored to the individual, that can win over consumers. And the key to unlocking this customer value? Data.

But CIOs and product analysts will be only too aware that data was relatively unmanageable until fairly recently. Historically, legacy systems and fragmented technology stacks have meant that getting the right data-sets in one place has been a huge struggle for banks.

What’s more, being able to use these data-sets to create data-driven insights and support data-driven sales has proved even more of a challenge. This means that, until recently, banks and consumers alike have been unable to make full use of the financial data at hand to make better, more informed decisions.

Out-engineered or the opportunity of a lifetime?

Banks might still be grappling with trying to make the best of their consumer’s financial data. But heel-dragging is not an option.

For several years, banks have been under siege from all sides. The technology that allows consumers to grant third parties access to their financial data has existed for some time, and agile fintechs have out-engineered banks in the field.

There’s no question that the advent of Open Banking has widened the data floodgates now that banks have had to open up their APIs. With data more readily accessible, third party providers in all sectors - from finance to insurance - can begin to compete with the traditional banks by introducing innovative new products and services.

What’s more, these challengers have the advantage of being more agile with their time to market; getting new software off the shelf and into people’s pockets in a fraction of the time previously taken.

Banking on the future

Banks have work to do. They’ve been caught napping by these nimble fintechs who have stolen a march.

Regulation is really only the rubber stamp on a technology-led revolution that was already well underway. Banks are now waking up to the same opportunities by partnering with agile industry players that can leverage the financial data at hand.

They need to act now to keep pace with the new market entrants who have already tapped into a world where the access to financial data is democratised, to build newer and better products for consumers. Instead of inventing the wheel once again, banks can choose to invest in the best technology that will provide them with the right data-sets that will both give them a holistic overview over their customer’s finances, and the ability to deliver data-driven sales and insights, tailored at the individual.

Why does this matter?

Open Banking has changed the way consumers can choose to manage their finances. By democratising the access to financial data, consumers are beginning to understand, and take advantage of, the benefits of sharing their financial information with third parties.

Once faithful to traditional banks, people are becoming increasingly fickle - flirting with other providers to find the best deal, service or experience on the market.

It might be intelligent personal finance technology that can predict consumer spending habits and provide advice and recommendations based on these predictive insights. Or it might be a current account platform that allows people to monitor and change their mortgage and savings in the same place, despite using different providers.

Whatever the specific solution, consumers are feeling the benefit of increased flexibility and choice, and demand for new ways to manage money is growing.

It really is win-win-win

Banks must stop viewing the democratisation of data as a zero-sum game - where their loss is a fintech’s or another bank’s gain. Instead, they should see it as an opportunity to gain an advantage by ensuring that their data analytics capabilities keep them one step ahead of their rivals.

While aggregation is just one part of the puzzle, the democratisation of data opens up a wealth of opportunities for banks. Data-driven banking will allow banks to make better commercial decisions based on their customers behaviour, while PFM (personal finance management platforms) will help banks give their customers a better experience.

There is a huge opportunity for banks to successfully monetise Open Banking through identifying where they can offer customers a better deal to meet their needs and targeting them accordingly with a personalised offer.

In this brave new world of banking, the winners will be those who decide what their unique offer to consumers will be and focus on doing it better than anyone else in the market. This might be providing the smoothest UX, the best predictive personal finance management platform, or the slickest analysis and insights tools. Or it might be offering the best products in one particular area - for example the most competitive rates on mortgages or loans

Unlocking this opportunity might require developing new customer centric platforms in house or buying technology of the shelf by partnering with fintechs to take advantage of their technology solutions.

But one thing’s for certain. Far from sounding the death knell for the banking industry, the democratisation of data will become the smart bank’s secret weapon for winning their segment.

New research released from financial services technology leader FIS (NYSE: FIS) found that financial institutions with the most advanced operating models are growing nearly twice as fast as the rest of the industry.

The FIS research also found that financial services executives around the world are more confident in their underlying technology and operating models in 2018. Nearly half (47%) of firms surveyed said their operations function is strong enough to support their growth plans this year, compared with 28% in 2017.

The findings are part of the annual FIS Readiness Report, which surveyed more than 1,500 C-level and senior executives across buy-side, sell-side and insurance firms. The study asked executives of those firms to assess their organization’s capabilities across six key operational pillars. Based on their scores, FIS then further analysed those organizations ranking in the top 20% of the FIS Readiness scoring system. Classified as ‘Readiness Leaders,’ the top 20% were studied to see how their investment priorities differ from their peers and how that impacts their growth.

Readiness Leaders Outperform Peers

The research found that of the six operational pillars, firms’ digital innovation strategies have the most discernible link with stronger revenue growth, followed by automation and emerging technology. However digital innovation strategy ranked just 5.5 out of 10 on FIS’ index for performance, which highlights the weakest performance scores across the industry today.

Among the findings of the FIS 2018 ‘Pursuit for Growth’ report:

• Readiness Leaders achieved average revenue growth of 3.88% over the past 12 months, compared with 2.12% growth for the rest of the industry.
• 80% of Readiness Leaders have fully or near fully automated key processes, versus 46% of the rest of the industry.
• Nearly two-fifths of all respondents (38 percent) say they want to significantly reduce the size of their owned IT infrastructure over the next 12 months.

Martin Boyd, Head of Institutional & Wholesale at FIS, said: “Our research shows that financial services firms can increase their abilities to accelerate their growth if they evolve their traditional operating model of data management, efficiency and risk management into one built on digital innovation, emerging technologies and advanced automation. Based upon our research, those firms that have been able to expand their focus and modernize their operating model should be well placed for success in the future.”

(Source: FIS)

Sometimes investing isn’t as straightforward as some make it out to be, and knowing the tricks behind stronger investment strategies can go a long way. This week Finance Monthly benefits from expert advice from Hannah Goldsmith DipPFS, Founder of Goldsmiths Financial Solutions and author of ‘Retire Faster’.

If you’d like your money to work harder, perhaps with a view to retiring sooner, here are five rules you need to follow. And they are probably not what you’re thinking:

1. Trust the markets

The global market is an effective information processing machine. Millions of participants worldwide buy and sell securities in the world markets every day. The real time information they bring to the market helps set the market price. With more than 98 million trades a day, the probability is miniscule that a committee, sitting in a board room and discussing where to invest your money, will spot a favourable discrepancy in a stock price. It is possible, but it is also highly improbable.

Instead, of buying retail funds selected by a fund manager, buy a diversified basket of global index tracker funds and let the markets work for you. A wide basket of stocks from around the world linked directly to market returns can reduce the risk of trying to outguess the markets or worse, paying somebody else to outguess the markets.

2. Diversification is key

Investment returns are random; they cannot be predicted with any certainty. Therefore, don’t limit your investments to a handful of stocks or one stock market. This is a concentrated strategy with high risk implications.

You cannot be certain which parts of the world will outperform others, if bonds will outperform equities, or if large stocks will outperform small stocks. So, don’t let your financial adviser visit you each year moving and changing your funds to justify their existence and their fees. They are wasting your money.

Instead, buy the global market using a diversified basket of index tracker funds and leave the speculation to the gamblers.

3. The Financial Services Industry does not have your best interest at heart

Conventional wealth management institutions are far happier when the status quo prevails; it’s more profitable for them and their shareholders. Why would they provide you with an opportunity to move your money to a competitor at their expense, even if it was in your best financial interest? These corporates are in business to maximise shareholder value – not your investment returns.

It is therefore essential to take back control of your money and ensure that the ‘hidden’ ongoing portfolio costs are kept to the bare minimum. Aim to keep the costs of managing your portfolio at under 1%. The industry average is in the region of 2.3%, so if you save yourself even 1% a year you will have made a substantial amount of money using compounding interest over the life of your portfolio.

For example; if you invested £100,000 with a traditional financial services company paying a total fee of 2.3%, and you received a 7% return on your money for 25 years, you will have a projected future value of £329,332. As £100,000 was yours to start with you will have made a £229,332 profit. The overall cost to you, to make that profit, will have been £109,912.

If you invested £100,000 in a low fee portfolio, paying a total fee of 1.11% and received a 7% return on your money for 25 years you will have a projected future value of £441,601. As £100,000 was yours to start with you will have made a £341,601 profit. The overall cost to you would be £63,718.

This additional £112,269 can be used by you and your family, rather than just giving it away to an industry that feeds the ‘fat cats’. Remember it’s your money … don’t give it away.

4. Think long term, not just about today

When there is a long slow decline in markets, investors want to jump ship and wait for the markets to recover before jumping back in. However, market timing cannot be predicted. Taking your money out in falling markets means you lose real money – thanks to fear. Most people don’t reinvest until they get their optimism back, which is often too late; by then the stocks have risen, you’ve missed out on the gains, and you still have your losses to make up.

Manage your emotions by investing in a risk portfolio that is correlated to your capacity for loss. Not one that is based purely on your search for the highest returns. Remember, investing is for the longer term. History shows that you will be rewarded for your bravery – and your patience.

5. Don’t lose money with the banks

Although the banks’ advertising agencies tell us how wonderful these institutions, I am still reminded of the chaos and misery they caused when they needed bailing out by the tax payer. This was due to what was described by the Financial Crisis Inquiry Commission, as a ‘systematic breakdown in accountability and ethics’.

Your capital deposited in a Bank is being eaten by inflation at 2-3% every year. Over the last 10 years, whilst the stock markets have gone up, the buying power of your bank deposited savings has decreased dramatically and will continue to do so for the immediate future.

My advice is to look at investing, rather than ‘saving’ with a bank; diversify your portfolio; let the markets work for you; and ensure you keep your management fees to around 1%. By following these rules you’ll increase your fund faster and the day you can retire (or splash the money on your dream) will arrive much sooner.

Outsourcing agreements worth £718 million were signed between January and March, according to the Arvato UK Outsourcing Index.

Outsourcing contracts worth £718 million were signed in the UK between January and March this year, with financial services and retail businesses the most active buyers, according to the Arvato UK Outsourcing Index.

The research, compiled by business outsourcing partner Arvato and industry analyst NelsonHall, found that deals worth £363 million were signed in the financial services sector, accounting for 51% of the total UK outsourcing market in Q1 and more than double the value agreed in the previous quarter (£153 million).

Retail companies agreed outsourcing deals worth £140 million in the first quarter of this year after three months of no activity in October to December 2017, according to the findings.

The rise in spending across retail and financial services contributed to an eight% increase in total contract value compared with the last quarter of 2017.

Customer service agreements continued to factor highly in UK outsourcing activity, accounting for over 20% of all spend (£152 million). This, combined with HR and payment processing contracts, saw Business Process Outsourcing (BPO) deals account for £256 million of spend – up from £179 million agreed in Q4 2017.

IT Outsourcing (ITO) contracts worth £462 million were signed in Q1, with procurement focused on cloud computing, and asset and infrastructure management.

Despite the rise in activity quarter-on-quarter, the value of outsourcing contracts signed in Q1 represents a more subdued start to the year compared with 2017 which was a record year for the industry. The research found that spend on outsourcing deals between January and March has fallen 75% year-on-year from Q1 2017.

Debra Maxwell, CEO, CRM Solutions UK & Ireland, Arvato, said: “Following a strong year for UK outsourcing in 2017, we’ve seen a more subdued market in the first quarter. With Brexit uncertainty continuing to influence buying decisions and the imminent implementation of GDPR taking up internal resources, it is to be expected that fewer deals would make it over the line in this period.

“Yet, our findings show there remains strong appetite from businesses to work with outsourcing partners to bring in external expertise for key operational areas such as customer services, and to invest in maintaining a robust IT infrastructure.”

The private sector dominated the UK outsourcing market in Q1 as businesses accounted for 90% (£645 million) of the total value of contracts signed, according to the findings.

The research found that public sector organisations agreed deals worth £73 million over the period, down from £229 million in the previous quarter. Government departments focused on securing contracts for cloud computing and application and infrastructure management.

The Arvato UK Outsourcing Index is compiled by leading BPO and IT outsourcing research and analysis firm NelsonHall, in partnership with Arvato UK. The research is based on an analysis of outsourcing contracts procured in the UK market between January and March 2018.

(Source: Arvato UK & Ireland)

Rising fears of cybercrime are prompting financial services firms to increase their spend on security, according to new research from Lloyds Bank Commercial Banking, which canvassed the views of the world’s largest financial institutions.

The research found that six out of seven (85%) financial services firms have spent more on tackling cyber risks in the past 12 months, with one in seven (14%) having significantly increased their spend.

Over the same period, almost nine in 10 (87%) have become more concerned about cyber-risks, with nearly a quarter (23%) becoming significantly more concerned.

Priorities and risks

When asked about what they wanted to achieve from their technology investment in the coming year, one in seven (14%) financial firms cited improved cyber-security as their top priority. It was the third highest priority area flagged behind reducing operating costs (17%) and revenue growth (26%).

The picture was similar when firms were asked about risks to their UK operations for 2018. Respondents said cyber security was one of the most significant risks, alongside increased market competition and geopolitical uncertainty, but behind macro factors such as the effects of Brexit and economic uncertainty.

Robina Barker Bennett, Managing Director, Head of Financial Institutions, Lloyds Bank Commercial Banking, said: “The pace of technological advancement continues to offer tremendous opportunities to financial institutions, but this has been mirrored by the rising threat of attacks from increasingly sophisticated cyber criminals. As a Group, we work closely with businesses across the UK to help build their digital skills, so it’s encouraging to see the UK’s financial sector is alive to the issue and responding with increased investment.”

Preparing for the worst

Despite firms prioritising investment in new technology to safeguard against cybercrime for the year ahead, one in 10 (10%) are still not insured against a cyber-attack.

A similar number (nine%) said they have taken no steps to arrange contingency funding, and seven% have made no contingency arrangements with banking providers, such as to guarantee payments, for example.

However, almost all (95%) firms questioned did say they were confident their finance and treasury functions were suitably prepared to recover from an attack, with one in five (20%) saying they were very confident.

Robina Barker Bennett added: “While reassuring overall, there are still a small minority of organisations that aren’t mitigating risk with insurance or contingency measures.

“The financial and reputational impact of a successful cyber-attack is becoming more severe. Investment in proactive, preventative cyber security measures should go hand-in-hand with robust planning for the worst-case scenario.”

(Source: Lloyds Bank Commercial Banking)

Amazon was once a small business selling books on the internet. Now it’s at the top of its game, with its hands in a multitude of baskets. Surely there’s a wide variety of lessons we can learn from their dynamic strategies. Below, Karen Wheeler, Vice President and Country Manager UK at Affinion, presents Finance Monthly with a guide to Amazon’s operations through the eyes of financial organizations.

It’s rare to meet someone who has never used the world’s largest internet retailer, Amazon. Whether it’s conquering Christmas lists, watching boxsets through Prime or managing life admin through the intelligent personal assistant Alexa, its offerings are endless.

This extensive list of services and benefits that are all designed around user convenience, simplicity and enhanced customer experience is one of the biggest contributing factors to its success.

Financial organisations, however niche or specialist, can take a leaf out of Amazon’s book when it comes to engaging with customers and harnessing innovative solutions to continuously improve their offering.

Here are five lessons financial firms such as banks and insurance companies can learn from Amazon.

1. Put the customer at the forefront of any business model

Listening to what the customer wants has been the driving force behind many of Amazon’s products and developments. McKinsey’s CEO guide to customer experience advises that the strategy “begins with considering the customer – not the organisation – at the centre of the exercise”.

This can often be quite a challenging ethos for the financial services sector to buy into, particularly for the more traditional bricks-and-mortar companies where the focus is often on the results of a new initiative, rather than the journey the company must take its customers on to get there.

It’s a case of convincing senior management that the initiative is a risk worth taking and just requires some patience. Amazon originally launched Prime as an experiment to gauge customers’ reactions of ‘Super Saver Shipping’ and it was predicted to flop. Nowadays it’s one of the world’s most popular membership programmes, generating $3.2bn (£2.3bn) in revenue in 2017, up 47 per cent from 2016.

2. Don’t wait to follow a disruptive competitor

To stay ahead of the curve amidst the flurry of fintech start-ups, financial organisations need to come up with their own innovative customer experience solutions, rather than allow newcomers to do so first and then follow suit.

From the customer’s perspective, a proactive approach will always go down better than a reactive one. Amazon CEO Jeff Bezos has previously spoken about tech companies obsessing over their competitors and waiting for them launch something new so that they can ‘one-up’ it. He once wrote: “Many companies describe themselves as customer-focused, but few walk the walk. Most big technology companies are competitor focused. They see what others are doing, and then work to fast follow.”

What sets Amazon apart is listening to what the customer wants and prioritising them over competitors.

A great example in the insurance sector is US digital insurer Lemonade, who last year set a world record for the speed and ease of paying out on a claim of just three seconds. This was done through its AI virtual assistant ‘Jim’ and has helped to kickstart a new trend of using AI in the industry. Ultimately, Lemonade listened to the masses in that most of us see shopping around for insurance and filing claims as complicated and admin-heavy. A quick, simple, paperless alternative would no doubt result in increased customer loyalty and, in turn, increased profits.

3. Analytics are key for personalisation

It’s no secret that Amazon is one of the leaders that has paved the way for analytics. It’s through the company recognising the need for them which has led to customers becoming accustomed to personalisation and expecting it as soon as they have had their first interaction with a business.

Financial organisations are no exception to this and, while it may seem like a scary commitment to more traditional firms, it doesn’t have to be complicated. A classic, simple example is Amazon storing customers’ shopping habits and sending them prompts for new products similar or related to those they have purchased in the past.

In the financial world, digital bank Monzo is leading the charge by monitoring customers’ spending habits to offer them financial advice to help them save money and budget responsibly. For example, its data once showed that 30,000 of its customers were using their debit cards to pay for transport in London – so Monzo can advise them they could save money if they invested in a year-long travel card, for instance.

There are endless things financial organisations can do using customer data to provide the customer with an experience unique to them, rather than continuing to make them feel like just another cog in the wheel. At Affinion we believe in ‘hyper-personalisation’, in that these days it’s no longer good enough to just know a customer’s history of transactions with a company and when their birthday is.

Customers are getting more tech-savvy by the day and are expecting real-time responses with a deep insight into their interactional behaviour – they won’t remain engaged if follow up contact is irrelevant and untargeted. Customer engagement has moved on from companies communicating to the masses, it’s about creating tailored, intuitive relationships with them on an individual basis.

4. Venture out into new areas

The way we live as a society is forever changing and, as we get busier and busier, any small gesture to make life that little bit easier goes a long way. The consolidation of services such as banking, insurance, mobile phone networks, utilities and shopping is a great way to ensure customers remain loyal to a brand as it will – if done right – add value and reduce hassle to their lives.

As an expert at disrupting industries, Amazon has taken note of this growing need for convenience over the years and has expanded its offering for customers, allowing them to carry out multiple day-to-day tasks with one account. In the last few months alone, Amazon has hinted that it may acquire a bank to break into the financial industry and potentially start its own healthcare company.

Regardless of size, financial organisations should always be looking for new areas they could tap into to broaden their offering and show customers that their needs are at front of mind.

5. Always go above and beyond

A rising factor in the way that customers align themselves to a brand is its stance on ethical issues and its contributions back into society. It’s a shift that seems to be most prominent with Generation Y, as the Chartered Institute of Marketing found that 81 per cent of millennials expect companies to make a public commitment to good corporate citizenship and nine in 10 would switch brands to one associated with a good cause.

Amazon has gone that one step further, with its AmazonSmile initiative that allows the customer to choose a charitable organisation that it will donate 0.5% of eligible purchases to. Not only does this show Amazon’s commitment to charitable causes, it gives the customer control of where their money ends up.

This is an easy win for the financial sector, given that one of its sole purposes is to look after money and move it around. For firms that target younger generations in particular, looking at ways to involve customers in charitable donations in a fun, transparent and seamless way is a no-brainer for increasing loyalty and advocacy.

Always a chore, never a pleasure

For many people, personal finance is perceived as a chore and often quite complicated. Improving the customer experience and building in programmes to engage them can help greatly with this and financial organisations need to adopt the ‘customer first’ ethos that Amazon showcases so effortlessly. With new fintech disruptors creeping into view, keeping customers loyal has never been so important.

Financial sector leaders feel more positive than peers in other industries (89%) about tech change within their organisations, according to Fujitsu’s Tech in a Transforming Britain report. Despite half (50%) saying banks will not exist in their current form in a decade, an overwhelming 95% believe technology is the key to driving their organisation forward.

Seven-in-10 financial sector leaders believe technology will enable them to overcome many of the socioeconomic issues they are facing today. This is an idea that their peers agree with; over a third (37%) of business leaders are banking on financial services to innovate and drive change in the UK, while almost half of business leaders (45%) believe banks are changing the most in the UK today.

It’s a change both consumers and leaders in the industry are keen to see continue. Consumers want to see Artificial Intelligence (13%), biometrics (15%) and a 5G mobile network (10%) implemented to improve their experience in banking over the coming year. With banking leaders looking to Artificial Intelligence (42%), biometrics (35%) and robotics (32%) in the same period it is clear that there is alignment.

“Financial services is clearly seen by the public as a sector that has and continues to be transformed by technology,” said Mike Foster, Managing Director, Financial Services Sector, Fujitsu. “This perception is fully justified. The majority of financial services organisations have not only embraced technology, but are seeing benefits with workforce productivity, operational efficiency and in driving business growth. As further transformation of the sector looks inevitable – for example through the introduction of new pieces of regulation such as PSD2 and rise of blockchain technology – it is vital that organisations consider how new technologies can shape their futures and ensure they are ready to compete in a diverse marketplace.”

Improving employee productivity (47%), operational efficiency (38%) and fuelling business growth (37%) were the key internal benefits financial leaders attribute to technology today.

There are challenges ahead, however. While the financial services sector is aware of the benefits of technology, they have concerns. More than half of the sector’s leaders (55%) say cybersecurity is their biggest operational challenge today – higher than the average across industries (48%). Access to talent in a new digital world is also an issue; 56% say a lack of skilled employees has the potential to impact growth and revenue most within their business.

Foster continued: “Banks have led the digital charge for many years, a fact that is recognised both amongst their peers and UK consumers. Many assume this means there is nothing left for them to implement, yet, with almost half saying their competitors are doing more to drive the UK forward, this is clearly not the case. While there are a wealth of digital tools and services available for consumers, there is a need for banks to collaborate to begin to address their digital future. Whether that’s coming together to address cybersecurity risks, or working together to address the skills gap, the focus must now be on the internal demands to ensure success.”

(Source: Fujitsu)

Within every business, there will be those who suffer in silence to the point that control is lost and the very act of getting out of bed becomes utterly overwhelming. Statistics show that employees in the finance sector suffer more than most when it comes to mental health.

Employees are still reluctant to share mental health information with their managers or bosses, seemingly for good reason. The stigma associated with mental health, being treated unfairly, becoming the subject of office gossip or compromising their employment terms are all legitimate fears.

To tackle this global workforce issue, Instant Offices encourage businesses to support their teams to speak about and prioritise mental health, promote a healthy work-life balance, reduce the stigma attached to mental health issues and introduce initiatives to support and encourage staff who choose to speak up.

Mental Health and Work in the UK

Studies from Manpower Group suggest that millennials display the highest levels of anxiety, depression and thoughts of suicide of any generation, considering they are also simultaneously on the cusp of becoming the largest global workforce by 2020.

According to Deloitte, the average person spends 90,000 hours of their life working, and poor employee mental health can be due to factors internal or external to the workplace. Without effective management, this can have a serious impact on physical health, productivity and more.

In the modern workplace, smart employers are placing workplace wellness at the core of their business by recognising the importance of their staff. They are going beyond protocol, processes and profits to ensure individuals feel valued and supported. Wellness and workplace health initiatives are varied but include everything from serious interventions and counselling services to mindfulness training, flexible working and even options like yoga, time off and massages at work.

That said, an alarming number of companies are still avoiding the topic of mental health in the workplace. A report by the Centre for Mental Health revealed that absence due to mental health cost the UK economy £34.9 billion last year. Additionally, the economy lost:

• £21.2 billion in reduced productivity
• £10.6 billion in sick leave
• £3.1 billion in staff turnover

It’s Time to Prioritise Wellbeing at Work

Of the 5 million people being signed off from work every year, data from NHS showed an alarming 31% are taking time out due to mental health, with a shocking 14% rise in doctor’s notes relating to anxiety and stress in one year. This is why the NHS has called on businesses to wake up to the reality of mental health and its dire effects on the wellbeing of its employees and on overall workplace success.

Here’s what employers can do:

1. Minimise the stigma: A study from Business in the Community shows, only 53% of employees feel comfortable talking about mental health issues like depression and anxiety at work. Instead of making employees feel like liabilities or burdens, employers need to take active steps to encourage conversations around these issues. Taking a mental health day or asking for support around mental health issues should not impact an employee’s reputation and how they are treated at work.
2. Pay attention: Around 91% of managers agree that their actions affect their staff’s wellbeing, however, only 24% of managers have received any training in mental health. This lack of training and sensitivity only works to perpetuate the culture of silence around mental health and wellbeing at work. Companies should be working to combat this by monitoring employee stress, encouraging communication and taking active steps to increase knowledge around the issue.
3. Be more flexible: There are several ways to boost employee engagement and happiness in the modern workplace. Around 70% of employees want a say in when and how they work, and a growth in flexible working shows more businesses are responding. Introducing a flexible working option is one of the ways businesses can prioritise their employees’ personal needs while benefitting from their productivity boost, too. Data from LSBF shows nearly half of employees advocate for flexible working hours as a way to reduce workplace stress and anxiety, increase productivity, and to improve morale and engagement.
4. Introduce mental health initiatives: It is crucial to increase employee awareness of mental health at work, support employees at risk and take steps to support those suffering from mental health problems. Education is key, and strategies need to be tailor-made to suit each business and its needs. Aside from increasing workplace happiness with perks, time off and better communication, businesses need to look at long-term policies which advocate for better treatment for at-risk employees from every tier of the organisation.
5. Manage via a coaching approach: Historically, tyrannical managers focused on ‘the numbers’ or ‘getting the job done’ have been the norm, but fortunately, the modern workplace has changed. Today, the manager who adopts a more holistic approach by focusing on the growth and development of their team, personally and professionally, will see greater results and engagement. Investing in a coaching approach has shown clear improvements across all areas and improved trust between managers and employees. Getting this balance right enables employees to speak about their levels of stress, their worries about their role and more.

Placing health and wellbeing at the heart of business can help employers attract and retain talent, improve productivity and happiness, and positively impact the bottom line.

Educating the workforce on the availability of such programmes where they can find support in a confidential and respectful manner, will help to address personal challenges before they become overwhelming.

With financial services going increasingly global, companies are now doing business all over the world. While this presents a bounty of opportunity, it also throws up a fair share of risk, particularly when it comes to the tricky question of travel etiquette.

Economies from established to emerging each have their own cultural norms and social mores — make one (unintentional) error and you could land yourself in an embarrassing situation, hot water or something far more serious indeed.

Today, forward thinking companies are becoming increasingly aware of travel etiquette. As firms spend financial resource on sending their staff abroad for meetings, training and networking, they are focusing on ensuring that their employees are fully up to speed on professionalism and understanding.

After all, when deals are being signed, made or broken and contracts are based on the outcome of a successful meeting, it’s more crucial than ever that everyone present knows how to present themselves, communicate properly and engage their audience. So what is travel etiquette in the finance sector?

Travel etiquette is about understanding local customs

While some people may think that globalisation means that customs and norms have become identikit, go out into the world and you realise that really isn’t so, especially when it comes to doing business. Each and every country has its own business etiquette, and it’s important you’re aware of the intricacies of these, as even a minor slip can have serious consequences. This useful resource from travel experts Expedia gives you lots of little tips for getting business meetings right when you’re in undiscovered country. In Turkey, for example, small talk is considered important in business meetings, so don’t jump straight into business-talk!

Travel etiquette is about mutual respect

Unprofessionalism can cost you business. But professionalism can help you grow. Understanding travel etiquette helps financial service firms treat people with respect, admiration and decency. In today’s fast-paced world, such traditional values, some say, are fading out. Practicing good travel etiquette helps you forge connections with people in different countries, network appropriately and set strong standards of performance and quality.

Travel etiquette is about empowering and inspiring your employees

Upskilling your employees in travel etiquette not only minimises the risk of an awkward business meeting peppered with social faux pas, it means you’ll be helping them become rounded individuals and employees with a thirst for knowledge. Workers confident about travelling to a new country and negotiating, selling or pitching for business will feel inspired and ready to take on any challenge. This improves them as people, and it improves them as employees, giving them the skills and knowledge they need to help grow and develop your company.

Here's five tips for travel etiquette in the finance sector:

1. A handshake is still important

We might have ditched the formal dress code, titles and everything else, but a handshake should still be considered an essential when doing business. It takes little effort and, as we all know, a little goes a long long way.

2. Don’t interrupt people

In competitive industries, interruption isn’t uncommon. But far from making you look ambitious and driven, in most cultures it simply makes you appear rude and unprofessional. If you’re ever tempted to interrupt someone when they’re part way through a sentence, think twice, and wait until they’ve finished before making your point.

3. Avoid using your phone during meetings

The rise of the smartphone means many of us now use our personal devices more or less all day. And they’re an important tool when it comes to doing business, as we use them for sending emails, making calls and more. But when it comes to a meeting, put the phone away. Even if you’re doing something work-related, it looks like you’re distracted and would rather be elsewhere.

4. Greet everyone

When meeting a large delegation of people, it can be easy to overlook a couple of individuals when it comes to introducing yourself. However acknowledging everyone is a basic sign of respect, regardless of their status or job title, and ensures you don’t look like you have a superiority complex. Respect across all levels of any organisation and is crucial.

5. Say please and thank you

It sounds obvious, but you’d be surprised how the simple act of saying please and thank you is a dying art. Manners cost nothing, so be polite at all times.