Temenos (SIX: TEMN), the banking software company, announces its collaboration with Shanghai Pudong Development Bank (SPD Bank) to establish an Innovation Lab in Shanghai.
With this initiative, SPD Bank and Temenos will jointly identify market requirements and co-develop a digital ecosystem, with Temenos providing the enabling technology platform. Through the new partnership, SPD Bank and Temenos also collaborated on the Temenos’ Innovation Jam in China, a global competition to identify the most exciting fintech startups, which took place on 1 November.
The partnership will enable the SPD Bank to leverage open APIs to operate collaborative business models, working with an ecosystem of third parties to add more value to their customers' financial lives. The Innovation Lab will allow the bank and Temenos to validate banking business scenarios, integrate innovative solutions into SPD Bank’s production environment, and deploy new technologies in a fast and efficient manner.
Temenos, as well as its long-term partner RSI, a global practitioner of digital ecosystem, will participate in this initiative. Working with Temenos and RSI, SPD Bank will explore multi-tenancy model that is applicable for bank’s digital banking ecosystem. The lab will also provide implementation measures in terms of product engineering and technology, making full preparation for bank-backed financial services in the future.
In addition, the Innovation Lab collaboration will help the bank to leverage technological advances from fintechs and ease the enrollment of Chinese fintechs into the Temenos Marketplace. Temenos Marketplace is a self-service online digital store that contains over 150 financial software products from more than 65 certified fintech partners, which are fully pre-integrated into Temenos’ software, allowing banks to easily connect to them.
One of the top 10 Chinese banks, SPD Bank is a long-standing Temenos core banking client. By the end of June 2018, the bank had total assets of RMB 6.09 trillion. It operates a network of 41 branches and approximately 1,800 banking outlets inside and outside China. It employs more than 52,000 staff.
Wei Dong Pan, Executive Director & Vice President, SPD Bank, stated: “We are excited to launch the Innovation Lab together with Temenos. We selected Temenos as a partner based on their 25 years of global experience in developing innovative banking software and for their strength of their partnership with fintechs. The Innovation Lab will help us to create a first-class digital banking ecosystem. It enables the bank to get insights from the global fintech trend and bring together the best global firms with cutting-edge technology. The lab also serves as an incubator, where we share and explore latest fintech innovation in order to create world-level tech giants. In addition, the collaboration gives us the exposure to best practice in digital transformation which reinforce our position in digital banking.”
Martin Frick, Managing Director Asia Pacific, Temenos, said: “It is an honor to partner with one of the leading Chinese banks on the Innovation Lab and become a member of SPD Bank’s shared technology community. We invest heavily in our R&D - more than any other peer in the market - and we maintain aggressive innovation roadmaps. We look forward to bringing our extensive experience in developing banking software and global fintech resources to help SPD Bank innovate and create a powerful digital ecosystem, which will help the bank develop collaborative business models, new revenue streams and innovative offerings to its customers into an increasingly digital, data-drive future.”
Contributed | what does this mean?