Anticipated Highlights at the Upcoming Diebold Nixdorf Intersect Event in Las Vegas
In the rapidly evolving world of finance, modernizing payments systems has become a pressing concern for many financial institutions. However, the potential risks and fears associated with modernization often lead to procrastination. This was the central theme discussed at the recent Diebold Nixdorf Intersect conference held in Las Vegas from August 29-31.
The conference, attended by industry leaders and experts, focused on the importance of adopting modular, reusable payment services platforms. These platforms consolidate multiple payment types, from traditional card-based methods to digital payments and innovative solutions like buy now pay later (BNPL).
Michael Engel, Managing Director & VP Payments for Diebold Nixdorf, and Sarah Grotta, Director of Debit and Alternative Products Advisory Service for Mercator Advisory Group, were among the speakers who discussed the modernization of payments systems.
Best practices for modernization include consolidating siloed legacy systems into a unified, flexible platform that supports existing and emerging payment methods. The platforms should be designed to be agile and future-proof, allowing for rapid integration of innovation without repeatedly building new siloed systems.
Security and regulatory compliance are core elements of modernization. Service-based architectures enable banks and payment providers to selectively participate in new payment schemes and funding methods. Interoperability and scalability are crucial to handle the evolving "colorful payment universe" (mobile, contactless, BNPL, P2P, RTP, etc.) with agility.
A Finextra impact study produced with Diebold Nixdorf highlights that forward-looking banks moving to such modern platforms gain competitive advantages and improved margins by controlling their level and timing of engagement with new payment ventures.
The Intersect conference also featured a workshop on how banks and credit unions can take a step-by-step approach to modernizing their systems. Sarah Grotta, one of the speakers, agreed that a phased approach is easier to sell to internal stakeholders and is less risky than the "big bang" approach.
The workshop provided a workbook to help make a business case and featured case studies from institutions that Diebold Nixdorf has successfully worked with on modernization. Engel, another speaker, stated that any financial institution can benefit from the workshop and learnings from other institutions that have gone through the modernization process.
Engel also emphasized the importance of considering potential challenges and making plans for dealing with them during the modernization process. He advised delivering value during each phase of the modernization process as it becomes available in a cloud-based native environment.
Digital transformation, including modernizing payments systems, is a priority for various financial institutions. Many institutions have siloed legacy systems that are saddled with technical debt and are increasingly time-consuming to keep running smoothly.
In summary, the best practices stem from transitioning to modern, reusable, service-oriented payments platforms that consolidate old and new payments, future-proof operations, and enhance competitive positioning—principles championed by Diebold Nixdorf and emphasized at their Intersect event in Las Vegas.
- Recognizing the importance of digital transformation, financial institutions are investigating the adoption of modular, reusable payment services platforms that can consolidate traditional and digital payment methods, such as buy now pay later (BNPL), to stay competitive and improve margins.
- To effectively modernize their payments systems, financial institutions should prioritize security and regulatory compliance, design flexible and agile platforms, and consider a phased approach to execution, addressing potential challenges as they arise, as advised by speakers Michael Engel and Sarah Grotta during the Diebold Nixdorf Intersect conference.
