Adapting to Modern Tech with Julian Fayad
Sam Panetta discusses how technology is always evolving, and why some businesses adapt to modern tech more than others, with Julian Fayad of LoanOptions.ai.
Why does so much of the finance industry push back on new technology? Julian puts it down to a knowledge gap at the top, and a little protectionism.
1) The pushback doesn’t come from a bad place
Asked where the resistance to tech in finance comes from, Julian doesn’t see bad intent behind it.
- Resistance isn’t malicious.
- It’s mostly about familiarity.
2) A knowledge and skill gap at the top
Many people in senior positions in banking and finance aren’t across the latest technology. A lot of them have been in the industry for 30-plus years, and some think being able to use a scanner instead of a fax machine is high tech.
- Senior leaders aren’t always across new tech.
- Decades in the industry can widen the gap.
3) A protectionist view
There’s also a bit of protectionism, which Julian sees in insurance too. The more readily available information and consumer finance technology become, the bigger the threat to the big four banks’ stranglehold on banking and finance in Australia.
- Accessible information threatens incumbents.
- Consumer tech fragments the big four’s hold.
The biggest lesson from Julian Fayad
Resistance to tech in finance comes from a skill gap at the top and a bit of protectionism, but the more accessible technology becomes, the more the market opens up.
