Together

Building the future

of banking services

3

Banking services is at a crossroads

To remain competitive, we need to be flexible and respond quickly to changes

in the market. Unfortunately our IT infrastructures are slowing us down due to

the lack of interoperability.

In large organizations, integration costs make or break the business case in the

deployment new applications. The cost level is determined by the degree of

standardization of interfaces from a technical and a definition point of view.

This hinders our ability to serve our customers the way we envision.

While it is increasingly clear that SOA is the best technology for internal and

external interfaces, standards need to be agreed upon at industry level for us to

become agile and responsive to changes in the market. That is why BIAN and

the facilitation it provides for software vendors and banks are so important.

Adopting standards for banking services is a big step forward. We can’t do it

alone, we invite you to get involved in BIAN and help us co-create these stand-

ards. I am convinced that together we can make it happen!

Steve Van Wyk Chairman of the Board, BIAN

54

The time is now

More than ever, banks must adapt to a rapidly changing business

environment. We need to deliver innovative products that enhance

the customer experience. At the same time, we must increase our

flexibility and reduce costs.

Every year, our industry spends billions on IT projects and proprietary

platforms. We all face the same challenges: obsolete software, high

integration costs, complex IT systems and a limited choice of “off the

shelf” software.

By working together through BIAN, we can reduce integration costs,

align business objectives with IT and respond quicker to customer

needs. The result: it will be easier to seamlessly integrate package

solutions into your existing landscape.

Banks need a flexible architectural model for the growth of banking

services – one that enhances interoperability and reduces integration

costs. The BIAN model is a Service Oriented Architecture with consistent

service definitions, levels of detail and boundaries. This makes it easier to

integrate commercially available products of different vendors.

Our mission is to reach an industry wide consensus to achieve a flexible

architecture. Leading banks share their requirements for core banking

solutions. Leading software vendors and service providers implement

these solutions based on formally defined semantics. In short, a “win-

win” solution for all.

Service-level standards are critical for digital business transformation,

because they enable collaboration and interoperability across the bank-

ing ecosystem, as well as across internal functional areas within the

bank. Reuse and selective use of third-party services, including cloud,

enabled by industry service-level standards, will increase bank agility,

eventually moving BIAN standards from a competitive

differentiator to a competitive requirement.

BIAN can make a difference

“Lowering integration costs, minimizing IT risk, thus allowing banks to focus on their strategic priorities through IT industry standards is important to us. Our company is based on cooperativeprinciples, we believe in collabo-ration. With BIAN we aim to stimulate international standards from which all can benefit.“

René Steenvoorden,Chief Information Officer

Rabobank

“We are committed to BIAN, because this work is of high value and importance in the transition of the industry. Our engagement is shown by the involvement in many working groups as well by the support of the organization.”

Martin SchroterSenior Vice President, Banking,

Application & Strategic Innovation

SAP

76

A group of people with similar interests

–noun

1. A complex, interconnected group or system.

2. An extended group of people with similar interests or concerns who interact

and remain in informal contact for mutual assistance or support.

Network BIAN is about collaborating in a way in which we all can benefit.

Participate and connect to the global expertise within the industry.

BIAN makes it possible for banks, software vendors and service

providers to reach a consensus on requirements for banking enterprise

services within an SOA framework and the formal description of a

banking services landscape.

Based on this landscape, BIAN focuses on the semantic definition of

banking services capable of meeting those requirements on any tech-

nology platform. BIAN standards will be transformational, changing

the banking and vendor landscapes. They will allow for rapid composi-

tion of new products and services, the offering of collaborative and

customer-driven banking services, and new partner-based business

models that foster innovation. They will also facilitate the market entry

of new best-of-breed service providers and software vendors targeting

the banking industry.

Collaborate with our network

“We are impressed with BIAN’s existing membership and are de-lighted to be part of this visionary organization. We hope this forum will provide real business value in the years ahead.”

Ian Guy GillardEVP

Bangkok Bank Public Company Limited

“Following our strategy of normali-sation and simplification, we are proud to be the first French Bank joining BIAN and delighted to be part of the membership. We are con-vinced that the nature of the com-mon work and shared information about the architecture vision will speed up our current tasks on the same topics, and continue to support our customer-oriented spirit.”

Alain Benoist, Global Head of Transformation, Processes &

Information Systems, Société Générale

98

An approved model or approach

–noun

1. an approved model.

2. an object that is regarded as the usual or most common size or form.

3. a rule or principle that is used as a basis for judgment: they tried to establish

standards for a new philosophical approach.

Standard Standards drive efficiency

Does every single piece of banking IT need to be unique? The answer

is no. Many banks are adopting standard packages. They are able to

retain their competitive position by implementing their own unique

elements while simultaneously reducing their cost structure.

When evaluating vendor-supplied bank applications and services,

include BIAN standards use and participation as one of your criteria,

giving it a medium weighting (after basic solution functionality and

vendor viability).

According to Gartner Group, “standards will play a key role in advancing

the end-user experience through enhanced interoperability both in-

ternal and external to banks.” BIAN standards promote interoperability

and the re-use of existing elements. As banks, you have the flexibility to

re-use existing software in novel ways and create that exact products

and services you need to compete.

As software providers, you have the opportunity to become leader in a

multi-vendor environment and increase your footprint in the industry.

Industry service providers can than focus on their real value add,

making their clients agile and cost efficient.

“We are delighted to join the BIAN community and to take a strategic role in its development, as part of the Board. Together, we will take BIAN’s SOA standards to a wider community and penetrate the banking industry further – to gain more support for, and adoption of, standards, SOA and interoper-ability”

Chae AnVice President & CTO

IBM Financial Services Solutions

“We’re proud to be part of this im-pressive consortium. In order to more easily provide the capabilities and services that consumers and business users demand, financial institutions must address the complexity of their IT environments through true cross-industry standardization.”

Troy BradleyChief Technology Officer, FIS

1110

AgileAn ability to think and quickly respond

–adjective

1. quick and well-coordinated in movement; lithe: an agile leap.

2. active; lively: an agile person.

3. marked by an ability to think quickly; mentally acute or aware.

Is your bank fast enough to withstand the innovations of your

competitors? Can you lead or quickly adapt to market trends?

Speed to market can make the difference between profit and loss.

Even if you recognize an opportunity, it’s hard to make it the most of it

when your IT infrastructure is slowing you down. Proprietary techno-

logy was once seen as a competitive advantage. Today, more often

than not, it’s weighing you down.

The work accomplished within BIAN has implications for banking in

the cloud. Interoperability within the application landscape is a prere-

quisite for deploying applications in the cloud. For banks to use cloud

effectively, the industry needs and open and controllable environment

(with audit trails) and reliable interfaces or services between the diffe-

rent components. This is what the BIAN Standards provide. Whether a

private, public or hybrid cloud, the same issues apply. Defining an open

API standard will be the next step towards om more open and com-

petitive financial services industry.

“As a founding and active member of BIAN, Microsoft is enabling banking and IT thought leaders to collaborate on technology stan- dards and SOA best practices. In doing so, BIAN will be instrumen-tal in laying the groundwork for banking industry services in the new economy.”

David VanderGeneral Manager of APAC, Enterprise Services,

Microsoft

“At First Niagara, we pride ourselves on putting our customers at the center of all we do. Our BIAN membership provides us access to an additional set of industry standards and re-sources that reflect best practices from member banks. We believe this helps to accelerate our development cycle and prevents any over-reliance on one solution. We look forward to the value this partnership will bring us.”

Inder KoulChief Information Officer, First Niagara

Are you agile enough to compete ?

1312

Get involved now

The future of banking services is all about open standards and

working together to co-create solutions. It is not about proprietary

models or stand-alone technologies. The potential benefits of work-

ing together are enormous.

BIAN is the opportunity for banks, software vendors and service

providers to work together towards a common goal. Get involved in

BIAN and help shape the future of banking services. Participation is

also a good way to help your IT architects and your IT organization

expand their abilities.

Weigh the benefits and costs of active membership based on your

investment in SOA development, and whether the use of the BIAN

service landscape to guide internal initiatives and the selection of

vendor solutions is a priority for your bank. BIAN participation can

provide important learning opportunities and the ability to influ-

ence services design in areas of importance to your bank.

Not sure if BIAN is for you? Our Core Team Meetings take place

several times a year at all geographic areas. Participate in one and

see for yourself. To learn more, contact us via info@bian.org or visit

www.bian.org.

Benefits of membership

• Align IT with business objectives • Reduce development and

integration costs • Help shape the future standards • Build better business practices• Increase agility of your IT

infrastructure• Learn from the top architects in

financial services industry

visual

15

BIAN’s unique role

The Banking Industry Architecture Network is entering a new era. Our industry is still recovering from the big-

gest financial crisis of the past 80 years. As a result there is an imperative need for the IT community to change!

The days of unlimited budgets are gone and our business colleague are demanding more value for each

dollar or euro that’s spend in IT. As we all know the future is no longer in own systems development but in

integrating “of the shelf products” into our existing legacy environment. Our experience is that integration

costs will often triples the purchase costs of the original software.

These cost are a hurdle for a positive business case to renew our systems landscape. Our business partners

experience IT as a hindrance for business development in this modern era. The IT-community needs to reduce

integration cost to the bare minimum. No bank or vendor can do that on its own. Cross industry

standardization is in my view the only way forward. That’s where BIAN plays a unique role.

By bringing together the expertise within banks, solution and service providers, we can establish the de-facto

SOA standards for banking services.

Don’t hesitate. I urge you to join BIAN now and help to shape the future of our industry. I am convinced that

together we can create a positive change. I hope to welcome you as a BIAN member soon.

Hans TesselaarExecutive Director, BIAN

A closing statement from the Executive Director

Within our rapidly expanding membership base, you’ll find organizations like ABN Amro, ACI Payment Systems, Diasoft, ERSTE Group, EY, Fiserv, Infosys, ING, Nomura, Oracle, PNC, TCS Bancs and UBS to name some.

For the complete and actual membership, please visit www.bian.org

1716

BIAN members Financial institutions

“Commercial Bank of Qatar is an innovative organisation operating in a fast growing economy with the challenge of continuously improving its services and the digital experi-ence of its customers. In this journey, having a technology landscape where information can be independently provided and composed, in an agile yet sustainable manner, is a pre-requisite. We believe that the standardization promoted by BIAN can drive the Bank into delivering even more ground-breaking products and services, and we are excited to be the first bank in the Middle East to join this organisation.”

Harry MargaritisHead of IT Enterprise Architecture

Commercial Bank of Qatar

“Based on our ‘IT-strategy 2020’ plan, KfW has decided to significantly redesign part of our current IT landscape. As part of this transition process the clear focus is on standardization. Using the BIAN community and materials we strongly believe that BIAN will help us meet our IT objectives. What’s more, as one of the largest develop-ment banks worldwide we hope our membership will attract other development banks to join BIAN and help promote stand-ardization across our market.”

Michael Strauss Head of IT Strategy and Architecture

KfW Bankengruppe

“Placing customers at the heart of the DBS banking ex-perience is one of our key stra-tegic priorities. We recognise that service innovation is an important part of delivering a positive service experience. As a BIAN member, DBS will be joining a community of banks and service providers that have come together to share best practices and discuss important issues in technology architecture. This will allow us to continually improve our technology processes and platforms in order to delight our customers.”

David Backley MD, Technology & Operations

DBS Bank

Software vendors and service providers

“For many years now SOA has been the preferred development methodology for the broad range of small to large sized Nordic banks EVRY serves. We consider the BIAN community and its deliverables to be of strategic importance in our continued market-driven development and in our ambitions for lower time to market and reduced develop-ment cost.”

Wiljar NesseHead of the Financial Services

Business Area, EVRY

“At Asseco, we believe that optimal architecture and proven functional design determine the quality and value of our prod-ucts. BIAN opens the platform to provide the complete founda-tion for functional service ori-ented architecture and establish an industry-wide standard.”

Slawomir ZiajkaDirector of Product Planning & Deve-

lopment at the Commercial Banks

Division, Asseco

“We believe BIAN offers the potential for further standardiza-tion and gives banks the tools to rationalise and simplify their businesses. BIAN contributes to delivering these open business standards in a collaborative man-ner, for the benefit of all financial institutions.”

R. VivekanandVice President & Global Head - Product

Development, TCS Financial Solutions

“Sopra Banking Software fully supports BIAN as both organi-zations continue to grow from strength to strength. Together Sopra Banking Software and BIAN are fully focused on the need to promote industry stan-dards and SOA. Sopra Banking Software strives to share our best-practices and in-depth financial services expertise with our peers within BIAN to ensure a more transparent and cost effective banking environ-ment.”

Renaud WinandHead of Product Department

Sopra Banking Software

18

BIAN Service Landscape

19The BIAN Service Landscape 4.0

Reference Data Sales & Service Operations & Execution Risk & Compliance

Market Data

Product Mngmt.

Party Channel Specific

Cross Channel

Business DevelopmentBrand Mngmt.AdvertisingPromotional EventsProspect Campaign Mngmt.Prospect Campaign DesignCustomer Campaign Mngmt.Customer Campaign DesignCustomer Surveys

Sales

Prospect Campaign ExecutionProspect Mngmt.Lead/Opportunity Mngmt.Customer Campaign ExecutionCustomer OfferSales PlanningUnderwritingCommission AgreementCommissionsProduct MatchingProduct Expert Sales SupportProduct Sales SupportSales Product

Customer Mngmt.

Customer Relationship Mngmt.Customer Prod./Service Eligibility Customer AgreementSales Product AgreementCustomer Access EntitlementCustomer Behavioral InsightsCustomer Credit RatingAccount RecoveryCustomer Event History

Servicing

Servicing IssueCustomer Case Mngmt.Case Root Cause AnalysisCustomer CaseCard CaseCustomer OrderPayment Order

Investm. Portfolio PlanningInvestm. Portfolio AnalysisInvestm. Portfolio Mngmt.eTrading Workbench

LoanLeasingCurrent AccountDeposit AccountCorporate Current Account

Credit/Charge CardCard Authorization Card CaptureCard Billing & PaymentsMerchant Relations

Corporate Trust ServicesRemittances Currency ExchangeBank Drafts & T ChecksBrokered ProductConsumer InvestmentsCustomer Tax Handling

Wholesale TradingTrading Book OversightTrading ModelsDealer WorkbenchQuote Mngmt. Suitability CheckingCredit Risk OperationsMarket MakingECM / DCMProgram TradingTraded Position Mngmt.Market OrderMarket Order Execution

Market Operations

Mutual Fund Admin.Hedge Fund Admin.Unit Trust Admin. Trade Confirmation MatchingOrder AllocationSettlement Obligation Mngmt.Securities Dlvry & Receipt Mngmt.Securities Fails ProcessingTrade/Price Reportg.Custody AdministrationCorporate EventsFinancial Instrument Valuation

Letter of CreditBank GuaranteeTrade FinanceCredit Mngmt.Credit FacilityProject Finance Limit & Exposure Mngmt.Syndicated LoanCash Mngmt. & Account ServicesDirect Debit Mandate Direct Debit Cheque Lock BoxFactoring

Corp. Financing &Advisory Services

Corporate FinanceM&A AdvisoryCorp. Tax Advisory Public OfferingPrivate Placement

Cross Product OperationsPayments Account Mngmt. Operational Services

Payments ExecutionFinancial Message AnalysisFinanc. Message GatewayCorresp. Bank FulfilmentCheque ProcessingCentral Cash Handling

Trade Banking

Collateral Administration

Collateral Allocation Mngmt.Collateral Asset Admin.Collections

Investment Mngmt.

Business Support

Marketing Product Specific Fulfillment Bank Portfolio & Treasury

Party Data Mngmt.Customer Profile

IT Mngmt. Finance

Information Provider AdminSyndicate Mngmt.Interbank Relationship Mngmt.Correspondent Bank Relationship Mngmt.Correspondant Bank Data Mngmt.Sub Custodian AgreementProduct Service AgencyProduct Broker AgreementContractor/Supplier Agreement

Information Provider OperationMarket Information Mngmt.Financial Market AnalysisFinancial Market ResearchQuant ModelMarket Data Switch AdminMarket Data Switch OpsFinancial Instr. Ref Data Mngmt.Counterparty AdministrationPublic Reference Data Mngmt.Location Data Mngmt.

Product DesignProduct CombinationProduct DeploymentProduct TrainingProduct Quality AssuranceDiscount Pricing

Branch Location Mngmt.Contact Center Mngmt.Branch Network Mngmt.E-Branch Mngmt.Adv. Voice Services Mngmt.ATM Network Mngmt.Contact Center OperationsBranch Location OperationsE-Branch OperationsAdv. Voice Services Operat.ATM Network OperationsBranch Currency Mngmt.Branch Currency DistributionProd. Inventory Item Mngmt.Prod. Inventory Distribution

Party AuthenticationTransaction AuthorizationPoint of ServiceServicing Event HistoryServicing Activity AnalysisContact RoutingContact DialogueInteractive HelpContact HandlerCustomer Workbench

Loans & Deposits

Cards

Consumer Services

Position KeepingReward Points AccountAccounts ReceivableAccount ReconciliationCounterparty RiskPosition Mngmt.Fraud DetectionTransaction Engine

Issued Device AdminIssued Device TrackingDisbursementOpen Item Mngmt.Leasing Item AdministrationDunningCustomer BillingRewards Points Awards & Red.Channel Activity AnalysisChannel Activity History

Corporate Treasury AnalysisCorporate TreasuryAsset SecuritizationAsset & Liability Mngmt.Bank Portfolio AnalysisBank Portfolio AdministrationStock Lending/Repos

Models

Market Risk ModelsFinancial Inst. Valuation ModelsGap AnalysisCredit Risk ModelsLiquidity Risk ModelsEconomic CapitalBusiness Risk ModelsCustomer Behavior ModelsFraud ModelsCredit/Margin ManagementProduction Risk ModelsOperational Risk ModelsContribution Models

Business Analysis

Segment DirectionProduct PortfolioCustomer PortfolioBranch PortfolioChannel PortfolioCompetitor AnalysisMarket ResearchMarket AnalysisContribution Analysis

Regulations & Compliance

Guideline ComplianceRegulatory ComplianceCompliance ReportingRegulatory ReportingFraud/AML ResolutionFinancial Accounting

IT Systems DirectionIT Stds & GuidelinesSystems AdministrationDevelopment EnvironmentSystem DevelopmentProduction ReleaseSystem DeploymentSystems OperationsPlatform OperationsSystems Help DeskSystems AssuranceInternal Network Operation

Non IT & HR Enterprise Services

Legal ComplianceInternal AuditSecurity AdvisorySecurity AssuranceApproved Supplier DirectoryProcurementCompany Billing & PaymentsFixed Asset Register

Buildings, Equipment and Facilities

Property PortfolioSite OperationsSite AdministrationEquipment AdministrationEquipment MaintenanceUtilities AdministrationBuilding Maintenance

Business Command & Control

Organization DirectionBusiness Unit Financial AnalysisBusiness Unit Financial OperationsBusiness Unit AccountingBusiness Unit Direction Business Unit Management

Financial StatementsFinancial ControlFinancial ComplianceEnterprise Tax Administration

Human Resource Mngmt.

Human Resources DirectionEmployee AssignmentEmployee Data ManagementEmployee/Contractor ContractEmployee CertificationEmployee EvaluationEmployee Payroll and IncentivesTravel and ExpensesEmployee AccessEmployee BenefitsWorkforce Training

Knowledge & IP Mngmt.

Mngmt. ManualIntellectual Property PortfolioKnowledge Exchange

Corporate Relations

Corporate CommunicationsCorporate Alliance/StakeholderCorporate RelationshipRegulatory and Legal AuthorityInvestor Relations

Business Direction

Corporate StrategyCorporate PoliciesProduct & Services DirectionBusiness ArchitectureContinuity Planning

Document Mngmt.& Archive

Document ServicesArchive ServicesCorrespondence

Copyright @ BIAN 2015

External Agency

Email: info@bian.org

www.bian.org

Address:

BIAN e.V.

Banking Industry Architecture Network

P.O. Box 16 02 55

60065 Frankfurt am Main / Germany

BIAN is a registered association

at the local court in Frankfurt am Main

Commercial Register: VR 13975