European Bank IT Projects
Seven European banks that undertook IT modernization projects are Deutsche Bank, BBVA, Nordea, AIB, The Co-Operative Bank, ABN AMRO, and Eurobank. The projects are Deutsche Bank., AIB, and The Co-Operative Banks are considered to be unsuccessful, while the projects at BBVA, Nordea, ABN AMRO, and Eurobank, are considered to be successful. Additional information for these projects can be found in the attached spreadsheet.
- In 2015, then CEO John Cryan announced plans to decrease Deutsche Bank's operating systems from 45 to four by 2020. By 2018, the bank still had 32 different operating systems.
- Although by 2018 13 systems were eliminated, systems for risk analytics and pricing were implemented, inter-system reconciliations were reduced from 1000 to 600, and the cloud computing platform "Fabric" was implemented, the bank still had to figure out how to bring together equities trading, rates trading, and FX trading. Internal politics, alienation of contractors, and strong departmental leaders all contributed to implementation issues with the project.
- The bank announced in 2020, that it would be moving central IT systems to the cloud.
- BBVA modernized its core banking systems from COBOL to Java using legacy language and database translation provider Modern Systems.
- Recent technology advances at the company are outlined in this article.
- In 2015, Nordea selected Accenture and Temenos to implement a core banking system from Temenos. This project was part of the "simplification" program at the bank.
- Nordea's efforts in this regard was recognized when it won a2017 Global Retail Banker award for "IT Innovation of the Year." from Retail Banker.
- In 2007, AIB entered into an agreement with Oracle to replace software that was 20 years old with Flexcube, under Project Acorn.
- The project did not succeed due to technical and project management issues, and AIB eventually sued Oracle for $84 million in damages emanating from the project. A settlement was reached between the two parties in 2011.
The Co-Operative Bank
- In 2009, The Co-Operative Bank, signed an agreement with Infosys to move its core banking system from Infosys to Finacle.
- The re platforming project was conceptualized to address "weaknesses in the legacy systems" as the bank moved to a new retail banking strategy. The resignation of the CIO, the complexity of the move, and a lack of communication all contributed to what ultimately was a close to £300 million loss.
- ABN AMRO engaged Temenos to replace its legacy payments system. In 2015, Germany was the first country to begin use of the ABN AMRO Temenos Payments System.
- In 2019, Eurobank entered into an agreement with Temenos to implement the Temenos T24 Transact and T24 Infinity products as part of its core and digital banking overhaul.